Mutual Funds by Tripti Sao, SIBM - B

MERCHANT
BANKING &
FINANCIAL
SERVICES
Assignment # 5
Mutual Funds
Submitted by:
TRIPTI SAO (11184)
July 20,2009
Mutual Funds:
A mutual fund is a company that pools investors' money to make multiple types of investments,
known as the portfolio. Stocks, bonds, and money market funds are all examples of the types of
investments that may make up a mutual fund.
In present scenario when bank rates have fallen down and are generally below the inflation
rate, keeping large amounts of money in does not make financial sense, as in real terms the
value of money decreases over a period of time.
One can invest the money in stock market, if one wants it to grow in both nominal and real
terms. But a common investor is not informed and competent enough to understand the
intricacies of stock market. This is where mutual funds come to the rescue.
Benefits of investing in Mutual Funds:
Mutual funds are highly cost efficient and very easy to invest in. By pooling money together in a
mutual fund, investors can purchase stocks or bonds with much lower trading costs than if they
tried to do it on their own. Also, one doesn't have to figure out which stocks or bonds to buy as
this is done by qualified fund managers; so the biggest advantage of mutual funds is
diversification.
Diversification means spreading out money across many different types of investments. When
one investment is down another might be up. Diversification of investment holdings reduces
the risk tremendously.
The structure of a Mutual Fund
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How a Mutual Fund Operates:
Source: ICICI AMC website.
Entities involved in Mutual Fund’s Operations:
1. Sponsor: A company, firm, bank, investment house, financial institution or even an

individual who sets up a mutual fund is called “sponsor”. Generally the sponsor
contributes 40% of the net worth of asset management company
According to SEBI regulations, a sponsor must have adequate experience, financial
worth, a good track record and have been in the financial services business for at least
five years. The sponsor initiates the fund's activities by appointing the trustees, the AMC
and custodians.
2. Trustee: Trustees are needed to safeguard the interests of the MF. The trustee monitors
the operations of the various schemes and safeguards investor interests. The trustee
must be experienced and ensure the fund’s operations are aboveboard, in compliance
with existing regulations, and benefit the unit-holders. The trustees can also review the
AMC’s operations and transactions, including contracts with various agencies such as
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custodians and registrars. Two-thirds of the trustees should not be associated with the
sponsors in any manner. An AMC, its officers or employees shall not be eligible to act as
trustees.
3. AMC: The Company that manages a mutual fund is called an AMC. Actually it is an
organized form of a “money portfolio manager”. An AMC may have several mutual fund
schemes with similar or varied investment objectives. The AMC hires a professional
money manager, who buys and sells securities in line with the fund's stated objective.
4. Fund Manager: Fund managers are responsible for implementing a consistent

investment strategy that reflects the goals and objectives of the fund. Normally, fund
managers monitor market and economic trends and analyse securities in order to make
informed investment decisions.
5. Custodian: A trust company, bank or similar financial institution responsible for holding
and safeguarding the securities owned within a mutual fund. A mutual fund's custodian
may also act as the mutual fund's transfer agent, maintaining records of shareholder
transactions and balances.
6. Registrar & Transfer Agents: The organization, usually a bank or a trust company, that
maintains a registry of the unit holders and number of shares held for a mutual fund,
bond or stock, and makes sure that more shares are not issued than are authorized.
Registrars and transfer agents (R&T agents) handle all paperwork involving investor
servicing. Their services include processing initial public offerings, dispatch of
certificates, account statements, annual reports and dividend warrants. Some MFs
handle this work in-house.
7. Distributors: A mutual fund distributor is an entity responsible for marketing and selling
the shares of a mutual fund company. These mutual fund distributors are also known as
underwriters for the fund. The distributor is responsible for the following:
Creating prospectus for the mutual fund
Develop extensive marketing campaigns (tv, internet, magazine)
Sell the shares directly to the public
Provide a wholesale market to reach a larger number of investors.
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Types of Mutual Funds Scheme in India
Wide variety of Mutual Fund Schemes exists to cater to the needs such as financial position, risk
tolerance and return expectations etc. The table below gives an overview into the existing types
of schemes in the Industry.
• By Structure
o Open - Ended Schemes
Open–ended schemes usually do not have a fixed maturity period and are
available for subscription and redemption on an ongoing basis. The units can be
bought and sold any time during the life of the scheme at NAV related prices
o Close - Ended Schemes
Unlike open ended schemes, closed ended schemes cannot issue new units
except in case of bonus or right issues. The number of units in a closed ended
scheme does not fluctuate on a daily basis and the total corpus of the fund
remains the same. In closed ended schemes, new investors can buy units of the
scheme only from the secondary market.
o Interval Schemes
Interval Schemes are those that combine the features of open-ended and close-
ended schemes. The units may be traded on the stock exchange or may be open
for sale or redemption during pre-determined intervals at NAV related prices.
• By Investment Objective
o Growth Schemes
Growth Schemes are also known as equity schemes. The aim of these schemes is
to provide capital appreciation over medium to long term. These schemes
normally invest a major part of their fund in equities and are willing to bear
short-term decline in value for possible future appreciation.
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o Income Schemes
The aim of income funds is to provide regular and steady income to investors.
Such schemes generally invest in fixed income securities such as bonds,
corporate debentures, Government securities and money market instruments.
Such funds are less risky compared to equity schemes. These funds are not
affected because of fluctuations in equity markets. However, opportunities of
capital appreciation are also limited in such funds. The NAVs of such funds are
affected because of change in interest rates in the country. If the interest rates
fall, NAVs of such funds are likely to increase in the short run and vice versa.
However, long term investors may not bother about these fluctuations.
o Balanced Schemes
The aim of balanced funds is to provide both growth and regular income as such
schemes invest both in equities and fixed income securities in the proportion
indicated in their offer documents. These are appropriate for investors looking
for moderate growth. They generally invest 40-60 per cent in equity and debt
instruments. These funds are also affected because of fluctuations in share
prices in the stock markets. However, NAVs of such funds are likely to be less
volatile compared to pure equity funds.
o Money Market Schemes
These funds are also income funds and their aim is to provide easy liquidity,
preservation of capital and moderate income. These schemes invest exclusively
in safer short-term instruments such as treasury bills, certificates of deposit,
commercial paper and inter-bank call money, government securities, etc Returns
on these schemes fluctuate much less compared to other funds. These funds are
appropriate for corporate and individual investors as a means to park their
surplus funds for short periods.
• Other Schemes
o Tax Saving Schemes
These schemes offer tax rebates to the investors under specific provisions of the
Income Tax Act, 1961 as the Government offers tax incentives for investment in
specified avenues. Eg Equity Linked Savings Schemes (ELSS). Pension schemes
launched by the mutual funds also offer tax benefits. These schemes are growth
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oriented and invest pre-dominantly in equities. Their growth opportunities and
risks associated are like any equity-oriented scheme.
o Special Schemes
Index Schemes
Index funds replicate the portfolio of a particular index such as the BSE Sensitive
index, S&P NSE 50 index (Nifty), etc These schemes invest in the securities in the
same weightage comprising of an index. NAVs of such schemes would rise or fall
in accordance with the rise or fall in the index, though not exactly by the same
percentage due to some factors known as "tracking error" in technical terms.
Necessary disclosures in this regard are made in the offer document of the
mutual fund scheme.
There are also exchange traded index funds launched by the mutual funds which
are traded on the stock exchanges.
Sector Specific Schemes
These are the funds/schemes which invest in the securities of only those sectors
or industries as specified in the offer documents. Eg Pharmaceuticals, Software,
Fast Moving Consumer Goods (FMCG), Petroleum stocks, etc The returns in
these funds are dependent on the performance of the respective
sectors/industries. While these funds may give higher returns, they are more
risky compared to diversified funds. Investors need to keep a watch on the
performance of those sectors/industries and must exit at an appropriate time.
They may also seek advice of an expert.
Funds of Funds
It is a kind of investment fund which normally uses a particular strategy to hold a

portfolio of several other investment funds instead of directly investing in
various kinds of bonds, shares and different kind of other securities. The Fund of
Funds is often termed in other words as multi-manager investment. One can find
a great variety in Fund of Funds and all of these types have one thing in common
and that is they are all investing in various types of collective investment
scheme.
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Load or no-load fund
A load fund is one that charges a percentage of NAV for entry or exit. That is, each time one
buys or sells units in the fund, a charge will be payable. This charge is used by the mutual fund
for marketing and distribution expenses. Suppose the NAV per unit is INR10. If the entry as well
as exit load charged is 1 per cent, then the investors who buy would be required to pay
INR10.10 and those who offer their units for repurchase to the mutual fund will get only
INR9.90 per unit. The investors should take the loads into consideration while making
investment as these affect their yields/returns. However, the investors should also consider the
performance track record and service standards of the mutual fund which are more important.
Efficient funds may give higher returns in spite of loads.
A no-load fund is one that does not charge for entry or exit. It means the investors can enter
the fund/scheme at NAV and no additional charges are payable on purchase or sale of units.
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Investment in Mutual Funds:
My investment preferences (Premises for analysis):
1. I can invest in a Mutual Fund which offers Systematic Investment Plan as well as the one
which requires lump sum payment for units.
2. I have access to the information that the Mutual Funds provide in their websites as well that
is available in newspapers and on financial websites.
3. I prefer to invest in a mutual fund which has fund managers with successful and sustainable
track record of running such funds.
4. My basic objective of investing in mutual fund is to put my money in safe and growth
oriented assets.
5. Currently I have no tax obligation as such, but in one year’s time I would start paying tax. At
that time I need to invest in a scheme which is eligible for IT deduction u/s 80. So, the scheme
that I choose today should be either eligible for IT deduction (ELSS) per se or should have a
great NAV, so that redemption of its units and shifting to another scheme at any point of time
could be easy.
I have chosen equity, debt and balanced schemes of three different mutual funds for study and
analysis for the purpose of investment.
The basis for selecting these mutual funds is the trust that these funds have created among the
investor community, by way of excellent performance and their reputation for providing a
valuable investment alternative.
The comparison between various schemes has been done on the basis of Assets Allocation in
portfolio; NAV (Present, Historic, Lowest and Highest); Dividend; Absolute Returns; Fund
Manager’s performance and comparison of annualized returns with peer funds.
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These Mutual Funds are:
SBI Mutual Fund

Schemes:
Equity Scheme: Magnum Multi cap Fund
Debt Scheme: Magnum Insta Cash Fund
Balanced Scheme: Magnum Balanced Fund
Reasons for selecting SBI Mutual Fund:
Successful Track Record Of Wealth Generation
SBI Mutual Fund is India’s largest bank sponsored mutual fund and has an enviable track record
in judicious investments and consistent wealth creation.
SBI Mutual Fund is a joint venture between the State Bank of India and Société Générale Asset
Management, one of the world’s leading fund management companies that manages
over US$ 500 Billion worldwide.
Leveraging On Expertise And Experience
In its twenty years of operational history, the fund has launched 38 schemes and successfully
redeemed fifteen of them. In the process it has rewarded its investors handsomely with
consistent returns.
A total of over 5.4 million investors have reposed their faith in the wealth generation expertise
of the Mutual Fund.
Schemes of the Mutual fund have consistently outperformed benchmark indices and have
emerged as the preferred investment for millions of investors and HNI’s.
Today, the fund manages over Rs. 34,441 crores of assets and has a diverse profile of investors
actively parking their investments across 38 active schemes.
The fund serves this vast family of investors by reaching out to them through network of over
130 points of acceptance, 28 investor service centers, 46 investor service desks and 56 district
organisers.
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SBI Mutual is the first bank-sponsored fund to launch an offshore fund – Resurgent India
Opportunities Fund.
SBI Funds Management Private Limited
Key Information
Mutual Fund SBI Mutual Fund
Setup Date Jun-29-1987
Incorporation Date Feb-07-1992
Sponsor State Bank of India
Trustee SBI Mutual Fund Trustee Company Private Limited
Chairman N.A
CEO / MD Mr. Achal Kumar Gupta
CIO Mr. Navneet Munot
Compliance Officer Ms. Vinaya Datar
Investor Service Officer Mr. C A Santosh
Assets Managed Rs. 34061.04 crore (Jun-30-2009)
Auditors M/s Chandabhoy & Jasoobhoy (SBIMFTCPL), M/s Deloitte Haskins & Sells Jt Auditor
SBI Funds Mgmt P Ltd, M/s Khandelwal Jain & Co CAs Jt Auditor SBI Funds Mgmt P Ltd
Custodians Citi Bank, HDFC Bank, Stock Holding Corporation of India
Registrars Computer Age Management Services Pvt. Ltd, Computronics Financial Services (I)
Ltd, Datamatics Financial Software Services Ltd.
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DBS Chola Mutual Fund
Schemes:
Equity Scheme: DBS Chola Hedged Equity Fund
Debt Scheme: DBS Chola Freedom Income- Short Term Fund
Balanced Scheme: DBS Chola Monthly Income Plan
Reason for selecting DBS Chola Mutual Fund:
DBS Cholamandalam Asset Management Ltd. was established in 1996. The company manages
funds in excess of Rs. 2249crores (as on Jun 30th, 2008) across 23 schemes with over 2,00,000
customer accounts. Known for prudent and disciplined investment philosophy, DCAM products
cover the entire range of equity, debt and cash asset classes. DCAM is present in over 20
locations in the country and also has a strong distribution network.
DBS Cholamandalam Asset Management Co. Ltd.
Key Information
Mutual Fund DBS Chola Mutual Fund
Setup Date Jan-03-1997
Incorporation Date Apr-30-1996
Sponsor Cholamandalam DBS Finance Ltd.
Trustee DBS Cholamandalam Trustee Ltd.
Chairman N.A
CEO / MD Mr. Sanjay Sinha
CIO N.A
Compliance Officer Mr. Anish Y Shah
Investor Service Officer Mr. B. John Vijayan
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Other Details
Auditors Price Waterhouse
Custodians HDFC Bank Limited
Registrars Computer Age Management Services (P) Ltd.
Tata Mutual Fund

Schemes:
Equity Scheme: Tata Equity P/E Fund
Debt Scheme: Tata Liquidity Management Fund
Balanced Scheme: Tata Smart Investment Plan- 1
Reasons for selecting Tata Mutual Fund:
Backed by one of the most trusted and valued brands in India, Tata Mutual Fund has earned the
trust of lakhs of investors with its consistent performance and world-class service.
Tata Mutual Fund manages around Rs. 21,222.00 crores (average AUM for the month) as on
June 30, 2009 worth of assets across its varied offerings. Tata Mutual Fund offers an investment
option for everyone, whether you are a businessman or salaried professional, a retired person
or housewife, an aggressive investor or a conservative capital builder.
The Tata Asset Management philosophy is centred on seeking consistent, long-term results.
Tata Asset Management aims at overall excellence, within the framework of transparent and
rigorous risk controls.
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Tata Asset Management Limited
Key Information
Mutual Fund Tata Mutual Fund
Setup Date Jun-30-1995
Incorporation Date Mar-15-1994
Sponsor Tata Sons Limited & Tata Investment Corp. Ltd.
Trustee Tata Trustee Company Pvt Limited
Chairman Mr. S. M. Datta
CEO / MD Mr. Ved Prakash Chaturvedi
CIO N.A
Compliance Officer N.A
Investor Service Officer N.A
Auditors AMC Auditors: BSR & Associates / Scheme Auditors:M/s S.B.Bilimoria & Company
Custodians Deutsche Bank, HDFC ; CitiBank N.A. ; Standard Chartered Bank
Registrars CAMS Ltd, Karvy Computershare P Ltd, MCS Ltd
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Comparative Analysis of the Equity Schemes of the three Mutual
Funds:
SBI Mutual Fund
Magnum Multi cap Fund
Investment Objective
To provide investors with opportunities for long-term growth in capital along with the liquidity
of an open-ended scheme through an active management of investments in a diversified
basket of equity stocks spanning the entire market capitalization spectrum, debt and money
market instruments.
Performance Parameters:
1. NAV
(a) Dividend Scheme
(i) PRESENT- 10.62 (as per 15/07/2009)

Not much above the face value Rs. 10
(ii) HISTORIC-
Historic NAV Graph 22-08-2005 to 15-07-2009
Source: Moneycontrol.com
Past trend shows that the fund has been able to outperform or at least match the Sensex.
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(iii) Highest and Lowest NAV from the date of issue till date (July 15, 2009)
High 20.80
Low 6.33
The lowest NAV has been around 60% of face value and the highest 200%. At an average,
it has been able to maintain the NAV at a justified level.
(b) Growth Scheme
(i) PRESENT- 13.98 (as per 15/07/2009)

Currently performing well and NAV 30% above face value.
(ii) HISTORIC-
Historic Graph 22-08-2005 to 15-07-2009
The fund has been able to grow at least as much as the index has done.
High 23.730
Low 8.330
NAV has plunged to 8.33/- but the highest is a good indicator of the possibilities that this
fund can perform well in future.
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2. Dividend History
(a) Dividend Scheme
Record Date Dividend (Rs/unit)

18-Jan-2008 2.5
29-Jan-2007 2.0
It has declared 20% and 25% dividend apart from appreciation in NAV.
(b) Growth Scheme
No Dividends Declared Yet
3. Absolute Returns (from the date of issue till date- July 15, 2009)
(a) Dividend Scheme- 6.2%
Absolute Returns (as on Jul 15, 09)

Period Returns (%) Rank #
1 mth 4 129
3 mths 33 128
6 mths 52.2 115
1 year 4.7 132
2 year -14.8 120
3 year 22.1 116
5 year - 0
# Moneycontrol Rank within 249 Equity Diversified
Schemes
There has been a constant up and down situation in the absolute return % of the fund. Its
ranking among the peers is not very appreciable.
(b) Growth Scheme- 39.8%

1 mth 2.7 22
3 mths 26.8 11
6 mths 44 9
1 year 14.4 12
2 year 3 16
3 year 43.8 10
5 year 204.6 2
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Schemes
The fund has been successful in maintaining a positive rate of absolute returns over a
period of 5 years. Rankings are also good enough.
Returns have been calculated after adjusting the NAVs for dividends, & bonus, if any.
Source: moneycontrol.com
4. Fund Manager’s Performance
Mutual Funds managed by Ritesh Sheth / Vivek Pandey

Absolute returns (in %) as on Jul 15, 2009
Scheme Name NAV Assets
3mth 6mth 1yr 2yr 3yr Assets MC
(Rs./unit) (Rs. cr.) Rank**
SBI Magnum FMCG Fund 16.39 21.8 34.1 18.8 16.2 20.4 6.95 2/3
SBI Magnum Global Fund (G) 37.02 51.2 75.1 1.7 -23.7 22.9 1,086.99 54 / 158
SBI Magnum NRI Fund - FAP (G) 23.598 27.8 44.9 5.9 -4.9 15.8 9.58 174 / 158
SBI Magnum Emerging Busi (G) 24.95 48.8 68.7 -- -27.8 16 148.77 60 / 158
SBI Magnum Pharma Fund (G) 26.7 37.1 45.8 -7.8 -29.5 -8.7 28.3 3/5
SBI Magnum Balanced Fund (G) 40.6 26.8 44 14.4 3 43.8 428.3 12/34
SBI Magnum Midcap Fund (G) 17.13 40.5 67.6 -9.8 -35.7 9.8 314.81 43 / 158
SBI Magnum Multicap Fund (G) 14.4 33 52.2 4.7 -14.8 22.1 627.45 137 / 158
SBI Capital Protection - Sr -I 10.571 3.3 9.6 11.9 -- -- 208.56 14 / 20
SBI Tax Advantage Sr-1 (G) 9.02 28.7 51.1 3.9 -- -- 576.37 8/27
** Moneycontrol (MC) ranks within fund class
Manager’s ranking for this scheme 137/158 cannot be called good. It can adversely affect
the decision of investing.
Comment on overall performance and asset portfolio (please refer excel sheet):
SBI Magnum Multi cap Fund (G) may look attractive for its high NAV and high absolute returns, but
dividend scheme is not that much promising. Performance the fund disappoints, especially when its
portfolio consists of all types of equities (large cap, midcap and small cap), there could have been better
NAVs and better dividends.
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DBS Chola Hedged Equity Fund
To generate long term capital appreciation by investing in equity, equity related and derivative
instruments. The fund seeks to minimize risk by use of hedging instruments such as index and
stock derivative instruments. The aim is to generate returns with a lower volatility.
1. NAV
(a) Dividend Scheme
(i) PRESENT- 7.71 (as per 15/07/2009)
Current NAV below face value, even when other similar schemes have a more than face
value NAV.
(ii) HISTORIC-
Historic NAV Graph from 23/03/2007 to 15/07/2009
The fund has, in most of the times been ahead of the sensex, but unfortunately it is more
related to the distant past. It can be said that it is more or less tracking the sensex.
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High 12.630
Low 4.490
NAV has risen by only 26% but has dipped by more than 50% in past.
(b) Growth Scheme
(i) PRESENT- 10.86 (as per 15/07/2009)
The present NAV is not much above the face value.
(ii) HISTORIC-
Historic NAV Graph from 23-03-2007 to 15-07-2009
Not a very steady NAV; almost same as the sensex.
High 17.310
Low 6.320
In case of this fund also, the dip in NAV has been much higher than the rise in the same.
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2. Dividend History
(a) Dividend Scheme

11-Dec-2007 1.10
2- Nov-2007 1.00
16-Oct-2007 0.80
25-Sep-2007 0.60
31-May-2007 0.50
Dividend ranges from 5% to 11% of the face value, but not very attractive as other similar
funds have also declared dividends when this fund did. An average practice.
(b) Growth Scheme
No Dividends Declared Yet.
(a) Dividend Scheme: -22.9%

1 mth 2.1 213
3 mths 29.3 174
6 mths 50.7 128
1 year 6.7 113
2 year -3.3 54
3 year - 0
5 year - 0
Schemes
Absolute returns have become positive as the fund is growing, but still the ranks
disappoint.
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(b) Growth Scheme: 8.6%

1 mth 2.1 213
3 mths 29.3 174
6 mths 50.7 128
1 year 6.7 113
2 year -3.3 54
3 year - -
5 year - -
Schemes
Same performance as the dividend scheme. Returns and rankings both average.
Mutual Funds managed by Bajrang Kumar Bafna

DBS Chola Opportunities (G) 33.29 42.6 70.4 8.6 2.5 84.8 61.3 20 / 158
DBS Chola MIP - Regular (G) 17.805 5.7 7.3 7.8 32.2 42.8 17.28 8/32
DBS Chola Global Advantage (G) 9.15 31.8 39.3 -14.2 -36.4 -22.5 6.28 193 / 158
DBS Chola Contra Fund (G) 8.39 38.2 52 -3.2 -31.8 -5.7 9.89 174 / 158
DBS Chola Hedged Equity (G) 11.11 29.3 50.7 6.7 -3.3 -- 20.17 107 / 158
DBS Chola Infrastructure (G) 6.76 42.9 -- -12.7 -- -- 36.39 63 / 158
** Moneycontrol (MC) ranks within fund class
Fund managers’ performance has been appreciable, but only in case of first two schemes of
the table. In third and forth schemes, their relative rankings have been even below the total
number of similar schemes.
Over all comment: this scheme is as good as any other similar scheme. No extra ordinary
returns, no spectacular rankings. I believe, investment in this scheme will give only a
moderate value to my money.
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Tata Mutual Fund
Tata Equity P/E Fund
The investment objective of the fund will be to provide reasonable and regular income along
with possible capital appreciation to its unit holder.
1. NAV
(a) Dividend Scheme
(i) PRESENT- 29.17 (as per 15/07/2009)
Present NAV substantially higher than the face value.
(ii) HISTORIC-
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Though the present NAV is good, the fund has always performed worse than the sensex
since its launch.
High 45.876
Low 10.000
NAV never went below its face value and the rise in it has been attractive.
(b) Growth Scheme
(i) PRESENT- 29.86 (as per 14/07/2009)
Not very attractive, as units of the dividend scheme also have almost same NAV, even after
paying dividends.
(ii) HISTORIC-
Not very appreciable performance.
High 47.956
Low 10.000
Something to appreciate here, the NAV did not fall below the face value.
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2. Dividend History
(a) Dividend Scheme

25-Mar-2008 0.50
23-Sep-2004 0.50
(b) Growth Scheme
(a) Dividend Scheme: 191.7%

1 mth 5.8 44
3 mths 32.9 129
6 mths 52.8 108
1 year 7.9 105
2 year -1.8 46
3 year 70.6 14
5 year 201.3 38
Schemes
The absolute returns have shown a zig zag pattern over the past 5 years’ time. Rankings
have been good on annual basis, but recent rankings cannot be called very attractive.
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1 mth 5.8 44
3 mths 32.9 129
6 mths 52.8 108
1 year 7.9 105
2 year -1.8 46
3 year 70.6 14
5 year 201.3 38
Schemes
Almost same performance as the dividend scheme, while the expectation was a much
better one.
Mutual Funds managed by Mahendra Jajoo / Sachin Relekar

Tata Balanced Fund (G) 60.019 30 45.8 15.2 4.5 53.1 218.37 15 / 34
Tata Young Citizens Fund 16.667 18.8 28 15.8 3.1 32.7 157.94 23 / 34
Tata Tax Saving Fund 41.126 36.4 52.4 8.3 -12.3 31.2 137.3 23 / 27
Tata Pure Equity Fund (G) 71.949 35.5 48.8 12 0.1 52.2 359.57 86 / 158
Tata Select Equity Fund (G) 44.195 37.9 59.8 2.5 -21.9 28.8 99.98 152 / 158
Tata Life Sc & Tech Fund (G) 46.657 44.9 75.3 23.8 -8.4 32.9 37.27 4/11
Tata Growth Fund (G) 31.49 45 64.2 -0.3 -15.5 38.2 54.31 116 / 158
Tata Equity P/E Fund (G) 31.571 32.9 52.8 7.9 -1.8 70.6 135.06 70 / 158
Tata Dividend Yield Fund (G) 20.553 31.8 50.5 13.7 1.5 51.9 107.3 86 / 158
Tata Contra Fund (G) 12.028 36.8 57.8 10.4 -3.4 26.6 105.04 86 / 158
Tata Equity Management (G) 11.326 36.1 51.2 14.5 -0.6 13.1 206.88 107 / 158
Tata Infra Tax Saving Fund (G) 13.388 33 -- -- -- -- 10.23 47 / 27
** Moneycontrol (MC) Rank Within Fund Class
Poor rankings of the fund managers in most of the schemes does not give any confidence
about the performance of this fund.
Over all comment: not attractive enough to invest.
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Comparative Analysis of the Debt Schemes of the three Mutual Funds:
SBI Mutual Fund
Magnum Insta Cash Fund
To mitigate interest rate risk and generate opportunities for regular income through a portfolio
investing predominantly in floating rate securities and money market instruments.
1. NAV
(a) Dividend Scheme
(i) PRESENT- 10.62 (as per 15/07/2009)

Not substantially above the face value.
(ii) HISTORIC-
A horizontal line of historical NAV.
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High 10.784
Low 10.252
Not much difference in highest and lowest NAVs.
(b) Growth Scheme

(i) PRESENT- 15.4353 (as per 15/07/2009)
This scheme has a little better NAV compared to the dividend scheme.
(ii) HISTORIC-
In historical NAV record also, the growth scheme has performed better than the dividend
scheme.
High 19.915
Low 13.168
Sufficiently good figures.
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(a) Dividend Scheme- 5%

1 mth 0.3 37
3 mths 1.1 28
6 mths 2.7 26
1 year 7.3 27
2 year 15.8 25
3 year 24.5 15
5 year 38.2 9
# Moneycontrol Rank within 63 Money Market
Schemes
Returns have decreased gradually over the period of 5 years and rankings have also gone
down, which suggests a deteriorating performance of the fund.

1 mth 0.4 20
3 mths 1.2 16
6 mths 3 9
1 year 7.7 11
2 year 16.4 13
3 year 25.3 9
5 year 38.9 6
# Moneycontrol Rank within 63 Money Market
Schemes
Returns can be justifies but rankings again disproves the decision of investing in this fund.
29
Mutual Funds managed by Ganti Murthy

SBI Magnum Income Fund (G) 21.802 0.3 -0.4 6.5 7.1 13.9 106.25 66 / 88
SBI Magnum Insta Cash (G) 19.92 1.1 2.7 7.3 15.8 24.5 3,073.46 28 / 40
SBI Magnum Cash-Liq Floater -G 15.439 1.2 3 7.7 16.4 25.3 128.73 11/40
SBI Magnum Income Plus -IP (G) 14.737 5.6 10.5 7.4 10 21 3.76 17 / 20
SBI Magnum Income Plus-SP (G) 10.548 0.2 0.4 0.7 -0.5 1.7 1.58 66 / 88
SBI Magnum NRI - STB Plan (G) 10.93 0.1 0.3 0.9 1.7 2.8 0.23 77 / 64
SBI Magnum NRI - LTB Plan (G) 10.584 0.2 0.6 0.1 -1.9 1.4 1.71 66 / 88
SBI Magnum Income-FRP -STP (G) 13.716 1.1 2.7 9.2 15.9 23.8 14.69 11/40
SBI Magnum Income-FRP-LTRP (G) 13.465 0.9 2.3 8 14 22.4 6.88 29 / 40
SBI Magnum Income-FRP-LT IP -G 11.945 -- -- -- -- -- 0.15 16 / 32
SBI Magnum MIP - Floater (G) 11.725 2.8 4.6 3.9 5.7 15.6 10.48 26 / 32
SBI Capital Protection - Sr -I 10.571 3.3 9.6 11.9 -- -- 208.56 14 / 20
Only an average performance has been delivered by the fund managers in other schemes
which they managed. So, not very promising.
Over all comment: being a debt fund, this is a static return providing avenue of investment.
Does not seem attractive, except in times of very unstable market conditions.
30
DBS Chola Freedom Income- Short Term Fund
An income scheme with at least 80% investments in fixed income securities & balance in money
market instruments with the objective of generating regular and stable income for the unit
holders of the scheme.
1. NAV
(a) Dividend Scheme
(i) PRESENT- 13.244 (as per 15/07/2009)
(ii) HISTORIC-
High 16.036
Low 10.223
31
(b) Growth Scheme
(i) PRESENT- 14.142 (as per 15/07/2009)
(ii) HISTORIC-
High 18.320
Low 10.010

1 mth 0.4 60
3 mths 1.2 41
6 mths 2.9 35
1 year 7.5 52
2 year 16.6 37
3 year 25.6 32
5 year 36.9 27
# Moneycontrol Rank within 98 Debt - Short Term
Schemes
The returns have been quite good. But, other funds of similar kind have higher rankings,
that means they have performed better than this one.
32

1 mth 0.4 60
3 mths 1.2 41
6 mths 2.9 35
1 year 7.5 52
2 year 16.6 37
3 year 25.6 32
5 year 36.9 27
Schemes
Again, almost same picture in case of the growth scheme as that in the dividend scheme.
Mutual Funds managed by Bekxy Kuriakose

DBS Chola Triple Ace (G) 24.314 2.6 -3.1 10.2 0.9 3.3 6.3 53 / 64
DBS Chola Freedom Inc -STF -G 14.146 1.2 2.9 7.5 16.6 25.6 580.73 50 / 64
DBS Chola Gilt - Inv Plan (G) 20.951 2.3 -9.6 3.2 9.2 20 1.15 52 / 88
DBS Chola Liquid (G) 17.873 1.1 2.6 7.3 15.6 23.9 57.34 31 / 40
DBS Chola Liquid - Inst Plus-G 18.065 1.2 2.7 7.5 16 24.5 27.82 45 / 34
DBS Chola Freedom Inc STF-IP-G 14.351 1.3 3 7.8 16.9 26 1,011.38 30 / 32
DBS Chola Short Term FRF (G) 12.989 0.6 1.2 4.7 13.5 22.8 2.48 33 / 40
DBS Chola Liquid-Super Inst -G 12.294 1.2 2.7 7.6 16.1 -- 485.04 47 / 34
DBS Chola FMP Sr6 (410 Days)-G 10.985 -- -- -- -- -- 43.85 8/
DBS Chola FMP Sr6(Qtrly III)-G 10.272 -- -- -- -- -- 265.37 10 /
DBS Chola Treasury Mgmt. (G) 11.935 -- -- -- -- -- 0.03 2/64
Except in one scheme, the fund managers performance has been below average.
Over all comment: debt schemes do not seem attractive- on parameter of return, growth in
NAV, dividends and expected performance.
33
Tata Mutual Fund
Tata Liquidity Management

Fund
The investment objective of the scheme is to generate reasonable returns along with high
liquidity and safety by investing in a portfolio of money market and other short term debt
instruments.
1. NAV
(a) Dividend Scheme
(i) PRESENT- 1005.652 (as per 15/07/2009)
Unlike NAVs of other similar schemes, this scheme has got a very high NAV of above Rs.
1000.
(ii) HISTORIC-
34
Very common to the debt schemes, this scheme’s NAV is also a static line against the
fluctuating sensex curve.
High 1007.501
Low 1000.000
(b) Growth Scheme
(i) PRESENT- 1234.124 (as per 15/07/2009)
The growth scheme has got a better NAV for its units, as it may or may not pay dividends.
(ii) HISTORIC-
Historic NAVs have an upward moving pattern towards the present time, which suggests a
better performance in future.
High 1234.034
Low 1000.000
35
2. Dividend History
(a) Dividend Scheme

14- July- 2009 0.41
(b) Growth Scheme

1 mth 0.2 81
3 mths 0.5 69
6 mths 1.3 57
1 year 4.6 68
2 year 11.9 51
3 year 20.4 41
5 year - 0
Schemes
The returns have been decreasing over the years. Rankings are also disappointing.

1 mth 0.2 81
3 mths 0.5 69
6 mths 1.3 57
1 year 4.6 68
2 year 11.9 51
3 year 20.4 41
5 year - -
Schemes
36
Same as the dividend scheme, while a better performance was expected.
Mutual Funds managed by Raju Sharma

Tata Liquid Fund (App.) 2059.564 1.1 2.7 7.3 16 24.8 61.03 22 / 40
Tata Income Plus - Plan A (G) 14.329 -0.2 0.4 6.7 11.6 18.7 2.08 61 / 64
Tata Income Plus - Plan B (G) 14.37 -0.2 0.4 6.7 11.6 18.7 0.67 61 / 64
Tata Liquid Fund - HIP (G) 1488.058 1.1 2.7 7.5 16.2 25.2 47.32 41 / 34
Tata Liquid Fund - SHIP (G) 1651.153 1.2 2.9 7.7 16.7 25.9 4,471.45 26 / 34
Tata Monthly Income Fund (G) 17.64 2.7 6.5 13.3 16.2 28 22.93 20 / 32
Tata Dynamic Bond- Plan A(G) 13.852 0.4 -0.9 3 11.7 19.9 3.42 61 / 64
Tata Floating Rate - LTP (G) 13.365 -- 1.1 6.5 14.1 20.4 6.19 33 / 40
Tata Gilt RP (28/02/09) (G) 12.436 -- -- -- -- -- -- 30 / 88
Tata Gilt RP (28/02/10) (G) 12.389 -0.7 -5.3 10.3 13.8 22.6 0.26 57 / 88
Tata Gilt RP (28/02/11) (G) 12.378 -0.7 -5.3 10.3 13.6 22.5 0.03 57 / 88
Tata Gilt RP (28/02/13) (G) 12.457 -0.7 -5.3 10.3 13.8 22.6 0.03 57 / 88
Tata Gilt RP (28/02/25) (G) 12.29 -0.8 -5.3 10.3 13.8 22.6 126.12 57 / 88
Tata MIP Plus Fund (G) 14.221 6.4 11.8 12.4 12.9 26.3 37.57 21 / 32
Tata Floater Fund (G) 13.295 1.3 3.1 8.1 17.5 26.8 4,458.69 12/40
Tata Liquidity Mgmt Fund (G) 1234.183 0.5 1.3 4.6 11.9 20.4 3.93 61 / 64
Tata Treasury Manager-SHIP (G) 1013.086 -- -12 -6.9 0.8 -- 47.86 60 / 34
Tata FIPF Scheme-C1- RP (G) -- -- -- -- -- -- 10 /
Tata FIPF Scheme-C1 - IP (G) -- -- -- -- -- -- 10 /
Tata FIPF Scheme-C2- RP (G) 11.354 0.6 3.2 7.9 -- -- 0.2 7/
Tata FIPF Scheme-C2 - IP (G) 10.461 -- -- -- -- -- 0.4 9/
Tata FIPF Scheme-C3- RP (G) 11.448 0.7 3.7 8.6 -- -- 0.87 5/
Tata FIPF Scheme-C3 - IP (G) -- -- -- -- -- -- 10 /
Tata Liquid Fund - SHIPP (G) -- -- -- -- -- -- 64 / 34
The fund manager has got average rankings for all the funds he managed. His past
performance does not assure me of a superb performance of this scheme.
Over all comment: an average fund, with average returns. Not very much attractive to invest
in.
37
Comparative Analysis of the Balanced/ Hybrid Schemes of the three
Mutual Funds:
SBI Mutual Fund
Magnum Balanced Fund
To provide investors long term capital appreciation along with the liquidity of an open-ended
scheme by investing in a mix of debt and equity. The scheme will invest in a diversified
portfolio of equities of high growth companies and balance the risk through investing the rest
in a relatively safe portfolio of debt.
1. NAV
(a) Dividend Scheme
(i) PRESENT- 25.78 (as per 15/07/2009)
(ii) HISTORIC-
38
The fund has performed better in distant past, but has been stumbling in recent past in
maintaining its NAV at par with the sensex.
High 35.350
Low 5.459
The highest NAV suggests a good performance but the lowest one, that is almost half of
the face value indicates the high fluctuations that can occur in case of a balanced fund
which has a portfolio of both equity and debt securities.
(b) Growth Scheme
(i) PRESENT- 39.87 (as per 15/07/2009)
(ii) HISTORIC-
Fund has been able to maintain its NAV well above the market index and looks an
attractive destination for putting my money.
High 53.430
Low 4.264
39
In growth scheme also NAV has suffered a huge loss, most probably because of poor
performance of stock market.
2. Dividend History
(a) Dividend Scheme

07-Nov-2007 4.00
14-Nov-2005 3.90
19-Jan-2005 2.00
30-Jan-2004 2.00
27-Oct-2003 1.40
18-Mar-2000 3.00
Dividends of 14% to 40% suggest a good growth in the fund’s assets.
(b) Growth Scheme
(a) Dividend Scheme- 466.7%

1 mth 2.7 22
3 mths 26.8 11
6 mths 44 9
1 year 14.4 12
2 year 3 16
3 year 43.8 10
5 year 204.6 2
# Moneycontrol Rank within 38 Balanced
Schemes
Both absolute returns and rankings have been very attractive, but for the distant past.
The low returns and rankings belong to one/ three or six months’ periods, which may or
may not forecast the future returns.
40

1 mth 2.7 22
3 mths 26.8 11
6 mths 44 9
1 year 14.4 12
2 year 3 16
3 year 43.8 10
5 year 204.6 2
Schemes
The growth scheme also has performed almost same as the dividend scheme.
Mutual Funds managed by Ritesh Sheth

SBI Magnum Global Fund (G) 37.02 51.2 75.1 1.7 -23.7 22.9 1,086.99 54 / 158
SBI Magnum NRI Fund - FAP (G) 23.598 27.8 44.9 5.9 -4.9 15.8 9.58 174 / 158
SBI Magnum Emerging Busi (G) 24.95 48.8 68.7 -- -27.8 16 148.77 60 / 158
SBI Magnum Balanced Fund (G) 40.6 26.8 44 14.4 3 43.8 428.3 12/34
SBI Magnum Multicap Fund (G) 14.4 33 52.2 4.7 -14.8 22.1 627.45 137 / 158
SBI Tax Advantage Sr-1 (G) 9.02 28.7 51.1 3.9 -- -- 576.37 8/27
The fund manager has got mixed rankings for his performance as manager of other funds.
Over all comment: the growth scheme looks attractive as it has been providing good returns
over past many years and being a balanced scheme, it has advantages of both equity and
debt markets.
41
DBS Chola Monthly Income Plan
The primary investment objective of DBS Chola Monthly Income plan is to generate Monthly
Income through investments in range of Debt, Equity and Money Market Instruments.
1. NAV
(a) Dividend Scheme
(i) PRESENT- 11.658 (as per 15/07/2009)
(ii) HISTORIC-
The NAV pattern of this scheme clearly reflects the asset allocation of it. Only 5% of its
total corpus is invested in equity, 50% in debt securities and balance in money market
securities. So, though it is a balanced fund, it is unable to make use of upward trends of
stock market due to its asset allocation scheme.
High 12.942
Low 10.023
42
(b) Growth Scheme
(i) PRESENT- 17.748 (as per 15/07/2009)
(ii) HISTORIC-
Same performance as the dividend scheme.
High 17.763
Low 10.092
2. Dividend History
(a) Dividend Scheme

25- June- 2009 0.26
(b) Growth Scheme
43

1 mth 1.6 14
3 mths 5.7 16
6 mths 7.3 20
1 year 7.8 23
2 year 32.2 2
3 year 42.8 3
5 year 64 6
# Moneycontrol Rank within 32 Monthly Income Plan
Schemes
Its performance till 2 years back has been good enough to make one invest in it, but
recent performance tells another story. Returns and ranks both have fallen substantially.

1 mth 1.6 14
3 mths 5.7 16
6 mths 7.3 20
1 year 7.8 23
2 year 32.2 2
3 year 42.8 3
5 year 64 6
# Moneycontrol Rank within 32 Monthly Income Plan
Schemes
Growth scheme has performed almost same as the dividend scheme has.
44
Mutual Funds managed by Bajrang Kumar Bafna/Anant Deep Katre/Bekxy Kuriakose

DBS Chola Triple Ace (G) 24.314 2.6 -3.1 10.2 0.9 3.3 6.3 53 / 64
DBS Chola Freedom Inc -STF -G 14.146 1.2 2.9 7.5 16.6 25.6 580.73 50 / 64
DBS Chola Opportunities (G) 33.29 42.6 70.4 8.6 2.5 84.8 61.3 20 / 158
DBS Chola Gilt - Inv Plan (G) 20.951 2.3 -9.6 3.2 9.2 20 1.15 52 / 88
DBS Chola Growth Fund (G) 30.33 35.3 58.8 8.6 -14.1 31.8 15.81 93 / 158
DBS Chola Liquid (G) 17.873 1.1 2.6 7.3 15.6 23.9 57.34 31 / 40
DBS Chola Liquid - Inst Plus-G 18.065 1.2 2.7 7.5 16 24.5 27.82 45 / 34
DBS Chola Freedom Inc STF-IP-G 14.351 1.3 3 7.8 16.9 26 1,011.38 30 / 32
DBS Chola Midcap Fund (G) 26.72 45.6 67.5 11 -12.2 38.7 17.65 58 / 158
DBS Chola Multi-Cap Fund (G) 15.17 36.9 56.6 2.8 -23.2 8.8 19.48 128 / 158
DBS Chola Global Advantage (G) 9.15 31.8 39.3 -14.2 -36.4 -22.5 6.28 193 / 158
DBS Chola Short Term FRF (G) 12.989 0.6 1.2 4.7 13.5 22.8 2.48 33 / 40
DBS Chola Tax Saver Fund (G) 12.12 40.4 66.5 9.2 -17.4 21.2 28.46 4/27
DBS Chola Contra Fund (G) 8.39 38.2 52 -3.2 -31.8 -5.7 9.89 174 / 158
DBS Chola Liquid-Super Inst -G 12.294 1.2 2.7 7.6 16.1 -- 485.04 47 / 34
DBS Chola Hedged Equity (G) 11.11 29.3 50.7 6.7 -3.3 -- 20.17 107 / 158
DBS Chola FMP Sr6 (410 Days)-G 10.985 -- -- -- -- -- 43.85 8/
DBS Chola FMP Sr6(Qtrly III)-G 10.272 -- -- -- -- -- 265.37 10 /
DBS Chola Treasury Mgmt. (G) 11.935 -- -- -- -- -- 0.03 2/64
DBS Chola Infrastructure (G) 6.76 42.9 -- -12.7 -- -- 36.39 63 / 158
DBS Chola Small Cap Fund (G) 4.43 41.1 -- -19.7 -- -- 20.23 86 / 158
Sufficiently good performance by fund managers in some cases, but very horrible in some
others.
Over all comment: It may be wise to invest in this scheme, when the stock market is not
performing well, but at present time, it does not look attractive.
45
Tata Mutual Fund
Tata Balanced Fund
The investment objective of the scheme is to provide income distribution and / or medium to
long term capital gains while at all times emphasizing the importance of capital appreciation.
1. NAV
(a) Dividend Scheme
(i) PRESENT- 39.201 (as per 15/07/2009)
Present NAV has been well above the face value and NAVs of other similar funds (SBI
Magnum Balanced Fund and DBS Chola Monthly Income Plan).
(ii) HISTORIC-
Fund has been able to not only track sensex but to perform better than it in most of the
cases.
46
High 54.597
Low 6.415
Highest NAV is good, but the lowest one has lost the value by more than 30% of the face
value.
(b) Growth Scheme
(i) PRESENT- 58.465 (as per 15/07/2009)
A better NAV than that of many other similar schemes.
(ii) HISTORIC-
Historic NAV shows similar pattern to that of the sensex.
High 78.911
Low 8.690
Highest NAV has been very attractive and the lowest one has also not lost much value
(below 15%).
47
2. Dividend History
(a) Dividend Scheme

24-Apr-2009 1.00
07-Dec-2007 1.00
13-Jul-2007 2.00
01-Dec-2006 4.00
12-Jan-2005 3.00
11-Mar-2004 1.50
09-Sep-2003 1.25
03-Apr-2000 2.50
15-Jun-1999 1.25
The fund has paid regular dividends 4 years from its launch.
(b) Growth Scheme

09-Sep-2003 1.25
Unlike the general trend, the growth scheme has also paid dividend, which makes it even
more preferable for investment.

1 mth 4.9 1
3 mths 30 5
6 mths 45.8 4
1 year 15.2 10
2 year 4.5 12
3 year 53.1 7
5 year 180.4 5
Schemes
48
Excellent performance, both in past and present. There has been a substantially high rate
of return except for 2 years back.
(b) Growth Scheme: 641%

1 mth 4.9 1
3 mths 30 5
6 mths 45.8 4
1 year 15.2 10
2 year 4.5 12
3 year 53.1 7
5 year 180.4 5
Schemes
Almost same performance as the dividend scheme.
49
Mutual Funds managed by M. Venugopal / Mahendra Jajoo
Tata Balanced Fund (G) 60.019 30 45.8 15.2 4.5 53.1 218.37 15 / 34
Tata Young Citizens Fund 16.667 18.8 28 15.8 3.1 32.7 157.94 23 / 34
Tata Tax Saving Fund 41.126 36.4 52.4 8.3 -12.3 31.2 137.3 23 / 27
Tata Pure Equity Fund (G) 71.949 35.5 48.8 12 0.1 52.2 359.57 86 / 158
Tata Life Sc & Tech Fund (G) 46.657 44.9 75.3 23.8 -8.4 32.9 37.27 4/11
Tata Index Fund Nifty Plan (A) 26.192 29 52.7 5.4 -5.8 39.1 8.17 24 / 28
Tata Index Fund Sensex Plan(A) 36.137 34.3 57.1 6.7 -6.8 36.7 6.79 13 / 28
Tata Equity Opp. Fund (G) 58.256 38.6 55.3 -3.3 -15.4 34 368.05 174 / 158
Tata Growth Fund (G) 31.49 45 64.2 -0.3 -15.5 38.2 54.31 116 / 158
Tata Equity P/E Fund (G) 31.571 32.9 52.8 7.9 -1.8 70.6 135.06 70 / 158
Tata Dividend Yield Fund (G) 20.553 31.8 50.5 13.7 1.5 51.9 107.3 86 / 158
Tata Infrastructure Fund (G) 27.897 37.8 58.1 3 -2.6 66.1 2,198.01 73 / 158
Tata Contra Fund (G) 12.028 36.8 57.8 10.4 -3.4 26.6 105.04 86 / 158
Tata Equity Management (G) 11.326 36.1 51.2 14.5 -0.6 13.1 206.88 107 / 158
Tata Capital Builder Fund (G) 10.449 31.3 44.7 -7.8 -16.9 -- 151.12 137 / 158
Tata Indo-Global Infra (G) 6.517 24.6 45.3 -8.9 -- -- 1,198.99 193 / 158
Tata Growing Eco-Infra - A (G) 9.515 27.3 50.5 4.8 -- -- 33.28 193 / 158
Tata Growing Eco-Infra - B (G) 9.934 37.3 58.8 9.2 -- -- 137.27 152 / 158
Tata Infra Tax Saving Fund (G) 13.388 33 -- -- -- -- 10.23 47 / 27
Fund managers have got mixed rankings. In some cases, they have got above average
rankings and in some cases, extremely poor.
Over all comment: the best scheme as per my investment preferences and expectations
about the returns. Good selection of assets (Equity & Related – 65%- 75% and Debt, MM Sec
25%- 35%) makes the fund earn better return than its competitors.
50
Superiority of Tata Balanced Fund (G) over other schemes that I
studied:
1. Though past performance is not a guarantee for future performance; but it certainly gives
an idea about the direction in which the fund is compared to the market index.
Tata Balanced Fund (G) has been ahead of almost all other schemes of similar type in terms of
Absolute returns. Though losses have also been higher than the average in some years but
considering the current upward trends in stock market, this scheme looks attractive. This
scheme invests 65% to 75% of its total pooled money in equities.
The graph below shows it.
Relative Performance (Fund Vs Category Average)
Source: http://www.valueresearchonline.com/
2. Units of this scheme have NAV of Rs. 58.465 (as per 15/07/2009), which is higher than that of
the other two of the same category- Magnum Balanced Fund and DBS Chola Monthly Income Plan as
well as those of other schemes.
A higher NAV shows better than average performance.
3. Fund managers of this scheme- M. Venugopal / Mahendra Jajoo have a good track record of
managing funds profitably.
4. Being an equity oriented fund, Tata Balanced Fund (G) has good chances to benefit from the
upward movement of the stock market. In its performance for past 5 years, it has been better than
almost all of the funds of similar category.
5. This scheme has shown a sustainable performance in past and has a good mix of income generating
and growth oriented securities in its portfolio.
51
References:
Book: Investment Banking- Pratap G. Subramanyam
Websites:
1. SBI Mutual Fund: http://www.sbimf.com/

2. DBS Chola Mutual Fund: http://www.dbscholamutualfund.com/
3. Tata Mutual Fund: www.tatamutualfund.com/
4. http://www.moneycontrol.com
5. http://www.icicipruamc.com/stat/html/amc/assist/structure.html
6. http://www.mysmp.com/mutual-funds/mutual-fund-distributors.html
7. http://www.assetmanagement.hsbc.com/in/mutual-funds/learning-
centre/investor-progrm/mut_fund_types.html
8. http://www.iinvestor.com/scripts/IIH021C1.asp?SectionId=2&CategoryId=22&Arti
cleId=1510
9. http://www.iloveindia.com/finance/mutual-funds/index.html
52

Mutual Funds by Tripti Sao, SIBM - B

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MERCHANT

Benefits of investing in Mutual Funds:

The structure of a Mutual Fund

Source: ICICI AMC website.

Entities involved in Mutual Fund’s Operations:

1. Sponsor: A company, firm, bank, investment house, financial institution or even an

4. Fund Manager: Fund managers are responsible for implementing a consistent

o Open - Ended Schemes

o Close - Ended Schemes

o Money Market Schemes

o Tax Saving Schemes

Sector Specific Schemes

It is a kind of investment fund which normally uses a particular strategy to hold a

SBI Mutual Fund

Debt Scheme: Magnum Insta Cash Fund

Balanced Scheme: Magnum Balanced Fund

Reasons for selecting SBI Mutual Fund:

Successful Track Record Of Wealth Generation

Leveraging On Expertise And Experience

SBI Funds Management Private Limited

Mutual Fund SBI Mutual Fund

Setup Date Jun-29-1987

Incorporation Date Feb-07-1992

Sponsor State Bank of India

Trustee SBI Mutual Fund Trustee Company Private Limited

CEO / MD Mr. Achal Kumar Gupta

CIO Mr. Navneet Munot

Compliance Officer Ms. Vinaya Datar

Investor Service Officer Mr. C A Santosh

Assets Managed Rs. 34061.04 crore (Jun-30-2009)

Custodians Citi Bank, HDFC Bank, Stock Holding Corporation of India

Debt Scheme: DBS Chola Freedom Income- Short Term Fund

Balanced Scheme: DBS Chola Monthly Income Plan

Reason for selecting DBS Chola Mutual Fund:

DBS Cholamandalam Asset Management Co. Ltd.

Mutual Fund DBS Chola Mutual Fund

Setup Date Jan-03-1997

Incorporation Date Apr-30-1996

Sponsor Cholamandalam DBS Finance Ltd.

Trustee DBS Cholamandalam Trustee Ltd.

CEO / MD Mr. Sanjay Sinha

Compliance Officer Mr. Anish Y Shah

Investor Service Officer Mr. B. John Vijayan

Assets Managed Rs. 2508.51 crore (Jun-30-2009)

Auditors Price Waterhouse

Custodians HDFC Bank Limited

Registrars Computer Age Management Services (P) Ltd.

Tata Mutual Fund

Debt Scheme: Tata Liquidity Management Fund

Balanced Scheme: Tata Smart Investment Plan- 1

Reasons for selecting Tata Mutual Fund:

Mutual Fund Tata Mutual Fund

Setup Date Jun-30-1995

Incorporation Date Mar-15-1994

Sponsor Tata Sons Limited & Tata Investment Corp. Ltd.

Trustee Tata Trustee Company Pvt Limited

Chairman Mr. S. M. Datta

CEO / MD Mr. Ved Prakash Chaturvedi

Compliance Officer N.A

Investor Service Officer N.A

Assets Managed Rs. 21222.81 crore (Jun-30-2009)

Custodians Deutsche Bank, HDFC ; CitiBank N.A. ; Standard Chartered Bank

Registrars CAMS Ltd, Karvy Computershare P Ltd, MCS Ltd