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    Mutual Fund

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    cooldebo04516
    The document discusses various types of mutual funds like income funds, balanced funds, growth funds, and sectoral funds. It also mentions ELSS (Equity Linked Savings Schemes), which are tax saving mutual fund schemes. Fund of funds invest in other mutual funds. UTI was essential for salaried individuals and increased savings and investment rates in India. Mutual funds pool investor money and invest in markets as qualified institutional buyers. They are regulated by SEBI and aim to provide diversification and maximize returns while reducing risk. Common methods to evaluate mutual fund performance are time value, net asset value, and ratios like Sharpe ratio and Treynor's ratio.

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    Mutual Fund

    Uploaded by

    cooldebo04516
    22 views3 pages
    The document discusses various types of mutual funds like income funds, balanced funds, growth funds, and sectoral funds. It also mentions ELSS (Equity Linked Savings Schemes), which are tax saving mutual fund schemes. Fund of funds invest in other mutual funds. UTI was essential for salaried individuals and increased savings and investment rates in India. Mutual funds pool investor money and invest in markets as qualified institutional buyers. They are regulated by SEBI and aim to provide diversification and maximize returns while reducing risk. Common methods to evaluate mutual fund performance are time value, net asset value, and ratios like Sharpe ratio and Treynor's ratio.

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    Mutual+Fund

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    The document discusses various types of mutual funds like income funds, balanced funds, growth funds, and sectoral funds. It also mentions ELSS (Equity Linked Savings Schemes), which are tax saving mutual fund schemes. Fund of funds invest in other mutual funds. UTI was essential for salaried individuals and increased savings and investment rates in India. Mutual funds pool investor money and invest in markets as qualified institutional buyers. They are regulated by SEBI and aim to provide diversification and maximize returns while reducing risk. Common methods to evaluate mutual fund performance are time value, net asset value, and ratios like Sharpe ratio and Treynor's ratio.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    22 views3 pages

    Mutual Fund

    Uploaded by

    cooldebo04516
    The document discusses various types of mutual funds like income funds, balanced funds, growth funds, and sectoral funds. It also mentions ELSS (Equity Linked Savings Schemes), which are tax saving mutual fund schemes. Fund of funds invest in other mutual funds. UTI was essential for salaried individuals and increased savings and investment rates in India. Mutual funds pool investor money and invest in markets as qualified institutional buyers. They are regulated by SEBI and aim to provide diversification and maximize returns while reducing risk. Common methods to evaluate mutual fund performance are time value, net asset value, and ratios like Sharpe ratio and Treynor's ratio.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    of 3

    Mutual fund –

    Meaning

    Types

     Income fund’ - Suitability?


     Balanced Fund
     Growth Fund
     Sectorial Fund Resurgent India Fund
     Gilt Securities

    ELSS : Equity Linked Savings Schemes

    Tax Saving Schemes: To block the sum of the money Reference to Section 10 and Chapter VI A i.e. Section 80C
    of Income tax Act 1961.

    Fund of Funds: investing in other Mutual Fund.

    Problem: Cumulative cost is higher. But still it is more safe.

    Origination of the Mutual Fund Industry.

    UTI – Essential Investment for the Salaried class person.

    Grown Manifold – Increased the savings and Investments Rate.

    It has targeted the class of investors, who are not ready to invest directly in the market.

    It is a tool of the polling of the funds for the pumping of the money in the market.

    Mutual Funds invest in the markets as a Qualified Institutional Buyers. MF also plays as a role in the Primary
    market.

    It is Regulated by SEBI through AMFI.

    Basic Purpose is to take the benefit of Diversification and maximise the Return.

    What type of Risk does we Diversify?

     Systematic Risk; or
     Non Systematic Risk

    What is the Objective of Diversification?

     Increase Return; or
     Reduce Risk

    It is a Commission Based Industry in the form of Entry Load, Exit Load...!!

    As a investor there is a benefit of Reducing Loads.. this industry is passing between the tussle of Laod between
    the Market Player and the Regulator.

    Role of Mutual Fund in the Overall Investment Portfolio.


    Who is having the Active Role?

     Risk Averse Person


     Lack of Time
     Lack of Experience

    “Savings are being channelized in to Market”

    Planner Role in the MF: take short term/Long term Perspective of Client. Analyze the requirements.

    NFO : New Fund Offer. It is a detailed document containing the details of the mutual fund

    KYI: It is the condensed version of the NFO.

    “How we Evaluate the Mutual Funds”

     Time Value method


     Net Assets Value Method
     Different ratios:
     Sharpe Ratio
     Treynors Ratio
     Etc.

    Net Assets Value: We take the Assets of the Fund net of the Cost*

    *: The Cost may vary from the scheme to scheme.

    NAV Per Unit: NAV/Numbers of Units**

    ** it is in the Standard Denomination of Rs. 10 Per Unit.

    Evaluation is always done against the Some “Benchmark”

    NAV is compared with the Benchmark

    Evaluation against the Market Growth

    Systematic Investment Plans: Mode of Flexibility provided to Consumer.

    Why Lock In Period?

     To provide the time frame for the effective implementation of the strategy.
     To provide capital for the implementation of the strategy.
    Alternative Investment Schemes
    Is Insurance a Investment?

     Real estate;
     Painting; and
     Precious Stones

    What are the advantages AND Disadvantages of the Investment in the Real Estate Investments?

    S. No. ADVANTAGES DISADVANTAGES


    1 APPRECIATION IN VALUE INVOLVES HUGE COST
    Blockage of Huge amount.* But there is leverage of
    the money.ie get the amount financed.
    2 RENTAL INCOME ILLIQUIDITY
    3 TAX SAVINGS – AND HIGHER TRANSACATION COST
    PYSCHOLOGICAL SUPPORT - SHELTER IN Stamp Duty, Registration Cost
    OLD AGE

    Which type of Real Estate should we invest in?

    New Model : Invest in Flat and the Builder shall pay you the fixed sum of money.

    New Concept of the Commerical Usage Property only – Service Usage Apartment.

    “Home Away from Home”. It is managed by some company and pay you the fixed sum of money.

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