A PROJECT REPORT

ON

COMPARATIVE STUDY OF EQUITY GROWTH MUTUAL FUND SCHEMES OF

VARIOUS MUTUAL FUND COMPANIES

AT

EDELWEISS BROKING LIMITED

SUBMITTED BY

ASHISH BALASAHEB SHINDE

UNDER GUIDANCE OF

DR.VARSHA GOYAL

SUBMITTED TO

SAVITRIBAI PHULE UNIVERSITY

INPARTIAL FULFILLMENT OF

MASTERS OF BUSINESS ADMINISTRATION

THROUGH

DNYANSAGAR INSTITUTE OF MANAGEMENT AND RESEARCH BALEWADI,

PUNE

BATCH (2018-2020)

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 Acknowledgement

I take this opportunity to express my sincere gratitude to all who have directly and indirectly
contributed to the completion of my project.

The constant guidance and encouragement received from Dr. Sajid Alvi, Director has been
of great help in carrying out the project work and is acknowledged with reverential thanks I
heartily thank my internal guide, Dr. Varsha Goyal for her continuous guidance and
suggestions during this project work.

I wish to thank Mr. kaushik Mantri who gave me an opportunity to complete my summer
internship in Edelweiss broking limited.

I am thankful and fortunate enough to get constant encouragement, support and guidance
from all faculty members who helped me in successfully completing my project. Also I
would like to extend my sincere esteems to placement cell of Dnyansagar Institute of
Management And Research, Balewadi.

Lastly I am grateful to my parents who have been my mentors and motivators. I am also
thankful to all my batch mate who have been directly or indirectly involved in successful
completion of this project.

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 Declaration

I, Ashish Balasaheb Shinde student of Dnyansagar Institute of Management And Research

Balewadi, Pune, I am hereby declare that this project is report entitled. “Comparative study
of equity growth mutual fund schemes of various mutual fund companies” is a genuine
and bonafide work presented by me under the guidance of Dr. Varsha Goyal.
Findings in this project are based on the data collected by me. The information in this
report is not copied from any other sources. I understand that any such copy is liable to be
punishment in a way that the university authorities deem fit.
Any reference to the work done by any other person or institution or any material
obtained from other sources that have been duly cited and referred. The project report is
submitted to the University of Pune for a partial fulfilment of the degree of Master of
Business Administration.

Dnyansagar Institute of Management signature of the student

And Research, Balewadi, pune

Name of the student

Date ……………….
Place……………….

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 INDEX

SR. TOPIC PAGE

NUMBER
NO

1 EXECUTIVE SUMMARY 6

2 OBJECTIVES OF THE STUDY 8

3 ORGANISATION PROFILE 10

4 RESEARCH METHODOLOGY 14

5 DATA ANALYSIS AND INTERPRETATION 17

6 FINDINGS 35

7 SUGGESTIONS 37

8 CONCLUSION 39

REFERENCES 41

ANNEXURE 43

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 EXECUTIVE SUMMARY

Now a day, there is a tough competition in financial revenues due to increase in the
investment products. People can get many investment options to invest their savings.
Selecting one from the many available options considering many associated factors is a very
complex process.
Edelweiss Mutual Fund is one of India's largest brokerage and securities distribution house in
India. It is considered to be one of the leading investment broking houses catering to the
needs of both institutional and non-institutional investor categories with presence of a
network of sub-brokers and authorized people across India.
In this project, Equity growth schemes of Mutual fund and their returns in various period of
time studied, which helped in knowing how the various schemes are performing and the
reasons behind it. This project focuses on risk associated with the various schemes and how
risk and returns are related. The Topic of study is “COMPARATIVE STUDY OF EQUITY
GROWTH MUTUAL FUND SCHEMES OF VARIOUS MUTUAL FUND COMPANIES”

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 Introduction

A mutual fund is a professionally managed investment fund that pools money from many

investors to purchase securities. These investors may be retail or institutional in nature.

Mutual funds have advantages and disadvantages compared to direct investing in individual
securities. The primary advantages of mutual funds are that they provide economies of scale,
a higher level of diversification, they provide liquidity, and they are managed by professional
investors. On the negative side, investors in a mutual fund must pay various fees and
expenses.

Primary structures of mutual funds include open-end funds, unit investment trusts,

and closed-end funds. Exchange-traded funds (ETFs) are open-end funds or unit investment
trusts that trade on an exchange. Some close- ended funds also resemble exchange traded
funds as they are traded on stock exchanges to improve their liquidity. Mutual funds are also
classified by their principal investments as money market funds, bond or fixed income funds,
stock or equity funds, hybrid funds or other. Funds may also be categorized as index funds,
which are passively managed funds that match the performance of an index, or actively
managed funds. Hedge funds are not mutual funds; hedge funds cannot be sold to the general
public as they require huge investments. They are more risky than mutual funds and are
subject to different government regulations. Mutual funds give small or individual investors
access to professionally managed portfolios of equities, bonds and other securities. Each
shareholder, therefore, participates proportionally in the gains or losses of the fund. Mutual
funds invest in a vast number of securities, and performance is usually tracked as the change
in the total market caps of the fund—derived by the aggregating performance of the
underlying investments.

Mutual Funds operate as collective investment vehicles (CIV) that pools resources by issuing
units to investors and collectively invests those resources in a diversified portfolio comprising
of stocks, bonds or money market instruments in accordance with the objectives mentioned in
the offer document issued for the purpose of pooling resources. The investors share the profit
or losses in proportion to their investments in the fund. The first ever Mutual Fund in India,
the Unit trust of India was set up in 1964. This was followed by entry of MFs supported by
public sector banks and insurance companies in 1987. The industry was opened for the
private players in 1993 providing Indian investors with a broader choice. Starting with an
asset base of Rs. 25 crore in 1964, the industry has grown exponentially.

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Mutual Funds are dynamic financial institutions, which play a crucial role in an economy
mobilizing a link between savings and the capital market. Therefore the activities of Mutual
Funds have both short and long term impact on the savings and capital markets and the
national economy. Mutual Funds thus assist the process of financial deepening and
intermediation. They mobilize Funds in the savings market and act as complementary to
banking, at the same time they also compete with banks and other financial institutions. In the
process stock market activities are also significantly influenced by Mutual Funds. The scope
and efficiency of Mutual Funds are influenced by overall economic fundamentals, the
interrelationship between the financial and real sector, the nature of development of the
savings and capital markets, market structure, institutional arrangements and overall policy
regime.
The MF industry in India is governed by the SEBI, which lay norms for MF and its Asset
Managing Companies (AMCs). A Mutual Fund is allowed to issue open-ended and closed-
ended schemes under a common legal structure. Respective Asset Management Companies
(AMC) manages mutual fund schemes. Different business groups/ financial institutions/
banks have sponsored these AMCs, either alone or in collaboration with reputed international
firms. Several international funds like Alliance and Templeton are also operating
independently in India. Many more international Mutual Fund giants are expected to come
into Indian markets in the near future.
Mutual Fund
A mutual fund is a type of financial vehicle made up of a pool of money collected from many
investors to invest in securities such as stocks, bonds, money market instruments, and other
assets. Mutual funds are operated by professional money managers who allocate the fund's
assets and attempt to produce capitals gains or income for the fund’s investors. A mutual
fund's portfolio is structured and maintained to match the investment objectives stated in its
prospectus.

The Basics of a Mutual Fund

Mutual funds pool money from the investing public and use that money to buy other
securities, usually stocks and bonds. The value of the mutual fund company depends on the
performance of the securities it decides to buy. So, when you buy a unit or share of a mutual
fund, you are buying the performance of its portfolio or more precisely, a part of the
portfolio's value. Investing in a share of a mutual fund is different from investing in shares of
stock. Unlike stock, mutual fund shares do not give its holders any voting rights. A share of a

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mutual fund represents investments in many different stocks (or other securities) instead of
just one holding. That's why the price of a mutual fund share is referred to as the net asset
value (NAV) per share, sometimes expressed as NAVPS. A fund's NAV is derived by
dividing the total value of the securities in the portfolio by the total amount of shares
outstanding. Outstanding shares are those held by all shareholders, institutional investors, and
company officers or insiders. Mutual fund shares can typically be purchased or redeemed as
needed at the fund's current NAV, which—unlike a stock price—doesn't fluctuate during
market hours, but is settled at the end of each trading day. The average mutual fund holds
hundreds of different securities, which means mutual fund shareholders gain important
diversification at a low price. Consider an investor who buys only Google stock before the
company has a bad quarter. He stands to lose a great deal of value because all of his dollars
are tied to one company. On the other hand, a different investor may buy shares of a mutual
fund that happens to own some Google stock. When Google has a bad quarter, she only loses
a fraction as much because Google is just a small part of the fund's portfolio.

Types of Mutual Funds

Mutual funds are divided into several kinds of categories, representing the kinds of securities
they have targeted for their portfolios and the type of returns they seek. There is a fund for
nearly every type of investor or investment approach. Other common types of mutual funds
are as follows

1. Based on Asset Class

a. Equity Funds

Primarily investing in stocks, they also go by the name stock funds. They invest the money
amassed from investors from diverse backgrounds into shares of different companies. The
returns or losses are determined by how these shares perform (price-hikes or price-drops) in
the stock market. As equity funds come with quick growth, the risk of losing money is
comparatively higher.

b. Debt Funds

Debt funds invest in fixed-income securities like bonds, securities and treasury bills – Fixed
Maturity Plans (FMPs), Gilt Fund, Liquid Funds, Short Term Plans, Long Term Bonds and
Monthly Income Plans among others – with fixed interest rate and maturity date. Go for it,

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only if you are a passive investor looking for a small but regular income (interest and capital
appreciation) with minimal risks.

c. Money Market Funds

Just as some investors trade stocks in the stock market, some invest in the money market, also
known as capital market or cash market. The government, banks or corporations usually run
it by issuing money market securities like bonds, T-bills, dated securities and certificates of
deposits, among others. The fund manager invests your money and disburses regular
dividends to you in return. If you opt for a short-term plan (13 months max), the risk is
relatively less.

d. Hybrid Funds

Hybrid Funds (Balanced Funds) is an optimum mix of bonds and stocks, thereby bridging the
gap between equity funds and debt funds. The ratio can be variable or fixed. In short, it takes
the best of two mutual funds by distributing, say, 60% of assets in stocks and the rest in
bonds or vice versa. This is suitable for investors willing to take more risks for ‘debt plus
returns’ benefit rather than sticking to lower but steady income schemes.

2. Based on Structure

Mutual funds can be categorized based on different attributes (like risk profile, asset class,
etc.). Structural classification – open-ended funds, close-ended funds, and interval funds – is
broad in nature and the difference depends on how flexible is the purchase and sales of
individual mutual fund units.

a. Open-Ended Funds

These funds don’t have any constraints in a period or a number of units – an investor can
trade funds at their convenience and exit when they like at the current NAV (Net Asset
Value). This is why the unit capital continually changes with new entries and exits. An open-
ended fund may also decide to stop taking in new investors if they do not want to (or cannot
manage significant funds).

b. Closed-Ended Funds

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Here, the unit capital to invest is fixed beforehand, and hence, they cannot sell a more than a
pre-agreed number of units. Some funds also come with an NFO period; wherein there is a
deadline to buy units. It has specific maturity tenure, and fund managers are open to any fund
size, however large. SEBI mandates investors to be given either repurchase option or listing
on stock exchanges to exit the scheme.

c. Interval Funds

This has traits of both open-ended and closed-ended funds. Interval funds can be purchased
or exited only at specific intervals (decided by the fund house) and are closed the rest of the
time. No transactions will be permitted for at least 2 years. This is suitable for those who
want to save a lump sum for an immediate goal (3-12 months).

3. Based on Investment Goals

a. Growth Funds

Growth funds usually allocate a considerable portion in shares and growth sectors, suitable
for investors (mostly Millennial) who have a surplus of idle money to be distributed in riskier
plans (albeit with possibly high returns) or are positive about the scheme.

b. Income Funds

This belongs to the family of debt mutual funds that distribute their money in a mix of bonds,
certificate of deposits and securities among others. Helmed by skilled fund managers who
keep the portfolio in tandem with the rate fluctuations without compromising on the
portfolio’s creditworthiness, Income Funds have historically earned investors better returns
than deposits and are best suited for risk-averse individuals from a 2-3 years perspective.

c. Liquid Funds

Like Income Funds, this too belongs to the debt fund category as they invest in debt
instruments and money market with tenure of up to 91 days. The maximum sum allowed to
invest is RS 10 lac one feature that differentiates Liquid Funds from other debt funds is how
the Net Asset Value is calculated – NAV of liquid funds are calculated for 365 days
(including Sundays) while for others, only business days are calculated.

d. Tax-Saving Funds

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ELSS or Equity Linked Saving Scheme is gaining popularity as it serves investors the double
benefit of building wealth as well as save on taxes – all in the lowest lock-in period of only 3
years. Investing predominantly in equity (and related products), it has been known to earn
you non-taxed returns from 14-16%. This is best-suited for long-term and salaried investors.

e. Aggressive Growth Funds

Slightly on the riskier side when choosing where to invest in, the Aggressive Growth Fund is
designed to make steep monetary gains. Though susceptible to market volatility, you may
select one as per the beta (the tool to gauge the fund’s movement in comparison with the
market). Example, if the market shows a beta of 1, an aggressive growth fund will reflect a
higher beta, say, 1.10 or above.

f. Capital Protection Funds

If protecting your principal is your priority, Capital Protection Funds can serve the purpose
while earning relatively smaller returns (12% at best). The fund manager invests a portion of
your money in bonds or CDs and the rest in equities. You will not incur any loss. However,
you need least 3 years (closed-ended) to safeguard your money, and the returns are taxable.

g. Fixed Maturity Funds

Investors choose as the FY ends to take advantage of triple indexation, thereby bringing
down tax burden. If uncomfortable with the debt market trends and related risks, Fixed
Maturity Plans (FMP) – investing in bonds, securities, money market etc. – present a great
opportunity. As a close-ended plan, FMP functions on a fixed maturity period, which could
range from 1 month to 5 years (like FDs). The Fund Manager makes sure to put the money in
an investment with the same tenure, to reap accrual interest at the time of FMP maturity.

h. Pension Funds

Putting away a portion of your income in a chosen Pension Fund to accrue over a long period
to secure you and your family’s financial future after retiring from regular employment – it
can take care of most contingencies (like a medical emergency or children’s wedding).
Relying solely on savings to get through your golden years is not recommended as savings
(no matter how big) get used up. EPF is an example, but there are many lucrative schemes
offered by banks, insurance firms etc.

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4. Based on Risk

a. Very Low-Risk Funds

Liquid Funds and Ultra Short-term Funds (1 month to 1 year) are not risky at all, and
understandably their returns are low (6% at best). Investors choose this to fulfill their short-
term financial goals and to keep their money safe until then.

b. Low-Risk Funds

In the event of rupee depreciation or unexpected national crisis, investors are unsure about
investing in riskier funds. In such cases, fund managers recommend putting money in either
one or a combination of liquid, ultra short-term or arbitrage funds. Returns could be 6-8%,
but the investors are free to switch when valuations become more stable.

c. Medium-risk Funds

Here, the risk factor is of medium level as the fund manager invests a portion in debt and the
rest in equity funds. The NAV is not that volatile, and the average returns could be 9-12%.

d. High-risk Funds

Suitable for investors with no risk aversion and aiming for huge returns in the form of interest
and dividends, High-risk Mutual Funds need active fund management. Regular performance
reviews are mandatory as they are susceptible to market volatility. You can expect 15%
returns, though most high-risk funds generally provide 20% returns (and up to 30% at best).

5. Specialized Mutual Funds

a. Sector Funds

Investing solely in one specific sector, theme based mutual funds. As these funds invest only
in specific sectors with only a few stocks, the risk factor is on the higher side. One must be
constantly aware of the various sector-related trends, and in case of any decline, exit
immediately. However, sector funds also deliver great returns. Some areas of banking, IT and
pharma have witnessed huge and consistent growth in the recent past and are predicted to be
promising in future as well.

b. Index Funds

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Suited best for passive investors, index funds put money in an index. A fund manager does
not manage it. An index fund identifies stocks and their corresponding ratio in the market
index and put the money in similar proportion in similar stocks. Even if they cannot outdo the
market (which is the reason why they are not popular in India), they play it safe by
mimicking the index performance.

c. Funds of Funds

A diversified mutual fund investment portfolio offers a slew of benefits, and ‘Funds of

Funds’ aka multi-manager mutual funds are made to exploit this to the tilt – by putting their
money in diverse fund categories. In short, buying one fund that invests in many funds rather
than investing in several achieves diversification as well as saves on costs.

d. Emerging market Funds

To invest in developing markets is considered a steep bet, and it has undergone negative
returns too. India itself a dynamic and emerging market and investors to earn high returns
from the domestic stock market, they are prone to fall prey to market volatilities. However, in
a longer-term perspective, it is evident that emerging economies will contribute to the
majority of global growth in the coming decade as their economic growth rate is way superior
to that of the US or the UK.

e. International/ Foreign Funds

Favored by investors looking to spread their investment to other countries, Foreign Mutual
Funds can get investors good returns even when the Indian Stock Markets perform well. An
investor can employ a hybrid approach (say, 60% in domestic equities and the rest in
overseas funds) or a feeder approach (getting local funds to place them in foreign stocks) or a
theme-based allocation (e.g., Gold Mining).

f. Global Funds

Aside from the same lexical meaning, Global Funds are quite different from International
Funds. While a global fund chiefly invests in markets worldwide, it also includes investment
in your home country. The International Funds concentrate solely on foreign markets.
Diverse and universal in approach, Global Funds can be quite risky to owing to different

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policies, market and currency variations, though it does work as a break against inflation and
long-term returns have been historically high.

g. Real Estate Funds

In spite of the real estate boom in India, many are wary about investing in such projects due
to multiple risks. Real Estate Fund can be a perfect alternative as the investor is only an
indirect participant by putting their money in established real estate companies/trusts rather
than projects. A long-term investment, it negates risks and legal hassles when it comes to
purchasing a property as well as provides liquidity to some extent.

h. Commodity-focused Stock Funds

Ideal for investors with sufficient risk-appetite and looking to diversify their portfolio,
commodity-focused stock funds give a chance to dabble in multiple and diverse trades.
Returns are not periodic and are either based on the performance of the stock company or the
commodity itself. Gold is the only commodity in which mutual funds can invest directly in
India. The rest purchase fund units or shares from commodity businesses.

i. Market Neutral Funds

For investors seeking protection from unfavorable market tendencies while sustaining good
returns, market-neutral funds meet the purpose (like a hedge fund). With better risk-
adaptability, these funds give high returns, and even small investors can outstrip the market
without stretching the portfolio limits.

j. Inverse/Leveraged Funds

While a regular index fund moves in tandem with the benchmark index, the returns of an
inverse index fund shift in the opposite direction. It is nothing but selling your shares when
the stock goes down, only to buy them back at an even lesser cost (to hold until the price goes
up again).

k. Asset Allocation Funds

Combining debt, equity and even gold in an optimum ratio, this is a greatly flexible fund.
Based on a pre-set formula or fund manager’s inferences based on the current market trends,
Asset allocation fund can regulate the equity-debt distribution. It is almost like Hybrid Funds

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but requires great expertise in choosing and allocation of the bonds and stocks from the fund
manager.

l. Gift Funds

Yes, you can gift a mutual fund or a SIP to your loved ones to secure their financial future.

m. Exchange -traded Funds

It belongs to the Index Funds family and is bought and sold on exchanges. Exchange traded
funds have unlocked a world of investment prospects, enabling investors to gain extensive
exposure to stock markets abroad as well as specialized sectors. An ETF is like a Mutual
Fund that can be traded in real-time at a price that may rise or fall many times in a day.

Advantages of Mutual Funds

There are a variety of reasons that mutual funds have been the retail investor's vehicle of
choice for decades. The overwhelming majority of money in employer-sponsored retirement
plans goes into mutual funds.

1. Diversification
Diversification, or the mixing of investments and assets within a portfolio to reduce risk, is
one of the advantages of investing in mutual funds. Experts advocate diversification as a way
of enhancing portfolio return while reducing its risk. Buying individual company stocks and
offsetting them with industrial sector stocks, for example, offers some diversification.
However, a truly diversified portfolio has securities with different capitalizations and
industries and bonds with varying maturities and issuers. Buying a mutual fund can achieve
diversification cheaper and faster than by buying individual securities. Large mutual funds
typically own hundreds of different stocks in many different industries. It wouldn't be
practical for an investor to build this kind of a portfolio with a small amount of money.

2. Easy Access
Trading on the major stock exchanges, mutual funds can be bought and sold with relative
ease, making them highly liquid investments. Also, when it comes to certain types of assets,
like foreign equities or exotic commodities, mutual funds are often the most feasible way—in
fact, sometimes the only way—for individual investors to participate.

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 3. Economies of Scale
Mutual funds also provide economies of scale. Buying one spares the investor of the
numerous commission charges needed to create a diversified portfolio. Buying only one
security at a time leads to large transaction fees, which will eat up a good chunk of the
investment. Also, the $100 to $200 an individual investor might be able to afford is usually
not enough to buy a round lot of the stock, but it will purchase many mutual fund shares. The
smaller denominations of mutual funds allow investors to take advantage of dollar cost
averaging.

4. Professional Management
A primary advantage of mutual funds is not having to pick stocks and manage investments.
Instead, a professional investment manager takes care of all of this using careful research and
skillful trading. Investors purchase funds because they often do not have the time or the
expertise to manage their own portfolios, or they don’t have access to the same kind of
information that a professional fund has. A mutual fund is a relatively inexpensive way for a
small investor to get a full-time manager to make and monitor investments. Most private,
non-institutional money managers deal only with high-net-worth individuals—people with at
least six figures to invest. However, mutual funds, as noted above, require much lower
investment minimums. So, these funds provide a low-cost way for individual investors to
experience and hopefully benefit from professional money management.

5. Less Transaction Cost

Because a mutual fund buys and sells large amounts of securities at a time, its transaction
costs are lower than what an individual would pay for securities transactions. Moreover, a
mutual fund, since it pools money from many smaller investors can invest in certain assets or
take larger positions than a smaller investor could. For example, the fund may have access to
IPO placements or certain structured products only available to institutional investors.

6. Variety and Freedom of Choice

Investors have the freedom to research and select from managers with a variety of styles and
management goals. For instance, a fund manager may focus on value investing, growth
investing, developed markets, emerging markets, income or macroeconomic investing,
among many other styles. One manager may also oversee funds that employ several different
styles. This variety allows investors to gain exposure to not only stocks and bonds but
also commodities, foreign assets, and real estate through specialized mutual funds. Some
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mutual funds are even structured to profit from a falling market (known as bear funds).
Mutual funds provide opportunities for foreign and domestic investment that may not
otherwise be directly accessible to ordinary investors.

7. Transparency
Mutual funds are subject to industry regulation that ensures accountability and fairness to
investors.

Important factors while investing in mutual fund

Net asset value:

NAV means net asset value. The investment made by a mutual fund are marked to market
on daily basis. In other words, we can say that current market value of such investments is
calculated on daily basis. NAV is arrived at after deducting all liabilities (except unit capital)
of the fund from the realizable value of all assets and dividing by number of units
outstanding. Therefore, NAV on a particular day reflects the realizable value that the
investor will get for each unit if the scheme is liquidated on that date. This NAV keeps on
changing with the changes in the market rates of equity and bond markets. Therefore, the
investments in mutual funds is not risk free, but a good managed fund can give you regular
and higher returns than when you can get from fixed deposits of a bank etc.

Sale Price:
It is the price you pay when you invest in a scheme and is also called "Offer Price". It may
include a sales load.
Repurchase Price:
It is the price at which a Mutual Funds repurchases its units and it may include a back-end
load. This is also called Bid Price.

Redemption Price:
It is the price at which open-ended schemes repurchase their units and close-ended schemes
redeem their units on maturity. Such prices are NAV related.

Sales Load / Front End Load:

It is a charge collected by a scheme when it sells the units. Also called, ‘Front-end’ load.
Schemes which do not charge a load at the time of entry are called ‘No Load’ schemes.
Repurchase / ‘Back-end’ Load: It is a charge collected by a Mutual Funds when it buys
back / Repurchases the units from the unit holders.

Total returns index

1. TRI captures both the price movements and the dividend payouts of its constituent stocks.
2. From 1 February 2018, all mutual fund schemes are mandated by SEBI to use Total Return
Index or TRI to benchmark their performance.
3. Investors in equity shares gets returns from two sources: appreciation in traded price of

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share and dividends received. Fund NAVs factor in the capital appreciation and dividend
received from underlying investments.
4. The TRI helps in giving the right picture of the real measures of what the fund has earned
over and above—or below— of what was expected.
5. The typical dividend yield on benchmarks is around 1.5% per annum, which means that the
fund will have to work harder to beat the extra 150 basis points per annum.

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 Objective

 To understand the basic concepts of Mutual Fund.

 To study the asset allocation in mutual funds portfolio of various mutual fund

equity growth schemes.

 To compare the performance and returns on the equity growth schemes of

various mutual fund companies.

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 Company Profile

Company Name: Edelweiss Broking Limited

Type: Public

Industry: Finance

Founded: 2008

Founder: Rashesh Shah

Headquarters: Mumbai, India

Number of locations: 90

Parent: Edelweiss Group

Website: https://www.edelweiss.in/

Edelweiss group:

Edelweiss Group is an investment and financial services company based in Mumbai, India. It

is not backed up by any major conglomerate. The parent company of the group is Edelweiss
Financial Services Limited, co-founded by Rashesh shah, Chief Executive Officer (CEO)
and Chairman. Edelweiss Financial Services Limited has a network of sub-brokers and
authorized people across India. The company is registered with National Stock Exchange of
India, Bombay Stock Exchange and MCX Stock Exchange.

Initially, the company worked on private equity syndication, mergers, acquisitions (M&A)
and focused on advisory services. In 2000, the company had capital mark of Rupees 50
million. It acquired Rooshnil Securities in 2017.

Edelweiss Broking Limited:

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Edelweiss Broking Limited is an Indian financial services company based in Mumbai, India.
The company is a subsidiary of Edelweiss Group which was founded by Rashesh Shah. The
company is registered with National Stock Exchange of India, Bombay Stock
Exchange and MCX Stock Exchange the company identification number (CIN) is
U65100GJ2008PLC077462. It acts as a Mutual Fund distributor and has AMFI Registration
Number - 70892.

Edelweiss Broking limited was publicly incorporated on 7 February, 2008 after Edelweiss

Group had received final regulatory approval from the Securities and Exchange Board of
India (SEBI) to start its mutual fund business by 2008. The Stockbroker acquired retail
broker Anagram Capital Limited in Jan 2010. On 12 December, 2012 the company was listed
under National Stock Exchange with registration number INE231311631. It was listed in
MCX Stock Exchange Limited with a registration number INE261311634.

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 Research Methodology

A research methodology involves specific techniques that are adopted in research process to
collect, assemble and evaluate data. It defines those tools that are used to gather relevant
information in a specific research study, surveys, questionnaires and interviews are the
common tools of research.

Data collection

It is important for researcher to know not only the research method but also knows
methodology. The procedure by which researcher goes about their work of describing.
Explaining and predicting phenomenon are called methodology. Method comprises the
procedures used for generating, collecting and evaluating data, all this means that it is
necessary for the researcher to design his methodology for his problem as the same may
differ problem to problem. For this research project researcher used only secondary data.

Secondary Data
The secondary data is the data which already exists. In this project the data is collected
through:
 Company website
 Company application
 Research papers
 Various websites on internet.

Research Method
It is important for researcher to know not only the research method but also knows
methodology. The procedure by which researcher goes about their work of describing.
Explaining and predicting phenomenon are called methodology. Method comprises the
procedures used for generating, collecting and evaluating data, all this means that it is
necessary for the researcher to design his methodology for his problem as the same may
differ problem to problem
In this research project descriptive research method is adopted.

22
Statistical Tools
To represent data in a well manner appropriate tool as well as technique is used for this
project report.
Following statistical tools are used:
 Tables
 Column chart
 Pie chart

Scope of the study

Mutual fund is booming sector now a days and it has lot of scope to generate income and

providing return to the investor. The impressive growth of mutual funds in India has attracted

the attention of Indian researchers, individuals and institutional investors. The scope of the

Research work is to evaluate the performance of different mutual funds in India available in

the selected equity growth schemes and keep the mutual fund investors fully aware of it.

Thus, there is the need to investigate how efficiently the hard earned money of the investors

and scarce resources of the economy are efficiently utilized by fund managers. The scope of

the project is mainly concentrated on the various companies’ mutual funds equity growth

schemes.

Limitations of the study

 This project has not taken for entire mutual fund equity growth schemes.
 The data collection was strictly confined to secondary sources.

23
 DATA ANALYSIS AND INTERPRETATION
For data analysis, 7 companies are taken which are as follows:
1. AXIS Focused 25 Fund (G)
2. Kotak Standard Multiap Fund (G)
3. ICICI Pru Blue chip Fund (G)
4. HDFC Equity Fund (G)
5. SBI Blue chip Fund (G)
6. Aditya Birla SL Frontline Equity Fund (G)
7. Edelweiss Large Cap Fund (G)

1. AXIS Focused 25 Fund (G)

Fund information
Fund Category: - Equity
Fund Type: - Growth

Morning Star Rating: - *****

Risk Category: - Moderately high
Fund Manager: - Jinesh Gopani
AUM (RS. In Cr.): - 7841.41
AMC: - AXIS Mutual Fund
3 Years (%): - 10.67
Minimum Investment: - 5000/-
Lockin Period: - NA
Inception Date: - 29 Jun 2012
Existence Period: - 7 Years
Exit Load: -

Exit load Period Remark

0.00 1 year and above nil
1.00 0 days to 1 years 1.00% if redeemed/
switched out within 1 years

24
 from the date of allotment

Asset allocation

Assets allocation in AXIS FOCUSED 25 (G)

Assets Asset allocation in (%)

Equity 86

Debt 3

Other 11

Assets allocation of AXIS FOCUSED 25 (G) Asset allocation in (%)

11%
3%

equity
debt
other

86%

Performance of AXIS Focused 25 (G)

Returns in AXIS F 25(G) Category benchmark(Nifty 50 TRI)

1 month 10.65 7.68
6 months 8.49 0.16
1 year 18.22 14.77
3 years 14.13 11.84
5 years 14.89 9.54

25
 Performance of AXIS F 25 fund (G)

20
18.22
18

16 14.89
14.77
14.13
14
11.84
12
10.65
10 9.54
8.49
8 7.68

2
0.16
0
1 month 6 months 1 year 3 years 5 years

AXIS F 25(G) Category benchmark(Nifty 50 TRI)

2. Kotak Standard Multicap Fund (G)

Fund information
Fund Category: - Equity
Fund Type: - Growth

Morning Star Rating: - ****

Risk Category: - Moderately high
Fund Manager: - Harsha Upaddhayaya
AUM (RS. In Cr.): - 25384.96
AMC: - Kotak Mahindra Mutual Fund
3 Years (%): - 9.71
Minimum Investment: - 5000/-
Inception Date: - 11 Sep 2009
Lockin Period: - NA
Existence Period: - 10 Years
Exit Load: -
Asset Allocation

26
Exit load Period Remark
0.00 1 year and above nil
1.00 0 days to 1 years 1.00% if redeemed/
switched out within 1 years
from the date of allotment

Assets allocation in Kotak Standard multicap fund (G)

Assets Asset allocation in (%)

Equity 95

money Market Instrument 5

Asset allocation of kotak standard multicap fund(G) (%)

5%

Equity
money Market

95%

27
Performance of Kotak Standard Multicap Fund (G)

Returns in Kotak Standard Multicap Fund (G) Category benchmark(Nifty 200 TRI)
1 month 6.5 7.16
6 months 0.48 -1.08
1 year 14.09 12.22
3 years 10.04 10.2
5 years 13.04 9.81

Performance of kotak Standard multicap fund (G)

16
14.09
14 13.04
12.22
12
10.04 10.2 9.81
10

8 7.16
6.5
6

2
0.48
0
1 month 6 months 1 year 3 years 5 years
-2 -1.08

Kotak Standard Multicap Fund (G) Category benchmark(Nifty 200 TRI)

3. ICICI Pru Bluechip Fund (G)

Fund information
Fund Category: - Equity
Fund Type: - Growth

Morning Star Rating: - *****

Risk Category: - Moderately high
Fund Manager: - Anish Tawakley
AUM (RS. In Cr.): - 21672.64
AMC: - ICICI Prudential Mutual Fund

28
3 Years (%): - 8.54
Minimum Investment: - 100/-
Lockin Period: - NA
Inception Date: - 23 May 2008
Existence Period: - 11 Years
Exit Load: -

Exit load Period Remark

0.00 1 year and above nil
1.00 0 days to 1 years 1.00% if redeemed/
switched out within 1 years
from the date of allotment

Asset Allocation

Assets allocation in ICICI Prudential Bluechip Fund (G)

Assets Asset allocation in (%)
Equity 89
Debt 2
Money market instruments 9

Asset allocation of ICICI Pru Bluechip Fund (G)

(%)
9%
2%

equity debt

Money market
instruments
89%

29
Performance of ICICI Pru Bluechip Fund (G)

Returns in ICICI Pru Bluechip Fund (G) Category benchmark(Nifty 100 TRI)
1 month 7.06 7.61
6 months 0.82 0
1 year 10.14 13.93
3 years 9.84 11.2
5 years 10.22 10.01

16
Performance of ICICI Pru Bluechip fund(G)
13.93
14

12
11.2
10.14 10.2210.01
9.84
10

ICICI Pru Bluechip Fund (G)

8 7.61 Category benchmark(Nifty 100 TRI)
7.06

2
0.82
0
0
1m 6 mo... 1 3y 5y

4. HDFC Equity Fund (G)

Fund information
Fund Category: - Equity
Fund Type: - Growth

Morning Star Rating: - ***

Risk Category: - Moderately high
Fund Manager: - Prashant Jain

30
AUM (RS. In Cr.): - 21621.63
AMC: - HDFC Mutual Fund
3 Years (%): - 8.88
Minimum Investment: - 5000/-
Lockin Period: - NA
Inception Date: - 01 Jan 1995
Existence Period: - 24 Years
Exit Load: -

Exit load Period Remark

0.00 1 year and above nil
1.00 0 days to 1 years 1.00% if redeemed/
switched out within 1 years
from the date of allotment
Asset Allocation

Assets allocation of Fund (G)

Assets Asset allocation in (%)

Equity 100

Assets allocation of HDFC Equity Fund (G)

Equity

100%

Performance of HDFC Equity Fund (G)

31
 Returns in HDFC Equity Fund (G) Category benchmark(Nifty 500 TRI)
1 month 3.84 6.86
6 months -1.18 -1.81
1 year 8.39 11.11
3 years 8.03 9.43
5 years 8.25 9.68

Performance of HDFC Equity Fund (G)

12 11.11

10 9.43 9.68
8.39 8.03 8.25
8 6.86
6
3.84
4

0
1 month 6 months 1 year 3 years 5 years
-2 -1.18
-1.81
-4

HDFC Equity Fund (G) Category benchmark(Nifty 500 TRI)

5. SBI Bluechip Fund (G)

Fund information
Fund Category: - Equity
Fund Type: - Growth

Morning Star Rating: - ****

Risk Category: - Moderately high
Fund Manager: - Sohini Andani
AUM (RS. In Cr.): - 21483.48
AMC: - SBI Mutual Fund
3 Years (%): - 7.21
Minimum Investment: - 5000/-
Lockin Period: - NA
Inception Date: - 14 Feb 2006
32
Existence Period: - 13 Years
Exit Load: -
Exit load Period Remark
0.00 1 year and above nil
1.00 0 days to 1 years 1.00% if redeemed/
switched out within 1 years
from the date of allotment

Asset Allocation

Assets Allocation In SBI Bluechip Fund (G)

Assets Asset allocation in (%)

Equity 93

money Market 7

Asset Allocation Of SBI Bluechip Fund (G) (%)

7%

93%

Equity money Market Instrument

Performance of SBI Bluechip Fund (G)

Returns in SBI Bluechip Fund (G) Category benchmark(Nifty 100 TRI)

33
 1 month 7.38 7.26

6 months 2.08 -0.47

1 year 14.81 13.2

3 years 7.47 10.97

5 years 11.01 9.62

Perfomance Of SBI Bluechip Fund (G)

16
14.81
14 13.2

12 10.97 11.01

10 9.62

8 7.38 7.26 7.47

4
2.08
2

0
1 month 6 months 1 year 3 years 5 years
-0.47
-2

SBI Bluechip Fund (G) Category benchmark(Nifty 100 TRI)

6. Aditya Birla SL Frontline Equity Fund (G)

Fund information
Fund Category: - Equity
Fund Type: - Growth

Morning Star Rating: - ****

Risk Category: - Moderately high
Fund Manager: - Mahesh Patil
AUM (RS. In Cr.): - 20093.79
AMC: - SBI Mutual Fund

34
3 Years (%): - 6.7
Minimum Investment: - 100/-
Lockin Period: - NA
Inception Date: - 30 Aug 2002
Existence Period: - 17 Years
Exit Load: -

Exit load Period Remark

0.00 1 year and above Nil
1.00 0 days to 1 years 1.00% if redeemed/
switched out within 1 years
from the date of allotment

Asset Allocation

Assets Allocation Of Aditya Birla SLFrontline Equity Fund (G)

Assets Asset allocation in (%)

Equity 96

Other 1

Money market instruments 2

35
 Asset allocation of Aditya Birla SLFrontline Equity Fund (G) (%)
1
2

96

Equity Other Money market instruments

Performance of Aditya Birla SL Frontline Equity Fund (G)

Returns Aditya Birla SL Frontline Equity Fund Category benchmark(Nifty 100
in (G) TRI)
1 month 5.88 7.68
6 months -1.76 0.16
1 year 8.6 14.77
3 years 6.72 11.84
5 years 9.42 9.54

36
 Performance of Aditya Birla SL Frontline Equity Fund (G)
16 14.77
14
11.84
12
10 9.42 9.54
8.6
7.68
8 6.72
5.88
6
4
2
0.16
0
1 month 6 months 1 year 3 years 5 years
-2
-1.76
-4

Aditya Birla SL Frontline Equity Fund (G) Category benchmark(Nifty 100 TRI)

7. Edelweiss Large Cap Fund (G)

Fund information
Fund Category: - Equity
Fund Type: - Growth

Morning Star Rating: - ****

Risk Category: - Moderately high
Fund Manager: - Bharat Lahoti
AUM (RS. In Cr.): - 155.04
AMC: - Edelweiss Mutual Fund
3 Years (%): - 9.38
Minimum Investment: - 1000/-
Inception Date: - 20 May 2009
Lockin Period: - NA
Existence Period: - 10 Years
Exit Load: -

Exit load Period Remark

0.00 1 year and above NIL- If the units are redeemed /switched out on or
after 365 days from date of allotment
1.00 0 days to 1 years 1.00% if redeemed/

37
 switched out within 1 years
from the date of allotment

Asset Allocation

Assets Allocation Of Edelweiss Large Cap Fund (G)

Assets Asset allocation in (%)
Equity 94
Other 2
Money Market Instruments 2

Asset Allocation Of Edelweiss Large Cap Fund (G) (%)

2 2

94

Equity Other Money Market Instruments

38
Performance of Edelweiss Large Cap Fund (G)

Returns in Edelweiss Large Cap Fund (G) Category Benchmark(Nifty 50 TRI)

1 month 7.1 7.68
6 months 2.07 0.16
1 year 12.45 14.77
3 years 9.74 11.84
5 years 10.31 9.54

Performance Of Edelweiss Large Cap Fund(G)

16 14.77
14
12.45
11.84
12
10.31
9.74 9.54
10
7.68
8 7.1
6
4
2.07
2
0.16
0
1 month 6 months 1 year 3 years 5 years

Edelweiss Large Cap Fund (G) Category Benchmark(Nifty 50 TRI)

For comparing all equity growth fund, 2 parameters has been taken

1. Asset Allocation
2. Return

Comparative study on the basis of Asset Allocation

Comparative study on the basis of Asset Allocation

  Asset Allocation In (%)
Equit Deb Money Market Othe
Fund Name y t Instrument r
AXIS focused 25 Fund (G) 86 3   11
Kotak Standard Multicap Fund (G) 95   5  
ICICI Pru Bluechip Fund (G) 89 2 9  

39
 HDFC Equity Fund (G) 100      
SBI Bluechip Fund (G) 93   7  
Aditya Birla SL Frontline Equity Fund (G) 96   2 1
Edelweiss Large Cap Fund (G) 94   2 2
Total Allocation in (%) 93.28 0.71 3.57 0.51

Comparative study on the basis of Asset Allocation

21 0.01
100% 5 9 7 22 0.04
0.01
11
90% 3 2

80%

70%

60%

50% 95 100 96 94 0.93

89 93
86
40%

30%

20%

10%

0%
AXIS Kotak ICICI Pru HDFC Equity SBI Bluechip Aditya Birla Edelweiss Total
focused 25 Standard Bluechip Fund (G) Fund (G) SL Frontline Large Cap Allocation in
Fund (G) Multicap Fund (G) Equity Fund Fund (G) (%)
Fund (G) (G)

Equity Debt Money Market Instrument Other

Comparison of equity growth fund schemes on the basis of return

Fund Name Returns in 5 year (%) category benchmark

AXIS focused 25 Fund (G) 14.89 9.54
Kotak Standard Multicap Fund (G) 13.04 9.81
ICICI Pru Bluechip Fund (G) 10.22 10.01
HDFC Equity Fund (G) 8.25 9.68
SBI Bluechip Fund (G) 11.01 9.62
Aditya Birla SL Frontline Equity Fund (G) 9.42 9.54
Edelweiss Large Cap Fund (G) 10.31 9.54

40
 C om parati ve s tudy on the bas i s of re turn
16 14.89
14 13.04
12 11.01
10.22 10.01 10.31
9.54 9.81 9.68 9.62 9.42 9.54 9.54
10
8.25
8
6
4
2
0
AXIS focused Kotak ICICI Pru HDFC Equity SBI Bluechip Aditya Birla SL Edelweiss
25 Fund (G) Standard Bluechip Fund Fund (G) Fund (G) Frontline Large Cap
Multicap Fund (G) Equity Fund Fund (G)
(G) (G)

Returns in 5 year (%) category benchmark

41
 FINDINGS

1. Mutual fund is the safe way of investment as it diversifies the fund.

2. Equity funds gives good returns in long term but these are subject to the market risk.
3. AXIS Focused 25 Fund (G) is giving good returns in the 5 years.
4. HDFC Equity Fund (G) is giving low returns in the 5 years.
5. HDFC Equity Fund (G) and Aditya Birla SL Frontline Equity Fund (G) these funds
have highest asset allocation in equity.

42
 SUGGESTIONS

1. The investor should consider the ratings of mutual fund given by rating agencies like
CRISIL, Morningstar Inc.
2. The investor should invest for long term in mutual funds to gain good returns and to
avoid exit load.
3. According to the study AXIS Focused 25 Fund (G) this fund is giving better returns
so investor should choose this option for investment.
4. To gain good returns in long term investor should invest in mutual fund where the
asset allocation in equity is more than 85 %.

43
CONCLUSION

44