A project report on

“Financial health checkup for mutual fund investors”

By

Lovely Shivnani 2017-19

Submitted in Partial fulfilment of the requirement Of PGDM

program at

Jaipuria Institute of management

Jaipur
 DECLARATION

I do hereby declare that this project entitled, “FINANCIAL HEALTH CHECK UP FOR MUTUAL FUND

INVESTORS” with ICICI securities at Jaipur has been completed by me and it is an original work. This

report is being submitted for fulfilling the requirement of Post Graduate Diploma in Management as a Summer

Training Project, at Jaipuria Institute of Management, Jaipur.

It has never been submitted nor been published elsewhere.

Name of the student: Lovely Shivnani

Date: 23/07/2018

Place- Jaipur

i
CERTIFICATE FROM ORGANIZATION

ii
 CERTIFICATE FROM FACULTY GUIDE

30/07/2018
To Whomever It May Concern

This is to certify that the summer internship project report titled “FINANCIAL HEALTH CHECK UP

FOR MUTUAL FUND INVESTORS” submitted by Mr. Lovely Shivnani, represent an original work done

by the student mentioned herein and has been submitted in partial fulfillment of the requirements of PGDM

program (2017-19batch).

Dr. Akash Dubey

Name and signature of faculty guide

iii
 ACKNOWLEDGEMENT

Industrial training is an integral part of any post graduate diploma program and I take this

opportunity to express my gratitude to ICICI Securities Ltd, Jaipur which helped me to accomplish

this project. I have put my best possible effort in this project. However, it would have been not

possible without the kind support of many individual. I would like to extend my sincere thanks to

all of them.

I am highly indebted to my industry mentors Mr. Fazeel Ahmed Khan, Mr. Gajendra Dadich and

Mr. Pranav Jain for their constant guidance and support. They have been instrumental during my

entire project.

I would like to thank my Faculty mentor Dr. Akash Dubey and Dr. Bhupendra Hada for their

assistance and constant supervision throughout the project. Their expert opinions and deep insight

subject matter expertise helped me in successful completion of this project.

Lastly, I extent my gratitude towards Jaipuria Institute of Management, Jaipur for giving me the

opportunity to show my skills and also, I thank my family without their support this project would

not have been possible.

Thanking you,

Lovely Shivnani

iv
 Table of Content
S. No. TOPIC Page No.

1 Declaration (i)

2 Certificate from organization (ii)

3 Certificate from faculty guide (iii)

4 Acknowledgement (iv)

5 Executive summery 1-2

6 Introduction 3-4

7 Organization overview 5-10

8 Industry analysis 11-16

9 Research analysis 17-23

10 Finding and Conclusion 24-25

11 Fund suggestion 25-28

12 Overall suggestion 29

13 SIP experience and key learning 30

14. References 31

v
 EXECUTIVE SUMMARY

India is a country where people usually invest their money in land, gold and fixed deposit but is it

worth to invest in gold and fixed deposit when it comes to beat the inflation and in case of land it

requires a lump sum huge amount of money to invest. To curb all the drawbacks of traditional

investment modern day investment option is called Mutual Fund. It has ability to earn return higher

than inflation, small periodic investment is possible and high liquidity options is also available.

So, if I say mutual fund is hot potato these days when it comes to satisfy customers’ versatile

needs, one would not be amazed.

Mutual fund pools money of different investors having same goals and then invest the money

according to the risk appetite of the investors those who have invested their sum of money in

expectation of better return than traditional investment. In expectation of higher return people

invest in stock market where time, patience, expertise and knowledge are pioneer, but in

expectation of higher return people rush to stock market and ends up in losing their hard-earned

money. Because it is very true that successful investors earned by investing not by trading. Mutual

fund is also an investment not a trading.

Security and Exchange Board of India spread awareness about mutual fund on various platform

and this campaign has been very successful so far, Indian mutual fund industry has grown

immensely over last decade. Now people are switching to modern investment from traditional

investment, and the performance of mutual fund industry has proved that this instrument can prove

investors’ expectations true. One most important aspect where investors’ lacks is assessing theirs

risk appetite, and this is area where investors’ have also lost their money and the reason is choosing

inappropriate fund to invest where their saving pattern does not math with their investing pattern.

1
So, it is very important for a mutual fund investor to assess his/her risk appetite and then choosing

an appropriate fund to invest. Every individual has his own goal and ambition so mutual fund

provides opportunity to fulfill an investor’s varied need like- it could be for wealth creation

purpose, a goal-oriented investment, for regular income purpose, for tax saving etc. Once an

investor is clear with his/her goal, so this modern weapon of investment will provide the best

possible return in long term.

Indian mutual fund industry is still at emerging stage as compared to the developed countries and

this is the reason in this country the return is higher worldwide and it is very competitive, number

of assets management companies are there in the market to offer their product, so investors has

enough options to invest. Even some foreign players like – Franklin, BNP Paribas, Invesco are

also present to provide their services.

In nutshell I would say mutual fund investment cannot be ignored in this era where Indian economy

is growing faster than any other country in the world which has direct impact on mutual fund

industry, growing at a higher level and promising return over last decade is a strong evidence of

it.

Of course, Mutual fund investment is subject to market risk, but I would rather say to curb the

inflation and obsolescence this weapon will be turned as a mile stone.

2
 INTRODUCTION

The topic for research I have selected “FINANCIAL HEALTH CHECK UP FOR MUTUAL

FUND INVESTORS”. Under this topic I will be studying the risk appetite of individual based on

the questionnaire prepared in consultation with the industry and faculty mentor so that individual

can be guided to invest in appropriate mutual fund category. Guiding investors to invest in

appropriate fund wasn’t easy because assessing the investors’ profile was a big challenge but my

enthusiasm towards mutual fund industry and MUTUAL FUND VA certification through NISM

has provided me the insight of the mutual fund. Legally I am liable to sell mutual fund as a mutual

fund distributor after this certification, beyond that my two-month internship with ICICI DIRECT

has filled me with enough knowledge to guide individual to invest in mutual funds. Providing the

risk appetite to individual helps to find them the right choice to invest in mutual fund on the

contrary without any proper information they may end up investing in any unsuitable fund which

doesn’t match with his/her profile resulting in bringing losses for them. Age, income, savings,

view toward life, filing income tax return, long term/short term goal, paying insurance premium,

loan EMI etc. all these factors I have included in my questionnaire to asses the risk-taking capacity

of any individual. Mutual fund industry has grown immensely over last decade, joint effort of

government of India and securities exchange board of India has provided the right education to the

investors and has erased the myth that was prevailed about mutual fund investment.

• Currently 43 asset management companies are offering more than 2000 mutual fund

schemes in India.

• Average Assets Under Management (AAUM) of Indian Mutual Fund Industry for the

month of May 2018 stood at ₹ 23.43 lakh crore. Assets Under Management (AUM) as on

May 31, 2018 stood at ₹22.60 lakh crore.

3
 • The AUM of the Indian MF Industry has grown from ₹ 5.05 trillion as on 31st March 2008

to ₹22.60 trillion as on 31st May 2018, about four and half fold increase in a span of 10

years!!

• The MF Industry’s AUM has grown from ₹7.01 trillion as on 31st March 2013 to ₹22.60

trillion as on 31st May 2018, more than threefold increase in a span of 5 years!!

• The Industry’s AUM had crossed the milestone of ₹10 Trillion (₹10 Lakh Crore) for the

first time in May 2014 and in a short span of about three years, the AUM size had increased

more than two folds and crossed ₹ 20 trillion (₹20 Lakh Crore) for the first time in August

2017. The Industry AUM stood at ₹22.60 Trillion (₹ 22.60 Lakh Crore) as on 31st May

2018.

• The most important fact that I came to know about Indian mutual industry is that AUM of

Indian mutual fund markets accounts for less than one percent of the global mutual fund,

AUM which is around USD 40 trillion whereas US accounts for 39 percent of the same.

This study is a little effort toward increase in investment in mutual fund industry by retail

investors. I had met 212 customers combining both current and potential mutual fund retail

investors over a span of 2 months during my internship with ICICI DIRECT and understood

the various factors which affects the investors’ sentiments towards investment in mutual funds

and tried my best to erase the myth about mutual fund investment among retail small investors.

(*Data source AMFI)

4
 ORGANIZATION OVERVIEW

Vision:
To be the leading provider of financial services in India and a major global bank.

Mission:
We will leverage our people, technology, speed and financial capital to be the banker of first choice
for our customers by delivering high quality, world-class products and services.

COMPANY PROFILE

Company Name ICICI Securities Ltd

Founded in 9th March 1995

Parent Company ICICI Limited

Headquarter Mumbai

Managing Director & CEO Anup Bagchi

Website www.icicisecurities.com

Listed On BSE & NSE

5
 Introduction

ICICI Securities Limited is an integral part of ICICI and a SEBI authorized merchant banker which

provides wide range of financial services which includes investment banking, retail broking,

institutional broking, private wealth management and distribution of financial products. ICICI

Securities operates in 75 cities in India and its wholly owned subsidiaries in Singapore and New

York. ICICI Securities Limited early known as ICICI Securities and Finance Company Limited

changed its name to ICICI Securities Limited in 2003 and it is a subsidiary of ICICI Bank Limited.

Apart from its brokerage activities it also offers icicidirect.com, an online broking platform to

invest equity, derivatives, currency trading, mutual funds and other financial products vis a vis

daily recommendation on churning the mutual fund portfolio and stock picks. The company

operates a store where it provides various products, online trading account, mutual fund, equities,

life and general insurance, fixed deposits and many other financial services and offers equity

consultancy services, research services, portfolio designing services and wealth management

services.

Awards and Accolades: -

• Award for outstanding social impacts at the global sustainability leadership award 2014

• Outlook mone y best e-brokerage award for nine times

• Mobbys award for the “best mobile application in mobile trading”

• Chief learning officer award from world HRD congress for innovation in learning category

• Grand jury award for commendable performance by National financial advisor(retail)

online at CNBC TV 18

• Best domestic equity house for 2012

6
 • The wall street journal’s Asia’s best analyst survey in the media sector for 2010

• Topped the prime database league tables 2007 for money raised through IPOs/FPOs

• Innovation award for oracle fusion middleware

• C10 100 Asia award in 2013

• CIO Hall of Fame award in 2012

ICICI GROUP COMPANIES: -

• ICICI Bank

• ICICI Prudential Life Insurance Company Ltd

• ICICI Lombard General Insurance Company

• ICICI Securities Ltd

• ICICI Prudential Asset Management Company

• ICICI Venture

• ICICI Home Finance Company

Business ethics

• ICICI expects all its employees holding any rank in the organization need to act in high

ethical and professional standard.

• Being employed with ICICI one must be committed to integrity in each aspect and must

adhere to applicable laws, regulation and internal policies.

• Every Internal code of conduct need not to be specifically specified by the concern

regulatory, it is something which a reputed organization have in place and adhere to the

basics. Therefore, ICICI high level of ethical conduct.

7
 • An employee who works in a region need to respect the language and spirit of the customer

so that communication between both the sides should be carried in a smooth manner and

best output can be produced while holding a healthy relationship with clients.

• In case of conflict of interest, privacy/confidentiality, bribery and anti-corruption, Anti

money laundering, work place responsibilities, raising ethical issues, social responsibility

of superiors and manager, in each of the situation ICICI has laid down the guidelines which

is needed to be followed to any such situation provided.

• ICICI do not allow its employees to keep their customer’s personal documents that

customers provide to transact with the company to its executives in any form.

Corporate social responsibility initiative: -

• ICICI has initiated the solar panel in Haidoli village, Jawahar, Maharashtra, where since

inception of the village there had been no electricity due to which pump facility couldn’t

be install resulting in shortage of water made, even this village is just 150 kilometers distant

from Mumbai. This initiative has changed their life now water and electricity facility has

been deployed. So far ICICI has deployed solar power facilities at 522 Gramin areas across

7 states in India.

• ICICI has initiated tree plantation drive in Chhattisgarh and Maharashtra with the help of

government and local ngos’. This drive was aimed to benefit the local tribe communities.

7 million were granted for planting 1,70,000 trees. ICICI ventured to enhance the green

cover in theses states vis a vis it provided additional source of livelihood to the local people.

8
 • ICICI academy for skills industry oriented and job relevant training to youth from

economical weak section of the society. Academy has trained over 79,000 candidates

through its 24 centers.

• Rural self-employment training institute initiative by Ministry of Rural Development,

ICICI has set up two centers in Udaipur and Jodhpur. This program aims on providing

training to local people to relevant skills to be self-dependent.

• ICICI believe in women empowerment with this view in mind to make women self-reliant,

ICICI launched the self-help group Bank linkage program for underprivileged in India. In

this initiative ICICI provides unsecured loan to women-led groups to assist then to start

their own venture or in expanding their existing business.

• ICICI foundation initiated a joint venture with various NGOs’ to improve the uqlity of

education and teaching also curriculum is also working to improve infrastructure in

schools.

• ICICI also put joint effort with many NGOs’ and government to spread awareness toward

hygiene and cleanliness as a contribution toward clean India mission.

Working Environment inside the organization: -

I was elected in ICICI Securities for internship, but I was deployed in ICICI direct which is a core

sales wing of ICICI securities where customer interaction is quite regular compare to the equity

advisory section and almost all financial is being served.

• Every employee within the organization is treated at par, there is no such special treatment

is available to superior/officers.

9
• Birthdays, promotions and target achievement of every individual and overall team is

equally appreciated with a cake cutting.

• Punctuality is the key, from an intern to a branch manager all are supposes to report at

9:00 am sharp.

• Grooming and personal documentation is quite different from other organizations at

ICICI. All men are expected to be fully shaved unless there is strong religious case, formal

attire for both men and women, shoes must be polished, girl’s hair must be tied in a pony.

• Each customer who arrives at the branch is offered tea and coffee by office boy.

• Lunch and eatables are not allowed at the work place rather there is pantry for snacks and

lunch.

• For continuous updating and skill development ICICI provides regular training session

for their employees.

• In nutshell, ICICI emphasis more on formal way of working but to make employees feel

free informal way of working and approaching to branch manager, product head and zonal

head is appreciable.

10
 INDUSTRY ANALYSIS

Industry analysis facilitates a company to understand its position in comparison with same other

companies who produced same product or provides similar services. Industry analysis is

evaluation of external environment that directly of indirectly has its impact on company’s

curriculum activities. Various tools are being used for industry analysis, but it is also very

important to understand the external forces in which competitors are the most influential factor of

all.

Competitors of ICICI Securities: -

ICICI securities provides facility of online trading and it was the 1st in India to provides such

platform to ease the share trading at large. But now other players have entered in the market which

provides the comprehensive services as ICICI Securities does. Below are some major competitors

of ICICI Securities:

• HDFC Securities

• Kotak Street

• India Bulls

• Motilal Oswal

• 5paisa.com

• Sharekhan

11
Tools used for industry analysis: -

• SWOT

• PESTEL

SWOT: -

Strength: -

 Well defined organization structure with direct employee-client interaction.

 3 in 1 account facility to ease the transaction

 Regular training session by specific product expert keeps relationship manager updated to
market situation and new offerings.

 ICICI Securities distributes its employee strength in a small proportion and a team leader
is being appointed to look after them.

 Direct support from the expert panel and regular market forecast is being provided to
relationship managers, so that client can be benefitted from deep insight of the market.

 ICICI offers various instrumental financial products and services at one place what an
investor appreciates in the market.

 It facilitates its customer home services where managers of ICICI Securities visit
customer’s place and provides its services.

12
Weakness: -

 Communication gap between employees and branches operating within the one office.

 High broking charges.

 Increasing no. of dead demat and trading account.

 Excessive pressure on managers to sell irrelevant products to customers.

 Recent issues within the organization at higher level due to which initial public offer was
undersubscribed.

Threats: -

 Comparatively lower broking charges by competitors.

 Orthodox investor’s passive approach to online trading platform and services.

 Continuous change is regulation by security and exchange board of India.  Increasing

number of cyber attacks

Opportunities: -

 Emerging of Indian stock market as most lucrative market in the world.

 Recent push in raising money through IPO by various companies.

 Passive money that is being kept in ICICI saving bank account can turn into a huge revenue
for ICICI Securities.

13
  Digital India campaign by Indian government can be beneficial to ICICI’s online financial
services providing platform icicidirect.com

PESTLE: -

Political Environment: -

Indian political environment is very unstable but when it comes to study the impact of Indian

political factor to brokerage industry It has very little knock to be considered. Reason being SEBI

has its overall control on Indian stock market. Of course, the administration of SEBI may change

from time to time, but the integrity of this regulatory body does not wobble with respect to change

in political changes.

Economic Environment: -

Indian economy is at its developing phase and it is growing at higher rate then any other economy

in the world same as Indian financial industry which is the most lucrative in the world for investors

across the world because when a market runs at its developing phase it provides the best return.

Mutual fund investment has achieved a feat over last decade, through SIP a layman is contributing

to stock market and it is considered that this positive sentiment will be continued. So, it can be

considered that economy has positive sentiments for ICICI Securities.

14
Social Environment: -

Investor sentiment/confidence decides the stock prices rise and fall, it has little effect on

performance of company or industry in comparison to the investors perception.

Bull Market: Stock market where stock prices are rising, and investor confidence is positive. It can

relate to economic recovery and investor optimism approach.

Bear Market: Market where stock prices are falling, and confidence of investors are reducing. It

happens when economy falls in recession and unemployment increases.

Technological environment: -

Technology has disrupted the financial industry, the way new technological updation is happening,

it has provided the investors all new experience of investment with ease. Automatic portfolio

churning, systematic deduction from bank account for periodic investment in mutual fund and

equity, stop loss option etc. are some example of how the way of investment has changed. It may

be possible in future to the extent robotics can be bought into financial sector to change the whole

industry. It may lead to the unemployment where lots of regular employee would lose their job but

on the contrary it would helpful on cost cutting for the companies.

Legal Environment: -

Legalities always have its influence in each industry in its ambit. Legalities in the financial sector

likewise for insurance sector it has Insurance Regulatory and Development Authority, for stock

15
market Security and Exchange Board of India, for taxation purpose Income tax department etc.

enforce their rules and regulations to control the economy. Many crises in India took place in

recent time where it has shocked the whole industry for instance Sahara India case where SEBI

has played a role of savior for the investors. RBI is also a pioneer in this context where foreign

investment limit, FEMA rules etc. are decided and controlled by the RBI.

Environmental: -

It is very important for a country that its financial sector should perform sound. Directly we cannot

see the relationship between these two environmental and financial industries, but they are

interlinked with each other in depth. The financial sector can be segmented in retail banking,

insurance, commercial and corporate banking, assets management, where e-waste is being

produced at large due to regular technological updating in the industry as well as for documentation

trees are being cut every day to keep up the supply. So, this industry at a large is indebted to the

environment.

16
 RESEARCH ANALYSIS

A. Research problem – “Financial Health Check Up for Mutual Fund Investors”. I have

chosen this topic to find the solution for retail mutual fund investors to choose the

appropriate fund to invest which matches the goal of investors with his/her saving pattern

by assessing the risk appetite of the investors.

B. Research objective – To assess the risk appetite of the mutual fund investor and then

suggesting the best mutual fund category to invest with specific fund.

C. Literature Review: -

• Dr. Bhupendra Singh Hada conducted a study on critical study of risk and return

on mutual funds and found that different varieties of mutual options should be

provided by AMCs’ to attracts the investors by fulfilling their need and mutual

fund should try to reduce risk by changing the fundamental relatives to market.

• Dr. Binod Kumar Singh conducted a study on investors’ attitude toward mutual

funds as an investment option and explained the age and attitude toward mutual

fund, association between gender and attitude towards mutual fund, income and

attitude towards mutual fund, level of education and attitude towards mutual fund

and occupation and attitude mutual fund.

• Dr. Nidhi Walia conducted a study on an analysis of investor’s risk perception

toward mutual fund services. In this study she reached on a conclusion that once

17
 an investor finalizes an investment avenue with his calculated risk next factor

accountable for his final decision is quality of service delivered.

D. Research Methodology: –

a. Type of study- This study is descriptive in nature and is based on the primary data so

collected during my internship period.

b. Sampling method and size – During my internship I met 212 customers out of which 150

customers invest and wish to invest in mutual fund, so my data size is of 150 investors.

c. Method of data collection - The data so collected was through online questionnaire made

with the help of google doc.

d. Statistical/Mathematical model – No such specific model was used to analyze the data so

collected rather all the purification and analysis was done on excel with the help of

various analytical tool.

E. Data Analysis and Results: - Criteria for data analysis is defined as below:

Scale and its definition Suggested Mutual fund class

1. Zero Risk Appetite Gilt Funds
2. Low Risk Appetite Debt Funds
3. Moderately Higher Risk Appetite Large cap funds, equity-oriented balance fund,
index fund

4. Higher Risk Sectorial fund, thematic fund, small and mid-cap

funds.

Based on the data so collected and each question so asked from investors to assess their risk

appetite the graphical presentation of that part is as below:

18
1. Risk appetite analysis based on “AGE”

AGE

17%
1
36%
2
3

38% 4
9%

2. Risk appetite analysis based on “No. of Source of Income”

No. of source of income

19%
1
2
49%
3
32% 4
0%

19
3. Risk appetite based on “Monthly Household Expense”

Monthly household expenses

13%
0%

1
2
49%
3

38% 4

4. Risk appetite based on “Monthly Savings”

Monthly savings

19%

8% 47%

26%

1 2 3 4

20
5. Risk assessment based on “Outstanding Loan EMIs”

Frequency

4 17

3 9

2 10

1 11

0 2 4 6 8 10 12 14 16 18

6. Risk assessment based on “Insurance EMIs”

Frequency

4 17

3 0

2 30

1 0

0 5 10 15 20 25 30 35

21
7. Risk assessment on the basis of “Emergency Fund Parking”.

Frequency

13%
21%
1
2
26%
3
4
40%

8. Risk assessment on the basis of “Tax Savings Via Government Schemes”

Frequency

8%
13% 1
2

15% 3
64%
4

22
 9. Risk Assessment via “Purpose of investment”

Frequency

4 18

3 15

2 4

1 10

0 5 10 15 20

10. Risk Assessment on the basis of “Mode of investment”

FREQUENCY
1 2 3 4

6%
11%

23% 60%

23
 Finding and Conclusion

Table showing compiled classification of investors’ risk appetite criteria.

Risk Scale No. of investors In percentage
1 0 0
2 51 34%
3 87 58%
4 12 8%

a. Investors want to invest in mutual fund, but they do not find appropriate asset

class to invest.

b. Investors invest irrespective of their risk appetite and that is the reason for

negative return in some cases.

c. Fundamental feature of mutual fund is to create wealth in long run rather

considering it as an income source.

d. Most of the retail investors do not consider the inflation rate in comparison with
return.

e. Customer takes term insurance as an investment option.

f. Mutual fund can be helpful in reducing the tax liability which most investors

are unknown about it.

g. On individual parameter zero risk tolerance is also there but overall it is

confirmed that investors are keen to take risk.

h. Age, no. of source of income, monthly savings and purpose of investment are

the vital criteria for risk assessment, beyond that investor individual approach

can be a game decider.

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 F. Limitation of the study: -

• Sample of the study so taken doesn’t represents the actual investors perception

toward mutual fund.

• Study is only restricted to investors of Jaipur region.

• Responses are so filled by the customers may not furnish the true information.

H. Suggested fund for moderate and high-risk mutual fund investors

Tools used for evaluation of funds

• Standard deviation – Standard deviation indicates the variance from the actual return and
average return over the years. Generally lesser the standard deviation is considered more
the probability of higher return.

• Sharp ratio – This ratio is also known as reward to volatility ratio that means average
return earned in excess of the risk-free rate per unit of volatility or total risk.

Sharpe ratio formula = (Mean portfolio return − Risk-free rate)/Standard deviation

of portfolio return

• Beta – It is a measure of the volatility or systematic risk of a security or a portfolio in

comparison to the market as a whole.

• Alpha – It is often used in conjunction with beta and this refers to how the portfolio or
fund performed compare to the bench mark index.

25
High risk evaluated fund

26
Moderate high risk evaluated fund

Specific Tax saving fund

27
 Selection of fund on the basis of predefined criteria

High risk
Small cap fund Reliance small cap fund

Mid cap fund HDFC mid cap opportunity fund

Sectorial fund ICICI Pru technology fund

Moderate high risk

Large cap fund Axis blue chip fund

Aggressive fund ICICI Pru equity and debt

Value funds L&T India value fund

Specific tax saving fund

Aditya Birla SL tax relief fund

28
 SUGGESSTIONS

After seeing the whole Data analysis and findings, the Recommendations for the company

are shown as below.

• The company should give the knowledge regarding Mutual Fund through various sources

like more advertisement, TV programs etc. about what it is? How it works? What is its

benefit for us with its advertisement or in programmers. Because many people have heard

about it but don’t know what it is?

• The company should also attract the low-Income people by showing them the benefits of

the liquidity funds for the short Term to attract them.

• The company should also attract the customer through different schemes who are having

knowledge about the Mutual Funds but not investing in Mutual Fund because they are

not having sufficient knowledge about the mutual fund.

• The company should give information regarding Tax benefit to Invest into Mutual

Fund.

• The company should organize Free seminars to give information about Mutual Fund and

should distribute brochures having detail of schemes of Mutual Fund.

29
 SIP EXPERIENCE AND KEY LEARNING

These 8 week of summer internship in ICICI Securities gave me a good experience and learning

which help me to enhance my knowledge and personality in various ways. Some of them are

following.

• The very first day my industry mentor gave me a presentation where I got a brief knowledge

about ICICI Securities Ltd.

• Being familiar with corporate environment itself a good experience.

• Acquired knowledge of share market.

• Learned consumer behavior.

• Learned how actually industry works.

• Know the norms and how to report to the branch manager.

• Learned how to speak according to the customers.

• Helped me to build my confidence level.

• Enhanced interpersonal skills.

• Learnt how to handle customers queries.

Overall it was an invaluable experience working in I-Sec.

30
 REFERENCES

• www.amfiindia.com

• www.valueresearchonline.com

• www.mutualfundIndia.com

• www.icicidirect.com

• www.slideshare.com

31
 ANNEXURES

1. What is your age?

• 20-25
• 25-35
• 35-50
• 50 & above

2. How many sources of income do you have?

• 1
• 2-3
• more than 3

3. What is your household budget?

• 20-30% of your income
• 30-40% of your income
• 40% & above

4. What is your monthly savings?

• 15-20k
• 20-30k
• 30-50k
• 50k & above

5. Do you pay any loan outstanding and when will it be exhausted?

• Within next 1 year
• Next 2-3 years
• Next 3-5 years
• More than 5 years
• No

6. If you want to invest in mutual fund what is your ultimate purpose for
investment?
• Long term goal oriented
• Tax saving
• Wealth maximization
• For regular dividend income

32
7. Have you taken any insurance plan for life cover or any other term plan?
• Yes
• No

8. How much fund do you think should be parked for any emergency?
• 1-3 lakhs
• 4-7 lakhs
• 7-10 lakhs
• More than 10 lakhs

9. Do you invest in any govt. scheme for tax saving purpose, if yes then how
much tax liability is reduced by that way?
• No
• 10-20k
• 20-40k
• 40-70k

10. What do you think you are?

• Love adventure and the risk and fun that comes with it.
• Like a Stable and Peaceful good paying private job
• Like a very stable government job

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