Description
HSBC’s international network comprises over 9500 offices in 76 countries & territories in Europe, the Asia-Pacific region, the Americas, the Middle East & Africa.
“ULIPS v/s Mutual fund” as an
Investment Option among the
Investors of Ludhiana
Presented by-
Maninder Vadhrah
Historical background of the group
?It was established in 1865.
?Aimed to finance the growing trade between
Europe, India & China.
?By 1880s, the bank was acting as banker to
Hong Kong Government.
?It is also participated in the management of
British government accounts in China, Japan,
Penang & Singapore.
Introduction to HSBC
?HSBC is world’s local bank.
?Headquarters in London.
?HSBC’s international network comprises over
9500 offices in 76 countries & territories in
Europe, the Asia-Pacific region, the Americas,
the Middle East & Africa.
HSBC provides a comprehensive range
of financial services like-
1) Personal financial services
2) Commercial Banking
3) Corporate Banking
4) Investment Banking
HSBC Group in India
?It offers a full range of Banking & Financial Services to
its over 2.8 million customers.
?It has 47 branches & 170 ATMs across 26 cities.
?It has over 34,000 employees in its Banking,
Investment Banking & Capital Markets.
?With Asset Management, 2 Global IT development
centres & 6 Global resourcing operations in the country.
Sale of Stake in Investsmart to HSBC
?HSBC acquired 29.36% stake in IL&FS InvestSmart
Ltd.
?HSBC acquired 43.85% of InvestSmart from
E*TRADE Mauritius Ltd.
? HSBC has accepted shares to Public shareholders
equivalent to 20.65% of InvestSmart’s capital.
?Thus, it has completed its acquisition of 93.86% of
IL&FS for a consideration of US$296.4 million.
Vision & Mission
Vision :To become the preferred long term financial
partner to a wide base of customers whilst optimizing
stakeholders value.
Mission: To establish a base of 1 million satisfied
customers by 2010. We will create this by being a
responsible and trustworthy partner.
PRODUCT PROFILE
All the products of IL&FS can be broadly
divided into the following two categories:
?Online Trading Products.
?Advisory Services.
?Other services.
Online Trading Product of IL&FS
Investsmart
Basically IL&FS Investsmart offers three types
of products to its retail customers.
?Smart Start
?Smart Invest
?Smart Trade
1. Mutual fund advisory services.
2. Portfolio management services.
3. IPO Advisory and Distribution Services.
4. Insurance Advisory Services.
5. Investment Advisory services
1) Online services.
2) Research and Financial Analysis.
3) Value added services.
Organisational Members
?Mr. Manasije Mishra MD & CEO
?Mr. Avdhoot Deshpande Head - Equity
and Capital Markets
?Mr. Vipul Shah Head - NBFC
?Mr. Dharmen shah Vice President
- Institutional Equity
?Mr. Jaideep Anand Senior Vice President -
Institutional Sales & Dealing
?Mr. C. Diwakar Chief Information Officer
?Mr. K. Venkatesh Head – Distribution
Organization Chart
Branch Manager
Mr. Saurabh Talwar
Offline
Opeartions (3
Persons)
Relationship
Manager(3
Persons)
Dealers (4 Persons)
Supporting Staff (3
Persons)
Online
Acquisitions
ASM
Mr. Sarbjit Pal
ASM
Mr. Abhishek
Aggarwal
ASM
Mr. Rahul Sood
SWOT ANALYSIS
Strengths:-
1) Customization.
2) Expertise.
3) Unique Features.
4) Research Agency.
5) Extensive reach.
6) Brand image.
7) Competitive pricing.
Weaknesses:-
1) Expensive Products.
2) Tedious Procedures.
3) Fund Transfer.
4) Attrition.
Continued……….
Opportunities:-
1) Right Time to
Investors to re-enter
into market.
2) Huge untapped
Markets.
3) Increasing number of
Graduates.
4) Increase Tie-ups for
Fund Transfer.
Threats:-
1) Stiff Competition.
2) Increasing awareness
of Mutual Funds &
ULIPS.
RATIO ANALYSIS
1) Current Ratio
2007 2008 2009
Current Ratio 2.2 2.3 1.9
0
0.5
1
1.5
2
2.5
Current Ratio
Quick Ratio
2007 2008 2009
Quick Ratio 1 1.1 1.1
0.94
0.96
0.98
1
1.02
1.04
1.06
1.08
1.1
1.12
Quick Ratio
Return on Total Assets
2007 2008 2009
Return on Total Assets 12.5 12 9.9
0
2
4
6
8
10
12
14
Return on Total Assets
Net Profit Ratio
2007 2008 2009
Net Profit Ratio 6.1 5.5 6.6
6.1
5.5
6.6
4.8
5
5.2
5.4
5.6
5.8
6
6.2
6.4
6.6
6.8
Net Profit Ratio
Debt-Equity Ratio
2007 2008 2009
Debt-Equity Ratio 1.44 1.42 2.59
1.44
1.42
2.59
0
0.5
1
1.5
2
2.5
3
Debt-Equity Ratio
Introduction to the ULIPs
? Unit-linked insurance plans, popularly known
as Ulips are life insurance policies which offer
a mix of investment and insurance similar to
traditional life insurance policies, but with one
major difference.
? Unlike traditional policies, in Ulips
investment risk lies with the insured (i.e.,
policy holder) and not with the insurance
company
Different types of charges under
ULIPs
• Premium Allocation Charge
• Fund Management Charge (FMC)
• Policy Administration Charge
• Surrender Charge
• Switching Charge
• Mortality charge
• Rider premium charge
• Partial withdrawal charge
Working of ULIPs
? ULIPs work on the lines of mutual funds. The
premium paid by the client (less any charge) is
used to buy units in various funds (aggressive,
balanced or conservative) floated by the insurance
companies.
? Units are bought according to the plan chosen
by the policyholder. On every additional
premium, more units are allotted to his fund.
USP of ULIPS
?Insurance cover plus savings
?Multiple investment options
?Flexibility
?Works like an SIP
?Fund Switching Option
HURDLES OF ULIP
?No standardization
?Lack of Flexibility in Life cover
?Overstating the Yield
?Internally made Sales Illustration
?Not all Show the Benchmark Return
?Early exit Options
?Creeping Cost
Introduction to Mutual Funds
?A Mutual Fund is a trust that pools the savings
of a number of investors who share a common
financial goal.
?The money thus collected is then invested
in capital market instruments such as shares,
debentures and other securities.
J
Set up of Mutual fund
Types of Mutual Fund Scheme
1) By Structure
a) Open ended Scheme.
b) Close ended Scheme.
c) Interval Scheme.
2) By Investment Objective
a) Growth Scheme.
b) Income Scheme.
c) Balanced Scheme.
d) Money Market Scheme.
3) Other Schemes
a) Tax Saving Scheme.
b) Special Scheme.
Advantages of Investing in Mutual
Funds
• Diversification
• Professional management
• Liquidity
• Convenience
Disadvantages of Investing in
Mutual Funds
• No Guarantees
• Fees and commissions
• Taxes
• Management risk
Comparison between ULIPS and
Mutual fund
?Unit Linked Insurance Policies (ULIPs) as an
investment avenue are closest to mutual funds
in terms of their structure and functioning.
?ULIPs can be termed as mutual fund scheme
with a insurance component
Points of difference between ULIPs
& Mutual fund
? Objective
? Cost
? Investment Duration
? Flexibility
? Liquidity
? Investment Objective
? Tax Implication
Title
“ULIPS v/s Mutual fund” as an
investment option among the
investors of Ludhiana
Objectives
?To know the customers awareness about Ulips
and Mutual Fund.
?To compare the investment in ULIPS plan with
the Mutual fund.
?To study the degree of risk involved in both.
?To analyze the future prospective of these
investment option.
?Research Design: -
Descriptive Research Design.
?Data Collection: -
Primary Research:- Questionnaires
?Secondary Research: - Journals &
Magazines.
?Sampling Unit:-
People of Ludhiana who are investing in ULIPs
or Mutual fund
?Sample Size:- 100.
Percentage of people who have invested in
ULIPS, in Mutual fund and both
30%
51%
19%
0%
10%
20%
30%
40%
50%
60%
ULIPS Mutual fund Both
Annual income of the investors
17%
20%
40%
23%
14%
16%
37%
33%
5%
11%
26%
58%
0%
10%
20%
30%
40%
50%
60%
70%
Below 2 lacs 2lacs-4 lacs 4lacs-6 lacs Above 6 lacs
ULIPS
Mutual Fund
Both
Factors consider by investors before
investing in ULIPS and Mutual fund
39%
42%
12%
7%
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
Safety of Principal High Return Maturity Period Terms and
Conditions
Information Sources helpful to the
investor in making investment decision
5%
21%
5%
66%
3%
0%
10%
20%
30%
40%
50%
60%
70%
Journals Reference
Group
Television Brokers Newspaper
Preference of investor regarding
different types of funds
0.215
0.115
0.268
0.306
0.096
0
0.05
0.1
0.15
0.2
0.25
0.3
0.35
Equity based
fund
Debt based
fund
Balanced fund Open ended
fund
Close ended
fund
The reasons for investing in ULIPS
Reason Strongly
Agree
(2)
Agree
(1)
Neutral
(0)
Disagree
(-1)
Strongly
Disagree
(-2)
Total Mean
Tax
Rebate
98
31
0
-7
-4
118 1.18
Life
Insurance
106
34
0
-3
-4
133 1.33
Capital
Growth
76
34
0
-9
-5
96 .96
Investment
of excess
money
44
23
0
-29
-26
12 .12
49 31 11 7 2
53 34 8 3 2
38 34 14 9 5
22 23 13 29 13
The reason for investing in Mutual Fund
Reasons Strongly
Agree
(2)
Agree
(1)
Neutral
(0)
Disagree
(-1)
Strongly
Disagree
(-2)
Total Mean
Tax Rebate
58
26
0
-21
-32
31 .31
Capital
Growth
96
39
0
-6
-4
125
1.25
Investment
of excess
money
64
28
0
-24
-18
50
.50
24
26 8 21 16
48 39 5 6 2
32 28 7 24 9
Preference of ULIPS or mutual fund on the
basis of following factors
38%
40%
34%
17%
12%
62%
60%
66%
83%
88%
0%
20%
40%
60%
80%
100%
120%
Mutual fund
ULIPS
Investment in ULIPS and Mutual fund by risk
profile
53%
33%
14%
12%
61%
26%
0%
10%
20%
30%
40%
50%
60%
70%
Low risk Moderate risk High risk
ULIPS
Mutual
fund
Expected annual Return from both ULIPS
and Mutual fund
7%
36%
47%
10%
2%
10%
35%
53%
0%
10%
20%
30%
40%
50%
60%
less than 10% 11-15% 15-20% 20-25%
ULIPS
MUTUAL FUND
Preferred tenure of investment for ULIPS and
Mutual Fund
7%
23%
70%
12%
37%
51%
0%
10%
20%
30%
40%
50%
60%
70%
80%
Short term Mid term Long term
ULIPS
Mutual Fund
Awareness among peoples regarding the
controversy of ULIPS
59%
41%
yes
no
Preferred investment option for investing
their money in future
69%
31%
Mutual fund
ULIPS
Findings
• People are aware regarding ulips &Mutual fund but, the
awareness regarding mutual fund is high comparative to
ulips.
• People with high income group are more likely to invest
their money but, people who invest in both ulips and mutual
fund mostly belongs to the income group of more than 6
lacs.
• Broker and reference group plays an important role while
making an investment decision of an investor.
• Open ended funds & closed funds are more popular among
investors of Ludhiana.
?Insurance and tax rebate is the most important
reason for investing in ulips & people are
investing in mutual fund for the appreciation
of the capital invested by them.
?Among the various advantages liquidity &
flexibility plays the most important role for the
preference of mutual fund over ulips
?Low risk is taken in case of ulips & moderate
risk in case of mutual funds.
? The expected annual return is high for mutual
fund comparative to ulips.
? The preferred tenure of investment is same for
both ulips & mutual fund
?The recent controversy related to ulips will
going to affect its future demand &in future
also more number of investors will like to
invest their money in mutual fund.
? So future is bright for mutual funds.
Conclusion
RECOMMENDATIONS
?The people do not want to take risk. The AMC should
launch more diversified funds so that the risk becomes
minimize. This will lure more and more people to
invest in mutual funds and ulips.
? The expectation of the people from the mutual funds is
high. So, the portfolio of the fund should be prepared
taking into consideration the expectations of the people.
?Try to reduce fund charges, administration charges and
other charges which help to invest more funds in the
security market and earn good returns
?Different campaigns should be launched to
educate people especially regarding SIP.
?Companies should give regular dividends as it
depicts profitability.
?Companies should give handsome brokerage to
brokers so that they get attracted towards
distribution of the funds.
? ULIPs is good for those who prefer investment
plus insurance.
doc_169800992.pptx
HSBC’s international network comprises over 9500 offices in 76 countries & territories in Europe, the Asia-Pacific region, the Americas, the Middle East & Africa.
“ULIPS v/s Mutual fund” as an
Investment Option among the
Investors of Ludhiana
Presented by-
Maninder Vadhrah
Historical background of the group
?It was established in 1865.
?Aimed to finance the growing trade between
Europe, India & China.
?By 1880s, the bank was acting as banker to
Hong Kong Government.
?It is also participated in the management of
British government accounts in China, Japan,
Penang & Singapore.
Introduction to HSBC
?HSBC is world’s local bank.
?Headquarters in London.
?HSBC’s international network comprises over
9500 offices in 76 countries & territories in
Europe, the Asia-Pacific region, the Americas,
the Middle East & Africa.
HSBC provides a comprehensive range
of financial services like-
1) Personal financial services
2) Commercial Banking
3) Corporate Banking
4) Investment Banking
HSBC Group in India
?It offers a full range of Banking & Financial Services to
its over 2.8 million customers.
?It has 47 branches & 170 ATMs across 26 cities.
?It has over 34,000 employees in its Banking,
Investment Banking & Capital Markets.
?With Asset Management, 2 Global IT development
centres & 6 Global resourcing operations in the country.
Sale of Stake in Investsmart to HSBC
?HSBC acquired 29.36% stake in IL&FS InvestSmart
Ltd.
?HSBC acquired 43.85% of InvestSmart from
E*TRADE Mauritius Ltd.
? HSBC has accepted shares to Public shareholders
equivalent to 20.65% of InvestSmart’s capital.
?Thus, it has completed its acquisition of 93.86% of
IL&FS for a consideration of US$296.4 million.
Vision & Mission
Vision :To become the preferred long term financial
partner to a wide base of customers whilst optimizing
stakeholders value.
Mission: To establish a base of 1 million satisfied
customers by 2010. We will create this by being a
responsible and trustworthy partner.
PRODUCT PROFILE
All the products of IL&FS can be broadly
divided into the following two categories:
?Online Trading Products.
?Advisory Services.
?Other services.
Online Trading Product of IL&FS
Investsmart
Basically IL&FS Investsmart offers three types
of products to its retail customers.
?Smart Start
?Smart Invest
?Smart Trade
1. Mutual fund advisory services.
2. Portfolio management services.
3. IPO Advisory and Distribution Services.
4. Insurance Advisory Services.
5. Investment Advisory services
1) Online services.
2) Research and Financial Analysis.
3) Value added services.
Organisational Members
?Mr. Manasije Mishra MD & CEO
?Mr. Avdhoot Deshpande Head - Equity
and Capital Markets
?Mr. Vipul Shah Head - NBFC
?Mr. Dharmen shah Vice President
- Institutional Equity
?Mr. Jaideep Anand Senior Vice President -
Institutional Sales & Dealing
?Mr. C. Diwakar Chief Information Officer
?Mr. K. Venkatesh Head – Distribution
Organization Chart
Branch Manager
Mr. Saurabh Talwar
Offline
Opeartions (3
Persons)
Relationship
Manager(3
Persons)
Dealers (4 Persons)
Supporting Staff (3
Persons)
Online
Acquisitions
ASM
Mr. Sarbjit Pal
ASM
Mr. Abhishek
Aggarwal
ASM
Mr. Rahul Sood
SWOT ANALYSIS
Strengths:-
1) Customization.
2) Expertise.
3) Unique Features.
4) Research Agency.
5) Extensive reach.
6) Brand image.
7) Competitive pricing.
Weaknesses:-
1) Expensive Products.
2) Tedious Procedures.
3) Fund Transfer.
4) Attrition.
Continued……….
Opportunities:-
1) Right Time to
Investors to re-enter
into market.
2) Huge untapped
Markets.
3) Increasing number of
Graduates.
4) Increase Tie-ups for
Fund Transfer.
Threats:-
1) Stiff Competition.
2) Increasing awareness
of Mutual Funds &
ULIPS.
RATIO ANALYSIS
1) Current Ratio
2007 2008 2009
Current Ratio 2.2 2.3 1.9
0
0.5
1
1.5
2
2.5
Current Ratio
Quick Ratio
2007 2008 2009
Quick Ratio 1 1.1 1.1
0.94
0.96
0.98
1
1.02
1.04
1.06
1.08
1.1
1.12
Quick Ratio
Return on Total Assets
2007 2008 2009
Return on Total Assets 12.5 12 9.9
0
2
4
6
8
10
12
14
Return on Total Assets
Net Profit Ratio
2007 2008 2009
Net Profit Ratio 6.1 5.5 6.6
6.1
5.5
6.6
4.8
5
5.2
5.4
5.6
5.8
6
6.2
6.4
6.6
6.8
Net Profit Ratio
Debt-Equity Ratio
2007 2008 2009
Debt-Equity Ratio 1.44 1.42 2.59
1.44
1.42
2.59
0
0.5
1
1.5
2
2.5
3
Debt-Equity Ratio
Introduction to the ULIPs
? Unit-linked insurance plans, popularly known
as Ulips are life insurance policies which offer
a mix of investment and insurance similar to
traditional life insurance policies, but with one
major difference.
? Unlike traditional policies, in Ulips
investment risk lies with the insured (i.e.,
policy holder) and not with the insurance
company
Different types of charges under
ULIPs
• Premium Allocation Charge
• Fund Management Charge (FMC)
• Policy Administration Charge
• Surrender Charge
• Switching Charge
• Mortality charge
• Rider premium charge
• Partial withdrawal charge
Working of ULIPs
? ULIPs work on the lines of mutual funds. The
premium paid by the client (less any charge) is
used to buy units in various funds (aggressive,
balanced or conservative) floated by the insurance
companies.
? Units are bought according to the plan chosen
by the policyholder. On every additional
premium, more units are allotted to his fund.
USP of ULIPS
?Insurance cover plus savings
?Multiple investment options
?Flexibility
?Works like an SIP
?Fund Switching Option
HURDLES OF ULIP
?No standardization
?Lack of Flexibility in Life cover
?Overstating the Yield
?Internally made Sales Illustration
?Not all Show the Benchmark Return
?Early exit Options
?Creeping Cost
Introduction to Mutual Funds
?A Mutual Fund is a trust that pools the savings
of a number of investors who share a common
financial goal.
?The money thus collected is then invested
in capital market instruments such as shares,
debentures and other securities.
J
Set up of Mutual fund
Types of Mutual Fund Scheme
1) By Structure
a) Open ended Scheme.
b) Close ended Scheme.
c) Interval Scheme.
2) By Investment Objective
a) Growth Scheme.
b) Income Scheme.
c) Balanced Scheme.
d) Money Market Scheme.
3) Other Schemes
a) Tax Saving Scheme.
b) Special Scheme.
Advantages of Investing in Mutual
Funds
• Diversification
• Professional management
• Liquidity
• Convenience
Disadvantages of Investing in
Mutual Funds
• No Guarantees
• Fees and commissions
• Taxes
• Management risk
Comparison between ULIPS and
Mutual fund
?Unit Linked Insurance Policies (ULIPs) as an
investment avenue are closest to mutual funds
in terms of their structure and functioning.
?ULIPs can be termed as mutual fund scheme
with a insurance component
Points of difference between ULIPs
& Mutual fund
? Objective
? Cost
? Investment Duration
? Flexibility
? Liquidity
? Investment Objective
? Tax Implication
Title
“ULIPS v/s Mutual fund” as an
investment option among the
investors of Ludhiana
Objectives
?To know the customers awareness about Ulips
and Mutual Fund.
?To compare the investment in ULIPS plan with
the Mutual fund.
?To study the degree of risk involved in both.
?To analyze the future prospective of these
investment option.
?Research Design: -
Descriptive Research Design.
?Data Collection: -
Primary Research:- Questionnaires
?Secondary Research: - Journals &
Magazines.
?Sampling Unit:-
People of Ludhiana who are investing in ULIPs
or Mutual fund
?Sample Size:- 100.
Percentage of people who have invested in
ULIPS, in Mutual fund and both
30%
51%
19%
0%
10%
20%
30%
40%
50%
60%
ULIPS Mutual fund Both
Annual income of the investors
17%
20%
40%
23%
14%
16%
37%
33%
5%
11%
26%
58%
0%
10%
20%
30%
40%
50%
60%
70%
Below 2 lacs 2lacs-4 lacs 4lacs-6 lacs Above 6 lacs
ULIPS
Mutual Fund
Both
Factors consider by investors before
investing in ULIPS and Mutual fund
39%
42%
12%
7%
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
Safety of Principal High Return Maturity Period Terms and
Conditions
Information Sources helpful to the
investor in making investment decision
5%
21%
5%
66%
3%
0%
10%
20%
30%
40%
50%
60%
70%
Journals Reference
Group
Television Brokers Newspaper
Preference of investor regarding
different types of funds
0.215
0.115
0.268
0.306
0.096
0
0.05
0.1
0.15
0.2
0.25
0.3
0.35
Equity based
fund
Debt based
fund
Balanced fund Open ended
fund
Close ended
fund
The reasons for investing in ULIPS
Reason Strongly
Agree
(2)
Agree
(1)
Neutral
(0)
Disagree
(-1)
Strongly
Disagree
(-2)
Total Mean
Tax
Rebate
98
31
0
-7
-4
118 1.18
Life
Insurance
106
34
0
-3
-4
133 1.33
Capital
Growth
76
34
0
-9
-5
96 .96
Investment
of excess
money
44
23
0
-29
-26
12 .12
49 31 11 7 2
53 34 8 3 2
38 34 14 9 5
22 23 13 29 13
The reason for investing in Mutual Fund
Reasons Strongly
Agree
(2)
Agree
(1)
Neutral
(0)
Disagree
(-1)
Strongly
Disagree
(-2)
Total Mean
Tax Rebate
58
26
0
-21
-32
31 .31
Capital
Growth
96
39
0
-6
-4
125
1.25
Investment
of excess
money
64
28
0
-24
-18
50
.50
24
26 8 21 16
48 39 5 6 2
32 28 7 24 9
Preference of ULIPS or mutual fund on the
basis of following factors
38%
40%
34%
17%
12%
62%
60%
66%
83%
88%
0%
20%
40%
60%
80%
100%
120%
Mutual fund
ULIPS
Investment in ULIPS and Mutual fund by risk
profile
53%
33%
14%
12%
61%
26%
0%
10%
20%
30%
40%
50%
60%
70%
Low risk Moderate risk High risk
ULIPS
Mutual
fund
Expected annual Return from both ULIPS
and Mutual fund
7%
36%
47%
10%
2%
10%
35%
53%
0%
10%
20%
30%
40%
50%
60%
less than 10% 11-15% 15-20% 20-25%
ULIPS
MUTUAL FUND
Preferred tenure of investment for ULIPS and
Mutual Fund
7%
23%
70%
12%
37%
51%
0%
10%
20%
30%
40%
50%
60%
70%
80%
Short term Mid term Long term
ULIPS
Mutual Fund
Awareness among peoples regarding the
controversy of ULIPS
59%
41%
yes
no
Preferred investment option for investing
their money in future
69%
31%
Mutual fund
ULIPS
Findings
• People are aware regarding ulips &Mutual fund but, the
awareness regarding mutual fund is high comparative to
ulips.
• People with high income group are more likely to invest
their money but, people who invest in both ulips and mutual
fund mostly belongs to the income group of more than 6
lacs.
• Broker and reference group plays an important role while
making an investment decision of an investor.
• Open ended funds & closed funds are more popular among
investors of Ludhiana.
?Insurance and tax rebate is the most important
reason for investing in ulips & people are
investing in mutual fund for the appreciation
of the capital invested by them.
?Among the various advantages liquidity &
flexibility plays the most important role for the
preference of mutual fund over ulips
?Low risk is taken in case of ulips & moderate
risk in case of mutual funds.
? The expected annual return is high for mutual
fund comparative to ulips.
? The preferred tenure of investment is same for
both ulips & mutual fund
?The recent controversy related to ulips will
going to affect its future demand &in future
also more number of investors will like to
invest their money in mutual fund.
? So future is bright for mutual funds.
Conclusion
RECOMMENDATIONS
?The people do not want to take risk. The AMC should
launch more diversified funds so that the risk becomes
minimize. This will lure more and more people to
invest in mutual funds and ulips.
? The expectation of the people from the mutual funds is
high. So, the portfolio of the fund should be prepared
taking into consideration the expectations of the people.
?Try to reduce fund charges, administration charges and
other charges which help to invest more funds in the
security market and earn good returns
?Different campaigns should be launched to
educate people especially regarding SIP.
?Companies should give regular dividends as it
depicts profitability.
?Companies should give handsome brokerage to
brokers so that they get attracted towards
distribution of the funds.
? ULIPs is good for those who prefer investment
plus insurance.
doc_169800992.pptx