Analysis of Portfolio of Mutual Funds

Portfolio Management In Mutual Funds

A Project On PORTFOLIO MANAGEMENT IN MUTUAL FUNDS  In partial fulfillment of the requirement of two years full time Masters of Business Administration (MBA) Programme (2008-2010)

Of Christ University Institute of Management, Bangalore-560029

SUBMITTED B Y : AARNESH KARAMCHANDANI

( 0 8 P G 0122) UNDER THE GUIDANCE OF: A MACHANDRAN PROF. T.S. R AMACHANDRAN

Portfolio Management In Mutual Funds

CONTEN TE NT Certificate Declaration Preface Acknowledgement Research Methodology Executive Summary 1 Intr Introd oduc uctio tion n to to Mutu Mutual al Fund Fund 2 Inve Inves stors tors po portfo rtfoli lio o 2.1. 2.1. Fixed Fixed Return Return Option Options s 2.2. 2.2. Variab Variable le Retu Return rn Opti Option ons s 3 Conc Concep eptt of of mut mutua uall fun funds ds 4 Types ypes of mutu mutual al fun funds By structure By investment objective 5 6 7 8 9 10 11

Diff Differ eren entt styl styles es of Mut Mutua uall Fund Funds s Proc Proces ess s of of Mut Mutua uall Fun Fund d Net Net As Asset set Val Valu ue (NA (NAV) V) Companies in India Port Portfo foli lio o Mana Manage geme ment nt Portfolio Portfolio Manag Managemen ementt Process Process Types Types of Inve Investo stors rs 11.1. Portfolio for Cautious Investor  11.2. Portfolio for Balance Investor  11.3. Portfolio for Aggressive Investor 

12 Measuremen Measurementt of Returns Returns on Portfolios Portfolios 13 Scheme Scheme Portfo Portfolio lio 13.1. HDFC Equity Fund 13.2. HDFC Core & Satellite Fund 13.3. Reliance Growth fund 13.4. Prudential ICICI Growth Fund 13.5. DSP Tiger Fund

Portfolio Management In Mutual Funds

13.6. Kotak Opportunity Fund 14 Conc Conclu lusi sion on 15 Biblio Bibliogra graphy phy

DECLARATION

I,

her hereby, eby,

decl eclare are

that

the the

Pro Project ect

Management in Mutual Funds” is original to best to

tit titled

“Por Portfol tfoliio

my knowledge

& has not published elsewhere. This is for the purpose of partial fulfillment of Christ University Institute of Management requirement for

the

award

of

the

Administration. Administration.

AARNESH KARAMCHANDANI

degree

Master er of   Mast

of

Busin usine ess

Portfolio Management In Mutual Funds

Date:

PREFACE

Investing money where the risk is less has always been risky to decide. The first factor, which an investor would like to see before investing, is risk factor. Diversification of risk gave birth to the phenomenon called Mutual Fund. We are preparing comprehensive report of Mutual Fund industry in India. The basic idea of assignment of this project is to augment our knowledge about the industry in its totality and appreciate the use of an integrated loom. It is concerned the environmental issues and tribulations. This makes us more conscious about Industry and its pose and makes us capable of analyzing Industry’s position in the competitive market. This may also enhance our  logical abilities.

The Mutual Fund Industry is in the growing stage in India, which is evident from the flood of mutual funds offered by the Banks, Financial Institutes & Private Financial Companies. There are various aspects, which have been studied in detail in the project and have been added to this project report.

Portfolio Management In Mutual Funds

Hope this report would help one understand the mutual Industry of India in detail.

Portfolio Management In Mutual Funds

ACKNOWLEDGEMENT

I am indebted to a multitude of persons who have provided me with valuable help during our endeavor of research. The project would not have seen the illumination of the day without the efforts of the many who managed the show in the wings. I am thankful to all people who have put in great efforts and gave me guidance for the successful completion of the project. I am indeed grateful to MR. PRASHANT UKANI (CLUSTER HEAD – B2B BUSINE BUSINESS, SS, REGION REGIONAL AL OFFICE OFFICE,, ANGEL ANGEL BROKIN BROKING G LTD., LTD., RAJKOT RAJKOT)) for  providing me the guidance, advice, constructive suggestions and faith in my abili ability ty insp inspire ired d to perfo perform rm well well who who gave gave me a valu valuab able le oppo opportu rtunit nity y of  involving our self in studying this project. Preparing a project of this nature is an arduous task and I am fortunate enough to get support from a large number of people to whom we shall always remain grateful.

Finally, I thank all those who directly and indirectly contributed to this project.

Portfolio Management In Mutual Funds

AARNESH KARAMCHANDANI

Portfolio Management In Mutual Funds

EXECUTIVE SUMMARY

As a part of my study curriculum it is necessary to conduct a grand project. It provides us an opportunity to understand the particular topic in depth and which leads to through to that topic. My topic for the grand project is titled as “Portfolio management in mutual funds performance” in which emphasis given to the study of different mutual funds in respect to the risk and return involved in it. Since Since mutual mutual funds funds are a relati relativel vely y recent recent pheno phenomen menon on in India, India, genera generall public or investors don’t have clarity about this concept. As we have started witnessing the concept of more saving now being entrusted to the funds than to keeping it in banks. So it is very important to manage investor’s portfolio effi effici cien entl tly. y. By effic efficien ientt we mean mean whic which h redu reduce ces s the the risk risk of inve invest stor or and and increases return on the other hand. This project is all about how to manage an investor’s portfolio in mutual fund. How to diversify the investments into different schemes of funds. To manage client’s portfolio efficiently we first need to understand the industry, current economic condition of the economy, investor’s behavior, their objective, risk apatite. This This report report has divide divided d into into two phases phases.. First First phase phase covere covered d invest investor’ or’s s portfolio part where we have included, Introduction of mutual funds, Indian mutual fund industry, Investment options available with individuals and at last techniques of managing a client’s portfolio in mutual funds. Second phase of the report covered scheme’s portfolio part, where we have compared HDFC Equity Fund and HDFC Core & Satellite Fund with their  comp compet etito itors rs.. It also also incl includ uded ed fund fund’s ’s port portfo folilio o part part wher where e we have have give given n information about the different funds available to investor for investment

Portfolio Management In Mutual Funds

RESEARCH METHODOLOGY Primary Objectives The main objective of this study is doing an In-depth analysis of Mutual Fund portfolio by taking sample of funds and comparing it with it others

Secondary objectives  – to unders understand tand the portfolio portfolio manag manageme ement nt process process in mutual mutual fund  – To know know the the effects effects of of political, political, economic economical, al, social social and and techno technologic logical al factors on Mutual Fund Industry in India.  – Eval Evalua uati ting ng fund fund perf perfor orma manc nce e

Collection of data For the complete study I required data of Mutual Fund and getting from the secondary data base. Sources of the data collection will be, (1) (1) (2) (3) (4)

Inte Intern rnet et Various Various magazines magazines/bulle /bulletins tins News News pap paper ers s Rela Relate ted d books books

Limitations

Portfolio Management In Mutual Funds

➢ ➢ ➢

It is based on Secondary Data. Time Constraint Lack of resources

Portfolio Management In Mutual Funds

INTRODUCTION Economic liberalization and globalization of the Indian markets began in 1991. This meant that the Indian consumers had access to imported goods which resulted in fall of prices of domestic goods due to high competition. This also meant that lower interest rates and more importantly transfer of risk from government to the individuals, forcing them to protect their investments them self. Investors have variety of options for investments. Some of them are providing fixed rate of returns returns are some some of them provide variable rate of returns. returns. Many had investments with UTI, Company fixed deposits, and Bank fixed deposits that that were were offe offeri ring ng high high retu return rns s that that now now they they are are star starti ting ng fall fallin ing g afte after  r  globalization and liberalization. There are some investors who are active. They are the ones who act promptly and make educated, informed decisions about market. They done their own rese resear arch ch and and unde unders rsta tand nd the the fact factor ors s whic which h may have have effe effect ct on thei their  r  inv investm estmen ents ts in futu future re.. On the the othe otherr hand some ome inve nvestor stors s who who are are apprehensive and will take action only when they can see tangible merits on the change. As every individual is different, their objectives behind investments also differ  from from pers person on to pers person on.. Thei Theirr obje object ctiv ives es can can for for fixe fixed d retu return rn,, capi capita tall appreciation, tax planning or current income. The investment decision will mainly depend upon the objective of investor. He or she needs to design their  portfolio according to their risk and return profile. The individual should start by spec specif ifyi ying ng inve invest stme ment nt goals goals.. Once Once thes these e goals goals are are esta establi blish shed ed,, the the individual should be aware of the mechanics of investing and the environment in which investment decision are made. These include the process by which securities are issued and subsequently bought and sold, the regulations and tax laws that have been enacted by various levels of government, and the sour source ces s of info inform rmat atio ion n conc concer erni ning ng inve invest stme ment nt that that are are avai availab lable le to the the individuals.

Portfolio Management In Mutual Funds

Designing a portfolio is not simple task. Ones individual has decided about the type of investment then he or she needs to decide portfolio in that category. There are various ways of maintaining portfolio of individual.

Phase I Investor’s Portfolio What is an Investment? An inve invest stme ment nt is the the use use of capi capita tall to crea create te more more mone money y thro throug ugh h the the acquisition of a security that promise the safety of the principal and generate a reasonable return.

Various Investment Options Savings form an important part of the economy of any nation. With the saving invested in various options available to the people, the money acts as the driver for growth of the country. Indian financial scene too presents a plethora of avenue to the investors. Though certainly not the best or deepest of  markets in the world, it has reasonable options for an ordinary man to invest his savings. There are basically two kinds of investments. One that gives returns at fixed rate and other where the rate of return is depending upon the certain factors of the economy.

1. Fixed Return Options • • • • • •

Post office monthly income i ncome scheme Public provident fund Bank fixed deposits Government securities or gilts RBI taxable bonds Insurance

Portfolio Management In Mutual Funds

• •

Company fixed deposits Infrastructure bonds

2. Variable Return Options • •

• • •

Mutual Funds Share and Stock market 1. Primar Primary y inves invested ted in equit equity y (IPO) (IPO) 2. Secon Secondar dary y market market inves investm tment ent in equit equity y 3. Deriva Derivativ tive, e, Futu Futures res and Option Options s Gold Real estate Foreign exchange assets

3. UNIT LINKED INSURANCE PLANS 1. ULIP capital secure fund. 2. ULIP balanced fund. 3. ULIP growth fund 4. ULIP equity fund 5. Pension capital secure fund 6. Pension balanced fund 7. Pension growth fund

1. Fixed Return Options Unde Underr fixed fixed retu return rn inve invest stme ment nts, s, inve invest stor or will will get get fixed fixed retu return rn on thei their  r  investments. The rate of return is pre decided at the time of investment. Rate of return can be calculated on per annum basis or at completion of particular  time period. a.

Post Office Monthly Income Scheme:

Portfolio Management In Mutual Funds

In this scheme an investment can be made by individuals in single or joint names maximum of Rs. 6 lakhs (Rs.3 lakhs per person) with an interest of 8% p.a. in a monthly income scheme. This will give you Rs. 4000/- per month if  you invested the maximum amount. In addition, this investment will fetch you a taxable bonus of 10% on the deposit maturity (i.e. after 6 years)

b.

Other Post Office Scheme Kisan Vikas Patra:

Money can be doubled in 8 years and 7 months. There is no upper limit on the amount that you invest. There are no tax benefits for the investments made under this scheme. The rate of interest works out to a compounded annual return of about 8.4%. There are no tax deductions at source and banks banks loans loans are availa available ble agains againstt Kisan Kisan Vikas Vikas Patra. Patra. Intere Interest st is paid paid at maturity and cannot be claimed prior to maturity. Senior Citizen Savings Scheme (2004):

As per the 2004-200 2004-2005 5 budget budgets, s, the Governm Government ent has announce announced d a new Seni Senior or Citi Citize zen n Savi Saving ngs s Sche Scheme me.. It has has been been laun launch ched ed only only thro throug ugh h nd designated Post Offices from the 2 August, 2004. it for the individuals who have attained the age of 60 years or above on the date of opening of an account or who have attained the age of 55 years or more but less than 60 years, and who have retired under Voluntary Retirement scheme or a Special Voluntary Retirement scheme on the date of opening of an account. The main feature of the scheme is that is carries an interest of 9% p.a. (taxable) on the deposits. Deposits can be a minimum of Rs. 1000 and maximum of Rs. 15 lakhs, to be held for a period of 5 years and extendable for further 3 years. It can also be prematurely withdrawn after one year with some deductions. Interest qualifies for deduction u/s 80L. c.

Public Provident Fund:

Portfolio Management In Mutual Funds

The rate of public provident fund is 8.5% p.a. currently. This is basically a long term investment opportunities (maturity 15 year) as the entire amount that is accumulated in this account can be withdrawn entirely only after 15 years. Partial withdrawal is allowed only after 5 years. Interest is exempt from income tax and contributions are eligible for tax deductions.

d.

Bank Fixed Deposits:

Bank fixed deposits yield will vary from bank to bank but they are more or less streamlined. The yields are currently in the region of 5.5% to 6.5% per annum for deposits ranging from 30 days to five years. All the schedule banks are covered by DICGC (Deposit Insurance and Credit Guarantee Corporation) which means that up to 1 lakh deposited in a bank per person is absolutely safe and insured even if the bank collapse. HDFC Bank FD

7 days-14 days 15 days-29days 30days-45days 46days-60days 61days-90days 91days-180days 6month 1 day-1 year  1 year 1 day-2 years 2 year1 day- 3 years 3 year 1 day- 5 years 5 year 1 day-8

Interest Rate in % p.a.

3.5 4.25 4.25 4.5 4.75 5 5.5 6 6.25 6.25 6.5

Portfolio Management In Mutual Funds

years

e.

Government Security or Gilts:

Govern Governme ment nt securi security ty and gilts gilts are totally totally secure secure.. Govern Governmen mentt bonds bonds are issued by the government of India periodically. These are now available in the secondary market through satellite dealers and banks. They are known to yield 5% to 6% per annum. Interest exceeding Rs. 2500 is liable for TDS at 10.455%.

f.

RBI Taxable Bonds:

These are 8% saving bonds which are taxable. The maturity is after 6 years and there is no upper limit to investment is these bonds. The interest accrued on these bonds is taxable under the Income Tax Act, 1961.

g.

Key Rates

Current 1 Month ago

1 yr G-sec 5 yr G-sec 10 yr G-sec 5 yr AAA

6.81% 7.22% 7.41% 8.25%

6.72% 6.96% 7.31% 7.77%

Insurance:

There are several types of insurance policies available in the market today through various players. Life insurance is the most sought after cover life it also offer a tax benefit for the amount of premium paid in a particular year. Though insurance is considered as expenditure, it became an investment option.

Portfolio Management In Mutual Funds

The insurance policies available in the market are either pure insurance or a combination of the three basic types of life insurance policies namely, Term, Whole and Endowment. Term assurance policy is purely protection policy with no investment elements. Whole life and Endowment policies are different as a payout is certain in these policies. A Whole life policy pays out on the death of the life assured, whenever that occurs and in Endowment policy pay will be on maturity date or earlier death. There is one more type of insurance policy is so popular these days is UNIT Link Insurance under which premium amount will be invested in to equity market via mutual fund investment.

h.

Company Fixed Deposits:

Company fixed deposits was a highly popular investment vehicle in the past. In toda today’ y’s s chan changi ging ng scen scenar ario io wher where e the the corp corpor orat ate e worl world d has has acce access ss to cheaper funds from sources all over the world, the rate of interest offered by good companies make this a less attractive investment vehicle.

i.

Infrastructure Bonds:

An infrastructure bond is a tax saving bond that was innovated in order to provide funds for the development of the key infrastructure projects. Thus, investors in these bonds apart from the material benefits in term of tax saving, have the higher satisfaction of having contributed to the development of the country’s infrastructure. The rate of return on such bonds is between 5 to 5.5%. The bonds have have lock in period of 3 years.

2. Variable Return Options a. Mutu Mutual al Fund Funds: s:

A mutual fund is a company that pools the money of many investors to invest in a variet variety y of differe different nt securi securitie ties. s. Invest Investmen mentt may be in stocks stocks,, bonds bonds,, debentures, money market or combination of these. These securities are professionally managed on the behalf of investor, by the fund manager. b. Shares Shares and the Stock Stock Mark Market: et:

Portfolio Management In Mutual Funds

An equity share is a certificate or a book entry that represents the single unit of ownership in a company or its business. They are sold either directly by the company or they can be acquired through broker from the stock market. By purchasing a share of a company, an individual gets a ownership rights, right to vote and share in i n the company’s future profits and losses. Primary Market Investment in Equity (IPO)

The primary market is a place where the new offerings by companies are made as an Initial Public Offering (IPO) IPO’s are offering made by the company for the first time in the market. Such offers to the public can be at par or can be at premium.

Secondary Market Investment in Equity:

The stock exchange is a place where buyers and sellers meet to trade in shares in an organized manner. There are at present 26 recognized stock exchanges in the country and are governed by security board of India (SEBI).

Derivative, Futures and Options:

Derivative is a contract/ product that has no independent value i.e. it derives its value from the underlying assets. Underlying assets can be securities, commodities, bullion, currency, livestock or any thing else. Through the use of  deriva derivativ tive e produc product, t, an invest investor or can transf transfer er the price price by lockin locking g in asset asset prices. c. Gold:

Of late, an inverse relationship between the dollar and gold has been in India. The lower the dollar goes, the higher is the gold prices. Why does this happen? The dollar is the international currency with nothing besides gold to challenge it. Besides being a commodity, gold is a universally accepted form of money. India is a net importer of gold. The domestic production is almost negligible and India is the highest consumer of gold in the world.

Portfolio Management In Mutual Funds

d. Real Real est estat ate: e:

Investment in real estate or property is a good long term investment for wellheeled heeled invest investors ors with with a huge huge amount amount of money money.. Depend Depending ing on the total resources at your disposal, you can invest a part of it in property. e. Forei Foreign gn Exchan Exchange ge Asset: Asset:

Till Till Janu Januar ary y 2004 2004,, Indi Indian an resi reside dent nts’ s’ inves investo tors rs were were not not allo allowe wed d by our  our  exchange control rules to invest in foreign exchange assets. Recently, the reserve bank of India has allowed residents to invest overseas to the extent of an equivalent of US $ 25,000 per year. Now investor from India can take advantage of any attractive investment opportunity overseas.

3. UNIT LINKED INSURANCE PLANS Risks of investment in the Units of the Fund the Proposer / Life Assured should be aware that the investment in the units is subject to the following risks: CashPl CashPlus us is a Unit-L Unit-Link inked ed Insura Insurance nce Policy Policy (ULIP) (ULIP) and is differ different ent from from traditional products. Investments in ULIPs are subject to market risks. The premium paid in Unit-Linked Life Insurance policies are subject to investments risks associated with capital markets and debt markets; and the NAVs of the units may fluctuate based on the performance of fund and factors influencing the

Portfolio Management In Mutual Funds

Capital market; and the insured is responsible for his /her decisions. ICICI Prudential Life Insurance Company Limited and CashPlus are only names of  the company and the policy respectively and do not in any way indicate the quality of the policy, its future prospects or returns. The investment in the Fund is subject to market and other risks and there can be no assurance that the the obje object ctiv ives es of the the Fund Fund will will be achi achiev eved ed.. The The fund fund does does not not offe offerr a guaranteed or assured return.

CONCEPT OF MUTUAL FUNDS A Mutual Fund is a body corporate that pools the savings of a number of  investors and invests the same in a variety of different financial instruments, or securities. The income earned through these investments and the capital appr apprec ecia iati tion ons s real realiz ized ed by the the sche scheme me are are shar shared ed by its its unit unit hold holder ers s in proportion to the number of units owned by them. Mutual funds can thus be considered as financial intermediaries in the investment business that collect

Portfolio Management In Mutual Funds

funds from the public and invest on behalf of the investors. The losses and gains accrue to the investors only. The Investment objectives outlined by a Mutual Fund in its prospectus are binding on the Mutual Fund scheme. The investment objectives specify the class of securities a Mutual Fund can invest in. in. Mutu Mutual al Fund Funds s inve invest st in vari variou ous s asse assett clas classe ses s lik like equi equity ty,, bond bonds, s, debentures, commercial paper and government securities. Mutu Mu tual al fu fund nds s ar are e co comm mmon only ly ca cate tego goriz rized ed by th thei eirr ge gene nera rall inv inves estm tmen entt objectives. Equity funds consist mainly of common stocks and are organized prima pri marily rily to ach achiev ieve e ca capit pital al ap appre precia ciatio tion, n, or gro growth wth,, rat rather her tha than n per period iodic ic dist di stri ribu butio tion n of in inco come me.. Bo Bond nd fu fund nds, s, on th the e ot othe herr ha hand nd,, ar are e co comp mpos osed ed predominantly of corporate, Government, or municipal bonds and emphasize regular income rather than growth. Income funds have the same objective as bond funds but include Government National Mortgage Association securities, Government securities, and common and preferred stocks as well as bonds. Money Mon ey mar market ket mut mutual ual fun funds ds co consi nsist st of sh short ort-ter -term m ins instru trumen ments, ts, suc such h as Gove Go vern rnme ment nt se secu curi ritie ties, s, ba bank nk CD CDs, s, an and d co comm mmer erci cial al pa pape per. r. Sh Shor ortt-te term rm municipal bond funds are composed predominantly of tax-exempt, short-term municipal securities.

Types of Mutual Funds Mutual Fund schemes may be classified on the basis of its structure and its investments.

By Structure:

Portfolio Management In Mutual Funds

Open-End Funds: •

• •

Available for sale and repurchase at all times based on the net asset values Unit capital of the fund is not fixed Fund size and its total investment go up if more new subscriptions come in than redemptions and vice versa.

Close-End Funds: • •

•

One time sale of fixed number of units. Investors are not allowed to buy or redeem the units directly from the funds. Some funds offer repurchase after a fixed period. Listed Listed on stock stock exchange and investors investors can buy or sell units through exchange. May be traded at a discount or premium to NAV based on investor’s perception about the funds future performance and other  market factors. A closed closed-en -end d fund fund has a stipul stipulate ated d maturi maturity ty period period which which genera generally lly ranging from 3 to 15 years. The fund is open for subscription only during a specified period. Investors can invest in the scheme at the time of the initial public issue and thereafter they can buy or sell the units of the sche scheme me on the the stoc stock k exch exchan ange ges s wher where e they they are are liste listed. d. In orde orderr to provide an exit route to the investors, some close-ended funds give an option of selling back the units to the Mutual Fund through periodic repurchase at NAV related prices. SEBI Regulations stipulate that at least one of the two exit routes is provided to the investor.

Interval Funds:

Interv Interval al funds funds combin combine e the featur features es of open-e open-ende nded d and closeclose-end ended ed schemes. They are open for sale or redemption during pre-determined intervals at NAV related prices.

Portfolio Management In Mutual Funds

By Investment Objective:-  Money/Cash Market Funds:

Instruments having less then one year maturity; •

Treasury bills issued by government

•

Certificates of deposit issued by governments

•

Commercial paper issued by companies

•

Inter bank call money

•

Aim to provide easy liquidity, preservation of capital and moderate income.

Gilt Funds:

Securities maturity over a year; •

Invested in government securities are called dated securities

•

Virtually zero risk of default it is backed by the government

•

It is more sensitive to market interest rates

Debt/Income Funds: •

Investment in debt instruments issued not only by Government but also by private companies, banks and financial institution and other  entities such as infrastructure companies.

•

Target low risk and stable income for investors.

•

Have higher price fluctuation as compared to money market funds due to interest rate fluctuation.

•

Have higher risk of default by borrowers as compared to Gilt funds.

•

Debt funds can be categorized further based on their risk profiles.

Portfolio Management In Mutual Funds

•

Carry both credit risk and interest rate risk.

Equity Funds: •

Invest a major portion of their surplus in equity shares issued by cos, acquired directly in initial public offering or through secondary market and keep a part in cash to take care of redemption.

•

Risk is very high than debt funds but offer very high growth potential for  the capital.

•

It can be further categorized based on investment strategy.

•

It must have along term objectives.

Balanced Funds: •

Has a portfolio of debt instrument, convertible securities, preference and equity shares.

•

Almost equal proportion of debt/money market securities and equities. Normally funds maintain a ratio of 55:45 or 60:40 some funds allocate a flexible proportion based on market conditions.

•

Aim is to gain income, capital appreciation and preservation of capital.

•

Ideal for investors for a conservative and long term orientation.

Load Funds:

A Load Fund is one that charges a commission for entry or exit. That is, each time you buy or sell units in the fund, a commission will be payable. Typically entry and exit loads range from 1% to 2%. It could be worth paying the load, if the fund has a good performance history.

No-Load Funds:

Portfolio Management In Mutual Funds

A no-Load Fund is one that does not charge a commission for entry or  exit. That is, no commission is payable on purchase or sale of units in the fund. The advantage of a no load fund is that the entire corpus is put to work.

Other Schemes:-  Tax saving Schemes

Thes These e sche scheme mes s offe offerr tax tax reba rebate tes s to the the inve invest stor ors s unde underr spec specifi ific c provisions of the Indian Income Tax laws as the Government offers tax incentives for investment in specified avenues. Investments made in Equity Linked Savings Schemes (ELSS) and pension Schemes are allowed as deduction u/s 88 of the Income Tax Act, 1961. The Act also provides opportunities to investors to save capital gains u/s 54EA by investing in Mutual Funds, provided the capital asset has been sold prior to April 1, 2000 and the amount is invested before September 30, 2000. Special Schemes:-

Industry Specific Schemes

Industry Specific Schemes invest only in the industries specified in the offer document. The investment of these funds is limited to specific industries like InfoTech, FMCG and Pharmaceuticals etc. Index Schemes

Index Funds attempt to replicate the performance of a particular index such as the BSE Sense or the NSE 50

Portfolio Management In Mutual Funds

Sector Schemes

Sector Funds are those, which invest exclusively in a specified industry or a group of industries or various segments such as 'A' Group shares or initial public offerings.

Portfolio Management In Mutual Funds

Different styles of Mutual Funds Different Mutual Funds have very different investing styles. These styles are a function of the individuals managing the fund with the overall investment objectives and policies of the organization acting as a constraint. These are manifest in things like:hold strate strategy gy versus versus freque frequent nt invest investme ment nt Portfolio Portfolio turnover  turnover  – Buy and hold changes. Kind of investments made – small versus large companies, multi baggers

(investments which yield high gains) versus percentage players (investing in shares which will give small gains in line with the market), high quality – low yield bonds versus low quality – high yield bonds. Asset allocations – Varying percentage of cash depending on aggressive

views on markets The The follo followi wing ng exam exampl ples es serv serve e to illus illustra trate te a few few styl styles es of equi equity ty fund fund managers: Some Some fund fund mana manage gers rs are are pass passiv ive e valu value e seek seeker ers s and and some some are are valu value e creators. creators. The former type buys undervalued assets and patiently waits for the market to discover the value. The latter aggressively promote the undervalued stocks that they have bought. Some fund managers restrict themselves to liquid stocks while some thrive on illiquid stocks which offer themselves easily to large price changes. Some fund managers are masters of the momentum game and seek to buy stock tocks s that that are are in market rket fan fancy. cy. They hey attac ttach h les lesser ser imp importa ortanc nce e to

Portfolio Management In Mutual Funds

fundamentals and believe that a rising stock price and favorable momentum indicators imply that fundamentals are changing. In effect, they are following the philosophy, "The trend is my friend". Other fund managers go more by deep fundamental analysis completely ignoring price movements. They do not mind price going down and are in fact happy to buy more. Some fund managers are growth investors i.e. they buy stocks with a high P/E using the forecasted growth to justify the high valuation. Others are value investors who buy shares with low P/E or P/BV multiples - typically companies rich with undervalued assets.

Portfolio Management In Mutual Funds

Process of Mutual Fund

In the above graph shows how Mutual Fund works and how investor earns money by investing in the Mutual Fund. Investors put their saving as an investment in Mutual Fund. The Fund Manager who is a person who takes the decisions where the money should be invested in securities according to the scheme’s objective. Securities include Equities, Debentures, Govt. Securities,

Portfolio Management In Mutual Funds

Bonds, and Commercial Paper etc. These Securities generates returns to the Fund Manager. The Fund Manager passes back return to the investor.

NET ASSET VALUE (NAV) The net asset value of the fund is the cumulative market value of the assets fund net of its liabilities. In other words, if the fund is dissolved or liquidated, by selli elling ng off off all the the asse assets ts in the the fund fund,, this this is the the amou amoun nt that that the the shareholders would collectively own. This gives rise to the concept of net asset value per unit, which is the value, represented by the ownership of one unit in the fund. It is calculated simply by dividing the net asset value of the fund by the number of units. However, most people refer loosely to the NAV per per unit unit as NAV, NAV, igno ignori ring ng the the "per "per unit unit". ". We also also abid abide e by the the same ame convention. Calculation of NAV The most important part of the calculation is the valuation of the assets owned by the fund. Once it is calculated, the NAV is simply the net value of assets divided by the number of units outstanding. The detailed methodology for the calculation of the asset value is given below. Asset value is equal to

Sum of market value of shares/debentures +

Liquid assets/cash held, if any

+

Dividends/interest accrued Amount due on unpaid assets

Portfolio Management In Mutual Funds

Expenses accrued but not paid Details on the above items For liquid shares/debentures, valuation is done on the basis of the last or  closing market price on the principal exchange where the security is traded. For illiquid and unlisted and/or thinly traded shares/debentures, the value has to be estimated. For shares, this could be the book value per share or an estimated market price if suitable benchmarks are available. For debentures and bonds, value is estimated on the basis of yields of comparable liquid securities after adjusting for illiquidity. The value of fixed interest bearing securities moves in a direction opposite to interest rate changes Valuation of  debentures and bonds is a big problem since most of them are unlisted and thinly traded. This gives considerable leeway to the AMCs on valuation and some of the AMCs are believed to take advantage of this and adopt flexible valuation policies depending on the situation. Interest is payable on debentures/bonds on a periodic basis say every 6 months. But, with every passing day, interest is said to be accrued, at the daily daily inte intere rest st rate rate,, whic which h is calc calcul ulat ated ed by divi dividin ding g the the perio periodi dic c inte intere rest st payment with the number of days in each period. Thus, accrued interest on a particular day is equal to the daily interest rate multiplied by the number of  days since the last interest payment date. Usually, dividends are proposed at the time of the Annual General meeting and become due on the record date. There is a gap between the dates on which which it become becomes s due due and the actual actual payment payment date. date. In the interm intermed ediate iate period, it is deemed to be "accrued". Expenses including management fees, custody charges etc. are calculated on a daily basis.

Portfolio Management In Mutual Funds

COMPA COMPANIE NIES S IN INDIA IND IA 1. ABN AMRO Mutual Fund 2. Birla Sun Life Mutual Fund 3. Bank of Baroda Mutual Fund (BOB Mutual Fund) 4. HDFC Mutual Fund 5. HSBC Mutual Fund 6. ING Vysya Mutual Fund 7. Prudential ICICI Mutual Fund 8. Sahara Mutual Fund 9. State Bank of India Mutual Fund 10. Tata Mutual Fund

11.Kotak Mahindra Mutual Fund 12. Unit Trust of India Mutual Fund 13.Reliance Mutual Fund 14.Standard Chartered Mutual Fund 15. Franklin Templeton India Mutual Fund 16. Morgan Stanley Mutual Fund India 17.Escorts Mutual Fund 18. Alliance Capital Mutual Fund 19.Benchmark Mutual Fund 20.Canbank Mutual Fund 21.Chola Mutual Fund 22.GIC Mutual Fund 23.LIC 23. LIC Mutual Fund Fund 24.Fidelity Mutual Fund

Portfolio Management In Mutual Funds

25.IL&FS Mutual Fund 26.DSP Merill lynch Mutual Fund 27.Sundaram Mutual Fund 28.Principal Mutual Fund 29.Taurus Mutual Fund 30.Deutsche Mutual fund 31.IDBI Investment Company Ltd. 32. Bank of India Mutual Fund

PORTFOLIO MANAGEMENT People have different investment objective and risk appetite so to get the highest returns asset allocation through active portfolio management is the key element. Asset allocation is a method that determines how you divide your portfolio among different investment instruments and provides you with the proper  blend of various asset classes. It is based on the theory that t hat the type or class of security you own equity, debt or money market- is more important than the particular security itself. In other  words asset allocation is way to control risk in your portfolio. Different asset class will react differently to market conditions like inflation, rising or falling interest rates or a market segment coming into or falling out of favor. Asset allocation is different from simple diversification. Suppose you diversify your equity portfolio by investing in five or ten equity funds. You really have not done much to control risk in your portfolio if all these funds come from only one particular segment of the market say large cap stocks or mid cap stocks. In case of an adverse reaction for that segment, all the funds will react similarly means they will go down.

Portfolio Management In Mutual Funds

If you build your portfolio with various top performing growth funds without really bothering to analyze their portfolio allocation, you may end up wi th overexposure to a particular segment. Another point you need to remember is that growth funds are highly correlated- they tend to move in the same direction in response to a given market force. The advantage of asset allocation lies in achieves superior returns when markets are down while minimizing the exposure of the portfolio to volatility. In fact, asset allocation is based on certain dimensions that, when combined tend to control the volatility while achieving targeted returns.

Portfolio Management Process Portfolio management is a complex activity, which may be broken down into the following steps: 1. Specificati Specification on of investme investment nt objectiv objectives es and constrain constraints: ts:

The typical objectives sought by an investor are current income, capital appreciation, safety, fixed returns on principal investment. 2. Choi Choice ce of asse assett mix mix::

The most important decision in portfolio management is the asset mix decision. This is concerned with the proportions of “Stock” or “ Units” of mutual fund or “Bond” in the portfolio. The appropriate mix of  Stock and Bonds will depend upon the risk tolerance and investment horizon of the investor. 3. Formul Formulati ation on of portf portfoli olio o strateg strategy: y:

Once the certain asset mix has been chosen an appropriate portfolio strategy has to be decided out. Two broad portfolio choices are available

Portfolio Management In Mutual Funds

An active portfolio management: it strive to earn superior risk adjusted retu return rns s by reso resorti rting ng to mark market et timi timing ng,, or sect sector or rota rotati tion on or secu securi rity ty selection or some combination of these. A passive portfolio management involves holding a broadly diversified portfolio and maintaining a pre-determined level of risk exposure. Designing a model Portfolio There are certain objectives that should keep in mind while designing a portfolio these are: • • • • • •

Higher absolute rate of return and high real rate of return Maximization current income High post tax returns Positive real return Preservation of capital Growth in capital

For my study I am making three dummy portfolios for three different kinds of  investors.

Types of Investor: 1. Cautious Investor:

It’s kind of investor who is less bothers about high returns. He wants to lowe lowerr down down his his risk risk prof profilile e and and dema demand nd for for fixe fixed d inco income me on his his investment. His main objective of investment is fixed returns with less risk. 2. Bala Balanc nced ed Inve Invest stor or::

It’s a kind of investor who is bothers about returns as well as risk. He wants moderate returns with moderate risk. 3. Aggr Aggres essi sive ve Inve Invest stor or::

It’s a kind of investor who is ready to take risk. He believes in high risk and high returns. So he only wants to invest in equity schemes.

Portfolio Management In Mutual Funds

I have made an assumption that each investor i nvestor want to invest 5 Lakh Rs.

Portfolio for Cautious Investor  Investment Instrument

Amount

Returns

Kisan Vikas Patra PPF Bank Fixed Deposits NSC Post office monthly MIP

1,50,000 Rs. 70,000 Rs. 1,00,000 Rs. 80,000 Rs. 1,00,000 Rs. 5,00,000 Rs.

8.4% p.a. 8.5% p.a. 6.5% p.a. 8.16% p.a. 8% p.a.

TOTAL

Logic behind selection of particular Instrument:

As investor does not want to take risk, he is satisfied with fixed return rather  they are less than equity investment’s returns. So I took thus instrument which provides good return as as well as secure also. All of these instruments will give him return around 8% annually.

Portfolio for Balance Investor  Investment Instrument

Amount

Returns

HDFC Prudence Fund Reliance Vision Fund Bank Fixed Deposits PPF Kisan Vikas Patra

1,30,000 Rs. 1,00,000 Rs. 1,00,000 Rs. 70,000 Rs. 1,00,000 Rs. 5,00,000 Rs.

54.2% p.a. 78.3% p.a. 6.5% p.a. 8.5% p.a. 8.4% p.a.

TOTAL

Logic behind selection of particular Instrument:

As investor does not want to take high risk, he is satisfied with fixed return plus some equity exposure. But he wants some safety in equity exposure also. So I took thus instrument which provides good return as well as safety also. Fixed return return instruments instruments like PPF, PPF, Bank FD and kisan viaks viaks patra will give him return around 8% annually and I suggest Balance kind of funds to

Portfolio Management In Mutual Funds

him where he will have exposure of both equity as well as debts. HDFC prudence fund is best performing fund under balance scheme. To increase the ratio of equity in portfolio I suggested Reliance vision fund which is mainly based on large and mid cap companies.

Portfolio for Aggressive Investor  Investment Instrument

Amount

Returns

HDFC Core & Satellite Fund Prudential ICICI Emerging Star  Fund Franklin Flexi Cap Fund Fidelity Equity Fund DSP Top 100

1,30,000 Rs. 90,000 Rs.

83.56% p.a. 93.3% p.a.

1,10,000 Rs. 80,000 Rs. 90,000 Rs. 5,00,000 Rs.

86.25% p.a. 82.4% p.a. 79.28% p.a.

TOTAL

Logic behind selection of particular particul ar Instrument:

As investor ready to take high risk, he is looking for high returns on his investment. I took thus instrument which provides good return. All of these instruments will give him return around 80% annually. Currently Mid cap companies will perform better than large cap companies so, I select more funds which are focusing on mid cap companies like HDFC, Franklin’s funds. To take the benefit of increasing Sensex I took DSP top 100.

MEASUREMENT OF RETURNS ON PORTFOLIOS The realized rate of return will be calculated by

Portfolio Management In Mutual Funds

1.

Time Weighted Rate of Re Return (TW (TWROR)

It is calculated by using Dietz Algorithm Ri= [(Pi-0.5Ci)/ (Po+0.5Ci)-1}*100 Po= Portfolio value at the beginning of the period Pi= Portfolio value at the end of the period Ci= Net contributions during time interval Ri= Rate of Return for the time ti me interval

a) Rate Rate of return return for for cautiou cautious s invest investor  or  Investment Instrument

Kisan Vikas Patra PPF Bank Fixed Deposits NSC Post office monthly MIP TOTAL

Amount

Returns

1,50,000 Rs. 70,000 Rs. 1,00,000 Rs. 80,000 Rs. 1,00,000 Rs. 5,00,000 Rs.

8.4% p.a. 8.5% p.a. 6.5% p.a. 8.16% p.a. 8% p.a.

Current Value

1,62,600 75,950 1,06,500 86,528 1,08,000 5,39,578

Time Weighted Rate of Return (TWROR)

Ri= [(Pi-0.5Ci)/ (Po+0.5Ci)-1}*100 = {(539578-0.5(0))/ (500000+0.5(0))-1}*100 = 7.91% p.a. b) Rate Rate of return return for for balance balance inve investo stor  r  Investment In Instrument

Amount

Returns

Current Value

HDFC Prudence Fund

1,30,000 Rs.

54.2% p.a.

2,00,460

Portfolio Management In Mutual Funds

Reliance Vision Fund Bank Fixed Deposits PPF Kisan Vikas Patra TOTAL

1,00,000 Rs. 1,00,000 Rs. 70,000 Rs. 1,00,000 Rs. 5,00,000 Rs.

78.3% p.a. 6.5% p.a. 8.5% p.a. 8.4% p.a.

1,78,300 1,06,500 75,950 1,08,400 6,69,610

Time Weighted Rate of Return (TWROR)

Ri= [(Pi-0.5Ci)/ (Po+0.5Ci)-1}*100 = {(669610-0.5(0))/ (500000+0.5(0))-1}*100 = 33.92%p.a. c) Rate Rate of return return for for aggress aggressive ive inve investo stor  r  Investment Instrument

Amount

Returns

Current Value

HDFC Core & Satellite Fund

1,30,000 Rs. 90,000 Rs.

83.56% p.a.

2,38,628

93.3% p.a.

1,73,790

1,10,000 Rs. 80,000 Rs. 90,000 Rs. 5,00,000 Rs.

86.25% p.a.

2,04,875

82.4% p.a. 79.28% p.a.

1,45,920 1,61,352 9,24,565

Prudential ICICI Emerging Star  Fund Franklin Flexi Cap Fund Fidelity Equity Fund DSP Top 100 TOTAL

Time Weighted Rate of Return (TWROR)

Ri= [(Pi-0.5Ci)/ (Po+0.5Ci)-1}*100 = {(924565-0.5(0))/ (500000+0.5(0))-1}*100 = 84.91%p.a.

Portfolio Management In Mutual Funds

Phase II Scheme Portfolio

Scheme Portfolio:

Like investors portfolio different scheme under mutual fund have different portfolio. portfolio. By scheme scheme portfolio we mean portfolio portfolio or companies companies in which which fund

Portfolio Management In Mutual Funds

manager invested the fund. The selection of companies depend upon many issue which have great impact in current scenario as well as in near future. Fund manager has to do lot of research before investing into particular script. Before going into detail one should understand Sensex movement. Mutual fund returns are based on Sensex. Their Net Asset Value is directly related to Share market. The below table shown the Sensex change on monthly basis. Means what is % change in Sensex during one month.

Sensex Journey

Percentage Changes at the End of the Day Date

Opening

Closing

Change

30-Sep-08 3-Oct-08 31-Oct-08 2-Nov-08 30-Nov-08 2-Dec-08 30-Dec-08 2-Jan-09 31-Jan-09 2-Feb-09 28-Feb-09 2-Mar-09

8,672.66 8,662.99 7,717.07 7,953.28 8,962.92 9,010.58 9,339.32 9,422.49 9,892.23 9,890.90 10,308.71 10,597.19

8,634.48 8,697.65 7,892.32 8,072.75 8,788.81 8,961.61 9,397.93 9,390.14 9,919.89 9,843.87 10,370.24 10,626.78

-38 35 175 119 -174 -49 58 -32 27 -47 62 29

31-Mar-09

11,325.96

11,279.96

-46

Change in %

-0.43 0.44 2.26 1.49 -0.19 -0.54 0.62 -0.33 0.27 -0.47 0.61 0.27 -0.4 1

Percentage Changes at the End of the Month Date

Opening

Closing

Change In Closing Prices

Change in %

30-Sep-08 8,672.66

8,634.48

Nil

Nil

Portfolio Management In Mutual Funds

31-Oct-08 30-Nov-08 30-Dec-08 31-Jan-09 28-Feb-09 31-Mar-09

7,717.07 8,962.92 9,339.32 9,892.23 10,308.71 11,325.96

7,892.32 8,788.81 9,397.93 9,919.89 10,370.24 11,279.96

74 2

8.59

896 609 522 451 909

11.35 6.92 5.55 4.54 8.76

Sensex has boomed with lots of ups and down from last year. It seems very fluctuating.

Portfolio Management In Mutual Funds

For my study purpose I have taken HDFC Equity Fund and HDFC Core & Satellite Fund. What is their portfolio means in which companies the fund manag manager er invest invested ed the fund. fund. How he has alloca allocated ted funds funds among among various various indust industries ries as well well as vario various us compan companies ies.. After After studyi studying ng both both the fund’s fund’s portfolio I compare them with reliance Growth fund, Prudential ICICI Growth Fund, DSP Tiger Fund and Kotak Opportunity Fund. Comparison is based on per month returns and Sensex returns during the same period.

Portfolio Management In Mutual Funds

HDFC Equity Fund Portfolio Top 10 Holdings For October  S. No.

Company

Industry

1 2 3 4

Oil & Natural Gas Corporation Ltd. State Bank of India Infosys Technologies Ltd. Satyam Computer Services Ltd.

5 6 7 8

Bhar Bharat at Heav Heavy y Ele Elect ctri rica cals ls Ltd. Ltd. Amtek Auto Ltd. Maruti Udyog Ltd. United Phosphorus Ltd.

9 Crom Crompt pton on Grea Greave ves s Ltd. Ltd. 10 Mahindra & Mahindra Ltd.

Oil Banks Software Software Industrial Capital Goods Auto Ancillaries Auto Ancillaries Pesticides Industrial Capital Goods Auto Top 10 Holdings Others Equity Holdings TOTAL

NAV Changed During the Month (GROWTH) Date NAV Change % Change

1, Oct 2008 31, Oct 2008

93.055 88.295

-4.76

-5.11

Compare returns with Sensex Movement Date Closing Change % change

30-Sep08 31-Oct08

8,634.4 8 7,892.3 2

-742

-8.59

% of NAV

9.11 9.02 7.97 7.68 7.25 6.05 5.21 4.69 4.67 4.54 66.09 33.91 100

Portfolio Management In Mutual Funds

HDFC Equity Fund Portfolio Top 10 Holdings For December  S. No.

Company

1 2 3 4 5

Industry

Oil & Natural Gas Corporation Ltd. Infosys Technologies Ltd. Ta Tata Motors Ltd. Satyam Computer Services Ltd. State Bank of India

6 Crom Crompt pton on Grea Greave ves s Ltd. Ltd. 7 Amtek Auto Ltd. 8 Mahindra & Mahindra Ltd. 9 Bhar Bharat at Heav Heavy y Ele Elect ctri rica cals ls Ltd. Ltd. 10 Maruti Udyog Ltd.

Oil Software Auto Software Banks Industrial Capital Goods Auto Ancillaries Auto Industrial Capital Goods Auto Ancillaries Top 10 Holdings Others Equity Holdings TOTAL

% of NAV

9.14 8.91 8.67 7.72 5.19 4.87 4.76 4.45 4.44 4.36 62.51 37.49 100

NAV Changed During the Month (GROWTH) Date NAV Change % Change

1, Dec 2008 3o, Dec 2009

102.827 107.009

4.182

4.06

Compare returns with Sensex Movement Date Closing Change % change

30-Nov08 30-Dec08

8,788.8 1 9,397.9 3

609

6.92

In the month of December Sensex has grown by 6.92% but fund’s return were only 4.06% which indicating towards lower performance of fund.

Portfolio Management In Mutual Funds

HDFC Equity Fund How Fund's Portfolio effected Returns

October Industry

Software Industrial Capital Goods Auto Banks Oil Auto Ancillaries Pesticides Power Transportation Petroleum Products Hardware Textile Metals Pharmaceuticals Chemicals

December

 

% Of Allocation

Industry

% Of Allocation

19.97

So Software

20.14

13.73 12.73 9.28 9.11 8.68 4.69

Auto Industrial Capital Goods Oil Banks Auto Ancillaries Pe Pesticides Consumer Non Durables Transportation Metals Gas Pharmaceuticals Hardware Textile Ch Chemicals Telecom-service Construction IT Consulting & Services

17.48 13.77 9 .1 4 7 .7 3 7 .1 9 3 .9 8

4.07 2.74 2.41 2.11 1.92 1.76 1.45 0.88

Oct-Dec Month Portfolio Industry Change Software 0.17 Auto 4.75 Industry Capital Goods 0.04 Oil 0.03 Banks -1.55 Auto Ancillaries -1.49 Pesticides -0.71 Consumer Non Durables 3.27

3 .2 7 3 .1 5 2 .2 5 2 .0 1 1 .6 3 1.5 2 .5 7 0 .8 2 0 .7 9 0 .2 1 0 .0 9

Portfolio Management In Mutual Funds

Transportation Metals

0.41

Gas Pharmaceuticals Hardware Textile Chemicals

0.51 2.01 0.18 -0.61 0.66 -0.06

Tata Motors Share Benefit Chang % Date Price e Change 31, Oct 2008 472 31, dec2008 639.55 167.55 35.49%

Fund manager added auto industry by taking Tata motors to 8.67 % which had no exposure in the month of October in the portfolio. During that time Tata Motors has grown from 472 to 639.55 Rs means 35.49% increase which fletched fund performance in to positive. So, fund manager decision of taking Tata Motors has proved right.

Date 31, Oct 2008 31, dec2008

Amtek Share Benefit Chang Price e % Change 273.7 297 24 8.79%

Fund manager reduced Amtek exposure in the portfolio by 1.26 % which proved right because its share price rose only by 8.79% where Sensex was increasing at 19.2%.so Amtek performed lower than market so its good to sell this script from portfolio.

HDFC Equity Fund

Portfolio Top 10 Holdings For April S. No.

1 2 3 4

Company

Industry

Ta Tata Motors Ltd. State Bank of India Infosys Technologies Ltd. Oil & Natural Gas Corporation

Auto Banks Software Oil

% of NAV

9.04 8.13 8.04 7.89

Portfolio Management In Mutual Funds

Ltd. 5 Satyam Computer Services Ltd. 6 Bhar Bharat at Heav Heavy y Ele Elect ctri rica cals ls Ltd. Ltd. 7 Maruti Udyog Ltd. 8 Crom Crompt pton on Grea Greave ves s Ltd. Ltd. 9 Siemens Lt Ltd. 10 Amtek Auto Ltd.

Software Industrial Capital Goods Auto Ancillaries Industrial Capital Goods Industrial Capital Goods Auto Ancillaries Top 10 Holdings Others Equity Holdings TOTAL

7.44 5.55 5.23 5.17 4.47 3.94 64.9 35.1 100

NAV Changed During the Month (GROWTH) Date

NAV

1, Aprl 2009 30, Aprl 2009

Change

% Change

0.88 0.88

107.009 132.31

Beta

29.30

23.64

Compare returns with Sensex movement Date

Closing

30 march 09 11329.05 31 april 09 14700.01

Change

% change

2677.96

23.64

Industry Wise Allocation April Industry

Software Auto Industry Capital Goods Oil Banks Auto Ancillaries

May % Of Allocation

20.14 17.48 13.77 9.14 7.73 7.19

Industry

Software Auto Industry Capital Goods Banks Oil Auto Ancillaries

% Of Allocation

22.03 18.16 15.35 8 .6 7.89 6.65

Portfolio Management In Mutual Funds

Pesticides Consumer Non Durables Transportation Metals Gas Pharmaceuticals Hardware Textile Chemicals Telecom-service Construction IT Consulting & Services

3.98 Consumer Non Durables

3.94

3.27 3.15 2.25 2.01 1.63 1 .5 2.57 0.82

3.93 2.84 2 .1 1.85 1.42 1.38 2.04 0 .7

Pesticides Transportation Gas Metals Pharmaceuticals Hardware Textile Chemicals IT Consulting & 0.79 Services 0.21 0.09

April-May Month Portfolio Industry Change Software Auto Industry Capital Goods Oil Banks Auto Ancillaries Pesticides Consumer Non Durables Transportation Metals Gas Pharmaceuticals Hardware Textile Chemicals

1.89 0.68 1.58 -1.25 0.87 -0.54 -0.05 0.67 -0.29 -0.4 0.09 -0.19 -0.12 -0.5 -0.12

0 .1

Portfolio Management In Mutual Funds

Siemens Share Benefit Date

Beta

Price Change % Change 30, 30, Apr Apriil 200 2009 9 3625 3625.8 .85 5 31, May 2009 4486 860.15 23.72

1.29 1.4

Add siemens to 4.47 which had no exposure in the month of December in the portfo portfolio lio.. During During that that time time sieme siemens ns has grown from 3625. 3625.85 85 to 4486 4486 Rs means 23.72% increase which fletched fund performance at good rate.

HDFC Equity Fund

S. No.

1 2 3 4 5 6 7 8 9

Portfolio Top 10 Holdings For February Company Industry Infosys Technologies Ltd. Software State Bank of India Banks Satyam Computer Services Ltd. Software Industrial Capital Bhara Bharatt Hea Heavy vy Elec Electr tric ical als s Ltd. Ltd. Goods Oil & Natural Gas Corporation Ltd. Oil Ta Tata Motors Ltd. Auto Maruti Udyog Ltd. Auto Ancillaries Consumer Non ITC Ltd. Durables Amtek Auto Ltd. Auto Ancillaries Top 10 Holdings Others Equity Holdings TOTAL

% of NAV

8.78 7.92 7.24 7.05 6.58 6.55 6.04 5.97 5.48 61.61 38.39 100

Portfolio Management In Mutual Funds

NAV Changed During the Month (GROWTH) Date NAV Change % Change

1, Feb 2009 28, Feb 2009

0.83 0.83

113.063 116.844

Beta

3.781

3.344

Compare returns with Sensex Movement Date Closing Change % change

31-Jan06 28-Feb06

9236 8800

436

-4.72

Industry Wise Allocation January

Industry

Software Auto Industry Capital Goods Banks Oil Auto Ancillaries Consumer Non Durables Pesticides Transportation

February % Of  Allocatio n

22.03 18.16 15.35 8 .6 7.89 6.65 3.94 3.93 2.84

Industry

Software Industry Capital Goods Auto Consumer Non Durables Auto Ancillaries Ba Banks Oil Pesticides Transportation

% Of  Allocatio n

21.06 17.32 12.59 10.16 8.9 7.92 6.58 3.7 2.32

Portfolio Management In Mutual Funds

Gas Metals

2.1 Metals Pharmaceuticals

Pharmaceuticals Hardware Textile Chemicals IT Consulting & Services

1.42 1.38 2.04 0 .7 0 .1

Hardware Textile Chemicals IT Consulting & Services

Jan-Feb Month Portfolio Industry Change Software -0.97 Industry Capital Goods 1.97 Auto -5.57 Consumer Non Durables 6.22 Auto Ancillaries 2.25 Banks -0.68 Oil -1.31 Pesticides -0.23 Transportation -0.62 Metals -0.07 Pharmaceuticals 0.03 Hardware -0.09 Textile 0.05 Chemicals -0.03 IT Consulting & Services 0.02

ITC Share Benefit Date 31, Jan 2006 28, Feb 2006

Price Change 154.8 172.45 17.65

% Change 11.41

Add ITC to 5.97 which had no exposure in the month of January in the portfolio. During that time ITC has grown from 154.8 to 172.45 Rs means

1.78 1.45 1.29 2.09 0.67 0.12

Portfolio Management In Mutual Funds

11.41% increase which is higher than Sensex 4.54% growth, this decision gave return at 3.44%. Crompton Greaves Share Benefit Date 31, Jan 2006 28, Feb 2006

% Change Change

Price 906.35 892.45

-13.9

-1.53

Reduce share of Crompton Greaves which had less exposure in the month of  February than January in the portfolio. During that time Crompton has felt from from 906. 906.35 35 to 892. 892.45 45 Rs mean means s 1.53 1.53% % decr decrea ease se.. Due Due to this this fund fund’s ’s performance has not felt. HDFC Equity Fund

SR. No.

1 2 3 4 5 6 7 8 9 10

Portfolio Top 10 Holdings For March Company Industry Infosys Technologies Ltd. Software State Bank of India Banks ITC Ltd. Consumer Non Durables Satyam Computer Services Ltd. Software Tata Motors Ltd. Auto Bharat Heavy Electricals Ltd. Industrial Capital Goods Maruti Udyog Ltd. Auto Ancillaries Crompton Greaves Ltd. Industrial Capital Goods Siemens Ltd. Industrial Capital Goods Amtek Auto Ltd. Auto Ancillaries Top 10 Holdings Others Equity Holdings TOTAL

NAV Changed During the Month (GROWTH) Date

1, Mar 2009

NAV

116.844

Change

% Change

Beta

0.88

% of NAV

8.72 7.88 7.81 6.86 5.87 5.71 5.5 5.06 4.78 4.57 62.76 37.24 100

Portfolio Management In Mutual Funds

31, Mar 2009

127.151

10.307

8.821

0.88

Compare returns with Sensex Movement Date 28-Feb-06 31-Mar-06

Closing 8800 9568.14

Change

% change

768.14

8.73

Industry Wise Allocation February Industry

Software Industry Capital Goods Auto Consumer Non Durables Auto Ancillaries Banks Oil Pesticides Transportation Metals Pharmaceuticals Hardware Textile Chemicals IT Consulting & Services

March % Of Allocation

Industry

% Of Allocation

21.06 Software 17.32 Industry Capital Goods Consumer Non 12.59 Durables

12.46

10.16 8.9 7.92 6.58 3.7 2.32 1.78 1.45 1.29 2.09 0.67

11.37 7.88 7.67 3.86 3.29 2.87 2.65 2.13 1.86 1.81 2.05

Feb-March Month Portfolio

Auto Ba Banks Au Auto Ancillaries Oil Media & Entertainment Pesticides Telecom- Services Metals Transportation Hardware Textile

0.12 Pharmaceuticals Chemicals IT Consulting & Services

18.09 17.35

1.09 0.87 0.08

Portfolio Management In Mutual Funds

Industry Software

Change -2.97 0.03 2.3 -1.22 -0.04 -1.23 -2.72 3.29 -0.83 2.65 0.35 -0.46 0.52 -0.04 -0.36 0.2 -0.04

Industry Capital Goods Consumer Non Durables Auto Banks Auto Ancillaries Oil Media & Entertainment Pesticides Telecom- Services Metals Transportation Hardware Textile Pharmaceuticals Chemicals IT Consulting & Services

Crompton Greaves Share Benefit Date 28, Feb 2006 31, March 2006

Price Change 892.45 1049.3

156.85

% Change

17.57

Add share of Crompton Greaves which had less exposure in the month of  February in the portfolio. During March Crompton has grown from 892.45 to 1049.3 Rs means 17.57% increase. So, these decision results in 8.4% return on fund. Satyam Computer Share Benefit Date 28, Feb 2006 31, March 2006

Price Change 769.65 848.5

78.85

% Change

10.24

Portfolio Management In Mutual Funds

Satyam computer has grown at the rate of 10.24% which is 20% higher than Sensex growth in that time period. Prudential ICICI Growth Fund

January S. No

1 2 3 4 5 6 7 8 9 10

Companies

Hindalco Industry Ltd. Bharat Heavy Electricals Limited Associated Cement Companies Ltd Oil & Natural Gas Company Ltd Grasim Industries Limited Reliance Industries Limited Satyam Computer Services Ltd. Jaiprakash Associates Ltd Mahindra & Mahindra Limited ITC Limited

Industry

Non Ferrous Metals Industrial Capital Goods Cement Oil Cement Petroleum Products Software Construction Auto Consumer Non Durables

Industry Wise Allocation

NAV Changed During the Month (GROWTH) Date NAV Change % Change

Beta

1, Jan 2009

0.98

68.7

% of NAV

5.43 4.16 3.87 3.73 3.47 3.36 3.14 3.08 3.03 3

Portfolio Management In Mutual Funds

31, Jan 2009

70.42

1.72

2.5

0 .9 8

In January, ICICI Growth Fund has given only 2.5% returns where HDFC Equi Equity ty Fund Fund has has give given n 5.34 5.34% % retu return rns. s. So we can can say say that that HDFC HDFC has has performed better in January. Reliance Industry Share Benefit Date 31, Dec 2008 31, Jan 2009

Price Change 897.85 713.9 -183.95

% Change -20.4

In the month of January Reliance Industry’s share price has come down to 713.9 Rs which is 20.4% lesser than December price. ICICI has exposure of  reliance industry in to portfolio which harms the fund’s overall returns. Jai Prakash Associate Share’s Benefit Date 31, Dec 2008 31, Jan 2009

% Price Change Change 379.9 408.25 28.35 7.46

ICICI has exposure of Jai Prakash Associates which has rose by 7.46% in January month. HDFC Mutual fund did not have Jai Prakash’s exposure in their portfolio.

Prudential ICICI Growth Fund

February S. No

1 2 3 4

Companies

Industry

Bhar Bharat at Hea Heavy vy Ele Elect ctri rica cals ls Lim Limit ited ed Jaiprakash Associates Ltd Reliance Industries Limited ITC ITC Limi Limited ted

Industrial Capital Goods Construction Petroleum Products Cons Consum umer er Non Non

% of NAV

4.84 4.14 3.99 3.82 3.82

Portfolio Management In Mutual Funds

5 Grasim Industries Limited Associated Cement Companies 6 Ltd 7 Bajaj Auto Limited 8 Satyam Computer Services Ltd. 9 Mahindra & Mahindra Limited 10 Oil & Natural Gas Company Ltd

Durables Cement

3.73

Cement Auto Software Auto Oil

3.71 3.68 3.45 3.44 3.44

Industry Wise Allocation

NAV Changed During the Month (GROWTH) Date NAV Change % Change

1, Feb 2009 28, Feb 2009

0.96 0.96

70.42 71.79

Beta

1.37

1.94

Portfolio Management In Mutual Funds

In February market has boomed by 4.54% where HDFC Equity fund has given 3.33% returns. So it has performed similar to market trend but ICICI Growth fund has given only 1.94% in same period. So, we can say that this fund has performed lower than market.

Prudential ICICI Growth Fund

March S. No

Companies

1 Bhar Bharat at Hea Heavy vy Ele Elect ctri rica cals ls Lim Limit ited ed 2 Reliance Industries Limited 3 Lars Larsen en & Tou Toubr bro o Lim Limit ited ed 4 ITC Limited 5 Siem Siemen ens s Indi India a Limi Limite ted d 6 Bajaj Auto Limited Associated Cement Companies 7 Ltd 8 Mahindra & Mahindra Limited 9 Cipla Limited 10 Grasim Industries Limited

Industry Wise Allocation

Industry

Industrial Capital Goods Petroleum Products Industrial Capital Goods Consumer Non Durables Industrial Capital Goods Auto Cement Auto Pharmaceuticals Cement

% of NAV

4.84% 4.64% 4.03% 3.91% 3.82% 3.52% 3.49% 3.32% 3.28% 3.17%

Portfolio Management In Mutual Funds

NAV Changed During the Month (GROWTH) Date NAV Change % Change

1, March 2009 31, March 2009

Beta

0.78 71.79 0.78 80.94

9.15

12.74

ICICI Growth fund has grown up by 12.74% in March where HDFC Equity Fund has grown only by 8.8% CIPLA Share’s Benefit Date 31, Dec 2008 31, Jan 2009

Price Change 552.15 662.25 110.1

% Change 19.94

ICICI has CIPLA script in their portfolio which has grown to 662.25 Rs. It has rose by 19.94% in March month. HDFC did not have CIPLA’s exposure. This script has the main reason behind ICICI better performance over HDFC.

Portfolio Management In Mutual Funds

Reliance Growth Fund

January S. No.

1 2 3 4 5 6 7 8 9 10

Companies

Bharat Earth Movers Ltd. Kirloskar Brothers Crompton Greaves Ltd. Hindustan Lever Ltd. State Bank of India Strides Arcolabs Ltd. United Phosphorous Jindal Saw Ltd. Jaiprakash Associates Reliance Industries Ltd.

% of NAV

4.96 3.84 2.99 2.64 2.58 2.35 2.26 2.2 2.11 2.08

Industry Wise Allocation S. No.

Industry

1 2 3 4 5 6 7 8 9 10 11 12 13

Industry Capital Goods Consumer Non Durable Industrial Products Software Banks Pharmaceuticals Ferrous Metals Fertilizers Ch Chemicals Construction Auto Ancillaries Pesticides Petroleum Products

% Of Allocation

10.44 10.41 9.34 8.92 7.25 6.1 5.16 3.09 3.09 2.8 2.33 2.26 2.08

Portfolio Management In Mutual Funds

14 Auto 15 Telecom Services

2.05 1.86

Reliance Growth Fund

March S. No.

1 2 3 4 5 6 7 8 9 10

Companies

% of NAV

Bharat Earth Movers Ltd. Reliance Industries Ltd. Kirloskar Brothers Bombay Dying Ltd. Bank of Baroda Crompton Greaves Ltd. Jaiprakash Associates Strides Arcolabs Ltd. Jindal Saw Ltd. JSW Steels Ltd.

4.91 4.6 4.18 2.66 2.58 2.57 2.31 2.16 2.1 2.04

Industry Wise Allocation S. No.

Industry

1 2 3 4 5 6 7 8

Industry Capital Goods Industrial Products Consumer Non Durable Software Pharmaceuticals Banks Ferrous Metals Petroleum Products

% Of Allocation

10.76 10.19 8.37 8.17 7.78 7.19 6.98 5.95

Portfolio Management In Mutual Funds

9 Ch Chemicals 10 Construction 11 Fertilizers 12 Telecom Services 13 Auto 14 Auto Ancillaries 15 Pesticides

4.55 3.11 2.78 2.56 2.34 2.19 2.14

NAV Changed During the Month (GROWTH) Date

NAV

1, Mar 2009 31, Mar 2009

207.15 229.76

Change

% Change

22.61

10.91

Beta

0.87 0.87

Reliance growth fund has given 10.91% returns to investors in the month of  March where market has boomed by only 8.4%. In the same month HDFC Equity fund has given only 8.84 % returns.

Kirloskar Brother Share’s Benefit

Date 28, Feb 2009 31, Mar 2009

Price Change 196.55 291.7 95.15

% Change 48.41

Kirloskar Brother Share price has risen from 196.55 to 291.7 Rs. This means 48.41% increase in March month. HDFC Mutual Fund had not this script into their portfolio.

Bombay Dyeing Share’s Benefit Date 28, Feb 2009 31, Mar 2009

Price Change 375.35 596 220.45

% Change 58.71

Portfolio Management In Mutual Funds

Bombay Dyeing shares have grown by 58.71% where the overall Sensex has grown only by 8.76% Reliance has 4.18% exposure to this script.

JSW Steel Share’s Benefit Date 28, Feb 2009 31, Mar 2009

Price Change 205.1 302.85 97.75

% Change 47.61

In the month of March JSW Steel has moved to 302.85 Rs which was 47.61% increase. Reliance has 2.04% exposure to this script.

HDFC Equity Fund February

Portfolio Management In Mutual Funds

S. No.

Company

% of NAV

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27

Infosys Technologies Ltd. State Bank of India Satyam Computer Services Ltd. Bharat Heavy Electricals Ltd. Oil & Natural Gas Corporation Ltd. Tata Motors Ltd. Maruti Udyog Ltd. ITC Ltd. Amtek Auto Ltd. Crompton Greaves Ltd. Si Siemens Ltd. Unit United ed Phos Phospho phoru rus s Limi Limited ted Nestle India Ltd. Balkrishna Industry Ltd. I-fl I-flex ex Solu Soluti tion ons s Limi Limited ted Container Corporation of India Ltd. HCL Technology Ltd. ISMT Ltd. Dishman Pharmaceuticals & Chemicals Brit Britan anni nia a Indus Industr trie ies s Limi Limited ted CMC Ltd. Larsen & Toubro Ltd. Indo Rama Rama Synthet Synthetics ics (India) (India) Limite Limited d Himatsinka Seilde Ltd. J K Indu Indust stri ries es Limi Limite ted d Savi Savita ta Chemi Chemica cals ls Limi Limited ted Datamat Datamatics ics Technol Technologie ogies s Limite Limited d TOTAL

8.78 7.92 7.24 7.05 6.58 6.55 6.04 5.97 5.48 4.8 4.25 3.7 3.7 2.87 2.5 2.42 2.42 2.32 2.29 1.78 1.45 1.32 1.32 1.29 1.22 1.06 1.03 0.92 0.92 0.67 0.67 0.33 100

Portfolio Management In Mutual Funds

March S. No.

Company

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28

Infosys Technologies Ltd. State Bank of India ITC Ltd. Satyam Computer Services Ltd. Tata Motors Ltd. Bharat Heavy Electricals Ltd. Maruti Udyog Ltd. Crompton Greaves Ltd. Siemens Ltd. Amtek Auto Ltd. ONGC Zee Tele films Ltd. Unite United d Phos Phosph phoru orus s Limi Limited ted Nestle India Ltd. Bharti Tele-ventures Ltd. Balkrishna Industry Ltd. HCL Technology Ltd. ISMT Ltd. Hindustan Lever Ltd. Container Corporation of India Ltd. CMC Ltd. Larsen & Toubro Ltd. Himatsinka Seilde Ltd. Disahman Pharmaceuticals & Chemicals Indo Rama Rama Synthet Synthetics ics (India) (India) Limite Limited d Savi Savita ta Chem Chemic ical als s Limi Limited ted J K Indus Industr trie ies s Limi Limited ted Datamati Datamatics cs Techno Technolog logies ies Limite Limited d TOTAL

% of NAV

8.72 7.88 7.81 6.86 5.87 5.71 5 .5 5.06 4.78 4.57 3.86 3.29 2.87 2.87 2.78 2.65 2.35 2.25 2.13 1.87 1.86 1.81 1 .8 1.15 1.09 0.9 0.87 0.87 0.75 0.75 0.26 100

Portfolio Management In Mutual Funds

Change in Portfolio

Companies United Phosphorus Limited Tata Motors Ltd. State Bank of India Siemens Ltd. Savita Chemicals Limited Satyam Computer Services Ltd. ONGC Nestle India Ltd. Maruti Udyog Ltd. Larsen & Toubro Ltd. J K Industries Limited ITC Ltd. ISMT Ltd. Infosys Technologies Ltd. Indo Rama Synthetics (india) Limited Himatsinka Seilde Ltd. HCL Tecnology Ltd. Disahman Pharmaceuticals & Chemicals Datamatics Technologies Limited Crompton Greaves Ltd. Container Corporation of India Ltd. CMC Ltd. Bharat Heavy Electricals Ltd. Balkrishna Industry Ltd. Amtek Auto Ltd. Zee Tele Films Ltd. Bharti Tele-ventures Ltd. Hindustan Lever Ltd. I-Flex Solution Ltd. Britannia Industry Ltd.

Change -0.83 -0.68 -0.04 0.53 0.2 -0.38 -2.72 -0.09 -0.54 0.58 -0.17 1.84 0.35 -0.06 -0.16 0.84 -1.14 0.8 0.76 -4.54 2.74 0.57 -5.24 0.15 0.23 3.29 2.65 1.87 -2.42 -1.32

Portfolio Management In Mutual Funds

Zee Tele Films Share's Effect % Date Price Change Change 28, Feb 20 2009 176.6 31, Mar 2009 239 62.4 35.33

Fund adds exposure of zee tele films into portfolio by 3.29 % which has increased by 35.33% during March. In the same time period market has boomed only by 8.76%.

Date 28, Feb 2009 31, Mar  2009

I- Flex Share's Effect % Price Change Change 1063. 5 1327

263.5

24.77

Fund eliminate I flex solution from its portfolio which has increased by 24.77% during March.

Hindustan Lever Ltd. Share's Effect % Date Price Change Change 28, Feb 20 2009 243.7 31, Mar 2009 272 28.3 11.61

Fund added Hindustan Lever Ltd. into their portfolio which has risen by 11.61% during March.

Portfolio Management In Mutual Funds

ITC Ltd. Share's Effect % Date Price Change Change 28, Feb 172.4 2009 5 31, Mar  195.1 2009 5 22.7 13.16

Fund added ITC Ltd. into portfolio which has risen 13.16% during March.

Crompton greaves Ltd. Share's Effect % Date Price Change Change 28, Feb 2009 892 31, Mar  1049. 2009 5 157.5 17.61

Fund reduces the share of Crompton from portfolio which has increased by 17.61% during March.

Core & Satellite Fund

Nature of scheme : Open ended growth scheme Objective: To generate capital appreciation through equity investment in companies whose shares are quoting at prices below their true value. Fund Manager : Dhawal Mehta Inception Date : September 17, 2004

Core & Satellite Fund Portfolio Top 10 Holdings For October  S. No.

Company

1 State Bank of India 2 Bhara Bharatt Hea Heavy vy Elec Electr tric ical als s Ltd. Ltd.

Industry

Banks Industrial Capital Goods

% To NAV

8.83 7.95

Portfolio Management In Mutual Funds

3 Infosys Technologies Ltd. 4 Tata Motors Ltd. 5 Satyam Computer Services Ltd. 6 ITC Ltd. 7 Crom Crompt pton on Grea Greave ves s Ltd. Ltd. 8 Hindalco Industries Ltd. 9 United Phosphorus Ltd. Hindustan Construction Company 10 Ltd.

Software

7.73

Auto Software Consumer Capital Goods Industrial Capital Goods Non- Ferrous Metals Pesticides

7.17 6.34

Construction Top 10 Holdings Others Equity Holdings TOTAL

5.27 4.96 4.74 4.22 4.07 61.28 28.72 100

NAV Changed During the Month (GROWTH) Date

NAV

1, oct 2008 31, oct 2008

17.18 15.699

Change

% Change

(-1.481)

(-8.6)

Beta

1.03 1.03

Compare returns with Sensex Movement Date

Closing

Change

30-Sep-08

8,634.48

31-Oct-08

7,892.32 (-742)

% change

(-8.59)

Core & Satellite Fund Portfolio Top 10 Holdings For December  S. No.

Company

1 Satyam Computer Services Ltd. 2 Bharat Heavy Electricals Ltd. 3 Tata Motors Ltd. 4 St State Bank of India

Industry

Software Industrial Capital Goods Auto Banks

% To NAV

6 .7 8 6 .6 5 6 .3 3 6 .2 1

Portfolio Management In Mutual Funds

5 Infosys Technologies Ltd. 6 Crompton Greaves Ltd. 7 Hindustan Construction Company Ltd. 8 ITC Ltd. 9 Hindalco Industries Ltd. 10 Hindustan zinc Ltd.

Software

5.5

Industrial Capital Goods Construction Consumer Non Durable Non- Ferrous Metals Non- Ferrous Metals Top 10 Holdings Others Equity Holdings Total

5 .3 5 5 .1 8 5 .1 5 4 .1 4 3 .7 5 55.04 28.72 100

NAV Changed During the Month (GROWTH) Date

NAV

1, Dec 2008 30, Dec 2008

Change

% Change

Beta

0.87 0.87

17.542 18.822

1.28

7 .2

Compare returns with Sensex Movement Date

30-Nov08 30-Dec08

Closing

Change

% change

8,788.8 1 9,397.9 3

609

6.92

Industry Wise Allocation

October Industry

Industry Capital Goods Software Banks Auto Ancillaries Non-Ferrous Metals Auto Pesticides

December % Of Allocation

22.15 15.61 12.61 11.12 8.48 7.17 5.42

Industry

Industry Capital Goods Software Au A uto Ancillaries Ba Banks Non-Ferrous Metals Auto Co Construction

  % Of  Allocation

21.42 14.03 10.76 9 .7 5 7 .8 9 6 .3 3 5 .1 8

Portfolio Management In Mutual Funds

Consumer Non Durable Construction Industrial Products Chemicals Consumer Durables Power

5.27 Consumer Non Durable

5 .1 5

4.07 2.67 1.71 1.29 0.53

4 .9 6 2 .9 4 2 .1 2 1 .4 3

Pesticides Industrial Products Chemicals Consumer Durables

Oct-Dec month portfolio Industry

Change

Industry Capital Goods Software Auto Ancillaries Banks Non-Ferrous Metals Auto Construction Consumer Non Durable Pesticides Industrial Products Chemicals Consumer Durables

-0.73 -1.58 -0.36 -2.86 -0.59 -0.84 - 0 .5 1.11 -0.12 0.27 0.41 0.14

Hindustan Construction Ltd. Share Benefit Date Price Change % Change 31, Oct 2008 853.85 31, Dec2008 127.2

Fund bought Hindustan Construction Ltd. shares.

Core & Satellite Fund

Portfolio Top 10 Holdings For January S. No.

Company

1 Infosys Technologies Ltd. 2 Tata Motors Ltd. 3 Bharat Heavy Electricals Ltd.

Industry

Software Auto Industrial Capital Goods

% To NAV

8.94 8.48 8.08

Portfolio Management In Mutual Funds

4 Satyam Computer Services Ltd. 5 Crompton Greaves Ltd. 6 State Bank of India 7 ITC Ltd. 8 Hindustan zinc Ltd. 9 Hindalco Industries Ltd. 10 United Phosphorus Ltd.

Software

6.44

Industrial Capital Goods Banks Consumer Non Durable Non- Ferrous Metals Non- Ferrous Metals Pesticides Top 10 Holdings Others Equity Holdings Total

5.98 5.69 5.26 5.25 4.79 3.91 62.82 37.18 100

NAV Changed During the Month (GROWTH) Date

NAV

1, Jan 2009 31, Jan 2009

Change

% Change

Beta

0.90 0.90

18.822 20.609

1.78

9.49

Compare returns with Sensex movement Date

Closing

Change

% change

9,397.9 3 9,919.8 9

522

5.55

30-Dec08 31-Jan09

Industry Wise Allocation

December Industry

Industry Capital Goods Software Auto Ancillaries Banks Non-Ferrous Metals Auto Construction

January % Of Allocation

21.42 14.03 10.76 9.75 7.89 6.33 5.18

Industry

Industry Capital Goods Software Non-Ferrous Metals Banks Auto Ancillaries Auto Consumer Non

% Of Allocation

24.12 16.99 10.04 9.73 8.99 8.48 5.26

Portfolio Management In Mutual Funds

Durable Consumer Non Durable 5.15 4.96 2.94 2.12 1.43

Pesticides Industrial Products Chemicals Consumer Durables

Pe Pesticides Construction Industrial Products Co C onsumer Durables Ch C hemicals

3.91 3.73 3.52 1.43 1.01

Dec-Jan month portfolio Industry

Change

Industry Capital Goods Software Non-Ferrous Metals Banks Auto Ancillaries Auto Consumer Non Durable Pesticides Construction Industrial Products Consumer Durables Chemicals

2.7 2.96 2.15 -0.02 -1.77 2.15 0.11 -1.05 -1.45 0.58 Nil -1.11

Infosys Share effect Date 31, Dec2008 31, Jan 2009

% Price Change Change 2979.4 2880.3 -99.1 3.33

Fund has increased the share of Infosys in to portfolio by 3.5%. The share price of Infosys during that time period has failed down to 2880.3 Rs. Its 3.33% lower than the price in the beginning of January. Core & Satellite Fund Portfolio Top 10 Holdings For February S. No. Company Industry Industrial Capital Goods 1 Bharat Heavy Electricals Ltd. 2 Tata Motors Ltd. Auto 3 Infosys Technologies Ltd. Software

% To NAV

8.87 8.74 8.53

Portfolio Management In Mutual Funds

4 State Bank of India 5 Satyam Computer Services Ltd. 6 Hindustan zinc Ltd. 7 Crompton Greaves Ltd. 8 IT ITC Ltd. 9 Hindalco Industries Ltd. 10 Bharti Shipyard Ltd.

Banks

7.52

Software Non- Ferrous Metals Industrial Capital Goods Consumer Non Durable Non- Ferrous Metals Industrial Capital Goods Top 10 Holdings Others Equity Holdings Total

6.45 6.05 5.72 5 .7 4.22 3.84 65.64 34.39 100

NAV Changed During the Month (GROWTH) Date

NAV

1, Feb 2009 28, Feb 2009

Change

% Change

0.91 0.91

20.609 21.159

Beta

0.55

2.66

Compare returns with Sensex Movement Clo Date

sing

31-Jan09 28-Feb09

Change

% Change

9,919.89 8800

1119.89

-11.29

In February fund has given 2.66% returns on investment but in the same time Sensex has decreased by 4.54%. So, fund has performed higher than market trend.

Industry Wise Allocation

January Industry

February % Of Allocation

Industry

% Of Allocation

Portfolio Management In Mutual Funds

Industry Capital Goods Software Non-Ferrous Metals Banks Auto Ancillaries Auto Consumer Non Durable Pesticides Construction Industrial Products Consumer Durables Chemicals

24.12 Industry Capital Goods

21.64

16.99 10.04 9.73 8.99 8.48 5.26 3.91 3.73 3.52 1.43 1.01

16.63 10.79 10.27 9.02 8.74 5 .7 3.78 3.63 3.51 2.62 1.49 0.89

Jan-Feb month portfolio Industry

Industry Capital Goods Software Banks Non-Ferrous Metals Auto Ancillaries Auto Consumer Non Durable Pesticides Construction Industrial Products Power Consumer Durables Chemicals

Change

-2.48 -0.36 1.06 0.23 0.03 0.26 0.44 -0.13 -0.16 -0.01 2.62 0.06 -0.12

So Software Ba Banks No Non-Ferrous Metals Auto Ancillaries Auto Consumer Non Durable Pesticides Co Construction Industrial Products Power Co C onsumer Durables Chemicals

Portfolio Management In Mutual Funds

United Phosphorus Ltd. Share’s effect Date 31, Jan 2009 28, Feb 2009

Price

Change

% Change

272 270

2

0 .0 7

Reduce the share of united phosphorus ltd. from portfolio. The share price of  united has fall during February. Core & Satellite Fund Portfolio Top 10 Holdings For March S. No.

Company

Industry

1 Tata Motors Ltd. 2 Bhara Bharatt Hea Heavy vy Elec Electr tric ical als s Ltd. Ltd. 3 Infosys Technologies Ltd. 4 Crom Crompt pton on Grea Greave ves s Ltd. Ltd. 5 Hindustan zinc Ltd. 6 State Bank of India 7 ITC Ltd. 8 Satyam Computer Services Ltd. 9 Hindalco Industries Ltd. Hindustan Construction Company 10 Ltd.

% To NAV

Auto Industrial Capital Goods Software Industrial Capital Goods Non- Ferrous Metals Banks Consumer Non Durable Software Non- Ferrous Metals Construction Top 10 Holdings Others Equity Holdings Total

NAV Changed During the Month (GROWTH) Date

1, Mar 2009 31, Mar 2009

NAV

21.159 23.82

Change

2.661

% Change

12.57

Beta

0.86 0.86

7 .9 9 7 .8 7 7 .5 3 7 .5 3 7 .3 4 6 .9 5 6 .6 2 5 .9 6 4 .2 9 3 .8 4 65.92 34.08 100

Portfolio Management In Mutual Funds

Compare returns with Sensex Movement Date

28-Feb06 31-Mar06

Closing

8800 11,279.9 6

Change

2479.96

% change

28.18

Industry Wise Allocation

February Industry

March % Of Allocation

Industry Capital Goods Software Banks Non-Ferrous Metals Auto Ancillaries Auto Consumer Non Durable Pesticides Construction Industrial Products Power Consumer Durables Chemicals

21.64 16.63 10.79 10.27 9.02 8.74 5.7 3.78 3.63 3.51 2.62 1.49 0.89

Feb-March month portfolio Industry

Industry Capital Goods Software Non-Ferrous Metals Banks Auto Ancillaries Auto Consumer Non Durable

Change

-1.88 -1.51 1.34 -0.18 -0.55 -0.75 0.92

Industry

Industry Capital Goods Software Non-Ferrous Metals Banks Auto Ancillaries Auto Consumer Non Durable Construction Power Pesticides Industrial Products Consumer Durables Chemicals

% Of Allocation

19.76 15.12 11.63 10.62 8.47 7.99 6.62 3.84 3.16 3.15 3 1.51 0.91

Portfolio Management In Mutual Funds

Construction Power 

0.21 0.54 -0.63 -0.51 0.02 0.02

Pesticides Industrial Products Consumer Durables Chemicals

Bharti Shipyard Ltd. Share's effect Date 28, Feb 2009 31, March 2009

Price Change 383.85 384.5

% Change

0.65

0.016

Reduce the share of Bharti ship yard in the month of March. The price of  bhatri’s share has just increased by 0.016 % in March. Where the over all share market has boomed by 8.76%. in the same time fund increased the share of Crompton greaves in the portfolio which was boomed by 17.57%.

Portfolio as of January 31, 2009 DSP Merrill Lynch India T.I.G.E.R Fund Company

L&T Reliance Industries BHEL ONGC Siemens Thermax Grasim Industries Jyoti Structures HDFC

Industry

Industrial Capital Goods Petroleum Products Industrial Capital Goods Oil Industrial Capital Goods Industrial Capital Goods Cement Industrial Capital Goods Finance

% to NAV

4.79 4.65 4.64 3.05 2.95 2.74 2.67 2.65 2.18

Portfolio Management In Mutual Funds

Crompton Greaves

Industrial Capital Goods

2.15

NAV Changed During the Month (GROWTH) Date NAV Change % Change

1, Jan 2009 31, Jan 2009

Beta

1.6 1.6

21.5 23.62

2 .1 2

9.86

L&T share price Date

1, Jan 2009 31, Jan 2009

% Price Change Change 1825.65 2172.1 346.45 18.97

DSP fund has given more returns than HDFC Core & Satellite fund. DSP has exposure of L& T which has grown by 18.97% during January. In January market has grown up only by 5.55%.

Portfolio as of February 28, 2006 DSP Merrill Lynch India T.I.G.E.R Fund Company

L&T BHEL Reliance Industries Grasim Industries Siemens Bharati TeleVentures Thermax ONGC

Industry

Industrial Capital Goods Industrial Capital Goods Petroleum Products Cement Industrial Capital Goods Telecom- Services Industrial Capital Goods Oil

% to NAV

4.29% 4.25% 3.74% 3.14% 2.99% 2.67% 2.55% 2.27%

Portfolio Management In Mutual Funds

HDFC Jyoti Structures

Finance

2.19%

Industrial Capital Goods

2.14%

NAV Changed During the Month (GROWTH) Date NAV Change % Change

1, Feb 2009 28, Feb 2009

1.78 1.78

23.62 24.46

Beta

0.84

3.55

Grasim Industries share's price Date

Price

1, Feb 2009 28, Feb 2009

Change

% Change

1454.25 1742.6

288.35

19.82

DSP has given 3.55% returns where HDFC has given only 2.55% returns in the month of February. DSP has exposure of Grasim Industry in their portfolio. Grasim has increased by 19.82% during February month.

Portfolio as of March 31, 2009 DSP Merrill Lynch India T.I.G.E.R Fund Company

Industry

Reliance Industries Reliance Communications BHEL Grasim Industries L&T

Petroleum Products Telecom- Services Industrial Capital Goods Cement Industrial Capital Goods

% to NAV

5.87% 4.41% 4.28% 3.56% 3.48%

Portfolio Management In Mutual Funds

Bharati TeleVentures Siemens Thermax Jyoti Structures Crompton Greaves

Telecom- Services

3.17%

Industrial Capital Goods

2.82%

Industrial Capital Goods Industrial Capital Goods Industrial Capital Goods

2.56% 2.26% 2.13%

NAV Changed During the Month (GROWTH) Date NAV Change % Change

Beta

1, Mar 2009 31, Mar 2009

1.69 1.69

24.46 27.36

2.9

11.85

Hindalco share's price Date

1, Mar 2009 31-Mar-09

Price

75 182.7

Change

% change

107.7

143.6

In March, DSP has given 11.85% returns where HDFC has given 12.54% returns. HDFC had Hindalco in their portfolio which has grown by 143.6% in March.

ICICI Dynamic Plan January Portfolio

Portfolio Management In Mutual Funds

S. No.

Companies

% of NAV

1 2 3 4 5 6 7 8 9 10

Deccan Chronicle Holdings Ltd Subex Systems Limited Hindalco Industries Limited E.I.D. Parry (India) Limited State Bank of India Bajaj Hindustan Limited Reliance Industries Limited Larsen & Toubro Limited Sterlite Industries (India) Limited Grasim Industries Limited

Industry Wise Allocation

7.18 4.02 3.89 3.49 3.38 3.35 3.18 3.12 2.98 2.98

Portfolio Management In Mutual Funds

NAV Changed During the Month (GROWTH) Date NAV Change % Change

1, Jan 2009 31, Jan 2009

0.91 0.91

42.68 44.51

Beta

1.83

4.28

Sterlite share's price Date

1, Jan 2009 31, Jan 2009

Price

1074.7 5 1363.4 5

Chang e

288.75

% change

26.86

Fund has 2.98% exposure of sterlite which has grown 26.86% in January month.

Portfolio Management In Mutual Funds

ICICI Dynamic Plan February Portfolio S. No.

Companies

1 2 3 4 5 6 7 8

Deccan Chronicle Holdings Ltd Jain Irrigation Systems Limited Subex Systems Limited E.I.D. Parry (India) Limited Larsen & Toubro Limited Grasim Industries Limited Hindalco Industries Limited Reliance Industries Limited Century Textiles & Industries 9 Ltd 10 Am Amtek Ltd.

Industry Wise Allocation

% of NAV

8.65 4.5 4.01 3.65 3.44 3.34 3.21 3.16 3.14 3.01

Portfolio Management In Mutual Funds

NAV Changed During the Month (GROWTH) Date NAV Change % Change

1, Feb 2009 28, Feb 2009

0.98 0.98

44.51 46.22

Beta

1.71

3.64

Century textile share's price Date

1, Feb 2009 28, Feb 2009

Price

Change

% Change

Nil

Nil

2.9 2.9

Dynamic plan has 3.14% exposure of this script which has grown by 0 % means its share price remained same during the month of February.

Portfolio Management In Mutual Funds

ICICI Dynamic Plan March Portfolio S. No.

Companies

1 Deccan Chronicle Holdings Ltd 2 Reliance Industries Limited Triveni Engineering & Industries 3 Ltd 4 Jain Irrigation Systems Limited 5 Subex Systems Limited 6 Century Textiles & Industries Ltd 7 E.I.D. Parry (India) Limited 8 Tata Consultancy Services Limited 9 Grasim Industries Limited 10 Larsen & Toubro Limited

Industry Wise Allocation

% of NAV

7.31 5.17 4.98 3.89 3.7 3.46 3.36 3.18 2.97 2.93

Portfolio Management In Mutual Funds

NAV Changed During the Month (GROWTH) Date NAV Change % Change

1, March 2009 31, March 2009

Beta

0.95 46.22 0.95 53.35

7.13

15.42

Triveni share's price Date

1, Mar  2009 31-Mar-09

Price

76.95 125.9 5

Change

49

% change

64.47

Fund has increased triveni sharein portfolio to 4.98% which has grown by 64.47% during March.

Portfolio Management In Mutual Funds

Kotak Opportunity

January S. No.

Companies

1 National Aluminium Company Ltd

2 3 4 5 6

Lars Larsen en And Toub Toubro ro Ltd Ltd.. Jaiprakash Associates Ltd Punjab National Bank Satyam Computer Services Ltd. Infosys Technologies Ltd.

7 Shre Shree e Ren Renuk uka a Sug Sugar ars s Ltd Ltd.. 8 Mahi Mahindr ndra a & Mahi Mahind ndra ra Ltd. Ltd. 9 Arev Areva a T and and D Ind India ia Ltd. Ltd. 10 Alembic Ltd.

Industry Wise Allocation

Industry

Non - Ferrous Metals Industrial Capital Goods Construction Banks Software Software Consumer Non Durables Auto Auto Industrial Capital Goods Pharmaceuticals

% of NAV

6.66 5.49

5.06 4.12 3.59 3.57 3 .5 3.38 3.38 3.23 3.11

Portfolio Management In Mutual Funds

NAV Changed During the Month (GROWTH)

Date

NAV

1, Jan 2009 31, Jan 2009

Change

% Change

1.25 1.25

20.45 22.021

Beta

1.571

7.68

Kotak Opportunity

February S. No.

Companies

1 Bajaj Auto Ltd. 2 3 4 5 6

Lars Larsen en And Toub Toubro ro Ltd Ltd.. Jaipra Jaiprakas kash h Associ Associates ates Ltd Punjab National Bank Mahindra & Mahindra Ltd. Tata Steel Limited.

7 Arev Areva a T and and D Ind India ia Ltd. Ltd. 8 Balr Balram ampu purr Chin Chinii Mill Mills s Ltd Ltd Satyam Computer Services 9 Ltd. 10 Jindal Jindal Steel Steel & Power Power Ltd. Ltd.

Industry Wise Allocation

Industry

% of NAV

Auto Industrial Capital Goods Constr Constructi uction on Banks Auto Ferrous Metals Industrial Capital Goods Consumer Non Durables

5.86

3.46

Software Ferrou Ferrous s Metals Metals

3.25 3.18

5.31 4.53 4.51 4.23 4 .2 3.47

Portfolio Management In Mutual Funds

NAV Changed During the Month (GROWTH) Date NAV Change % Change

Beta

1, Feb 2009 28, Feb 2009

1.12 1.12

22.021 23.225

1 .2

5.46

Kotak Opportunity

March S. No.

1 2 3 4 5 6 7 8 9 10

Companies

Industry

Jindal Steel & Power Ltd. Tata Tata Steel Steel Limite Limited. d. National Aluminium Company Ltd Sterlite Industries (India) Ltd Satyam Computer Services Ltd. Larsen And Toubro Ltd. Maharashtra Seamless Ltd. Ultratech Cement Ltd. Tata Chemicals Ltd. Bajaj Auto Ltd.

Ferrous Metals Ferrous Ferrous Metals Metals Non - Ferrous Metals Non - Ferrous Metals Software Industrial Capital Goods Ferrous Metals Cement Fertilizers Auto

% of  NAV

5 .1 4.64 4.38 4.17 3.93 3.92 3.49 3.37 3.27 3.25

Portfolio Management In Mutual Funds

Industry Wise Allocation

NAV Changed During the Month (GROWTH) Date NAV Change % Change

1, March 2009 31, March 2009

Beta

1.20 23.225 1.20 25.89

2.66

11.47

CONCLUSION The performance of mutual funds in India in the initial phase was not even closer to satisfactory level. People rarely understood, and of course investing was out of question. But yes, some 24 million shareholders were accustomed with guaranteed high returns by the beginning of liberalization of the industry in 1992. This good record of UTI became marketing tool for new entrants. The expect expectati ations ons of invest investors ors touche touched d the sky in profita profitabil bility ity factor factor.. Howeve However, r, people people were were miles miles away away from from the prepar preparedn edness ess of risks risks factor factor after after the liberalization.

Portfolio Management In Mutual Funds

The annual composite rate of growth is expected 13.4% during the rest of the deca decade des. s. In the the last last 5 year years s we have have seen seen annu annual al grow growth th rate rate of 9%. 9%. According to the current growth rate, by year 2010, mutual fund assets will be double. The government is also helping in boosting mutual fund industry. Government is emphasizing a lot on infrastructure development and social spending and yet targeting a lower fiscal deficit. FIIs continued to be positive on emerging markets in general and the Indian markets in particular. FIIs buying have considerable portion in mutual funds buying. Key Points: • •

•

•

• •

•

Almost 100% growth in the last 6 years.(excepting 2008) Our saving rate is over 30%, highest in the world. Only channel zing these savings in mutual funds sector is required. We have some 70 mutual funds which are much less than US having more than 800. There is a big scope for expansion. 'B' and 'C' class cities are growing rapidly. Today most of the mutual funds are concentrating on the 'A' class cities. Soon they will find scope in the growing cities. SEBI allowing the MFs to t o launch commodity mutual funds. This This year year budget budget has increa increased sed the limit limit of invest investmen mentt in overse overseas as market by mutual funds to 33-35%. During last financial year investment habit of India has increased by 25 % and it is expected to grow by 30 % this year.

RECOMMENDATIONS Studying the mutual fund industry I came to know that there are more then 700 types of funds available in the market. What I see that most of the fund managers who are investing in equity market are putting their funds into large cap funds which is of course more secure but it is giving less return to the investors. i thought of preparing my own portfolio by investing 25 percent in

Portfolio Management In Mutual Funds

money market and the rest of the 75 percent in mid cap equity To provide investors with opportunities for long term growth in capital along with the liquidity of an open ended scheme by investing predominantly in a well diversified basket of equity stocks of companies and in debt and money market instruments.. The portfolio is mentioned below:EQUITY Company Name

% of Net Assets

Maharashtra Seamless Ltd Infotech Enterprises Limited Kesoram Industries Ltd Gitanjali Gems Ltd. KEC International Ltd. Nagarjuna Construction Company Ltd Thermax Limited Pantaloon Retail (India) Ltd. Equity Eastern Silk Industries Limited 3 i Infotech Limited. Crompton Greaves Ltd Welspun Gujarat Stahl Rohren Ltd Hotel Leela Venture Ltd Adlabs Films Limited Mangalam Cement Ltd Amtek Auto Ltd KEI Industries Elecon Engineering Company Ltd India Cements Ltd IVRCL Infrastructure & Projects Ltd. Raymond Ltd Opto Circuit Ltd. SKF Bearings India Ltd Crest Animation Studios Ltd Ansal Properties & Industries Ltd Gujarat Mineral Development Corporation Limited Lupin Ltd. Deepak Fertilizers & Petrochemicals Corp Ltd Usha Martin Ltd RPG Transmission Ltd

4.61 4.33 4.02 3.18 3.08 3.06 3.02 2.89 2.81 2.68 2.65 2.65 2.51 2.23 2.19 2.17 2.14 2.09 1.79 1.67 1.61 1.52 1.48 1.46 1.36 1.3 0.97 0.93 0.93 0.86

Portfolio Management In Mutual Funds

Gujarat State Petronet Ltd. Jagran Prakashan Ltd Rajshree Sugars & Chemicals Ltd Indo Asian Fuse Gear Ltd Sri Adhikari Brothers Television Network Ltd Global Vectra Helicorp Ltd Sagar Cements Ltd Bharati Shipyard PVR Ltd. K E C Infrastructure Ltd. Dwarikesh Sugar Industries Tanla Solutions Ltd Mahindra Ugine Steel Company Ltd Redington India Ltd. Suryalakshmi Cotton Mills Ltd

0.78 0.75 0.66 0.65 0.58 0.37 0.32 0.3 0.3 0.28 0.26 0.17 0.16 0.15 0.15

Top Industry Allocation Industry

Allocation

Steel Computers - Software & Education Housing & Construction Textiles Diversified Electricals & Electrical Equipments Engineering & Industrial Machinery Entertainment Cement Power Generation, Transmission & Equip Asset Allocation Equity

74.06

Debt

-

8.35% 7.18% 6.09% 5.85% 5.63% 5.44% 5.11% 4.57% 4.30% 3.94%

Money Market

25.94

Portfolio Management In Mutual Funds

MY LEARNING FROM PROJECT I have learnt many things which I might not be able to learn under  class room training like looking at the stock market terminal and analyzing the stocks and thereby deduci ucing about their  performance and thus designing the portfolio on the basis of their  performances. I want to share some of experience or learning with you. •

•

•

•

Firs Firstt and and the the most most impo import rtan antt I lear learnt nt about about Mutua Mutuall Fund Fund Indust Industry. ry. Before Before this this proje project ct I dint dint have have much much knowled knowledge ge about Mutual funds. But now I have good knowledge about Mutual Funds.

I learnt about marketing elements also. How the companies, banks and brokerage houses market their products in front of  customer in presence of competitor’s products.

I learnt about mutual funds as well as other products like insurance, DMAT account, IPO, some of banking product and and trans transac acti tion ons s and and some some fina financ ncia iall serv servic ices es offe offere red d by Angel Broking Ltd. I also learnt about the risk factor calculation of the mutual funds, how the various broking firms calculate the risk factors of various mutual funds.

Portfolio Management In Mutual Funds

WEBOGRAPHY ➢ ➢ ➢ ➢ ➢ ➢ ➢ ➢

hdfcfund.com google.com altavista.com investmart.com icicidirect.com amfiindia.com nseindia.com mutualfundsindia.com

BIBLIOGRAPHY ➢ ➢ ➢

Book on “Portfolio Management” by ICFAI Press Magazine “AAG” by HDFC Bank, April issue. Business world