“PROJECT REPORT SYNOPSIS” NAME:- YUDHISHTHIR SINGH Registration Number: - 420910463 Address for correspondence: - M.S.Ramaiah Management Institute, M.S.R.I.T. post, M.S.R.Nagar, New Bel Road, Bangalore-560054 Name of Project Guide:- Miss. Jayashree Kowtal Designation & Address:Title of the project:“A Study on Comparative Analysis of Mutual Fund and Other Investment Options”
Working title“A Study on Comparative Analysis of Mutual Fund and Other Investment Options”
PurposeThe main purpose of doing this project was to know about mutual fund and its functioning. This helps to know in details about mutual fund industry right from its inception stage, growth and future prospects. It also helps in understanding different schemes of mutual funds. My study depends upon prominent funds in India and their schemes like equity, income, balance as well as the returns associated with those schemes. The project study was done to ascertain the asset allocation, entry load, exit load, associated with the mutual funds. Ultimately this would help in understanding the benefits of mutual funds to investors.
Aim“To compare the investment options, its performance and risk & return relationship for better investment decision”.
ObjectivesIt is necessary to specify the objectives of the study. This is because of specification of objectives will enable us to study various areas and aspects with clarity.
•
To know the purpose and performance and of investment in mutual fund
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To know the purpose and performance and of investment in other investment
•
To study the risk and return relationship with reference to mutual fund and other investment s
•
To know the form of return on investment
Key Questions1) Do you invest in Mutual Funds?
2) If not, then what other option(s) do you prefer to invest? 3) In which sector do you prefer to invest your money? 4) Which factor do you consider before investing in mutual fund or Ulips? 5) How often do you monitor your investment?
HypothesisNull hypothesis •
Ho – As a result of derivatives there will be no difference in the investment risk reduction
Alternative hypothesis -
•
HA – As a result of derivative market their will be a significant risk reduction in investment
Research MethodologyStage-1 SAMPLE DESIGN
Sample Unit: Investors and Non-Investor Sample Size: This study involves 50 respondents. Sampling Type: The sample size has been taken by non-random convenience sampling technique
Stage-2 APPROACHES OF DATA COLLECTION RESEARCH DESIGN:
EXPLORATIVE RESEARCH
Data will be collected both from primary as well as secondary sources as described below: Approach constitutes of both I. Primary data. II. Secondary data. PRIMARY SOURCES:
Questionnaire Analysis (ENCL.)
SECONDARY DATA:
It refers to those data that was already being corrected by and analyzed by someone else. This data is collected from Journal Reports
Magazines. Newspapers and books Website
Statistical tools-
Correlation, Graphical analysis, Regression analysis
Literature review and case studies
Plan for data analysis: Analysis of data is planned with the help of
Mean
Analysis of variance.
Tabulation
Stage-3 SCOPE OF THE STUDY •
The study will aim at understanding and analyzing the types Mutual Fund and other investment options
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I will analyze the funds depending on their schemes like equity, income, balance
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Subject matter is related to the investor’s approach towards mutual funds and other investment options in Indian market
•
The research will be conduct in the geographical area of 1 cities- Bangalore (Karnataka),
.
STEPS OF RESEARCH DESIGN: •
Define the information needed:-
This first step states that what is the
information that is actually required. Information in this case we require is that what is the approach of investors while investing their money in mutual funds and other investment options, e.g. what do they consider while deciding as to invest in which of the two i.e. Mutual funds or other investment options. Also, it studies the extent to which the investors are aware of the various costs that one bears while making any investment. So, the information sought and information generated is only possible after defining the information needed. •
Design the research: -
A research design is a framework or blueprint for
conducting the research project. It details the procedures necessary for obtaining the information needed to solve research problems. In this project, the research design is explorative in nature. •
Specify the scaling procedures: - Scaling involves creating a
continuum
on which measured objects are located. Both nominal and interval scales have been used for this purpose. •
Construct and pretest a questionnaire: -
A questionnaire is a
formalized set of questions for obtaining information from respondents. Where as pretesting refers to the testing of the questionnaire on a small sample of respondents in order to identify and eliminate potential problems.
Stage-4 LIMITATIONS OF THE STUDY No study is free from limitations. The limitations of this study can be:
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The study will conduct only for 4 months
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Sample size taken is small
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The study only conducts in 1 geographical area Bangalore
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Respondent bias and sampling error
Proposed ContentsChapter 1: Introduction This chapter provides the theoretical background of the topic under study. This chapter provides a brief introduction to the subject under the study including the work and types of Mutual Fund.
Chapter 2: Research design This chapter provides details such as the Purpose, Aim of the study, Statement of the problem, Scope of the study, Objective of the study, Approaches of data collection and Conceptual definitions, Limitations of the study and an overview of the chapter scheme.
Chapter 3: Profile of the industry This chapter contains a brief profile of the derivative market.
Chapter 4: Analysis & interpretation This chapter contains an analysis of the primary data and secondary data in line with the objectives of the study. Tables and graphs drawn from the data collected would support the analysis.
Chapter 5: Summary of findings, conclusions and suggestions This chapter provides a summary of findings, conclusions drawn from findings and also suggestions would be made based on the analysis giving an overview of the research.
Chapter 6: Bibliography
QUESTIONNAIRE Dear Sir/Madam, I would like to introduce myself as a PGDM (AIMA) student of M.S.Ramaiah Management Institute, Bangalore and doing a project on the topic. “A Study on Comparative Analysis of Mutual Fund and Other Investment Options”
This project is to be submitted to the AIMA for the award of PGDM. Hence I, request you to kindly spend few minutes of your valuable time in answering this.
Section A - Identification 1) Name: 2) Age: a) 20-30 ( )
b) 30-40 ( )
3) Occupation: a) Government employee ( ) b) Private Employee
( )
c) Self-Employed
( )
d) Professional
( )
e) Others………………………………........
c) 40-50 ( )
d) 50 and above ( )
4) Address:
5) Education: a) Ssc
( )
b) Puc
( )
c) Graduation
( )
d) Post Graduate
( )
e) Other………………………………..
6) Phone No.:
7) Income :
a) Below 250000
( )
b) 250000-400000
( )
c) 400000-550000
( )
d) 5500000-800000
( )
e) 800000 and above ( )
8) Normally what percentage of your monthly household income could be available for investment?
a) 10%-15%
( )
b) 16%-20%
( )
c) 21%-25%
( )
d) 26%-30%
( )
e) 30% and above ( )
9) Normally how much income of your monthly household income could be available
for savings: a) Below 15000
( )
b) 15000-30000
( )
c) 30000-45000
( )
d) 45000 and above ( )
Section B – Investment Objectives 10) What’s your investment objective? (You can choose more than one options) a) Dividend gain
( )
b) Capital gain
( )
c) Tax savings
( )
d) Return
( )
e) Low risk and Low Return
( )
f) Moderate risk and Moderate return ( ) f) High risk and High return
( )
11) How did you know about various Mutual Fund Schemes? a) Bank
( )
b) Agents
( )
c) Newspaper
( )
d) Television
( )
e) Friends
( )
f) Others………………………………………..
12) Which are the investments you have made? (You can choose more than one options) a) Financial planning
( )
b) Tax maximizing
( )
c) Mutual funds
( )
d) Real state
( )
e) Home loan
( )
f) Fixed deposits
( )
g) Personal loan
( )
h) Life insurance
( )
i) Health care
( )
13) Since when are you investing in financial instruments? (a) Less than 3 months
( )
(b) 3 months – 6 months
( )
(c) 6 months – 8 months
( )
(d) 8 months – 12 months
( )
(e) More than 12 months
( )
(f) Others (please specify) ______________
14) What do you think about saving money? (a) I don’t believe in saving. (b) I’d like to save, but my expenses & financial commitments do not permit (c) I try to save whenever & wherever possible. (d) I always save some percentage of my take-home salary without exception. (e) Others (please specify) ________________________________
Section C - Your trading information
15) Do you invest in Mutual Funds?
a) Yes
( )
b) No
( )
16) If not, then what other option(s) do you prefer to invest?
a) Fixed deposits
( )
b) Post office
( )
c) Government bonds
( )
d) Insurance
( )
e) Gold
( )
f) Home loans
( )
g) Equity/ Shares
( )
h) Real state
( )
17) In which sector do you prefer to invest your money? a) Government sector
( )
b) Private sector
( )
18) In the past, you have invested mostly in (choose one):
a) Savings a/c and PO schemes
( )
b) Mutual fund investing in bond
( )
a) Mutual fund investing in stocks
( )
b) Balanced mutual fund
( )
c) Individual stocks & bonds
( )
d) Ulips
( )
e) Other instruments like real state, gold
( )
19) What is your purpose behind investments?
(a) Safety of Capital ( )
(b) Retirement
( )
(c) Beating Inflation ( )
(d) Tax Minimization
( )
(e) Liquidity
( )
(f) Growth of Capital – Returns ( ) (g) Others (please specify) ________________________________
20) Rank the following investment 1 to 8, highest as 1 and lowest as 8? (a) Bank deposits
( )
(b) Property/Land
( )
(c) Postal deposits
( )
(d) Gold
( )
(e) Life insurance policies ( )
(f) Government bonds
( )
(g) Mutual funds
(h) Equity/Shares
( )
( )
21) Rank the following investment which is the best investment option according you? (a) Bank deposit
( )
(b) Property/Land
( )
(c) Postal deposit
( )
(d) Gold
( )
(e) Life insurance
( )
(f) Government bonds
( )
(g) Mutual Funds
( )
(h) Equity/ Shares
( )
22) Which factor do you consider before investing in mutual fund or other investment options? a) Safety of principal
( )
b) Low risk
( )
c) High returns
( )
d) Maturity
( )
23) Which factor do you consider most important while choosing an investment option? (a) How quickly will I be able to increase wealth? (b) The opportunity for steady growth (c) The amount of monthly income the investment will generate (d) The safety of investment principal 24) Please indicate your preference on the following investment avenues
Categories
Highly Favorable
(a) Share Market (b)Mutual Funds (c) Insurance
Favorable
Neutral
Unfavorable
Highly Unfavorable
(d)Bank Deposits (e) Real state
25) Do you invest your money in share market? a) Yes
( )
b) No
( )
26) How often do you monitor your investment? a) Daily
( )
b) Weekly
( )
c) Monthly
( )
d) Yearly
( )
27) Your comfort level in making investment decisions can best be described as a) Low
( )
b) Moderate ( ) c) High
( )
28) If in the near future if you ever plan to invest in your money in any of the mutual fund company, which would be your first investment choice?
a) SBI mutual fund
( )
b) HDFC mutual fund
( )
c) Reliance mutual fund
( )
d) ABN AMRO mutual fund ( ) e) Others
( )
29) Would you like to give any suggestions regarding improvement of investment in Mutual Fund and other investment options?
