A PROJECT REPORT

ON
PERFERENCE OF THE ADVISORS TOWARDS MUTUAL
FUND
AT
KARVY SECURITIES LTD., LUCKNOW

SUBMITED BY

SHAILESH KUMAR RAO

(MBA – III SEM.)

ACEDAMIC YEAR
2008-10
SUBMITTED TO
LUCKNOW INSTITUTE OF MANAGEMENT &
TECHNOLOGY
AFFILIATED TO
UTTAR PRADESH TECHNICAL UNIVERSITY
LUCKNOW.

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 ACKNOWLEDGEMENT

I am really happy and exited in representing this

summer training project report before you.

I must express my gratitude towards KARVY Stock

Broking LTD for giving mean opportunity to work with
on this report.

And of course I am very much thankful to our honorable Dy.

Director Prof. Ajay Shah (PROJECT GUIDE) for giving me
opportunity and his guidance help me through out preparing
this report. He has also provided me a valuable suggestions
and excellence guidance about this training, which proved very
helpful to me to utilize my theoretical knowledge in practical
field.

At last I am also thankful to my friends, to all known and

unknown individuals who have given me their constructive
advise, educative suggestion, encouragement, co-operation
and motivation to prepare this report.

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 EXECUTIVE SUMMARY

India’s economy is highly developing. The development is

taken place due to the growth in the financial system. This
financial system provides the background to various investors
regarding varied options to invest. Thus, development of the
economy depends on how these investors invest for the well
being in long run.

As financial markets become more sophisticated and complex,

investors need a financial intermediary who provides the
required knowledge and professional expertise on successful
investing. Mutual Funds represent perhaps the most
appropriate investment opportunity for investors. No wonder the
concept of Mutual Fund was initially developed in the U.S.
market, but the entry of the concept in the Indian Financial
Market was in the year 1964 with the formulation of the UTI, at
the initiative of the RBI and Govt. of India.

For most people, money is a delicate matter and when it comes

to investing they are wary. Simply because there are many
investment options out there, each out promising the other. An
important question facing many investors is whether to invest in
Banks, National Savings, Post office, Non-banking finance
companies, Fixed deposits, Shares etc. or to invest distinctively
in Mutual Funds.

It has been perceived that there is huge potential market in the

region of Saurashtra. Thus an exploratory research with the
hypothesis “The region of Saurashtra being progressively
industrializing & developing should provide a large & wider
market share for Mutual Fund” has been done.

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Thus the purpose of this research was to find why people do
not actively invest in mutual fund in spite of various benefits like
Professional management, Diversification, Convenience
liquidity, Flexibility, Tax benefits etc. as well as to find out
potential of business of KARVY in distribution of Mutual Fund in
Jamnagar City.

After performing the detailed exploratory research by

interviewing different persons who act as investment advisor
like Insurance advisor and Post office advisor etc. with the help
of questionnaire, certain facts were revealed regarding the view
about Mutual Funds in the mind of investors.

I have observed that approximately 60% of the people are

unaware of Mutual Funds but most of them are interested to
know about Mutual Funds and ready to attend seminar
arranged by KARVY. They are also interested to work with
KARVY if sufficient information is provided to them about
Mutual Fund and KARVY.

People from service class prefers safety of income plus the

regular income as well as tax benefits while on the other hand
Professional and Businessman focus on high return with some
risk.

For growth and development of the Mutual Fund

Industry, the misconception regarding Mutual Fund
should be removed & the awareness for the same
should be made.

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