84254230 Comparative Performance Evaluation of Selected Mutual Funds in India

7/30/2019 84254230 Comparative Performance Evaluation of Selected Mutual Funds in India

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COMPARATIVE PERFORMANCE EVALUATION OF SELECTED

MUTUAL FUNDS IN INDIA


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PERFORMANCE EVALUATION OF SELECTED MUTUAL FUNDS IN INDIA 2

CONTENT

Chapter -1 Introduction

Introduction to mutual fund

Organization

types

valuation of securities

Chapter-2 Company profile

Chapter-3 Research Methodology

Significance of the study

Review of existing literature

Focus of the study

Research Design

Methods of Data Collection

Tool & Techniques

Chapter-4 Data Analysis and Interpretation

Chapter-5 Findings and Suggestions

Chapter-6 Bibliography


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EXECUTIVE SUMMARY

Mutual Fund industry today, with about 34 players and more than

five hundred schemes, is one of the most preferred investment avenuesin India. However, with a plethora of schemes to choose from, the retail

investor faces problems in selecting funds. Factors such as investment

strategy and management style are qualitative, but the funds record is

an important indicator too. Though past performance alone cannot be

indicative of future performance, it is, frankly, the only quantitative way

to judge how good a fund is at present. Therefore, there is a need tocorrectly assess the past performance of different mutual funds.

Worldwide, good mutual fund companies over are known by their

AMCs and this fame is directly linked to their superior stock selection

skills. For mutual funds to grow, AMCs must be held accountable for

their selection of stocks. In other words, there must be some

performance indicator that will reveal the quality of stock selection of

various AMCs.

Return alone should not be considered as the basis of

measurement of the performance of a mutual fund scheme, it should

also include the risk taken by the fund manager because different funds

will have different levels of risk attached to them. Risk associated with a

fund, in a general, can be defined as variability or fluctuations in the

returns generated by it. The higher the fluctuations in the returns of a

fund during a given period, higher will be the risk associated with it.

These fluctuations in the returns generated by a fund are resultant of

two guiding forces. First, general market fluctuations, which affect all

the securities present in the market, called market risk or systematic risk


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and second, fluctuations due to specific securities present in the

portfolio of the fund, called unsystematic risk.

The Total Risk of a given fund is sum of these two and ismeasured in terms of standard deviation of returns of the fund.

Systematic risk, on the other hand, is measured in terms of Beta, which

represents fluctuations in the NAV of the fund vis--vis market. The

more responsive the NAV of a mutual fund is to the changes in the

market; higher will be its beta. Beta is calculated by relating the returns

on a mutual fund with the returns in the market. While unsystematic riskcan be diversified through investments in a number of instruments,

systematic risk cannot. By using the risk return relationship, we try to

assess the competitive strength of the mutual funds vis--vis one

another in a better way.

In order to determine the risk-adjusted returns of investment

portfolios, several eminent authors have worked since 1960s to develop

composite performance indices to evaluate a portfolio by comparing

alternative portfolios within a particular risk class


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CONCEPT OF MUTUAL FUND

A Mutual Fund is a trust that pools the savings of a number of investors

who share a common financial goal. The money thus collected is theninvested in capital market instruments such as shares, debentures and

other securities. The income earned through these investments and the

capital appreciation realized is shared by its unit holders in proportion to

the number of units owned by them. Thus a Mutual Fund is the most

suitable investment for the common man as it offers an opportunity to

invest in a diversified, professionally managed basket of securities at arelatively low cost. The flow chart below describes broadly the working

of a mutual fund:

Showing working of Mutual Fund


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ORGANIZATION OF MUTUAL FUND

A mutual fund is set up in the form of a trust, which has sponsor,

trustees, Asset Management Company (AMC) and custodian. The trust is

established by a sponsor or more than one sponsor who is like promoter

of a company. The trustees of the mutual fund hold its property for the

benefit of the unit holders. Asset Management Company (AMC)

approved by SEBI manages the funds by making investments in various

types of securities. Custodian, who is registered with SEBI, holds the

securities of various schemes of the fund in its custody. The trustees are

vested with the general power of superintendence and direction over

AMC. They monitor the performance and compliance of SEBI regulations

by the mutual fund.

SEBI Regulations require that at least two thirds of the directors of

trustee company or board of trustees must be independent i.e. they

should not be associated with the sponsors. Also, 50% of the directors

of AMC must be independent. All mutual funds are required to be

registered with SEBI before they launch any scheme. The entities

involved in mutual fund are also explained following diagram


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1. Net Asset Value (NAV)

Net Asset Value (NAV) denotes the performance of a particular scheme

of a mutual fund.

Mutual funds invest the money collected from the investors in securities

markets. In simple words, Net Asset Value is the market value of the

securities held by the scheme. Since market value of securities changes

every day, NAV of a scheme also varies on day-to-day basis. The NAV

per unit is the market value of securities of a scheme divided by the

total number of units of the scheme on any particular date. For

example:

If the market value of securities of a mutual fund scheme is Rs. 200

Lakhs and the mutual fund has issued 10 Lakhs units of Rs. 10 each to

the investors, then the NAV per unit of the fund is Rs. 20. NAV is

required to be disclosed by the mutual funds on a regular basis - daily or

weekly- depending on the type of scheme.


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2. Loads or No Load Fund

A load fund is one that charges a percentage of NAV of entry or exit.

That is, each time one buys or sells units in the fund, a charge will be

payable. That is, each time one buys or sells units in the fund, a charge

will be payable. This charge is used by the mutual fund for marketing

and distribution expenses. Suppose the NAV per unit is Rs. 10. If the

entry as well as exit load charged is 1%, then the investors who buy

would be required to pay Rs.10.10 and those who offer their units for

repurchase to the mutual fund will get only Rs.9.90 per unit. The

investors should take the loads into consideration while making

investment as these their yields/ returns. However, the investors should

also consider the performance track record and service standard of the

mutual fund which are more important. Efficient funds may give higher

returns in spite of loads.

A no- load fund is one that does not charge for entry or exit. It means

the investors can enter the fund/scheme at NAV and no additional

charges are payable on purchase on purchase or sale of units.

3. Sale or Repurchase/ Redemption Price

The price or NAV a unit holder is charged while investing in an open-

ended scheme is called sales price. It may include sales load, if

applicable.

Repurchase or redemption price is the price or NAV at which an open-

ended scheme purchases or redeems its units from the unit holders. Itmay include exit load, if applicable


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Types of Mutual Funds Schemes in India:-

Wide variety of Mutual Fund Schemes exists to cater to the needs such

as financial position, risk tolerance and return expectations etc. thusmutual funds has Variety of flavors, Being a collection of many stocks,

an investors can go for picking a mutual fund might be easy. There are

over hundreds of mutual funds scheme to choose from. It is easier to

think of mutual funds in categories, mentioned below.

Overview of existing schemes existed in mutual fund category:

-BY STRUTYRE

1. Open - Ended Schemes:-

An open-end fund is one that is available for subscription all through the

year. These do not have a fixed maturity. Investors can conveniently

buy and sell units at Net Asset Value ("NAV") related prices. The key

feature of open-end schemes is liquidity.

2. Close - Ended Schemes:-

These schemes have a pre-specified maturity period. One can invest

directly in the scheme at the time of the initial issue. Depending on the

structure of the scheme there are two exit options available to an

investor after the initial offer period closes. Investors can transact (buy

or sell) the units of the scheme on the stock exchanges where they are

listed. The market price at the stock exchanges could vary from the net

asset value (NAV) of the scheme on account of demand and supply

situation, expectations of unitholder and other market factors.

Alternatively some close-ended schemes provide an additional option ofselling the units directly to the Mutual Fund through periodic repurchase


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at the schemes NAV; however one cannot buy units and can only sell

units during the liquidity window. SEBI Regulations ensure that at least

one of the two exit routes is provided to the investor.

3. Interval Schemes:-

Interval Schemes are that scheme, which combines the features of

open-ended and close-ended schemes. The units may be traded on the

stock exchange or may be open for sale or redemption during pre-

determined intervals at NAV related prices.

Overview of existing schemes existed in mutual fund category:-

BY NATURE

1. Equity fund:-

These funds invest a maximum part of their corpus into equities

holdings. The structure of the fund may vary different for different

schemes and the fund managers outlook on different stocks. The Equity

Funds are sub-classified depending upon their investment objective, as

follows:

Diversified Equity Funds

Mid-Cap Funds

Sector Specific Funds

Tax Savings Funds (ELSS)

Equity investments are meant for a longer time horizon, thus Equity

funds rank high on the risk-return matrix.


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2. Debt funds:-

The objective of these Funds is to invest in debt papers. Government

authorities, private companies, banks and financial institutions are someof the major issuers of debt papers. By investing in debt instruments,

these funds ensure low risk and provide stable income to the investors.

Debt funds are further classified as:

Gilt Funds:-

Invest their corpus in securities issued by Government, popularly knownas Government of India debt papers. These Funds carry zero Default risk

but are associated with Interest Rate risk. These schemes are safer as

they invest in papers backed by Government.

Income Funds:-

Invest a major portion into various debt instruments such as bonds,

corporate debentures and Government securities.

MIPs:-

Invests maximum of their total corpus in debt instruments while they

take minimum exposure in equities. It gets benefit of both equity and

debt market. These scheme ranks slightly high on the risk-return matrix

when compared with other debt schemes.

Short Term Plans (STPs):-

Meant for investment horizon for three to six months. These funds

primarily invest in short term papers like Certificate of Deposits (CDs)


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and Commercial Papers (CPs). Some portion of the corpus is also

invested in corporate debentures.

Liquid Funds:-

Also known as Money Market Schemes, These funds provides easy

liquidity and preservation of capital. These schemes invest in short-term

instruments like Treasury Bills, inter-bank call money market, CPs and

CDs. These funds are meant for short-term cash management of

corporate houses and are meant for an investment horizon of 1day to 3

months. These schemes rank low on risk-return matrix and are

considered to be the safest amongst all categories of mutual funds.

3. Balanced funds:-

As the name suggest they, are a mix of both equity and debt funds.

They invest in both equities and fixed income securities, which are in

line with pre-defined investment objective of the scheme. These

schemes aim to provide investors with the best of both the worlds.

Equity part provides growth and the debt part provides stability in

returns.

Further the mutual funds can be broadly classified on the basis

of investment parameter:-

Each category of funds is backed by an investment philosophy, which is

pre-defined in the objectives of the fund. The investor can align his own

investment needs with the funds objective and invest accordingly.

By investment objective:-

Growth Schemes:-


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Growth Schemes are also known as equity schemes. The aim of these

schemes is to provide capital appreciation over medium to long term.

These schemes normally invest a major part of their fund in equities and

are willing to bear short-term decline in value for possible future

appreciation.

Income Schemes:-

Income Schemes are also known as debt schemes. The aim of these

schemes is to provide regular and steady income to investors. These

schemes generally invest in fixed income securities such as bonds and

corporate debentures. Capital appreciation in such schemes may be

limited.

Balanced Schemes:-

Balanced Schemes aim to provide both growth and income by

periodically distributing a part of the income and capital gains they earn.

These schemes invest in both shares and fixed income securities, in the

proportion indicated in their offer documents (normally 50:50).

Money Market Schemes:-

Money Market Schemes aim to provide easy liquidity, preservation of

capital and moderate income. These schemes generally invest in safer,

short-term instruments, such as treasury bills, certificates of deposit,

commercial paper and inter-bank call money.

Other schemes :-

Tax Saving Schemes:-


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Tax-saving schemes offer tax rebates to the investors under tax laws

prescribed from time to time. Under Sec.88 of the Income Tax Act,

contributions made to any Equity Linked Savings Scheme (ELSS) are

eligible for rebate.

Index Schemes:-

Index schemes attempt to replicate the performance of a particular

index such as the BSE Sensex or the NSE 50. The portfolio of these

schemes will consist of only those stocks that constitute the index. The

percentage of each stock to the total holding will be identical to the

stocks index weightage. And hence, the returns from such schemes

would be more or less equivalent to those of the Index.

Sector Specific Schemes:-

These are the funds/schemes which invest in the securities of only those

sectors or industries as specified in the offer documents. e.g.

Pharmaceuticals, Software, Fast Moving Consumer Goods (FMCG),

Petroleum stocks, etc. The returns in these funds are dependent on the

performance of the respective sectors/industries. While these funds may

give higher returns, they are more risky compared to diversified funds.

Investors need to keep a watch on the performance of those

sectors/industries and must exit at an appropriate time.

Types of Returns:-


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There are three ways, where the total returns provided by mutual funds

can be enjoyed by investors:

Income is earned from dividends on stocks and interest on bonds.A fund pays out nearly all income it receives over the year to fund

owners in the form of a distribution.

If the fund sells securities that have increased in price, the fund

has a capital gain. Most funds also pass on these gains to investors in a

distribution.

If fund holdings increase in price but are not sold by the fund

manager, the fund's shares increase in price. You can then sell your

mutual fund shares for a profit. Funds will also usually give you a choice

either to receive a check for distributions or to reinvest the earnings and

get more shares.

Pros & cons of investing in mutual funds:-

For investments in mutual fund, one must keep in mind about the Pros

and cons of investments in mutual fund.

Advantages of Investing Mutual Funds:

1. Professional Management:-

The basic advantage of funds is that, they are professional managed, by

well qualified professional. Investors purchase funds because they do

not have the time or the expertise to manage their own portfolio. A

mutual fund is considered to be relatively less expensive way to make

and monitor their investments.


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2. Diversification: -

Purchasing units in a mutual fund instead of buying individual stocks or

bonds, the investors risk is spread out and minimized up to certain

extent. The idea behind diversification is to invest in a large number of

assets so that a loss in any particular investment is minimized by gains

in others.

3. Economies of Scale :-

Mutual fund buy and sell large amounts of securities at a time, thus help

to reducing transaction costs, and help to bring down the average cost

of the unit for their investors.

4.Liquidity:-

Just like an individual stock, mutual fund also allows investors to

liquidate their holdings as and when they want.

5. Simplicity:-

Investments in mutual fund is considered to be easy, compare to other

available instruments in the market, and the minimum investment is

small. Most AMC also have automatic purchase plans whereby as little as

Rs. 2000, where SIP start with just Rs.50 per month basis.

Disadvantages of Investing Mutual Funds:-

1.Professional Management:-


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Some funds doesnt perform in neither the market, as their

management is not dynamic enough to explore the available

opportunity in the market, thus many investors debate over

whether or not the so-called professionals are any better than

mutual fund or investor him self, for picking up stocks.

2. Costs:The biggest source of AMC income, is generally from the entry &

exit load which they charge from an investors, at the time of

purchase. The mutual fund industries are thus charging extra cost

under layers of jargon.

3. Dilution:-Because funds have small holdings across different companies,

high returns from a few investments often don't make much

difference on the overall return. Dilution is also the result of a

successful fund getting too big. When money pours into funds that

have had strong success, the manager often has trouble finding a

good investment for all the new money.

4.Taxes:-when making decisions about your money, fund managers don't

consider your personal tax situation. For example, when a fund

manager sells a security, a capital-gain tax is triggered, whichaffects how profitable the individual is from the sale. It might have

been more advantageous for the individual to defer the capital

gains liability.


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VALUATION OF SCHEME PORTFOLIOS

The Need to Know Valuation Methods

The value of investors holdings of units in a mutual fund is calculated

on the basis of Net Asset Value of investments by the fund. Distributors

and investors need to understand how mutual funds value the securities

held by them in their portfolios, so they can understand how value of

the investors holdings in fund schemes is arrived at.

This knowledge will help them anticipate the fluctuations in the portfoliovalues under different market scenarios and recommend or take their

decisions accordingly. This will also help them in comparing the

performance of different fund schemes by reviewing the valuation

methods followed by them.

The Regulation of Valuation Practices

As the industry regulator, SEBI aims at protecting the investors by

ensuring that the valuation practices adopted by the AMCs (Asset

Management Company) are

a. Based on the principles of fair valuation of portfolios securities.b.Are uniform across the fund types and AMCs to the extent

possible.

The fair valuation ensures that realistic prices are used to compute the

value of portfolio securities and that there is no manipulation of the

values of portfolios. Uniform valuation practices ensure that everyone

can compare the performance of different schemes and AMCs without


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worrying about whether the fund valuation practices may be different

from one scheme to another.

AMCs therefore adopt uniform portfolio valuation practices to the extentpossible.

SEBI in turn regulates and

a. Prescribes detailed valuation methodologies in its Fund regulationsb. Mandates disclosure of valuation methods used for information of

investor

Basic Valuation Principles:

Fair value

It means value of security that is realistic and not based on any arbitrary

methodology. Fair value may be determined based either on purchasecost, market price or on some accepted principles.

Fair value of Traded Securities

Mutual funds invest essentially in marketable securities traded either on

the stock exchange or on to the money markets. The preference for

traded securities is given to ensure liquidity of the investments- ease

with which the securities can be sold. The second reason for the

preference for traded securities is to ensure that these securities

receive fair valuationat market prices that are publicly available. This

valuation process is known as mark to market- bringing the value of

the securities in the portfolio to reflect their market value.

Fair value of Illiquid Securities


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While fund managers always strive to include only traded or liquid

securities in their portfolios market conditions often result in some

securities not being traded in the market. Valuation of such non-traded

securities poses a problem of how to determine their fair value.

Regulators prescribe methods wherever possible or require the Trustees

to determine the right methodology and disclose to the extent possible.

Valuation date

The date on which the fund calculates the value of its portfolio and the

NAV is known as the valuation date. Where funds value their

investments on a mark to market basis, the valuation date is the date

on which the traded price of a security is available. For non-traded

security it means the date that is selected and used for the valuation in

accordance with some principles and regulations.

Valuation of Equity Securities

The valuation principle to be used depends also upon whether a security

is traded in the market or not.

Traded Securities

For traded securities the basis of valuation is mark to market. For this

purpose, on the valuation date, once the market price is obtained the

fund will multiply its current holdings in number of shares by the

applicable market price to get the mark to market value. The market

price to be used for valuation is determined as follows:

a.An equity security is valued at the last quoted closing price on thestock exchange where it is principally traded.


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b. If no trade is reported on principal stock exchange, the last quotedprice on any other recognized stock exchange may be used

c.

If an equity security is not traded on the stock exchange on aparticular valuation day, the value at which it was traded on the

selected/other stock exchange on the earliest previous day, may

be used, provided such date is not more than 30 days prior to the

valuation date.

Thinly Traded Security

For some securities market prices is not available easily. It becomes

difficult in such cases to apply the principle of mark to market. The

reason for non-availability of market price is the infrequency or small

volume of trading in a security. Such securities are then considered

thinly traded and SEBI give some freedom to AMCs to use their own

methods of valuation in such cases.

SEBI defines thinly traded security as:

An equity/convertible debenture/warrant is considered as a thinly

traded security if trading value in a month is less than Rs.5 lakhs and

the total volume is less than 50000 shares.

Then market price or free valuation principle is used as follows:

a. In case trading I the security is suspended up to 30 days, then thelast traded price is used.


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b. If trading in the scrip is suspended for more than 30 days, thenthe AMC can decide the valuation norms to be followed and such

norms would be documented and recorded.

Non-Traded Securities

When a security is not traded on any stock exchange for 30 days prior to

the valuation date, it becomes a non-traded security.

Valuation of Non-traded/Thinly traded securities

Both non-traded and thinly traded securities are to be valued in good

faith by the AMC on the basis of the valuation principles lay down

below:-

a. Based on the latest available Balance sheet, Net worth per share iscalculated. [Net worth per share= (Share capital+ Reserves-

Miscellaneous expenditure and Debit balance of P&L A/c)/ No. of paid

up shares.]

b.Then value per share is calculated using the Capitalized EarningsMethod. The formula used is (Earnings per share *applicable P/E

multiple). For this purpose, average P/E ratio for the industry is to be

based upon BSE or NSE data. PER should be followed consistently.

The identified PER has to be discounted by 75% and only 25% of the

industry average P/E shall be taken as the applicable P/E multiple.

Earnings per share of the latest audited annual accounts are

considered for this purpose.


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c. The value per share based on the net worth method and capitalizedearnings method, calculated as above, is averaged and further

discounted by 10% for illiquidity, to arrive at the value per share.

d. In case the EPS is negative, EPS value for that year is taken a zerofor arriving at capitalized earnings.

e. Where the latest balance sheet of the company is not available withinnine months from the close of the year, unless the accounting year is

changed, the shares of such companies shall be valued at zero.

f. In case an individual security accounts for more than 5% of the totalassets of the scheme, an independent valuer has to be appointed for

the valuation.

Example:

1.Assume that we hold an engineering companys share that is notquoted on the market, but we know that the company makes Rs.2

EPS and has a net worth of Rs.8 per paid up share.

2. We can use other traded engineering companies industry average forbasing the applicable P/E multiple say Rs.12.

3. With a 75% discount, the P/E multiple applicable to our untradedshare is 3 (12*25%).

4. We can use the multiple of 3 to obtain our untraded shares price bymultiplying our companys Rs.2 EPS with the applicable PER and get

the valuation price of Rs.6.


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5. This is further averaged with the companys net worth of 8 to give avalue of Rs. 7 per share [(6+8)/2].

6.Since our share is not liquid we must discount 7 by 10% to give avaluation of Rs. 6.30 per share.

Valuation of Debt Securities:

Traded Securities-

A debt security may be traded on a stock exchange (corporate

securities) or in the interbank market (government security). If a

security is traded on the stock exchange then again publicly available

and quoted market prices are used for its valuation. If a debt security

(other than govt. security) is not traded on any stock exchange on a

particular valuation day, the value at which it was traded on the

principal stock exchange on the earliest previous day, may be used,

provided such date is not more than 15 days prior to the valuation date.

If a debt security (other than govt. security) is purchased by way of

private placement, the price at which it was bought may be used for a

period of 15 days beginning from the date of purchase.

Thinly Traded Securities-

These needs to be identified and then valued especially. A debt security

(other than govt. security) is considered as a thinly traded security if on

the valuation date there is no individual trade on that security in

marketable lots on the principal stock exchange or any other stock

exchange.


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Valuation of Non-traded/Thinly traded security

Valuation norms of such securities depend upon their maturity. Thus,

1. Money Market Securities and Debt Securities up to 182 days tomaturity-

Non-traded debt securities with residual maturity of up to 182 days

should be valued on the same basis as money market securities.

These securities are valued on the basis of amortization of purchase

cost plus accrued interest till the beginning of the purchase plus thedifference between the redemption value and the purchase cost that

is spread uniformly over the remaining maturity period of the

investments.

2. Non- traded, Non-Government, debt instruments over 182 days tomaturity- All non-traded debt securities including asset backed paper

with maturity of over 182 days are valued in good faith by the AMC I

accordance with the detailed valuation principles laid by SEBI.

a.All Non-traded Debt Securities are classified into Investmentgrade and Non-Investment grade securities based on their

credit rating. The non-investment grade securities are further

classified as Performing and Non Performingassets.

b.All Non-Government, investment grade debt securities, classifiedas non-traded, are valued on yield to maturity (YTM) basis as

described later.

c.All Non-Government, non-investment grade, performing debtsecurities are valued at a discount of 25% to the face value.


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d.All Non-Government, non-investment grade, non- performing debtsecurities would be valued based on the provisioning norms.

Computation Methodology for Yields used for valuations of DebtSecurities:

The approach to valuation of non-traded debt security is based on the

concept of spreads over the benchmark rate to arrive at the yields for

pricing of non-traded security. The process is as follows-

Step A:

A Risk Free Benchmark Yield is calculated, using the government

securities as the base as they are traded regularly, free from credit risk

and traded across different maturity spectrums every week. All securities

with minimum traded value of Rs. 1 crore are grouped by maturities

called duration buckets 0.5 to 1 year, 1 to2 year, 2/3 years,

3/4,4/5,5/4,5/6 and over 6 years. Then, volume weighted yields are

calculated for each bucket. This is done weekly or whenever the interest

rates change.

Step B:

Expected yield on non-govt. securities is generally higher than the

corresponding maturity govt. security to reflect the higher credit risk on

non-govt. securities.

The differences between the two yields are the spread over the

benchmark yield. Spreads are determined using the market prices of

non-govt. securities and comparing them with the yields on govt.

securities. The spreads are built only for investment grade corporate


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paper which is grouped credit rating within each of the 7 duration

buckets.

Step C:

Yields to be used for valuation are further adjusted to reflect the

illiquidity risk of a security. The yields have to be marked up/marked

down to account for the illiquidity risk, promoter background, finance

company risk and the issuer class risk. As illiquidity risk would be higher

for non-rated securities, higher expected yield would be used to value

non-rated securities as compared to rated securities. For securities rated

by external agencies, SEBI permits a discretionary discount up to 2

years and 0.75% for those of higher duration. The AMC has to assign an

internal credit rating to non rated securities but with mandatory lower

discounts or premiums.

Step D:

The yields so arrived for all categories of securities are used to price the

portfolio. If yields for any category of securities cannot be obtained

using any or all of the above steps, then a fund may use the credit

spreads from trades on appropriate stock exchange for the relevant

rating category over the AAA securities trades.

Valuation of securities with Call/Put Option:

a. Securities with Call option-An issuer may call a debt security and repay before maturity. Such

securities with call option have to be valued at the lower of two


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values- value obtained by valuing the security to final maturity and

that obtained valuing the security to call option date.

b. Securities with Put option-Where investors have the option to redeem earlier than maturity.

Such securities with put option shall be valued at the higher of the

values obtained the security to final maturity and valuing the security

to the put option date.

Valuation and Disclosure of Illiquid Securities:SEBI stipulates that-

a.Aggregate value of illiquid securities of a scheme, defined as non-traded, thinly traded and unlisted equity shares shall not exceed 15%

of the total assets of an open-end scheme and 20% of a closed-end

fund. Illiquid assets held in excess of the limits have to be assigned

zero value.

b.All mutual funds have to disclose s on March 31 and September 30the scheme-wise total illiquid securities in value and percentage of

the net assets while making disclosures of half yearly portfolios to the

unit holders.

c. Mutual funds are no allowed to transfer illiquid securities internallyamong their schemes from October 1, 2000.

Risk, Return and Performance:

Rate of return is computed as: (Income earned/Amount

invested)*100.


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This number can be annualized by multiplying the result by the factor

12/n, where n is the number of months in the holding period. If the

holding period is in days, the above factor will be 365/n, where n is the

number of days in the holding period.

Change in NAV method of calculating return is applicable to growthfunds and funds with no income distribution.

Change in NAV method computes return as follows:(NAV at the end of the holding period NAV at the beginning of theholding period)/NAV at the beginning of the period. Return is

then multiplied by 100 and annualized)

E.g.) Annualizing the Rate of Return

If NAV on Jan 1, 2001 was Rs. 12.75 & June 30, 2001 was Rs. 14.35

% age change in NAV = (14.35 12.75)/12.75 x 100 = 12.55%

Annualized return = 12.55 x 12/6 = 25.10%

Percentage Change in NAV:

Assume that change in NAV is the only source of return. Example:

NAV of a fund was Rs. 23.45 at the beginning of a year

Rs. 27.65 at the end of the year.

%age change in NAV = (27.65 23.45)/23.45 *100 = 17.91%


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The total return with re-investment method or the ROI method issuperior to all these methods. It considers dividend and assumes that

dividend is re-invested at the ex-dividend NAV.

Total Return or ROI Method computes return as follows:[(Value of holdings at the end of the period - value of holdings at the

beginning of the period)/ value of holdings at the beginning of the

period] x 100.

Value of holdings at the beginning of the period = number of units atthe beginning x begin NAV.

Value of holdings end of the period = (number of units held at thebeginning + number of units re-invested) x end NAV.

Number of units re-invested = dividends/ex dividend NAV. Expense ratio is an indicator of efficiency and very crucial in a bond

fund.

Income ratio is the ratio of net investment income by net assets. Thisratio is important for fund earning regular income, such as bond

funds, and not for funds with growth objective, investing for capital

appreciation.

Portfolio turnover rate refers to the ratio of amount of sales orpurchases (whichever is less) to the net assets of the fund.

Higher the turnover ratio, greater is the amount of churning of assetsdone by the fund manager.


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High turnover ratio can also mean higher transaction cost. This ratio

is relevant for actively managed equity portfolios.

If the turnover of a fund is 200%, on average every investment isheld for a period of 6 months.

Risk arises when actual returns are different from expected returns. Standard deviation is an important measure of total risk. Beta co-efficient is a measure of market risk. The quality of beta

depends on ex-marks.

If ex-marks are high beta is more reliable. Ex-marks are an indication of extent of correlation with market index.

Index funds have ex-marks of 100%.

Comparable passive portfolio is used as benchmark. Usually a market index is used as a benchmark. Compare both risk and return, over the same period for the fund and

the benchmark.

Risk-adjusted return is the return per unit of risk. Comparisons are usually done

With a market indexWith funds from the same peer groupWith other similar products in which investors invest their funds


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When comparing fund performance with peer group funds, sizeand composition of the portfolios should be comparable.

Treynor and Sharpe ratios are used for evaluating performanceof funds.

The quality of beta depends on ex-marks.While fund managers are under pressure to increase their asset base,

they are confident of giving reasonable returns in the long term.

While that is a comforting thought for retail investors, fund managers

agree that it may be difficult to achieve the same levels of

outperformance as in the past.

While fund managers are under pressure to increase their asset base,

they are confident of giving reasonable returns in the long term.

However, they warn against high expectations. "Investors should not

expect equity funds to give 90-100 per cent returns every year. Broad

markets should give a CAGR return in the range of 12-15 per cent over

the next two-three years".

With opportunities in the broad market tapering out, funds are

dependent on the stock-picking abilities of fund managers. "I think it is

becoming a stock pickers' market. If we identify good companies which

have the opportunity and potential to grow, fund managers will continue

to outperform the markets.

But fund managers are guarding against taking sectoral bets. Nilesh

Shah, chief investment officer of Prudential ICICI Mutual Fund, believes

that the days of sector-specific rallies are over. While they are bullish on


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sectors like banking, infrastructure-related and consumer-dependent

sectors, caution is advised in taking big sectoral bets.

So what will drive equity returns this year? "I expect a re-rating ofIndian equities to happen soon. In many cases it has already started".

Fund managers also expect the mid-cap segment to do well, though

they agree that returns may not match that of last year. Jain is of the

opinion that mid-caps will continue to see good growth going forward.

"Though there are some stocks which have become overheated, the

universe of mid-caps is still pretty large, and it is possible to find 30-35good stocks in the segment for your portfolio," says he. "I would back

them to do better than large-cap stocks in the longer term".

Overall, fund managers continue to be bullish on equities, though they

warn against big return expectations. But rest, assured, if fund

managers are to be believed, they will continue to give better returns

than other asset classes. "I think at least for the next five-10 years,

diversified funds will continue to outperform the markets.

Current situation of mutual fund

The mutual fund industry shrugged off the recession blues and added

over Rs2.5 lakh crore to its assets under management in fiscal 2009-10

to take its AUM to Rs7.4 lakh crore. The average AUM of the fund

houses rose Rs 2.5 lakh crore or 51% in the last fiscal year, from Rs 4.9

lakh crore at the end of 2009-10 fiscal, according ti the data availablewith the AMFI.


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Reliance MF maintained its position as the top fund house with a hefty

36% increase in AMU to Rs 110413 crore at the end of march. The other

leading fund houses HDFC MF, ICICI MF and UTI MF-also saw an

increase in their average AUM .During the fiscal,HDFC MF rose by 54%

to 88779 crore a and UTI MF AUMs stood at Rs 80217 crore at the end

of march higher by 65% year on year.

Analysts believe the growth in the corpus in 2009-10 fiscal was driven

mainly by a huge increase in debt inflows as banks parked money with

MFs in the time of slow credit off take. Till February 2010 , the totalinvestment in income or debt schemes of MFs was at Rs 2.61 lakh

crore, while equity schemes saw net inflow of Rs 2611 crore.


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Reliance mutual fund:-

Reliance Mutual Fund, a part of the Reliance - Anil Dhirubhai Ambani

Group, is one of the fastest growing mutual funds in the country. RMF

offers investors a well-rounded portfolio of products to meet varying


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investor requirements and has presence in 159 cities across the country.

Reliance Mutual Fund constantly endeavors to launch innovative

products and customer service initiatives to increase value to investors.

"Reliance Mutual Fund schemes are managed by Reliance Capital Asset

Management Limited., a subsidiary of Reliance Capital Limited, which

holds 93.37% of the paid-up capital of RCAM, the balance paid up

capital being held by minority shareholders.

Sponsor: Reliance Capital Limited

Trustee: Reliance Capital Trustee Co. Limited

Investment Manager: Reliance Capital Asset Management Limited

Statutory Details:-

The Sponsor, the Trustee and the Investment Manager are incorporated

under the The aim of growth funds is to provide capital appreciation

over the medium to long- term. Such schemes normally invest a major

part of their corpus in equities. Such funds have comparatively high

risks. These schemes provide different options to the investors like

dividend option, capital appreciation, etc. and the investors may choose

an option depending on their preferences. The investors must indicate

the option in the application form. The mutual funds also allow the

investors to change the options at a later date. Growth schemes are

good for investors having a long-term outlook seeking appreciation over

a period of time. Companies Act 1956.

Tata mutual fund


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Backed by one of the most trusted and valued brands in India, Tata

Mutual Fund has earned the trust of lakhs of investors with its consistent

performance and world-class service.

Tata Mutual Fund manages around Rs. 21,935.00 crores (average AUM

for the month) as on March 31, 2010 worth of assets across its varied

offerings. Tata Mutual Fund offers an investment option for everyone,

whether you are a businessman or salaried professional, a retired person

or housewife, an aggressive investor or a conservative capital builder.

The Tata Asset Management philosophy is centered on seeking

consistent, long-term results. Tata Asset Management aims at overall

excellence, within the framework of transparent and rigorous risk

controls.

We constantly benchmark our efforts against these tenets of

performance:

Consistency :-

We strive to deliver consistent results through our value-based investing

methodology, keeping alive the credo of the late doyen of the Tata

Group, Mr. J.R.D. Tata, that money received from the people should go

back to them several times over.

Flexibility :-

Tata Mutual Fund offers investors a broad range of managed

investment products in various asset classes and risk parameters, with

operational flexibility to suit their varied investment needs.


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Stability:-

Our commitment to the highest quality of service and integrity is the

foundation upon which we build trust with our clients.

Service:-

We offer a wide range of services to assist investors have a fulfilling

and rewarding financial planning experience with us. We have designed

our services keeping in mind the needs of our investors, giving them a

smooth and hassle-free financial planning process.

A Proud Pedigree:-

Tata Asset Management Ltd is a part of the Tata group, one of India's

largest and most respected industrial groups, renowned for its

adherence to business ethics.

The Group has always believed in returning wealth to the society that it

serves. Thus, nearly two-thirds of the equity of Tata Sons, the Group's

promoter company, is held by philanthropic trusts, which have created a

host of national institutions in the natural sciences, medical care, energy

and the arts. The trusts also give substantial annual grants and

endowments to deserving individuals and institutions in the areas of

education, healthcare and social uplift.

By combining ethical values with business acumen, globalization with

national interests and core businesses with emerging ones, the Tata

Group aims to be the largest and most respected global brand from

India. This way, it fulfils its long-standing commitment to improving the

quality of life of its stakeholders.


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Leadership With Trust:-

Our purpose at the Tata Group is to improve the quality of life of the

communities we serve. We do this by attaining leadership positions in

sectors of national economic significance, to which the Group brings a

unique set of capabilities. This requires us to grow aggressively in

focused areas of business.

Our heritage of returning to society what we earn evokes trust among

consumers, employees, shareholders and the community. It is an

ongoing process, continuously enriched by the formalisation of the high

standards of behaviour that we expect from employees and companies.

The Tata name is a unique asset, representing leadership with trust.

Leveraging this asset to enhance Group synergy and becoming globally

competitive is the route to sustained growth and long-term success.


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UTI TRUSTE OF UNIT:-

Vision

To be the most Preferred Mutual Fund.

Our mission is to make UTI Mutual Fund:

The most trusted brand, admired by all stakeholders

The largest and most efficient money manager with global presence

The best in class customer service provider

The most preferred employer

The most innovative and best wealth creator

A socially responsible organization known for best corporate

governance

Genesis

January 14, 2003 is when UTI Mutual Fund started to pave its path

following the vision of UTI Asset Management Co. Ltd. (UTIAMC), which

was appointed by UTI Trustee Co, Pvt. Ltd. for managing the schemes

of UTI Mutual Fund and the schemes transferred/migrated from theerstwhile Unit Trust of India.

UTI AMC provides professionally managed back office support for all

business services of UTI Mutual Fund in accordance with the provisions

of the Investment Management Agreement, the Trust Deed, the SEBI

(Mutual Funds) Regulations and the objectives of the schemes. State-of-


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the-art systems and communications are in place to ensure a seamless

flow across the various activities undertaken by UTI MF.

Since February 3, 2004, UTI AMC is also a registered portfolio managerunder the SEBI (Portfolio Managers) Regulations, 1993 for undertaking

portfolio management services. UTI AMC also acts as the manager and

marketer to offshore funds through its 100 % subsidiary, UTI

International Limited, registered in Guernsey, Channel Islands.

Assets Under Management

UTIAMC presently manages a corpus of over Rs. 80,218 Crores* as on

31st March 2010 (source: www.amfiindia.com). UTI Mutual Fund has a

track record of managing a variety of schemes catering to the needs of

every class of citizens. It has a nationwide network consisting 141 UTI

Financial Centres (UFCs) and UTI International offices in London, Dubai

and Bahrain.

UTIAMC has a well-qualified, professional fund management team,

which has been fully empowered to manage funds with greater

efficiency and accountability in the sole interest of the unit holders. The

fund managers are ably supported by a strong in-house securities

research department. To ensure investors interests, a risk management

department is also in operation.

Reliability

UTIMF has consistently reset and upgraded transparency standards. All

the branches, UFCs and registrar offices are connected on a robust IT

network to ensure cost-effective quick and efficient service. All these


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have evolved UTIMF to position as a dynamic, responsive, restructured,

efficient and transparent entity, fully compliant with SEBI regulations


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Significance of the study:-

The significance of the study for performance evaluation is logically

interpretation of the evaluation of the different fund in the market. Boththe private and public sector fund are available with their scheme like

equity based scheme, debt fund, tax, saving, gilt and other scheme as

per sector wise. But the study mainly concentrate on the fair evaluation

of fund so that investor can know the changes in the net assets value

and the avenue where are consider to invest for return. It increases the

confidence of the investor in the fund as well as the knowledge of theinvestment activities in the market.

Review of existing literature:-

Mainly number of survey conduct by number of fund holder, number of

magazine also comes with the new data and the previous journals of

different people are considered to review the data. Number of internet

site also provide the old study and about the performance of the value

of the fund. To know the present performance of the scheme of the

company their facts sheet was gone through. Various newspapers also

read to get the secondary data and information.

Focus of the study

The main focus of the study is on the performance measurement and

evaluation of the fund so that a investor can calculate is future oriented

return from the market and can know the relation between risk and

return of the fund. The main attention on the weekly, monthly, and

yearly performance of the fund and their evaluation


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Limitation of the study

1 The main limitation in the study that the data is taken as secondary

2 The data are uses on the weekly, monthly and annually not daily

3 There is time constraint so that the study was no go deeply as

expected

4 Only limited source of information is available like newspaper, internet,magazine, and research paper on the net and only little information

about AMC through internet and books

5 Expected return not always based on past performance, so study is

not the end of conclusion

6 Limited knowledge to evaluate the value of different company may bereliable for other study and benefits.

7 Some scheme are not comparable because are different then other

companies scheme

8 Some scheme are new and not past record for study.

Method of Data Collection:-

1. Data collection is secondary in nature2. For the evaluation of fund performance and use of different

newspaper, magazine,

3. Use of internet mostly, and help of friend to collect the data is theessence of the collection.


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TOOL AND TECHNIQUE USED FOR STUDY

The most important and widely used measures of performance are:

1. The Treynor Measure2. The Sharpe Measure3. Jenson Model4. Fama Model

The Treynor Measure

Developed by Jack Treynor, this performance measure evaluates funds

on the basis of Treynor's Index. This Index is a ratio of return generated

by the fund over and above risk free rate of return (generally taken to

be the return on securities backed by the government, as there is no

credit risk associated), during a given period and systematic risk

associated with it (beta). Symbolically, it can be represented as

Treynor's Index (Ti) = (Ri - Rf)/Bi.

Where, Ri represents return on fund, Rf is risk free rate of return and Bi

is beta of the fund.

All risk-averse investors would like to maximize this value. While a high

and positive Treynor's Index shows a superior risk-adjusted performance

of a fund, a low and negative Treynor's Index is an indication of

unfavorable performance.


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The Sharpe Measure

In this model, performance of a fund is evaluated on the basis of Sharpe

Ratio, which is a ratio of returns generated by the fund over and aboverisk free rate of return and the total risk associated with it. According to

Sharpe, it is the total risk of the fund that the investors are concerned

about. So, the model evaluates funds on the basis of reward per unit of

total risk. Symbolically, it can be written as:

Sharpe Index (Si) = (Ri - Rf)/Si

Where, Si is standard deviation of the fund.

While a high and positive Sharpe Ratio shows a superior risk-adjusted

performance of a fund, a low and negative Sharpe Ratio is an indication

of unfavorable performance.

Comparison of Sharpe and Treynor

Sharpe and Treynor measures are similar in a way, since they both

divide the risk premium by a numerical risk measure. The total risk is

appropriate when we are evaluating the risk return relationship for well-

diversified portfolios. On the other hand, the systematic risk is the

relevant measure of risk when we are evaluating less than fully

diversified portfolios or individual stocks. For a well-diversified portfolio

the total risk is equal to systematic risk. Rankings based on total risk

(Sharpe measure) and systematic risk (Treynor measure) should be

identical for a well-diversified portfolio, as the total risk is reduced to

systematic risk. Therefore, a poorly diversified fund that ranks higher on

Treynor measure, compared with another fund that is highly diversified,will rank lower on Sharpe Measure.


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Jenson Model

Jenson's model proposes another risk adjusted performance measure.

This measure was developed by Michael Jenson and is sometimesreferred to as the Differential Return Method. This measure involves

evaluation of the returns that the fund has generated vs. the returns

actually expected out of the fund given the level of its systematic risk.

The surplus between the two returns is called Alpha, which measures

the performance of a fund compared with the actual returns over the

period. Required return of a fund at a given level of risk (Bi) can becalculated as:

Ri = Rf + Bi (Rm - Rf)

Where, Rm is average market return during the given period. After

calculating it, alpha can be obtained by subtracting required return from

the actual return of the fund.

Higher alpha represents superior performance of the fund and vice

versa. Limitation of this model is that it considers only systematic risk

not the entire risk associated with the fund and an ordinary investor can

not mitigate unsystematic risk, as his knowledge of market is primitive.

Fama Model

The Eugene Fama model is an extension of Jenson model. This model

compares the performance, measured in terms of returns, of a fund with

the required return commensurate with the total risk associated with it.

The difference between these two is taken as a measure of the

performance of the fund and is called net selectivity.


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The net selectivity represents the stock selection skill of the fund

manager, as it is the excess return over and above the return required

to compensate for the total risk taken by the fund manager. Higher

value of which indicates that fund manager has earned returns well

above the return commensurate with the level of risk taken by him.

Required return can be calculated as: Ri = Rf + Si/Sm*(Rm - Rf)

Where, Sm is standard deviation of market returns. The net selectivity is

then calculated by subtracting this required return from the actual return

of the fund.

Among the above performance measures, two models namely, Treynor

measure and Jenson model use systematic risk based on the premise

that the unsystematic risk is diversifiable. These models are suitable for

large investors like institutional investors with high risk taking capacities

as they do not face paucity of funds and can invest in a number of

options to dilute some risks. For them, a portfolio can be spread across

a number of stocks and sectors. However, Sharpe measure and Fama

model that consider the entire risk associated with fund are suitable for

small investors, as the ordinary investor lacks the necessary skill and

resources to diversified. Moreover, the selection of the fund on the basis

of superior stock selection ability of the fund manager will also help in

safeguarding the money invested to a great extent. The investment in

funds that have generated big returns at higher levels of risks leaves the

money all the more prone to risks of all kinds that may exceed the

individual investors' risk appetite.


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Evaluation of the mutual fund scheme on the bases of fund return and

standard deviation and variance & co-variance of the fund.

NAME OF THE SCHME FUNDRETURN

STANDARDDEVIATIOON

VARIANCE CO-VARIANCE

CANBANK INDEX-GROWTH -0.000484

0.003922 0.000015 8.098889

GIC BALANCE FUND 0.001069 0.002376 0.000006 2.22204

LIC G SEC FUND-DIVIDENT 0.000056 0.001152 0.000001 20.64

UTI BALANCE FUND-GROWTH 0.000328 0.002871 0.000008 8.753963

SBI MAGNUM BALANCE FUND-DIVIDENT

0.003343 0.003343 0.000011 3.051424

ESCORTS BALANCED FUND-DIVIDENT

0.001927 0.075353 0.005678 39.11232

PRUDENTIAL ICICI BALANCE-GROWTH

0.001004 0.0029 0.000008 2.88808

BIRLA BOND INDEX FUND-GROWTH

0.000125 0.000376 0 3.006045

CHOLA GROWTH FUND-GROWTH 0.000908 0.005401 0.000029 5.951515

ING VYSYA LIQUID FUND-

GROWTH

0.000263 0.000338 0 1.284391

RELIANCE GROWTH-GROWTH 0.01095 0.042239 0.001784 3.857559

SAHARA TAXGAIN-GROWTH 0.00588 0.015326 0.000235 2.60629

SUNDARAM MONEY FUND-GROWTH

0.000642 0.002047 0.000004 3.19022

JM MIP FUND-MONTHLYDIVIDENT 0.000035 0.000009 0 0.257009


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The square of standard deviation of returns gives the Variance.

Coefficient of variation (COV) is found by dividing standard deviation by

mean returns. return (NAVt- NAVt-1)/ NAVt-1

Where NAVt is Net asset value of a mutual fund or Index for a day t

,NAVt-1, is Net asset value of annual fund or Index for day (t-1).

Returns on each of these seventeen mutual funds and also for each of

the two indices is given in the following table.

For the S & P Index, the returns are

Return= Indext- Indext-1/ Indext-1All return are calculated on

the bases of S &p index bases, it consist both private & public sector

scheme. there is 5000 scheme but only 17 scheme to consider for study

because of time constraints.

Detailed study of this fund comes under data interpretation and analysis

of the fund further in this project

FRANKLIN FMCG FUND-DIVIDENT

0.001107 0.002448 0.000006 2.212039

GRINDLAYS CASH FUND-GROWTH

0.000203 0.000115 0 0.568048

ABN AMRO CASH FUND-GROWTH 0.000152 0.000013 0 0.082891


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RETURNS OF ONE YEAR FROM 15 MARCH TO 15 APRIL OF THE

SELECT MUTUAL FUND


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TOP 15 OPEN ENDED -EQUITY FUNDS - PERIOD (LAST 3 YEARS)


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Rank Scheme Name Date NAV

(Rs.)

Last 3

Years

Since Inception

1 Reliance Pharma

Fund - Growth

Apr 12 ,

2010

49.23 34.5 31.33

2 Reliance

Diversified Power

Sector Fund -

Growth

Apr 12 ,

2010

80.86 32.36 42.43

3 Reliance Banking

Fund - Growth

Apr 12 ,

2010

81.35 31.88 35.75

4 IDFC Premier

Equity Fund - Plan

A - Growth

Apr 12 ,

2010

28.92 28.96 26.39

5 Reliance Regular

Savings Fund -

Equity - Growth

Apr 12 ,

2010

29.44 26.82 24.97

6 Taurus Taxshield -

Growth

Apr 12 ,

2010

32.44 26.28 14.18

7 Sundaram BNP

Paribas SMILE

Fund - Growth

Apr 12 ,

2010

32.02 24.04 25.41
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8 ICICI Prudential

Discovery Fund -

IP- Growth

Apr 12 ,

2010

19.68 23.53 18.04

9 Franklin Pharma

Fund - Growth

Apr 12 ,

2010

54.76 23.48 16.67

10 Birla Sun Life

Dividend Yield Plus

- Growth

Apr 12 ,

2010

74.44 23.08 32.67

11 UTI Thematic

Banking Sector

Fund - Growth

Apr 12 ,

2010

36.2 22.84 23.72

12 ING Dividend Yield

Fund - Growth

Apr 12 ,

2010

20.57 22.74 17.6

13 UTI Dividend Yield

Fund - Growth

Apr 12 ,

2010

28.69 22.73 24.32

14 UTI OpportunitiesFund - Growth

Apr 12 ,2010

24.42 22.63 20.93

15 Templeton India

Growth Fund -

Growth

Apr 12 ,

2010

115.71 22.61 19.88
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ICRA 7-STAR GOLD AWARD WINNERS 2009 - ONE YEAR

PERFORMANCE

Scheme Name Ranking Category Award

DSP Black Rock

Balanced Fund

Open Ended Balanced

Fortis Flexi Debt Fund Open Ended Debt - Long

Term

Birla Sun Life Dynamic

Bond Fund

Open Ended Debt - Short

Term

UTI MNC Fund Open Ended Diversified

Equity - Aggressive

UTI Contra Fund Open Ended Diversified

Equity Defensive

UTI Nifty Fund Open Ended Equity Index

Fidelity Tax Advantage

Fund

Open Ended Equity Linked

Savings Scheme (ELSS)

UTI Floating Rate Fund

- Short Term

Open Ended Floating Rate

Fund
http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=DS007http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=DS007http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=AB006http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=BM093http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=BM093http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=UT004http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=UT231http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=UT111http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=FD004http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=FD004http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=UT242http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=UT242http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=UT242http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=UT242http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=FD004http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=FD004http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=UT111http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=UT231http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=UT004http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=BM093http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=BM093http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=AB006http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=DS007http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=DS007


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ICICI Prudential Gilt

Fund Investment Plan

Open Ended Gilt

Kotak Liquid - Regular

Plan

Open Ended Liquid

LIC MF Liquid Plus Fund Open Ended Liquid Plus

Reliance Liquid Plus -

Institutional Plan

Open Ended Liquid Plus -

Institutional Plan

DWS Money Plus

Advantage Fund

Open Ended Marginal

Equity

The ranks assigned by ICRA/ICRA Online are based on an objective

analysis of information obtained from the entities concerned as alsoother sources considered reliable by ICRA/ICRA Online. However, the

ranks must be construed solely as statements of opinion and ICRA/ICRA

Online shall not be liable for any losses incurred by any user from any

use of the ranks. Also, the ranks are neither a certificate of any statutory

compliance nor any guarantee on the future performance of the ranked

entities/schemes.

An entity wishing to use the ICRA Online Mutual Funds Rankings for any

publicity or in its prospectus / offer document / promotional literature /

advertisement or wishing to re-disseminate these rankings may do so

only after obtaining the written permission of ICRA / ICRA Online.
http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=PI014http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=PI014http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=PI014http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=KM022http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=KM022http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=LC130http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=LC130http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=RC357http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=RC357http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=RC357http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=DB165http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=DB165http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=DB165http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=DB165http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=RC357http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=RC357http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=LC130http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=KM022http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=KM022http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=PI014http://www.mutualfundsindia.com/fundfactsheet1.asp?sname=PI014


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64/87


PERFORMANCE OF TATA MUTUAL FUND

Scheme

Name

7

days

14

days

1

month

3

month

6

month

1

year

3

year

Tata Equity

Opportunitie

s Fund -

Growth

0.02 0.15 2.51 2.42 12.88 93.31 11.23

Tata Growth

Fund -

Growth

1.02 1.11 5.05 4.66 10.28 91.82 8.10

Tata Liquid

Fund -

Super High

Investment

Plan -

Growth

0.09 0.18 0.41 1.05 2.08 4.35 7.04

Tata Gilt

High

Investment

Fund -

Growth

0.48 0.42 0.66 0.37 2.29 -2.01 5.22
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Tata

Monthly

IncomeFund -

Growth

0.19 0.36 0.76 0.41 2.69 5.44 7.19

Tata

Balanced

Fund -

Growth

0.52 0.91 2.31 4.13 11.67 69.02 14.62

Tata Pure

Equity Fund

- Growth

0.11 0.09 2.35 3.21 11.41 76.32 14.12

Tata

Income

Fund -

Growth

1.02 0.81 1.01 0.61 2.17 -1.26 4.83

TATA mutual fund growth plan which is considered for capital

appreciation in the value of the unit of the fund showing a good growth

in opportunities fund-growth scheme like 3 yearly growth is 11.23 and

one yearly growth is 93.31 and other scheme like tata growth fund

showing 91.82 growth in the fund and scheme tata pure equity fund-

growth is giving 76.32% yearly return and 14.12% 3 yearly growth in

the return. So tata growth fund paying a good return to investors.
http://c/MutualFund/MFInner.aspxhttp://c/MutualFund/MFInner.aspxhttp://c/MutualFund/MFInner.aspxhttp://c/MutualFund/MFInner.aspxhttp://c/MutualFund/MFInner.aspxhttp://c/MutualFund/MFInner.aspxhttp://c/MutualFund/MFInner.aspxhttp://c/MutualFund/MFInner.aspxhttp://c/MutualFund/MFInner.aspxhttp://c/MutualFund/MFInner.aspxhttp://c/MutualFund/MFInner.aspxhttp://c/MutualFund/MFInner.aspxhttp://c/MutualFund/MFInner.aspxhttp://c/MutualFund/MFInner.aspxhttp://c/MutualFund/MFInner.aspxhttp://c/MutualFund/MFInner.aspxhttp://c/MutualFund/MFInner.aspxhttp://c/MutualFund/MFInner.aspxhttp://c/MutualFund/MFInner.aspxhttp://c/MutualFund/MFInner.aspxhttp://c/MutualFund/MFInner.aspxhttp://c/MutualFund/MFInner.aspxhttp://c/MutualFund/MFInner.aspxhttp://c/MutualFund/MFInner.aspxhttp://c/MutualFund/MFInner.aspxhttp://c/MutualFund/MFInner.aspxhttp://c/MutualFund/MFInner.aspxhttp