it contains meaning, flow of mutual fund, types of mutual fund, role played by (AIMF), history, And few industry examples of mutual fund for example.;- sbi mutual fund, kotak mutual funds, etc

1. PRESENTED BY,
Dhruvisha Navadiya 54
Jignisha Navadiya 55
Darshan Patel 61
Harshal Patel 63
Nitisha Patoliya 70

2. Topics To Cover
 Concept
 Types of Mutual Fund
 Mutual fund operational flow
 Mutual Funds Investment & Objective
 Mutual fund other Beneficial Schemes
 Role and Activity of AMFI
 History of Mutual Funds
 Regulatory Framework
 Mutual Fund Market in India

3. A Mutual Fund is a trust that pools
the savings of a number of investors
who share a common financial goal.
The money thus collected is then
invested in capital market
instruments such as shares,
debentures and other securities.
The income earned through these
investments and the capital
appreciation realised are shared by

4. Mutual
Funds

5. INVESTERS
FUND
MANAGEMENT
SECURITIES
RETURNS
Pool their money in
Which is invested in
That generates
Given back to

6. Growth Schemes are also known as equity schemes. The aim
of these schemes is to provide capital appreciation over
medium to long term. These schemes normally invest a major
part of their fund in equities and are willing to bear short-term
decline in value for possible future appreciation.
Income Schemes are also known as debt schemes. The aim
of these schemes is to provide regular and steady income to
investors. These schemes generally invest in fixed income
securities such as bonds and corporate debentures. Capital
appreciation in such schemes may be limited.
Balanced Schemes aim to provide both growth and income
by periodically distributing a part of the income and capital
gains they earn. These schemes invest in both shares and fixed
income securities, in the proportion indicated in their offer
documents (normally 50:50).
Money Market Schemes aim to provide easy liquidity,
preservation of capital and moderate income. These schemes
generally invest in safer, short-term instruments, such as
treasury bills, certificates of deposit, commercial paper and
inter-bank call money.

7. Tax-saving schemes offer tax rebates to the investors
under tax laws prescribed from time to time. Under Sec.88
of the Income Tax Act, contributions made to any Equity
Linked Savings Scheme (ELSS) are eligible for rebate.
Index schemes attempt to replicate the performance of a
particular index such as the BSE Sensex or the CNX S&P
Nifty. The portfolio of these schemes will consist of only
those stocks that constitute the index. The percentage of
each stock to the total holding will be identical to the
stocks index weightage. And hence, the returns from such
schemes would be more or less equivalent to those of the
Index.
Sector funds/schemes which invest in the securities of
only those sectors or industries as specified in the offer
documents. e.g. Pharmaceuticals, Software, Fast Moving
Consumer Goods (FMCG), Petroleum stocks, etc. The
returns in these funds are dependent on the performance
of the respective sectors/industries.

8. AMFI is the industry association of all mutual funds
operating in India. It is not a Self Regulatory
Organization. It is a non-profit organization
whose objectives are:
 To promote and protect the interests of Mutual Funds
and their unit holders.
 To define and maintain high ethical and professional
standards in the industry.
 To enhance public awareness of Mutual Funds.
 To represent industry views and suggestions to the
Regulator, Government and the Central Bank

9. • Phase I – 1964 – 87:-
In 1963, UTI was set up by Parliament under UTI
act and given a monopoly. The first
equity fund was launched in 1986.
• Phase II – 1987 – 93:-
Non-UTI, Public Sector mutual funds.
Like:-
=> SBI Mutual Fund,
=> Canbank Mutual Fund,
=> LIC Mutual Fund,
=> Indian Bank Mutual Fund,
=> GIC Mutual Fund and
=> PNB Mutual Fund.

10. • Phase III – 1993 – 96:
Introducing private sector funds. As well as
open-end funds.
• Phase IV – 1996:-
Investor friendly regulatory measures Action
taken by SEBI to protect the investor, and To
enhance investor’s returns through tax
benefits.

11. Well Regulated - Strictly Regulated Industry.
Regulation is comprehensive, sensitive and
supportive of healthy development of industry. In
most areas it matches with the best internationally.
Pro-active initiatives from the regulator. The
Regulation is constantly reviewed and amended
periodically. Guidelines on a variety of subjects such
as valuation, benchmarking, disclosure issued
regularly to match with best practices.
Yearly inspection of all mutual funds – a support to
the healthy development.

12. Self regulatory process is in built in Mutual
Fund structure and set up.
While Mutual Fund functions in terms of the
Trust Deed the AMC functions in terms of the
Investment Management Agreement as
approved by SEBI.
Separate Auditors for Asset Management
Company and for Mutual Fund.
Trustees are first level Regulators.
Their general and specific duties and
responsibilities are well spelt out.

13. Predominance of independent (2/3rd)
trustees - Role of independent Trustees.
Quarterly compliance test and Certification
by Trustees.
AMCs to record investment decisions and
investment management process.
Partner relationship of SEBI with AMFI
close interactive working style
AMFI acts as a catalyst and initiator of
many new standards and refinements of
systems and procedures.

14.  State Bank of India mutual fund
 ICICI prudential mutual fund
 TATA mutual fund
 HDFC mutual fund
 Birla sun life mutual fund
 Reliance mutual fund
 Kotak Mahindra mutual fund etc..
Various Mutual Funds in India