West Bengal University of Technology

Summer Project Report

A Study on THE PERFORMANCE AND INVESTORS OPENION
ABOUT Reliance Mutual Fund
At
Reliance Securities Ltd
By
Arijit Kumar Ghosh


WBUT Regn. No: 131360710022 of 2013-15
WBUT Roll No: 13600913022










Army Institute of Management
Kolkata







Table of Contents

1. Certificate from Guides 3
2. Executive Summary 4
3. Company profile 5
4. The Project 13
4.1 Introduction 13
4.2 Background to the problem 18
4.2 Objectives 19
4.4 Scope 19
5. Research Methodology 20
6. Data Collection and analysis 20
7. Conclusion 30
8. Findings 31
9. Recommendations 32
10. Appendices and Annexure 34
10.1. Questionnare 34
10.2. List of abbreviations 36
11. Refrences 37













CERTIFICATE FROM GUIDES







GUI DANCE-cum-COMPLETI ON CERTI FI CATE
This is to certify that Ms. Arijit Kumar Ghosh, WBUT Regn. No. 131360710004 of 2013-15,
WBUT Roll No. 13600913022, has undertaken the project title A Study on THE
PERFORMANCE AND INVESTORS OPENION ABOUT Reliance Mutual Fund under
our guidance from 16
th
of June to 16
th
of Aug at Reliance Securities Ltd and has completed
the said project successfully.







MR.
Aditya Bhardwaj
(External
Guide)





DR. MALINI MAJUMDAR

(Internal Guide)



4

Executive Summary

1. The Reliance mutual fund is one of the fastest growing and most competitive of the Mutual
Fund sector. As of September 2014, the total AUM stood at Rs. 122,068 Crore. However,
growth rates of Company have come down from the peak levels seen in the 2009. One of the
biggest reasons behind this is the lack of healthy reach to a large part of the country.

2. This lack of penetration can be due to two reasons:
a. Low demand of mutual funds from the public outside the major (T-15) cities. This
low demand in turn could be caused by low levels of financial literacy, cultural
attitudes towards savings and investments etc.
b. Low supply of mutual funds from AMCs outside the major cities. The low supply
could be due to perceived lack of demand from the general retail investor or due to
lack of available manpower in these areas.

3. The study first documents how Assets under Management (AUM) are unevenly distributed
across the city of kolkata and then proceed to scrutinize the reasons behind this uneven
penetration.

4. A survey was carried out to gain a better understanding of performance and
investors onion about reliance mutua performance and investors onion about reliance mutual
fund.

5. The study found that low number of agents (per capita) in sub-urban and rural areas and
the slow growth rates in mutual fund sales in the corresponding areas are closely associated
with each other.
















5

COMPANY PROFILE

Reliance Capital Ltd

Reliance Capital Ltd. is a part of the Reliance Group and
is one of Indias leading private sector financial services
companies, and ranks among the top four private sector
financial services and banking groups, in terms of net
worth. Reliance Capital has interests in asset
management and mutual funds; life and general
insurance; commercial finance; stock broking; wealth
management services; distribution of financial products; private equity; asset
reconstruction; proprietary investments and other activities in financial services.

Business mix of Reliance Capital Ltd.
Asset Management Mutual Fund, Pension Fund, Portfolio Management, Offshore Fund
Insurance Life Insurance, General Insurance
Consumer Finance
& Home
Finance
Mortgages, Loans against Property, SME Loans, Loans for Vehicles, Loans for
Construction Equipment, Business Loans, Infrastructure financing
Broking and
Distribution
Equities, Commodities and Derivatives, Wealth Management Services,
Portfolio
Management Services, Investment Banking, Foreign Exchange, Third Party
Products
Other Businesses Private Equity, Asset Reconstruction

In eight years (2005-06 to 2013-14)
Revenues: Rs. 426 crore to Rs. 7,544 crore, an 18-fold increase
Net profits: Rs. 36 crore to Rs. 747 crore, a 21-fold increase
Total assets: Rs. 2,810 crore to Rs. 45,528 crore, a 16-fold increase
Net worth: Rs.1,438 crore to Rs. 12,483 crore, an 9-fold increase
Customers: 0.6 million to over 20 million, a 35-fold increase
Workforce: 2,317 to 18,500, a 8-fold increase

One of the top 25 most valuable
companies in India
Shareho
lding
pattern
Reliance Anil Dhirubhai Ambani Group 54.1%
Foreign investors: FIIs, GDRs, NRIs, and others 21.1%
Domestic institutions/Banks/Mutual funds 5.4%
Indian public 19.4%
Total 100.0 %

6


Market capitalization as at March 31,
2014: Rs. 8,496 crore
Traded in the futures and options segment of National Stock
Exchange of India
Constituent of MSCI India and
CNX Junior Nifty
Reliance Mutual Fund
www.reliancemutual.com)

Reliance Mutual Fund (RMF) is amongst Indias top two Mutual Funds, with Average
Assets under Management (AAUM) of Rs. 103,542 crore (US$ 17 billion) for March
31, 2014. RMF is the first Indian Mutual Fund to have crossed the Rs. 1 trillion AUM
mark. It has the largest customer base of over 5 million investor folios that are served
from offices spread over 175 locations in India with over 42,500 distributors. RMF has
55 schemes - 21 equity oriented schemes, 29 debt oriented schemes, 4 exchangetraded
funds and 1 funds-of-funds. Reliance Mutual Fund constantly endeavors to
launch innovative products and customer service initiatives to increase value to
investors.

Reliance Life Insurance
(www.reliancelife.com)

Reliance Life Insurance (RLI) is among the top private sector life insurance players
in terms of new business premium with a market share of 6.6% of the private sector.
The total premium was Rs. 4,257 crore (US$ 704 million) for the year ended March
31, 2014. RLI offers products that fulfill savings and protection needs of millions of
Indians. RLI is the only life insurance player in India to be certified with ISO 2000
9001 for all its processes and first life insurance company to introduce OTC
process. RLI offers 22 products, of which 16 are targeted at individuals and 6 at
group business.

Reliance General Insurance
(www.reliancegeneral.co.in)

Reliance General Insurance is one of the top five private sector general insurance
companies in India in terms of gross written premium with a private market share of
7.5%. RGI offers insurance solutions for auto, health, home, property, travel, marine,
commercial and other specialty products. The Gross Written Premium for the year

7

ended March 31, 2014 was at Rs. 2,442 crore (US$ 404 million) with a distribution
network composed of over 125 branches and nearly 15,500 intermediaries.

Reliance Commercial Finance
(www.reliancecommericalfinance.co.in)

Reliance Consumer Finance (RCF) is amongst the leading lenders in Indian non
banking finance sector. RCF offers a wide range of products which include Home
loans, Loans against property, SME loans, Vehicle loans, Loans for construction
equipment and Infrastructure financing. The company has a loan book at Rs.13,667
crore (US$ 2 billion) as on March 31, 2014, with over 66,000 customers across top
37 Indian metros.




Reliance Broking & Distribution business (Reliance
Money) (www.reliancemoney.co.in)

Reliance Money is one of Indias leading brokerage and distributor of financial
products and services, providing customers with access to equities, equity options
and commodities futures, mutual funds, IPOs, life and general insurance products,
offshore investments, wealth management products, investment banking, gold coins
and financial services like money changing and money transfer. Reliance Money
has generated revenues of Rs. 350 crore (US$ 59 million) for the year ended March
31, 2014 with a pan India presence with over 7,000 outlets; nearly 7,30,000 broking
accounts generating a daily average turnover of approx. Rs. 2,100 crore.



Other
businesse
s

In addition, Reliance Capital has the following business interests:

Reliance Asset Reconstruction is the premier asset reconstruction
company, the principal sponsor/ shareholder of which is the Reliance ADA
group (through Reliance Capital Limited). As on March 31, 2014, the asset
base was over Rs. 680 crore (US$ 114 million)

8

Reliance Equity Advisors, is the Investment Manager of the Reliance
Alternative Investments
Fund - Private Equity Scheme 1 which is a private equity fund with the objective
of raising third party sector agnostic funds in addition to sponsor contribution and
make portfolio investments





International businesses

Reliance Asset Management (Singapore) Pte. Ltd. (RAMS) is a private limited
company with limited liability and is regulated by the Monetary Authority of Singapore
(MAS). RAMS holds a Capital Markets Services (CMS) license issued by MAS, for
carrying out fund management activities under the Securities and Futures Act (SFA).
It was set up as an offshore fund platform of Reliance Capital Asset Management
Limited in 2006 for managing/advising mandates from global institutional and
accredited investors. The core activity of RAMS is asset management focusing
on India equities, alternative & fixed income instruments. RAMS has in-house
capabilities to structure and manage customized mandates and new product
offerings to meet specific client requirements. RAMS is also a registered Foreign
Institutional Investors (FII) with Securities & Exchange Board of India.



Reliance Securities Ltd

Reliance Securities, the broking arm of Reliance Capital is one of the Indias leading retail
broking houses, providing customers with access to equities, derivatives, currency, IPOs,
mutual funds, bonds and corporate FDs. It also offers a secure online share trading platform
and investment activities in a secure, cost effective and convenient manner.

To enable wider participation, Reliance Securities also provides the convenience of trading
offline through variety of means, including Call and Trade, Branch Dealing Desks and
network of affiliates.

Reliance Securities is one of Indias leading retail broking houses with over 7 lakh customers
and a pan India presence at more than 1,700 locations.

Reliance Securities Ltd (Reliance Securities), a Reliance Capital company is one of the leading
brokerage houses and distribution arms of the Reliance Anil Dhirubhai Ambani Group (RDAG).

9

The firm was established in 2005 and offers comprehensive services such as trading in equity,
derivatives, investment banking, portfolio management services (PMS), wealth management
services (WMS), research & distribution of financial products such as mutual funds, insurance
and IPOs among others. Reliance Securities is present in the currency and debt market segment
as well.


Market & Network

Reliance Securities acquired memberships of the premium stock exchanges in India, namely
BSE and NSE in 2005 and 2006 respectively. It offers trading facilities in the cash and
derivatives market segment of both NSE and BSE. The company provides trading in the debt
market segment as well. It also acts as a DP with CDSL. Reliance Securities website
www.rsec.co.in also facilitates trading in commodities
for its partner company, Reliance Commodities Ltd which,holds memberships in NCDEX,
MCX and NMCE. Reliance Securities is headquartered in Mumbai with operations across all
major Indian cities. Majority of the companys terminals are located in Mumbai. It has a vast
network spread across 3,393 cities, with 116 offices, and 2,822 equity broking terminals
allocated to 2,943 registered sub-brokers.
As on Dec 31, 2009, Reliance Securities had 73 NEAT terminals, 40 BOLT terminals and 2,709
CTCL licenses. During the same period, the company added 1,84,550 client accounts of which
1,82,720 were e-broking accounts.


Products and services

Trading: Reliance Securities facilitates trading activities in all the major market segments
including, cash, derivatives, debt and currency futures.
The company offers online trading facility through its website, www.rsec.co.in. Reliance
Securities has recently migrated all its customers to its new trading platform, Insta Plus and
Insta Express. Apart from internet trading, customers are also provided with the option of
trading through the Call & Trade facility and through RSec.mobi, a personal mobile phone
service. Clients can place and track their orders on BSE and NSE on a real time basis with
access to RSec.mobi. This facility is available to Reliance Securities trading account holders
across all mobile platforms independent of device, operator and the underlying
carrier technology. Investment Banking: Reliance Securities also offers Investment Banking
services.
Distribution of Financial Products: Reliance Securities is involved in the distribution of
financial products such as mutual funds, insurance and IPOs.

DEMAT Services: The company offers DEMAT services through Reliance Capital and is a
registered member with NSDL and CDSL.


10

PMS: Reliance Securities is a SEBI registered portfolio manager and offers customised services
to their client which is designed to meet their investment objectives. These services cover all
administrative aspects while providing periodic reporting to clients.


WMS: The Company makes available Wealth Management Solutions to its customers

Research: Reliance Securities offers research based services to its clients. Its research wing
encompasses 100 companies across 20 sectors. This division offers complete research solutions
on IPOs, mutual funds, economic research and other special reports and newsletters.

Insurance: Reliance Securities also provides a range of insurance products including life
insurance and general insurance through Reliance Composite Insurance Broking NRI Services:
NRI clients can place orders using the new their trading platform such as Insta plus and Insta
Express. NRIs can execute their securities transactions under the provisions of the RBI
guidelines for NRI Portfolio Investment Scheme (PIS).Future Plans Reliance Securities plans
for CY10 include offering new products to its clients. In the near future, the company also plans
to raise additional capital through the private placement route. During the above period, it plans
to add 100 terminals, open 20 new branches apart from adding 100,000 new
E-broking accounts. Additionally, it intends to recruit 250 more employees.




Reliance Mutual Fund

Scheme
Reliance Liquidity Fund

Reliance Liquid Fund Treasury Plan

Reliance Money Manager Fund

Reliance Liquid Cash Plan

Reliance Floating Rate Fund Short Term Plan

Reliance Short Term Fund

Reliance Medium Term Fund




The following are the various MFs of Reliance: Reliance Liquidity Fund, Reliance Liquid Fund-
Treasury Plan, Reliance Money Manager Fund and Reliance Liquid Cash Plan.

11


Asset Management Company and Fund Details
The above funds are mutual fund schemes of Reliance Mutual Fund (RMF) and are managed by
Reliance Capital Asset Management Limited. Reliance Capital Asset Management Ltd is a
wholly owned subsidiary of Reliance Capital Limited. The average assets managed by the AMC
stood at Rs
80,694 crores for the quarter ended June 30, 2012.

Launched in June 2005, Reliance Liquidity Fund is on open-ended liquid scheme with high
liquidity with a stated objective to generate optimal returns consistent with moderate levels of
risk and high liquidity with investments predominantly in Debt and Money Market Instruments.
The funds corpus stood at Rs. 7347 crore as on July 31, 2012 and had an average residual
maturity of around 1 month as on that date. The fund continues to maintain a high proportion of
its investments rated at highest credit quality and an average residual maturity of around 1-2
months in the recent past. The fund house manages the portfolios such that it meets the criteria
to qualify for the [ICRA]A1+ mfs rating.

Launched in March 1998, Reliance Liquid Fund-Treasury Plan is on open-ended liquid scheme
with a stated objective to generate optimal returns consistent with moderate levels of risk and
high liquidity with investments predominantly in Debt and Money Market Instruments. The
funds corpus stood at Rs. 9564 crore as on July 31, 2012 and had an average maturity of around
1 month as on that date. The fund house manages the portfolios such that it meets the criteria to
qualify for the [ICRA]A1+ mfs rating.


Launched in March 2007, Reliance Money Manager Fund is an open ended scheme with a
stated investment objective of the fund to generate optimal returns consistent with moderate
levels of risk and liquidity by investing in debt securities and money market securities. The fund
had assets under management of Rs 10,322 crore as on July 31, 2012 with an average residual
maturity of around 2 months. The fund house manages the portfolios such that it meets the
criteria to qualify for the [ICRA]A1+mfs rating.

Launched in November 2003, Reliance Liquid Cash Plan is an open ended fund with an
objective to to generate optimal returns consistent with moderate levels of risk and high
liquidity. Accordingly, investments are predominantly made in Debt and Money Market
Instruments. The funds corpus stood at Rs. 599 crore as on July 31, 2012 and had an average
residual maturity of less than 1 month as on that date. The fund house manages the portfolios
such that it meets the criteria to qualify for the [ICRA]A1+ mfs rating.

Launched in September 2004, Reliance Floating Rate Fund Short Term Plan is an open-ended
income scheme with a stated investment objective to generate regular through investment in a
portfolio comprising substantially in floating rate debt securities. The funds assets under
management stood at Rs. 692 crore as on July 31, 2012 and had an average maturity of around

12

11 months as on that date. The fund house manages the portfolios such that it meets the criteria
to qualify for the [ICRA]AAAmfs rating.

Launched in December 2002, Reliance Short Term Fund is an open-ended income scheme with
a stated investment objective to generate stable returns for investors with short-term investment
horizon by investing in fixed income securities of short-term maturity. The funds corpus stood
at Rs. 1,719 crore as on July 31, 2012 and had an average maturity of around 1.7 years as on
that date. The fund house manages the portfolios such that it meets the criteria to qualify for the
[ICRA]AAAmfs rating.

Reliance Medium Term Fund is an open ended income scheme launched in September 2000
with no assured returns. The objective of the plan is to generate regular income in order to make
regular dividend payments to unit holders and the secondary objective is growth of capital. The
funds corpus stood at Rs. 2,019 crore as on July 31, 2012 and had an average maturity of
around 6 months as on that date. The fund house manages the portfolios such that it meets the
criteria to qualify for the [ICRA]AAAmfs rating.


























13

THE PROJECT

Title: A Study on THE PERFORMANCE AND INVESTORS OPENION
ABOUT Reliance Mutual Fund.

Introduction: The performance of Reliance Mutual Funds

Background
Mutual fund companies have prospered because of a continuing bull market, which means that investors
Aug be able to share their fund company's gains even if their stock funds have done poorly in 2000.
Mutual fund companies have done so well largely because they levy a fixed charge on the assets they
manage, and the more assets they manage, the more money they make. Investment Company Institute
statistics indicate that investors poured $212 billion into stock funds in 1st half 2000 alone. The industry
is collecting management fees on $7.1 trillion in assets.

To understand the performance and benefits of mutual funds. The mutual fund industry has to now take
the more difficult but long-term sustainable route of gathering assets from individual investors by
providing them value added, financial planning services and ensuring that mutual funds are an integral
part of their overall portfolio. The Indian mutual fund industry has shown relatively slow growth
in the period FY 10-13 growing at a CAGR of approximately 3.2 per cent. Average (AUM) stood
at ~ INR 8,140 billion as of September 2013. However, AUM increased to ~ INR 8,800 billion as
of December 2013

Fig. 1: Growth in the AUM



14

Lackluster stockmarket performance, rising inflation and anticipation of a rise in interest rates has led
to a tapering of growth in the Indian mutual fund industry in the recent years
Growth In Markets





In comparison to global markets, Indias AUM penetration as a per cent of GDP is between 5-6 per cent
while it is around 77 per cent for the U.S., 40 per cent for Brazil and 31 per cent for South Africa.

Despite the relatively low penetration of mutual funds in India, the market is highly concentrated.
Though, there are 44 AMCs operating in the sector, approximately 80 per cent of the AUM is
concentrated with 8 of the leading players in the market. There have been recent instances of
consolidation in the market and market concentration is expected to remain in the near-term.










15

Fig 2 Market Share of Leading Mutual funds








Performance of Reliance Mutual fund

Example: Reliance Top 200 Fund - Retail Plan (G Reliance Money Manager Fund)

The scheme is ranked 1 in Ultra Short Term Debt category by Crisil (for quarter ended Mar 2014)
rank unchanged from last quarter. If you are already invested in this scheme, you Aug continue to stay
invested.


16








17





Investment Objective
The primary investment objective of the scheme is to seek to generate long term capital appreciation by
investing in equity and equity related instruments of companies whose market capitalization is within the range
of highest & lowest market capitalization of BSE 200 Index. The secondary objective is to generate consistent
returns by investing in debt and money market securities.
Scheme details
Fund Type Open-Ended
Investment Plan Growth
Launch date Mar 20, 2007
Benchmark CRISIL Liquid Fund
Asset Size (Rs cr) 5,330.04 (Jun-30-2014)
Minimum Investment Rs.5000
Last Dividend N.A.
Bonus N.A.
Fund Manager Amit Tripathi / Anju Chhajer
View performance of schemes managed by the Fund Manager
Notes Reliance Liquid Plus Fund renames as Reliance Money Manager Fund with the
effect from 11 February 2009.






18

Background to the Problems

Key Challenges:

Despite the presence of various alternative channels in the industry, the distribution network still lacks
proper strength and faces many challenges. All the channels have a common concern of lack of
adequate investor education and financial literacy among investors.

Discouraging norms for IFAs

IFAs have the potential to widen the distribution network and expand the reach on a sustainable basis.
As indicated in the chart above, IFAs have comparatively performed well beyond the top 15 cities.
However, not much has been done to strengthen this channel. In fact, the new slew of norms and
regulations have put pressure on further evolution of this channel e.g. Abolishing of entry loads etc.
One of the major threats to IFAs arises out of direct plan option for investors. With SEBI
incentivizing the direct plans in 2012, it would be detrimental to the business of the IFA if investors
shift their focus to direct plans. To retain clients and prevent them from opting for direct plans, the
quality of advice and service has to be improved. Their approach needs to be more service oriented
rather than transaction oriented.

Channel Product Alignment

Distribution channels fail to market the MF products properly. They need to customize the product
delivery system, and make it investor-oriented. Introducing a scheme in a semi-urban or a rural zone
depends on the needs of the investors and IFAs are better than the rest of the channels in
understanding the varied needs of the investors.

Investor mentality

India is still a relatively under penetrated market when it comes to paying for financial advice. Most
investors are not comfortable paying a fee when it comes to receiving financial advice and even more
so in years where the market sees greater volatility and when there may be Potential losses on
investments. In the past, HNIs who have the knowledge and wherewithal to appoint someone to
manage their finances have paid for advice. However, in the mass affluent segment, paying for advice
still remains a relatively nascent concept.

Lack of investor awareness

As opposed to developed markets, financial awareness and literacy of the average Indian investor is
relatively low. Given the propensity of the Indian investor to prefer savings in physical form like real
estate, housing and gold, investments in MF instruments are relatively low compared to these other
instruments. MF instruments constituted ~3% of Indian financial assets as opposed to gold and real
estate which contributed ~46% of financial assets. Increasing awareness to promote MF investment
will remain a key challenge

.
Blurred lines between the adviser and distributor

19


While SEBI has tried to draw a line between advisers and distributors, there may still be some
potential grey areas. Advisers can still earn commissions and their investors may not be aware of the
same. Furthermore, distributors also provide informal advice to investors, while still receiving
commissions from product manufacturers which are not in line with the regulations by SEBI
Emergence of Alternate Channels

Over the last few years, Indian mutual fund industry has grown at a rapid pace until global financial
crisis of 2008. The various distribution channels that have evolved over the years for the asset
management companies (AMCs) include:

National and regional distributors
Banks
Independent Financial Advisors
Direct selling

Further, apart from these channels, AMCs are also leveraging the extensive reach of the India Post,
which has a large investor base and branches spread across India. However, the potential is not fully
utilised yet. The post offices remarkable presence in both urban and rural India has substantial sales
potential and could emerge as an effective sales channel in the future.
National and regional distributors historically have constituted this traditional channel for selling
mutual funds. While banks and the national distributors target mostly wealthy and corporate clients,
the regional distributors, IFAs and India Post primarily target regular retail investors. Direct and IFA
channels could remain key to unlocking growth in terms of sourcing equity inflows from outside the
B-15 cities.


Objectives

1. The performance of Reliance Mutual Funds
2. Investors opinion about Reliance Mutual Funds



Scope

This project report includes the opinions of people who have invested in Reliance mutual
funds. The analysis is done on the basis the primary data obtained from the responses with
the help of questionnaire. The geographical area covered in this project is of Kolkata and
Howrah. Only Reliance MFs are considered discarding others.





RESEARCH METHODOLOGY

20


The research design for the study is descriptive in nature. The researcher collected primary data from
the investors living in Kolkata and invested in MF schemes during the period between June 2011 and
July, 2014 through a structured questionnaire. The sample size covered 250 small investors of Kolkata
who were spread through five different business centers in the city. The important center, where large
numbers of MFs investors are available, are identified for this study using Purposive Sampling Method.
In order to collect referred information from the investors, the sampling design was carefully decided
and properly chosen for the study.
From each identified Investment Centre, Reliance centers were chosen. Thus, this study was based on
the responses by 250 selected respondents. To analyses the primary data simple statistical tools like
percentage method, cross tabulation and Chi-Square analysis were used. Further, to study the opinion
of the MF investors regarding the problems of Mutual Fund investment with five point scale viz.
Strongly Agree -4, Agree -3, Neutral -2, Disagree-1, Strongly Disagree -0. Similarly to study the factors
affecting investors perception towards mutual funds four point scale is fitted and again to study the
factors influencing with the MFs, three point scales is fitted.

DATA COLLECTION, ANALYSIS AND INTERPRETATION

Table 1 shows the gender composition of the sample investors of the MF. Out of the 250 respondents,
76.80 % of the respondents were male and 23.20 % of the respondents were female. It is observed that
the predominant age group of the respondents was 35-45 years. A good majority of the respondents
were in the age group 45-55 years. 20 % and 9.60 % of the investors were in the age groups
up to 35 years and 55 and above years respectively. A predominant literacy group (72%) of
the respondents was distributed in graduation qualification. A good majority of the remaining
respondents were distributed in the degree qualifications. 8 % and 8.80 % of the investors have 12
th
Std./Diploma and up to 12
th
Std. qualifications respectively. Out of the 250 respondents, 81.60 % of
the respondents were employed. 9.60 % and 8.80 % of the respondents were business and
profession respectively. It is observed from the above table that 47.20 % of the sample investors made
investment in MFs about Rs.25, 000 to 40,000. 12.80 % of the respondents made investment about up
to Rs.15, 000. 26.40 % of the respondents made investment about Rs.15,000 to 25,000. 13.60 %
of the respondents made investment about Rs.40, 000 and above. The income distribution of the
sample investors of MFs in Kolkata reveals that 30.40%, 33.60%, 24.80% and 11.20% of the
respondents were in the income range up to Rs.10000, Rs.10000-20000, Rs.20000-30000 and
Rs.30000 and above respectively.














21

Table 1. Personal Information of Respondents

Personal Information Number of Respondents %age
Gender
Male 192 76.8
Female 58 23.2
Total 250 100
Age
>35 Yrs 50 20
35yrs- 45 Yrs 112 44.8
45Yrs- 55Yrs 64 25.6
<55Yrs 24 9.6
Total 250 100
Educational Qualifications
>12 std 22 8.8
12 std/Diploma 20 8
Degree 180 72
Masters 28 11.2
Total 250 100
Occupation
Business 24 9.6
Profession 22 8.8
Employed 204 81.6
Total 250 100
Amount of Investment
>Rupees15000 32 12.8
Rupees 15000- 25000 66 26.4
Rupees 25000- 40000 118 47.2
< Rupees 40000 34 13.6
Total 250 100
Income
>Rupees 10000
76
30.4
Rupees 10000-20000
84
33.6
Rupees 20000-30000
62
24.8
<Rupees 300000
28
11.2
Total 250 100

Source: Primary Data






22

Table 2. Relationship between Gender and Satisfaction

Sl.
No.
Gender Level of Satisfaction Total Calculated
value
Table value
at 5%
Significance
Satisfied Partially
Satisfied
Dissatisfied
1


2
Male


Female


Total
84
(33.6)

26 (10.4)

110 (44)
62
(24.8)

72 (18)

82 (32.8)
46
(18.4)

12 (4.8)

58 (23.2)
192
(76.8)

58
(23.2)

250
(100)


11.72


5.99


Significant

Source: Primary Data



The calculated value of 2 test (11.72) is greater than the table value (5.99) at 5 % level of significance.
It is inferred that there is a significant relationship between the satisfaction level of male and female
respondents with the investment in MFs. Therefore, the null hypothesis is rejected.



Table 3. Relationship between Age and Satisfaction

Sl.
No.
Source of
Variation
Degree of
freedom
Sum of
Squares
Mean
Squares
Calculated
Value
Table
Value at
5%
Significance
1.


2.
Between
Groups

Within
Groups

Total
2


9


11
169.34


696.5


865.84
84.66


77.38


2.18


4.26


Not
Significant

Source: Primary Data



The calculated F value (2.18) is less than the table value (4.26) at 5 % level of significance.
The test proves that there is no significant relationship between the satisfaction levels of sample
investors belonging to different age groups with the investment in MFs in Nagaon. Therefore, the null
hypothesis is accepted.

Table 4. Relationship between Education and Satisfaction

Sl.
No.
Source of
Variation
Degrees
of freedom
Sum of
Squares
Mean
Squares
Calculated
Value
Table
Value at
5%
Significance

23

1.


2.
Between
Groups

Within
Groups

Total
2


9


11
169.34


3264.5


3433.84
84.66


362.72


2.46


4.26


Not
Significant

Source: Primary Data



The calculated F value (2.46) is less than the table value (4.26) at 5 % level of significance.
The test proves that there is no significant relationship between the satisfaction levels of investors
belonging to different educational status with the investment in MFs. Therefore, the null hypothesis is
accepted.




Table 5. Relationship between Occupation and Satisfaction

Sl.
No.
Source of
Variation
Degree of
freedom
Sum of
Squares
Mean
Squares
Calculated
Value
Table Value
at 5%
Significance
1.


2.
Between
Groups

Within
Groups

Total
2


6


8
225.76


4460.02


4685.78
112.88


743.34


0.30


5.14


Not
Significant

Source: Primary Data



The calculated F value (0.30) is less than the table value (5.14) at 5 % level of significance.
The test proves that there is no significant relationship between the satisfaction levels of investors
belonging to different occupations with the investment in MFs. Therefore, the null hypothesis is
accepted.

Table 6: Relationship between Amount of Investment and Satisfaction

Sl.
No.
Source of
Variation
Degrees of
freedom
Sum of
Squares
Mean
Squares
Calculated
Value
Table Value
at 5%
Significance
1.


2.
Between
Groups

Within
Groups

Total
2


9


11
169.34


852.5


1021.84
84.66


94.72


1.78


4.26


Not Significant

Source: Primary Data

24



The calculated F value (1.78) is less than the table value (4.26) at 5 % level of significance.
The test is not significant. This means there is no significant relationship between the respondents
belonging to different scale of investment with the MFs in Kolkata. Therefore, the null hypothesis is
accepted.



Table 7. Relationship between Income and Satisfaction

Sl.
No.
Source of
Variation
Degree of
freedom
Sum of
Squares
Mean
Squares
Calculated
Value
Table Value
at 5%
Significance
1


2
Between
Groups

Within
Groups

Total
2


9


11
169.34


404.5


573.84
84.66


44.94


2.88


4.26


Not
Significant

Source: Primary Data


The calculated F value (2.88) is less than the table value (4.26) at 5 % level of significance.
The test proves that there is no significant relationship between the satisfaction levels of the sample
investors belonging to different scale of investment with the investment in MFs. Therefore, the null
hypothesis is accepted.


Factors influencing with the Mutual Funds
It is observed from Table 8 that out of the 250 respondents, 44%, 32.80% and 23.20% of the respondents
were satisfied, partially satisfied and dissatisfied with the investment in MFs in Kolkata. The
satisfaction level of the sample investors with the earning from the investment of MFs in Kolkata
reveals that out of the 250 respondents, 52.80%, 25.60% and
21.60% of the respondents were satisfied, partially satisfied and dissatisfied respectively. Again, out
of the 250 respondents 57.60%, 59.60% and 12.80% of the respondents were satisfied, partially
satisfied and dissatisfied respectively with the capital gain. Further, out of the 250 respondents,
42.40%, 32.80% and 24.80% of the respondents were satisfied, partially satisfied and dissatisfied
with the liquidity.

Similarly, out of the 250 respondents,40.80%, 24% and 35.20% of the respondents were
satisfied, partially satisfied and dissatisfied respectively with the maturity. Again out of the 250
respondents, 46.40%, 37.60% and 16% of the respondents were satisfied, partially satisfied and
dissatisfied respectively with the diversification of risk. The satisfaction level of the sample investors
with the range of schemes in the investment of MFs shows that out of the 250 respondents, 39.20%,
27.20% and 33.60% of the respondents were satisfied, partially satisfied and dissatisfied respectively
with the range of schemes.



25

Further, from Table 8 it is observed that out of the 250 respondents, 40%, 32.80% and 27.20%
of the respondents were satisfied, partially satisfied and dissatisfied respectively with
the tax benefits. Again, out of the 250 respondents, 30.40%, 32.80% and 36.80% of the respondents
were satisfied, partially satisfied and dissatisfied respectively with the brokerage or sales commission.
Further, out of the 250 respondents, 44.80%, 29.60% and 25.60% of the respondents were satisfied,
partially satisfied and dissatisfied respectively with the investors safety and protection in the
investment of MFs. Moreover, out of the 250 respondents, 41.60%, 25.60% and 32.80% of the
respondents were satisfied, partially satisfied and dissatisfied respectively with the market
information. Finally, out of the 250 respondents, 60.80%, 27.20% and 12% of the respondents were
satisfied, partially satisfied and dissatisfied respectively with the reliability of investment in MFs.





Table 8. Factors Influencing with Private and Public Mutual Funds

Sl.
No.
Level of Satisfaction
(%age )
Satisfied Partially
satisfied
Dissatisfied Total
1.

2

3

4.

5

6


7.
Overall satisfaction

With the Return With
the capital gain With
the Liquidity With the
Maturity
With the
Diversification of Risk

With the Range of
Schemes
110 (41%)

132(52.8%)

144(57.6%)

106(42.4%)

102(40.8%)

116(46.4%)


98(39.2%)
88(32.8%)

64(25.6%)

74(39.6%)

82(32.8%)

60(24%)

94(37.6%)


68(27.2%)
58(23.2%)

54(21.6%)

32(12.8%)

62(24.8%)

88(35.2%)

40(16%)


84(33.6%)
250(100%)

250(100%)

250(100%)

250(100%)

250(100%)

250(100%)


250(100%)
8.

9.


10.


11.
With the Tax Benefits

With the brokerage
sales commission

With the safety
Protection

With the reliability
100(40%)

76(30.4%)


112 (44.8%)


152(60.8%)
82(32.8%)

82(32.8%)


74(29.6%)


68(27.2%)
68(27.2%)

92(36.8%)


64(25.6%)


30(12%)
250(100%)

250(100%)


250(100%)


250(100%)

Source: Primary Data




Objectives behind investing in Public and Private Sector Mutual Funds

Every investor has one or more objectives behind their investments in MFs. Without any investment
objective, the investment is considered as useless. According to Table 9 the main objective of the
respondents behind investing in MFs is the tax benefits offered by it followed by high return and

26

safety of the schemes. Therefore getting tax benefits from the scheme is the main motive of the investors
behind their investment in MFs.



Table 9. Objectives behind Investing in Mutual Funds

Factors Ranks and Scores Total
F(S)
Ranks
1 2 3 4 5 6 7 8
Expertise 9
(72)
15
(105)
20
(120)
25
(125)
23
(92)
37
(111)
53
(106)
68
(68)
250
(799)
8
Safety 47
(376)
44
(308)
25
(150)
24
(120)
42
(168)
30
(90)
25
(50)
13
(13)
250
(1275)
3
Liquidity 36
(288)
41
(212)
31
(186)
30
(150)
37
(148)
39
(117)
22
(44)
14
(14)
250
(1159)
5
Diversif
ication
17
(136)
30
(287)
27
(162)
21
(105)
31
(124)
42
(126)
38
(76)
44
(44)
250
(1060)
7
Tax
Benefit
58
(464)
45
(315)
53
(318)
35
(175)
28
(112)
23
(69)
4
(8)
4
(4)
250
(1465)
1
Regular
Income
14
(112)
35
(245)
48
(288)
51
(255)
39
(156)
38
(114)
15
(30)
10
(10)
250
(1210)
4
Regular
Savings
13
(104)
28
(196)
35
(210)
52
(260)
33
(132)
40
(120)
24
(48)
25
(25)
250
(1095)
6
High
Returns
48
(384)
26
(182)
38
(228)
39
(195)
44
(176)
25
(75)
14
(28)
16
(16)
250
(1284)
2

Source: Primary Data. Note: S- Scores Figures in parentheses are scores


Selection of Mutual Fund

Selection of scheme is also called as decision taken by investor. Table 10 defined that out of 250
investors mostly 34.8% investors selecting the MF by way of recommendation of friends and
relatives, 21.6% of investors selecting the MF of their fast growth, 12.8% of investors selecting the
MF of their high return and only 4.8% of investors are selecting MF for their attractive
advertisement. Hence, it conclude that the mostly investor selecting MF for their recommendation of
friends and relatives.

Table 10. Selecting Particular Scheme of Mutual Fund

Reasons No. of Investors Percentage
Fast growth 54
21.6
High return 32
12.8
Recommendation of Brokers 65
26
Attractive advertisement 12
4.8
Friends and relatives 87
34.8

Source: Primary Data


27

Problems in Mutual Fund Investment
Investors have some various problems; it is an obstacle which makes it difficult to achieve desired
goal, objectives or purpose. It refers to a situation condition or issue that is yet resolved. It could
be seen from Table 11 that less liquidity was the top most problem for invest in the MF. Less
security is ranked the second problem identified by the investors.

Lack of awareness is considered as the third important problem. Low earnings is considered as the
fourth important problem as revealed by the respondents. The difficult to select of investment facility
was ranked the next problem. The lock in period got the sixth position according to problem ranking
result. The slowly gradual growth of investment was the seventh important problem as pointed out
by the investors. In the views of the sample investors have too many formalities is last rank in MF
investment problem.


Table 11. Various Problems of Mutual Fund Investment

Opinion Strongly
Agree
Agree Neutral Disagree Strongly
Disagree
Total
Score
Mean Rank
Less
Liquidity
90
(450)
122
(488)
24
(72)
8
(16)
6
(6)
1032 4.13 I
Lock in
Period
50
(250)
64
(256)
92
(276)
34
(68)
10
(10)
860 3.44 VI
Difficult
to select
62
(310)
64
(256)
72
(216)
42
(84)
10
(10)
876 3.50 V
Less
Secured
84
(420)
126
(504)
26
(78)
8
(16)
6
(6)
1024 4.10 II
Lack of
Awareness
44
(220)
120
(480)
58
(174)
20
(40)
8
(8)
922 3.69 III
Too Many
Formality
26
(130)
24
(96)
40
(120)
72
(144)
78
(78)
568 2.27 VIII
Low
earnings
36
(180)
130
(520)
40
(120)
32
(64)
12
(12)
896 3.58 IV
Slow
Growth
30
(150)
48
(192)
68
(204)
62
(124)
42
(42)
712 2.85 VII

Source: Primary Data



Factors Affecting Investors Perception towards Mutual Funds

The perceptions of various investment strategy dimensions and the factors motivating fund investment
decisions are very important to bring out a proper conclusion and in this context, it becomes crucial to
understand the psychological and economic factors that influence the level of satisfaction of the
investors. To understand the factors influencing investors perception towards MFs, the factors
identified and considered to compare between perceptions of public and private sector MFs
investors are Liquidity, Flexibility, Management fee, Tax benefits, Service Quality, Returns,
Transparency and Security. Chi- square test is applied to test and analyse their significance and
importance attached in selection of MFs in public and private sectors. Below analysis gives a perusal
view of the hypothesis framed, the results of the test and inferences drawn from it.


28

Ho: Perception of public and private sector MF investors are independent of liquidity factor. It is
observed from the descriptive statistics that the chi square value is X
2
= 25.460 while the tabulated
value is X
2
4.005
= 9.488. Thus, Ho hypothesis is rejected and it can be said that the perceptions of
public and private sector MF investors are not independent of liquidity factor.


Ho: Perception of public and private sector MF investors are independent of flexibility
factor.
It is observed from the descriptive statistics that the chi square value is X
2
= 9.534 while the tabulated
value is X
2
4.005
=9.488. Thus, Ho hypothesis is rejected and it can be said that the perceptions of public
and private sector MF investors are not independent of flexibility factor.

Ho: Perception of public and private sector MF investors are independent of management
fee factor.
It is observed from the descriptive statistics that the chi square value is X
2
= 7.326 while the tabulated
value is X
2
4.005
= 7.815. Thus, Ho hypothesis is accepted and it can be said that the perceptions of
public and private sector mutual fund investors are independent of management fee factor.

Ho: Perception of public and private sector MF investors are independent of tax saving factor.
It is observed from the descriptive statistics that the chi square value is X
2
= 16.275 while the tabulated
value is X
2
4.005
= 9.488. Thus, Ho hypothesis is rejected and it can be said that the perceptions of
public and private sector MF investors are not independent of tax saving factor.

Ho: Perception of public and private sector MF investors are independent of service quality factor.
It is observed from the descriptive statistics that the chi square value is X
2
= 28.391 while the tabulated
value is X
2
4.005
=9.488. Thus, Ho hypothesis is rejected and it can be said that the perceptions of public
and private sector MF investors are not independent of service quality factor.

Ho: Perception of Public and private sector MF investors are independent of return on income
factor.
It is observed from the descriptive statistics that the chi square value is X
2
=6.574 while the tabulated
value is X
2
4.005
=9.488. Thus, Ho hypothesis is accepted and it can be said that the perceptions of
public and private sector MF investors are independent of return on income factor.

Ho: Perception of public and private sector MF investors are independent of transparency
factor.
It is observed from the descriptive statistics that the chi square value is X
2
= 11.622 while the tabulated
value is X
2
4.005
=9.488. Thus, Ho hypothesis is rejected and it can be said that the perceptions of public
and private sector MF investors are not independent of transparency factor.
Ho: Perception of public and private sector MF investors are independent of security factor.
It is observed from the descriptive statistics that the chi square value is X
2
= 4.314 while the tabulated
value is X
2
4.005
=9.488. Thus, Ho hypothesis is accepted and it can be said that the perceptions of
public and private sector MF investors are independent of security factor.

From the analysis it is clear that the significantly influencing factors on the investment made by the
investors of public and private sector MFs are liquidity, flexibility, savings on tax, service quality and
transparency. As per the above analysis, at 5% significant level and at 4 degrees of freedom, the
calculated values of all these factors were greater than the table values, which implies that the
perception of investors are dependent on these factors and there is no significant difference in the

29

opinion of both the public and private sectors MF investors. As far as the other factors like management
fee, return on income and security are concerned, there is a significant difference in the perceptions
of the investors of the public and private sector MFs and needs to be concentrated on.

Management fee is the minimum fee charged by the AMC for floating different investment schemes,
and from the study the investors opine that private sector MF companies charge more fees compared
to that of public sector MF companies and thus there is dissatisfaction regarding this factor among the
private sector investors. Hence, fund manager of the private sectors should concentrate on this aspect
and try to come up to the expectations of the investors and maintain the costs at low level similar to
that of public sector MFs. Investors investment in any particular fund scheme of MFs depends upon
anticipated return that will accrue from that particular investment. The analysis shows that there is a
significant difference in the perception of the investors of public and private sector MFs and feel that
the returns from the public sector are not satisfactory and upto their expectations. It is a known fact that
most of the public sector MF companies invest in safe instruments which have less returns but surer
returns, where as the private sector MF companies invests in equities which are highly risky but get
greater returns . So this can be the differentiating factor in the perceptions of the investors. Therefore
requisite steps should be taken by the public sector MF companies to develop such schemes which
will ultimately satisfy the investors by giving appropriate returns. Security is one area where investors
like to bank on. The main reason behind saving and investing in any of the financial investments is to
secure for the future. As per the analysis it is quite evident that there is a significant difference in the
perception of the investors on public and private sector MFs. The investors of the public sector feel
more secured compared with that of private sector MFs even though the returns are not that much
expected because they feel that the public sector MFs are well regulated and are less risky compared
to that of private sector MFs. This Aug be due to lack of awareness or very cautious nature of the
investors as many of the investors are risk averters. Therefore the investors should be well educated
with the dos and donts of investment.



















30

CONCLUSION

It is concluded that the Reliance MFs business in Kolkata is still in as embryonic stage. So, concerted
efforts are needed for its success. The success depend upon high returns, professional competence of
Fund managers, a MF brings together a group of people and invests their money in stocks, bonds
and other securities, it have so many advantages such as professional management, economics of scale.
The MF should be easy to buy and sell through broker or directly in the market. It also has some draw
backs such as low awareness, too many formalities, difficult to select. Finally, the MF should be great
transparency, prudent accounting norms, less transaction cost, low management fees. It is very attractive
between sub urban and rural areas, it have innovative schemes and efficient administrative system.
The present study analyses the MF investments in relation to investors behavior. Investors opinion
and perception has been studied relating to various issues like type of MF scheme, main objective
behind investing in MF scheme, level of satisfaction, role of financial advisors and brokers,
investors opinion relating to factors that attract them to invest in mutual funds, sources of
information, deficiencies in the services provided by the mutual fund managers, challenges before
the Indian mutual fund industry etc. This study is very important in order to judge the investors
behavior in a market like India, where the competition increases day by day due to the entry of
large number of players with different financial strengths and strategies. The present investigation
outlined that mostly the investors have positive approach towards investing in MF.

MFs have emerged as an important segment of financial markets and so far have delivered value to the
investors. The study reveals that the investors perception is dependent on the demographic profile and
assesses that the investors age, marital status and occupation has direct impact on the investors choice
of investment. The study further reveals that female segment is not fully tapped and even there is low
target on higher income group people. Hence, fund managers should take steps to tap the female
segment and higher income group segment to enhance more investment in MF Investment Avenue
which would really help the industry to flourish. Further, the findings of the research were on the factors
influencing investors perception on public private MFs. It reveals that liquidity, flexibility, tax
savings, service quality and transparency etc. are the factors which have a higher impact on
perception of investors. These factors give them the required boosting in the investment process.
Therefore, it becomes imperative on part of the fund managers to enhance these features for attracting
more investors and also to retain the trust, the investors have in them.
















31


FINDINGS

80% of the respondents treat Mutual Fund as an investment option


While dealing with the investor, it is found that service people are more Interest in
Mutual Fund.


Business sector feels that Mutual Fund is an important criterion in their field of work.


33% of investor's objective in Mutual Fund is for the benefit of their children, 26%
for the purpose of tax benefits, and 12% for the purpose of creation of the assets.

36.56% investors feel that investment is for children benefit & return in Mutual
Funds., 20.14% Investors would like to save in insurance, 24.8% Investors would like
to save in deposit / bond, 12.43% Investors would like to save in Post office, 4.47%
Investors would like to save in share market, 1.44% Investors prefers others.

Income group which opts for insurance as an investment option is between 1Iakhs-
2Iakhs.

The investors would like to invest their money where they would get more Security

The willingness to take up Mutual Fund as an investment option is independent of
the occupation of the respondents.

Mutual Fund objectives and respondents categories are found to be independent.





32


RECOMMENDATIONS

The performance of the Reliance mutual fund depends on the previous years Net Asset
Value of the fund. All schemes are doing well. But the future is uncertain. So, the AMC
(Asset under Management Companies) should take the following steps: -

The people do not want to take risk. The AMC should launch more diversified funds
so that the risk becomes minimum. This will lure more and more people to invest in
mutual funds.

The expectation of the people from the mutual funds is high. So, the portfolio of the fund
should be prepared taking into consideration the expectations of the people.

Try top reduce fund charges, administration charges and other charges which helps to invest
more funds in the security market and earn good returns.

Different campaigns should be launched to educate people regarding mutual funds.

Companies should give regular dividends as it depicts profitability.

Mutual funds should concentrate on differentiating the portfolio of their MF than their
competitors MF.

Companies should give handsome brokerage to brokers so that they get attracted towards
distribution of the funds.

As majority of the respondents are in service, this is the core market area to be concentrated
on.

Income group which opts for investment in Mutual Fund sector is below 2Lakhs. It is suggested
that while marketing, this segment to be considered with great concern.

From the findings, it is found that, the security is the main criteria for the investors. It is
suggested that this aspect would be reinforced while accessing the investor.


33

It is found that period of investment of the investor is more only during the year ending. It
would be easy to tap the investor, .if the promoter concentrates during this period.

While dealing with the prospective investors business people could be attracted with more
schemes which focus on their increasing return.

Tax benefits occurring out of investing from insurance must be highlighted in the service
sector.

Professionals are not benefited with pension, since most of them are in private sector. So the
one, who promotes the product in this sector should tap the schemes which would benefit to
their family and their children.

As 80%of the respondents think Mutual Fund as an investment, the company can bring more
Mutual Fund products to suit needs of the investor.





























34

Appendix


QUESTIONNAIRE FOR ANALYZING PERFORMANCE OF RELIANCE MUTUAL FUNDS AS
INVESTMENT OPTION

1. NAME:
2. DATE OF BIRTH:
3. SEX:
4. ADDRESS: PHONE NO : EMAIL- ID :
_______________________ __________________________
_________________________
_______________________ __________________________
_________________________

5. OCCUPATION
Service Business Others

6. NAME OF THE COMPANY:
DESIGNATION:

7. ANNUAL INCOME

Below Rs 1, 00,000 Rs. 1, 00,000 2, 00,000 Rs 2, 00,000 - 3, 00,000
Rs. 3, 00,000 4, 00,000 Rs 4, 00,000 & Above

8. NO. OF DEPENDENT
2 3 4 Above 4

9. RATE THE FACTOR THAT YOU LOOK AT IN AN INVESTMENT
Rate of return Liquidity Tax benefit Security

10. YOU LIKE TO SAVE IN
Mutual Fund Share Market Deposit/Bonds
Insurance Post Office Savings Others (please specify)

11. WHO INFLUENCE YOU IN YOUR INVESTMENT DECISION
Family Friends Advertisements
Articles Auditors Others

12. MODE OF INVESTMENT (OR) PERIOD OF INVESTMENT
Monthly Quarterly Half-yearly Annually

13. OBJECTIVES OF INVESTMENT
Children's Education/marriage Tax Benefits
Returns Others

14. PERCENTAGE OF SAVING FROM INCOME

35

0-10% 10%-20% 20%-30%
30%-40% Above 40%

15. DO YOU THINK MUTUAL FUND IS AN OPTION OF INVESTMENT
Yes No

16. RATE YOUR INVESTMENT OBJECTIVES IN MUTUAL FUND
Tax Benefit Risk Cover
Creation of an asset Children's Benefits

17. ARE YOU AWARE OF RELIANCE MUTUAL FUND
Yes No

19. Which MUTUAL FUND have you invested in?
Reliance Others


20. DO YOU REQUIRE A PERSONAL SALES EXECUTIVE OF RELIANCE MUTUAL FUND MEET YOU
TO SUGGEST THE BEST SCHEME THAT SUITE YOU FROM SBI MUTUAL FUND.
Yes No

21. IF YES,
Meet Call Mail

22. How would rate the service of Reliance MFs? (on a scale of 1-5; 1-satisfactory to 5-excellent)

1 2 3 4 5

23. How fast is the response to your query?
1 2 3 4 5
24. Would you suggest your friends for Reliance MFs?
Yes No

25. What do you look for before investing in MFs?
Expertise Safety Liquidity Diversification Tax Benefit Income Savings High
Returns

26. What problems do you face during investing in MFs?

Less Liquidity Lock in Period Low Security Lack of Awareness More
Formality
Low earnings Slow Growth




36

List of Abbreviations

AMC Asset Management Company
AMFI Association of Mutual Funds of India
AUM Assets Under Management
B2B Business To Business
B2C Business To Consumer
BDA Business Development Associate
CAGR Compounded Annual Growth Rate
FPSB Financial Planning Standards Board
GDP Gross Domestic Product
HNI High Networth Individual
IFAs Independent Financial Advisers
KRA Know Your Customer Registrar Agency
KYC Know Your Customer
MNI Medium Networth Individuals
MF Mutual Fund
NACH National Automated Clearing House
NISM National Institute of Securities Markets
PAN Permanent Account Number
PIN Personal Identification Number
RGESS Rajiv Gandhi Equity Savings Scheme
SRO Self Regulatory Organization
SEBI Securities Exchange Board of India
TER Total Expense Ratio
UTI Unit Trust of India





















37

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