Security Analysis & Portfolio Management Assignment on Mutual Fund Of SBI
- 1. 1 A Project Report on “Mutual Fund of SBI” SECURITY ANALYSIS & PORTFOILO MANAGEMENT (SML-511) Submitted By:- Yamini Kahaliya K13341 BBA Honors 5th semester (3rd year) Submitted to: Dr. (CS) Pradyumna Sharma Assistant Professor School of Commerce & Management
- 2. 2 ACKNOWLEDGEMENT I wouldlike toexpressmyspecial thanksof gratitude tomyteacher(PradyumnaSharmaSir) who gave me the goldenopportunitytodothiswonderful projectonthe topic(Mutual Fund), whichalso helpedme in doingalot of Researchand I came to know aboutso many new thingsIam really thankful tothem. SecondlyIwouldalsolike tothankmyparentswhohelpedme alot infinalizingthisprojectwithin the limitedtime frame.
- 3. 3 CONTENT CONTENT NAME PAGE NO. Meaning of Mutual Fund 4 Types of Mutual Fund 5 Introduction of Organisation 6 Key information of SBI mutual funds 7 Different types of SBI mutual fund 8 - 9 Conclusion 10 Bibliography 11 MEANING OF MUTUAL FUND
- 4. 4 A mutual fund is a professionally-managed form of collective investments that pools money from many investors and invests it in stocks, bonds, short-term money market instruments, and/or other securities. In a mutual fund, the fund manager, who is also known as the portfolio manager, trades the fund’s underlying securities, realizing capital gains or losses, and collects the dividend or interest income. Mutual fund is a trust that pools the savings of a number of investors who share a common financial goal. Investors of mutual funds are known as unit holders.
- 5. 5 TYPES OF MUTUAL FUND There are three types of mutual funds – 1. Equity or Growth Funds: As the name suggests, they invest in equities and have potential to generate higher return. They are considered best for long-term investment. That have large cap, mid cap and small cap funds. There is also a multi-cap fund that invests in a mix of large, mid and small sized companies. Here, we can save taxes also. 2. Bond/Fixed Income Funds: They invest in securities such as debentures, bank certificates of deposits, government securities or bonds, commercial papers, treasury bills, and commercial paper. They are a safe bet. We can invest in liquid, short term, funds to generate wealth. 3. Hybrid Funds: They are a mix of equity and fixed income funds. They are balanced and offer great wealth creation potential. Under this, we can invest in balanced funds, pension plans, monthly income plans, etc.
- 6. 6 INTRODUCTION OF ORGANIZATION SBI Mutual Fund SBI mutual fund was setup on June 29th, 1987 and incorporated on February 7th, 1992. SBI Mutual Fund (SBI MF) is one of the largest mutual funds in the country with an investor base of over 4.6 million. With over 20 years of rich experience in fund management, SBI MF brings forward its expertise in consistently delivering value to its investors. Proven Skills in wealth generation: SBI Mutual Fund is India’s largest bank sponsored mutual fund and has an enviable track record in judicious investments and consistent wealth creation. The fund traces its lineage to SBI - India’s largest banking enterprise. The institution has grown immensely since its inception and today it is India's largest bank, patronized by over 80% of the top corporate houses of the country. SBI Mutual Fund is a joint venture between the State Bank of India and Society General Asset Management, one of the world’s leading fund management companies that manages over US$ 500 Billion worldwide. In twenty years of operation, the fund has launched 38 schemes and successfully redeemed fifteen of them. In the process it has rewarded it’s investors with consistently high returns.
- 7. 7 KEY INFORMATION OF SBI MUTUAL FUNDS Setup date Jun-29-1987 Incorporation date Feb-07-1992 Sponsor State Bank of India Trustee SBI Mutual Fund Trustee Company Private Limited Chairman Ms. Arundhati Bhattacharya CEO / MD Mr. Dinesh Kumar Khara CIO Mr. Navneet Munot Compliance Officer Ms. Vinaya Datar Investor Service Officer Mr. C A Santosh Assets Managed Rs.47184.11 crore (Jun-30-2012) Corporate Office SBI Funds Management Pvt. Ltd.
- 8. 8 DIFFERENT TYPES OF SBI MUTUAL FUND 1. SBI SMALL CAPITAL FUND Investment Objective: To provide investors with opportunities for long-term growth in capital along with the liquidity of an open-ended scheme by investing predominantly in a well-diversified basket of equity stocks of small cap companies Performance: Last 1 year Last 3 year Last 5 year Since inception SBI Small Capital fund 20.93% 21.91% 37.45% 21.27% 2. SBI MAGNUM LOW DURATION FUND Investment Objective: To provide investors an opportunity to generate regular income with reasonable degree of liquidity through investments in debt and money market instruments in such a manner that the Macaulay duration of the portfolio is between 6 months and 12 months. Performance: Last 1 year Last 3 year Last 5 year Since inception SBI magnum low duration fund 6.6% 7.44% 8.23% 7.81%
- 9. 9 3. SBI LIQUID FUND Investment Objective: To provide the investors an opportunity to invest in the entire range of debt and money market securities with residual maturity upto 91 days only. Performance: Last 1 year Last 3 year Last 5 year Since inception SBI liquid fund 6.96% 7.17% 7.92% 7.65% 4. SBI BLUECHIP FUND Investment Objective: To provide investors with opportunities for long-term growth in capital through an active management of investments in a diversified basket of large cap equity stocks Performance: Last 1 year Last 3 year Last 5 year Since inception SBI liquid fund 9.75% 13% 21.68% 11.71%
- 10. 10 CONCLUSION So I conclude here by preparing this assignment I came to know what are mutual fund, its types, or SBI mutual fund & different types of SBI mutual fund & their returns.
- 11. 11 BIBLIOGRAPHY www.slideshare.com www.goggle.com www.sbi.com www.sbimutualfund.com