HDFC MUTUAL FUND

Topic:- Marketing of mutual Fund and creating awareness among new investors about investment instruments.
Chairperson-MD. Zikrullah Project by:-Shashank Jhingran

Mutual Fund?

Mutual Fund is a trust that pools the savings of a number of investors who share a common financial goal. Money thus collected is then invested in capital market instruments such as shares, debentures and other securities. The income earned through these investments and the capital appreciation realized are shared by its unit holders in proportion to the number of units owned by them.

Thus a Mutual Fund is the most suitable investment for the common man as it offers an opportunity to invest in a diversified, professionally managed basket of securities at a relatively low cost.

Operation Flow Chart

Company Profile

HDFC Asset Management Company Ltd (AMC) was incorporated under the Companies Act, 1956, on December 10, 1999, and was approved to act as an Asset Management Company for the HDFC Mutual Fund by SEBI on July 3, 2000 In terms of the Investment Management Agreement, the Trustee has appointed the HDFC Asset Management Company Limited to manage the Mutual Fund. Zurich Insurance Company (ZIC), the Sponsor of Zurich India Mutual Fund, had decided to divest its Asset Management business in India. The AMC had entered into an agreement with ZIC to acquire the said business, subject to necessary regulatory approvals.

Vision Statement

PRODUCTS

Equity/Growth fund: Childrens Gift fund Fixed Maturity PlanLiquid Funds:. Debt/ Income Fund

Quarterly Interval Fund

Why HDFC Mutual Fund?

HDFC Mutual Fund is one of the largest mutual funds and well-established fund house in the country with consistent and above average fund performance across categories since its incorporation on December 10, 1999. While there past experience does make them a veteran, but when it comes to investments, they have never believed that the experience is enough.

Objectives of Mutual Fund

To provide an opportunity for lower income groups, to acquire without much difficulty, property in the form of shares. To cater mainly the need of individuals investors whose means are small. To manage investors portfolio that provides regular income, growth, safety, tax advantage.

SWOT Analysis
Strengths: Wide range of products Consistent Performance Experienced team Risk management team Weaknesses: Restrictive reach Less aggressive in marketing and execution

Opportunities and Threat:

Real

estate sector boom to rural market of corporate investors

Penetration

Concentration

High

returns on debt instruments

Objective of the study

To create awareness about investment schemes of HDFC Mutual Fund among new investors To find out what are the expectations of the people when they invest their money in these schemes To find out why KYC is compulsory while doing investments.

Research Methodology

Research design Descriptive Data collection Primary Secondary Sample size Convenient 30 Repondents

Factors impacting the industry

Pest analysis: Political factors: Government regulation
Stable

constituency

Economic factors: Market performance

Inflation

Social factors:
Consumer

behavior

Income

Technological factors: This is the era of information technology And net banking , online transactions helps industry a lot.

HDFC Equity Growth Schemes

HDFC Mid Cap Opportunities Fund HDFC Top 200 Fund HDFC Prudence Fund

HDFC Equity Fund

Data presentation

Have you invested money before in mutual fund?

14 12 12 10 8 8

no.

6 Series1 4

0 yes invested money before in mutual fund no

Knowing about mutual fund

16 14 14 12 10 8

6
4

no.

6 4 2 0 not aware of schemes partial knowledge of mutual fund aware only of specific schemes fully aware Series1

knowledge of mutual fund

Awareness of mutual fund scheme

18 16 14 12 10 13 17

no.
8 6 4 2 0 yes aware about hdfc equity growth scheme no Series1

Which HDFC scheme you found more attractive?

12 11 10 10

6 5

no.
4

4 Series1 2

0
prudence equity top 200 mid cap oppurtunity which hdfc scheme attracted customers the most

Findings

Most of the people were not aware of mutual fund schemes. Most of the transactions in HDFC MF where done with the help of agents and brokers. Effective January 01, 2011, it is mandatory for all category of investors to be KYC compliant for executing any investment transactions irrespective of amount of investment. Lot of problems arises if the KYC forms where not filled properly, and because of this they may get rejected from CAMS People aims at getting more and more profit from lesser and lesser investment with no risk involved.

Factors to be considered by investors before investing in mutual funds.

Investment objectives- A customer should be clear about why he/she is wants to invest in mutual fund. Choose the right mutual fund schemea) To check the past records of the scheme b) Risk involved c) Services offered Combination of scheme-investment should be done with proper combination of schemes to achieve investment objectives properly.

Know Your Client (KYC)

Effective January 01, 2011, it is mandatory for all category of investors to be KYC compliant for executing any investment transactions irrespective of amount of investment. Any information of investor or agents relating to address, name etc can be found out from Cams site. KYC enables banks to know/understand their customers and their financial dealings to be able to serve them better and prudently manage the risks of Money Laundering and Financing of Terrorism. Proper documents, address proof are attached to identify the customer. If customer fails to give proper documents, all the transactions related to bank and also forms are being rejected of the customer.

Recommendation
An encouraging advertising campaign should be done, telling the benefits of all the schemes. Apart from these more of TV advertisement should be done of the HDFC Mutual Fund schemes individually. Nowadays people are investing more on the equity fund because it gives high returns as compared to other mutual fund schemes HDFC MF is doing very less marketing compared to other players. Due to this other player are getting the advantage. Thus it should increase marketing. Sometimes there is an error made on the side of the person making KYC. So computer experts should be there to enter the data of KYC.

Questions?????????????