The document discusses the history and development of mutual funds in India. It outlines 4 phases - from 1964 when the Unit Trust of India was established as the first mutual fund, to the entry of private sector funds in 1993 which expanded options for investors, to the current phase since 2003. It also provides brief descriptions of key events and developments in the growth of the mutual fund industry in India over time.

1. A study of Mutual Fund
Investment concept with
reference to Nirmal Bang
A PROJECT REPORT
Submitted by
Sourabh Dixit
B.com ( Honours) VI sem
Under the guidance of
Mr. Shainu Mathew
In partial fulfillment for the award of the Degree
Of
BACHELOR OF COMMERCE [HONOURES]
Institute of Professional Education & Research, Bhopal
Affiliated To Barkatullah University, Bhopal
2015 - 18

2. ACKNOWLEDGEMENT
We sincerely acknowledge with a deep harmful gratitude to Project in charge
MR. SHAINU MATHEW for his valuable and faithful guidance,
encouragement & suggestion throughout the completion of this work. He
generously shared his immense knowledge with us. His Personal attention
brought the project the expendetiousty. We own much more to him.
Last but not the least gratitude to all those, Who extended their co- operation
directly or indirectly in completion of this project work.
SOURABH DIXIT

3. DECLARATION
This is to certify that I have completed the Project titled”(A Study of
Mutual Fund Investment concept with reference to Nirmal Bang)” under
the guidance of “(MR.SHAINU MATHW)” in partial fulfillment of the
requirement for the award of Bachelor of Commerce (Honors) at Institute
of Professional Education and Research, Bhopal. This is an original piece of
work & I have not submitted it earlier elsewhere.
Date: Signature:
Place: Name:

4. TABLE OF CONTENT
ACKNOWLEDGEMENT
PAGE NO.DECLARATION
CERTIFICATE
CHAPTERS
Chapter 1-
Chapter 2-
Chapter 3-
Chapter 4-
Chapter 5-
REFERENCE

5. Chapter I: Introduction

6. NIRMAL BANG
Nirmal Bang securities private limited a retail broking house provides in online share trading
platform to customer to trade on equities, derivatives, commodities, currency derivatives,
insurance depository services, and subscription to initial public offering and mutual funds in
india.the company offer daily and company reports, stock ideas, and sector updates it also
provide franchising opportunities to individual to use the infrastructure by being its channel
partners. Nirmal Bang securities was founded in 1986 and is based in Mumbai, India.
Nirmal Bang retail and institutions cliants have access to product such as equities,
derivatives, commodities, mutual fund, IPOs Insurance, depository services and PMS. Nirmal
bang is drawn from a diversity of professional background and blend of experience, skill and
dedication is shared with its clients

7. MUTUAL FUND
A mutual fund is a professionally managed investment fund that pools money from many
investors to purchase securities. These investors may be retail or institutional in nature.
Mutual funds have advantages and disadvantages compared to direct investing in individual
securities. The primary advantages of mutual funds are that they provide economies of scale,
a higher level of diversification, they provide liquidity, and they are managed by professional
investors. On the negative side, investors in a mutual fund must pay various fees and
expenses.
Primary structures of mutual funds include open-end funds, unit investment trusts,
and closed-end funds. Exchange-traded funds (ETFs) are open-end funds or unit investment
trusts that trade on an exchange. Mutual funds are also classified by their principal
investments as money market funds, bond or fixed income funds, stock or equity funds,
hybrid funds or other.
Funds may also be categorized as index funds, which are passively managed funds that match
the performance of an index, or actively managed funds. Hedge funds are not mutual funds;
hedge funds cannot be sold to the general public and are subject to different government
regulations.

8. Chapter II: Company Profile

9. History
Founded in 1986 by Shri Nirmal Bang, the Nirmal Bang Group is recognized as one of the
largest retail broking houses in India, providing an array of financial products and services.
Our retail and institutional clients have access to products such as equities, derivatives,
commodities, currency derivatives, mutual funds, IPOs, insurance, depository services and
PMS. Throughout our history, we have fostered one overriding purpose — to provide each
client with personal service and quality work. By adhering to this principle, we have grown to
become a successful and well-respected firm of highly qualified professionals. who bring
forward industry expertise, insight and most importantly, create an environment of
unmatched commitment to clients. We are registered members of the Bombay Stock
Exchange Limited (BSE), National Stock Exchange of India Limited (NSE), Multi
Commodity Exchange of India Limited (MCX), National Commodity & Derivatives
Exchange Limited (NCDEX), National Multi Commodity Exchange of India Limited
(NMCE) and MCX Stock Exchange Limited and are also depository participants of NSDL
and CDSL. Mission
Renowned as one of the largest retail broking houses in India with an average daily
turnover of Rs. 930 crore and average monthly turnover of Rs. 16236 crore
The group is headed by Mr. Dilip Bang and Mr. Kishore Bang who bring forward industry
expertise and strong business acumen
Adroit research teams providing in depth analysis and research reports on industries,
sectors, companies and individual stocks.
Nirmal Bang Securities Pvt Ltd. is the stock-Broking arm of the Rs.7,500 crore
(approx) Nirmal Bang.
With over 450 branches, 8000 employees (approx), 28 lakh investors with evolved into a
premier financial supermarket providing a host of services including stock-broking,
distribution of investment
products, properly, property development, industrial investment,
risk management, insurance products and consumer finance.
Our retail and institutional clients have access to products such as
equities, commodities, currency ,mutual funds services .

10. Website
http://www.nirmalbang.com
Headquarters
Mumbai
Year Founded
1986
Company Type
Privately Held
Size
1001-5000 employees
Specialties
Our portfolio of services include: A robust trading platform for equities, derivatives,
commodities. Access to a wide range of financial products and trading advisory services
based on technical, fundamental and market research

11. Nirmal Bang
Product & Services
We offer a diverse range of financial services which includes institutional and retail
brokerage of equity, derivatives, commodities, currency, online trading, depository services,
distribution of IPOs , mutual funds, fixed deposits & bonds, dedicated desk for NRIs and
institutional clients, insurance broking(both life & general), clearing services, margin
financing, investment banking, portfolio management, wealth advisory & research.
Equity & Derivatives Trading
"Shares are the most Commonly known form of investment in the world. It gives you part of
ownership or share in Business. An equity investment generally refers to the buying and
holding or trading of shares to gain income from daily price movements, dividends and
capital gains, as the value of the stock moves. The tenure of investors varies from few
minutes (for day Trader's/ arbitrageurs-Short term) to multiple years (for long term investors).
In today’s equity markets provide modern, fully computerized trading systems designed to
offer investors to invest in easier way"
At Nirmal Bang, We provide Quality of services whose functions is beyond mere execution
of Buying & Selling. Our Wide range of daily, weekly and special Research reports with in-
depth analysis on markets Wide array of products including Technical, Fundamental,
Derivatives, Macroeconomic and Mutual Fund research undertaken by Expert Sector
Analysts with professional industry experience helps you assimilate massive amount of
Information.
Our Sole Purpose is to Simplify investing for you and provide long term Values to our
Customer's, with suitable Trading solutions.

12. Commodity Trading
"We offer our clients commodity Trading in the commodity markets involving Grains,
metals, oil, crude, etc. Our personalized services in commodity trade and investment through
our competent and knowledgeable team of professionals involve trading of commodity
derivatives in terms of futures and options.
We aim at providing our clients with options to diversify their wealth management portfolios
with low investment and best market prices. The commodity trade in terms of futures and
options generally takes place through commodity exchanges. Our services through MCX,
NCDX & NMCE as well as our nationwide network and powerful research team are capable
of catering to the investors with the services uniquely fitted to the requirements of exchange
based commodity trades.
We provide our clients with trust based and ethical personalized services and guide them
through the huge investment opportunities available in commodity market related to grains,
metals, oil, crude, etc."
Our mission is to help clients in making informed investment decisions in commodity trade.
Our services are aimed at assisting clients in their wealth creation through continuous
research, innovation and providing the clients with phenomenal growth opportunities
A future trading eases the hassles and costs of settlements and storage for traders who do not
want custody. The most lucrative element of futures trading is that it allows investors to
participate and trade at nominal costs.
a) You no longer need to put the whole amount for trading, only the margin amount is
required. b) Traders can earn from short selling.
Trade in Commodity Futures
Market - Trading in commodities provides a lucrative market opportunity for investors,
arbitragers, hedgers, traders, manufacturers, exporters and importers. The listed commodities
include Bullion, Metals, Energy and Agri products
Exploitable fundamentals - Commodity trading operates on the simple principle that “Price is
a function of Demand and Supply”. This makes things really easy to understand and exploit
Portfolio diversifier
Commodity Futures derive their prices from the underlying commodity and commodity
prices cannot become zero. Commodity has a global presence and hence, it''s a good portfolio
diversifier.

13. Depository Services
We at investment ideal offer depository service which is registered as a depository participant
with NSDL& CDSL . Enjoy the dual benefits of trading and depository services under one
roof and experience efficient, risk-free and prompt depository service.
Our customer-centric account schemes have been designed keeping in mind the
investment psychology of consumers. With a competent team of skilled
professionals, we manage over 250000 accounts and have a dedicated customer
care centre exclusively trained to handle customer queries.
Our depository services offer you a secure, convenient, paperless and cost
effective way to keep track of your investments in shares and other instruments
over a period of time, without the hassle of handling physical documents. Your
DP account with us takes care of your depository needs such as
dematerialization, conversion of mutual fund units, mutual fund redemption, re-
materialization, transfer and pledging of shares, stock lending and borrowing
When it comes to unmatched services , Nirmal Bang is the way to go
Portfolio Management Services
"Nirmal Bang Securities Pvt Ltd is a SEBI licensed Portfolio Manager, who endeavours to
provide Investment solutions to HNIs clients through PMS Platform.
Our Portfolio Managers are equipped to create a basket of customized investment products
across a wide spectrum of traditional and Alternate Asset classes across various investment
avenues like Equities, Fixed Deposits, Mutual Funds, Bonds etc. to meet your unique needs
that is best suited for you in the current market scenario."
Investor Grievances with regards to PMS:

14. MUTUAL FUND
Do you want to invest your money but don’t know how to go about it or simply don't have
the time for your? If so, mutual fund are for you. With mutual fund, you have the facility of
letting professional fund managers make investments on your behalf. This means that you can
have your investments professionally managed in a mutual fund.
Before taking any investment decision, it is important to assess your needs and financial
goals

15. KEY PEOPLE
Mr.Kishore Bang, MD
Co-founder and Director
Handles the operational and
management aspects
Instrumental in retail
expansion ofthe Group
A visionary with 20 years ofindustry expertise
Mr. Dilip Bang, MD
Co-founder and Director
In depth knowledge of Indian capital
markets Front end business operations and
trading opportunities
RAHUL ARORA
Rahul Arora is the CEO of the Institutional Equities Business in Nirmal Bang Securities Pvt.
Ltd.[1]
His previous stint was as an anchor for the Indian business news channel UTVi. He
completed his B.A in economics with a Minor in Computer Science from Denison
University, Granville, Ohio in 2002. He then worked with Primerica Financial Services - an
independent private wealth management arm of Citigroup in Chicago as a financial
consultant in training before coming back to India.

16. The procedure of Normally opening an account in mutual fund
2passportsize photograph
Identity proof (PAN card iscompulsory)
Residence proof Cheque ( Min Rs.10,000 marginbalance)
Proofs of Identity
Customer can submit a photo copy of any one of thefollowing
Voter ID
Passport
PAN Card
Driving License
Photo I card issued by Employer registered underMAPIN
Copy of Ration card
Address Proof
Customer can submit a photo copy of any one of the following
Voter ID Card
Driving License
Passport
Ration Card
Telephone Bill
Electricity Bill
Leave-License
Bank Passbook
Latest
Bank Statement
Aadhar card

17. We are registered members of
- Bombay Stock Exchange Limited (Cash, Derivatives & Currency)
- National Stock Exchange of India Ltd.
(Cash, Equity Derivatives, Currency,
Interest Rate, Mutual Fund)
- Multi Commodity Exchange of India Ltd. (Commodity & Currency)
- National Commodity & Derivatives Exchange (Commodity)
- National Multi Commodity Exchange of India (NMCE)

18. Nirmal Bang add value to people by
Providing datasource.
Research Team
Online Back officesupport
Transaction mailed on daily basis & also through SMS.
Man to maninteraction
COMPETITORS
India Bulls
Religare
Kotak Securities
ICICI Direct
India Infoline
Reliance Money
Angel Broking
Share khan

19. Youcanreach usat
NIRMAL BANG SECURITIES PVT. LTD.
Regd. Office : 38-
B/39,Khatau Bldg, 2
nd
Alkesh Dinesh Mody
Marg, Fort, Mumbai-
400001
Website-www.nirmalbang.com
Gunjan Sonkar - Relationship Manager
2nd floor 14-A, 5- park road Lucknow.
Mobile No. 9305797425
Gunjan.sonkar@nirmalng.com

20. CHAPTER III: Nature of job Training

21. What is a Mutual fund?
Mutual fund is an investment company that pools money from shareholders and invests
in a variety of securities, such as stocks, bonds and money market instruments. Most
open-end Mutual funds stand ready to buy back (redeem) its shares at their current net
asset value, which depends on the total market value of the fund's investment portfolio
at the time of redemption. Most open-end Mutual funds continuously offer new shares
to investors.
Also known as an open-end investment company, to differentiate it from a closed-end
investment company. Mutual funds invest pooled cash of many investors to meet the
fund's stated investment objective. Mutual funds stand ready to sell and redeem their
shares at any time at the fund's current net asset value: total fund assets divided by
shares outstanding.
In Simple Words, Mutual fund is a mechanism for pooling the resources by issuing
units to the investors and investing funds in securities in accordance with objectives as
disclosed in offer document.
Investments in securities are spread across a wide cross -secon of industries and sectors
and thus the risk is reduced. Diversification reduces the risk because all stocks may not
move in the same direction in the same proportion at the same time. Mutual fund issues
units to the investors in accordance with quantum of money invested by them. Investors
of Mutual funds are known as unit holders.

22. HISTORY OF THE MUTUAL FUND INDUSTRY IN INDIA
The mutual fund industry in India started in 1963 with the formation of Unit Trust of
India, at the initiative of the Government of India and Reserve Bank.
The history of mutual funds in India can be broadly divided into four distinct phases:
FIRST PHASE - 1964-87
Unit Trust of India (UTI) was established on 1963 by an Act of Parliament. It was set
up by the Reserve Bank of India and functioned under the Regulatory and
administrative control of the Reserve Bank of India.
The first scheme launched by UTI was Unit Scheme 1964. At the end of 1988 UTI had
Rs.6,700 crores of assets under management.
SECOND PHASE – 1987-93(ENTRY OF PUBLIC SECTOR FUNDS)
1987 marked the entry of non- UTI, public sector mutual funds set up by public
sector banks and Life Insurance Corporation of India (LIC) and General Insurance
Corporation of India (GIC).
SBI Mutual Fund was the first non- UTI Mutual Fund established in June 1987.
THIRD PHASE- 1993-2003 (ENTRY OF PRIVATE SECTOR FUNDS)
With the entry of private sector funds in 1993, a new era started in the Indian
mutual fund industry, giving the Indian investors a wider choice of fund families.
In 1993 was the year in which the first Mutual Fund Regulations came into being,
under which all mutual funds, except UTI were to be registered and governed.

23. FOURTH PHASE- SINCE FEBRUARY- 2003
In February 2003, following the repeal of the Unit Trust of
India Act 1963 UTI was divided into two separate entities.
One is the Specified Undertaking of the Unit Trust of India with assets under
management of Rs.29,835 crores as at the end of January 2003.
The second is the UTI Mutual Fund Ltd, sponsored by SBI, PNB, BOB and
LIC. It is registered with SEBI and functions under the Mutual Fund
Regulations.

24. THE FLOW CHART BLOW DISCRIBES THE WORKING OF A
MUTUAL FUND.

25. TYPES OF MUTUAL FUND

26. ACCORDING TO MATURITY PERIOD
Open-ended Fund
An open-ended Mutual fund is one that is available for subscription and repurchase on a
continuous basis. These Funds do not have a fixed maturity period.
Close-ended Fund
A close-ended Mutual fund has a stipulated maturity period e.g. 5-7 years. The fund is open
for subscription only during a specified period at the time of launch of the scheme
FUND ACCORDING TO INVESTMENT
Growth / Equity Oriented Scheme
The aim of growth funds is to provide capital appreciation over the medium to long- term.
Such funds have comparatively high risks.
These schemes provide different options to the investors like dividend
option, capital appreciation, etc.
Income / Debt Oriented Scheme
The aim of income funds is to provide regular and steady income to investors.
Such schemes generally invest in fixed income securities such as
bonds, corporate debentures, Government securities and money
market instruments.
Such funds are less risky compared to equity schemes
Balanced Fund
The aim of balanced funds is to provide both growth and regular income as such
schemes invest both in equities and fixed income securities in the proportion
indicated in their offer documents.
These are appropriate for investors looking for moderate growth.

27. Money Market
These funds are also income funds and their aim is to provide easy liquidity,
preservation of capital and moderate income.
These schemes invest exclusively in safer short- term instruments such as treasury
bills, commercial paper and government securities, etc.
These funds are appropriate for corporate and individual investors as a means
to park their surplus funds for short periods.
Gilt Fund
These funds invest exclusively in government securities.
Government securities have no default
risk.
Index Funds
This schemes invest in the securities in the same weightage comprising
of an index.
This schemes would rise or fall in accordance with the rise or fall in the index.

28. ADVANTAGES OF MUTUAL FUNDS
Professional Management
Minimization of risk
Return Potential
Low Costs LiquidityChoice of schemes
Tax benefits

29. compare the fixed deposit returns with the mutual fund returns

30. VARIOUS MUTUAL FUND IN INDIA
State Bank of India mutual fund
ICICI prudential mutual fund
TATAmutual fund
HDFC mutual fund
Birla sun life mutual fund
Reliance mutual fund
Kotak Mahindra mutual fund etc..

31. CHAPTER IV: OUTCOME

32. OUT COME OF MUTUAL FUND
How is your mutual fund performing from the viewpoint of your personal goals. Are
you comfortable with the price fluctuations that may have occurred keeping in view
your short term, medium term and long-term goals.
How are your investments performing compared with others in the same category. It is
important as for example, a 15% growth in your fund may look great, but not if the
average returns given by other funds in the same category is 25 per cent. However, too
much emphasis shouldn't be put on the short-term performance.
Mutual fund, as an investment vehicle gives us benefit of both diversification and
averaging.
Portfolio of mutual funds consists of multiple securities and hence adverse news about
single security will have nominal impact on overall portfolio.
Mutual fund as an investment vehicle helps reduce, both, systematic as well as
unsystematic risk.

33. CHAPTER V : CONCLUSION

34. These were my Conclusion of my project
Mutual Funds now represent perhaps most appropriate investment opportunity for most
investors. As financial markets become more sophisticated and complex, investors need a
financial intermediary who provides the required knowledge and professional expertise on
successful investing. As the investor always try to maximize the returns and minimize the
risk. Mutual fund satisfies these requirements by providing attractive returns with
affordable risks. The fund industry has already overtaken the banking industry, more funds
being under mutual fund management than deposited with banks. With the emergence of
tough competition in this sector mutual funds are launching a variety of schemes which
caters to the requirement of the particular class of investors. Risk takers for getting capital
appreciation should invest in growth, equity schemes. Investors who are in need of regular
income should invest in income plans.

35. Reference
WWW. INVESTOPEDIA.COM
WWW.NIRMALBANG.COM
WWW.WIKIPEDIA.COM
WWW.MONEYCONTORL.COM