Investor's preference towards mutual fund-A comparative study on private and public sector mutual fund investment in Chennai city
Investor 's preference towards mutual fund-A comparative study on private and public sector mutual fund investment in Chennai city
Author: Vanipriya.R Research scholar,vels university,Chennai
Co-author: Dr.D.Venkatramaraju,Pachaippa’s College,Chennai
Abstract
Indian Mutual Fund (MF) industry provides reasonable options for an ordinary man to invest in the market. The plethora of schemes provides variety of options to suit the individual objectives whatever their age, financial position, risk tolerance and return expectations. In the past few years, we had seen a dramatic growth of the Indian MF industry with many private players bringing global expertise to the Indian MF industry. Investment in mutual funds is effected by the perception of the investors. The study at first tests whether there is any relation between demographic profiles. The study helps to understand the role of investment pattern and preferences of investors behind investing in mutual fund.
Key Words: Mutual fund, Demographic profile, investor’s preference, Risk factor.
Introduction
Mutual funds are recognized as a mechanism of pooling together the investment of unsophisticated investors and turn in the hands of professionally managed fund managers for consistent return along-with capital appreciation. Money collected in this process is then invested in capital market instrument such as shares, debentures and other securities. Finally, unit holders in proportion of units owned by them share the income earned through these investments and capital appreciation Mutual funds put forward a way out to investors to approach most schemes and get well-diversified portfolio because investors with small savings neither have sufficient expertise nor have access to required diversification. Mutual funds have already entered into a world of exciting innovative products. These products are now tailor made to suit specific needs of investors. Intensified competition and involvement of private
Author: Vanipriya.R Research scholar,vels university,Chennai
Co-author: Dr.D.Venkatramaraju,Pachaippa’s College,Chennai
Abstract
Indian Mutual Fund (MF) industry provides reasonable options for an ordinary man to invest in the market. The plethora of schemes provides variety of options to suit the individual objectives whatever their age, financial position, risk tolerance and return expectations. In the past few years, we had seen a dramatic growth of the Indian MF industry with many private players bringing global expertise to the Indian MF industry. Investment in mutual funds is effected by the perception of the investors. The study at first tests whether there is any relation between demographic profiles. The study helps to understand the role of investment pattern and preferences of investors behind investing in mutual fund.
Key Words: Mutual fund, Demographic profile, investor’s preference, Risk factor.
Introduction
Mutual funds are recognized as a mechanism of pooling together the investment of unsophisticated investors and turn in the hands of professionally managed fund managers for consistent return along-with capital appreciation. Money collected in this process is then invested in capital market instrument such as shares, debentures and other securities. Finally, unit holders in proportion of units owned by them share the income earned through these investments and capital appreciation Mutual funds put forward a way out to investors to approach most schemes and get well-diversified portfolio because investors with small savings neither have sufficient expertise nor have access to required diversification. Mutual funds have already entered into a world of exciting innovative products. These products are now tailor made to suit specific needs of investors. Intensified competition and involvement of private
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