A study on selection behavior of investor in mutual fund with reference to junagadh city

“ A STUDY OF SELECTION BEHAVIOR OF

INVESTORS IN MUTUAL FUND WITH REFERENCE

TO JUNAGADH CITY”

AS

A PART OF SEM-4

)

FLOW OF PRESENTATION

Introduction of mutual fund

Overview of world market

Overview of Indian market

Growth of the mutual fund sector in India

Major companies in mutual fund

Literature review

Background of the study

Problem statement

Research objective

Research methodology

Sampling design

Data collection method

Questionnaire

Bibliography

INTRODUCTION OF MUTUAL FUND

Meaning

Mutual fund is a mechanism for pooling the

resources by issuing units to the investors and

investing funds in securities in accordance with

objectives as disclosed in offer document.

A mutual fund is a type of professionally managed

collective investment scheme that pools money

from many investors to purchase securities.

http://en.wikipedia.org/wiki/Collective_investment_scheme

http://en.wikipedia.org/wiki/Security_(finance)

Units of Mutual Funds

Units represent the extent of an investor’s share in

the assets of the scheme

NPV

Net Asset Value is the market value of the securities

held by the scheme

TYPES OF MUTUAL FUND

OVERVIEW OF WORLD MARKET

With $15 trillion in assets, the U.S. mutual fund

industry remained the largest in the world at year-

end 2013.

World funds invest mainly in developed nations

(Canada, Europe, Japan, and the United States).

Ten percent of their investment is in Asia and Latin

America

Investments in Asian and Latin American mutual

funds are volatile.

OVERVIEW OF INDIAN MARKET

The first Indian mutual fund was set up in 1963

Until 1987, UTI enjoyed a monopoly in the Indian

mutual fund market

In 1987, the Government of India permitted public

sector banks and the Life Insurance Corporation of

India (LIC) and General Insurance Corporation of

India (GIC) to enter the mutual fund industry

http://en.wikipedia.org/wiki/Government_of_India

http://en.wikipedia.org/wiki/Public_sector

http://en.wikipedia.org/wiki/Life_Insurance_Corporation_of_India

http://en.wikipedia.org/wiki/General_Insurance_Corporation_of_India

CONTINUE…

The State Bank of India's SBI Mutual Fund was the first such mutual fund to be established in 1987

At the end of January 2003, there were 33 mutual funds

with assets totaling Rs. 1, 21,805 crores. The UTI still led the pack with Rs. 44,541 crores. worth of assets

As of 30 June 2013, the Indian mutual fund industry manages assets worth approximately Rs.847,000 crores

http://en.wikipedia.org/wiki/State_Bank_of_India

http://www.sbimf.com/Index.aspx

http://en.wikipedia.org/wiki/Unit_Trust_of_India

GROWTH OF THE SECTORS

o The increase in the size of the Indian mutual fund

industry as a percentage of nominal GDP has been

substantial.

o India's mutual fund industry is eight per cent of GDP

o AUM distribution in India shows a heavy skew

(approximately 68 per cent) in favour of income- and

debt-oriented schemes, which are short-term

investments. Growth and equity schemes account for 28

per cent of total AUM, and balanced and exchange

traded funds, two per cent each.

o

COMPANIES IN INDIA

Axis Asset Management Company Ltd.

2%

Birla Sun Life Asset

Management Company Ltd

9%

DSP BlackRock Investment Managers Pvt. Ltd.

4%

Franklin Templeton Asset Management (India) Pvt Ltd.

5%

HDFC Asset Management Company Ltd

13%

ICICI Prudential Asset Management Company

Ltd 10%

IDFC Asset Management Company Ltd

5%

Kotak Mahindra Asset Management Company Ltd.

4%

Reliance mf schemes 12%

Sbi mf schemes7%

UTI 9%

Other20%

Major companies with market share

LITERATURE REVIEW

Divided Into two parts:

Foreign Studies

Indian studies

1) THE BEHAVIOR OF MUTUAL FUND INVESTORS, BRAD

M. BARBER

Objective to find out the purchase and selling behavior of

mutual fund investors

Sample size : 30,000 households

Three main result

buy funds with strong past performance

40 percent of fund sales occur in funds ranked in the top

quintile of past annual returns

investors are sensitive to the form in which fund expenses

are charged; though investors are less likely to buy funds

with high transaction fees

Foreign studies:

2) WHAT DRIVES INVESTMENTS INTO MUTUAL

FUNDS? NICOLAS SCHMIDT

Objective to identify key determinants of the willingness and intention to invest in

mutual funds

Data collection

Questionnaire

additionally used focus group discussion,

expert interviews

They find that the three key components ,

subjective norm (SN),

attitude (ATT) and

perceived behavioral control (PBC),

are correlated and all show positive and significant influence on both(urban and rural

investors), the general willingness and the intention to purchase mutual funds

3) FACTORS VALUED BY INVESTORS WHILE INVESTING IN

MUTUAL FUNDS-A BEHAVIORAL CONTEXT, DR.HAYAT

M.AWAN AND SHANZA ARSHAD

Purpose is find what factors individuals prefer while investing in mutual funds and what type of behavior

exploratory research

Data collected from five major cities of Pakistan

Sample size:150

results shows that:

Investor education level and occupation, income level has no effect

While age group has an association with fund related qualities

1) A STUDY OF FUND SELECTION BEHAVIOR OF

INDIVIDUAL INVESTORS TOWARDS MUTUAL FUNDS , MS.

KAVITHA RANGANATHAN

To identify fund selection behavior of individual investors towards mutual funds with reference to Mumbai city

Data Collected through questionnaire from the 100 educated individual investors

Results shows that

Savings Objective of the majority of Individual Investors is ‘to provide for Retirement’

Pension and Provident Fund’ are the most popular savings instrument

The popularity of ‘Open- Ended’ scheme

Investors’ need for ‘ Good Return’ is highest among other features

29% of the respondents use Internet facility While 30% of the respondents prefer to telephone for communication

Indian studies

2) MUTUAL FUND INVESTOR’S BEHAVIOR AND

PERCEPTION IN INDORE CITY, DR. RAVI VYAS

Purpose of this research was to find out mutual fund investor’s behavior and perception

Data collected trough the questionnaire from the 363 individual in Indore city

Results show that:

Prefers safe mode of investment and then the returns comes on second place

Mutual fund has got average in all parameters like safety, liquidity, reliability, tax benefits and high returns

Investor prefers lump sum mode of investment and second preference is given to systematic investment plan (SIP)

Prefers to invest in equity option in mutual funds

3) PERFORMANCE OF MUTUAL FUNDS AND

INVESTORS’ BEHAVIOR, SWETA GOEL

To analysis of mutual funds’ performance and behavior of investors towards mutual funds and other investment options

Primary data -Mutual Fund Investors and Non Mutual Fund Investors

Research state that:

Maximum number of investors has been investing in FDs followed by other

Investing in growth schemes followed by income, balanced, sector funds, ELSS, gold ETF and index funds

Management cost charged by the mutual fund companies and less return are the major cause

4) MUTUAL FUNDS: AN INVESTMENT OPTION FROM

INVESTORS’ POINT OF VIEW, MR. JAY R. JOSHI

To know investor’s view about the investment preference and Motivational factors

Sample unit: individual investor of Anand – Vidyanagar

sample size:100 investors

They find that:

Gave first rank to the higher & constant return for choosing the various investment

Invest in mutual fund to generate constant return

Diversification of portfolio was the top most motivating factor

Higher liquidity was ranked the next factor that motivating

5) MUTUAL FUND: BEHAVIORAL FINANCE’SPERSPECTIVE, MS. AVANI SHAH AND DR.

NARAYAN BASER

Objective of this research paper is to examine and analyze investor’s preferences for fund performance and fund sponsor qualities of mutual funds

primary data : structured questionnaire

sample size : 305

Sampling technique: convenient sampling basis from Ahmedabad city

They find the two demographic variables: Age & Occupation have taken for the study

Occupation is a variable that affects investors’ preference for Fund Sponsor qualities

Where as age does not play any role in building the investor’s preference for Fund Sponsor qualities

6) A STUDY OF CONSUMER BEHAVIOR TOWARDS MUTUAL

FUNDS WITH SPECIAL REFERENCE TO ICICI PRUDENTIAL

MUTUAL FUNDS, VIJAYAWADA, R PADMAJA

To identify consumer behavior towards mutual funds with special reference to ICICI Prudential Mutual Funds Limited

structured questionnaire

Convenience sampling

Vijayawada City

Results show that:

76 respondents aware

68% of the respondents invest in mutual fund

Prefer investment in equity fund

Maximum investment is made in 30-40 age group

Preferred to invest in three year period mutual funds

Wealth maximization benefit is most preferred

7) MUTUAL FUND VS. LIFE INSURANCE: BEHAVIORAL

ANALYSIS OF RETAIL INVESTORS, DR. BHAGABAN DAS,

MS. SANGEETA MOHANTY, NIKHIL CHANDRA SHIL

To understand the retail investors’ behavior towards different savings avenues on the basis of their age, gender, education and profession

100 interviews were made from two metros of Orissa

Simple random sampling

Research conclude that:

Male investors are more as compared to females

Investing with the objective of capital growth followed by Tax saving (28%) and only 17% are investing for the Retirement plan

like to invest in life insurance followed by mutual fund

63% of the investors like to invest in open-ended Mutual fund schemes

8) A COMPARATIVE ANALYSIS OF INVESTORS BUYING

BEHAVIOR OF URBAN RURAL FOR FINANCIAL ASSETS

SPECIFICALLY FOCUSED ON MUTUAL FUND, DHIMEN

JANI AND DR. RAJEEV JAIN

This paper examines

The Investor buying behavior of urban and rural for financial assets specifically focused on mutual fund

also assesses the impact of various demographic factors

200 respondents (100 urban and 100 rural)

Primary data :structured questionnaire

The study revealed that Age Gender, Occupation, Educational Qualification, Income etc. have significance impact on the buying behavioral

Both investor gives first priority to financial planner and second to risk and return profile, third past performance, forth tax consideration and fifth to the brand

9) A STUDY ON INVESTOR’S PERCEPTION

TOWARDS EQUITY/TAX SAVING MUTUAL FUNDS,

BHUVANESWARI C.

Objective of finding out the investor’s perception towards Equity/Tax saving Mutual Funds, identifying the major factors that contribute towards investor’s perception

Descriptive type of research design

Primary data-Questionnaire

sample : 120

Research concluded that:

Grievance Handling Methodology adopted by the organization is independent to that of Age of the respondents

there is a significant difference between the opinions of the respondents towards the service facilities provided

opinion of the respondents towards the Rate of Return is independent to that of the Experience

11) INDIAN MUTUAL FUND MARKET: RETAIL INVESTOR’S

INVESTMENT INSIGHT, MS. POOJA CHATURVEDI SHARMA

AND DR. ANOOP PANDEY

Discusses the introduction, evolution of mutual fund market along with the range of different expenses, various parties involved in this market segment

Study reveals that still there is a big part of investors who are still confused about the mutual funds

Demographic factors are concerned, gender, income, age, and level of education have significantly influenced the investor’s attitude towards mutual funds

Majority investors have a positive approach towards investing in mutual funds, but due lack of conceptual knowledge, expertise they stay away

12) A STUDY ON THE FACTORS INFLUENCING THE

SELECTION OF MUTUAL FUND COMPANY, R

VIJAYALAKSHMI AND R JAYASATHYA

Main focus of this study is, on the factors influencing the respondents on their choice of Mutual Fund Company

Sample size: 150

Convenience sampling

Instrument: questionnaire

Study reveal that:

Most important factors consider before investing in the mutual fund are objective of the scheme, past performance of a research team, services provided by the company

The prime priority is attached to the past performance of the other schemes, next to the services provided by the company

13) FACTORS AFFECTING PERCEPTION OF

INVESTORS TOWARDS MUTUAL FUNDS,DR.

NEHA PARASHAR

To identify variations in factors affecting perception of investors while investing in Mutual funds

Study includes three States viz. Rajasthan, Gujarat and Madhya Pradesh

Stratified convenience sampling method

Sample size: 300 respondents

Research reveal that:

The most important is monetary factor and Investors expectation and least is Risk and return

Investors consider Entry/ Exit fees charged by the Mutual Fund Companies as an important monetary factor while investing

Liquidity is the main objective for investing

14) INVESTOR’S PREFERENCE TOWARDS MUTUAL FUND IN

COMPARISON TO OTHER INVESTMENT AVENUES, GAURAV

AGRAWAL AND DR. MINI JAIN

To find out the most preferred Investment Avenue of the investors of Mathura and to analyze the investor’s preference towards investment in mutual funds

300 investors for the data collection

Used Structured Questionnaire as Research Instrument

It is conclude that:

80% investors are aware about Mutual Funds

On the basis of Return, Real Estate & Mutual Funds are the most preferred avenues

15) INVESTORS ATTITUDE TOWARDS MUTUAL FUND

(SPECIAL REFERENCE TO CHIKKAMAGALORE DISTRICT,

KARNATAKA STATE, INDIA), SUBRAMANYA P R ANDT P

RENUKA MURTHY

To identify the investor’s attitude on mutual funds and to analyze the factors affecting investor’s attitude towards mutual fund

Random sampling

Sample size: 150 respondents

They conclude that:

Select the Mutual fund for safety purpose

Investors collect the information from expert advisors then only invest the money

Investors select the income, growth and equity fund for their investment

16) INVESTMENT PERCEPTION AND SELECTION

BEHAVIOUR TOWARDS MUTUAL FUND, DR.

RAJWANTI SHARMA

To study the meaning, organization, working and

growth of mutual funds in India, to depict the present

&future potential of mutual funds and to find out the

various factors affecting the behavior of selection

towards mutual funds

It is concluded from the research that there are many

reason for not investing in the mutual funds.

17) AN EMPIRICAL STUDY ON FACTORS INFLUENCING

THE MUTUAL FUND/SCHEME SELECTION BY RETAIL

INVESTORS, MS. T.R. RAJESWARI AND PROF. V.E.

RAMA MOORTHY

To understand the savings avenue preference among MF investors, to identify the features the investors look for in Mutual Fund products, to identify the scheme preference of investors and to identify the factors that influence the investor’s fund/scheme Selection

350 Mutual Fund Investors

The study reveal that:

Most preferred investment vehicle is Bank Deposits, with MFs ranking 4th

Growth schemes are ranked first, followed by Income Schemes and Balanced Schemes

1st preference is for open-ended schemes

look for safety first in MF products, followed by good returns, Tax Benefits, liquidity and capital appreciation

sources influencing their selection decision are News papers and Magazines, Brokers and Agents, Television, Friends suggestions

18) INDIAN MUTUAL FUND INDUSTRY -

TOWARDS 2015, U K SINHA

This paper contains the introduction of mutual fund

and the global market of the mutual fund

This paper contains

the introduction of mutual fund,

the global market of the mutual fund,

What next for the mutual fund Industry,

Fund of Fund Schemes

So it provides the general information for our

research

19) INDIAN MUTUAL FUND

INDUSTRY,SHASHWAT SHARMA AND

SHRIVARDHAN GOENKA

This paper contain :

Introduction of industry

Future Potential of the Indian MF Industry

Assessment

Key Upcoming Trends in the Indian Mutual Fund

Industry

so this paper helps us to prepare introductory part.

OBJECTIVE OF THE STUDY

To assess the savings objectives among individual investors

To identify the preferred savings avenue among individual investors.

To find out the awareness level of investors regarding mutual funds.

To find the type of scheme of mutual fund preferred by investor.

To find out the importance of factors like liquidity, higher return, company reputation and other factors that influence investment decision of mutual fund holder.

RESEARCH METHODOLOGY

Research design : Descriptive research design

Sampling Design

Type of sampling : Convenience sampling

Sampling unit : Investorsof Junagadh city

Sampling Area : Junagadh City

Sample size : 250 Investors

DATA COLLECTION METHOD

Primary Data Collection Method

structured questionnaire

Secondary Data Collection Method

Websites,

Text books,

Various magazines,

published article,

Investment companies’ brochures

Research papers

QUESTIONNAIRE

Gender:

A. Male

B. Female

Age ( in year) :

A. Greater than 60yrs

B. 51-60 yrs

C. 36-50 yrs

D. 19-35 yrs

E. 18 yrs & below

Qualification:

A. High School

B. Graduate

C. Post Graduate

D. Professional

E. Other

Occupation:

A. Government employee

B. Private sector employee

C. Business

D. Agriculture

E. Other

CONTINUE…

CONTINUE………

Monthly Income:

A. Below Rs. 20000

B. 20001 to 30000

C. 30001to 40000

D. 40001 to 50000

E. 50001 to 70000

F. Above 70001

Which is the Investment Avenue preferred by you? (You can tick more than one)

A. Fixed deposits

B. Insurance

C. Mutual fund

D. Post office

E. Shares

F. Real estate

G. PPF

H. Other

CONTINUE…

Are you investing in mutual fund?

A. Yes

B. No

Which is the Mutual Fund Scheme Preference by

you?

A. Open Ended

B. Close Ended

Factors extremely

imp

very

Important

somewhat

important

not very

important

not at all

important

Retirement

purpose

Tax

Minimization

Growth of

Capital

Marketability

Higher

income

Low risk

If other (please specify)

Give your opinion to the following factors while investing in any avenue?

CONTINUE…

Please give your opinion to the following factors of mutual fund

Factors Strongly

disagree

Disagree Neither

agree nor

disagree

Agree Strongly

agree

Liquidity

Higher Return

Low Risk

Capital

Appreciation

Professional

Management

Diversification

Benefits

CONTINUE…

What is the Frequency of your investment?

A. Once in 15 days

B. Once a month

C. Once in 3 months

D. Once in 6 months

E. Once a year

F. Other

What is your Preferable Route to Mutual Fund Investment ?

A. Reference groups

B. Newspapers – General & Business

C. Financial Magazines

D. Television

E. Brokers/ Agents

F. E-Mail

G. Stores Display

H. Other

CONTINUE…

What is your Preferred Mode of Communication?

A. Internet facility

B. Personally visiting to office

C. Telephone

D. No preferences.

E. Other

Are you Aware about the benefits of Mutual Fund?

A. Highly

B. Moderate

C. Low

CONTINUE..

What are your opinion about the following

influencing factors of mutual funds?

A. Fund related factors

Factors extremel

y imp

very

Importan

t

somewh

at

important

not very

important

not at all

important

Intrinsic Fund

Qualities

Credibility of Image

Flexible Investment

Facilities

Factors extremel

y imp

very

Importan

t

somewh

at

importan

t

not very

importan

t

not at all

important

Intrinsic Fund

Qualities

Credibility of Image

Flexible Investment

Facilities

B. Sponsor related factors

CONTINUE…

CONTINUE…

Factors extremel

y imp

very

Importan

t

somewh

at

importan

t

not very

importan

t

not at all

important

Transparent

Disclosure

Tangibles/ Fringe

benefits

C. Investor service related factors

CONTINUE…

Would you invest in Mutual Fund in Future?

A. Yes

B. No

C. Not Sure

Any suggestions

Websites

https://www.amfiindia.com/new-to-mutual-funds

http://www.investopedia.com/terms/m/mutualfund.asp

www.investmentguruindia.com

http://toostep.com/question/i-am-working-on-a-project-consumer-behaviour-about-mutual-fu

www.ssrn.in

policybazaar.com/sip_investment

Reference book:

Cooper, Donald and schindler, Pamela (2009) business research methods, the McGraw- Hill company limited, new Delhi.

BIBLIOGRAPHY

https://www.amfiindia.com/new-to-mutual-funds

http://www.investopedia.com/terms/m/mutualfund.asp

http://googleads.g.doubleclick.net/aclk?sa=L&ai=CUESzF7c0VLbOMoqnuATnw4K4BPmJ1p4FoZ_gg6sBwI23ARACIO3grhgoBVCvlIdNYOWC5YOoDsgBAakC_CmIqN-EUT6oAwGqBIgBT9CiomsIClDWRFVt6d0WpmeuMyQ9GTaQ1PDNbhZK1kEEeySYxvZPKbt7vZYmr1_IPDryXn1-9KhbNmWe8KQFcsjwoawiqYqPyVXCKvarVww5_r2W776FxPu8p6paLsjSYqUbr9rJqIFL86z9-3YNj0wcCGZo6qFhlmcVqnvA3E0-efI9FfXEnIAH4aHXHQ&num=2&sig=AOD64_0dFQs6C10q84KtOytD_FqB3KAA1w&client=ca-smarter-investopedia_js&adurl=http://www.investmentguruindia.com/MutualFund?Source=Google

http://toostep.com/question/i-am-working-on-a-project-consumer-behaviour-about-mutual-fu

http://www.ssrn.in/

http://www.googleadservices.com/pagead/aclk?sa=L&ai=CpYh7F7c0VLbOMoqnuATnw4K4BPqs5r8G8pXt0KYBwI23ARABIO3grhgoBVCW69LFA2DlguWDqA6gAe7uhe0DyAEBqQL8KYio34RRPqgDAaoEhQFP0KLMVQ0KU9ZEVW3p3RamZ64zJD0ZNpDU8M1uFkrWQQR7JJjG9k8pu3u9liavX8g8OvJefX70qFs2ZZ7wpAVyyPChrCKpio_JVcIq9qtXDDn-vZbvvs3EEPcUfQjn49JiZfhEcklJd8P4Wf69gw5LuR-Ik2vqVGKWkhaqDszcLTfLnODfiAYBgAf6kPoS&num=1&cid=5GiCe3Bt6nm-EE7nldfMV2tL&sig=AOD64_3FtUeAKbjHZy9JzrmmEApqDE7geg&client=ca-smarter-investopedia_js&adurl=http://www.policybazaar.com/life-insurance/pureinvestment-insurance-india.aspx?utm_source=google&utm_medium=ppc_content&utm_term=investment in mutual funds&utm_campaign=Display_Advertising00Invest_in_mutual_fund11Investment

ANALYSIS & INTERPRETATION

Frequency Analysis of gender

Gender

Frequency Percent Valid Percent

Cumulative

Percent

Valid male118 78.7 78.7 78.7

female

32 21.3 21.3 100.0

Total150 100.0 100.0

Interpretation

Majority of our respondents are male that are 78.7% compare to it female are 21.3%.

Frequency Analysis of age

Age


Cumulative

Percent

Valid 51-60 years

16 10.7 10.7 10.7

36-50 years

40 26.7 26.7 37.3

19-35 years

94 62.7 62.7 100.0

Total

150 100.0 100.0

Interpretation

Above graph represent the age of the respondents, So majority of respondents are fall in 19 to 35 age group that is 62.7% followed by 36 to 50 age group with 26.7% and 51 to 60 age group with 10.7%.

Frequency Analysis of Qualification

Qualification


Cumulative

Percent

Valid high school22 14.7 14.7 14.7

Graduate83 55.3 55.3 70.0

post graduate26 17.3 17.3 87.3

professional13 8.7 8.7 96.0

Others6 4.0 4.0 100.0

Total150 100.0 100.0

Interpretation

Majority of the our respondents are graduate that are 55.3%, 17.3% are post graduate, 14.7% are completed high schools and 8.7% completed professional course.

Frequency Analysis of Occupation

Occupation

Frequenc

y Percent

Valid

Percent

Cumulative

Percent

Valid government

employee15 10.0 10.0 10.0

private sector

employee68 45.3 45.3 55.3

Business50 33.3 33.3 88.7

Agriculture1 .7 .7 89.3

Others16 10.7 10.7 100.0

Total150 100.0 100.0

Interpretation

Majority of the investors are engaged in private sector that are45.3%, 33.3% are engaged in business, 10% are government employee, 7% are agriculture farmer and 10.7% engaged in other sectors.

Frequency Analysis of monthly income

Monthly Income

Frequenc

y Percent

Valid

Percent

Cumulative

Percent

Valid Below Rs. 2000017 11.3 11.3 11.3

Rs. 20001 to

3000028 18.7 18.7 30.0

Rs. 30001 to

4000056 37.3 37.3 67.3

Rs. 40001 to

5000025 16.7 16.7 84.0

Rs. 50001 to

7000020 13.3 13.3 97.3

above 700014 2.7 2.7 100.0

Total150 100.0 100.0

Interpretation

Majority of the respondent are fall in 30001 to 40000rs income class with 37.3%, 18.7% having income between 20001 to 30000, 16.7% having income between 40001 to 50000, 13.3% having income between 50001 to 70000, 11.3% having income below 20000rs., 2.7% having above 70001 income.

Which Mutual Fund Scheme do you Prefer?

preference of mutual fund scheme


Cumulative

Percent

Valid open ended119 79.3 79.3 79.3

close ended5 3.3 3.3 82.7

both26 17.3 17.3 100.0

Total

150 100.0 100.0

Interpretation

Majority of the respondent are prefer to invest in open ended scheme that 79.3%, only 3.3 % investors are prefer to invest in close ended scheme, and 17.3%are prefer to invest in both type of scheme.

What is the Frequency of your investment

0

20

40

60

80

100

120

140

160

once in 15 days once a month once in 3 months once in 6 months once a year other

15

49

4

13

101

15

135

101

146

137

49

135

yes no

A. Once in 15 days B. once a month

C. once in 3 months D. once in 6 months

E. once a year F. other

What is your Preferable Route to Mutual Fund Investment? ( you can tick more than one)

A, reference group B. newspaper-general & Business

C. financial magazines D. Television

E. Brokers/Agents F. E-mail

G. Stores Display H. Hoardings I. other

0

20

40

60

80

100

120

140

160

yes

no

What is the Level of awareness regarding the

benefits of Mutual Fund

level of awareness

Frequenc

y Percent

Valid

Percent

Cumulative

Percent

Valid not aware29 19.3 19.3 19.3

Aware89 59.3 59.3 78.7

aware & expert

khowledge32 21.3 21.3 100.0

Total150 100.0 100.0

interpretation

Would you continue investing in Mutual Fund in

Future

continue of investment in future

Frequency Percent

Valid

Percent

Cumulativ

e Percent

Valid Yes141 94.0 94.0 94.0

No5 3.3 3.3 97.3

not sure4 2.7 2.7 100.0

Total150 100.0 100.0

0

20

40

60

80

100

120

140

160

yes no not sure

Series1

Interpretation

Majority of the investors are ready to invest in mutual fund in future that

are 94%, only 3.3% respondents are not ready to invest in mutual fund

and 2.7% are not sure.

Chi-square analysis

Qualification retirement purposeCrosstab

Count

Retirement purpose

Totalnot important nuetral important

extremely

important

Qualification high school 0 1 12 9 22

graduate 2 8 29 44 83

post graduate 2 5 7 12 26

professional 0 7 2 4 13

others 0 0 2 4 6

Total 4 21 52 73 150

Chi-Square Tests

Value df Asymp. Sig. (2-sided)

Pearson Chi-Square28.440a 12 .005

Likelihood Ratio24.009 12 .020

Linear-by-Linear Association1.894 1 .169

N of Valid Cases150

a. 12 cells (60.0%) have expected count less than 5. The minimum expected count is .16.

Interpretation

As per chi-square test the answer is 0.03 which is less than 0.05 so H1

is accepted which means there is a relationship between a gender and

retirement purpose which may be a purpose of investment

Qualification * Tax Minimization

Crosstab

Count

Tax Minimization

Totalnot important nuetral important

extremely

important


graduate 2 12 42 27 83


professional 0 0 4 9 13

others 0 0 4 2 6

Total 4 20 68 58 150

Chi-Square Tests





N of Valid Cases150


Interpretation

As per test the answer of chi-square test is 0.033 which is lower

than the 0.05 so H1 is accepted it means that there is association

between the qualification and tax minimization which may be a

purpose of investment.

Qualification * Growth of capitalCrosstab

Count

Growth of capital

Totalneutral important

extremely

important

Qualification high school 2 14 6 22

graduate 26 36 21 83

post graduate 5 13 8 26

professional 1 6 6 13

others 0 0 6 6

Total 34 69 47 150

Chi-Square Tests


Pearson Chi-Square 22.801a 8 .004

Likelihood Ratio 24.062 8 .002

Linear-by-Linear Association 7.019 1 .008

N of Valid Cases 150

a. 6 cells (40.0%) have expected count less than 5. The minimum expected count is 1.36.

Interpretation:

As per test the answer of chi-square test is 0.04 which is lower than

the 0.05 so H1 is accepted it means that there is association between

the qualification and growth of capital which may be a purpose of

investment.

Qualification * marketability / liquidityCrosstab

Count

marketability / liquidity

Total

not at all

important not important neutral important

extremely

important

Qualification high school 0 2 5 7 8 22

Graduate 3 4 19 32 25 83

post graduate 0 1 7 9 9 26

Professional 0 0 0 2 11 13

Others 0 1 1 2 2 6

Total 3 8 32 52 55 150

Chi-Square Tests


Pearson Chi-Square 19.602a 16 .239

Likelihood Ratio 21.757 16 .151

Linear-by-Linear Association 3.136 1 .077

N of Valid Cases 150


Interpretation:

As per test the answer of chi-square test is 0.239 which is higher than

the 0.05 so H0 is accepted it means that there is no association

between the qualification and marketability/liquidity which may be a

purpose of investment

Qualification * Higher Income

Crosstab

Count

Higher Income

Totalnot important neutral important

extremely

important


Graduate 0 14 35 34 83


Professional 0 1 2 10 13

Others 0 2 4 0 6

Total 2 21 60 67 150

Chi-Square Tests




Linear-by-Linear Association.031 1 .860

N of Valid Cases150


Interpretation:


the 0.05 so H1 is accepted it means that there is association

between the qualification and higher income which may be a

purpose of investment.

Qualification * Low Risk

Crosstab

Count

Low Risk

Totalnot at all important not important neutral important

extremely

important

Qualification high school 0 2 8 5 7 22

graduate 3 12 19 14 35 83

post graduate0 4 11 8 3 26

professional 0 0 9 2 2 13

others 0 1 1 4 0 6

Total 3 19 48 33 47 150

Chi-Square Tests

Value Df Asymp. Sig. (2-sided)




N of Valid Cases150


Interpretation


than the 0.05 so H1 is accepted it means that there is

association between the qualification and low risk which may be

a purpose of investment.

Monthly Income * Retirement purpose

Crosstab

Count

Retirement purpose

Totalnot important nuetral important extremely important

Monthly Income Below Rs. 20000 4 0 12 1 17

Rs. 20001 to 30000 0 9 10 9 28

Rs. 30001 to 40000 0 8 19 29 56

Rs. 40001 to 50000 0 0 3 22 25

Rs. 50001 to 70000 0 4 7 9 20

above 70001 0 0 1 3 4

Total 4 21 52 73 150

Chi-Square Tests





N of Valid Cases150


Interpretation:


the 0.05 so H1 is accepted it means that there is association

between the monthly income and retirement purpose which may be

a purpose of investment.

Monthly Income * Tax Minimization

Crosstab

Count

Tax Minimization

Totalnot important nuetral important extremely important


Rs. 20001 to 30000 0 3 14 11 28

Rs. 30001 to 40000 0 8 21 27 56

Rs. 40001 to 50000 0 2 18 5 25

Rs. 50001 to 70000 2 2 9 7 20

above 70001 0 0 1 3 4

Total 4 20 68 58 150

Chi-Square Tests





N of Valid Cases150


Interpretation:

As per test the answer of chi-square test is 0.018 which is lower than the 0.05 so H1 is accepted it means that there is association between the monthly income and tax minimization

Monthly Income * Growth of capital

Crosstab

Count

Growth of capital

Totalneutral important extremely important

Monthly Income Below Rs. 20000 5 8 4 17

Rs. 20001 to 30000 6 12 10 28

Rs. 30001 to 40000 7 31 18 56

Rs. 40001 to 50000 8 6 11 25

Rs. 50001 to 70000 8 8 4 20

above 70001 0 4 0 4

Total 34 69 47 150

Chi-Square Tests





N of Valid Cases150


Interpretation

As per test the answer of chi-square test is 0.059 which is higher

than the 0.05 so H0 is accepted it means that there is no

association between the monthly income and growth of capital

which may be a purpose of investment

Monthly Income * marketability / liquidityCrosstab

Count

marketability / liquidity

Total

not at all

important not important neutral important

extremely

important

Monthly

Income

Below Rs. 200000 0 9 2 6 17

Rs. 20001 to 30000 0 0 5 9 14 28

Rs. 30001 to 40000 3 3 3 23 24 56

Rs. 40001 to 50000 0 1 12 11 1 25

Rs. 50001 to 70000 0 2 2 7 9 20

above 70001 0 2 1 0 1 4

Total 3 8 32 52 55 150

Chi-Square Tests





N of Valid Cases150


Interpretation


than the 0.05 so H1 is accepted it means that there is association

between the monthly income and marketability /liquidity which may

be a purpose of investment.

Monthly Income * Higher Income

Crosstab

Count

Higher Income

Totalnot important neutral important extremely important


Rs. 20001 to 30000 0 4 12 12 28

Rs. 30001 to 40000 1 7 20 28 56

Rs. 40001 to 50000 0 4 6 15 25

Rs. 50001 to 70000 0 5 5 10 20

above 70001 0 0 2 2 4

Total 2 21 60 67 150

Chi-Square Tests





N of Valid Cases150


Interpretation

As per test the answer of chi-square test is 0.014 which is lower than the

0.05 so H1 is accepted it means that there is association between the

monthly income and higher income which may be a purpose of

investment.

Monthly Income * Low RiskCrosstab

Count

Low Risk

Totalnot at all important not important neutral important

extremely

important

Monthly

Income

Below Rs. 20000 0 4 1 7 5 17

Rs. 20001 to 300000 3 8 5 12 28

Rs. 30001 to 400003 5 19 13 16 56

Rs. 40001 to 500000 4 11 5 5 25

Rs. 50001 to 700000 0 9 3 8 20

above 70001 0 3 0 0 1 4

Total 3 19 48 33 47 150

Chi-Square Tests





N of Valid Cases150
