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PROJECT REPORT ON
Mutual Fund Industry In India
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I#T$O%&CTIO# OF M&T&A' F&#%S

M.t.a* f.'2s ha,e become a ,er- pop.*ar wa- to ta+e some of the ris+ o.t of i',esti') i' i'2i,i2.a* stoc+s b- i',estors. M.t.a* f.'2s are a co**ectio' of stoc+s se*ecte2 b- m.t.a* f.'2 se**er a'2 so*2 to i',estors as shares i' a f.'2. There are se,era* t-pes of f.'2s that -o. ca' i',est i'. ome of the more pop.*ar t-pes are tech'o*o)- f.'2s$ )rowth f.'2s$ sec.rit- f.'2s$ a'2 i'come f.'2s. M.t.a* f.'2s are ,er- pop.*ar beca.se the- a**ow -o. to i',est i' a '.mbers of stoc+s therefore )reat*- re2.ci') the ris+s associate2 with p.tti') -o. mo'e- i' a' i'2i,i2.a* stoc+. M.t.a* f.'2s ha,e become o'e of the most attracti,e wa-s for the a,era)e perso' to i', est their mo'e-. A m.t.a* f.'2 poo*s reso.rces from tho.sa'2s of i',estors a'2 the' 2i,ersifies its i',estme't i'to ma'- 2iffere't ho*2i')s s.ch as stoc+s$ bo'2s$ or )o,er'me't sec.rities i' or2er to pro,i2e hi)h re*ati,e safet- a'2 ret.r's. M.t.a* #.'2s 'ow represe'ts perhaps the most appropriate opport.'it- for most i',estors. It is 'o wo'2er that birthp*ace of m.t.a* f.'2s 3 the %. .A.3 the f.'2 i'2.str- has a*rea2- o,erta+e' the ba'+i') i'2.str-. The I'2ia' i'2.str- has a*rea2- starte2 ope'i') .p ma'- of the e4citi') i',estme't opport.'ities to I'2ia' i',estors. Tho.)h 'ot i's.re2 *i+e ba'+s$ m.t.a* f.'2s )e'era**- pro,i2e more ret.r' tha' the c.rre't o'e to two perce't obtai'ab*e thro.)h ba'+s whi*e sti** bei') o'e of the safest wa-s to )row -o.r mo'e-. There are a' e'2*ess ,ariet- of m.t.a* f.'2 i',estme't choices 2epe'2i') o' the 2e)ree of ris+ -o. fee* comfortab*e with. M.t.a* #.'2s ha,e emer)e2 as professio'a* i'terme2iaries. Besi2es pro,i2i') the e4pertise i' stoc+ mar+et i',esti')$ these f.'2s a**ow i',esti') i' sma** amo.'ts a'2 -et ho*2i') a 2i,ersifie2 portfo*io to a *imit.

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HISTO$Y OF TH( I#%IA# M&T&A' F&#% I#%&ST$Y

The m.t.a* f.'2 i'2.str- i' I'2ia starte2 i' 0675 with the formatio' of %'it Tr.st of I'2ia$ at the i'itiati,e of the 8o,er'me't of I'2ia a'2 Reser,e Ba'+ a'2 starte2 its operatio's i' 0679 with the iss.e of .'its .'2er the scheme % 379. The histor- of m.t.a* f.'2s i' I'2ia ca' be broa2*- 2i,i2e2 i'to fo.r 2isti'ct phases/ 3 #irst Phase3 06793:; %'it Tr.st of I'2ia <%TI= was estab*ishe2 o' 0675 b- a' Act of Par*iame't. It was set .p b- the Reser,e Ba'+ of I'2ia a'2 f.'ctio'e2 .'2er the Re).*ator- a'2 a2mi'istrati,e co'tro* of the Reser, e Ba'+ of I'2ia. I' 06;: %TI was 2e3*i'+e2 from the RBI a'2 the I'2.stria* !e,e*opme't Ba'+ of I'2ia <I!BI= too+ o,er the re).*ator- a'2 a2mi'istrati,e co'tro* i' p*ace of RBI The first scheme *a.'che2 b- %TI was %'it cheme 0679. At the e'2 of 06:: %TI ha2 Rs.7$;>> crores of assets .'2er ma'a)eme't. eco'2 Phase3 06:;30665 <E'tr- of P.b*ic ector #.'2s= 06:; mar+e2 the e'tr- of 'o'3 %TI$ p.b*ic sector m.t.a* f.'2s set .p b- p.b*ic sector ba'+s a'2 &ife I's.ra'ce Corporatio' of I'2ia <&IC= a'2 8e'era* I's.ra'ce Corporatio' of I'2ia <8IC=. BI M.t.a* #.'2 was the first 'o'3 %TI M.t.a* #.'2 estab*ishe2 i' J.'e 06:; fo**owe2 b- Ca'ba'+ M.t.a* #.'2 <!ec :;=$ P.'jab Natio'a* Ba'+ M.t.a* #.'2 <A.) :6=$ I'2ia' Ba'+ M.t.a* #.'2 <No, :6=$ Ba'+ of I'2ia <J.' 6>=$ Ba'+ of Baro2a M.t.a* #.'2 <Oct 61=. &IC estab*ishe2 its m.t.a* f.'2 i' J.'e 06:6 whi*e 8IC ha2 set .p its m.t.a* f.'2 i' !ecember 066>. At the e'2 of 0665$ the m.t.a* f.'2 i'2.str- ha2 assets .'2er ma'a)eme't of Rs.9;$>>9 crores. Thir2 Phase3 066531>>5 <E'tr- of Pri,ate ector #.'2s

?ith the e'tr- of pri,ate sector f.'2s i' 0665$ a 'ew era starte2 i' the I'2ia' m.t.a* f.'2 i'2.str-$ )i,i') the I'2ia' i',estors a wi2er choice of f.'2 fami*ies. A*so$ 0665 was the -ear i' which the first M.t.a* #.'2 Re).*atio's came i'to bei')$ .'2er which a** m.t.a* f.'2s$ e4cept &TI were to be re)istere2 a'2 )o,er'e2. The erstwhi*e @othari Pio'eer <'ow mer)e2 with #ra'+*i' Temp*eto'= was the first pri,ate sector m.t.a* f.'2 re)istere2 i' J.*- 0665 #o.rth Phase 3 si'ce #ebr.ar- 1>>5 I' #ebr.ar- 1>>5$ fo**owi') the repea* of the %'it Tr.st of I'2ia Act 0675 %TI was bif.rcate2 i'to two separate e'tities. O'e is the pecifie2 %'2erta+i') of the %'it Tr.st of I'2ia with assets .'2er ma'a)eme't of Rs.16$:5A crores as at the e'2 of Ja'.ar- 1>>5$ represe'ti') broa2*-.$ the assets of % 79 scheme$ ass.re2 ret.r' a'2 certai' other schemes. The pecifie2 %'2erta+i') of %'it Tr.st of I'2ia$ For your personalize project report emails us /ati'fo(mbahotspot.com or mbahotspot()mai*.com 9

Visitwww.mbahotspot.com for more f.'ctio'i') .'2er a' a2mi'istrator a'2 .'2er the r.*es frame2 b- 8o,er'me't of I'2ia a'2 2oes 'ot come .'2er the p.r,iew of the M.t.a* #.'2 Re).*atio's. The seco'2 is the %TI M.t.a* #.'2 &t2$ spo'sore2 b- BI$ PNB$ BOB a'2 &IC. It is re)istere2 with EBI a'2 f.'ctio's .'2er the M.t.a* #.'2 Re).*atio's. ?ith the bif.rcatio' of the erstwhi*e %TI which ha2 i' March 1>>> more tha' Rs. ;7$>>> crores of assets .'2er ma'a)eme't a'2 with the setti') .p of a %TI M.t.a* #.'2$ co'formi') to the EBI M.t.a* #.'2 Re).*atio's$ a'2 with rece't mer)ers ta+i') p*ace amo') 2iffere't pri,ate sector f.'2s$ the m.t.a* f.'2 i'2.str- has e'tere2 its c.rre't phase of co'so*i2atio' a'2 )rowth. As at the e'2 of October 50$ 1>>5$ there were 50 f.'2s$ which ma'a)e assets of Rs. 017;17 crores .'2er 5:7 schemes. Erstwhi*e %TI was bif.rcate2 i'to %TI M.t.a* #.'2 a'2 the pecifie2 %'2erta+i') of the %'it Tr.st of I'2ia effecti,e from #ebr.ar- 1>>5. The Assets .'2er ma'a)eme't of the pecifie2 %'2erta+i') of the %'it Tr.st of I'2ia has therefore bee' e4c*.2e2 from the tota* assets of the i'2.str- as a who*e from #ebr.ar- 1>>5 o'war2s. C.rre't*- P.b*ic ector Ba'+s *i+e BI$ Ca'ara Ba'+$ Ba'+ of I'2ia$ i'stit.tio's *i+e I!BI$ 8IC$ &IC #orei)' I'stit.tio's *i+e A**ia'ce$ Mor)a' ta'*e-$ Temp*eto' a'2 Pri,ate fi'a'cia* compa'ies *i+e H!#C$ Pr.2e'tia* ICICI$ ! P Merri** &-'ch$ .'2aram$ @ota+ Mahi'2ra etc. ha,e f*oate2 their ow' m.t.a* f.'2s.

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)HAT IS M&T&A' F&#%*

A M.t.a* #.'2 is a ,ehic*e for i',esti') i' stoc+s a'2 bo'2s. It is 'ot a' a*ter'ati,e i',estme't optio' to stoc+s a'2 bo'2sB rather it poo*s the mo'e- of se,era* i',estors a'2 i',ests this i' stoc+s$ bo'2s$ mo'emar+et i'str.me'ts a'2 other t-pes of sec.rities. B.-i') a m.t.a* f.'2 is *i+e b.-i') a sma** s*ice of a bi) piCCa. The ow'er of a m.t.a* f.'2 .'it )ets a proportio'a* share of the f.'2Ds )ai's$ *osses$ i'come a'2 e4pe'ses. A M.t.a* #.'2 is a bo2- corporate re)istere2 with the ec.rities a'2 E4cha')e Boar2 of I'2ia < EBI=$ that poo*s .p the mo'e- from i'2i,i2.a*E corporate i',estors a'2 i',ests the same o' beha*f of the i',estors E.'it ho*2ers$ i' eF.it- shares$ 8o,er'me't sec.rities$ Bo'2s$ Ca** mo'e- mar+ets etc.$ a'2 2istrib.tes the profits. I' other wor2s$ a m.t.a* f.'2 a**ows a' i',estor to i'2irect*- ta+e a positio' i' a bas+et of assets. A m.t.a* f.'2 poo*s to)ether s.ms from i'2i,i2.a* i',estors a'2 i',ests it i' ,ario.s fi'a'cia* i'str.me'ts. Each m.t.a* f.'2 has its ow' i',estme't objecti,e. M.t.a* f.'2s ha,e become o'e of the most attracti,e wa-s for the a,era)e perso' to i',est their mo'e-. A m.t.a* f.'2 poo*s reso.rces from tho.sa'2 of i',estors a'2 the' 2i,ersifies its i',estme't i'to ma'- 2iffere't ho*2i')s s.ch as stoc+$ bo'2s$ a'2 sec.rities i' or2er to pro,i2e hi)h*- re*ati,e safet- a'2 ret.r's. Each M.t.a* #.'2 with 2iffere't t-pe of schemes is ma'a)e2 b- respecti,e Asset Ma'a)eme't Compa'- <AMC=. A' i',estor ca' i',est his mo'e- i' o'e or more schemes of M.t.a* #.'2 accor2i') to his choice a'2 becomes the .'it ho*2er of the scheme. The i',este2 mo'e- i' a partic.*ar scheme of a M.t.a* #.'2 is the' i',este2 b- f.'2 ma'a)er i' 2iffere't t-pes of s.itab*e stoc+ a'2 sec.rities$ bo'2s a'2 mo'e- mar+et i'str.me'ts. Each M.t.a* #.'2 is ma'a)e2 b- F.a*ifie2 professio'a* ma'$ who .se this mo'e- to create a portfo*io which i'c*.2es stoc+ a'2 shares$ bo'2s$ )i*t$ mo'e-3mar+et i'str.me'ts or combi'atio' of a**.

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%ISTI#+&ISHI#+ CHA$ACT($ISTICS OF M&T&A' F&#%

The tra2itio'a*$ 2isti').ishi') characteristics of the m.t.a* f.'2 ma- i'c*.2e the fo**owi')/ GH I',estors p.rchase m.t.a* f.'2 shares from the f.'2 itse*f <or thro.)h a bro+er for the f.'2= i'stea2 of from other i',estors o' a seco'2ar- mar+et GH The price that i',estors pa- for m.t.a* f.'2 shares is the f.'2Ds per share 'et asset ,a*.e <NAV= p*.s a'- shareho*2er fees that the f.'2 imposes at the time of p.rchase <s.ch as sa*es *oa2s=. GH M.t.a* f.'2 shares are Ire2eemab*e$I mea'i') i',estors ca' se** their shares bac+ to the f.'2 <or to a bro+er acti') for the f.'2=. GH M.t.a* f.'2s )e'era**- create a'2 se** 'ew shares to accommo2ate 'ew i',estors. I' other wor2s$ the- se** their shares o' a co'ti'.o.s basis$ a*tho.)h some f.'2s stop se**i') whe'$ for e4amp*e$ the- become too *ar)e. GH The i',estme't portfo*ios of m.t.a* f.'2s t-pica**- are ma'a)e2 b- separate e'tities +'ow' as Ii',estme't a2,isersI that are re)istere2 with the EBI. MAJOR RI8HT A A %NIT HO&!ER IN A M%T%A& #%N! ome importa't ri)hts are me'tio'e2 be*ow/ J %'it ho*2ers ha,e a proportio'ate ri)ht i' the be'eficia* ow'ership of the assets of the scheme a'2 to the 2i,i2e'2 2ec*are2. J The- are e'tit*e2 to recei,e 2i,i2e'2 warra'ts withi' 91 2a-s of the 2ate of 2ec*aratio' of the 2i,i2e'2. J The- are e'tit*e2 to recei,e re2emptio' cheF.es withi' 0> wor+i') 2a-s from the 2ate of re2emptio'. J ;AK of the .'it ho*2ers with the prior appro,a* of EBI ca' termi'ate AMC of the J ;AK of the .'it ho*2ers ca' pass a reso*.tio' to wi'23.p the scheme f.'2.

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$(+&'ATO$Y BO%Y FO$ M&T&A' F&#%S

ec.rities E4cha')e Boar2 of I'2ia < EBI= is the re).*ator- bo2- for a** the m.t.a* f.'2s me'tio'e2 abo,e. A** the m.t.a* f.'2s m.st )et re)istere2 with EB*. The o'*- e4ceptio' is the %TI$ si'ce it is a corporatio' forme2 .'2er a separate Act of Par*iame't. Broa2 8.i2e*i'es Iss.e2 b- EBI for a M#/ 3 EBI is the re).*ator- a.thorit- of M.t.a* #.'2s. EB* has the fo**owi') broa2 ).i2e*i'es pertai'i') to m.t.a* f.'2s/ J M.t.a* #.'2s sho.*2 be forme2 as a Tr.st .'2er I'2ia' Tr.st Act a'2 sho.*2 be operate2 b- Asset Ma'a)eme't Compa'ies <AMCs=. J M.t.a* #.'2s 'ee2 to set .p a Boar2 of Tr.stees a'2 Tr.stee Compa'ies. The- sho.*2 a*so ha,e their Boar2 of !irectors. J The 'et worth of the AMCs sho.*2 be at *east Rs.A crore. J AMCs a'2 Tr.stees of a M.t.a* #.'2 sho.*2 be two separate a'2 2isti'ct *e)a* e'tities J The AMC or a'- of its compa'ies ca''ot act as ma'a)ers for a'- other f.'2 J AMCs ha, e to )et the appro,a* of EBI for its Artic*es a'2 Memora'2.m of Associatio' J A** M.t.a* #.'2s schemes sho.*2 be re)istere2 with EBI. J M.t.a* #.'2s sho.*2 2istrib.te mi'im.m of 6>K of their profits amo') the i',estors There are other ).i2e*i'es a*so that )o,er' i',estme't strate)-$ 2isc*os.re 'orms a'2 a2,ertisi') co2e for m.t.a* f.'2s.

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$O'( OF A F&#% MA#A+($

#.'2 ma'a)ers are respo'sib*e for imp*eme'ti') a co'siste't i',estme't strate)- that ref*ects the )oa*s a'2 objecti,es of the f.'2. Norma**-$ f.'2 ma'a)ers mo'itor mar+et a'2 eco'omic tre'2s a'2 a'a*-Ce sec.rities i' or2er to ma+e i'forme2 i',estme't 2ecisio's. Th.s the ro*e of f.'2 ma'a)er is ,er- cr.cia*. ACCO%NT TATEMENT ?he' the .'its are bo.)ht or )et a**otte2 a stateme't wi** be iss.e2 me'tio'i') the '.mber of .'its a**otte2Ebo.)ht a'2 re2eeme2 b- -o.. The recor2i') of e'tries wo.*2 be simi*ar to the passboo+ e'tries i' the ba'+. I' m.t.a* f.'2 termi'o*o)- it is ca**e2 Acco.'t tateme't. After i',esti') i' a m.t.a* f.'2 i',estor )ets a' acco.'t stateme't$ which shows his ho*2i') a'2 the price at which bo.)ht .'its. The acco.'t stateme't is comp.ter )e'erate2 a'2 ca''ot be tra2e2 or tra'sferre2. The acco.'t stateme't shows the/ 3J ho*2i') 2etai*s GH ho*2i') 2etai*s GH the '.mber of .'its o.tsta'2i') GH ,a*.e of the ho*2i')s A** tra'sactio's re*ati') to p.rchase .'its$ re2emptio' of .'its$ 2i,i2e'2$ rei',estme't$ etc are show' i' the acco.'t stateme't.

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M&T&A' F&#% ST$&CT&$(

The EBI <M.t.a* #.'2s= Re).*atio's 0665 2efi'e a m.t.a* f.'2 <M#= as a f.'2 estab*ishe2 i' the form of a tr.st b- a spo'sor to raise mo'ies b- the Tr.stees thro.)h the sa*e of .'its to the p.b*ic .'2er o'e or more schemes for i',esti') i' sec.rities i' accor2a'ce with these re).*atio's. These re).*atio's ha,e si'ce bee' rep*ace2 b- the EBI <M.t.a* #.'2s= Re).*atio's$ 0667. The str.ct.re i'2icate2 b- the 'ew re).*atio's is i'2icate2 as .'2er.

THE PON OR/ The po'sor is the creator of the f.'2$ estab*ishes the m.t.a* f.'2 a'2 )ets it re)istere2 with EBI a'2 wi** t-pica**- ho*2 a '.mber of ,oti') shares <perhaps 0>>= i' the f.'2$ b.t these are 'ot e'tit*e2 to a'- 2istrib.tio's or share i' the eF.it-. A** of the eF.it- be*o')s to the i',estors$ t-pica**- i' the form of 'o'3,oti') Ipreferre2 re2eemab*e sharesI The ,oti') shares )e'era**- co'tro* ma'a)eme't of the f.'2$ apart from *imite2 major 2ecisio's. The spo'sor is the ett*or of the Tr.st that ho*2s Tr.st propert- o' beha*f of i',estors who are the be'eficiaries of the Tr.st. The spo'sor is a*so reF.ire2 to co'trib.te at *east 9>K of the capita* of the asset ma'a)eme't compa'-$ which is forme2 for ma'a)i') the assets of the Tr.st. THE BOAR! O# TR% TEE / The m.t.a* f.'2 'ee2s to be co'stit.te2 i' the form of a tr.st a'2 the i'str.me't of the tr.st sho.*2 be i' the form of a 2ee2 re)istere2 .'2er the pro,isio's of the I'2ia' Re)istratio' Act$ 06>:. The s.per,isor- ro*e is f.*fi**e2 b- the Boar2 of Tr.stees of the I',estme't Compa'-. The boar2 of tr.stees ma'a)es the M# a'2 the spo'sor e4ec.tes the tr.st 2ee2s i' fa,o.r of the tr.stees. It is the job of the M# tr.stees to see that schemes f*oate2 a'2 ma'a)e2 b- the AMC appoi'te2 b- the tr.stees are i' accor2a'ce with the tr.st 2ee2 a'2 EBI ).i2e*i'es. THE A ET MANA8EMENT COMPAN" <AMC=/ The compa'- that ma'a)es a m.t.a* f.'2 is ca**e2 a' AMC. #or a** practica* p.rposes$ it is a' or)a'iCe2 form of a Imo'e- portfo*io ma'a)erI. A' AMC maha,e se,era* m.t.a* f.'2 schemes with simi*ar or ,arie2 i',estme't objecti,es. The AMC hires a professio'a* mo'e- ma'a)er$ who b.-s a'2 se**s sec.rities i' *i'e with the f.'2Ds state2 objecti,e. A** Asset Ma'a)eme't Compa'ies <AMCs= are re).*ate2 b- EBI a'2Eor the RBI <i' case the AMC is promote2 b- a ba'+=. I' a22itio'$ e,er- m.t.a* f.'2 has a boar2 of 2irectors that represe'ts the .'it ho*2ersD i'terests i' the m.t.a* f.'2. This e'tit- that .'2erta+es the 2esi)'i') a'2 mar+eti') of schemes$ raises mo'e- from the p.b*ic .'2er the schemes a'2 ma'a)es the mo'e- o' beha*f of its ow'ers. To se)re)ate the co**ecte2 f.'2s from this e'tit-Ds ow' f.'2s$ the corp.s is p*ace2 i' a *e)a* ,ehic*e. It is the character of this *e)a* ,ehic*e that 2etermi'es the character of the #.'2 itse*f. Irrespecti,e of the 'at.re of the str.ct.re$ what is more f.'2ame'ta* is that i' ,iew of the fi2.ciar- ro*e of the AMC or the f.'2 ma'a)er towar2s the For your personalize project report emails us /ati'fo(mbahotspot.com or mbahotspot()mai*.com 0>

Visitwww.mbahotspot.com for more p.b*ic$ there is a 'ee2 for s.per,isio' of the acti,ities of the AMC or f.'2 ma'a)er b- a separate bo2-. The assets of the Tr.st comprise of properties of the schemes$ which are f*oate2 b- the asset ma'a)eme't compa'- with the appro,a* of the Tr.stees chemes ma- ha,e 2iffere't characteristics 3 the- ma- be ope' or c*ose2 e'2e2 or ma- ha,e a partic.*ar i',estme't foc.s or portfo*io compositio'. #i'a**-$ the safe c.sto2- of assets of the Tr.st is e'tr.ste2 to o'e or more c.sto2ia's. THE C% TO!IAN/ C.sto2ia' ho*2s the f.'2Ds cash a'2 i',estme't assets. Commo'*-$ parts of the f.'2Ds assets are he*2 b- o'e or more bro+ers who e4ec.te tra2es o' beha*f of the f.'2 C.sto2ia* #ees ca' a*so be a fi4e2 fee or a perce'ta)e of NAV. ?here a bro+er acts as 2e facto c.sto2ia'$ it .s.a**- char)es o' a tra'sactio'a* basis. Apart from these fo.r there is re)istrar or a tra'sfer a)e't who acts as a +e- partTHE A!MINI TRATOR/ A2mi'istrator acts as re)istrar a'2 tra'sfer a)e't$ +eeps the boo+s a'2 recor2s of the f.'2$ a'2 ca*c.*ates the NAV. !epe'2i') o' the comp*e4it- of the f.'2$ the a2mi'istratorDs fees co.*2 be as *itt*e as a few tho.sa'2 2o**ars a -ear or as m.ch as >.A to >.7A K of the NAV per a''.m. ometimes the a2mi'istratorDs fees are i'c*.2e2 withi' the ma'a)eme't fee. I' certai' sit.atio's$ the a2mi'istrator s.bco'tracts a part of the wor+$ partic.*ar*- the NAV certificatio'$ to the i',estme't ma'a)er.

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$(+&'ATIO#S OF M&T&A' F&#%S I# I#%IA

I' I'2ia EBI a'2 RBI act as re).*ators of m.t.a* f.'2. GH EBI <M.t.a* #.'2= RE8%&ATION $0667

The pro,isio's of this re).*atio's pertai'i') to AMC are/ J A** the schemes to be *a.'che2 b- the AMC 'ee2 to be appro,e2 b- the tr.stees a'2 copies of offer 2oc.me't of s.ch schemes are to be fi*e2 with EBI. J The offer 2oc.me't sha** co'tai' a2eF.ate 2isc*os.re to e'ab*es the i',estor to ma+e i'forme2 2ecisio'. J A2,ertiseme't i' respect of schemes sho.*2 be i' co'formit- with the EBI prescribe2 a2,ertiseme't co2e$ a'2 2isc*oses the metho2 a'2 perio2icit- of the ,a*.atio' of i',estme't sa*es a'2 rep.rchase i' a22itio' to the i',estme't objecti,es. J The *isti') of c*ose e'2e2 schemes is ma'2ator- a'2 e,er- c*ose e'2e2 scheme sho.*2 be *iste2 o' a reco)'iCe2 stoc+ e4cha')e with i' si4 mo'ths from the c*os.re of s.bscriptio'. Howe,er$ *isti') is 'ot ma'2ator- i' case the scheme pro,i2es for mo'th*- i'come or caters to the specia* c*asses of perso's *i+e se'ior citiCe'$ wome'$ chi*2re'$ a'2 ph-sica**- ha'2icappe2. If the scheme 2isc*oses 2etai* of rep.rchase i' the offer 2oc.me't/ if the schemes ope's for rep.rchase with i' si4 mo'ths of c*os.re of s.bscriptio'. J %'its of a c*ose e'2e2 scheme ca' be ope'e2 for sa*e or re2emptio' at a pre2etermi'e2 fi4e2 i'ter,a* if the mi'im.m a'2 ma4im.m amo.'t of sa*e$ re2emptio'$ a'2 perio2icit- is 2isc*ose2 i' the offer 2oc.me't. J %'its of a c*ose e'2e2 scheme ca' a*so be co',erte2 i'to a' ope' e'2e2 scheme with the co'se't of majorit- of the .'it ho*2er a'2 2isc*os.re is ma2e i' the offer 2oc.me't abo.t the optio' a'2 perio2 of co',ersio'. J %'its of a c*ose e'2e2 scheme ma- be ro**e2 o,er b- passi') reso*.tio' b- a majorit- of the shareho*2ers. J No scheme other tha' .'it *i'+e2 schemes ca' be ope'e2 for more tha' 9A 2a-s. J The AMC m.st specif- i' the offer 2oc.me't abo.t the mi'im.m s.bscriptio' a'2 the e4te't of o,er s.bscriptio'$ which is i'te'2e2 to be retai'e2. I' the case of o,er s.bscriptio'$ a** app*ica'ts app*-i') .p to A>> .'its m.st be )i,e' f.** a**otme't s.bjecte2 to o,er s.bscriptio'. J The AMC m.st ref.'2 the app*icatio' mo'e- if mi'im.m s.bscriptio' is 'ot recei,e2 a'2 a*so the e4cess o,er s.bscriptio' with i' the si4 wee+s of c*os.re of s.bscriptio'. For your personalize project report emails us /ati'fo(mbahotspot.com or mbahotspot()mai*.com 01

Visitwww.mbahotspot.com for more J 8.ara'tee2 ret.r's ca' be pro,i2e2 i' a scheme if s.ch ret.r's are f.**- ).ara'tee2 b- the AMC or spo'sor. I' s.ch cases$ there sho.*2 be a stateme't i'2icati') the 'ame of the perso'$ a'2 the ma''er i' which the ).ara'tee is to be ma2e m.st be state2 i' the offer 2oc.me't. J A c*ose e'2e2 scheme sha** be wo.'2 .p o' re2emptio' 2ate$ .'*ess it is ro**e2 o,er$ or if ;AK of the .'it ho*2ers of a scheme pass a reso*.tio' of wi'2i') .p of the scheme / if the tr.stee o' happe'i') of a'- e,e't$ reF.ires the scheme to be wo.'2 .p/ or if EBI$ so 2irecte2 i' the i'terest of i',estors.

GH I',estme't objecti,es a'2 ,a*.atio' po*icies / 3 The price at which the .'its ma- be s.bscribe2 or so*2 a'2 the price at which s.ch .'its ma- at a'- time rep.rchase b- m.t.a* f.'2 sha** be ma2e a,ai*ab*e to the i',estor. GH 8e'era* ob*i)atio' J E,er- asset ma'a)eme't compa'- for each scheme sha** +eep a'2 mai'tai' proper boo+s of acco.'t$ recor2s a'2 2oc.me't$ for each scheme so as to e4p*ai' its tra'sactio' a'2 to 2isc*ose at a'poi't of time the fi'a'cia* positio' of each scheme a'2 i' partic.*ar )i,e tr.e a'2 fair ,iew of state of affairs of the f.'2 a'2 i'timate to boar2 the p*ace where s.ch boo+s of acco.'t$ recor2$ a'2 2oc.me't are mai'tai'e2. J The fi'a'cia* -ear for a** the schemes sha** e'2 as o' march 50 of each -ear. E,er- m.t.a* f.'2 or the asset ma'a)eme't compa'- sha** prepare i' respect of scheme a'2 the f.'2 as specific i' e*e,e'th sche2.*e. J E,er- m.t.a* f.'2 sha** ha,e the a''.a* stateme't of acco.'t a.2ite2 b- a' a.2itor who is 'or i' a'- wa- associate2 with the a.2itor of the asset ma'a)eme't compa'-. GH Proce2.re i' case of 2efa.*t O' a'2 from the 2ate of s.spe'sio' of the certificate or the appro,a* as the ma- be$ the m.t.a* f.'2 tr.stees or asset ma'a)eme't compa'-$ sha** cease to carr- o' a'- acti,it- as a m.t.a* f.'2$ tr.stee or asset ma'a)eme't compa'- $ 2.ri') the perio2 of s.spe'sio'$ a'2 sha** be s.bjecte2 to the 2irectio's of the boar2 with re)ar2 to a'- recor2s$ 2oc.me'ts$ or sec.rities that ma- be i' its c.sto2- or co'tro*$ re*ati') to its acti,ities as m.t.a* f.'2$ tr.stee$ or asset ma'a)eme't compa'-. GH EBI 8.i2e*i'es <1>>03>1= Re*ati') to M.t.a* #.'2/3

J A commo' format is prescribe2 for a** m.t.a* f.'2 schemes to 2isc*ose2 their e'tire portfo*io of ha*f -ear*- basis so that the i',estors ca' )et mea'i')f.* i'formatio' o' the 2ep*o-me't of f.'2s. M.t.a* f.'2s are a*so reF.ire2 to 2isc*ose the i',estme't i' ,ario.s t-pes of i'str.me'ts a'2 For your personalize project report emails us /ati'fo(mbahotspot.com or mbahotspot()mai*.com 05

Visitwww.mbahotspot.com for more perce'ta)e of i' each script to the tota* NAV i**iF.i2 a'2 'o' performi') assets$ i',estme'ts i' 2eri,ati,es a'2 i' !Rs a'2 8!RLs J To e'ab*e the i',estor to ma+e i'forme2 i',estme't 2ecisio'$ m.t.a* f.'2s ha,e bee' 2irecte2 to f.**- re,ise a'2 .p2ate offer 2oc.me't a'2 memora'2.m at *east o'ce i' two -ears. GH M.t.a* f.'2s are a*so reF.ire to/3 i. Bri') .'iformit- i' 2isc*os.re of ,ario.s cate)ories of a2,ertiseme'ts$ with a ,iew to e's.ri') co'siste'c- a'2 comparabi*it- across schemes of ,ario.s m.t.a* f.'2s. ii. Re2.ce i'itia* offer perio2 from a ma4im.m of 9A 2a-s to 5> 2a-s. iii. !ispatch stateme't of acco.'t o'ce the mi'im.m s.bscriptio' amo.'t specifie2 i' offer 2oc.me't is recei,e2 e,e' before the c*os.re of the iss.e. i,. I',est i' mort)a)e2 bac+e2 sec.rities of i',estme't )ra2e )i,e' b- cre2it rati') a)e'c-. ,. I2e'tif- a'2 ma+e a pro, isio' for 'o' performi') asset <NPAs= accor2i') to criteria for c*assificatio' of ' NPAs a'2 treatme't of i'come accr.e2 o' NPAs to 2isc*ose NPAs i' ha*f -ear*portfo*io reports. ,i. !isc*ose i'formatio' i' a re,ise2 format o' .'it capita*$ reser,es$ performa'ce i' terms of 2i,i2e'2 a'2 riseEfa** i' NAV 2.ri') the ha*f -ear perio2 a''.a*iCe2 -ie*2 o,er the *ast 0$ 5$ A -ears i' a22itio' to perce'ta)e of ma'a)eme't fee$ perce'ta)e of rec.rri') e4pe'ses to 'et asset$ i',estme't ma2e i' associate compa'ies$ pa-me't ma2e to associate compa'ies$ pa-me't ma2e to associate compa'ies for their ser,ices$ a'2 2etai* of *ar)e ho*2i')$ si'ce their operatio'. ,ii. !ec*are their NAVs a'2 sa*eErep.rchase prices of a** schemes .p2ate2 o' re).*ar basis o' the AM#I website b- :.>> PM a'2 2ec*are NAVs of their c*ose e'2e2 schemes o' e,er- ?e2'es2a-. J The format for .'a.2ite2 ha*f -ear*- res.*t for the m.t.a* f.'2s has bee' re,ise2 b- EBI. These res.*ts are to be p.b*ishe2 before the e4pir- of o'e mo'th from the c*ose of each ha*f3-ear as a)ai'st two mo'th perio2 pro,i2e2 ear*ier. These res.*ts sha** a*so be p.t i' their websites b- m.t.a* fo'2. J A** the schemes b- m.t.a* f.'2 sha** be *a.'che2 with i' si4 mo'ths from the 2ate of the *etter co'tai'i') obser,atio' from EBI o' the scheme offer 2oc.me't. Otherwise$ a fresh offer 2oc.me't a*o') with fi*i') fee sha** be fi**e2 with EBI. J M.t.a* f.'2s are reF.ire2 to 2isc*ose *ar)e .'it3ho*2i') i' the scheme$ which are o,er 1AK of the NAV. GH RBI as s.per,isor of ba'+ ow'e2 M.t.a* #.'2s

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Visitwww.mbahotspot.com for more The first 'o'3%TI m.t.a* f.'2s were starte2 b- p.b*ic sector ba'+s. Ba'+s come .'2er the re).*atorj.ris2ictio' of RBI. o Ba'+ ow'e2 m.t.a* f.'2s are re).*ate2 b- RBI$ b.t it has bee' c*arifie2 that a** the m.t.a* f.'2s$ bei') primari*- capita* mar+et p*a-ers come .'2er the re).*ator- framewor+ of EBI. Th.s$ the ba'+ ow'e2 f.'2 co'ti'.e to be .'2er the joi't s.per,isio' of both RBI a'2 EBI. It is )e'era**- .'2erstoo2 that a** mar+et re*ate2 a'2 i',estor re*ate2 acti,ities of the f.'2 are to be s.per,ise2 b- EBI$ whi*e a'- iss.e co'cer'i') the ow'ership of the AMC b- ba'+ fa** .'2er the re).*ator- ambit of RBI. B.t RBI o' ba'+ f.'2 sho.*2 'ot co'f*ict with EBI ).i2e*i'es. GH RBI as s.per,isor of mo'e- mar+et m.t.a* f.'2s RBI is the o'*- 8o,er'me't a)e'c- that is char)e2 with the so*e respo'sibi*it- of o,era** e'tities that operates i' mo'e- mar+et. o mo'e- mar+et m.t.a* f.'2s were re).*ate2 b- RBI ).i2e*i'es ti** 15.00.066A. Rece't*- it has bee' 2eci2e2 that mo'e- mar+et m.t.a* f.'2s of re)istere2 m.t.a* f.'2 wi** be re).*ate2 b- EBI thro.)h the same ).i2e*i'es iss.e2 for other m.t.a* f.'2s$ i.e. EBI <M#= re).*atio's$ 0667. Howe,er RBI 2oes retai' the ri)ht to 2eci2e whether m.t.a* f.'2s wi** be a**owe2 to access i'ter3ca** mo'e- mar+et. Accor2i')*-$ RBI has p*ace2 certai' restrictio's thro.)h *atest cre2it po*ic-$ with the i'te'tio' of mo,i') towar2 a p.re i'ter ba'+ mo'e- mar+et.

CA'C&'ATIO# OF #A,
Net asset ,a*.e o' a partic.*ar 2ate ref*ects the rea*iCab*e ,a*.e of a m.t.a* f.'2Ds portfo*io i' per share or per .'it terms. It is the worth of a' i',estme't with a' ope'3e'2 m.t.a* f.'2 F.ote2 i' terms of its 'et asset ,a*.e. That is a*so the amo.'t a' i',estor ca' e4pect if he or she were to se** his or her .'its bac+ to the iss.er. !ai*- c*osi') prices of a** sec.rities he*2 b- the f.'2 are .se2 as a starti') poi't. .btract this amo.'t for *iabi*ities <i'c*.2i') e4pe'ses a'2 commissio's=. A'2 2i,i2e the res.*t b- the '.mber of o.tsta'2i') shares. If the rea*iCab*e worth of the portfo*io is Rs 01 mi**io'$ 2i,i2e2 it b- shares o.tsta'2i')$ *etDs sa- o'e mi**io' .'its$ the' the NAV is Rs 01 <01E0=. If a f.'2Ds NAV a -ear a)o was Rs 0>.A a'2 is c.rre't*- Rs 01$ the' -o.r pre3ta4 ret.r' is 09.1: perce't<<0130>.A=E<0>.A=M0>>=. A' NAV si)'ifies 'othi') more tha' the c.rre't worth of a portfo*io. The NAV of a f.'2 o'*- starts to ma+e se'se whe' compare2 to a be'chmar+ i'2e4. #irst$ it te**s -o. the e4te't to which the sec.rities that comprise the f.'2Ds portfo*io ha,e o.tperforme2 or .'2er performe2 the i'2e4. eco'2$ the .se of certai' statistica* meas.res ca' a*so te** -o. whether a f.'2 was ab*e to 2eri,e abo,e3a,era)e$ ris+3 ret.r'e2 schemes. Ha,i') sai2 this$ a f.'2Ds historica* NAV performa'ce is 'ot the best i'2icator of its f.t.re performa'ce. #or eF.it- f.'2s$ this NAV cha')es a*most e,er-2a- with f*.ct.atio's i' stoc+ prices. ?hi*e the NAV of a For your personalize project report emails us /ati'fo(mbahotspot.com or mbahotspot()mai*.com 0A

Visitwww.mbahotspot.com for more fi4e23i'come f.'2 is 2ri,e' more b- cha')es i' rate of i'terest. O' its ow'$ a risi') NAV o'*- mea's that assets$ which form a part of the f.'2Ds portfo*io$ are risi') a'2 ,ice3,ersa.

TYP(S OF M&T&A' F&#%S

M.t.a* f.'2 schemes ma- be c*assifie2 o' the basis of its str.ct.re a'2 its i',estme't objecti,e O# TH( BASIS OF ST$&CT&$(O' the basis of str.ct.re m.t.a* f.'2 ca' be either ope'3e'2e2 or c*ose3e'2e2. .

Most m.t.a* f.'2s are ope'3e'2 f.'2s$ which mea's the f.'2 se**s a'2 re2eems its shares. As more shares are so*2$ the f.'2 )rows. ometimes ope'3e'2 f.'2s are c*ose2 to 'ew i',estors whe' the f.'2s become too *ar)e to be ma'a)e2 effecti,e*-3tho.)h c.rre't shareho*2ers ca' co'ti'.e to i',est mo'e-. ?he' a f.'2 is c*ose2 this wa-$ the i', estme't compa'- offeri') the f.'2 ofte' creates a simi*ar f.'2 to capita*iCe o' i',estor i'terest. C*ose23e'2 f.'2 are tra2e2 o' the major e4cha')es$ as stoc+s are. There are a fi4e2 '.mber of shares a,ai*ab*e beca.se a c*ose23e'2 f.'2 raises its mo'e- a** at o'ce a'2 2oes 'ot b.- bac+ shares i',estors wa't to se**. C*ose23e'2 f.'2 shares ofte' tra2e at a 2isco.'t$ or *ess tha' their 'et asset ,a*.e$ b.t -o. ma- pa- a premi.m$ or more tha' the NAV$ if the f.'2 is i' 2ema'2. Their prices cha')e co'sta't*thro.)ho.t the tra2i') 2a-$ .'*i+e ope'3e'2 f.'2s whose prices are set o'*- o'ce$ at the e'2 of the 2a-.

%IFF($(#C( B(T)((# TH( T)O

The 2iffere'ce betwee' the two is i' the wa- each operates after the i'itia* p.b*ic offeri'). A c*ose3 e'2e2 scheme operates *i+e a'- other p.b*ic e'tit- whose shares are tra2e2 o' the stoc+ mar+et. Th.s$ to b.- or se** the shares of a c*ose3e'2e2 scheme$ -o. ha,e to tra'sact o' the B E or o' the N E. ThatDs wh- the mar+et price of its shares is a*so 2etermi'e2 b- H s.pp*- a'2 2ema'2 for its shares <apart from F.a*it- a'2 performa'ce of its portfo*io=. O' the co'trar-$ ope'3e'2e2 f.'2s co'ti'.e to price$ se** a'2 rep.rchase shares after the i'itia* offer o' the basis of the NAV. The m.t.a* f.'2 is rea2- to se** a22itio'a* shares of the f.'2 at the NAV <at par or a2j.ste2 for e4pe'ses=$ or b.- bac+ <re2eem= shares of the f.'2 at the NAV <at par or a2j.ste2 for e4pe'ses=. ThatDs wh- the .'it capita* of ope'3e'2e2 f.'2s ca' f*.ct.ate o' 2ai*- basis. B.t a c*ose3e'2e2 f.'2 ma- or ma- 'ot offer more shares after its *isti'). It ma- or ma- 'ot a*so rep.rchase its shares. That is .p to the iss.i') compa'- to 2eci2e.

o we ca' sa- that i' a' ope'3e'2e2 m.t.a* f.'2 there are 'o *imits o' the tota* siCe of the corp.s. I',estors are permitte2 to e'ter a'2 e4it the ope'3e'2e2 m.t.a* f.'2 at a'- poi't of time at a price For your personalize project report emails us /ati'fo(mbahotspot.com or mbahotspot()mai*.com 07

Visitwww.mbahotspot.com for more that is *i'+e2 to the 'et asset ,a*.e <NAV=. I' case of c*ose23e'2e2 f.'2s$ the tota* siCe of the corp.s is *imite2 b- the siCe of the i'itia* offer. OTHER CHEME /

TA. SA,I#+ SCH(M( (/uity 'in01d Sa2ings S!h1m1s 3('SS45

EF.it- &i'+e2 a,i') chemes <E& = are ope'3e'2e2 f.'2s i',esti') pre2omi'a't*- i' eF.it-3orie'te2 i'str.me'ts. %'2er ectio' :: of the I'come Ta4 Act$ 0670 i',estme'ts .p to Rs. 0>>>> i' eF.it- *i'+e2 sa,i')s schemes <E& = F.a*ifies for the ta4 rebate of 1>K or 0AK. <I',estors with )ross tota* i'come of .p to Rs.0.A> &acs ca' c*aim a rebate of 1>K whi*e i',estors with )ross tota* i'come of Rs. 0.A &acs to Rs.A &acs ca' c*aim a rebate of 0AK=. The f.'2s *a.'che2 .'2er this p*a' are *ar)e*- 2i,ersifie2 eF.itf.'2s. The i',estme't strate)- for most of the f.'2s is simi*ar to i',estme't strate)- fo**owe2 b- the f.'2 .'2er 2i,ersifie2 eF.it- f.'2s.

O# TH( BASIS OF I#,(STM(#T OB6(CTI,(5

?he' it comes to i',esti') i' m.t.a* f.'2s$ i',estors ha,e *itera**- tho.sa'2s of choices. Before i',esti') i' a'- )i,e' f.'2$ 2eci2e whether the i',estme't strate)- a'2 ris+s of the f.'2 are a )oo2 fit for -o.. The first step to s.ccessf.* i',esti') is fi).ri') o.t fi'a'cia* )oa*s a'2 ris+ to*era'ce. O'ce -o. +'ow what -o.Dre sa,i') for$ whe' -o.D** 'ee2 the mo'e-$ a'2 how m.ch ris+ o'e ca' to*erate$ o'e ca' more easi*- 'arrow -o.r choices. Most m.t.a* f.'2s fa** i'to o'e of three mai' cate)ories N eF.it- f.'2s <a*so ca**e2 Istoc+I f.'2s=$ 2ebt f.'2s <a*so ca**e2 Ibo'2I f.'2s= a'2 ba*a'ce2 f.'2s <a*so ca**e2 Ih-bri2I f.'2s=. Each t-pe has 2iffere't feat.res a'2 2iffere't ris+s a'2 rewar2s. 8e'era**-$ the hi)her the pote'tia* ret.r'$ the hi)her the ris+ of *oss. The schemes or f.'2s <ofte' .se2 s-'o'-mo.s*-= ca' be c*assifie2 as/ CHEME (/uity Funds 89 (:&ITY F&#%S5 The- are a*so +'ow' as )rowth f.'2s. The- foc.s o' stoc+s that ma- 'ot pa- a re).*ar 2i,i2e'2 b.t ha,e pote'tia* for *ar)e capita* )ai's. The- promise p.re capita* appreciatio' with eF.it- shares. The- b.shares i' compa'ies with hi)h pote'tia* for )rowth <some of which mi)ht 'ot pa- 2i,i2e'2s=. The NAV of s.ch a f.'2 wi** te'2 to be erratic$ si'ce these so3ca**e2 )rowth shares e4perie'ce hi)h price ,o*ati*it-. The- a*so ma+e F.ic+ profits b- i',esti') i' sma** cap shares a'2 b- i',esti') i' i'itia* p.b*ic offeri')s of sma** compa'ies. Howe,er$ )rowth strate)- ma- 2iffer from o'e f.'2 to a'other. Not a** )rowth f.'2s operate simi*ar*-. ome of the commo' eF.it- f.'2s are/ 89 S1!tor 7unds5 The )oa* is o'ce a)ai' p.re capitaO appreciatio'$ b.t the strate)- is to b.- i'to shares of o'*- o'e i'2.str-. A'2 'ot 2i,ersif- *i+e a )rowth f.'2. .ch f.'2s for)o the pri'cip*e of asset a**ocatio' for hi)h ret.r's. ThatDs wh- the- are a*so the ris+iest. For your personalize project report emails us /ati'fo(mbahotspot.com or mbahotspot()mai*.com 0; %1bt Funds Balan!1d 7unds

Visitwww.mbahotspot.com for more 89 Ta; lanning 7unds5 A*so +'ow' as eF.it- *i'+e2 sa,i')s schemes$ the- operate *i+e a'- other )rowth f.'2 <a'2 thatDs wh- are as ris+-=. Howe,er$ a' i',estor i' these schemes )ets a' i'come3ta4 rebate of 1> per ce't <for a ma4im.m of Rs 0>$>>>= .'2er ectio' :: of the I'come Ta4 Act. Esse'tia**a' i'ce'ti,e for the i',estor <who is otherwise i',esti') i' fi4e23i'come i'str.me'ts *i+e the P.b*ic Pro,i2e't #.'2 primari*- for sa,i') ta4 o' his or her a''.a* sa*ar- or b.si'ess i'come= a cha'ce to participate i' capita* appreciatio' that ca' be 2e*i,ere2 b- i',esti') i' eF.it- shares. ThatDs a*so whthese schemes a*so come with a three3-ear *oc+3i' perio2. A*so whi*e other ta4 p*a''i') schemes ).ara'tee ret.r's$ a' E& offers 'o s.ch ass.ra'ce. 89 Ind1; 7und / Their )oa* is to match the performa'ce of the mar+ets. The- 2o 'ot i',o*,e stoc+ pic+i') b- so ca**e2 professio'a* f.'2 ma'a)ers. A' i'2e4 f.'2 esse'tia**- b.-s i'to the stoc+ mar+et i' a wa- 2etermi'e2 b- some mar+et i'2e4 <B E e'se4 or PP CNQ Nift-= a'2 2oes a*most 'o f.rther tra2i'). I'2e4 f.'2s are optima**- 2i,ersifie2 portfo*ios a'2 o'*- carr- a*o') with it the 2.e to eco'om-3 wi2e factors.

89 %(BT F&#%S5 The- aim to pro,i2e safet- of pri'cipa* a'2 re).*ar <mo'th*-$ F.arter*- or semi a''.a**-= i'come bi',esti') i' bo'2s$ corporate 2ebe't.res a'2 other fi4e2 i'come i'str.me'ts. The AMC i' this case wi** a*so be ).i2e2 b- rati')s )i,e' to the iss.er of 2ebt b- cre2it rati') a)e'cies. ?here,er a 2ebt i'str.me't is 'ot rate2$ specific appro,a* of the boar2 of the AMC is reF.ire2. i'ce most of corporate 2ebt is i**iF.i2$ the f.'2 tries to pro,i2e *iF.i2it- b- i',esti') i' 2ebt of ,ar-i') mat.rit-. ome of the commo' 2ebt f.'2s are/ GH Mo'e- mar+et f.'2s/ A*so +'ow' as *iF.i2 p*a's$ these f.'2s are a p*a- o' ,o*ati*it- i' i'terest rates. Most of their i',estme't is i' fi4e23i'come i'str.me'ts with mat.rit- perio2 of *ess tha' a -ear. i'ce the- accept mo'e- e,e' for a few 2a-s$ the- are best .se2 to par+ short3term mo'e-$ which otherwise ear's a *ower ret.r' i' a sa,i')s ba'+ acco.'t. GH 8i*t f.'2s/ The- are aime2 at )e'erati') ret.r's comme's.rate with Cero cre2it ris+$ which is bi',esti') sec.rities create2 a'2 iss.e2 b- the ce'tra* a'2Eor the state )o,er'me't sec.rities a'2Eor other i'str.me'ts permitte2 b- the Reser,e Ba'+ of I'2ia. i'ce the- e's.re Cero ris+$ i'sta't *iF.i2it-$ ta43free i'come$ their ret.r' is *ower tha' a' i'come f.'2. 89 BA'A#C(% F&#%S5 The i2ea is to )et the best of both the wor*2Ds eF.it- shares a'2 2ebt. These are a*so +'ow' as h-bri2 f.'2s. I',esti') i' eF.ities is s.ppose2 to bri') home capita* appreciatio'$ whi*e that i' fi4e2 i'come is to impart stabi*it- a'2 ass.re i'come for 2istrib.tio'. The proportio' of the two asset c*asses 2epe'2s o' the f.'2 ma'a)ersD prefere'ce for ris+ a)ai'st ret.r'. B.t beca.se the i',estme'ts are hi)h*-

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Visitwww.mbahotspot.com for more 2i,ersifie2$ i',estors re2.ce their mar+et ris+. Norma**- abo.t A> to 7A per ce't of a portfo*ioDs assets are i',este2 i' eF.it- shares.

TYP(S OF 'OA%S The AMC that ma'a)es -o.r m.t.a* f.'2 has to bear a '.mber of e4pe'ses. o it reco,ers part of these e4pe'ses from its i',estors$ for whom it is 2oi') the fa,o.r of ma'a)i') f.'2s. It is bro+e' i'to two parts/ a''.a* ma'a)eme't fee <.p to 0.1A per ce't for f.'2s *ess tha' Rs 0 bi**io' a'2 o'e per ce't for f.'2s abo,e Rs. 0 bi**io'= a'2 e'tr- P e4it *oa2s. (#T$Y 'OA% / &oa2s 'orma**- app*- to o'*- ope'3e'2e2 schemes. A' e'tr- *oa2 is a*so ca**e2 the sa*es *oa2. which is mai'*- to he*p the AMC reco,er e4pe'ses re*ati') to sa*es *iterat.re$ 2istrib.tio'$ a2,ertisi') a'2 a)e'tEbro+er commissio's. The price at which a' i',estor b.-s i'to the f.'2 is a f.'ctio' of both the NAV a'2 sa*es *oa2. A' e'tr- *oa2 is a' a22itio'a* cost that a' i',estor pa-s at the poi't of e'tr-. Ass.me that -o.r propose2 i',estme't is Rs. 0>$ OOOE3. A*so ass.me that the c.rre't NAV of the f.'2 is Rs. 01.>> a'2 that the e'tr- *oa2 is Rs.>.A>. The' -o. wi** recei,e 0>>>>E01.A> R :>> .'its. The e'tr*oa2 co.*2 be 2iffere't for each schemeB it wo.*2 a*so 2epe'2 o' the amo.'t of i',estme't a'2 the time perio2 of i',estme't. (.IT 'OA%5 O' the other ha'2$ e4it *oa2 <if -o. with2raw withi' a specifie2 perio2= is char)e2 whi*e re2eemi') -o.r .'its. The *atter is for more *o)ica* reaso's$ especia**- with i'come or mo'e- mar+et f.'2s$ where a F.ic+ with2rawa* b- too ma'- i',estors ca' p.t press.re o' the f.'2Ds asset mat.rit- profi*e. o to e's.re that *o')er3term i',estors are 'ot pe'a*iCe2$ short3term i',estors are char)e2 a' e4it *oa2. A' e4it *oa2 is *e,- that a' i',estor pa-s at the poi't of e4it. This is *e,ie2 to 2iss.a2e i',estors from e4iti') the f.'2. Ass.me that the c.rre't NAV of the f.'2 is Rs. 01.>> a'2 that the e4it *oa2 is Rs.>.A>. Now if -o. se** :>> .'its the' -o. sta'2 to recei,e :>>Q00.A R Rs. 61>>. The e4it *oa2 co.*2 be 2iffere't for each scheme. It wo.*2 a*so 2epe'2 o' the amo.'t of i',estme't a'2 the time perio2 of i',estme't.

,A$IO&S P'A#S OF M&T&A' F&#%S

That 2epe'2s o' the strate)- of the co'cer'e2 scheme. B.t )e'era**- there are 5 broa2 cate)ories that a'- M.t.a* #.'2 scheme offers/ 3 GH A !i,i2e'2 P*a' e'tai*s a re).*ar pa-me't of 2i,i2e'2 to the i',estors. GH A Rei',estme't P*a' is a p*a' where these 2i,i2e'2s are rei',este2 i' the scheme itse*f. For your personalize project report emails us /ati'fo(mbahotspot.com or mbahotspot()mai*.com 06

Visitwww.mbahotspot.com for more GH A 8rowth P*a' is o'e where 'o 2i,i2e'2s are 2ec*are2 a'2 the i',estor o'*- )ai's thro.)h capita* appreciatio' i' the NAV of the f.'2. The term D)rowthD is ofte' .se2 i' a ,er- )e'eric se'se to 2e'ote e,er- eF.it- m.t.a* f.'2. A*so D)rowthD i' fi4e2 i'come f.'2s$ comes from rei',esti') 2i,i2e'2s. ThatDs wh- i' s.ch fi4e2 i'come f.'2s$ i',estors ha, e a' optio'$ a'2 the- ca' choose either )rowth thro.)h rei',estme't of 2i,i2e'2s$ or re).*ar i'come b- tic+i') o' the i'come optio'.

HO) TO CHOOS( A P'A#

It 2epe'2s o' i',estme't object of the i',estor$ which a)ai' 2epe'2s o' his i'come$ a)e$ fi'a'cia* respo'sibi*ities$ ris+ ta+i') capacit- a'2 ta4 stat.s. #or e4amp*e a retire2 )o,er'me't emp*o-ee is most *i+e*- to opt for mo'th*- i'come p*a' whi*e a hi)h3i'come -o.')ster is most *i+e*- to opt for )rowth p*a'. SYST(MATIC I#,(STM(#T P'A# Besi2es these three p*a's there is o'e a'other p*a' whish is becomi') pop.*ar that is s-stematic i',estme't p*a'. A s-stematic i',estme't p*a' is o'e where a' i',estor co'trib.tes a fi4e2 amo.'t e,er- mo'th a'2 at the pre,ai*i') NAV the .'its are cre2ite2 to his acco.'t. To2a- ma'- f.'2s are offeri') this faci*it-. A s-stematic i',estme't p*a' < IP= offers 1 major be'efits to a' i',estor/ GH It a,oi2s *.mp s.m i',estme't at o'e poi't of time GH I' a sce'ario of fa**i') prices$ it re2.ces -o.r o,era** cost of acF.isitio' b- a process of r.pee3 cost a,era)i'). This mea's that at *ower prices -o. e'2 .p )etti') more .'its for the same i',estme't.

HO? M%T%A& #%N! ?OR@ #or retai* i',estor who 2oes 'ot ha,e the time a'2 e4pertise to a'a*-Ce a'2 i',est i' stoc+s a'2 bo'2s$ m.t.a* f.'2s offer a ,iab*e i',estme't a*ter'ati,e. O'e ca' p.rchase shares i' some m.t.a* f.'2s b- co'tacti') the f.'2 2irect*- or other m.t.a* f.'2 shares are so*2 mai'*- thro.)h bro+ers$ ba'+s$ fi'a'cia* p*a''ers$ or i's.ra'ce a)e'ts. A** m.t.a* f.'2s wi** re2eem <b.- bac+= the shares o' a'- b.si'ess 2a- a'2 m.st se'2 the pa-me't withi' se,e' 2a-s. O'e ca' i',est b- approachi') a re)istere2 bro+er of M.t.a* f.'2s or the respecti,e offices of the M.t.a* f.'2s i' that partic.*ar tow'Ecit-. A' app*icatio' form has to be fi**e2 .p )i,i') a** the partic.*ars a*o') with the cheF.e or !ema'2 !raft for the amo.'t to be i',este2. The m.t.a* f.'2 iss.es shares of stoc+ a'2 bo'2s <j.st *i+e a'- other corporatio'= to i',estors i' e4cha')e for cash. It is i'teresti') to 'ote that f.'2s 2o 'ot iss.e a pre32etermi'e2 amo.'t of stoc+$ as For your personalize project report emails us /ati'fo(mbahotspot.com or mbahotspot()mai*.com 1>

Visitwww.mbahotspot.com for more 2o most corporatio'sB 'ew shares are iss.e2 as each 'ew i',estme't is ma2e. I',estors th.s become part ow'ers of the f.'2 itse*f$ a'2 thereb- the assets of the f.'2. The f.'2$ i' t.r'$ .ses i',estorsD cash to p.rchase sec.rities$ s.ch as stoc+s a'2 bo'2s. The primar- assets of a f.'2 are the sec.rities it i',ests i' <other assets$ s.ch as eF.ipme't$ are a re*ati,e*- sma** part of the tota* assets of a f.'2=. #o**owi') are the ,ario.s 2escriptio's 'ee2e2 for the wor+i') of m.t.a* f.'2/ How m.t.a* f.'2s wor+

B.- shares

Recei,e i'cc3me i' a f.'2

In21st in s1!uriti1s
Ret.r's i'crease f.'2 ,a*.e

STOC<S BO#%S
PRICIN8 AN! VA&%ATION !E CRIPTION. The ,a*.e of the shares of a' ope'3e'2 m.t.a* f.'2 is rea2i*- 2etermi'e2 Each 2a-$ the acco.'ti') staff of a f.'2 simp*- a22s .p the ,a*.e of a** the sec.rities i' the portfo*io$ a22s i' other assets$ 2e2.cts *iabi*ities$ a'2 comes .p with a 'et o,era** ,a*.e. It is the' a simp*e matter to 2i,i2e the 'et assets bthe '.mber of shares o.tsta'2i'). This is ca**e2 the 'et asset ,a*.e$ a'2 is the price at which i',estors b.- a'2 se** shares from the f.'2. The 'et asset ,a*.e is *iste2 i' the fi'a'cia* sectio' of ma'- m ajor 'ewspapers.D

&OA! AN! NO3&OA! #%N! !E CRIPTION A *oa2$ or *oa2e2$ f.'2 is o'e that has a sa*es char)e. A 'o3*oa2 f.'2 has 'o sa*es char)e. As 'ote2 abo,e$ 'ot a** f.'2s ha,e sa*es char)es. Those that 2o simp*- a22 them o' to the 'et asset ,a*.e of the f.'2$ th.s comi') .p with a 'ew$ hi)her offeri') price per share It is importa't to 'ote that the .'2er*-i') ,a*.e of the f.'2Ds shares 2o 'ot cha')e$ a'2 f.rther$ that a' i',estor se**i') shares wi** sti** recei,e o'*- the 'et asset , a*.e A 'o3*oa2 f.'2 is simp*er. The 'et asset ,a*.e is .se2 for both the p.rchase price a'2 the se**i') price. Therefore$ the two prices are a*wa-s i2e'tica*. I' the case of a *oa2 f.'2$ the bro+er .s.a**- ta+es care of the 2etai*s for -o.. I' the case of a 'o3*oa2 f.'2$ i',estors .s.a**- 2ea* 2irect*- with the f.'2 i' F.estio'. For your personalize project report emails us /ati'fo(mbahotspot.com or mbahotspot()mai*.com 10

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B%"IN8 AN! E&&IN8 #%N! HARE !E CRIPTION. ?he' -o. b.- shares$ -o. pa- the c.rre't NAV per share p*.s a'- fee the f.'2 assesses at the time of p.rchase$ s.ch as a p.rchase sa*es *oa2 or other t-pe of p.rchase fee. ?he' -o. se** -o.r shares$ the f.'2 wi** pa- -o. the NAV mi'.s a'- fee the f.'2 assesses at the time of re2emptio'$ s.ch as a 2eferre2 <or bac+3e'2= sa*es *oa2 or re2emptio' fee. A f.'2Ds NAV )oes .p or 2ow' 2ai*- as its ho*2i')s cha')e i' ,a*.e.

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F&#% OB6(CTI,(S A#% P$OSP(CT&S %(SC$IPTIO#

A f.'2Ds objecti,e$ 2escribe2 i' the prospect.s$ )i,es broa2 i'2icatio's of the t-pes of i',estme'ts a f.'2 ma- ma+e. The most importa't aspect of a f.'2 is its i',estme't objecti,e. The f.'2Ds objecti,e te**s i',estors the )oa*s the f.'2 see+s to achie,e$ a'2 a )oo2 2ea* abo.t how it i'te'2s to achie,e them. A ba*a'ce2 f.'2 wi** )e'era**- ho*2 stoc+s a'2 bo'2s. A f.'2 see+i') )rowth f.'2 wi** .ti*iCe stoc+s. A f.'2 see+i') i'come with *itt*e or 'o co'cer' for )rowth wi** )e'era**- ho*2 bo'2s. The objecti,e of a f.'2 is so f.'2ame'ta* that it )e'era**- 2etermi'es the cate)or- i'to which a f.'2 wi** be assi)'e2. &iste2 be*ow are some e4amp*es of major i',estme't objecti,e cate)ories/ 3 H Preser,atio' of Capita* P &iF.i2it-NAchie,e2 b- i',esti') i' ,er- short3term bo'2s H I'comeNAchie,e2 b- i',esti') i' bo'2s H Ba*a'ce2N Achie, e2 b- i',esti') i' bo'2s a'2 stoc+s H 8rowthN Achie,e2 b- i',esti') i' stoc+s The prospect.s/ The ec.rities a'2 E4cha')e Commissio' < EC= reF.ires a** m.t.a* f.'2s to p.b*ish a p*ai' E')*ish prospect.s a'2 iss.e a cop- to a** pote'tia* i',estors either before the- b.- or a*o') with the co'firmatio' of their i'itia* i',estme't. The prospect.s m.st e4p*ai' the pro)rams a'2 po*icies the ma'a)eme't fo**ows to achie,e the f.'2Ds i',estme't )oa*s. The prospect.s i'c*.2es/ GH tateme't of objecti,e

GH I',estor pro)rams GH #.'2 fees a'2 e4pe'ses GH #.'2 performa'ce historGH Res.*ts of i', estme't GH How to p.rchase a'2 re2eem shares GH hareho*2er ser,ices

HO) M&T&A' F&#%S CA# (A$# MO#(Y

A m.t.a* f.'2 ca' ear' mo'e- i' three 2iffere't wa-s. For your personalize project report emails us /ati'fo(mbahotspot.com or mbahotspot()mai*.com 15

Visitwww.mbahotspot.com for more !i,i2e'2 Pa-me'ts N A f.'2 ma- ear' i'come i' the form of 2i,i2e'2s a'2 i'terest o' the sec.rities i' its portfo*io. The f.'2 the' pa-s its shareho*2ers 'ear*- a** of the i'come <mi'.s 2isc*ose2 e4pe'ses= it has ear'e2 i' the form of 2i,i2e'2s.

Capita* 8ai's !istrib.tio's N The- are pai2 from a'- profits the f.'2 rea*iCes from se**i') i',estme'ts. The price of the sec.rities a f.'2 ow's ma- $ i'crease. ?he' a f.'2 se**s a sec.rit- that has i'crease2 i' price$ the f.'2 has a capita* )ai'. At the e'2 of the -ear$ most f.'2s 2istrib.te these capita* )ai's !I TRIB%TION <mi'.s a'- capita* *osses= to i',estors. I'crease2 NAV N If the mar+et ,a*.e of a f.'2Ds portfo*io i'creases after 2e2.ctio' of e4pe'ses a'2 *iabi*ities$ the' the ,a*.e <NAV= of the f.'2 a'2 its shares i'creases. The hi)her NAV ref*ects the hi)her ,a*.e of -o.r i',estme't. ?ith respect to 2i,i2e'2 pa-me'ts a'2 capita* )ai's 2istrib.tio's$ f.'2s .s.a**- wi** )i,e a choice/ the f.'2 ca' se'2 a chec+ or other form of pa-me't$ or the 2i,i2e'2s or 2istrib.tio's rei',este2 i' the f.'2 to b.- more shares <ofte' witho.t pa-i') a' a22itio'a* sa*es *oa2. A f.'2 ma- se** i',estme'ts for a '.mber of reaso's/ H To capita*iCe o' a' i',estme'tDs i'crease2 ,a*.e H To achie,e performa'ce tar)ets H To free .p mo'e- to ma+e 'ew i',estme'ts H To pre,e't a22itio'a* *osses i' a sec.rit- that is *osi') ,a*.e H To ha,e e'o.)h cash to re2eem shares its i',estors wa't to se** bac+ to the f.'2 IN#ORMATION NEE! TO EVA&%ATE M%T%A& #%N! There are three +e- pieces of i'formatio' that he*p to e,a*.ate a m.t.a* f.'2. S PA T PER#ORMANCE/ It meas.res the f.'2Ds historica* ret.r's$ whether the ret.r's are co'siste't$ a'2 how the- stac+ .p a)ai'st the ret.r's of comparab*e f.'2s. ?hi*e thereDs 'o ).ara'tee that a f.'2Ds f.t.re performa'ce wi** eF.a* its c.rre't or past recor2. S RI @/ It meas.res how *i+e*- -o. are to ear' mo'e- or *ose it. Ris+ is'Dt ba2 if -o.Dre i',esti') for the *o') term a'2 -o. ca' to*erate some setbac+s witho.t se**i') i' a pa'ic if the f.'2 2rops i' ,a*.e. B.t if -o.Dre i',esti') to meet short3term )oa*s or preser,e capita*$ -o. ma- wa't a f.'2 that poses *ess ris+ to pri'cipa*. For your personalize project report emails us /ati'fo(mbahotspot.com or mbahotspot()mai*.com 19

Visitwww.mbahotspot.com for more S CO T/ It meas.res how m.ch -o. pa- i' sa*es char)es or commissio's$ fees$ a'2 a''.a* asset3base2 e4pe'ses. i'ce these costs 2irect*- affect -o.r ret.r'$ -o. ma- wa't to compare the e4pe'se ratios a'2 sa*es char)es of ,ario.s f.'2s as part of -o.r e,a*.atio' process. Hi)her fees ma- corre*ate with hi)her ris+ if the f.'2 ma'a)er ta+es a22e2 ris+ to he*p re2.ce the impact of fees o' ret.r'.

#ACTOR TO CON I!ER Thi'+i') abo.t *o')3term i',estme't strate)ies a'2 to*era'ce for ris+ ca' he*p to 2eci2e what t-pe of f.'2 is best s.ite2. B.t o'e sho.*2 a*so co'si2er the effect that fees a'2 ta4es wi** ha,e o' the ret.r's o,er time. !E8REE O# RI @ M.t.a* f.'2 i',estme'ts are 'ot tota**- ris+ free. I' fact$ i',esti') i' m.t.a* f.'2s co'tai's the same ris+ as i',esti') i' the mar+ets$ the o'*- 2iffere'ce bei') that 2.e to professio'a* ma'a)eme't of f.'2s the co'tro**ab*e ris+s are s.bsta'tia**- re2.ce2. A ,er- importa't ris+ i',o*,e2 i' m.t.a* f.'2 i',estme'ts is the mar+et ris+. ?he' the mar+et is i' 2o*2r.ms$ most of the eF.it- f.'2s wi** a*so e4perie'ce a 2ow't.r'. Howe,er$ the compa'- specific ris+s are *ar)e*- e*imi'ate2 2.e to professio'a* f.'2 ma'a)eme't A** f.'2s carr- some *e,e* of ris+. O'e ca' *ose some or a** of the mo'e- i',ests pri'cipa* 3beca.se the sec.rities he*2 b- a f.'2 )o .p a'2 2ow' i' ,a*.e. !i,i2e'2 or i'terest pa-me'ts ma- a*so f*.ct.ate as mar+et co'2itio's cha')e. Before i',esti')$ be s.re to rea2 a f.'2Ds prospect.s a'2 shareho*2er reports to *ear' abo.t its i',estme't strate)- a'2 the pote'tia* ris+s. #.'2s with hi)her rates of ret.r' ma- ta+e ris+s that are be-o'2 -o.r comfort *e,e* a'2 are i'co'siste't with -o.r fi'a'cia* )oa*s. #i'a'cia* theor-3states that a' i',estor ca' re2.ce his tota* ris+ b- ho*2i') a portfo*io of assets i'stea2 of o'*- o'e asset. This is beca.se b- ho*2i') a** -o.r mo'e- i' j.st o'e asset$ the e'tire fort.'es of -o.r portfo*io 2epe'2 o' this o'e asset. B- creati') a portfo*io of a ,ariet- of assets$ this ris+ is s.bsta'tia**- re2.ce2. HO? A#E ARE M%T%A& #%N! / As fi'a'cia* i'terme2iaries$ the- 2o 'ot come witho.t ris+. A*so whe' 2efi'e2 i' terms of *osi') mo'e-$ the ris+ i' m.t.a* f.'2s is 'ot 2ramatica**- 2iffere't tha' that prese't i' other fi'a'cia* i'str.me'ts. ti**$ the- are re*ati,e*- safer a'2 offer a more co',e'ie't wa- o' i',esti'). ?ith m.t.a* f.'2s -o. ca' co'tro* ris+ b- choosi') a f.'2 that )i,e' -o.r ris+ profi*e.$ -o. be*ie,e is the best. O' the other ha'2$ pic+i') stoc+s i'2i,i2.a**- that wi** both meet -o.r objecti,es a'2 match -o.r profi*e ca' be to.)h. A m.t.a* f.'2 portfo*io is a*so easier to mo'itor tha' i'2i,i2.a* shares. The- a*so come witho.t s-stemic ris+s <*i+e ba2 2e*i,eries=. The- offer F.ic+ *iF.i2it- Most pri,ate m.t.a* f.'2s ca' be For your personalize project report emails us /ati'fo(mbahotspot.com or mbahotspot()mai*.com 1A

Visitwww.mbahotspot.com for more re2eeme2 i' three to fo.r wor+i') 2a-s$ .'*i+e a fi4e2 2eposit that is more *i+e*- to be recei,e2 a mo'th after its mat.rit-$ or a' eF.it- share after the e'2 of its sett*eme't perio2 <or 2epe'2i') .p o' -o.r bro+er=. This too c.ts the o,era** ris+ associate2 with i',esti')$ ofte' 'ot so ,isib*e a'2 he'ce 'ot acco.'te2 b- ma'- i',estors. TAQ CON ET%ENCE ?he' a' i'2i,i2.a* stoc+ or bo'2 is bo.)ht a'2 ho*2$ i'come ta4 has to be pai2 each -ear o' the 2i,i2e'2s or i'terest recei,e2. M.t.a* f.'2s are 2iffere't. ?he' -o. b.- a'2 ho*2 m.t.a* f.'2 shares$ -o. wi** owe i'come ta4 o' a'or2i'ar- 2i,i2e'2s i' the -ear -o. recei,e or rei',est them. A'2$ i' a22itio' to owi') ta4es o' a'perso'a* capita* )ai's whe' -o. se** -o.r shares$ -o. ma- a*so ha,e to pa- ta4es each -ear o' the f.'2Ds capita* )ai's. ThatDs beca.se the *aw reF.ires m.t.a* f.'2s to 2istrib.te capita* )ai's to shareho*2ers if the- se** sec.rities for a profit that ca'Dt be offset b- a *oss Ta4 E4empt #.'2s If -o. i',est i' a ta43e4empt f.'2 3 3 s.ch as a m.'icipa* bo'2 f.'2 3 3 some or a** of -o.r 2i,i2e'2s wi** be e4empt from fe2era* <a'2 sometimes state a'2 *oca*= i'come ta4. B.t if -o. recei,e a capita* )ai's 2istrib.tio'$ -o. wi** *i+e*- owe ta4es N e,e' if the f.'2 has ha2 a 'e)ati,e ret.r' from the poi't 2.ri') the -ear whe' -o. p.rchase2 -o.r shares. EC r.*es reF.ire m.t.a* f.'2s to 2isc*ose i' their prospect.ses after3ta4 ret.r's. I' ca*c.*ati') after3ta4 ret.r's$ m.t.a* f.'2s m.st .se sta'2ar2iCe2 form.*as simi*ar to the o'es .se2 to ca*c.*ate before3ta4 a,era)e a''.a* tota* ret.r's. ?he' compari') f.'2s$ be s.re to ta+e ta4es i'to acco.'t. RET%RN As per EBI Re).*atio's$ m.t.a* f.'2s are 'ot a**owe2 to ass.re ret.r's. Howe,er$ f.'2s f*oate2 bAMCs of p.b*ic sector ba'+s a'2 fi'a'cia* i'stit.tio's were permitte2 to ass.re ret.r's to the .'it ho*2ers pro, i2e2 the pare't spo'sor was wi**i') to )i,e a' e4p*icit ).ara'tee to ho'or s.ch a commitme't. B.t i' )e'era*$ m.t.a* f.'2s ca''ot ass.re fi4e2 ret.r's to their i',estors. I',estors 'ee2 to be c*ear that m.t.a* f.'2s are esse'tia**- me2i.m to *o')3term i',estme'ts He'ce$ short3term ab'orma* profits wi** 'ot be s.stai'ab*e i' the *o') r.'. B.t i' the me2i.m to *o') r.' the m.t.a* f.'2s te'2 to o.tperform most other a,e'.es of i',estme'ts at the same time a,oi2i') the ris+ of 2irect i',estme't accompa'ie2 with professio'a* f.'2 ma'a)eme't.

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A%,A#TA+(S A#% %ISA%,A#TA+(S

E,er- i',estme't has a2,a'ta)es a'2 2isa2,a'ta)es. B.t itDs importa't to remember that feat.res that matter to o'e i',estor ma- 'ot be importa't to -o.. ?hether a'- partic.*ar feat.re is a' a2,a'ta)e for -o. wi** 2epe'2 o' -o.r .'iF.e circ.msta'ces. #or some i',estors$ m.t.a* f.'2s pro,i2e a' attracti,e i',estme't choice beca.se the- )e'era**- offer the fo**owi') a2,a'ta)es/ Professio'a* Ma'a)eme't N Professio'a* mo'e- ma'a)ers research$ se*ect$ a'2 mo'itor the performa'ce of the sec.rities the f.'2 p.rchases. !i,ersificatio' 3 3 !i, ersificatio' is a' i',esti') strate)- that ca' be 'eat*- s.mme2 .p as I!o'Dt p.t a** -o.r e))s i' o'e bas+et.I prea2i') -o.r i',estme'ts across a wi2e ra')e of compa'ies a'2 i'2.strsectors ca' he*p *ower -o.r ris+ if a compa'- or sector fai*s. ome i',estors fi'2 it easier to achie,e 2i,ersificatio' thro.)h ow'ership of m.t.a* f.'2s rather tha' thro.)h ow'ership of i'2i,i2.a* stoc+s or bo'2s. Affor2abi*it- 3 3 ome m.t.a* f.'2s accommo2ate i',estors who 2o'Dt ha,e a *ot of mo'e- to i',est bsetti') re*ati,e*- *ow amo.'ts for i'itia* p.rchases$ s.bseF.e't mo'th*- p.rchases or both. &iF.i2it- P f*e4ibi*it-N M.t.a* f.'2 i',estors ca' rea2i*- re2eem their shares at the c.rre't NAV p*.s a'- fees a'2 char)es assesse2 o' re2emptio' at a'- time Thro.)h feat.res s.ch as re).*ar i',estme't p*a's$ re).*ar with2rawa* p*a's a'2 2i,i2e'2 rei',estme't p*a's$ -o. ca' s-stematica**- i',est or with2raw f.'2s accor2i') to -o.r 'ee2s a'2 co',e'ie'ce. Eas- e'tr- a'2 e4it 33 #i**i') a m.t.a* f.'2 app*icatio' or a re2emptio' form is a** that it ta+es whi*e e'teri') or e4iti') a m.t.a* f.'2. B.t with eF.it- shares$ -o. 'ee2 to ha,e a' acco.'t with a stoc+bro+er <for b.-i') P se**i')= a'2 a'other with a 2epositor- participa't. ome i',estors ma- fi'2 this c.mbersome. Ta4 be'efitsN ectio' :: for EF.it- &i'+e2 a,i') chemes$ abi*it- to rei',est -o.r procee2s from capita* )ai's i'to m.t.a* f.'2s .'2er sectio' A9EA P A9EB a'2 ta43free stat.s for eF.it- orie'te2 f.'2s for three -ears starti') from Apri* 0$ 0666 are pop.*ar be'efits that i',estors i' m.t.a* f.'2s ca' a,ai* of. Tra'spare'c-NO'e )et re).*ar i'formatio' o' the ,a*.e of the i', estme't i' a22itio' to 2isc*os.re o' the specific i',estme'ts ma2e b- o'es scheme$ the proportio' i',este2 i' each c*ass of assets a'2 the f.'2 ma'a)erDs i',estme't strate)- a'2 o.t*oo+. ?e** Re).*ate2NA** M.t.a* #.'2s are re)istere2 with EBI a'2 the- f.'ctio' withi' the pro,isio's of strict re).*atio's 2esi)'e2 to protect the i'terests of i',estors. The operatio's of M.t.a* #.'2s are re).*ar*- mo'itore2 b- EBI.

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Visitwww.mbahotspot.com for more B.t m.t.a* f.'2s a*so ha,e feat.res that some i',estors mi)ht ,iew as !isa2,a'ta)es$ s.ch as/ GH Costs !espite Ne)ati,e Ret.r's 33 I',estors m.st pa- sa*es char)es$ a''.a* fees$ a'2 other e4pe'ses re)ar2*ess of how the f.'2 performs. A'2$ 2epe'2i') o' the timi') of their i',estme't$ i',estors ma- a*so ha,e to pa- ta4es o' a'- capita* )ai's 2istrib.tio' the- recei,e e,e' if the f.'2 we't o' to perform poor*- after the- bo.)ht shares. GH &ac+ of Co'tro* 3 3 I',estors t-pica**- ca''ot ascertai' the e4act ma+e3.p of a f.'2Ds portfo*io at a'- )i,e' time$ 'or ca' the- 2irect*- i'f*.e'ce which sec.rities the f.'2 ma'a)er b.-s a'2 se**s or the timi') of those tra2es. GH Price %'certai't- 3 3 ?ith a' i'2i,i2.a* stoc+$ -o. ca' obtai' rea*3time <or c*ose to rea* Utime= prici') i'formatio' with re*ati,e ease b- chec+i') fi'a'cia* websites or b- ca**i') -o.r bro+er. "o. ca' a*so mo'itor how a stoc+Ds price cha')es from ho.r to ho.r N or e,e' seco'2 to seco'2. B- co'trast$ with a m.t.a* f.'2$ the price at which -o. p.rchase or re2eem shares wi** t-pica**- 2epe'2 o' the f.'2Ds NAV$ which the f.'2 mi)ht 'ot ca*c.*ate .'ti* ma'- ho.rs after -o.D,e p*ace2 -o.r or2er. I' )e'era*$ m.t.a* f.'2s m.st ca*c.*ate their NAV at *east o'ce e,er- b.si'ess 2a-.

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OB6(CTI,(S OF ST&%Y
#o**owi') are the objecti,es of the st.2-/ 0 To +'ow abo.t i',estorsD i',estme't prefere'ces. 1 To chec+ aware'ess *e,e* of peop*e abo.t m.t.a* f.'2s.

5. To wor+ o.t pote'tia* mar+et for m.t.a* f.'2s. 9. To access the satisfactio' *e,e* of m.t.a* f.'2s i',estors a'2 to fi'2 o.t the reaso's for 2issatisfactio'. A. To chec+ factors co'si2ere2 b- i',estors whi*e i',esti') i' m.t.a* f.'2s. 7. To wor+ o.t the pote'tia* mar+et for Mahi'2ra P Mahi'2ra #i'smart.

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$(S(A$CH M(THO%O'O+Y
Research Metho2o*o)- 3 is a wa- to s-stematica**- so*,e the research prob*em. The Research Metho2o*o)- i'c*.2es the ,ario.s metho2s a'2 tech'iF.es for co'2.cti') a research Mar+eti') Research is the s-stemic 2esi)'$ co**ectio'$ a'a*-sis a'2 reporti') of 2ata a'2 fi'2i') re*e,a't so*.tio' to a specific mar+eti') sit.atio' or prob*em.I !. *esi')er a'2 M. tepho'so' i' the e'c-c*ope2ia of ocia* cie'ces 2efi'e research as Ithe ma'ip.*atio' of thi')s$ co'cepts or s-mbo*s for the p.rpose of )e'era*iCi') to e4te'2$ correct or ,erif+'ow*e2)e$ whether that +'ow*e2)e ai2s i' co'str.ctio' of theor- or i' the practice of a' art.I Research is$ th.s$ a' ori)i'a* co'trib.tio' to the e4isti') stoc+ of +'ow*e2)e ma+i') for its a2,a'ceme't. The p.rpose of Research is to 2isco,er a'swers to he F.estio's thro.)h the app*icatio' of scie'tific proce2.res. M- project ha2 a specific framewor+ for co**ecti') 2ata i' a' effecti,e ma''er. .ch framewor+ is ca**e2 VDResearch !esi)'I. I fo**ow the research process co'siste2 of fo**owi') steps/ A. !efi'i') the prob*ems a'2 research objecti,es/ It is sai2$ I a prob*em we** 2efi'e2 is ha*f so*,e2.I The first step 2o'e was to 2efi'e the project .'2er st.2- a'2 2eci2e2 the research objecti,e. The project .'2erta+e' b- me was3 Co's.mer aware'ess abo.t M.t.a* #.'2s The objecti,e of m- research was to +'ow the c.stomer aware'ess abo.t the wor+i') of M.t.a* f.'2s pro,i2e2 b- Mahi'2ra P Mahi'2ra a'2 to wor+ o.t the pote'tia* mar+et for Mahi'2ra P Mahi'2ra. B !e,e*opi') the research p*a'/ The seco'2 sta)e of m- st.2- co'siste2 of 2e,e*opi') the most efficie't p*a' for )atheri') the re*e,a't 2ata. The metho2 a2opte2 b- me for carr-i') o.t st.2- was as fo**owe2/ GH amp*i') P*a'/ amp*i') ca' be 2efi'e2 as the sectio' of some part of a' a))re)ate or tota*ito' the basis of which the j.2)me't or a' i'fere'ce abo.t a))re)ate or tota*it- is ma2e The samp*i') p*a' he*ps i' 2ecisio' ma+i') i' the fo**owi') areas/ 3 GH amp*i') .'its3 The pop.*atio' that was tar)ete2 co'sists of b.si'essme'$ ser,ice c*ass$ st.2e'ts$ ho.sewi,es etc. GH GH amp*e siCe3 The samp*e siCe for m- st.2- was 30>>. amp*i') proce2.re3 Ra'2om samp*i') metho2 was .se2.

C. !ata Co**ectio'/ I'formatio' was co**ecte2 from both Primar- a'2 eco'2ar- 2ata GH Primar- so.rces3 Primar- 2ata are those$ which are co**ecte2 afresh a'2 for the first time$ a'2 th.s happe' to be ori)i'a* i' character. 0 ha2 co**ecte2 Primar- 2ata b- co'2.cti') s.r,e-s thro.)h T.estio''aire$ which i'c*.2e both ope'3e'2e2 a'2 c*ose3e'2e2 F.estio's. GH eco'2ar- so.rces3 eco'2ar- 2ata are those which ha,e a*rea2- bee' co**ecte2 b- someo'e e*se a'2 which a*rea2- ha2 bee' passe2 thro.)h the statistica* processes. I ha2 co**ecte2 seco'2ar- 2ata For your personalize project report emails us /ati'fo(mbahotspot.com or mbahotspot()mai*.com 5>

Visitwww.mbahotspot.com for more thro.)h Ma)aCi'es$ ?ebsites$ Newspapers$ Boo+s$ Jo.r'a*s$ Mahi'2ra P Mahi'2ra mo'th*- ma)aCi'e etc. !. A'a*-sis of !ata/ After co**ecti') the 2ata the a'a*-sis of 2ata ha2 bee' thro.)h ,ario.s statistica* too*s a'2 tech'iF.es. The a'a*-sis of 2ata reF.ire2 a '.mber of c*ose*- re*ate2 operatio's s.ch as estab*ishme't of cate)ories$ the app*icatio' of these cate)ories to raw 2ata thro.)h co2i')$ tab.*atio' a'2 the' 2rawi') the statistica* i'fere'ces. The .'wie*2- 2ata was co'2e'se2 i'to few ma'a)eab*e )ro.ps a'2 tab*es for f.rther a'a*-sis. Th.s it he*pe2 to c*assif- the raw 2ata i'to some p.rposef.* a'2 .sab*e cate)ories. E. I'terpretatio's/ After a'a*-sis I'terpretatio's were 2o'e i.e. to e4p*ai' the fi'2i')s o' the basis of a'a*-sis Tab.*atio' of 2ata was 2o'e wherei' c*assifie2 2ata were to p.t i' the form of tab*es. After tab.*atio' the a'a*-sis wor+ of m- project was base2 o' the comp.tatio' of ,ario.s statistica* form.*ae3 Perce'ta)es$ Va*.es$ Pie charts a'2 8raphs a'2 Bar !ia)rams.

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'IMITATIO#S
Besi2es fo**owi') scie'tific metho2o*o)ies the st.2- has come across some *imitatio's. These are/ 0. The samp*e siCe is sma** as compare2 to the pop.*atio'$ so it ma- 'ot he the tr.e represe'tati,e. 1. !.e to *imite2 time co.'tr-wi2e s.r,e- was 'ot possib*e. He'ce o'*- Ja*a'2har cit- has bee' ta+e' for the st.2-. 5. ome peop*e were re*.cta't to fi** the F.estio''aire. The- were 'ot wi**i') to 2isc*ose their i',estme't p*a's. 9. The possibi*it- of respo'2e'ts bei') biase2 ca''ot be r.*e2 o.t. T0. !o -o. +'ow abo.t ,ario.s fi'a'cia* i'stit.tio'sGH The objecti,e of this F.estio' is to +'ow how ma'- peop*e are fami*ier with them

Respo'ses K A)e of Respo'2e'ts "es 7>.1K No 56.:K Tab*e No. 9.0 Perce'ta)e of #ami*ier peop*e

Chart No.9.0 Perce'ta)e of Respo'2e'ts I'terpretatio'/ #rom the abo,e 2ata we ca' co'c*.2e that 7>.1K peop*e are aware of 2iffere't fi'a'cia* i'stit.tio's whi*e 56.:K are .'aware abo.t it. T.1 Mo'th*- i'come i',este2. The objecti,e of this F.estio' is to +'ow that how m.ch of the mo'th*- i'come peop*e i',est.

Respo'ses K A)e of Respo'2e'ts For your personalize project report emails us /ati'fo(mbahotspot.com or mbahotspot()mai*.com 51

Visitwww.mbahotspot.com for more &ess tha' Rs.A$ >>> 91.7;K A$>>> 3 0>$>>> 5>K More tha' 0>$>>> 1;.55K Tab*e No. 9.1 Mo'th*- i'come i',este2

Chart No. 9.1 Mo'th*- i'come i',este2 I'terpretatio'/ #rom the abo,e 2ata we ca' co'c*.2e that 91.7;K of peop*e i',est their mo'th*i'come *ess tha' Rs.A$ >>>$ 5>K of peop*e i',est Rs.A$>>>30>$>>>K whereas 1;.55K of peop*e i',est their mo'th*- i'come more tha' 0>$ >>>.

T.5 Vario.s optio's for i',estme't a'2 sa,i')s. The objecti,e of this F.estio' is to fi'2 o.t where peop*e )e'era**- *i+e to i',est or sa,e.

Vario.s I'str.me'ts K A)e of Respo'ses a,i')s 91.>;K R!s 7.;7K #!s 1>.A6K RBI >.A6K hares 9.;K M.t.a* #.'2s 5.A5K Post Office 10.;7K Tab*e No. 9.5 Optio's for i',esti') or sa,i')

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Visitwww.mbahotspot.com for more Chart No. 9.5 Optio's for i',esti') or sa,i's I'terpretatio'/ #rom the 2ata we ca' co'c*.2e that 91.>AK peop*e *i+e to i',est i' sa,i')s acco.'t$ 7.;7K i' R!s$ 1>.A6K i' #!s. >.A6K i' RBI Bo'2s$ 9.;K i' shares. 5.A5K i' M.t.a* #.'2s a'2 10.;7K i' Post Office !eposits. T.9 Aware'ess abo.t M.t.a* #.'2 as a so.rce of i',estme't. The objecti,e of this F.estio' is to +'ow whether peop*e are aware abo.t that M.t.a* #.'2 is a*so a' a*ter'ate so.rce of i',esti') their mo'e-.

Respo'se K A)e of Respo'2e'ts "es 5;K No 75K Tab*e No. 9.9 Aware'ess abo.t M.t.a* #.'2s

CHART NO. 9.9 Aware'ess abo.t M.t.a* #.'2s I'terpretatio'/ #rom the abo,e 2ata we ca' co'c*.2e that o'*- 5; K peop*e are aware abo.t this fact whi*e remai'i') 75K peop*e are .'aware of this.

TA. Perce'ta)e of i',estors i' M.t.a* #.'2s.

Respo'se K A)e of Respo'2e'ts "es 51.09K No 7;.:7K Tab*e No.9.A Perce'ta)e of i',estors i' M.t.a* #.'2s

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Chart No. 9.APerce'ta)e of i',estors i' M.t.a* #.'2s I'terpretatio'/ #rom the abo,e 2ata we ca' co'c*.2e that o'*- 51.09K peop*e ha,e i',este2 their mo'e- i' M.t.a* #.'2s.

T.7 Preferab*e t-pe of m.t.a* f.'2 for i',estme't. The objecti,e of this F.estio' is to fi'2 o.t the t-pe of M.t.a* #.'2 i' which the peop*e )e'era**i',est.

Respo'ses K A)e of Respo'ses Ope' e'2e2 :;K C*ose e'2e2 05K Tab*e No. 9.7Perce'ta)e of i',estors i' 2iffere't t-pes

Chart No. 9.7 Perce'ta)e of i',estors i' 2iffere't t-pes I'terpretatio'/ #rom the abo,e 2ata we ca' co'c*.2e that :;K of peop*e i',est i' ope'3e'2e2 m.t.a* f.'2s whereas o'*- 05 K of peop*e i',est i' c*ose3e'2e2 m.t.a* f.'2s.

T.; a= Vario.s factors pers.a2e to i',est i' M.t.a* #.'2s. The objecti,e of this F.estio' is to fi'2 o.t the ,ario.s factors that pers.a2e the peop*e to i',est i' M.t.a* #.'2s.

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Visitwww.mbahotspot.com for more #actors K A)e of Respo'2e'ts &iF.i2it- a'2 #*e4ibi*it- 51K Ta4 be'efits 9>K &ess i',estme't ris+s :K afet- 01K #i4e2 P Re).*ar i'come :K Tab*e No. 9.;a= Vario.s factors pers.a2i') to i',est

Chart No. 9.;a= Vario.s factors pers.a2i') to i',est I'terpretatio'/ #rom the abo,e 2ata we ca' co'c*.2e that 51K of peop*e are i'f*.e'ce2 b- *iF.i2it- a'2 f*e4ibi*it- factor$ 9>K b- ta4 be'efits$ :K b- *ess i',estme't ris+ a'2 fi4e2 a'2 re).*ar i'come both a'2 01K b- safet- factor. T.;b Reaso's of 2issatisfactio'. The objecti,e of this F.estio' is to +'ow wh- peop*e are 'ot satisfie2 with their M.t.a* #.'2 i',estme't.

#actors K A)e of Respo'2e'ts Irre).*ar i'come 05K Other a*ter'ati,es 06K Poor ser,ice 7K Ris+s 96K A'- other reaso' 05K Tab*e No. 9.;b= Reaso's of 2issatisfactio'

Chart No. 9.;b= Reaso's of 2issatisfactio' For your personalize project report emails us /ati'fo(mbahotspot.com or mbahotspot()mai*.com 57

Visitwww.mbahotspot.com for more I'terpretatio'/ #rom the abo,e 2ata we ca' co'c*.2e that 96K of peop*e are 'ot satisfie2 with their i',estme't i' M.t.a* #.'2s beca.se of ris+ i',o*,e2. 06K beca.se of other a*ter'ati,es a,ai*ab*e$ 7K beca.se of poor ser,ice a'2 05K beca.se of irre).*ar i'come a'2 other reaso's. T.: Aware'ess re)ar2i') a2,isor- ser,ices of Mahi'2ra P Mahi'2ra. The objecti,e of this F.estio' is to +'ow whether peop*e are aware that Mahi'2ra P Mahi'2ra acts as a' a2,isor- a)e't 'ot o'*- for o'e partic.*ar m.t.a* f.'2s b.t a*so for other M.t.a* f.'2s of ,ario.s ba'+s a'2 i'stit.tio's. Respo'ses K A)e of Respo'2e'ts "es 17.77K No ;5.59K Tab*e No. 9.: Aware'ess re)ar2i') a2,isor- ser,ices of Mahi'2ra P Mahi'2ra. Chart No. 9.: Aware'ess re)ar2i') a2,isor- ser,ices of ba'+ I'terpretatio'/ #rom the abo,e 2ata we ca' co'c*.2e that o'*- 17.77K peop*e are aware of this fact of Mahi'2ra P Mahi'2ra whi*e ;5.59K are .'aware abo.t this.

T6 I'terest of peop*e abo.t their i',estme'ts ta+e' care2 b- Mahi'2ra P Mahi'2ra. The objecti,e of this F.estio' is to +'ow whether peop*e are i'tereste2 that Mahi'2ra P Mahi'2ra sho.*2 ta+e of their i',estme'ts.

Respo'ses K A)e of Respo'2e'ts "es 1:.6K No ;0.0K Tab*e No. 9.6 I',estme'ts ta+e' care2 b, Mahi'2ra P Mahi'2ra "es No

Chart No. 9.6 I',estme'ts ta+e' care2 b- ba'+ For your personalize project report emails us /ati'fo(mbahotspot.com or mbahotspot()mai*.com 5;

Visitwww.mbahotspot.com for more I'terpretatio'/ #rom the abo,e 2ata we ca' co'c*.2e that o'*- 1:.6K peop*e are i'tereste2 that Mahi'2ra P Mahi'2ra sho.*2 ta+e care of their i',estme'ts whi*e ;0.0K peop*e 'ot show a'- i'terest. T.0> #ear of ris+ i',o*,e2 i' M.t.a* #.'2s The objecti,e of this F.estio' is to +'ow how ris+- the- fi'2 M.t.a* #.'2s are.

Respo'ses K A)e of Respo'2e'ts Ver- ris+- 7A.55 Ris+- 01 Ne.tra* 5.5 &ow ris+ 1.7 No respo'se 07.7 Tab*e No. 9.0> #ear of ris+ Chart No. 9.0> #ear of ris+

I'terpretatio'/ #rom the abo,e 2ata we ca' co'c*.2e that 7A.55K peop*e fi'2 M.t.a* f.'2s ,er- ris+-$ 01K fi'2 it ris+-$ 5.55K fi'2 it 'e.tra*$ o'*-D1.7K fi'2 *ow ris+ whi*e 07.7K )a,e 'o respo'se.

T 00. Aware'ess re)ar2i') ,ario.s ta4 schemes. The objecti,e of this F.estio' is to +'ow the aware'ess *e,e* of peop*e re)ar2i') the ta4 e4emptio's whi*e i',esti').

Respo'ses K A)e of Respo'2e'ts "es 06.5K No :>.7;K For your personalize project report emails us /ati'fo(mbahotspot.com or mbahotspot()mai*.com 5:

Visitwww.mbahotspot.com for more Tab*e No. 9.00 Aware'ess re)ar2i') ta4 schemes

"E

NO

Chart No. 9.00 Aware'ess re)ar2i') ta4 schemes I'terpretatio'/ #rom the abo,e 2ata we ca' co'c*.2e that o'*- 06.5K peop*e are aware of the rebates i' M.t.a* f.'2s whi*e :>.7;K peop*e 2o 'ot ha,e a'- +'ow*e2)e. T.01 I'come )e'erate2 b- i', esti') i' M.t.a* f.'2s. The objecti,e of this F.estio' is to +'ow the aware'ess *e,e* of peop*e re)ar2i') i'come )e'erate2 bi',esti') i' ,ario.s m.t.a* f.'2s.

Respo'ses K A)e of Respo'2e'ts "es 17K No ;9K

Tab*e No. 9.01 I'come )e'eratio' b- M.t.a* f.'2s Chart No. 9.01I'come )e'eratio' b, M.t.a* f.'2s I'terpretatio'/ #rom the abo,e 2ata we ca' co'c*.2e that 17K peop*e +'ow that the- ca' ear' re).*ar i'come whi*e i',esti') i' M.t.a* f.'2s.

T.=> Satis7a!tion l121l o7 1o l1. The objecti,e of this F.estio' is to fi'2 the satisfactio' *e,e* of the peop*e for the ser,ices pro,i2e2 bMahi'2ra P Mahi'2ra

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Visitwww.mbahotspot.com for more Respo'ses K A)e of Respo'2e'ts E4ce**e't 19 Ver- )oo2 A> 8oo2 10 #air A . Tab*e No. 9.05 Chart No. 9.05 atisfactio' *e,e* re)ar2i') ser,ices of Mahi'2ra P Mahi'2ra atisfactio' *e,e* re)ar2i') ser,ices of Mahi'2ra P Mahi'2ra

I'terpretatio'/ from the abo,e 2ata we ca' co'c*.2e that ha*f of the peop*e i.e. A>K a'a*-Ce2 fi'2 the ser,ices of the Mahi'2ra P Mahi'2ra ,er- )oo2$ 19K fi'2 it e4ce**e't$ 10K fi'2 it )oo2 whereas AK peop*e are a*so their who are 'ot satisfie2 with the ser,ices of Mahi'2ra P Mahi'2ra

CO#C'&SIO#
#rom this st.2- it is obser,e2 that few peop*e *i+e to i',est i' the M.t.a* #.'2s beca.se of i)'ora'ce$ *ac+ of +'ow*e2)e or 2.e to *oss i' faith. Abo.t ha*f of the peop*e i',est more tha' 0>K of their i'come i' ,ario.s i',estme'ts a,e'.es. a,i') acco.'ts a'2 fi4e2 2eposits are the most preferre2 i',estme't a,e'.es fo**owe2 b- the Post Office a,i')s O'*- 5;.55K of the peop*e are aware of the fact that M.t.a* #.'2 is a*so a so.rce of i',esti') their mo'e- a'2 o'*- 51.09 K of peop*e ha,e act.a**- i',este2 i' M.t.a* #.'2s. Most of the peop*e *i+e to i',est i' the ope'3e'2e2 t-pe of M.t.a* #.'2s. The ta4 be'efits a'2 *iF.i2it- a'2 f*e4ibi*it- factors i',o*,e2 pers.a2e most of the peop*e to i',est i' M.t.a* f.'2s a*o') with the factors *i+e fi4e2 a'2 re).*ar i'come. Abo.t 7AK of the peop*e co'si2ere2 that to i',est i' M.t.a* #.'2s is a ,er- ris+- tas+. O'*- 1:K of the peop*e +'ow that the- ca' a,ai* rebate .'2er sec. :: a'2 o'*- 17K of the peop*e ha,e the +'ow*e2)e that the- ca' ear' re).*ar i'come b- i',esti') i' M.t.a* f.'2s. Abo.t 1; K peop*e +'ow abo.t this that Mahi'2ra P Mahi'2ra acts as a' a2,isor- a)e't 'ot o'*- i' i')*e M.t.a* #.'2 b.t a*so i' other m.t.a* f.'2s offere2 b- ta'2ar2 Chartere2$ Pr.2e'tia* 0C 0C I$ @ota+ Mahi'2ra$ Temp*eto' Bir*a etc.

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Visitwww.mbahotspot.com for more #rom this s.r,e- it is c*ear that besi2es pro,i2i') , ario.s faci*ities b- Mahi'2ra P Mahi'2ra a'2 other pri,ate Bro+ers most of the peop*e sti** ha,e their faith i' )o,er'me't ba'+s. Howe,er most of the peop*e are satisfie2 with the wor+i') of the M.t.a* #.'2s.

S&++(STIO#S
After the a'a*-sis of the co's.mer aware'ess *e,e* of the Mahi'2ra P Mahi'2ra abo.t m.t.a* f.'2s a*o') with other pro2.cts a'2 ser,ices fo**owi') s.))estio's ca' be )i,e'/ 3 GH The Mahi'2ra P Mahi'2ra sho.*2 tr- to impro,e its mar+et i'te**i)e'ce s-stem. This wo.*2 +eep it +'ow its c.stomer better a'2 it wi** )et more i'formatio' abo.t the competitors a'2 the forces affecti') the mar+et. GH The Mahi'2ra P Mahi'2ra sho.*2 i'crease its a2,ertisi') b.2)et to )et the be'efits of )oo2 a2,ertisi') so that co's.mers sho.*2 aware of their e4isti') pro2.cts a'2 ser,ices as we** as 'ew o'e. GH The Mahi'2ra P Mahi'2ra sho.*2 i'crease its '.mber of bra'ches 'ot o'*- i' .rba' areas b.t a*so i' r.ra* a'2 semi3.rba' areas for the ease of the p.b*ic. GH The c.stomer sho.*2 be f.**- satisfie2 a'2 2e*i)hte2 so that the- )o a *o') wa- with Mahi'2ra P Mahi'2ra

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BIB'IO+$APHY
Ba'a Verma$ I M.t.a* #.'2 Performa'ce/ I'2ia' t.2iesI$ the IC#AI Jo.r'a* of App*ie2 #i'a'ce !ia' V.jo,ich P Michae* &ipp.$ I trai)ht Ta*+ abo.t M.t.a* #.'2I$ 3Mc8raw Hi** 8or2o' P Natraja'$ I#i'a'cia* Mar+ets a'2 er,icesI$ Hima*a-a P.b*ishi') Ho.se$ 1>>5 H.ji Meh'2i Raja$ IM.t.a* #.'2 Offer ?i2e Net for I',estorsI$ afar$ 1>>> &. @ Ba'sa*$ I Mercha't Ba'+i') a'2 #i'a'cia* er,icesI$ %'istar Boo+s$ 1>>5 ?EB ITE / www.Mahi'2ra PMahi'2ra.com www. amfii'2ia.com

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:&(STIO##AI$(
I am the st.2e't of MBA$ of the Apeeja- I'stit.te of Ma'a)eme't$ Ja*a'2har co'2.cti') a s.r,e- o' the DCo's.mer Perceptio' abo.t M.t.a* #.'2sD @i'2*- cooperate i' fi**i') this F.estio''aire. "o.r i'formatio' wi** be +ept co'fi2e'tia*

T 0 !o -o. fami*ier with Mahi'2ra P Mahi'2raGH a= "es b= No T 1 How m.ch of -o.r mo'th*- i'come 2o -o. i',estGH a= &ess tha' Rs.A$>>> b= A$>>>30>$>>> c= More tha' Rs. 0>$>>>

T.5 I' what t-pe of i'str.me't -o. )e'era**- i',est or sa,e -o.r mo'ea= a,i')s e= hares

b= Rec.rri') 2eposits f= M.t.a* #.'2s c= #i4e2 2eposits )= Post Office !eposits 2= RBI Bo'2s h= Other <p*ease specif-=

T.9 !o -o. +'ow M.t.a* f.'2 is a*so a so.rce of i',esti') -o.r mo'e-GH a="es b= No

TA.Ha,e -o. e,er i',este2 -o.r mo'e- i' M.t.a* #.'2sGH a= "es b= No T.7 I' what t-pe of M.t.a* #.'2 -o. ha,e i',este2GH a= Ope' e'2e2 b= C*ose e'2e2

T.; <a= Are -o. satisfie2 with -o.r M.t.a* #.'2 i',estme'tGH If -es $ the' what factors pers.a2e -o. to i',est i' m.t.a* f.'2sGH For your personalize project report emails us /ati'fo(mbahotspot.com or mbahotspot()mai*.com 95

Visitwww.mbahotspot.com for more a= &iF.i2it- a'2 f*e4ibi*it- . I I 2= afetb= #i4e2 a'2 re).*ar i'come 8 e= More ta4 be'efits c= &ess i',estme't ris+s f= A'- Other <specif-= .. T.; <b= If 'o$ the' p*ease state the reaso' wh-GH a= &ow i'come b= Other a*ter'ati,es c= Poor ser,ice 2= Ris+s e= Other <p*ease specif-=

T.: Are -o. aware that the a2,ices ma2e b- Mahi'2ra P Mahi'2ra i' M.t.a* #.'2s are ma2e after .'2ersta'2i') the c.stomer appetite of ris+$ ret.r'$ safet- a'2 *iF.i2it-6 a= "es b=No

T .6 ?o.*2 -o. *i+e that Mahi'2ra P Mahi'2ra sho.*2 ta+e of -o.r i',estme'ts6 a= "es b= No

T. 0> ?hat 2o -o. thi'+ abo.t Dfear of ris+D i' M.t.a* #.'2 a=Ver- Ris+b= Ris+c= Ne.tra* 2=&ow e= Ver- *ow

T. 00 Are -o. aware of the fact that -o. ca' a,ai* rebate .'2er sec.:: .p to Rs 0>$ >>> b- i',esti') i' M.t.a* #.'2s .'2er E& scheme6 a= "es ! b= No ! T. 01 !o -o. +'ow that -o. ca' ear' re).*ar i'come i' the form of !i,i2e'2s$ MIP$ !i,i2e'2 Rei',estme't Optio' b- i',esti') i' , ario.s M.t.a* #.'2s schemesGH For your personalize project report emails us /ati'fo(mbahotspot.com or mbahotspot()mai*.com 99

Visitwww.mbahotspot.com for more a= "es ! b= No ! T. 05 How 2o -o. fi'2 the ser,ices pro,i2e2 b- the Mahi'2ra P Mahi'2raGH a= E4ce**e't b= Ver- 8oo2 c= 8oo2 2= #air e= Poor

PER ONA& IN#ORMATION

N ME

8E

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OCC%P TION

TE& NO

E3M I& I!

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Tha'+ "o. for !ow'*oa2i') #rom

www.Mbahots ot.!om There is more for -o.

W!isc*os.re/ Mbahotspot.com 2oes 'ot +eep a'- *iabi*it- of this project

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