In this competitive world, every company is looking to have an edge over another company, or an advantage over another company, to be the best. To achieve all this, a company must go through a vigorous research about the consumer awareness and their requirements, to provide them with better services. In this report a sincere attempt has been made to study on awareness of mutual fund, where people would like to park their money. This report is based on the market survey and research conducted to determine the “CONSUMER AWARENESS OF MUTUAL FUND”. The topic “Consumer Awareness of Mutual fund and prospective customers” is selected keeping in mind the following OBJECTIVES. * To know where people prefer to invest.
* To know what are products features investors are looking into. * To know whether people are interested in knowing about mutual fund. * To know what people looking from their investment.
* To create awareness about mutual funds in the minds of new customers.
These objectives of the study will help to ascertain the awareness of mutual fund that may further guide the company to improve its products features and services. This survey includes various professionals, business men/women, house wife, salaried job people few customers of Standard Chartered Mutual Fund.
A mutual fund represents a vehicle for collective investment. When you participate in a scheme of a mutual fund, you become a part owner of the investments held under that scheme. * A variety of schemes are offered by mutual funds. Based on the investment policy, the mutual fund schemes are broadly classified as follows: equity schemes, and debt schemes. * The investments of mutual fund are subject to a set of regulations prescribed by SEBI. * The mutual fund business is highly concentrated fund-wise and scheme-wise. The dominant position of the UTI in the industry has already been referred to. Similarly, a handful of schemes account for a major part of the unit capital.
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 of India. The history of mutual funds in India can be broadly divided into four distinct phases| First Phase – 1964-87|
Unit Trust of India (UTI) was established on 1963 by an Act of Parliament. It was set up 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 Can bank 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)| |
With the entry of private sector funds in 1993, a new era started in the Indian mutual fund industry, giving the Indian investors a wider choice of fund families. Also, 1993 was the year in which the first Mutual Fund Regulations came into being, under which all mutual funds, except UTI were to be...