Comparative Study of Mutual Fund with Other Investment Alternatives

Only available on StudyMode
  • Download(s): 264
  • Published: August 27, 2010
Read full document
Text Preview
A
PROJECT REPORT
ON

COMPARATIVE STUDY OF MUTUAL FUNDS WITH OTHER INVESTMENT ALTERNATIVES

Submitted To Kurukshetra University, Kurukshetra in partial fulfillment for the Degree of “Master of Business Administration” (Session 2008-10)

Under the supervision of : Submitted by: Dr. Pawan KumarAnita
Faculty MBA Deptt. Roll No.8005
DIMT

Dronacharya Institute of Management &Technology
(Kurukshetra University, Kurukshetra)

ACKNOWLEDGEMENT

Any work of this magnitude requires the inputs, efforts and encouragement of people from all sides. In this project report I have been fortunate in having got the active co-operation of many people, whom I would like to thank.

It gives me a great pleasure to express my gratitude to D.I.M.T. faculty members or guiding me through his efforts at each and every step. I humbly submit that without is efforts this project would have not been conceptualized nor materialized. I am highly obliged to Dr .M .L. Bansal Director (DIMT) and Dr. Pawan who provided me necessary heip in the completion of the project. Their able guidance and support helped me a lot.

(ANITA)

DECLARATION

I Anita, Roll No.8005 student of MBA (final) 0f Dronacharya Institute of Management & Technology, Kurukshetra here by, declared that the entire project entitled “Comparative study of mutual funds and investment alternatives”. Also this is the original work under taken by me and though the application of the knowledge. I gain during my research period the entire study is authentic to the best of my knowledge and belief.

(ANITA)

INDEX
PARTICULARS PAGE NO 66

1. Introduction of Mutual Funds………….…………………………5

2. Investment alternatives……………………………………………24.

3. Research Methodology………………………………………… 28 4. Data Analysis & Interpretation………………………………… 33

5. Findings………………………………………………………….54.

6. Recommendation & Suggestion…………………………………59

7. Bibliography………………………………………………………… 61
a) Questionnaire……………………………………………….
b) Annexure…………………………………………

INTRODUCTION

Mutual Funds in India
The mutual fund industry in India started in 1963 with the formation of Unit Trust of India, at the initiative of the Government of India and Reserve Bank. The history of mutual funds in India can be broadly divided into four distinct phase FIRST PHASE – 1964-87

Unit Trust of India (UTI) was established on 1963 by an Act of Parliament by the Reserve Bank of India and functioned under the Regulatory and administrative control of the Reserve Bank of India. In 1978 UTI was de-linked from the RBI and the Industrial Development Bank of India (IDBI) took over the regulatory and administrative control in place of RBI. The first scheme launched by UTI was Unit Scheme 1964. At the end of 1988 UTI had Rs.6,700 crores of assets under management. SECOND PHASE – 1987-1993 (ENTRY OF PUBLIC SECTOR FUNDS)

1987 marked the entry of non- UTI, public sector mutual funds set up by public sector banks and Life Insurance Corporation of India (LIC) and General Insurance Corporation of India (GIC). SBI Mutual Fund was the first non- UTI Mutual Fund established in June 1987 followed by Canbank Mutual Fund (Dec 87), Punjab National Bank Mutual Fund (Aug 89), Indian Bank Mutual Fund (Nov 89), Bank of India (Jun 90), Bank of Baroda Mutual Fund (Oct 92). LIC established its mutual fund in June 1989 while GIC had set up its mutual fund in December 1990.At the end of 1993, the mutual fund industry had assets under management of Rs.47,004 crores. THIRD PHASE – 1993-2003 (ENTRY OF PRIVATE SECTOR FUNDS)

1993 was the year in which the first Mutual Fund Regulations came into being, under which all mutual funds, except UTI were to be registered and governed. The erstwhile Kothari Pioneer (now merged with Franklin Templeton) was the first private sector mutual...
tracking img