Page 1 of 12
Journal for Studies in Management and Planning
Available at http://edupediapublications.org/journals/index.php/JSMaP/
ISSN: 2395-0463
Volume 03 Issue 12
November 2017
Available online: http://edupediapublications.org/journals/index.php/JSMaP/ P a g e | 83
An Empirical Study on Mutual Funds among the Prospective
Investors
Gokul Tamilselvan & Rahul C. Nair; Saveetha School of Management
Co-author: Mr. William Robert B.Tech., MBA., NET, Asst. professor, School of
Management
Abstract
The Research titled “A study on Mutual
Funds among the prospective investors”
deals with the behaviour of the general
Public and Investors towards Mutual Fund
with special reference to Chennai city.
Descriptive research design is used in this
study .Primary data is collected from
questionnaire method with a sample size 100
from the investors and potential investors of
mutual funds in the area of our study,
Chennai City. The tools used Chi Square test
and percentage analysis. The study reveals
that most number of the investors are Male
and prefers to invest in low risk investment
avenues preferably savings followed by
fixed deposit. And their age group between
26 to35 with the education qualifications is
between Under-graduation and Post- graduation. Occupation of the majority of
the investors is from the Private sector and
their income level is less than 2.5 lakhs.
There is a significant difference in mutual
fund schemes by the Investors and between
Asset management company preferences
given by investors. Investors failed to invest
in mutual funds as they are only partially
aware about mutual funds because of the
lack of awareness and the amount of risk
involved which makes the investor feel
unsecure about the investment.
An Empirical Study on Mutual
Funds among the prospective investors
Abstract
The Research titled “A study on Mutual
Funds among the prospective investors”
Page 2 of 12
Journal for Studies in Management and Planning
Available at http://edupediapublications.org/journals/index.php/JSMaP/
ISSN: 2395-0463
Volume 03 Issue 12
November 2017
Available online: http://edupediapublications.org/journals/index.php/JSMaP/ P a g e | 84
deals with the behavior of the general Public
and Investors towards Mutual Fund with
special reference to Chennai city.
Descriptive research design is used in this
study .Primary data is collected from
questionnaire method with a sample size 100
from the investors and potential investors of
mutual funds in the area of our study,
Chennai City. The tools used Chi Square test
and percentage analysis. The study reveals
that most number of the investors are Male
and prefers to invest in low risk investment
avenues preferably savings followed by
fixed deposit. And their age group between
26 to 35 with the education qualifications
are between Under-graduation and Post- graduation. Occupation of the majority of
the investors is from the Private sector and
their income level is less than 2.5 lakhs.
There is a significant difference in mutual
fund schemes by the Investors and between
Asset management company preferences
given by investors. Investors failed to invest
in mutual funds as they are only partially
aware about mutual funds because of the
lack of awareness and the amount of risk
involved which makes the investor feel
unsecure about the investment.
Key Words: - Mutual Fund,
Investors, awareness, knowledge, Returns &
Risk.
Introduction:
A mutual fund is an investment tool,
which pools money from investors with
common investment objectives. It then
invests their money in multiple assets, in
accordance with the stated objective of the
scheme. The investments are made by an
„asset management company‟ or AMC.
Mutual fund was first introduced to India in
the year 1963 by Union Trust of India. UTI
ruled the Indian Market, until other financial
companies such as State Bank Of India,
Page 3 of 12
Journal for Studies in Management and Planning
Available at http://edupediapublications.org/journals/index.php/JSMaP/
ISSN: 2395-0463
Volume 03 Issue 12
November 2017
Available online: http://edupediapublications.org/journals/index.php/JSMaP/ P a g e | 85
Canara Bank & Punjab National bank
established their market in the year 1987.
These financial companies have made their
market open to Private players. Kothari
Pioneer was the first private sector fund to
operate in India which later merged with
Franklin Templeton. Mutual Fund is the
most suitable investment for the common
people as it offers an opportunity to invest in
diversified basket of securities at low cost.
Based on the various goals and investments
horizon of investors, Mutual fund gives you
the option to invest your money across
various assets classes like equity, debt and
gold. This allows investors to diversify their
investments and strive to reduce their
portfolio risk. There are many types of
mutual funds categorized based on structure,
asset class and individual objectives.
Choosing right kind of investments needs
will depend on your investment goal.
Literature Review
Kumar, S. P.,& Rajkumar, S. (2014)
studied the knowledge and awareness
among investors selected from specific area
of Chennai. The survey was conducted for a
period of 3 months with 250 investors
through simple random sampling. The
findings from the study is that awareness has
to be created for mutual funds and its
benefits, perfection has to done for
providing information to the investors,
agencies has to take much more effort to
attract investors and women investors has to
be focused and given awareness.
Mane, P. (2016) studied the
perception level of investors investing in
mutual funds comes under various factors
like risk level, benefits involved and
awareness level. The research was
conducted in Aurangabad city with the
sample size of 30 respondents who were the
investors in Aurangabad city. The primary
data is questionnaire and statistical tool used
