INTRODUCTION A mutual fund is a professionally managed investment company that combines the money of many individuals and invests

this "pooled" money in a wide variety of different securities. It is by pooling the money of many individuals that mutual funds are able to provide the diversification and money management (along with many other advantages) that were once reserved only for the wealthy. Professional money managers take this pool of money and invest it in a wide variety of stocks, bonds, or other securities depending on the investment ob ective, or goal, of the particular fund. It is the investment ob ective of the fund that guides the manager in selecting the various securities for the fund. It is the investment ob ective of the fund that also guides the investor on which funds to invest in. !ince different investors have different ob ectives, there are a number of different kinds of mutual funds, i.e., some funds may provide monthly income while others seek long"term capital appreciation. #utual funds can be classified according to their investment ob ective. !ome of the classifications include money market funds, growth funds, balanced funds, income funds, and many others. $e will discuss the many different types of funds and their characteristics in a later chapter. $hen you invest in a fund you hope that the value will rise and you can eventually sell your shares for a profit. %his is one of the ways you can profit with mutual funds. Another way is through capital gains. $hen a fund sells a security for a higher price than it originally paid for it, it is known as a capital gain. #ost funds distribute their capital gains to shareholders at least annually, some more often. %he last way to profit with mutual funds is with dividends or interest. If the fund has invested in bonds or dividend"paying stocks, it must pass the dividends or interest earned on to its shareholders. &ike capital gains, this is done at least annually.

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OBJECTIVES OF THE STUDY %he most important primary ob ective of study is to know the awareness of #utual (unds and the investor)s perception towards investing in #utual (unds as important segment. %his study has been carried out to know the marketing activities undertaken under the financial products for #utual (unds in offering the financial services to the investor)s * also to other (inancial Institutions.
%o know the schemes available in Prudential I+I+I #utual (unds. %o calculate the risk and returns of the growth * dividend funds of I+I+I mutual funds. %o know the concept of ,et Asset -alue (,A-) which forms apart of #utual (und evaluation in determining the returns. +omparing selected schemes of Prudential I+I+I #utual (unds to with .!/ !ense0. %o find the fund that is giving satisfaction and constant returns

SCOPE OF STUDY
%he scope of the study is confined to only Prudential I+I+I Asset #anagement +ompany &td. %his study has been conducted purely to understand portfolio management for individual investor. +onstruction of portfolio is restricted to one company based on effective statistical tools like returns, varience * risk factors.

RESEARCH METHODOLOGY 3esearch design or research methodology is the procedure of collecting, analy4ing and interpreting the data to diagnose the problem and react to the opportunity in such a way where the costs can be minimi4ed and the desired level of accuracy can be achieved to arrive at a particular conclusion. %he methodology used in the study for the completion of the pro ect and the fulfillment of the pro ect ob ectives, is as follows5
DATA COLLECTION

In order to study the ob ectives mentioned, necessary primary and secondary data were collected.
PRIMARY DATA

6ata is collected from the personnel discussions with employees of the company.
SECONDARY DATA

It is also collected from the books, ournals, maga4ines, past records and all other types of published data and fact sheet, offer documents. CORRELATION: It is the statistical tool with the help of which the relationships between two or more than two variables if it e0ists, is studied. +orrelation is an analysis of covariation between two or more variables. Analysis involves various methods and techni7ues which are helpful in studying and measuring the e0tent of the relationship between two or more variables.

FORMULAS Used for the !r ose of "#"$%s&s (,9 : 0y) ; (:y9 :0) '. +orrelation +oefficient < =(,9 : y>) ; (:y) >?9 =,9 :0>) ;( :0) >?@ 1. 3eturns < (+urrent Price"Previous Price) A 'BB Previous Price 2. -ariance < (A" mean) 1 n 8. !tandard deviation5 Cvariance

LIMITATIONS OF THE STUDY

!tudy has limited characteristics %here was a time limitation for carrying out the study for more than two schemes in #utual (unds. !uggestions are suggestive in nature. %he study is limited to two different EP/,"/,6/6 !chemes. +omparison made only based on the risk and return of the two selected funds.

INDUSTRY PROFILE BOMBAY STOC' E(CHANGE

%his stock e0change, #umbai, popularly known as G.!/H was established in 'IDJ as G%he ,ative share and stock brokers associationH as a voluntary non ; profit making association. It has an evolved over the years into its present status as the premiere stock e0changed in the country. It may be note that the stock e0changes the oldest one in Asia, even older than the %okyo !tock /0change, which was founded in 'IJI. %he e0change, while providing an efficient and transparent market for trading in securities, upholds the interests of the investors and ensures redressed of their grievances, whether against the companies or its own member brokers. It also strives to educate and enlighten the investors by making available necessary informative inputs and conducting investor education programs. A governing board comprising of K elected directors, 1 !/.I nominees, J public representatives and an e0ecutive director is the ape0 body, which decides the policies and regulates the affairs of the e0change. BSE INDICES
In order to enable the market participants etc., to track the various ups and downs in the Indian stock market, the /0change has introduced in 'KIF an e7uity stock inde0 called .!/"!/,!/A that subse7uently became the barometer of the moments of the share prices in the Indian !tock market. It is a G#arket capitali4ation weightedH inde0 of 2B component stocks representing a sample of large, well established and leading companies. %he base year of !ense0 is 'KJI"JK. %he !ense0 is widely reported in both domestic and international markets through print as well as electronic media.

H&stor% of the I#d&"# M!t!"$ F!#d I#d!str%

%he mutual fund industry in India started in 'KF2 with the formation of Lnit %rust of India, at the initiative of the Movernment of India and 3eserve .ank the. %he history of mutual funds in India can be broadly divided into four distinct phases F&rst Ph"se ) *+,-./0 Lnit %rust of India (L%I) was established on 'KF2 by an Act of Parliament. It was set up by the 3eserve .ank of India and functioned under the 3egulatory and administrative control of the 3eserve .ank of India. In 'KJI L%I was de"linked from the 3.I and the Industrial 6evelopment .ank of India (I6.I) took over the regulatory and administrative control in place of 3.I. %he first scheme launched by L%I was Lnit !cheme 'KF8. At the end of 'KII L%I had 3s.F, JBB crores of assets under management. Se1o#d Ph"se ) *+/0.*++2 3E#tr% of P!4$&1 Se1tor F!#ds5 'KIJ marked the entry of non" L%I, public sector mutual funds set up by public sector banks and &ife Insurance +orporation of India (&I+) and Meneral Insurance +orporation of India (MI+). !.I #utual (und was the first non" L%I #utual (und established in Nune 'KIJ followed by +anbank #utual (und (6ec IJ), Pun ab ,ational .ank #utual (und (Aug IK), Indian .ank #utual (und (,ov IK), .ank of India (Nun KB), .ank of .aroda #utual (und (Ect K1). &I+ established its mutual fund in Nune 'KIK while MI+ had set up its mutual fund in 6ecember 'KKB. At the end of 'KK2, the mutual fund industry had assets under management of 3s.8J,BB8 crores. Th&rd Ph"se ) *++2.6772 3E#tr% of Pr&8"te Se1tor F!#ds5 $ith the entry of private sector funds in 'KK2, a new era started in the Indian mutual fund industry, giving the Indian investors a wider choice of fund families. Also, 'KK2 was the year in which the first #utual (und 3egulations came into being, under which all mutual funds, e0cept L%I were to be registered and governed. %he erstwhile Oothari Pioneer (now merged with (ranklin %empleton) was the first private sector mutual fund registered in Nuly 'KK2.

%he 'KK2 !/.I (#utual (und) 3egulations were substituted by a more comprehensive and revised #utual (und 3egulations in 'KKF. %he industry now functions under the !/.I (#utual (und) 3egulations 'KKF. %he number of mutual fund houses went on increasing, with many foreign mutual funds setting up funds in India and also the industry has witnessed several mergers and ac7uisitions. As at the end of Nanuary 1BB2, there were 22 mutual funds with total assets of 3s. ',1',IBD crores. %he Lnit %rust of India with 3s.88,D8' crores of assets undermanagement was way ahead of other mutual funds. Fo!rth Ph"se ) s&#1e Fe4r!"r% 6772 In (ebruary 1BB2, following the repeal of the Lnit %rust of India Act 'KF2 L%I was bifurcated into two separate entities. Ene is the !pecified Lndertaking of the Lnit %rust of India with assets under management of 3s.1K,I2D crores as at the end of Nanuary 1BB2, representing broadly, the assets of L! F8 scheme, assured return and certain other schemes. %he !pecified Lndertaking of Lnit %rust of India, functioning under an administrator and under the rules framed by Movernment of India and does not come under the purview of the #utual (und 3egulations. %he second is the L%I #utual (und &td, sponsored by !.I, P,., .E. and &I+. It is registered with !/.I and functions under the #utual (und 3egulations. $ith the bifurcation of the erstwhile L%I which had in #arch 1BBB more than 3s.JF,BBB crores of assets under management and with the setting up of a L%I #utual (und, conforming to the !/.I #utual (und 3egulations, and with recent mergers taking place among different private sector funds, the mutual fund industry has entered its current phase of consolidation and growth. As at the end of !eptember, 1BB8, there were 1K funds, which manage assets of 3s.'D2'BI crores under 81' schemes.

COMPANY PROFILE I+I+I Prudential &ife Insurance +ompany is a oint venture between I+I+I bank, a premier financial powerhouse and prudential plc, a leading international financial services group head7uartered in the Lnited Oingdom. I+I+I Prudential was amongst the first private sector insurance companies to begin operations in 6ecember 1BBB after receiving approval from Insurance 3egulatory 6evelopment Authority (I36A). I+I+I Prudential e7uity base stands at 3s.''.ID .illion with I+I+I bank and prudential plc holding J8P and 1FP stake respectively. In the financial year ended #arch 2' 1BBJ the company garnered 3s'DI8 crore of new business premium for a total sum assured of 3s '2JIB crore and wrote nearly F'DBBB policies. %he company has a network of about DFBBB advisers, as well as J bank assurance and 'DB corporate agent tie"ups. (or the past four years, I+I+I Prudential has retained its position as one of the leading private life insurer in the country, with a wide range of fle0ible products that meet the needs of the Indian customer at every step in life.

VISION To 9":e ICICI Pr!de#t&"$ the do9&#"#t $&fe "#d e#s&o# $"%er 4!&$t o# tr!st 4% ;or$d.1$"ss eo $e "#d ser8&1e< %his they hope to achieve byQ Lnderstanding the #eeds of 1!sto9ers and offering them superior products and service. &everaging te1h#o$o=% to service customers 7uickly, efficiently and conveniently.

6eveloping and implementing superior r&s: 9"#"=e9e#t "#d &#8est9e#t str"te=&es to offer ICICI 4"#:<

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Bo"rd of D&re1tors
%he I+I+I Prudential &ife Insurance +ompany &imited .oard comprises reputed people from the finance industry both from India and abroad. Ms< Ch"#d" D< 'o1hh"r> +hairperson Mr<N<S< '"##"#> 6irector Mr<'< R"9:!9"r> 6irector Mr< R"?&8 S"4h"r;"$> 6irector Mr< B"rr% Sto;e> 6irector Prof< M"rt& G< S!4r"h9"#%"9>Independent 6irector Mr< Adr&"# O@Co##or> 6irector Ms< R"9" B&?" !r:"r> Independent 6irector Mr< 'e:& D"d&seth> Independent 6irector Mr< Sr&dh"r I%e#="r>Independent 6irector Mr< S"#dee B":sh&> #anaging 6irector * +/E Mr< P!#eet N"#d"> /0ecutive 6irector

M"#"=e9e#t Te"9
%he I+I+I Prudential &ife Insurance +ompany &imited #anagement team comprises reputed people from the finance industry both from India and abroad. Ms< N&9esh Sh"h> #anaging 6irector * +/E Mr< B< R"9":r&sh#"> /0ecutive -ice President Mr< '"$%"# Pr"s"#th> Read Inforamtion %echnology. Mr< He9"#t A="r;"$> Read" Eperations Mr< S< N"re#> +hief Investment Efficer

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Pro9oters
ICICI 4"#: is India)s second largest bank and largest private sector bank with over DB years of financial e0perience and with assets of 3s'I'1.1J billion as on 2B une, 1BBD. I+I+I bank offers a wide range of banking products and financial services to corporate and retail customers through a variety of delivery channels and through its speciali4ed subsidiaries and affiliates in the areas of investment banking, life and non"life insurance, venture capital and asset management. I+I+I bank is a leading player in the retail banking market and has over '2 million retail customer accounts. %he bank has a network of over DJB branches and e0tension counters, and 1BBB A%#)s.

Pr!de#t&"$ $1:
/stablished in &ondon in 'I8I, prudential plc, through its business in the LO and /urope, the L! and Asia, provides retail financial services products and services to more than 'F million customers, policyholder and unit holders worldwide. As of Nune 2B, 1BB8, the company had over L! S2BB billion in funds under management. Prudential has brought to market an integrated range of financial services products that now includes life assurance, pensions, mutual funds, banking, investment management and general insurance. In Asia, prudential is the leading /uropean life insurance company with a vast network of 18 life and mutual operations in twelve countries" +hina, Rong Oong, India, Indonesia, Napan, Oorea, #alaysia, the Philippines, !ingapore, %aiwan, %hailand and -ietnam. !ustainable and stable returns to I+I+I Prudential)s policy holders. Providing an enabling environment to foster growth and learning for our employees And above all, building transparency in all our dealings. %he success of the company will be founded in its unflinching commitment to D core values ; Integrity, +ustomer first, .oundary less services, Ewnership and Passion. /ach of the values describes what the company stands forQ the 7ualities of its team, there are no limits to its growth. %he company is on the threshold of an e0citing new opportunity, where we can play a significant role in redefining and reshaping the sector. Miven the 7uality of our parentage and the commitment of our team, there are no limits to our growth. '1

DISTRIBUTION:

I+I+I Prudential has one of the largest distribution networks amongst private life insurers in India with a network of over I2BBB advisors. It has operations in 1BJ cities and towns in India, stretching from .hu in the west to Mawahati in the east, and ammu in the north to %rivandrum in the south. %he company has K banc assurance partners, having tie"ups with I+I+I bank, .ank of India, (ederal .ank, !outh Indian .ank, &ord Orishna .ank, and some co" operative banksQ as well as over 1BB corporate agents and brokers. It has also tied up with ,on Movernmental Ergani4ations, #utual (und Institutions and corporate for the distribution of rural policies.
PRODUCTS:

I#s!r"#1e so$!t&o#s for &#d&8&d!"$s

I+I+I Prudential life insurance offers a range of innovative, customer centric products that meet the needs of customers at every life stage. Its products can be enhanced with up to 8 riders, to create a customi4ed solution for each policyholder.

S"8&#=s "#d ;e"$th 1re"t&o# so$!t&o#s:

C"sh $!s is a transparent, feature"packed savings plan that offers protection as well as li7uidity options. S"8e@#@ rote1t is a traditional endowment savings plan that offers life

protection along with ade7uate return. C"sh 4"1: is an anticipated endowment policy ideal for meeting milestone e0penses like a child)s marriage, e0penses for a child)s higher education or purchase of asset. It is a available for terms of 'D and 1B years.

L&fe t&9e s! er "#d $&fet&9e $!s are unit"linked plans that offer customers the fle0ibility and control to customi4e the policy to meet the changing needs at different life stages. /ach offer 8 fund optionsQ PRESERVER> PROTECTOR> BALANCER> MA(IMISER< '2

L&fe $&#: s! er is a single premium unit linked insurance plan which combines life insurance cover with the opportunity to stay invested in the marker.

I#8est sh&e$d $&fe is a unit linked plan that provided premium guarantee on the invested premiums and ensures that the customer receives only the benefits of fund appreciation without any of the risks of depreciation.

I#8est sh&e$d 1"sh is a unit linked plan that provides premium guarantee on the invested premiums along with fle0ible li7uidity options.

Prote1t&o# so$!t&o#s:
L&fe =!"rd &s " rote1t&o# $"# , which offers life cover at very low cost. It is available in 2 optionsQ level term assurance, level term assurance with return of premium and single premium. Ho9e Ass!re is a mortgage reducing term assurance plan designed specifically to help customers cover their home loans in a simple and cost" effective manner.

Ch&$d $"#s:
Ed!1"t&o# &#s!r"#1e under the s9"rt :&d brand provides guaranteed educational benefits to a child along with life insurance cover for the parent who purchases the policy. %he policy is designed to provide money at important milestones in the child)s life. !mart kid plans are also available in unit linked formQ both single premium and regular premium.

Ret&re9e#t so$!t&o#s:
Fore8er $&fe is a traditional retirement product that offers guaranteed returns for the first 8 years and then declares bonuses annually. L&fet&9e s! er e#s&o# is a regular premium unit linked pension plan that helps one accumulate over the long term and offers an annuity option (guaranteed income for life) at the time of retirement.

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L&fe $&#: s! er e#s&o# is a single premium unit linked pension plan

He"$th so$!t&o#s:
He"$th "ss!re "#d he"$th "ss!re $!s: health assure is a regular premium plan which provides long term cover against F critical illnesses by providing policyholder with financial assistance, irrespective of the actual medical e0penses. Realth assure plus offers the added advantage of an e7uivalent life insurance cover C"#1er 1"re is a regular premium plan that pays cash benefit on the diagnosis as well as at different stages in the treatment of various cancer conditions.

Gro! I#s!r"#1e So$!t&o#s:

Gro! =r"t!&t% $"#: ICICI Pr!de#t&"$ )s group gratuity plan helps

employers fund their statutory gratuity obligation in a scientific manner. %he plan can also be customi4ed to structure schemes that can provide benefits beyond the statutory obligations. Gro! s! er"##!"t&o# $"#: ICICI r!de#t&"$ offers both defined

contribution (6+) and defined benefit (6.) superannuation schemes to optimi4e returns for the members of the trust and rationali4e the cost. #embers have the option of choosing from various annuity options or opting for a partial commutation of the annuity at the time of retirement. Gro! &99ed&"te "##!&t&es: in addition to the annuities offered to e0isting superannuation customers, the company offer immediate annuities to superannuation funds not managed by it. Gro! ter9 $"#: I+I+I Prudential)s fle0ible group term solution helps

provide affordable cover to members of a group. %he cover could be uniform or based on designationTrank or a multiple of salary. %he benefit under the policy is paid to the beneficiary nominated by the member on hisTher death.

F$eA&4$e r&der o t&o#s

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I+I+I Pru life offers fle0ible riders, which can be added to the basic policy at a marginal cost, depending on the specific needs of the customer. A11&de#t "#d d&s"4&$&t% 4e#ef&t: if death occurs as the result of an accident during the term of the policy, the beneficiary receives an additional amount e7ual to the rider sum assured under the policy. If the death occurs while traveling in an authori4ed mass transport vehicle, the beneficiary will be entitled to twice the sum assured additional benefit. Cr&t&1"$ &$$#ess 4e#ef&t: protects the insured against financial loss in the event of specified critical illness. .enefits are payable to the insured for medical e0penses prior to death. I#1o9e 4e#ef&t: this rider pays the 'B P of the sum assured to the nominee every year, till maturity, in the event of the death of the life assured. It is available on smart kid and cash plus. B"&8er of re9&!9: In case of total and permanent disability due to an

accident, the future premiums continue to be paid by the company till the time of maturity. %his rider is available with lifetime super, lifetime super pension and cash plus.

THEORETICAL ASPECTS OF THE STUDY

MUTUAL FUNDS AN OVERVIEW A #utual (und is a trust that pools the savings of a number of investors who share a common financial Moal. %he money thus collected is invested by the fund manager in different types of securities depending upon the ob ective of the scheme. %hese could range from shares to debentures to money market instruments. %he income earned through these investments and the capital appreciation reali4ed by the scheme are shared by its unit holders in proportion to the number of units owned by them (pro rata). %hus a #utual (und is the most suitable investment for the common 'F

man as it offers an opportunity to invest in a diversified, professionally managed portfolio at a relatively low cost. /ach #utual (und scheme has a defined investment ob ective and strategy. A draft offer document is to be prepared at the time of launching the fund. %ypically, it pre specifies the investment ob ectives of the fund, the risk associated, the costs involved in the process and the broad rules for entry into and e0it from the fund and other areas of operation. In India, as in most countries, these sponsors need approval from a regulator, !/.I (!ecurities /0change .oard of India) in our case. !/.I looks at track records of the sponsor and its financial strength in granting approval to the fund for commencing operations. A sponsor then hires an asset management company to invest the funds according to the investment ob ective. It also hires another entity to be the custodian of the assets of the fund and perhaps a third one to handle registry work for the unit holders (subscribers) of the fund. In the Indian conte0t, the sponsors promote the Asset #anagement +ompany also, in which it holds a ma ority stake. In many cases a sponsor can hold a 'BBP stake in the Asset #anagement +ompany (A#+). /.g. .irla Mlobal (inance is the sponsor of the .irla !un &ife Asset #anagement +ompany &td., which has floated different mutual funds schemes and also acts as an asset manager for the funds collected under the schemes.

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ORGANISATION OF MUTUAL FUNDS

%here are many entities involved and the diagram below illustrates the organi4ation set up of a mutual fund.
Or="#&C"t&o# of " M!t!"$ F!#d:

#utual funds have a typical organi4ation in which five key parties or players or special bodies are involved. %hey are (a) the sponsor(s), (b)the .oard of %rustees (.E%) or %rust +ompany, (c) Asset #anagement +ompany (A#+), (d) the custodian, (e) the Lnit holders. %hey are usually formed by an investment adviser or manager or sponsor who selects and appoints a .E%, which, in turn, hires or contracts a separate A#+ which is run by professional managers. %he A#+ conducts the necessary research, and based on it, manages the fund or portfolio. It is responsible for floating, managing, redeeming the schemesQ it also handles the administrative chores. It receives the fees for the services rendered by it. %he custodian is responsible for co" ordination with brokers, the actual transfer and storage of stocks, and handling the property of the trust. Re is answerable to the A#+. As per the current regulations in force in India, every #( proposed by a sponsor has to be set up as a trust under the Indian %rust Act, 'II1 (and not as a company under the +ompanies Act, 'KDF). %he L%I, however, was set up under a special L%I Act, 'KF2. All #(s have to be registered with the !/.I. It is re7uired that the first four constituents of the #( should maintain an arm)s length relationship among themselves in order to reduce conflict or interests, and to safeguard the interests of the investors. #utual funds can sell their units directly to the investors or they may employ the sales force of brokers and agents for that purpose.

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IMPORTANT PARTICIPANTS IN MUTUAL FUNDS:

%he legal structure and organi4ation of #utual (unds as laid down by !/.I guidelines is as follows5 S o#sor !ponsor is the person who acting alone or in combination with another body corporate establishes a mutual fund. !ponsor must contribute at least 8BP of the networth of the Investment #anaged and meet the eligibility criteria prescribed under the !ecurities and /0change .oard of India (#utual (unds) 3egulations, 'KKF. Tr!st %he #utual (und is constituted as a trust in accordance with the provisions of the Indian %rusts Act, 'II1 by the !ponsor. %he trust deed is registered under the Indian 3egistration Act, 'KBI. Tr!stee %rustee is usually a company (corporate body) or a .oard of %rustees (body of individuals). %he main responsibility of the %rustee is to safeguard the interest of the unit holders and inter"alia ensure that the A#+ functions in the interest of investors and in accordance with the !ecurities and /0change .oard of India (#utual (unds) 3egulations, 'KKF, the provisions of the %rust 6eed and the Effer 6ocuments of the respective !chemes. At least 1T2rd directors of the %rustee are independent directors who are not associated with the !ponsor in any manner.

Asset M"#"=e9e#t Co9 "#% 3AMC5

%he %rustee as the Investment #anager of the #utual (und appoints the A#+. %he A#+ is re7uired to be approved by the !ecurities and /0change .oard of India (!/.I) to act as an asset management company of the #utual (und. At least DBP of the directors of the A#+ are independent directors who are not associated with the !ponsor in any manner. %he A#+ must have a net worth of at least 'B crore at all times.
Re=&str"r "#d Tr"#sfer A=e#t

%he A#+ if so authori4ed by the %rust 6eed appoints the 3egistrar and %ransfer Agent to the #utual (und. %he 3egistrar processes the application form, redemption re7uests and dispatches account statements to the unit holders. 'K

MUTUAL FUND CLASSIFICATIONS:

%here are many types of #utual (unds available to the investor. Rowever, these different types can be grouped into certain classifications for better understanding. (rom the investor)s perspective there are three basic classifications of mutual funds.
*< O e#. E#ded Vs C$osed. E#ded F!#ds:

O e#. E#ded F!#ds: An Epen" /nded (und is one that has units available for sale and repurchase at all times. An investor can buy or redeem units from the fund itself at a price based on the ,et Assets -alue (,A-) per unit. ,ote that an open" ended fund is not obliged to keep sellingTissuing new units at all times, and many successful funds stop issuing further subscriptions from new investors after they reach a certain si4e and think they cannot change a larger fund without adversely affecting profitability. En the other hand, an open" ended fund rarely denies to its investors the facility to redeem e0isting units, sub ect to certain obvious conditions. %he units offered by these schemes are available for sale and repurchase on any business day at ,A- based prices. Rence, the unit capital of the schemes keeps changing each day. !uch schemes thus offer very high li7uidity to investors and are becoming increasingly popular in India. C$osed. E#ded F!#ds: Lnlike an open" ended fund, the unit capital of a closed" ended fund is fi0ed, as it makes a one" time sale of a fi0ed number of units. &ater on, unlike open" ended funds, close" ended funds do not allow investors to buy or redeem units directly from the funds. Rowever, to provide the much needed li7uidity to investors, many close" ended funds get themselves listed on a stock e0change(s). %rading through a stock e0change enables the investors to buy or sell units of a closed" ended #utual (und from each other, through a stockbroker, in the same fashion as buying or selling shares of a company. %he funds units may be traded at a discount or premium to ,Abased on investor)s perceptions about the funds performance thus offering another avenue for li7uidity to close" ended fund investors. In this case, the #utual (und actually reduces the number of units outstanding with investors.
6< Lo"d "#d #o. $o"d f!#ds:

1B

Lo"d F!#ds: A &oad (und is one that charges a commission for entry or e0it. %hat is, each time you buy or sell units in the fund, a commission will be payable. %ypically entry and e0it loads range from 'P to 1P. It could be worth paying the load, If the fund has a good performance history. No.Lo"d F!#ds: A ,o"&oad (und is one that does not charge a commission for entry or e0it. %hat is, no commission is payable on purchase of sale of units in the fund. %he advantage of a no load fund is that the entire corpus is put to work.

2< T"A. eAe9 t Vs #o#. T"A. EAe9 t:

Menerally, when a fund invests in ta0" e0empt securities, it is called a ta0" e0empt fund. In the L.!.A., for e0ample, municipal bonds pay interest that is ta0" free, while interest on corporate and other bonds is ta0able. In India, after 'KKK union budget, all of the dividend income received from any of the #utual (und is %a0" free in the hands of the investors. Rowever, funds other than /7uity (unds have to pay a distribution ta0, before distributing income to investors. In other words, e7uity #utual (und !chemes are ta0" e0empt investment avenues, while other funds are ta0able for distributable income.

1'

MUTUAL FUNDS TYPES

All #utual (unds would be either +lose" ended or Epen"ended, and either load or un"load. %hese +lassifications are general. Ence we have reviewed the fund classes, we are ready to discuss more specific types of funds. %he fund %ypes are generally distinguished from each other by their investment ob ectives and types of securities they invest in. T% es Of M!t!"$ F!#d S1he9es I#8est9e#t O4?e1t&8e: !chemes can be classified by way of their stated investment ob ective such as Mrowth (und, .alanced (und, Income (und etc. ED!&t% Or&e#ted S1he9es: %hese schemes, also commonly called Mrowth !chemes, seek to invest a ma ority of their funds in e7uities and a small portion in money market instruments. !uch schemes have the potential to deliver superior returns over the long term. Rowever, because they invest in e7uities, these schemes are e0posed to fluctuations in value especially in the short term. /7uity schemes are hence not suitable for investors seeking regular income or needing to use their investments in the short"term. %hey are ideal for investors who have a long"term investment hori4on. %he ,A- prices of e7uity fund fluctuates with market value of the underlying stock which are influenced by e0ternal factors such as social, political as well as economic. R6(+ Mrowth (und, R6(+ %a0 Plan 1BBB and R6(+ Inde0 (und are e0amples of e7uity schemes. 6iscussed below are the ma or types of e7uity funds, arranged in order of higher to lower risk level. a) A==ress&8e Gro;th F!#ds: As the name suggests aggressive growth funds target ma0imum capital appreciation, invest in ,less research or speculative shares and may not adopt speculative investment strategies to attain their ob ective of high returns for the investor. +onse7uently, they tend to be more volatile and riskier than other funds.

11

Gro;th F!#ds: Mrowth funds invest in companies whose earnings are e0pected to rise at an above average rate. %he primary ob ective of the growth (unds is capital appreciation over a three to five years span. Mrowth funds are therefore less volatile than funds that target aggressive growth. 45 S e1&"$t% F!#ds: %hese funds have a narrow portfolio orientation and invest only in companies that meet pre"defined criteria. Rowever, most specialty funds tend to be concentrated funds, since diversification is limited to one type of investment. +learly concentrated specialty funds tend to be more volatile than diversified funds. i) Se1tor F!#ds: !ector fund)s portfolio consist of investments in only one industry or sector of the market such as Information technology, Pharmaceuticals or (#+Ms. !ince !ector funds do not diversify into multiple sectors, they carry a higher level of sector and company specific risk than diversified e7uity funds. ii) Offshore f!#ds: %hese funds invest in e7uities in one or more foreign countries thereby achieving diversification across country borders. %hese funds may invest in a single country ( hence riskier) or many countries ( hence diversified). i) S9"$$. C" ED!&t% F!#ds: %hese funds invest in shares of companies with relatively lower market capitali4ation than that of big, blue chip companies. %hey may thus be more volatile than other funds, as smaller companies) shares are not very li7uid in the market. ii) O t&o# I#1o9e F!#ds: %hese funds do not e0ist in India, but Eption Income (unds write options on a significant part of their portfolio. $hile Eptions are viewed as risky instruments, they may actually help to control volatility, if properly used.

12

d5 D&8ers&f&ed ED!&t% F!#ds: A (und that seeks to invest only in e7uities, e0cept for a very small portion in li7uid money market securities, but is not focused on any one or few sectors or shares, may be termed a diversified e7uity fund. $hile e0posed to all e7uity price risks, diversified e7uity funds seek to reduce the sector or stock specific risk through diversification. %hey have mainly market risk e0posure. !uch general purpose but diversified funds are clearly at the lower risk level than growth funds. e5 ED!&t% I#deA F!#ds: An inde0 fund tracks the performance of a specific stock market inde0. %he ob ective is to match the performance of the stock market by tracking an inde0 that represents the overall market. f5V"$!e F!#ds: %hese funds try to seek out fundamentally sound companies whose shares are currently under priced in the market. -alue funds have the e7uity market price fluctuation risk, but stand often at a lower end of the risk spectrum in comparison with the growth funds. =5 ED!&t% I#1o9e f!#ds: %hese are e7uity funds that can be designed to give the investor a high level of current income along with some steady capital appreciation, investing mainly in shares of companies with high dividend yields. %hese funds are therefore less volatile and less risky than other e7uity funds.

18

6ebt .ased !chemes5 %hese schemes, also commonly called Income !chemes, invest in debt securities such as corporate bonds, debentures and government securities. %he prices of these schemes tend to be more stable compared with e7uity schemes and most of the returns to the investors are generated through dividends or steady capital appreciation. %hese schemes are ideal for conservative investors or those not in a position to take higher e7uity risks, such as retired individuals. Rowever, as compared to the money market schemes they do have a higher price fluctuation risk and compared to a Milt fund they have a higher credit risk. 6ebt funds are largely considered as Income funds as they do not target capital appreciation. &et us see 6ebt funds in this light5 "5D&8ers&f&ed De4t F!#ds: A debt fund that invests in all available types of debt securities, issued by entities across all industries and sectors is a properly diversified debt fund. %hey are less risky than a narrow" focus fund that invests in debt securities of a particular sector or industry. 45Fo1!sed De4t F!#ds: !ome debt funds have a narrower focus, with less diversification in its investments. /0amples include sector, speciali4ed and offshore funds. %hese funds are similar to the funds described in e7uity funds, e0cept that debt funds have a substantial part of their portfolio invested in debt instruments and therefore more income oriented and inherently less risky than e7uity funds. 15H&=h Y&e$d De4t F!#ds %hese funds seeks to obtain higher interest returns by investing in debt instruments that are considered below investment grade. %hese funds tend to be more volatile than other debt funds, although they may earn higher returns as a result of the higher risks taken. d5Ass!red Ret!r# F!#ds Assured 3eturn or Muaranteed #onthly Income Plans are essentially 6ebtT Income (unds. %hey certainly reduce the risk level considerably, as compared to all other debt or e7uity funds.

1D

e5F&Aed Ter9 P$"# Ser&es: (i0ed %erm Plans are essentially closed"end in nature, in that the #utual (und A#+ issues a fi0ed number of units for each series only once and closes the issue after an initial offering period, like a closed end scheme offering. Mo#e% M"r:et S1he9es: %hese schemes invest in short term instruments such as commercial paper (G+PH), certificates of deposit (G+6H), treasury bills (G%".illH) and overnight money (G+allH). %he schemes are the least volatile of all the types of schemes because of their investments in money market instrument with short"term maturities and have become popular with institutional investors and high net worth individuals having short"term surplus funds. G&$t F!#ds: %his scheme primarily invests in Movernment 6ebt. Rence the investor usually does not have to worry about credit risk since Movernment 6ebt is generally credit risk free. H%4r&d F!#ds: $e have seen that in terms of nature of financial securities held, there are three ma or mutual fund types5 #oney #arket, 6ebt and /7uity. #any #utual funds mi0 these different types of securities in their portfolios. !uch funds are termed Ghybrid fundsH as they have a dual e7uityTbond focus. a) B"$"#1ed F!#ds: A balanced fund is one that has a portfolio comprising debt instruments, convertible securities, preference and e7uity shares. .y investing in a mi0 of this nature, balanced funds seeks to attain ob ectives of income, moderate capital appreciation and preservation of capital, and are ideal for investors with a conservative and long"term orientation. b) Gro;th "#d I#1o9e F!#ds: Lnlike Income"focused or growth focused funds, these funds seek to strike a balance between capital appreciation and income for the investor. %hese funds would be less risky than pure growth funds, though more risky than income finds.

1F

BALANCE GROBTH PLAN RETURNS VARIANCE E STANDARD DEVIATION OF ICICI BALANCE GROBTH PLAN FOR THE MONTH JUL ) *2

S<No< ' 1 2 8 D F J I K 'B '' '1 '2 '8 'D 'F 'J 'I

D"te 1"Nul"'2 2"Nul"'2 8"Nul"'2 D"Nul"'2 F"Nul"'2 K"Nul"'2 'B"Nul"'2 ''"Nul"'2 '1"Nul"'2 '2"Nul"'2 'F"Nul"'2 'J"Nul"'2 'I"Nul"'2 'K"Nul"'2 1B"Nul"'2 12"Nul"'2 18"Nul"'2 1D"Nul"'2

NAV 2F.FD 2F.KI 2F.K 2F.IJ 2F.K1 2J.'2 2J.B1 2J.'2 2J.8K 2J.J' 2J.F2 2J.DJ 2J.D' 2J.II 2J.K' 2I.'J 2I.1D 2J.K TOTAL MEAN

Ret!r#s 3RI5 B.K' B.KB "B.11 "B.BI B.'8 B.DJ "B.2B B.2B B.KJ B.DK "B.1' "B.'F "B.'F B.KK B.BI B.FK B.1' "B.K1 8.2B'

(.Me"# B.FJ B.FF "B.8F "B.21 "B.'B B.22 "B.D8 "B.BF B.J2 B.2D "B.8D "B.8B "B.8B B.JD "B.'F B.8D "B.B2 "'.'F

3(.Me"#56 B.8D B.88 B.1' B.'B B.B' B.'' B.1K B.B' B.D2 B.'1 B.1B B.'F B.'F B.DF B.B2 B.1B B.BK '.2D D.B1 B.1I

B.18 VARIANCE

3eturn <

(+urrent Price " Previous Price) 0 'BB +urrent Price #/A, < U 3I n where 3i < ' to 'I, n < 'I -ariance < (A" mean) 1 , !tandard deviation <-ariance <CB.1I

<B.D

1J

DESCIPTIVE STATICTICS
#ean #edian !tandard 6eviation 3ange #inimum 3eturn #a0imum 3eturn B.18 B.'J B.D2 '.KB "B.K1 B.KK

INTERPRETATION: %he above table represents the daily returns on net asset value and descriptive statistics of I+I+I balance growth fund, it reveals that the monthly mean is B.18 with a price variation of B.8' and risk factor being B.F8 which is very low when compared to monthly mean. %hus in this particular month investors can e0pect returns or increase in net asset value. GRAPHICAL REPRESENTATIONF

INTERPRETATION: %he above graph represents the daily returns, it shows the volatility in returns, and thus it reveals that there is increase and decrease in net asset value thus it can be said that the asset value of I+I+I balance growth fund were going according to market conditions. Rere investors can e0pect positive returns from the market.

1I

RETURNS VARIANCE E STANDARD DEVIATION OF ICICI BALANCE GROBTH PLAN FOR THE MONTH AUG ) *2 S<No< ' 1 2 8 D F J I K 'B '' '1 '2 '8 'D 'F 'J 'I D"te '"Aug"'2 1"Aug"'2 2"Aug"'2 F"Aug"'2 J"Aug"'2 I"Aug"'2 K"Aug"'2 'B"Aug"'2 '2"Aug"'2 '8"Aug"'2 'F"Aug"'2 'J"Aug"'2 1B"Aug"'2 1'"Aug"'2 11"Aug"'2 12"Aug"'2 18"Aug"'2 1J"Aug"'2 NAV 2F 2F.11 2F.D1 2F.21 2F.28 2F.K1 2F.D1 2F.'D 2F.2F 2F.2D 2D.1' 28.KJ 2D.DJ 28.J' 2D.'8 28.K' 2D.1 2D.IK %E%A& #/A, Ret!r#s 3RI5 "D.B' B.F' B.I2 "B.DD B.BF '.FB "'.BI "'.B' B.DI "B.B2 "2.'8 "B.FI '.J1 "1.81 '.18 "B.FD B.I2 '.KF " D.'8 "B.1K -A3IA,+/ (.Me"# "8.J2 B.KB '.'' "B.1F B.28 '.II "B.IB "B.J2 B.IJ B.1F "1.ID "B.8B 1.BB "1.'2 '.D2 "B.2J '.'1 1.1D 3(.Me"#56 11.28 B.I' '.18 B.BJ B.'1 2.D8 B.F2 B.D2 B.JD B.BJ I.'1 B.'F 8.B' 8.D8 1.22 B.'8 '.1D D.BD DD.JB 2.BK

#/A, < U 3I

n -ariance5 mean of (A" mean) 1 !tandard deviation5 Cvariance < C2.BK

< '.JF

DESCRIPTIVE STATICTICS 1K

#ean #edian !tandard 6eviation 3ange #inimum #a0imum

"B.1K B.B' '.JF F.KJ "D.B' '.KF

INTERPRETATION: %he above table represents the daily returns on net asset value and descriptive statistics of I+I+I balance growth fund, it reveals that the monthly mean is "B.1K with a price variation of 2.BK and risk factor being '.JF which is very low when compared to monthly mean. %hus in this particular month investors can e0pect returns or increase in net asset value. GRAPHICAL REPRESENTATION

INTERPRETATION : %he above graph represents the daily returns, it shows the volatility in returns, and thus it reveals that there is increase and decrease in net asset value thus it can be said that the asset value of I+I+I balance growth fund were going according to market conditions. Rere investors can e0pect positive returns from the market

2B

RETURNS VARIANCE E STANDARD DEVIATION OF ICICI BALANCE GROBTH PLAN FOR THE MONTH SEP ) *2 !.,o. ' 1 2 8 D F J I K 'B '' '1 '2 '8 'D 'F 'J 'I 6ate 2"!ep"'2 8"!ep"'2 D"!ep"'2 F"!ep"'2 J"!ep"'2 'B"!ep"'2 ''"!ep"'2 '1"!ep"'2 '2"!ep"'2 '8"!ep"'2 'J"!ep"'2 'I"!ep"'2 'K"!ep"'2 1B"!ep"'2 1'"!ep"'2 18"!ep"'2 1D"!ep"'2 1F"!ep"'2 ,A2J.'D 2J.1K 2J.28 2J.F 2J.8' 2J.82 2J.2K 2J.8D 2J.FD 2J.88 2J.2D 2J.J1 2I.FJ 2I.IJ 2K.1F 2K.F2 2K.DD 2K.D' %E%A& #/A, #/A, < U 3I n -ariance5 mean of (A" mean) 1 !tandard deviation5 Cvariance < C'.B' < '.B' 3eturns 2.D' B.2I B.'2 B.JB "B.D' B.BD "B.'' B.'F B.D2 "B.DF "B.18 B.KK 1.D1 B.D1 '.BB B.K8 "B.1B "B.'B K.J' B.D8 -A3IA,+/ A"#ean 1.KJ "B.'F "B.8' B.'F "'.BD "B.8K "B.FD "B.2I "B.B' "'.'B "B.JI B.8D '.KI "B.B1 B.8F B.8B "B.J8 "B.F8 (A"#ean)1 I.I1 B.B2 B.'F B.B1 '.BK B.18 B.81 B.'8 B.BB '.1' B.F' B.1B 2.K' B.BB B.1' B.'F B.DD B.8' 'J.I' '.B'

2'

DESCRIPTIVE STATICTICS #ean #edian !tandard 6eviation 3ange #inimum #a0imum B.D8 B.1J '.B' 8.BJ "B.DF 2.D'

INTERPRETATION: %he above table represents the daily returns on net asset value and descriptive statistics of I+I+I balance growth fund, it reveals that the monthly mean is B.D8 with a price variation of '.B' and risk factor being '.B' which is very low when compared to monthly mean. %hus in this particular month investors can e0pect returns or increase in net asset value. GRAPHICAL REPRESENTATION

INTERPRETATION: %he above graph represents the daily returns, it shows the volatility in returns, and thus it reveals that there is increase and decrease in net asset value thus it can be said that the asset value of I+I+I balance growth fund were going according to market conditions. Rere investors can e0pect positive returns from the market. RETURNS VARIANCE E STANDARD DEVIATION OF ICICI 21

BALANCE GROBTH PLAN FOR THE MONTH OCT ) *2 S#o * 6 2 G , 0 / + *7 ** *6 *2 **G *, *0 */ D"te '"Ect"'2 2"Ect"'2 8"Ect"'2 D"Ect"'2 I"Ect"'2 K"Ect"'2 'B"Ect"'2 ''"Ect"'2 '1"Ect"'2 'D"Ect"'2 'F"Ect"'2 'J"Ect"'2 'I"Ect"'2 'K"Ect"'2 11"Ect"'2 12"Ect"'2 18"Ect"'2 1D"Ect"'2 NAV 8B.2D 8B.IF 8B.K1 8B.J8 2K.KK 8'.1J 8'.JJ 81.22 8'.J8 82.B8 81.K' 81.8F 8'.8D 8B.DD 8B.8K 81.' 81.1' 81.ID TOTAL MEAN #/A, < U 3I n -ariance5 mean of (A" mean) 1 !tandard deviation5 Cvariance C2.2J < '.I8 Ret!r#s 1.'2 '.1F B.'D "B.88 "'.I8 2.1B '.1' '.28 "'.2K 2.'' "B.2B "'.BD "1.2I "1.'J "B.'D 2.KI B.1F '.D1 I.88 B.8J VARIANCE (.Me"# '.FF B.IB "B.21 "B.K' "1.2' 1.J2 B.J8 B.IJ "'.IF 1.FD "B.JJ "'.D1 "1.ID "1.F8 "B.F1 2.D' "B.1' '.BD 3(.Me"#56 1.JD B.F2 B.'B B.I2 D.22 J.8F B.DD B.JF 2.8J J.BB B.DK 1.2B I.'' F.KJ B.2I '1.2B B.B8 '.'B FB.FJ 2.2J

22

DESCRIPTIVE STATICTICS #ean #edian !tandard 6eviation 3ange #inimum #a0imum INTERPRETATION: %he above table represents the daily returns on net asset value and descriptive statistics of I+I+I balance growth fund, it reveals that the monthly mean is B.8J with a price variation of 2.2J and risk factor being '.I8 which is very low when compared to monthly mean. %hus in this particular month investors can e0pect returns or increase in net asset value. GRAPHICAL REPRESENTATION5 B.8J B.1B '.I8 F.2D "1.2I 2.KI

INTERPRETATION: %he above graph represents the daily returns, it shows the volatility in returns, and thus it reveals that there is increase and decrease in net asset value thus it can be said that the asset value of I+I+I balance growth fund were going according to market conditions. Rere investors can e0pect positive returns from the market.

28

RETURNS VARIANCE E STANDARD DEVIATION OF ICICI BALANCE GROBTH PLAN FOR THE MONTH NOV. *2

!no ' 1 2 8 D F J I K 'B '' '1 '2 '8 'D 'F 'J 'I

6ate '",ov"'2 1",ov"'2 D",ov"'2 F",ov"'2 J",ov"'2 I",ov"'2 '1",ov"'2 '2",ov"'2 '8",ov"'2 'D",ov"'2 'F",ov"'2 'K",ov"'2 1B",ov"'2 1'",ov"'2 11",ov"'2 12",ov"'2 1F",ov"'2 1J",ov"'2

,A82.IF 88.'D 82.IF 82.J2 82.K' 82.1K 81.ID 82.88 88.F 88.DK 88.J' 88.KI 88.28 82.B8 81.KF 82.81 88.BJ 82.KJ %E%A& #/A,

3eturns 1.2F B.FF "B.FF "B.2B B.8' "'.8' "'.B1 '.2I 1.FJ "B.B1 B.1J B.FB "'.81 "1.K2 "B.'K '.BJ '.DB "B.12 1.J8 B.'D

A"#ean 1.1B B.D' "B.I' "B.8D B.1F "'.DF "'.'J '.11 1.D1 "B.'J B.'1 B.8D "'.DI "2.BI "B.28 B.K1 '.28 "B.2I -A3IA,+/

(A"#ean)1 8.IF B.1F B.FF B.1B B.BJ 1.8D '.2J '.DB F.28 B.B2 B.B' B.1B 1.8I K.D' B.'' B.I8 '.I' B.'8 21.I8 '.I1

#/A, < U 3I n -ariance5 mean of (A" mean) 1 !tandard deviation5 Cvariance < C'.I1 < '.2D

2D

DESCRIPTIVE STATICTICS #ean B.'D #edian !tandard 6eviation 3ange #inimum #a0imum
INTERPRETATION:

B.'1 '.2D D.FB "1.K2 1.FJ

%he above table represents the daily returns on net asset value and descriptive statistics of I+I+I balance growth fund, it reveals that the monthly mean is B.'D with a price variation of '.I1 and risk factor being '.2D which is very low when compared to monthly mean. %hus in this particular month investors can e0pect returns or increase in net asset value.

GRAPHICAL REPRESENTATION 5 2F

INTERPRETATION : %he above graph represents the daily returns, it shows the volatility in returns, and thus it reveals that there is increase and decrease in net asset value thus it can be said that the asset value of I+I+I balance growth fund were going according to market conditions. Rere investors can e0pect positive returns from the market.

RETURNS VARIANCE E STANDARD DEVIATION OF ICICI

2J

BALANCE GROBTH PLAN FOR THE MONTH DEC ) *2

!no ' 1 2 8 D F J I K 'B '' '1 '2 '8 'D 'F 'J 'I 6ate 2"6ec"'2 8"6ec"'2 D"6ec"'2 F"6ec"'2 J"6ec"'2 'B"6ec"'2 ''"6ec"'2 '1"6ec"'2 '2"6ec"'2 '8"6ec"'2 'J"6ec"'2 'I"6ec"'2 'K"6ec"'2 1B"6ec"'2 18"6ec"'2 1F"6ec"'2 1J"6ec"'2 1I"6ec"'2 ,A8D.'K 8D.D' 8D.K' 8D.JJ 8D.J8 8D.DJ 8F 8F.2' 8D.KD 8F.BI 88.D2 88.8' 88.8D 88.D 8D.DJ 8F.2' 8F.D' 8F.I1 %E%A& #/A, 3eturns 1.JJ B.J' B.II "B.2B "B.BJ "B.2J B.K8 B.FJ "B.JI B.1I "2.2F "B.1J B.BK B.'' 1.8B '.F1 B.82 B.FJ F.81 B.2F -A3IA,+/ A"#ean 1.81 B.2D B.D1 "B.FF "B.81 "B.J2 B.DK B.21 "'.'8 "B.BJ "2.J1 "B.F2 "B.1J "B.1D 1.BD '.1J B.BJ B.2' (A"#ean)1 D.I8 B.'1 B.1J B.88 B.'I B.D2 B.28 B.'B '.1K B.B' '2.ID B.2K B.BJ B.BF 8.'K '.FB B.B' B.'B 1K.1K '.F2

#/A, < U 3I

n -ariance5 mean of (A" mean) 1 !tandard deviation5 Cvariance 2I

C'.F2

< '.1I

2K

DESCRIPTIVE STATICTICS #ean #edian !tandard 6eviation 3ange #inimum #a0imum

B.2F B.2F '.1I F.'8 "2.2F 1.JJ

INTERPRETATION: %he above table represents the daily returns on net asset value and descriptive statistics of I+I+I balance growth fund, it reveals that the monthly mean is B.2F with a price variation of '.F2 and risk factor being '.1I which is very low when compared to monthly mean. %hus in this particular month investors can e0pect returns or increase in net asset value. GRAPHICAL REPRESENTATION

INTERPRETATION : %he above graph represents the daily returns, it shows the volatility in returns, and thus it reveals that there is increase and decrease in net asset value thus it can be said that the asset value of I+I+I balance growth fund were going according to market conditions. Rere investors can e0pect positive returns from the market. 8B

CORRELATION OF RETURNS BETBEEN BSE SENSE( AND ICICI BALANCE GROBTH FOR THE PERIOD JUL )*2 TO DEC.*2
#E,%R NL& ALM !/P E+% ,E6/+ #/A, .!/(A) B.88 "B.1K B.J8 B.F' B.'F B.1I B.21 I+I+I"."M(V) B.18 "B.1K B.D8 B.8J B.'D B.2F B.1D A<A"#/A, B.'1 "B.F' B.8' B.1I "B.'F "B.B8 V<V"#/A, "B.B' "B.D2 B.2B B.11 "B.BK B.'' !L# A1 B.1B B.BI B.DD B.2J B.B2 B.BI B.11 V1 B.BB B.1I B.BK B.BD B.B' B.B' B.BJ AV B.BB B.22 B.'1 B.BF B.B1 B.BB B.BK

+E33/&A%IE, E( 3/%L3,!

WAV WA19WV1 CWA19WV1 +E33/&A%IE,( r )

(,9 : 0y) ; (:y9 :0)

B.BK B.B1 B.'2 B.FK

+orrelation +oefficient < =(,9 : y>) ; (:y) >?9 =,9 :0>) ;( :0) >?@

8'

INTERPRETATION: %he above table and graph represents the correlation of returns between .!/ !ense0 and I+I+I balance growth fund for the second half of the year, it reveals that there e0ists a positive correlation and the correlation is less than ' which represents that there is a strong correlation between fund and the market.

81

B"$"#1e P$"# D&8&de#d RETURNS VARIANCE E STANDARD DEVIATION OF ICICI BALANCE PLAN DIVIDEND FOR THE MONTH JUL.*2
!no ' 1 2 8 D F J I K 'B '' '1 '2 '8 'D 'F 'J 'I 6ate 1"Nul"'2 2"Nul"'2 8"Nul"'2 D"Nul"'2 F"Nul"'2 K"Nul"'2 'B"Nul"'2 ''"Nul"'2 '1"Nul"'2 '2"Nul"'2 'F"Nul"'2 'J"Nul"'2 'I"Nul"'2 'K"Nul"'2 1B"Nul"'2 12"Nul"'2 18"Nul"'2 1D"Nul"'2 ,A'J.KI 'I.'8 'I.'' 'I.BK 'I.'' 'I.11 'I.'F 'I.1' 'I.2K 'I.D 'I.8F 'I.82 'I.8 'I.DI 'I.F 'I.J2 'I.JF 'I.F %E%A& #/A, #/A, < U 3I 3eturns '.'I 1.'8 '.F2 B.F' "B.'J B.F' B.2K B.DD B.K2 '.IJ '.2J B.11 "B.D8 B.FD B.K1 '.JK B.KJ B.BB 'D.'1 B.I8 -A3IA,+/ A"#ean B.28 '.2B B.JK "B.12 "'.B' "B.12 "B.8D "B.1K B.BK '.B2 B.D2 "B.F1 "'.2I "B.'K B.BI B.KD B.'2 "B.I8 (A"#ean)1 B.'1 '.FK B.F1 B.BD '.B' B.BD B.1' B.BI B.B' '.BF B.1I B.2K '.K' B.B8 B.B' B.K' B.B1 B.J' K.'J B.D'

n -ariance5 mean of (A" mean) 1 !tandard deviation5 Cvariance < CB.D' < B.J'

82

DESCRIPTIVE STATICTICS #ean #edian !tandard 6eviation 3ange #inimum #a0imum B.I8 B.JK B.J' 1.FI "B.D8 1.'8

INTERPRETATION: %he above table represents the daily returns on net asset value and descriptive statistics of I+I+I balance growth fund, it reveals that the monthly mean is B.I8 with a price variation of B.D' and risk factor being B.J' which is very low when compared to monthly mean. %hus in this particular month investors can e0pect returns or increase in net asset value. GRAPHICAL REPRESENTATION

%he above graph represents the daily returns, it shows the volatility in returns, and thus it reveals that there is increase and decrease in net asset value thus it can be said that the asset value of I+I+I balance growth fund were going according to market conditions. Rere investors can e0pect positive returns from the market.

88

RETURNS VARIANCE E STANDARD DEVIATION OF ICICI BALANCE PLAN DIVIDEND FOR THE MONTH AUG ) *2
!no ' 1 2 8 D F J I K 'B '' '1 '2 '8 'D 'F 'J 'I 6ate '"Aug"'2 1"Aug"'2 2"Aug"'2 F"Aug"'2 J"Aug"'2 I"Aug"'2 K"Aug"'2 'B"Aug"'2 '2"Aug"'2 '8"Aug"'2 'F"Aug"'2 'J"Aug"'2 1B"Aug"'2 1'"Aug"'2 11"Aug"'2 12"Aug"'2 18"Aug"'2 1J"Aug"'2 ,A'J.FF 'J.JJ 'J.K1 'J.I1 'J.I2 'I.'1 'J.K1 'J.J8 'J.I8 'J.I2 'J.1I 'J.'F 'J.8D 'J.B2 'J.18 'J.'2 'J.1J 'J.F' %E%A& #/A, 3eturns "D.J' "D.1I "2.FF B.K' B.28 '.'1 B.DF "B.DB "'.DD "B.DB "1.DK "2.I' "1.'2 "'.8D B.8J "'.I2 '.8' 1.'D "11.BD "'.12 -A3IA,+/ A"#ean "8.8K "8.BD "1.82 1.'2 '.DF 1.28 '.JK B.J1 "B.21 B.J1 "'.2J "1.DK "B.K' "B.11 '.FK "B.F' 1.F8 2.2J (A"#ean)1 1B.'2 'F.8' D.KB 8.DD 1.8D D.8K 2.'K B.D1 B.'B B.D1 '.IJ F.FI B.I1 B.BD 1.IF B.2J F.KD ''.2J KB.12 D.B'

#/A, < U 3I n -ariance5 mean of (A" mean) 1 !tandard deviation5 Cvariance 8D

!6 < CD.B' < 1.18

8F

DESCRIPTIVE STATICTICS Des1r& t&8e St"t&st&1s #ean #edian !tandard 6eviation 3ange #inimum #a0imum INTERPRETATION: %he above table represents the daily returns on net asset value and descriptive statistics of I+I+I balance growth fund, it reveals that the monthly mean is "'.12 with a price variation of D.B' and risk factor being 1.18 which is very low when compared to monthly mean. %hus in this particular month investors can e0pect returns or increase in net asset value. GRAPHICAL REPRESENTATION "'.12 "B.KI 1.18 J.IF "D.J' 1.'D

INTERPRETATION : 8J

%he above graph represents the daily returns, it shows the volatility in returns, and thus it reveals that there is increase and decrease in net asset value thus it can be said that the asset value of I+I+I balance growth fund were going according to market conditions. Rere investors can e0pect positive returns from the market.

RETURNS VARIANCE E STANDARD DEVIATION OF ICICI BALANCE PLAN DIVIDEND FOR THE MONTH SEP . *2 8I

!no ' 1 2 8 D F J I K 'B '' '1 '2 '8 'D 'F 'J 'I

6ate 2"!ep"'2 8"!ep"'2 D"!ep"'2 F"!ep"'2 J"!ep"'2 'B"!ep"'2 ''"!ep"'2 '1"!ep"'2 '2"!ep"'2 '8"!ep"'2 'J"!ep"'2 'I"!ep"'2 'K"!ep"'2 1B"!ep"'2 1'"!ep"'2 18"!ep"'2 1D"!ep"'2 1F"!ep"'2

,A'I.11 'I.2 'I.21 'I.8D 'I.2D 'I.2J 'I.28 'I.2I 'I.8J 'I.2J 'J.22 'J.D 'J.K8 'I.B2 'I.1' 'I.2K 'I.2D 'I.22 %E%A& #/A,

3eturns F.2F D.KF 8.B2 '.1F B.1J B.1J "B.FB B.'F B.D8 B.'F "D.J' "D.1D "1.28 8.B8 8.BF 1.D' '.JJ B.FF 'I.'D '.B'

A"#ean D.2D 8.KD 2.B1 B.1D "B.J8 "B.J8 "'.F' "B.ID "B.8J "B.ID "F.J1 "F.1F "2.2D 2.B2 2.BD '.DB B.JJ "B.2D

(A"#ean)1 1I.FF 18.DD K.'2 B.BF B.D8 B.D8 1.DI B.J1 B.11 B.J1 8D.'K 2K.1' ''.12 K.'I K.1K 1.1D B.DK B.'1 'I8.JI

-A3IA,+/

'B.1F

#/A, < U 3I

n -ariance5 mean of (A" mean) 1 !tandard deviation5 Cvariance C'B.1F < 2.1B

8K

DESCRIPTIVE STATICTICS Des1r& t&8e St"t&st&1s #ean #edian !tandard 6eviation 3ange #inimum #a0imum '.B' B.FB 2.1B '1.BI "D.J' F.2F

INTERPRETATION: %he above table represents the daily returns on net asset value and descriptive statistics of I+I+I balance growth fund, it reveals that the monthly mean is '.B' with a price variation of 'B.1F and risk factor being 2.1B which is very low when compared to monthly mean. %hus in this particular month investors can e0pect returns or increase in net asset value.

GRAPHICAL REPRESENTATION

INTERPRETATION :

DB

%he above graph represents the daily returns, it shows the volatility in returns, and thus it reveals that there is increase and decrease in net asset value thus it can be said that the asset value of I+I+I balance growth fund were going according to market conditions. Rere investors can e0pect positive returns from the market.

D'

RETURNS VARIANCE E STANDARD DEVIATION OF ICICI BALANCE PLAN DIVIDEND FOR THE MONTH OCT ) *2
!no ' 1 2 8 D F J I K 'B '' '1 '2 '8 'D 'F 'J 'I 6ate '"Ect"'2 2"Ect"'2 8"Ect"'2 D"Ect"'2 I"Ect"'2 K"Ect"'2 'B"Ect"'2 ''"Ect"'2 '1"Ect"'2 'D"Ect"'2 'F"Ect"'2 'J"Ect"'2 'I"Ect"'2 'K"Ect"'2 11"Ect"'2 12"Ect"'2 18"Ect"'2 1D"Ect"'2 ,A'I.J1 'I.KF 'I.KI 'I.K 'I.DD 'K.'8 'K.2I 'K.F8 'K.2J 'K.KJ 'K.K' 'K.J 'K.12 'I.I' 'I.JI 'K.D2 'K.DI 'K.II %E%A& #/A, #/A, < U 3I 3eturns '.JK 2.21 2.DD B.KF "1.'F B.I8 1.D8 D.II '.1B 2.B8 '.2J '.JB "2.J' "D.D1 "8.FJ '.DF 8.BK D.IF 1'.F8 '.1B -A3IA,+/ A"#ean B.DK 1.'1 1.28 "B.18 "2.2J "B.2F '.28 8.FJ B.BB '.I8 B.'J B.DB "8.K' "F.J2 "D.IJ B.2F 1.IK 8.FD (A"#ean)1 B.2D 8.DB D.8K B.BF ''.22 B.'2 '.JK 1'.I8 B.BB 2.2K B.B2 B.1D 18.'B 8D.1J 28.DB B.'2 I.2D 1'.FF 'I2.'J 'B.'J

n -ariance5 mean of (A" mean) 1 !tandard deviation5 Cvariance !6 < 2.'K

D1

DESCRIPTIVE STATICTICS #ean #edian !tandard 6eviation 3ange #inimum #a0imum '.1B '.F2 2.'K ''.8B "D.D1 D.II

INTERPRETATION: %he above table represents the daily returns on net asset value and descriptive statistics of I+I+I balance growth fund, it reveals that the monthly mean is '.1B with a price variation of 'B.'J and risk factor being 2.'K which is very low when compared to monthly mean. %hus in this particular month investors can e0pect returns or increase in net asset value. GRAPHICAL REPRESENTATION

INTERPRETATION : %he above graph represents the daily returns, it shows the volatility in returns, and thus it reveals that there is increase and decrease in net asset value thus it can be said that the asset value of I+I+I balance growth fund were going according to market conditions. Rere investors can e0pect positive returns from the market.

D2

RETURNS VARIANCE E STANDARD DEVIATION OF ICICI BALANCE PLAN DIVIDEND FOR THE MONTH NOV. *2
!no ' 1 2 8 D F J I K 'B '' '1 '2 '8 'D 'F 'J 'I 6ate '",ov"'2 1",ov"'2 D",ov"'2 F",ov"'2 J",ov"'2 I",ov"'2 '1",ov"'2 '2",ov"'2 '8",ov"'2 'D",ov"'2 'F",ov"'2 'K",ov"'2 1B",ov"'2 1'",ov"'2 11",ov"'2 12",ov"'2 1F",ov"'2 1J",ov"'2 ,A1B.2D 1B.8I 1B.2D 1B.1K 1B.2J 1B.BK 'K.II 1B.'D 1B.FK 1B.FK 1B.J8 1B.IJ 1B.DJ 'K.KJ 'K.K2 1B.'8 1B.88 1B.8 %E%A& #/A, 3eturns 8.1B 8.FB 1.2F "B.1K "B.D8 "'.1I "1.B1 "'.BI 1.KK 8.BJ 1.K2 B.IJ "B.DI "2.J' "8.DB "1.BK 1.2D 1.2F 'B.F8 B.DK -A3IA,+/ A"#ean 2.F' 8.B' '.JJ "B.IK "'.'2 "'.IJ "1.F' "'.FJ 1.8B 2.8I 1.28 B.1I "'.'J "8.2B "D.BK "1.FI '.JF '.JJ (A"#ean)1 '2.B1 'F.BD 2.'D B.JI '.1J 2.8K F.I1 1.JK D.J8 '1.'8 D.8F B.BI '.2J 'I.D1 1D.KF J.'K 2.'' 2.'1 '2B.1F J.12

#/A, < U 3I n -ariance5 mean of (A" mean) 1 !tandard deviation5 Cvariance !6 < 1.FK

D8

DESCRIPTIVE STATICTICS
DESCRIPTIVE STATISTICS

#ean #edian !tandard 6eviation 3ange #inimum #a0imum

B.DK B.1K 1.FK K.'B "8.DB 8.FB

INTERPRETATION: %he above table represents the daily returns on net asset value and descriptive statistics of I+I+I balance growth fund, it reveals that the monthly mean is B.DK with a price variation of J.12 and risk factor being 1.FK which is very low when compared to monthly mean. %hus in this particular month investors can e0pect returns or increase in net asset value.

GRAPHICAL REPRESENTATION

DD

INTERPRETATION : %he above graph represents the daily returns, it shows the volatility in returns, and thus it reveals that there is increase and decrease in net asset value thus it can be said that the asset value of I+I+I balance growth fund were going according to market conditions. Rere investors can e0pect positive returns from the market.

DF

RETURNS VARIANCE E STANDARD DEVIATION OF ICICI BALANCE PLAN DIVIDEND FOR THE MONTH DEC . *2
!no ' 1 2 8 D F J I K 'B '' '1 '2 '8 'D 'F 'J 'I 6ate 2"6ec"'2 8"6ec"'2 D"6ec"'2 F"6ec"'2 J"6ec"'2 'B"6ec"'2 ''"6ec"'2 '1"6ec"'2 '2"6ec"'2 '8"6ec"'2 'J"6ec"'2 'I"6ec"'2 'K"6ec"'2 1B"6ec"'2 18"6ec"'2 1F"6ec"'2 1J"6ec"'2 1I"6ec"'2 ,A1B.KF 1'.'' 1'.2 1'.18 1'.11 1'.'8 1'.28 1'.8K 1'.21 1'.2I 1B.FF 1B.F 1B.F1 1B.FD 1'.'8 1'.8K 1'.DI 1'.J1 %E%A& #/A, 3eturns 8.BJ 2.1I 8.8' '.28 B.D1 "B.JD B.8J '.1J B.ID B.'K "2.IF "2.2I "2.DD "B.BD 1.F1 8.11 8.DB 1.J8 'I.IK '.BD -A3IA,+/ A"#ean 2.B1 1.12 2.2F B.1K "B.D2 "'.IB "B.DI B.11 "B.1B "B.IF "8.K' "8.82 "8.FB "'.'B '.DJ 2.'J 2.8D '.FK (A"#ean)1 K.'2 8.KF ''.2B B.BI B.1I 2.18 B.28 B.BD B.B8 B.J8 18.'2 'K.FB 1'.1B '.1' 1.8J 'B.BD ''.K2 1.IJ '12.F1 F.IJ

-ariance5 mean of (A" mean) 1 !tandard deviation5 Cvariance !6 < 1.F1

DJ

DESCRIPTIVE STATICTICS
Des1r& t&8e St"t&st&1s #ean #edian !tandard 6eviation 3ange #inimum #a0imum

'.BD '.BF 1.F1 I.2J "2.IF 8.DB

INTERPRETATION: %he above table represents the daily returns on net asset value and descriptive statistics of I+I+I balance growth fund, it reveals that the monthly mean is '.BD with a price variation of F.IJ and risk factor being 1.F1 which is very low when compared to monthly mean. %hus in this particular month investors can e0pect returns or increase in net asset value. GRAPHICAL REPRESENTATION

INTERPRETATION : %he above graph represents the daily returns, it shows the volatility in returns, and thus it reveals that there is increase and decrease in net asset value thus it can be said that the asset value of I+I+I balance growth fund were going according to market conditions. Rere investors can e0pect positive returns from the market. CORRELATION OF RETURNS BETBEEN BSE SENSE( AND ICICI BALANCE PLAN DIVIDEND FOR THE PERIOD JUL.*2 TO DEC.*2 DI

#E,%R NL& ALM !/P E+% ,E6/+ #/A,

.!/(A) B.88 "B.1K B.J8 B.F' B.'F B.1I B.21

I+I+I"."6(V) B.I8 "'.12 '.B' '.1B B.DK '.BD B.DI

A<A"#/A, B.'1 "B.F' B.8' B.1I "B.'F "B.B8

V<V"#/A, B.1F "'.IB B.82 B.F2 B.B' B.8J !L#

A1 B.1B B.BI B.DD B.2J B.B2 B.BI B.11

V1 B.BJ 2.1F B.'K B.2K B.BB B.11 B.FK

AV B.B2 '.'B B.'I B.'I B.BB "B.B1 B.18

CORRELATION OF RETURNS
WAV WA19WV1 CWA19WV1 +E33/&A%IE,( r ) B.18 B.'D B.2K B.F2

(,9 : 0y) ; (:y9 :0) +orrelation +oefficient < =(,9 : y>) ; (:y) >?9 =,9 :0>) ;( :0) >?@

DK

INTERPRETATION: %he above table and graph represents the correlation of returns between .!/ !ense0 and I+I+I balance dividend fund for the second half of the year, it reveals that there e0ists a positive correlation and the correlation is less than ' which represents that there is a strong correlation between fund and the market.

FB

RETURNS VARIANCE E STANDARD DEVIATION OF OF JUL.*2

!no ' 1 2 8 D F J I K 'B '' '1 '2 '8 'D 'F 'J 'I 6ate JT1T1B'2 JT2T1B'2 JT8T1B'2 JTDT1B'2 JTFT1B'2 JTKT1B'2 JT'BT1B'2 JT''T1B'2 JT'1T1B'2 JT'2T1B'2 JT'FT1B'2 JT'JT1B'2 JT'IT1B'2 JT'KT1B'2 JT1BT1B'2 JT12T1B'2 JT18T1B'2 JT1DT1B'2 +lose '8FF8.1F '8IBF.D' '8IIB.18 '8IF'.IK '8KF8.'1 'DB8D.J2 'DBBK.II '8K'B.F1 'DBK1.B8 'D1J1.J1 'D2''.11 'D1IK.I1 'D2B'.'J 'DDDB.'2 'DDFD.DD 'DJ21.1 'DJK8.K1 'DFKK.22 %E%A& #ean 3eturns '.'2 B.KJ B.DB "B.'1 B.FK B.DD "B.18 "B.FF '.11 '.1B B.1D "B.'8 B.BJ '.F2 B.'B '.BJ B.8B "B.F' I.B' B.88 -ariance A"#ean B.FI B.D2 B.BD "B.DJ B.18 B.'B "B.FI "'.'' B.JJ B.JD "B.'K "B.DI "B.2J '.'I "B.28 B.F2 "B.BD "'.BD

BSE THE MONTH

(A"#ean)1 B.8F B.1I B.BB B.21 B.BF B.B' B.8J '.11 B.FB B.DJ B.B8 B.28 B.'8 '.8B B.'1 B.2K B.BB '.'B J.D1 B.81

#/A, < U 3I n -ariance5 mean of (A" mean) 1 !tandard deviation5 Cvariance !6 < B.FD

F'

DESCRIPTIVE STATICTICS
Nul"'2 #ean #edian !tandard 6eviation 3ange #inimum #a0imum B.88 B.8D B.FD 1.1K "B.FF '.F2

GRAPHICAL REPRESENTATION

The above graph represents the daily returns, it shows the volatility in returns, and thus it reveals that there is increase and decrease in net asset value .

F1

!lno ' 1 2 8 D F J I K 'B '' '1 '2 '8 'D 'F 'J 'I

6ate IT'T1B'2 IT1T1B'2 IT2T1B'2 ITFT1B'2 ITJT1B'2 ITIT1B'2 ITKT1B'2 IT'BT1B'2 IT'2T1B'2 IT'8T1B'2 IT'FT1B'2 IT'JT1B'2 IT1BT1B'2 IT1'T1B'2 IT11T1B'2 IT12T1B'2 IT18T1B'2 IT1JT1B'2

+lose '8K2D.JJ '8KID.J 'D'2I.8 '8KB2.B2 '8K21.JJ 'D2BJ.KI 'D'BB.'D '8IFI.1D 'DB'J.1' 'DBBB.K' '82DI.1' '8'8'.D1 '881J.DD '2KIK.'' '818I.FF '8'F2.KI '8818.IJ '8I81.2I

3eturns "8.IF B.22 '.B1 "'.DD B.1B 1.D' "'.2F "'.D8 '.BB "B.'' "8.1I "'.D' 1.B1 "2.B8 '.IF "B.DK '.I8 1.IK

A"#ean "8.DI B.F1 '.2' "'.1J B.8K 1.IB "'.BJ "'.1D '.1K B.'I "8.BB "'.11 1.2' "1.JD 1.'8 "B.2' 1.'2 2.'I

(A"#ean)1 1B.KD B.2K '.J' '.F' B.18 J.I8 '.'D '.DF '.FF B.B2 'D.KI '.8K D.22 J.DJ 8.DK B.BK 8.D2 'B.'1

#ean

"B.1K

-ariance

8.I1

#/A, < U 3I n -ariance5 mean of (A" mean) 1 !tandard deviation5 Cvariance !6 < 1.1B

F2

DESCRIPTIVE STATICTICS Aug-13 #ean #edian !tandard 6eviation 3ange #inimum #a0imum "B.1K B.BD 1.1B J.JF "8.IF 1.IK

GRAPHICAL REPRESENTATION
Graphical representation of returns of BSE month of Aug-2013
4 Returns 2 0
5/ 20 13

-2 -4 -6

Dates

%he above graph represents the daily returns, it shows the volatility in returns, and thus it reveals that there is increase and decrease in net asset value .

F8

8/ 22 /2 01 3

/2 01 3

8/ 1

8/ 8

/2 01 3

Returns

8/ 1

!no ' 1 2 8 D F J I K 'B '' '1 '2 '8 'D 'F 'J 'I

6ate KT2T1B'2 KT8T1B'2 KTDT1B'2 KTFT1B'2 KTJT1B'2 KT'BT1B'2 KT''T1B'2 KT'1T1B'2 KT'2T1B'2 KT'8T1B'2 KT'JT1B'2 KT'IT1B'2 KT'KT1B'2 KT1BT1B'2 KT1'T1B'2 KT18T1B'2 KT1DT1B'2 KT1FT1B'2

+lose 'D811.BD 'D8FD.8 'D88F.'D 'DF'F.2' 'DDKB.81 'DDKF.I2 'DD81.JJ 'DDBD.2F 'DF'8.88 'DFB2.I 'DDB8.82 'DFFK.'1 'F211.JD 'F28J.KD 'FDF8.12 'FI8D.I2 'FIKK.D8 'FK1'.2K %E%A& #ean

3eturns 2.K' B.1I "B.'1 '.'B "B.'J B.B8 "B.2D "B.18 B.JB "B.BJ "B.F8 '.BF 8.'J B.'D '.21 '.JB B.21 B.'2 '2.1K B.J8

A"#ean 2.'J "B.8F "B.IF B.2F "B.K' "B.JB "'.BK "B.KI "B.B8 "B.I' "'.2I B.21 2.82 "B.DK B.DI B.KF "B.81 "B.F'

(A"#ean)1 'B.B1 B.1' B.JD B.'2 B.I1 B.8K '.'I B.KF B.BB B.FD '.IK B.'B ''.JI B.28 B.28 B.K1 B.'I B.2J 2'.'2

-ariance

'.J2

#/A, < U 3I n -ariance5 mean of (A" mean) 1 !tandard deviation5 Cvariance !6 < '.21

FD

DESCRIPTIVE STATICTICS Sep-13 #ean #edian !tandard 6eviation 3ange #inimum #a0imum B.J8 B.11 '.21 8.I' "B.F8 8.'J

M3APRI+A& 3/P3/!/,%A%IE,

Graphical representation of returns os BSE for the month of sep-2013 5 4 3 2 1 0 -1

Returns

Returns

9/ 10 /2 01 3

9/ 17 /2 01 3

Dates

%he above graph represents the daily returns, it shows the volatility in returns, and thus it reveals that there is increase and decrease in net asset value.

FF

9/ 24 /2 01 3

9/ 3/ 20 13

!no ' 1 2 8 D F J I K 'B '' '1 '2 '8 'D 'F 'J 'I

6ate 'BT'T1B'2 'BT2T1B'2 'BT8T1B'2 'BTDT1B'2 'BTIT1B'2 'BTKT1B'2 'BT'BT1B'2 'BT''T1B'2 'BT'1T1B'2 'BT'DT1B'2 'BT'FT1B'2 'BT'JT1B'2 'BT'IT1B'2 'BT'KT1B'2 'BT11T1B'2 'BT12T1B'2 'BT18T1B'2 'BT1DT1B'2

+lose 'J21I.F1 'JI8J.B8 'JJJJ.'8 'JJJ2.2F 'J8K'.2K 'I1IB.18 'IFDI.1D 'II'8.BJ 'I8'K.B8 'KBDI.FJ 'KBD'.IF 'IJ'D.I1 'JKKI.2K 'JDDK.KI 'JF'2.KK 'I8K1.I8 'ID'1.K' 'IJJB.IK %E%A& #ean

3eturns 1.8' 1.KK "B.2K "B.B1 "'.DK 8.D' 1.BJ B.I8 "1.'B 2.8J "B.B8 "'.JF "2.I2 "1.88 B.2' 8.KK B.'' '.2K 'B.K1 B.F'

A"#ean '.IB 1.2K "'.BB "B.F2 "1.'K 2.KB '.8F B.12 "1.J' 1.IJ "B.F8 "1.2J "8.88 "2.B8 "B.2B 8.2I "B.DB B.JK

(A"#ean)1 2.18 D.FK '.BB B.2K 8.I' 'D.18 1.'8 B.BD J.21 I.11 B.8' D.F1 'K.J' K.1F B.BK 'K.1' B.1D B.F1 'B2.1J

-ariance

D.J8

#/A, < U 3I

n -ariance5 mean of (A" mean) 1 FJ

!tandard deviation5 Cvariance !6 < 1.8B

FI

DESCRIPTIVE STATICTICS Oct-13 #ean #edian !tandard 6eviation 3ange #inimum #a0imum

B.F' B.1' 1.8B I.I1 "2.I2 8.KK

M3APRI+A& 3/P3/!/,%A%IE,

Graphical representation of returns of BSE for the month of Oct-2013

6 Returns 4 2 0
10 /1 /2 10 00 /3 8 /2 10 01 /5 3 /2 10 01 /7 3 /2 10 01 /9 3 10 /20 /1 08 1 10 /20 /1 08 3 10 /20 /1 13 5 10 /20 /1 08 7 10 /20 /1 08 9 10 /20 /2 13 1 10 /20 /2 08 3 10 /20 /2 08 5/ 20 13

Returns

-2 -4 -6

Dates

%he above graph represents the daily returns, it shows the volatility in returns, and thus it reveals that there is increase and decrease in net asset value.

FK

!no ' 1 2 8 D F J I K 'B '' '1 '2 '8 'D 'F 'J 'I

6ate ''T'T1B'2 ''T1T1B'2 ''TDT1B'2 ''TFT1B'2 ''TJT1B'2 ''TIT1B'2 ''TKT1B'2 ''T'1T1B'2 ''T'2T1B'2 ''T'8T1B'2 ''T'DT1B'2 ''T'FT1B'2 ''T'KT1B'2 ''T1BT1B'2 ''T1'T1B'2 ''T11T1B'2 ''T12T1B'2 ''T1FT1B'2

+lose 'KJ18.2D 'KKJF.12 'KDKB.JI 'K8BB.FJ 'K1IK.I2 'KBDI.K2 'IKBJ.F 'IJ2J.1J 'KB2D.8I 'KK1K.BF 'KJI8.IK 'KFKI.2F 'KF22.2F 'K1IB.I 'IFB1.F1 'ID1F.21 'IID1.IJ 'K18J.D8 %E%A& #ean

3eturns D.BI '.1I "'.K2 "B.KJ "B.DJ "'.1B "B.JK "B.KB '.DK 8.FK "B.J1 "B.88 "B.22 "'.IB "2.D1 "B.8' '.JF 1.BK 1.K' B.'F

A"#ean 8.K1 '.'' "1.BK "'.'2 "B.J2 "'.2F "B.KF "'.BF '.82 8.D2 "B.IK "B.FB "B.8K "'.KF "2.FI "B.DJ '.FB '.K2

(A"#ean)1 18.'I '.18 8.2I '.1I B.D8 '.ID B.K' '.'2 1.B8 1B.D8 B.JI B.2F B.18 2.I2 '2.D8 B.22 1.DF 2.J2 I2.8F

-ariance

8.F8

#/A, < U 3I n -ariance5 mean of (A" mean) 1 !tandard deviation5 Cvariance JB

!6 < 1.'D

J'

DESCRIPTIVE STATICTICS Nov-13 #ean #edian !tandard 6eviation 3ange #inimum #a0imum B.'F "B.DB 1.'D I.FB "2.D1 D.BI

M3APRI+A& 3/P3/!/,%A%IE,
Graphical representation of returns of BSE for the month of No -2013
6 Returns 4 2 0
11 /1 /2 11 008 /3 /2 11 013 /5 /2 11 013 /7 /2 11 008 /9 / 11 201 3 /1 1/ 11 200 8 /1 3/ 20 11 13 /1 5/ 2 0 11 /1 13 7/ 11 200 8 /1 9/ 11 200 8 /2 1/ 2 0 11 /2 13 3/ 11 200 8 /2 5/ 20 13

Returns

-2 -4

Dates

%he above graph represents the daily returns, it shows the volatility in returns, and thus it reveals that there is increase and decrease in net asset value.

J1

!no ' 1 2 8 D F J I K 'B '' '1 '2 '8 'D 'F 'J 'I

6ate '1T2T1B'2 '1T8T1B'2 '1TDT1B'2 '1TFT1B'2 '1TJT1B'2 '1T'BT1B'2 '1T''T1B'2 '1T'1T1B'2 '1T'2T1B'2 '1T'8T1B'2 '1T'JT1B'2 '1T'IT1B'2 '1T'KT1B'2 '1T1BT1B'2 '1T18T1B'2 '1T1FT1B'2 '1T1JT1B'2 '1T1IT1B'2

+lose 'KFB2.8' 'KD1K.D 'KJ2I.BJ 'KJKD.IJ 'KKFF 'KK2B.FI 1B1KB.IK 1B2JD.IJ 1B'28.2K 1BB2B.I2 'K1F'.2D 'KBJK.F8 'KBK'.KF 'K'F1.DJ 'KID8.'1 1B'K1.D1 1B1'F.J1 1B1BF.KD %E%A& #ean

3eturns '.ID "B.2I '.BJ B.1K B.IF "B.'I '.I' B.81 "'.22 "B.2J "2.I8 "B.K8 B.BF B.2J 2.F' '.JB B.'1 "B.BD D.BJ B.1I

A"#ean '.DJ "B.FF B.JK B.B' B.DI "B.8F '.D2 B.'8 "'.F' "B.FD "8.'1 "'.12 "B.11 B.BK 2.22 '.81 "B.'F "B.22

(A"#ean)1 1.8D B.82 B.F1 B.BB B.22 B.1' 1.22 B.B1 1.F' B.81 'J.BB '.DB B.BD B.B' ''.BJ 1.B1 B.B2 B.'' 8'.1'

-ariance

1.1K

#/A, < U 3I

n -ariance5 mean of (A" mean) 1 !tandard deviation5 Cvariance

J2

!6 < '.D'

J8

DESCRIPTIVE STATICTICS

Dec-13 #ean #edian !tandard 6eviation 3ange #inimum #a0imum B.1I B.1' '.D' J.8D "2.I8 2.F'

GRAPHICAL REPRESENTATION
Graphical representation of returns of BSE for the minth of Dec-2013
4 Returns 2 0
3/ 2 12 00 /5 8 /2 12 01 /7 3 /2 12 00 /9 8 12 /20 /1 0 8 1 12 /20 /1 13 3 12 /20 /1 08 5 12 /20 /1 08 7 12 /20 /1 13 9 12 /20 /2 08 1 12 /20 /2 08 3 12 /20 /2 08 5 12 /20 /2 13 7/ 20 13

-2 -4 -6

Returns

12 /

Dates

%he above graph represents the daily returns, it shows the volatility in returns, and thus it reveals that there is increase and decrease in net asset value.

JD

JF

St"#d"rd de8&"t&o#s of =ro;th> d&8&de#dE BSE fro9 the 9o#th of J!$% . De1e94er
Mo#th Nuly August !eptember Ectober ,ovember 6ecember Gro;th f!#ds B.D2 '.JF '.B' '.I8 '.2D '.1I D&8&de#d f!#ds B.J' 1.18 2.1 2.'K 1.FK 1.F1 BSE B.FD 1.1 '.21 1.8 1.'D '.D'

Gr" h&1"$ re rese#t"t&o#:

INTERPRETATION: %he above graph represents the risk factor of growth fund is greater than the dividend fund and .!/ in each and every month..

JJ

FINDINGS %he average returns and standard deviation of growth fund and dividend fund in the month of Nuly are (B.18, B.D2), (B.I8, B.J') respectively. It shows that the risk and returns of the dividend fund are more than growth fund. %he average returns and standard deviation of growth fund and dividend fund in the month of august are ("B.1K, '.JF), ("'.12, 1.18) respectively. it shows that the risk is more and no returns for both the funds. %he average returns and standard deviation of growth fund and dividend fund in the month of !eptember are (B.D8,'.B'), ('.B',2.1B) respectively. it shows that the risk is less for the growth fund compare to dividend fund. %he average returns and standard deviation of growth fund and dividend fund in the month of Ectober are (B.8J, '.I8), ('.1B, 2.1K) respectively. it shows that the risk is less for the growth fund compare to dividend fund. %he average returns and standard deviation of growth fund and dividend fund in the month of ,ovember are (B.'D, '.2D), the returns are very low. %he average returns and standard deviation of growth fund and dividend fund in the risk and returns of the growth fund are less than the dividend fund. %he correlation of the Mrowth fund and .!/ is B.FK. %he correlation of the 6ividend fund and .!/ is B.F2 (B.DK, 1.FK) respectively. It shows that the risk is less for the growth fund compare to dividend fund. .ut

JI

SUGGESTIONS
o It is better to choose the growth fund since the dividend fund is having more risk and returns in all the months .but the the growth fund is having normal returns with less risk.

$hen the market value of I+I+I is in increasing stage it is better to choose the growth fund.

%he correlation of the growth fund and .!/ is B.FK, which is more than the correlation of dividend fund and .!/ (B.F2). !o it says that the growth fund is highly correlated with .!/ than the dividend fund.

JK

CONCLUSION If we analy4e Mrowth and 6ividend funds the 3eturn on Mrowth funds are very high when we compare with 6ividend funds for a long term period. %he return on 6ividend funds is not more than '8P on an Average. As we know the concept of Inflation which is increasing I" 'BP every year. And if we are getting ma0imum return on 6ividend fund i.e. ('8P return " 'BP inflation) < DP return. $hereas in growth (unds there are many fluctuations even then the returns are high if we are keeping our investments for a longer period. %here are two types of Investors 3isk %akers 3isk Averse. R&s: T":ers: Is a person who would like to take the riskX %he li7uidity is high but we cannot take the investment whenever we re7uire but we can take back or redeem our investments when the ,A- is high. .ecause these are totally depend on market risks. %hey are not bothered about the principle amount. Enly they look for higher returns. (or the risk takers the /7uity schemes are very good for investment, because they can keep the investments for a longer period and get good returns. R&s: A8erse: Is a person who doesn)t like to take the riskX %hey are bothered about the principle amount. %hey donYt want high returns. their investments but the returns are very low. %hey are content with low returns. %hey look for high li7uidity and whenever they want they can take back

IB

BIBILIOGRAPHY
BOO'S *< Do#"$d<e<f&sher "#d ro#"$d< J< Jord"# > the se1!r&t% "#"$%s&s "#d ortfo$&o 9"#"=e9e#t>ed#> !4$&sher< 6< FUNDAMENTALS OF STATISTICS . S<C GUPTA.

BEBSITES 2. $ww.bseindia.com 8. $ww.yahoofinance.com D. $ww.amfiindia.com F. $ww.msgfindia.com

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