A STUDY ON MUTUAL FUNDS

IN

ROYAL BANK OF SCOTLAND

Chetpet,chennai

An internship report submitted in partial fulfillment of the requirement for the

Award of the degree of

MASTER OF BUSINESS ADMINISTRATION

FROM

UNIVERSITY OF MADRAS, CHENNAI

SUBMITTED BY

RAMANI.R

REG. NO: MA90302

Under the guidance of

Mr.M.GANESAN MBA.,M.Phil.,SAP

Lecturer

DEPARTMENT OF MANAGEMENT STUDIES

VELAMMAL COLLEGE OF MANAGEMENT & COMPUTER STUDIES

(AN ISO 9001:2000 INSTITUTION)

Velammal Nagar Ambattur – Red hills Road, Chennai-66.

CONTENTS

1. Objectives

Collection of data

Limitations

2. About the Royal Bank of Scotland group

1.1 About RBS India

1.2Van Gogh Preferred Banking

2. About the Industry

2.1 Investments

2.2 Types of Investments industries in India

3. Mutual Funds

3.1 Types of Mutual Funds

3.2Advantages of Mutual Funds

3.3 Disadvantages of Mutual Funds

3.4 Reasons to invest in Mutual Funds

4. Taxation

4.1 Taxes on Mutual Funds in India

4.2 Security Transaction Taxes

4.3 Dividend Stripping

4.4 Taxation on dividend

5. Products

5.1 Top 5 Close Ended -Equity Funds   

5.2 Top 5 open Ended -Equity Funds   

5.3 Top 5 Close Ended –Debt Funds   

5.4 Top 5 open Ended –Debt Funds   

6. CRISIL Tracker

6.1 Introduction

6.2 Features of CRISIL-Wealth Tracker

6.3 Transactions

6.4 Portfolio

7. My learning from the project

ACKNOWLEDGEMENT

At the outset, I would like to submit my sincere gratitude to my Director Ms. CHRISTIAN PALANI, for providing an opportunity to undergo this intern-ship.

I extend my sincere thanks to Mr.GANESAN, for there valuable guidance in completing this report for fulfillment of the norms of the University.

I thank Mr. RAJASEKAR AYYALU (Assistant vice president-VGPB), Mrs. ANKITHA CHOPRA, (RM-VGPB), Ms.B.BHAGYALAKSHMI, who took a lot of effort for me to complete this internship successfully in their esteemed concern.

I thank each and everyone who helped me to complete my internship in an effective manner.

OBJECTIVE:

Primary Objectives

The main objective of this study is doing an analysis of Mutual Fund

portfolio.

Secondary objectives

to understand the portfolio management process in mutual fund

To know the effects of political, economical, social and technological factors on Mutual

Fund Industry in India.

Collection of data

Sources of the data collection will be,

(1) Internet

(2) Various magazines/bulletins

(3) Related books

Limitations

It is based on Secondary Data.

Time Constraint

Lack of resources.

ABOUT THE ROYAL BANK OF SCOTLAND GROUP

The Royal Bank of Scotland Group is one of the largest financial services groups in the world.

Brands of RBS operate around the globe to provide banking services for individuals, businesses

and institutions.

In 2007, the Group purchase several parts of the Dutch bank, ABN AMRO.

The Group serves a variety of medium to large enterprises, including multi-national corporations

(MNC) and financial institutions. We offer integrated consumer and business banking services

such as

transaction banking

risk management

investment banking

private banking

asset management.

ABOUT RBS INDIA

RBS India offers an unparalleled suite of client services in India. Using their global reach and

drawing on the expertise of their team of research, sales and trading, equity capital market and

mergers & acquisitions (M&A) advisory professionals, they have led many of the biggest and

most innovative landmark transactions in India for their Corporate and Institutional Clients.

They offer a broad range of transaction banking, fixed income and foreign exchange products

and services, including sales and trading, fixed income origination, derivatives, structured

lending and commodity financing.

Additionally, they provide a diverse range of product offerings including personal loans, credit

cards, savings accounts, financial planning, investment and insurance services, to meet the

everyday financial needs of over a million Personal Banking clients in India.

VAN GOGH PREFERRED BAKING:

Van Gogh Preferred Banking is the finest standard in relationship banking for the most

demanding businesses and high net worth individuals.It offers an enhanced level of services and

products for wealth management and business banking requirements.

At Van Gogh Preferred Banking, the philosophy is to maximize financial opportunities for

their clients and transform routine banking into a memorable and profitable experience

Van Gogh Preferred Banking was introduced in India in the year 2002. Offered across all 31

branches in 23 cities, it has emerged as the preferred choice for clients for both wealth

management and business banking requirements. This is further corroborated by Van Gogh

Preferred Banking being one of the largest wealth managers of Equity Mutual Funds and

Insurance in the country

ABOUT THE INDUSTRY:

INVESTMENTS:

Investment is referred to as the concept of deferred consumption, which might comprise

of purchasing an asset, rendering a loan, keeping the saved funds in a bank account such that it

might generate lucrative returns in the future. The options of investments are huge; all of them

having different risk-reward trade off. This concludes that the investment industry is really broad

and that is why understanding the core concepts of investments and accordingly analyzing them

is essential. After thorough understanding of the investment industry, can an investor create and

manage his own investment portfolio such that the returns are maximized with the least risk

exposure.

TYPES OF INVESTMENTS INDUSTRIES IN INDIA:

Cash investments:

Short-term obligations, usually ninety days or less, that provide a return in the form of

interest payments.

Cash investments are short-term, interest-bearing securities that offer investors the

opportunity to collect a specified interest rate, keep a high level of security and maintain liquidity

with their money. The most commonly used cash investments are bank savings accounts,

certificates of deposits (CDs), and money market funds. Some employer-sponsored retirement

plans may offer guaranteed investment contracts, which are another form of cash investments.

Cash investments are best used for emergency funds. This is money you want to have some

return on, but if you needed it, you could have it in hand very quickly. This may also be money

that you would like to invest in the near future, but haven’t quite decided which investments are

right for you. Because these investments are highly liquid, they tend to offer lower returns than

other investments might. Most of these investments also don’t have any surrender charges for

withdrawing the money.

Debt securities:

This type of investment gives returns in the form of fixed periodic payments and the

fixed capital appreciate at maturity. This is safe bait for the investors in the investment industry

and has always proved to be the risk free investment tool. Though, it is generally low in risks, the

returns are also lower than the other peer securities.

Stocks:

Investors can also buy stocks (equities) from the secondary markets and be a part of any

business corporates that are listed in the bourses. By this way, one can become the part of the

profits that the company generates. But one should remember that stocks are generally more

volatile and carries more risk than bonds.

Mutual funds:

They are usually a collection of stocks and bonds that a fund manager selects for an

investor such that the returns are maximum. The investor does not have to track the investment,

be it a bond, stock- or index-based mutual funds.

Derivatives:

Derivatives are financial contracts, whose value is derived from the value of the

underlying assets like equities, commodities and bonds. They can take the form of futures,

options and swaps. Investors choose derivatives as they are used to minimize the risk of loss that

result from variations in the underlying asset values.

Commodities:

The items that are traded on the commodities market are agricultural and industrial

commodities and they need to be standardized. Commodities trading have always been giving

high returns and thus they are the riskiest of all investment options. One, who trades in

commodities, requires specialized knowledge and analytical capabilities.

Real estate:

Investing in real estate has to be a long term affair. Funds get hooked into the real estate

sector for a considerable time period.

MUTUAL FUNDS

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 then invested in capital market instruments such as

shares, debentures and other securities. The income earned through these investments and the

capital appreciation realised are 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 a

relatively low cost. The flow chart below describes broadly the working of a mutual fund.

In the above graph shows how Mutual Fund works and how investor earns

money by investing in the Mutual Fund. Investors put their saving as an

investment in Mutual Fund. The Fund Manager who is a person who takes the

decisions where the money should be invested in securities according to the

scheme’s objective. Securities include Equities, Debentures, Govt. Securities,

Bonds, and Commercial Paper etc. These Securities generates returns to the Fund Manager. The

Fund Manager passes back return to the investor.

Types of Mutual Funds

Mutual Fund schemes may be classified on the basis of its structure and its

investments.

By Structure:

Portfolio Management in Mutual Funds

Open-End Funds:

Available for sale and repurchase at all times based on the net asset

values

Unit capital of the fund is not fixed

Fund size and its total investment go up if more new subscriptions

come in than redemptions and vice versa.

Close-End Funds:

One time sale of fixed number of units.

Investors are not allowed to buy or redeem the units directly from the

funds. Some funds offer repurchase after a fixed period.

Listed on stock exchange and investors can buy or sell units through

exchange. May be traded at a discount or premium to NAV based on

investor’s perception about the funds future performance and other

market factors.

A closed-end fund has a stipulated maturity period which generally

ranging from 3 to 15 years. The fund is open for subscription only during

a specified period. Investors can invest in the scheme at the time of the

initial public issue and thereafter they can buy or sell the units of the

scheme on the stock exchanges where they are listed. In order to

provide an exit route to the investors, some close-ended funds give an

option of selling back the units to the Mutual Fund through periodic

repurchase at NAV related prices. SEBI Regulations stipulate that at

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

Interval Funds:

Interval funds combine the features of open-ended and close-ended

schemes. They are open for sale or redemption during pre-determined

intervals at NAV related prices.

Portfolio Management In Mutual Funds

By Investment Objective

Money/Cash Market Funds:

Instruments having less then one year maturity;

Treasury bills issued by government

Certificates of deposit issued by governments

Commercial paper issued by companies

Inter bank call money

Aim to provide easy liquidity, preservation of capital and moderate

income.

Gilt Funds:

Securities maturity over a year;

Invested in government securities are called dated securities

Virtually zero risk of default it is backed by the government

It is more sensitive to market interest rates

Debt funds:

Money Market Funds

The money market consists of short-term debt instruments, mostly treasury bills. This is a safe

place to park the money. You won't get great returns, but you won't have to worry about losing

your principle A typical return is twice the amount you would earn in a regular checking/savings

account and a little less than the average certificate of deposite(CD).

Bond/Income Funds

Income funds are named appropriately: their purpose is to provide current income on a steady

basis. These terms denote funds that invest primarily in government and corporate debt. While

fund holdings may appreciate in value, the primary objective of these funds is to provide a steady

cashflow to investors.

Bond funds are likely to pay higher returns than certificates of deposit and money market

investments, but bond funds aren't without risk. Because there are many different types of bonds,

bond funds can vary dramatically depending on where they invest. There are three types of

bonds,

Long term bonds (2-3 years)

Medium term bonds(1-2 years)

Short term bonds(less than 1 year)

Hybrid Funds

The objective of these funds is to provide a balanced mixture of safety, income and capital

appreciation. The strategy of balanced funds is to invest in a combination of fixed income and

equities. A typical balanced fund might have a weighting of 80% equity and 20% debt. The

weighting might also be restricted to a specified maximum or minimum for each asset class.

Equity funds:

Funds that invest in stocks represent the largest category of mutual funds. Generally, the

investment objective of this class of funds is long-term capital growth with some income. There

are, however, many different types of equity funds because there are many different types of

equities.

The idea is to classify funds based on both the size of the companies invested in and the

investment style of the manager. The term value refers to a style of investing that looks for high

quality companies that are out of favor with the market. These companies are characterized by

low P/E and price to book and high dividend yield. The opposite of value is growth, which refers

to companies that have had (and are expected to continue to have) strong growth in earnings,

sales and cash flow. A compromise between value and growth is blend, which simply refers to

companies that are neither value nor growth stocks and are classified as being somewhere in the

middle.

In equity funds, we have,

Large caps

Mid caps

Small caps

Large caps

A term used by the investment community to refer to companies with a market capitalization

value of more than $10 billion. Large cap is an abbreviation of the term "large market

capitalization". Market capitalization is calculated by multiplying the number of a company's

shares outstanding by its stock price per share.

Mid caps

A company with a market capitalization between $2 and $10 billion. Mid cap is an abbreviation

for the term "middle capitalization".

Small caps

Refers to stocks with a relatively small market capitalization. The definition of small cap can

vary among brokerages, but generally it is a company with a market capitalization of between

$300 million and $2 billion.

ALTERNATE ASSETS:

Real Estate Investment Trust – REIT

A security that sells like a stock on the major exchanges and invests in real estate

directly, either through properties or mortgages.

Individuals can invest in REITs either by purchasing their shares directly on an open

exchange or by investing in a mutual fund that specializes in public real estate. An additional

benefit to investing in REITs is the fact that many are accompanied by dividend reinvestment

plans (DRIPs). Among other things, REITs invest in shopping malls, office buildings,

apartments, warehouses and hotels. Some REITs will invest specifically in one area of real estate

- shopping malls, for example - or in one specific region, state or country. Investing in REITs is a

liquid, dividend-paying means of participating in the real estate market.

REITs receive special tax considerations and typically offer investors high yields, as well

as a highly liquid method of investing in real estate.

Equity REITs

Equity REITs invest in and own properties (thus responsible for the equity or value of

their real estate assets). Their revenues come principally from their properties rents.

Mortgage REITs

Mortgage REITs deal in investment and ownership of property mortgages. These REITs

loan money for mortgages to owners of real estate, or purchase existing mortgages or mortgage-

backed securities. Their revenues are generated primarily by the interest that they earn on the

mortgage loans.

Hybrid REITs

Hybrid REITs combine the investment strategies of equity REITs and mortgage REITs

by investing in both properties and mortgages.

Private Equity

Equity capital that is not quoted on a public exchange. Private equity consists of investors and

funds that make investments directly into private companies or conduct buyouts of public

companies that result in a delisting of public equity. Capital for private equity is raised from

retail and institutional investors, and can be used to fund new technologies, expand working

capital within an owned company, make acquisitions, or to strengthen a balance sheet.  

The majority of private equity consists of institutional investors and accredited investors who can

commit large sums of money for long periods of time. Private equity investments often demand

long holding periods to allow for a turnaround of a distressed company or a liquidity event such

as an IPO or sale to a public company.

Debentures

A type of debt instrument that is not secured by physical asset or collateral. Debentures are

backed only by the general creditworthiness and reputation of the issuer. Both corporations and

governments frequently issue this type of bond in order to secure capital. Like other types of

bonds, debentures are documented in an indenture.

BALANCED FUNDS

Has a portfolio of debt instrument, convertible securities, preference

and equity shares.

Almost equal proportion of debt/money market securities and equities.

Normally funds maintain a ratio of 55:45 or 60:40 some funds allocate

a flexible proportion based on market conditions.

Aim is to gain income, capital appreciation and preservation of capital.

Ideal for investors for a conservative and long term orientation.

Load Funds

A Load Fund is one that charges a commission for entry or exit. That is, each time you buy or

sell units in the fund, a commission will be payable. Typically entry and exit loads range from

1% to 2%. It could be worth paying the load, if the fund has a good performance history.

No-Load Funds

A no-Load Fund is one that does not charge a commission for entry or exit. That is, no

commission is payable on purchase or sale of units in the fund. The advantage of a no load fund

is that the entire corpus is put to work.

Other Schemes

Tax saving Schemes

These schemes offer tax rebates to the investors under specific provisions of the Indian Income

Tax laws as the Government offers tax incentives for investment in specified avenues.

Investments made in Equity Linked Savings Schemes (ELSS) and pension Schemes are

allowed as deduction u/s 88 of the Income Tax Act, 1961. The Act also provides opportunities to

investors to save capital gains u/s 54EA by investing in Mutual Funds, provided the capital asset

has been sold prior to April 1, 2000 and the amount is invested before September 30,

2000.

Special Schemes

Industry Specific Schemes

Industry Specific Schemes invest only in the industries specified in the offer document. The

investment of these funds is limited to specific industries like InfoTech, FMCG and

Pharmaceuticals etc.

Index Schemes

Index Funds attempt to replicate the performance of a particular index such as the BSE Sense or

the NSE 50 Portfolio Management In Mutual Funds

Sector Schemes

Sector Funds are those, which invest exclusively in a specified industry or a group of industries

or various segments such as 'A' Group shares or initial public offerings.

Advantages of Mutual Funds

• Professional Management - The primary advantage of funds is the professional management

of your money. Investors purchase funds because they do not have the time or the expertise to

manage their own portfolios. A mutual fund is a relatively inexpensive way for a small investor

to get a full-time manager to make and monitor investments.

• Diversification - By owning shares in a mutual fund instead of owning individual stocks or

bonds, your risk is spread out. 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. In other words,

the more stocks and bonds you own, the less any one of them can hurt you (think about Enron).

Large mutual funds typically own hundreds of different stocks in many different industries. It

wouldn't be possible for an investor to build this kind of a portfolio with a small amount of

money.

• Economies of scale - 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.

• Liquidity- Just like an individual stock, a mutual fund allows you to request that your shares be

converted into cash at any time.

• Simplicity - Buying a mutual fund is easy! Pretty well any bank has its own line of mutual

funds, and the minimum investment is small. Most companies also have automatic purchase

plans whereby as little as $100 can be invested on a monthly basis.

Disadvantages of Mutual Funds

• Professional Management - Many investors debate whether or not the professionals are any

better than you or I at picking stocks. Management is by no means infallible, and, even if the

fund loses money, the manager still gets paid.

• Costs - Creating, distributing, and running a mutual fund is an expensive proposition.

Everything from the manager’s salary to the investors’ statements cost money. Those expenses

are passed on to the investors. Since fees vary widely from fund to fund, failing to pay attention

to the fees can have negative long-term consequences. Remember, every dollar spend on fees is a

dollar that has no opportunity to grow over time. (Learn how to escape these costs in.

• Dilution - It's possible to have too much diversification. Because funds have small holdings in

so many 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.

• Taxes - When a fund manager sells a security, a capital-gains tax is triggered. Investors who

are concerned about the impact of taxes need to keep those concerns in mind when investing in

mutual funds. Taxes can be mitigated by investing in tax-sensitive funds or by holding non-tax

sensitive mutual fund in a tax-deferred account.

Reasons to invest in mutual funds

Here are the 10 best reasons to keep buying mutual funds:

1. The average consumer does not have the time or resources to gain enough knowledge to

become a confident stock picker. Mutual fund portfolio managers have the expertise and

resources to do the required in-depth research needed before an investment is approved.

2. Mutual funds invest in a broad range of securities. Mutual fund unitholders can benefit from

diversification usually available only to individual investors wealthy enough to buy significant

positions in a wide variety of securities.

3. Index funds are appropriate for investors who are willing to settle for average returns. Many

well-managed mutual funds outperform the indexes year after year, providing superior returns

for unitholders. Returns are not the only criteria to examine when choosing a mutual fund.

4. The fees paid to mutual funds companies and managers are well worth the services and

benefits provided to the investor i.e.: diversification, professional management, record keeping,

liquidity, etc. There are fees in any investment product. For example, if you invest in GICs, you

pay a fee called a spread.

5. When a fund disburses capital gains to its investors, it means it is making money for its

investors. Capital gains distributions, as well as income and dividend distributions, can be

converted into more fund units, which will continue to grow in value.

6. If you have personal ethical standards such as preferring environmentally friendly companies,

you have the option of choosing from the wide range of funds that are designed specifically to

invest in companies that meet certain ethical criteria.

7. Financial advisors have their clients' best interests at heart when recommending a fund.

Financial advisors must recommend funds that suit the clients' individual goals and objectives.

8. One of the major benefits of investing in mutual funds is liquidity. You can easily sell your

units any time you need cash. Fund companies are required to buy back redeemed units whereas

shares sold on the open market can only be sold if there is a demand for that stock.

9. With over 1,800 mutual funds available, there is a wide range of mutual fund choices with

varying fees. Management fees should not be the most important consideration when choosing a

fund. If a fund is offering superior returns, a higher-than-average management fee may not be an

issue.

10. Mutual fund investors continue to believe in the mutual fund product. The industry has

grown from $25 billion in assets under management in 1990 to $317 billion in 1998 as the

confidence in mutual funds as an investment product continues to grow.

RISK PROFILE OF CUSTOMERS:

According to the risk profile of the investor, the portfolio varies.

Types of Investor:

1. Cautious Investor:

It’s kind of investor who is less bothers about high returns. He wants to

lower down his risk profile and demand for fixed income on his

investment. His main objective of investment is fixed returns with less

risk.

2. Balanced Investor:

It’s a kind of investor who is bothers about returns as well as risk. He

wants moderate returns with moderate risk.

3. Aggressive Investor:

It’s a kind of investor who is ready to take risk. He believes in high risk

and high returns. So he only wants to invest in equity schemes.

Portfolio Management In Mutual Funds

I have made an assumption that each investor want to invest 5 Lakh Rs.

TAXATION

Taxation refers to the act of a taxing authority actually levying tax. Taxation as a term applies to

all types of taxes, from income to gift to estate taxes. It is usually referred to as an act; any

revenue collected is usually called "taxes."

Taxes on Mutual Funds in India

Equity oriented mutual funds are those mutual funds which invest more than 65% of their funds

in equities. Dividend income received from such mutual funds is exempt from tax for domestic

investors. If an investor sells their equity oriented mutual funds then any capital gains on those is

also not taxable. But to qualify for this exemption the investor should have sold the mutual funds

one year after its purchase.  However Securities Transaction Tax (STT) should be paid on equity

oriented mutual funds at 0.25% when the units are sold back to the mutual fund.

For funds other than equity oriented funds the tax of dividend is zero, but long term capital gains

i.e. gains on mutual funds sold after a period of one year are taxed at either 10 or 20% depending

on whether indexation has been used or not. 

SECURITY TRANSACTION TAXES:

EQUITY:

INDIA: INTERNATIONAL:

Short term-15% STT-NIL.

Long term-NIL

DEBT:

INDIA:` INTERNATIONAL:

Short term- as per income tax.

Long term- 10% on gain or 20% after indaxaton STT-NIL.

STT ON PUBLIC TRUST:

Tax free entity.

DIVIDEND STRIPPING:

Dividend stripping refers to using dividends declared by a mutual fund to lower one's tax

liability. If you expect a mutual fund to declare a dividend soon, you can buy its units before the

record date.

When the fund declares a dividend, the NAV will go down, and that is the amount you will

receive as dividend. And when the record date for dividend payment is over, you can sell these

units. What you end up with is a capital loss and a dividend. Since dividend paid by equity funds

is tax free as compared to 10 per cent you pay on short-term capital gains, the tax liability stands

reduced. In addition to that ,the investor can claim for the loss when he invest before 3 months

and exit after 9 months of period.

TAXATION ON DIVIDEND:

EQUITY:

INDIVIDUAL NON-INDIVIDUAL

Tax free Tax free

DEBT:

INDIVIDUAL NON-INDIVIDUAL

14.1625% 22.66%

LIQUID FUND:

INDIVIDUAL NON-INDIVIDUAL

28.3265% 28.3265%

PRODUCTS

KINDS OF PRODUCTS:

Equity

Debt

Balance

Top 5   Close Ended   -Equity Funds     - Period (Last 1 Month)

Rank Scheme Name Date NAV (Rs.) % Return as on

NAV date

1  Birla sun life pure value fund-Dividend Jun 11 , 2010   15.0151 3.0125 

2  Birla sun life pure value fund-Growth Jun 11 , 2010   16.0251 3.0116 

3  HDFC Long Term Equity Fund - Dividend  Jun 11 , 2010   11.998 2.996 

4  HDFC Long Term Equity Fund - Growth  Jun 11 , 2010   14.503 2.9896 

5  HDFC Mid-Cap Opportunities Fund -

Dividend  Jun 11 , 2010   13.661 2.7993 

Birla sun life pure value fund-Dividend

INVESTMENT INFORMATION:

Fund Type Close-Ended

Investment Plan Dividend

Asset Size (Rs cr) 105.41 (May-31-2010)

Minimum Investment Rs.5000

Last Dividend Rs.1.00 (Apr-30-2010)

Bonus N.A.

Launch Date Mar 01, 2008

Benchmark BSE 200

Fund Manager Ajay Argal

Entry Load Entry Load is 0%.

Exit Load 0%

PERFORMANCE:

Returns (as on Jun 15, 10)

Period

1 mth

Retur

ns

(%)

2.2

3

mths8.0

6

mths13.9

1 year 41.1

2 year 30.2

3 year -

5 year -

Absolute

Returns (in

%)

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ar

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tr

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4

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8

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6

88.

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3

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4

.

9

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24.

0

Top 5   Open Ended   -Equity Funds     - Period (Last 1 Month)

Rank Scheme Name Date NAV (Rs.) % Return as on

NAV

1  UTI Growth Sector Fund - Pharma and

Healthcare - Growth  Jun 11 , 2010   36.07 7.6716 

2  ICICI Prudential FMCG - Growth  Jun 11 , 2010   56.05 7.6642 

3  ICICI Prudential FMCG - Dividend  Jun 11 , 2010   32.05 7.6587 

4   UTI Growth Sector Fund - Pharma and

Healthcare - DividendJun 11 , 2010   29.43 7.6445  

5   SBI Magnum Sector Umbrella - Pharma -

Dividend   Jun 11 , 2010   33.74 7.555  

UTI Growth Sector Fund - Pharma and Healthcare - Growth

INVESTMENT INFORMATION:

Type Open Ended

Nature Equity (Equity: 95.64%, Debt: 0.09%, Cash: 4.27%)

Option Growth

Inception Date May 27, 1999

Face Value 10

Fund Size (Rs.Crore) 78.41 as on May 31, 2010

Fund Manager Anoop Bhaskar , Lalit Nambiar .

SIP NA

STP NA

SWP NA

Expense ratio(%) 2.5

Portfolio Turnover Ratio(%) 42

Last Divdend Declared 25

Minimum Investment (Rs) 5000

Purchase Redemptions Daily

NAV Calculation Daily

Entry Load Entry Load is 0%.

Exit Load

If redeemed bet. 0 Year to 1 Year; Exit load is 1%.

1m 3m 6m 1y 3y 5y Since INC

13.120.964.615.716.211.0Scheme Returns 1w

1

3

.

9

2

1

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6

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1

.

6

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Category Avg

2.9

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7

15.9

PERFORMANCE:

1m 3m 6m 1y 3y 5y Since INC

13.120.964.615.716.211.0Scheme Returns 1w

1

3

.

9

2

1

.

6

8

1

.

6

2

0

.

0

2

2

.

5

2

0

.

7

2

.

6

4

.

8

Category Avg

2.9

9

7

.

7

15.9