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CHAPTER IV
DATA ANALYSIS AND INTERPRETATION
Age-wise Classification
The age is the deciding personal factor that influences the clients
towards the investment decisions. It is a factor that always helps the
investors in deciding the investments avenues, interest in making
investments, etc., Hence the classification of the respondents are made
on the basis of their age and presented in the table.
Table 4.1
Age-wise Classification
Particulars No. of respondents (n=300)Percentage
(100%)
Below 25 yrs 53 17.7
26 to 35 yrs 84 28.0
36 to 45 yrs 107 35.7
46 to 55yrs 53 17.7
Above 55yrs 3 1.0
Source: Primary Data
Inference
Out of the total 300 respondents of Tata Mutual Funds, 53
respondents (17.7 %) are between the age group of below 25 years; 84
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respondents (28 %) are between the age group of 26 to 35 years; 107
respondents (35.7 %) are between the age group of 36 to 45 years; 53
respondents (17.7 %) are between the age group of 46 to 55 years and
the rest of 3 respondents (1 %) are at the age group of above 55 years.
It is inferred and concluded from the above that the most of 107
respondents (35.7 %) are at the age group between 36 to 45 years. It is
also known that the middle age group people are interested in making
their investments for future emergence and living.
Graph 4.1
Age-wise Classification
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Gender-wise classification
Gender wise classification helps significantly in better
understanding people’s awareness and interest towards investment
options. Hence, the classification of the gender of the respondents is
made and presented in the table.
Table 4.2
Gender-wise Classification
Particulars No. of respondents (n=300)Percentage
(100%)
Male 225 75.0
Female 75 25.0
Source: Primary Data
Inference
It is inferred from the above table that the male respondents are
225 (75 %) among the total 300 respondents. It is an overwhelming
majority that makes up 3/4th of the total number of respondents. The rest,
75 (25 %) respondents are female and comprise 1/4th of the total
respondents.
It is also inferred that the interest of the respondents is known
mostly from the male respondents. This exhibits their perception
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towards Tata Mutual Funds and the benefits that could be derived from
their investments with Tata Mutual Funds. It is concluded that the
maximum of 225 respondents (75 %) of the total are male in gender.
Graph 4.2
Gender-wise Classification
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Classification based on Marital Status
The marital status is a limiting and influencing factor of the
people towards making their investments. Due to family constraints and
needs the people want to make their investments. In this regard the
classification of the respondents on the basis of their marital status is
presented in the table below.
Table 4.3
Marital Status
Particulars No. of respondents (n=300)Percentage
(100%)
Single 168 56.0
Married 132 44.0
Source: Primary Data
Inference
Among the total 300 respondents 168 respondents (56 %) are
unmarried and bachelors; 132 respondents (44 %) are married and
family people. They have known about the Tata Mutual Funds and the
benefits of the investments with Tata fund managers.
It is inferred and concluded that out of the total 300 respondents,
168 respondents (56 %) are unmarried and bachelors. This shows their
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personal interest for the social status and investments with Tata Mutual
Funds.
Graph 4.3
Marital Status
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Occupation-wise classification
The occupation of the respondents is the next significant deciding
factor for the investments. In this connection, the respondents are
classified on the basis of their occupation and presented in the table
below.
Table 4.4
Occupation wise classification
Particulars No. of respondents (n=300) Percentage
Service 43 14.3
Business 69 23.0
Professional 93 31.0
Retired 59 19.7
House wife 26 8.7
Others 10 3.3
Source: Primary Data
Inference
Among the total 300 respondents, 43 respondents (14.3 %) are
doing service works; 69 respondents (23 %) are doing their own
business; 93 respondents (31 %) are professionals in different fields; 59
respondents (19.7 %) are retired people; 26 respondents (8.7 %) are
housewives; and 10 respondents (3.3 %) are otherwise engaged.
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It is inferred that the maximum of 93 respondents (31 %) of the
total are professionals and are following professions in different fields.
They are also very much interested in doing their investments at Tata
Fund managers.
Graph 4.4
Occupation wise classification
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Income wise classification
The income of the people is an essential factor that influences and
motivates them for making their investments. The Tata Mutual Fund
investors are classified on the basis of their income per annum and
presented in the table below.
Table 4.5
Income wise classification
ParticularsNo. of respondents
(n=300)Percentage
Below 1.5 lakh 89 29.7
1.5 to 5 lakh 93 31.0
5 to 10Lakh 103 34.3
Above 10 lakh 15 5.0
Source: Primary Data
Inference
Out of the total 300 respondents, 89 respondents (29.7 %) are
earning below Rs.1.5 lakhs; 93 respondents (31 %) are earning between
Rs.1.5 to Rs.5 lakhs per annum; 103 respondents (34.3 %) are earning
Rs.5 to 10 lakhs annually and the rest of 15 respondents (5 %) are
earning Rs.10 lakhs and above annually.
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It is inferred and concluded that the maximum of 103 respondents
(34.3 %) of the total are earning annually Rs.5 to 10 lakhs. They have
also had the investments proposal for their future in different segments.
Graph 4.5
Income wise classification
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Importance of Financial Planning
The respondents are asked about financial planning and its
importance for life goals. They responded towards it both positively and
negatively. Their opinions are presented in the table below.
Table 4.6
Importance of Financial Planning
Particulars No. of respondents (n=300) Percentage
Yes 139 46.3
No 161 53.7
Source: Primary Data
Inference
Among the total 300 respondents of Tata Mutual Funds, 139
respondents (46.3 %) accepted and said that financial planning is
important for their life goals. But the rest of 161 respondents (53.7 %)
did not accept the statement and said that the financial planning is not at
all important for their life goals.
From the above, it can be inferred that the maximum of 161
respondents (53.7 %) of the total said that they are not interested in
financial planning for their life goals and also that they had not yet
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understood the importance. Even then they do some investments with
Tata Mutual Funds is a surprise and it reflects their perception.
Graph 4.6
Importance of Financial Planning
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Plan for Investments
The respondents are required to present their opinion about their
plan of investments in Tata Mutual Funds. Their opinions are drawn and
presented in the table for inferring.
Table 4.7
Plan for Investments
Particulars No. of respondents (n=300) Percentage
Yes 137 45.7
No 163 54.3
Source: Primary Data
Inference
Among the total 300 respondents of Tata Mutual Funds, 137
respondents (45.7 %) said that they planned for their investments with
Tata Mutual Funds in future. But the rest of 163 respondents (54.3 %)
said that they have not planned yet for any investments with Tata Mutual
Funds. This shows that it is either non interest or non awareness of the
mutual funds investments.
From the above table, it could be inferred that the maximum of
45.7% (137 respondents) of the respondents have planned for their
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investments with Tata Mutual Funds and the rest of them have not yet
planned for the same.
Graph 4.7
Plan for Investments
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Priority for Investments
The respondent’s awareness on investments with Tata Mutual
Funds and their priority for investments has been drawn and presented
in the table. The prioritization of investments is given significance and
opinions are inferred.
Table 4.8
Priority for Investment
Particulars No. of respondents (n=300) Percentage
Returns 84 28.0
Lower risk 70 23.3
Liquidity 94 31.3
Convenience 52 17.3
Source: Primary Data
Inference
Out of the total 300 respondents, 84 respondents (28 %) have
prioritized the returns, 70 respondents (23.3 %) have prioritized the
lower risk; 94 respondents (31.3 %) have preferred the liquidity as
priority; and the rest 52 respondents (17.3 %) have preferred the
convenience as priority for their investments with Tata Mutual Fund
Management.
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One could infer from the above that, the priority is given to the
liquidity by 94 respondents (31.3 %) of the total. They prefer to have the
liquid funds always with them.
Graph 4.8
Priority for Investment
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Importance for Investments
The importance for the investments of the respondents are drawn
with reference to Tata Mutual Funds and presented here for the
reference. When the people invest there will be an importance of social
events such that, they may help the investors in any of the way.
Table 4.9
Importance for Investments
ParticularsNo. of respondents
(n=300)Percentage
Safety 82 27.3
Tax benefits 69 23.0
Low cost 94 31.3
Professional management
55 18.3
Source: Primary Data
Inference
Out of the total 300 respondents, 82 respondents (27.3%) have
signified the safety as a phenomena for their investments; 69
respondents (23%) have given significance to the tax benefits, that they
could avail with their financial activity; 94 respondents (31.3%) have
given importance to the low cost; high benefit from the investments; and
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the rest of 55 respondents (18.3%) of the total have given significance to
the professional management of their investments.
It is inferred from the above table that the most of 94 respondents
(31.3%) of the total have given importance to the low cost; high benefit
for their investments. The next is safety preferred by 82 respondents
(27.3%) of the total.
Graph 4.9
Importance for Investments
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Preferable investments
The people prefer the investments according to their needs and
income. Also they want to mobilize their funds to the maximum in a
short span. Hence, they prefer to invest in several short term financial
activities of Tata Mutual Funds. In this view, the preference of the
respondents towards their investment is presented in the table below.
Table 4.10
Preferable investments
ParticularsNo. of
respondents(n=300)
Percentage
An investment offering high growth rate ofreturn but not a steady revenue
139 46.3
An investment offering lower return funds but steady revenue
161 53.7
Source: Primary Data
Inference
Among the total 300 respondents, 139 respondents (46.3 %) of
Tata Mutual Funds have preferred an investment offering high growth
rate of return but not long term; and the rest of 161 respondents (53.7 %)
have preferred an investment offering lower return funds but steady
revenue for the investments.
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It is concluded that the maximum of 161 respondents of the total
(53.7 %) have preferred an investment offering lower return funds; the
steady revenue providing funds, etc., due to the consistency and
continuity of their requirements.
Graph 4.10
Preferable investments
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Feel about the risk of investments
The people always think that the investments are very risky in the
capital market and money market. This is due to the volatility of the
market conditions. In this view, the clients and respondents of Tata
Mutual Funds are consulted to draw their opinion on the risk existing.
Table 4.11
Feel About the risk of Investments in Mutual Funds
Particulars No. of respondents (n=300) Percentage
Yes 120 40.0
No 100 33.3
Partly 80 26.7
Source: Primary Data
Inference
Among the total 300 respondents, 120 respondents (40.0 %) have
said that the investments in mutual funds are risky; 100 respondents
(33.3 %) have said that the investments in mutual funds are not risky;
and the rest of 80 respondents (26.7 %) have felt that the investments in
mutual funds are partly risky with Tata Mutual Funds.
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It is inferred and concluded that the investments in Tata Mutual
Funds are risky. It is felt by 120 respondents (40 %) of the total and very
less felt that it was partly risky.
Graph 4.11
Feel About the risk of Investments in Mutual Funds
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Flexibility and convenience for investment in Mutual Funds
The investors would like to invest their funds in mutual funds
which offer flexibility and convenience. This is because of the terms and
conditions that the fund managers offered. Particularly the Tata Mutual
Funds offer the flexibility and convenience for the investors. Hence the
opinion of the investors are drawn and presented in the table.
Table 4.12
Flexibility and convenience for investment in Mutual Funds
Particulars No. of respondents (n=300) Percentage
Yes 118 39.3
No 101 33.7
Partly 81 27.0
Source: Primary Data
Inference
Among the total 300 respondents, 118 respondents (39.3 %) have
accepted that the mutual funds offer flexibility and convenience for
investments; 101 respondents (33.7 %) have said that the funds do not
offer the flexibility and convenience and the rest of 81 respondents (27
%) have partly accepted that the funds are offering the flexibility and
convenience.
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It is inferred that the majority of respondents of 118 (39.3 %)
from the total have accepted that the funds offer the flexibility and
convenience for investments, particularly the Tata Mutual Funds.
Graph 4.12
Flexibility and convenience for investment in Mutual Funds
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Benefit associated with Mutual Funds
The investors seek the benefits from the mutual funds. They
would determine the benefits that are closely associated with mutual
fund investments. In this regard the opinions of the sample respondents
are extracted and presented in the table below.
Table 4.13
Benefit associated with Mutual Funds
ParticularsNo. of respondents
(n=300)Percentage
Portfolio diversification 121 40.3
Professional management 99 33.0
Risk reduction 80 26.7
Source: Primary Data
Inference
Among the total 300 sample respondents of tata Mutual funds,
121 respondents (40.3%) have chosen the mutual funds for portfolio
diversification; 99 respondents (33.0%) have said that the professional
management of the fund managers are closely associated with Tata
Mutual Funds and the rest of 80 respondents (26.7%) have said that the
risk reduction as the benefits associated with the mutual fund
investments.
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It is inferred that the majority of 121 respondents of (40.3%) the
total have said that the diversification of portfolio is the benefit
associated with the mutual funds as an investment particularly in Tata
Mutual Funds.
Graph 4.13
Benefit associated with Mutual Funds
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Awareness on Plans
The individual investors would like to know the specific plans of
investments of mutual funds. They would be aware of the plans and how
to execute it in minimum time. In that way, the opinions of the investors
are drawn and presented in the table.
Table 4.14
Awareness on Plans
ParticularsNo. of respondents
(n=300)Percentage
Tax plan 90 30.0
Pension plan 60 20.0
Retirement plan 70 23.3
Children saving plan 80 26.7
Source: Primary Data
Inference
Out of the total respondents of 300 Tata Mutual Fund companies,
90 respondents (30.0 %) prefer the tax plans; 60 respondents (20.0 %)
prefer the pension plans; 70 respondents (23.3 %) prefer the retirement
plan and 80 respondents (26.7 %) prefer children savings plan. The
respondents are aware of the above plans according to their need and
comfort.
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It is finally inferred and concluded that the majority of 90
respondents (30.0 %) of the total are aware of the tax plan, that render
the benefit to the people at the time of return submission with IT
department. The next preference of the respondents is children’s savings
plans (26.7 %).
Graph 4.14
Awareness on Plans
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Annual Savings
The savings is the fundamental financial strength of every
individual. How it is saved is the other part. It is also important in
making the money saved at elsewhere, for that the annual amount of
savings is signified. In that way, the respondents are asked a question
regarding their annual savings and presented below.
Table 4.15
Annual savings
ParticularsNo. of respondents
(n=300)Percentage
Below Rs.10000 118 39.3
Rs.10000 to 20000 91 30.3
Rs.20000 to 30000 75 25.0
Above Rs.30000 16 5.3
Source: Primary Data
Inference
Among the total 300 respondents, 118 respondents (39.3%) save
annually upto Rs.10000 in investment avenues; 91 respondents (30.3%)
save Rs.10000 to Rs.20000 annually; that too to suit their income; 75
respondents (25.0%) save Rs.20000 to Rs.30000 annually for their
future and 16 respondents (5.3%) save Rs.30000 and above annually.
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It is concluded that the majority of 118 respondents of the total
(39.3%) save Rs.10000 and below annually, that shows the poor interest
of the respondents in savings for the future. The next limit of saving
amount is Rs.10000 to Rs.20000 by 91 respondents (30.3%)
Graph 4.15
Annual savings
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Knowledge on Financial Liberalisation
Financial liberalization is concerned with making funds employed
in the organization attractively for all the activities. This would help the
corporate and others for promotion of business. This may be done with
issuance of slips, stocks, funds, etc. and may be collected from the
general public at the minimum cost. This is a policy, on which the
opinions are drawn from the respondents regarding their knowledge and
presented below.
Table 4.16
Knowledge on Financial Liberalisation
Particulars No. of respondents (n=300) Percentage
High 125 41.7
Moderate 98 32.7
Low 77 25.7
Source: Primary Data
Inference
Out of 300 respondents, 125 respondents (41.7%) had high
knowledge about financial liberalization; 98 respondents (32.7%)
possessed a moderate knowledge and the rest of 77 respondents (25.7%)
had acquired a low level knowledge on the financial liberalization.
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Hence, it is concluded that the majority of 125 respondents
(41.7%) of the total, had a high level knowledge on financial
liberalization, so that it would help them to choose the investment
avenues. The second stage is moderate knowledge, possessed by 98
(32.7 %) of the total respondents.
Graph 4.16
Knowledge on Financial Liberalisation
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Investment as a percentage of income
The income earning capacity of every individual is a direct
component to decide about their savings. The savings of the individuals
are rated on their total earnings of income. In this way, the rate of
income towards the investments of Tata Mutual Fund investors are
drawn and presented for analysis as below.
Table 4.17
Investment as a percentage of Income
Particulars No. of respondents (n=300) Percentage
5 to 10% 89 29.7
11 to 15% 59 19.7
16 to 20% 71 23.7
Above 20% 81 27.0
Source: Primary Data
Inference
Out of the total 300 respondents, 89 respondents (29.7%) said that
they invest 5% to 10% of their income, 59 respondents (19.7%) have
said that they invest 11 to 15% of their income, 71 respondents
(23.7%)have said that they invest 16 to 20% of their income; and the
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rest of 81 respondents (27 %) have said that they invest 20% and above
of their income.
Hence, it is concluded that the majority of 89 respondents (29.7
%) of the total have said that they invest 5 to 10% of their income,
followed by those who invest above 20% of income represented 81
respondents (27%) of the total.
Graph 4.17
Investment as a percentage of Income
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Reasons for Investments
The investors and the general public would prefer investment
avenues according to their interest and needs. This may be the reason for
their investments and that would be the basis for investment avenues
too. Hence, the researcher has collected the views of the respondents
regarding the reasons for their investments and presented below.
Table 4.18
Reasons for investments
ParticularsNo. of respondents
(n=300)Percentage
Capital gains 90 30.0
Safety of investment 84 28.0
Tax benefits 30 10.0
Generate Regular Income 24 8.0
Capital Appreciation & Bonus
36 12.0
Others 36 12.0
Source: Primary Data
Inference
Out of the total 300 Tata Mutual Fund investors, 90 respondents
(30%) have said the capital gains as the reason for investing; 84
respondents (28%) gave the safety of investments as the reason; 30
respondents (10%) said tax benefits was the reason; 24 respondents
(8%) said they invested in order to generate regular income; 36
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respondents (12%) said the reason was capital appreciation and bonus
and the rest of 36 respondents (12%) said others as reason for their
investment.
Hence, it is inferred that most of 90 respondents (30%) have
given the capital gains as reasons for their investment among the total
and the safety of investment as a reason follows, expressed by 84
respondents (28%) of the total.
Graph 4.18
Reasons for investments
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Risk Tolerance Level
The risk is the determination and broad view of the investors to
go forward with their investments by crossing many hurdles, such as
association of risk is normally found with all investment avenues. That
may either be taken or not by the investors according to their individual
self. Hence, the opinion of the respondents are drawn and presented
regarding their risk tolerance level.
Table 4.19
Risk Tolerance Level
Particulars No. of respondents (n=300) Percentage
High Risk 90 30.0
Moderate Risk 59 19.7
Low risk 69 23.0
No Risk 82 27.3
Source: Primary Data
Inference
Out of the total 300 respondents, 90 respondents (30%) level of
the risk tolerance is high risk tolerance level; moderate risk tolerance
level is with 59 respondents (19.7%), 69 respondents (23%) would take
only low risk tolerance level; and the rest of 82 respondents (27.3%) of
the total came into the no risk level of tolerence.
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It is inferred and concluded that the maximum of 90 respondents
(30%) of the total would prefer to take and cross the high risk tolerance
level due to their interest in investments followed by 82 respondents
(27.3%) of the total who would not take any risk, i.e., no risk tolerance
level.
Graph 4.19
Risk Tolerance Level
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Rate of risk taken as a percentage of investment
The risk taken by the respondents are different. The risk level is
also different. The respondents of Tata Mutual Fund companies say what
rate of risk they could take for their investments in different avenues.
Their opinions are presented in the table below.
Table 4.20
Rate of Risk taken as a percentage of Investment
Particulars No. of respondents (n=300) Percentage
5 to 10% 90 30.0
11 to 15% 58 19.3
16 to 20% 67 22.3
Above 20% 85 28.3
Source: Primary Data
Inference
Out of the total 300 respondents, 90 respondents (30%) rate of
risk level is 5 to 10% of investments; 58 respondents (19.3%) rate of
risk level is 11 to 15% of the investments; 67 respondents risk level is
(22.3%) 16 to 20% of the investments; and the rest of 85 respondents
(28.3%) risk level is above 20% of the investments.
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Such that it is inferred from the above and concluded that the
majority of 90 respondents (30%) have been rated with their risk level
as 5 to 10% of their investments; succeeded by 85 respondents (28.3%)
who rated as above 20% risk rate of their investments.
Graph 4.20
Rate of Risk taken as a percentage of Investment
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Expected rate of return
The individual investors have an interest to earn something more
from what they invest. They also expect the rate of returns according to
the amount of their investments and types. Hence, the following tabular
column is decided to arrive a result from the opinion of the total 300
respondents of Tata Mutual Funds and tabulated as below.
Table 4.21
Expected rate of return
Particulars No. of respondents (n=300) Percentage
5 to 10% 95 31.7
11 to 15% 59 19.7
16 to 20% 67 22.3
Above 20% 79 26.3
Source: Primary Data
Inference
Out of the total 300 respondents, 95 respondents (31.7%) expect 5
to 10% of returns from their investment; 59 respondents (19.7%) expect
11 to 15% of returns from their investments; 67 respondents (22.3%)
expect 16 to 20% of returns from their investments and 79 respondents
(26.3%) expect 20% and above returns from their investments.
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It is inferred and concluded that the majority of 95 respondents
(31.7%) of the total expect 5 to 10 % return for their investment
followed by 79 respondents (26.3%) who would expect above 20%
return from their investments as rate of expected return.
Graph 4.21
Expected rate of return
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Shift from conventional alternative to new alternative investments
Everybody wants to shift from the conventional investment
alternative to new investment alternatives. This would happen in the
case of the investments of Tata Mutual Fund investors too, because
nobody would like to remain with the existing. They may get shifted
from banks to shares; post office to mutual funds, savings and recurring
deposits to equity and commodity market, loan funds to lien funds etc.
In this regard the opinion of the Tata Mutual Fund investors are drawn
and presented for analysis. This is only the opinion of the individual
investors on the basis of their investment experiences.
Table 4.22
Shift from conventional alternative to new alternative investments
Particulars No. of respondents (n=300) Percentage
Yes 132 44.0
No 168 56.0
Source: Primary Data
Inference
Out of the total 300 respondents, 132 respondents (44 %) have
said that they had shifted from their conventional investment alternative
to the new investment alternative for their benefits. But the rest of 168
respondents (56 %) have not yet shifted due to their non awareness.
45
It is inferred from the above that the majority of 168 respondents
(56%) have not yet shifted from their conventional investment
alternatives to the new investment alternatives due to their non
awareness or lack of interest to mobilize the funds.
Graph 4.22
Shift from conventional alternative to new alternative investments
46
Awareness level on the Government’s protection Mechanism
The government is responsible for making and influencing the
protection mechanisms particularly towards the investments of the
public with mutual funds. This would enable the people further to
become an investors for mutual fund companies. The protection
mechanisms are security return, control of volatility, deflation etc.
carried on by the governments through SEBI, RBI and other agencies. In
this view, the opinions are drawn from the respondents of Tata Mutual
Funds.
Table 4.23
Awareness level on the Government’s protection mechanisms
Particulars No .of respondents (n=300) Percentage
High 143 47.7
Moderate 88 29.3
Low 69 23.0
Source: Primary Data
Inference
Among the total 300 respondents, 143 respondents (47.7 %) have
stated that they had a high level awareness on government’s protection
mechanisms; 88 respondents (29.3 %) have stated that they had a
moderate level of awareness and the rest of 69 respondents (23 %) have
47
stated that they had a very low level of awareness level towards the
protection mechanisms of the government.
Hence, it is concluded that the majority of 143 respondents (47.7
%) of the total have stated that they had a high awareness level on the
protection mechanism of government followed by the moderate level
awareness stated by 88 respondents of the (29.3 %) total.
Graph 4.23
Awareness level on the Government’s protection mechanisms
48
Sources of Income
The income source is the fundamental factor that helps the people
to decide the investment avenues. People may have an interest but
cannot make investment due to poor income and vice versa. Both
interest for investment and income are influential in some people’s life
that too decide their avenues for investments. In this way, the Tata
Mutual Fund respondents are approached and also their views are
presented below:
Table 4.24
Sources of Income
Particulars No. of respondents (n=300) Percentage
Salaries 80 26.7
Business 118 39.3
Others 102 34.0
Source: Primary Data
Inference
Out of the total 300 respondents, 80 respondents (26.7 %) said
that the salaries are the source of income for their investments; 118
respondents (39.3 %) said that their business is the source for providing
them income for their investments; and 102 respondents (34.0 %) of the
49
total have made otherwise their income as source from other modes for
their investments.
It is inferred that the majority of 118 respondents of the total (39.3
%) have the business income as source for investments followed by
other income source of 102 respondents (34 %) of the total.
Graph 4.24
Sources of Income
50
Details of assets owned as status symbol
The people want to have some with status among others in the
society. The status symbols are owning a car, two wheeler, flat or home
and others, like investments with capital markets or money markets.
These, like the ownership of the respondents are inquired to know their
societal status, so that it would enable to determine their investment
ability. That has been done particularly with Tata Mutual Fund investors.
Table 4.25
Details of assets owned
Particulars No. of respondents (n=300) Percentage
Car 86 28.7
Two wheelers 64 21.3
Home 71 23.7
Others 79 26.3
Source: Primary Data
Inference
Out of the total 300 respondents, 86 respondents (28.7%) owned a
car as a status symbol; 64 respondents (21.3%) have possessed a two
wheeler as status symbol; 71 respondents had their own home or flat for
living (23.7%) as status symbol and the rest of 79 respondents (26.3%)
held other assets and funds for being with status in society.
51
It is concluded that the majority of 86 respondents (28.7%) of the
total are holding a ownership of car as status symbol; that is followed by
79 respondents (26.3%) the total, who are the owners for other assets
and funds.
Graph 4.25
Details of assets owned
52
Factors influencing the investment decisions
There are many factors that influence the investment decisions of
the individual investors or general public. They could be persuaded by
the different internal as well as external factors, between these the
external factors were particularly more influential in relation to the
investments. Factors that affected the opinions of the investors of Tata
Mutual Fund companies are presented below.
Table 4.26
Factors influencing the investment decision
ParticularsNo. of respondents
(n=300)Percentage
Economic Factors 97 32.3
Company image 84 28.0
Performance of the fund
36 12.0
Fund manager image 25 8.3
Tax incentive 29 9.7
Others 29 9.7Source: Primary Data
Inference
Out of the total 300 respondents, 97 respondents (32.3 %) were
influenced by the economic factors for investments; 84 respondents
(28.0%) were influenced by the image of the company; 36 respondents
(12.0%) were attracted by the performance of the fund; 25 respondents
(8.3%) were influenced by the image of the fund managers; 29
53
respondents (9.7%) were influenced by the tax incentives; and the rest
of 29 respondents (9.7 %) are motivated by other means for investments.
It is inferred and concluded that the maximum of 97 respondents
(32.3 %) of the total are influenced by the economic factors; that is
followed by the image of the company influence 84 respondents (28 %)
of the total.
Graph 4.26
Factors influencing the investment decision
54
Opinion on Growth of Mutual Funds
The individual’s opinion is important to determine their
perception of the investments. The investors opinions, particularly from
the respondents chosen for study are approached for their opinion
towards the growth of mutual funds. The investors in Tata Mutual Fund
are the respondents who have expressed their interest towards the
growth of mutual funds.
Table 4.27
Opinion on growth of Mutual Funds
ParticularsNo. of respondents
(n=300)Percentage
Very important 91 30.3
Somewhat important 63 21.0
Neutral 63 21.0
Somewhat unimportant 45 15.0
Not at all important 38 12.7
Source: Primary Data
Inference
Out of the total 300 respondents, 91 respondents (30.3%) have
opined that the growth is very important; 63 respondents (21%) have
opined that the growth is somewhat important, another 63 respondents
(21%) have opined neither important nor unimportant, 45 respondents
55
(15%) have opined that somewhat unimportant and 38 respondents
(12.7%) have opined that it is not at all important.
It is inferred that the maximum of 91 respondents of (30.3%) the
total have opined that the growth is very important, followed by 63
respondents of each in (21%) favour of somewhat is important and
neutral in relation to the growth of mutual funds.
Graph 4.27
Opinion on growth of Mutual Funds
56
Plan Preference
The investment chosen is followed by the types, varieties,
schemes and plans for the investments. The question is asked in such a
way, to the respondents chosen from Tata Mutual Funds to draw their
opinion of the plan that they would prefer in mutual funds. Their
opinions are presented below.
Table 4.28
Plan Preference
ParticularsNo. of respondents
(n=300)Percentage
SIP 79 26.3
SWP 119 39.7
STP 102 34.0
Source: Primary Data
Inference
Among the total 300 respondents, 79 respondents (26.3%) prefer
the systematic investment plans (SIP), 119 respondents (39.7%) prefer
the systematic withdrawal plans (SWP) and 102 respondents (34%)
prefer the systematic transfer plans (STP) for their investments.
It is inferred and concluded that the majority of the total 300
respondents, i.e., 119 respondents (39.7%) prefer to invest in the (SWP)
57
systematic withdrawal plans that provide much benefit as prevailing in
market without loss of investment.
Graph 4.28
Plan Preference
58
Scheme of options preferred
Several options exist that can be opted for in mutual funds. The
different asset management companies offer different schemes of
options in series every time. The investors would be able to select
according to their convenience, any scheme of option that would
provide them benefits. In this regard, the opinions of the Tata Mutual
Fund investors are drawn and presented in the table below.
Table 4.29
Scheme of Options preferred
ParticularsNo. of respondents
(n=300)Percentage
Growth option 75 25.0
Dividend option 113 37.7
Others 112 37.3
Source: Primary Data
Inference
Out of the total 300 respondents, 75 respondents (25.0%) prefer
the growth option, 113 respondents (37.7%) prefer the dividend options;
and the rest of 112 respondents (37.3%) prefer either the other options or
a combination of features of the above said options in a frequent interval
as per the agreement.
59
Hence, it is concluded that the majority of 113 respondents
(37.7%) prefer the growth option; followed by 112 respondents (37.3%)
of the total with any other options as preference of schemes.
Graph 4.29
Scheme of Options preferred
60
Preference of class of funds
Every investor in the Mutual Fund market has a particular
preference in class of funds after they had chosen the avenue, plan and
schemes of funds. In this regard, the opinion is drawn and presented for
analysis from the chosen respondents of Tata Mutual Fund companies.
This would probably reveal the perception of the investors on the whole.
Table 4.30
Preference of Class of funds
Particulars No. of respondents (n=300) Percentage
Closed ended 90 30.0
Open ended 86 28.7
Load fund 34 11.3
Active fund 26 8.7
Passive fund 32 10.7
No load fund 32 10.7
Source: Primary Data
Inference
Out of the total 300 respondents, 90 respondents (30%) prefer the
closed ended type of funds; 86 respondents (28.7 %) prefer to invest in
open ended type of funds; 34 respondents (11.3%) would prefer the
class of load funds; 26 respondents (8.7%) would prefer the class of
active funds; 32 respondents (10.7%) would prefer to invest in passive
61
funds; and the rest of another 32 respondents (10.7%) prefer to invest in
no load funds.
Hence, it is concluded that the most of 90 respondents (30%) of
the total prefer to invest in the closed ended funds; followed by the open
ended funds which is preferred by a significant percentage (28%) of
respondents numbering 86.
Graph 4.30
Preference of Class of funds
Type of Mutual Funds
62
The investors will make their investments in mutual funds
according to their interest and capacity. Though they would like to
choose the type of funds that fetch the maximum revenue to them. In
this regard, the chosen respondents of the Tata Mutual Fund companies
were questioned about their fund type and choice. Their views are
presented below.
Table 4.31
Type of Mutual Funds
ParticularsNo. of respondents
(n=300)Percentage
Growth schemes 68 22.7
Balanced Schemes 48 16.0
Sector Schemes 31 10.3
Income Schemes 22 7.3
Money Market Schemes 19 6.3
Industry Specific 28 9.3
ELSS 34 11.3
Index Schemes 39 13.0
Others 11 3.7Source: Primary Data
Inference
Out of the total 300 respondents, 68 respondents (22.7%) invested
in growth schemes; 48 respondents (16%) invested in Balance schemes;
31 respondents (10.3%) invested in sector schemes; 22 respondents
(7.3%) invested in income schemes; 19 respondents (6.3%) invested in
63
money market schemes; 28 respondents (9.3%) invested in Industry
specific schemes; 34 respondents (11.3%) invested in ELS schemes; 39
respondents (13%) invested in Index schemes; and the rest of 11
respondents (3.7%) invested in other specified schemes or types of
funds.
It is concluded that the first choice is growth schemes by 68
(22.7%) respondents, the second choice of the type of the respondents is
balanced schemes by 48 (16.0%) of the total.
Graph 4.31
Type of Mutual Funds
64
Knowledge of the Mutual Fund
Every individual investor has a sufficient knowledge of
investment. They have had adequate information on the amount of
investments, the return from the investments, the rate of interest or
incentive, etc. But it is a surprise that all the investors do not have
sufficient interest and knowledge of mutual funds. Hence, the chosen
300 respondents of the Tata Mutual Fund companies are asked to say
about their knowledge on Mutual funds.
Table 4.32
Knowledge of Mutual Fund
Particulars No. of respondents (n=300) Percentage
Very good 93 31.0
Good 58 19.3
Average 63 21.0
Poor 46 15.3
Very poor 40 13.3
Source: Primary Data
Inference
Out of the total 300 respondents, 93 respondents (31%) say that
they have a very good knowledge, 58 respondents (19.3%) have a good
knowledge of mutual funds; 63 respondents (21%) say that they have an
65
average knowledge; 46 respondents (15.3%) have a poor knowledge and
the rest of 40 respondents (13.3%) have a very poor knowledge of
mutual funds.
It is inferred and concluded that the majority of 93 respondents of
(31%) the total have a very good knowledge of mutual funds followed
by 63 respondents (21%) who had an average knowledge of mutual
funds.
Graph 4.32
Knowledge of Mutual Fund
66
Confidence in Mutual Funds
The level of confidence that the people would keep on an object is
significant for success. In a same way, the level of confidence that
investors have on the mutual funds is important for the success of such
funds. Hence it is taken into consideration and observation of the level
of confidence in mutual funds of Tata Mutual Fund investors was
selected as a factor for the study.
Table 4.33
Confidence in Mutual Funds
Particulars No. of respondents (n=300) Percentage
High 78 26.0
Moderate 115 38.3
Low 107 35.7
Source: Primary Data
Inference
Among the total 300 respondents, 78 respondents (26%) have said
that they have high confidence in mutual funds, 115 respondents
(38.3%) have said that they have moderate level of confidence in mutual
funds; and the rest of 107 respondents (35.7%) of the total have said that
they have a low level of confidence in mutual funds.
67
It is inferred that the moderate level confidence is with 115
respondents (38.3%) of the total followed by 107 respondents (35.7%)
whose level of confidence in mutual funds is low.
Graph 4.33
Confidence in Mutual Funds
68
Confidence in Stock Exchange
Every individual investor would have confidence in the company,
which issues the funds and shares such confidence will be kept on the
stock exchange too, for the purpose of growth in their investments.
Hence, with a view to determine the opinion of the investors, the
researcher has approached the selected respondents of Tata Mutual
Funds and presented their views.
Table 4.34
Confidence in Stock Exchange
Particulars No. of respondents (n=300) Percentage
High 79 26.3
Moderate 113 37.7
Low 108 36.0
Source: Primary Data
Inference
Among the total 300 respondents, 79 respondents (26.3%) have a
high level confidence in stock exchange; 113 respondents (37.7%) have
a moderate level confidence in stock exchange; and 108 respondents
(36%) have a low level confidence in stock exchange. This shows their
level of interest and inspiration in the stock exchange.
69
It is inferred and concluded that most of 113 respondents (37.7%)
have a moderate level of confidence in stock exchanges. This is due to
the little increased knowledge of the respondents in stock exchange that
provides a rating and listing of funds.
Graph 4.34
Confidence in Stock Exchange
70
Confidence in Bench Marking
Every individual investor does not know the concept of Bench
Marking except for a few who have sufficient knowledge and hands on
experience with the stocks and funds market. Such people would come
to know the Benchmarking index continuously. The selected
respondents of Tata Mutual Funds are questioned to ascertain their level
of confidence.
Table 4.35
Confidence in Bench Marking
Particulars No. of respondents (n=300) Percentage
High 73 24.3
Moderate 112 37.3
Low 115 38.3
Source: Primary Data
Inference
Out of the total 300 respondents, 73 respondents (24.3%) have a
high level confidence in Bench Marking; 112 respondents (37.3%) have
a moderate level of confidence in Bench Marking; and the rest of 115
respondents (38.3%) have a low level of confidence in bench Marching.
This is due to their awareness and perception towards the investments.
71
It is inferred and concluded that the majority of 115 respondents
(38.3%) of the total have a low level of confidence in Bench Marking
Indices. The next stage is occupied by 112 respondents (37.3%) who had
a moderate level of confidence.
Graph 4.35
Confidence in Bench Marking
72
Confidence in Future Benefits
The investors are always interested in making higher return from
their investments. Either it is share or mutual fund, the return on
earnings is required by every investors. If it is a share, a dividend is
expected; a fund, a growth is expected as dividend and so on. In this
regard the investors confidence level is assessed in connection with the
future benefits from mutual funds and presented below.
Table 4.36
Confidence in future benefits
Particulars No. of respondents (n=300) Percentage
High 143 47.7
Moderate 88 29.3
Low 69 23.0
Source: Primary Data
Inference
Out of the total 300 respondents, 143 respondents (47.7%) of Tata
Mutual Funds had a high level confidence in future benefits; 88
respondents (29.3%) had a moderate level of confidence in future
benefits; and the rest of 69 respondents (23%) have a low level
confidence in future benefits from mutual funds.
73
It is inferred and concluded that the majority of 143 respondents
(47.7%) of the total have a high level confidence in future benefits from
mutual funds that they could have achieved.
Graph 4.36
Confidence in future benefits
74
Preference of investment time period
Every investor wants to make their funds invested in short span
revenues and avenues. The time horizon is a boundary level for every
investor to make them convenient to invest in either shares or mutual
funds. In this view, the opinions of the selected respondents of the Tata
Mutual Funds are drawn and presented below regarding the preference
of investment time period.
Table 4.37
Preference of investment time period
Particulars No. of respondents (n=300) Percentage
Below 1 years 105 35.0
1 to 3 years 63 21.0
3 to 5 years 55 18.3
Above 5 years 77 25.7
Source: Primary Data
Inference
Out of the total 300 respondents, 105 respondents (35.0%) prefer
to invest for below 1 year; 63 respondents (21%) prefer to invest for 1 to
3 years; 55 respondents (18.3%) prefer to invest for 3 to 5 years and the
rest, i.e. 77 respondents (25.7%) prefer to invest for above 5 years. This
75
time preference for mutual fund investments of the selected respondents
shows their interest to earn in a short span of time.
It is inferred and concluded that the majority of 105 respondents
(35%) prefer to invest for below 1 year to earn more. The second is 77
respondents (25.7%) who prefer above 5 years as period of investment.
Graph 4.37
Preference of investment time period
76
Investment Plans
The investors would like to invest in the different kinds of plans
of funds for their fund mobilization. They would like to invest either in
short term or long term funds to earn. In this way, the selected Tata
Mutual Fund investors and respondents were approached to express
their opinion on their investment plans and presented below.
Table 4.38
Investment Plans
ParticularsNo. of respondents
(n=300)Percentage
Short term funds 89 29.7
Liquid funds 63 21.0
Income funds 70 23.3
Monthly income plans 78 26.0
Source: Primary Data
Inference
Out of the total 300 respondents, 89 respondents (29.7%) invested
in short term funds; 63 respondents (21.0%) invested in liquid funds; 70
respondents (23.3%) invested in Income funds; and the rest of 78
respondents (26.0%) invested in monthly income plans.
77
It is inferred that the majority of 89 respondents of the total
(29.7%) invested in short term funds and followed by 78 respondents
(26.0%) invested in monthly income plans for the benefits.
Graph 4.38
Investment Plans
78
Sources of Information for financial products
The information source for the investments and financial products
are essential for further execution. The investors would like to invest in
the funds that provide much sources for benefits. In this regard, the
selected respondents of the Tata Mutual Funds were approached to
extract their opinion on the sources of information for financial products
and presented below.
Table 4.39
Sources of information for financial products
Particulars No. of respondents (n=300) Percentage
News papers 93 31.0
Friends 93 31.0
Advisors 34 11.3
Magazines 24 8.0
Television 28 9.3
Others 28 9.3
Source: Primary Data
Inference
Among the 300 total respondents, 93 respondents (31%) got the
information from newspapers; 93 respondents (31%) got the information
from friends; 34 respondents (11.3%) got the information from the
advisors; 24 respondents (8%) got the information from the magazines;
79
28 respondents (9.3%) got the information from the television; and the
rest of 28 respondents (9.3%) got the information from the other
sources.
It is inferred that 93 respondents (31%) got the information for
financial products from the newspapers followed by 93 respondents
(31%) from friends and others.
Graph 4.39
Sources of information for financial products
80
Tax benefits offered by Mutual Funds
The tax benefits were expected by all the investors. For the
purpose of tax return filing and tax evasion the investors would like to
invest in tax plans and tax savings schemes. In this view, the selected
respondents of Tata Mutual Funds were inquired to express their opinion
towards the tax benefits as offered by the mutual funds and presented
below.
Table 4.40
Tax benefits offered by Mutual Funds
Particulars No. of respondents (n=300) Percentage
Yes 144 48.0
No 93 31.0
Partly 63 21.0
Source: Primary Data
Inference
Out of the total 300 respondents, 144 respondents (48.0%) knew
that the mutual funds were offering tax benefits; 93 respondents (31.0%)
knew that there was no tax benefits offered by the mutual funds; and the
rest of 63 respondents (21.0%) knew partly the benefits of tax in mutual
funds.
81
It is inferred that the most of 144 respondents (48.0%) knew the
tax benefits offered by the mutual fund companies followed by 93
respondents (31.0%) who did not know the tax benefits.
Graph 4.40
Tax benefits offered by Mutual Funds
82
Opinion on Tata Mutual Funds
The people invest in funds only by scrutinizing the benefits
offered by the mutual fund managers. In this regard the opinions are
drawn from the selected Tata Mutual Fund respondents and presented
for analysis.
Table 4.41
Opinion on Tata Mutual Funds
Veryimportant
Some whatimportant
Not at all important
Timely service 80(26.7%) 115(38.3%) 105(35%)
Speedy transactions 75(25%) 120(40%) 105(35%)
Good communication 58(19.3%) 127(42.3%) 115(38.3%)
Home delivery 74(24.7%) 103(34.3%) 123(41%)
Cost-effective 67(22.3%) 140(46.7%) 93(31%)
Source: Primary Data
Inference
Out of the total 300 respondents, 80 respondents (26.7%) said the
timely service is very important; 115 respondents (38.3%) said the
timely service is somewhat important; and 105 respondents (35%) said
the timely service is not at all important.
Among the 300 respondents, 75 respondents (25%) said the
speedy transactions are very important; 120 respondents (40%) said
83
somewhat important and the rest of 105 (35%) respondents said it is not
at all important.
Good communication is very important as said by 58 respondents
(19.3%) of the total, followed by 127 respondents (42.3%), who said
somewhat important. But the rest of 115 respondents (38.3%) said it is
not at all important.
The home delivery of the services is very important as opined by
74 respondents (24.7%), somewhat important by 103 respondents
(34.3%) and the rest of 93 respondents (31%) said it is not at all
important.
Out of the total 300 respondents, 67 respondents (22.3%) opined
that the cost effectiveness of funds is very important; 140 respondents
(46.7%) said somewhat important; and the rest of 93 respondents (31%)
said it is not at all important.
Hence it is concluded with the maximum favourable opinions
among the total respondents of 300. The majority of 115 respondents
(38.3%) opined as somewhat important regarding the timely service;
120 respondents (40%) said that the speedy transactions are somewhat
important; 127 respondents (42.3%) have said that good communication
is somewhat important; 123 respondents (41%) opined that the home
delivery of services is not at all important and 140 respondents (46.7%)
84
opined that the cost effectiveness of funds are somewhat important.
With these above, it is also inferred that the respondents are in favour of
Tata Mutual Funds because of the better services provided to them.
Graph 4.41
Opinion on Tata Mutual Funds
85
Reasons for switching between the mutual funds
The investors are often switching from one mutual fund company
to another due to several reasons. This may be happening due to poor
services, more charges, easy access and risk avoidance etc, with this
view, the Tata Mutual Fund investors was selected and inquired for their
opinion.
Table 4.42
Reasons for switching between the mutual funds
ParticularsNo.of respondents
(n=300)Percentage
High service charges 92 30.7
Slow operations 61 20.3
Inaccessibility to the service Center
61 20.3
Bad correspondence 47 15.7
Advice from consultant 39 13.0
Source: Primary Data
Inference
Out of the total 300 respondents, 92 respondents (30.7 %) opined
that the high service charges of the fund managers influenced them for
switching; 61 respondents (20.3%) opined that the slow operations of
the fund managers; 61 respondents (20.3%) opined that the
inaccessibility to the service center is the reason for switching; 47
86
respondents (15.7 %) opined that the bad correspondence is the reason;
and the rest of 39 respondents (13%) said that the advice from
consultation influence them for switching.
It is then concluded that the maximum of 92 respondents (30.7 %)
of the total have opined that the high service charges of asset
management companies is the reason for switching from one fund to
another.
Graph 4.42
Reasons for switching between the mutual funds
87
Reasons for Investing in particular fund
The people invest in a particular fund due to several reasons. The
fund may give either much benefit or less risk. The investors would like
to earn more in a short span of time without much risk. In this regard,
the selected Tata Mutual Fund respondents were asked for their opinion.
They gave different opinions that are presented below.
Table 4.43
Reasons for investing in particular fund
ParticularsNo.of respondents
(n=300)Percentage
Faith in the company 83 27.7
Past performance has been good 68 22.7
Your friends have invested. 68 22.7
Your financial consultant advice 44 14.7
Cost of investment 37 12.3
Source: Primary Data
Inference
Out of the total 300 respondents, 83 respondents (27.7%) opined
that it was the faith in the company, 86 respondents (22.7%) said that the
past performance has been good in the company; 68 respondents
(22.7%) opined that the friends invested so that they use to choose the
particular fund; 44 respondents (14.7%) opined that the advice of the
88
financial consultant; and the rest of 37 respondents (12.3%) said that it
was the cost of investments.
It is inferred that the majority of 83 respondents (27.7 %) opined
faith in the company, they have chosen the particular fund; followed by
the past performances and the investment of their friends have
influenced them towards a particular fund.
Graph 4.43
Reasons for investing in particular fund
89
Ranking of Asset Management Companies by the Respondents
Every company must be ranked by the investors and clients. It is
an important tool to assess the performance of every company with the
help of the opinion of the investors. In this regard, the clients of Tata
Mutual Funds have assessed with ranks of the following companies that
are presented below.
Table 4.44
Ranking of Asset Management Companies by the Respondents
ParticularsNo. of
respondents(n=300)Percentage
Reliance 72 24.0
ICICI Prudential 46 15.3
Sundaram 46 15.3
HDFC 41 13.7
Frankiln 36 12.0
DSP 31 10.3
Tata 28 9.3
Source: Primary data
Inference
Out of the total 300 respondents, 72 respondents (24 %) ranked
Reliance first, 46 respondents (15.3 %) ranked ICICI Prudential second;
46 respondents (15.3 %) ranked Sundaram third; 41 respondents (13.7
%) given fourth rank to HDFC; 36 respondents (12 %) ranked Franklin
90
fifth; 31 respondents (10.3%) ranked sixth, the DSP Meril Lynch and 28
respondents (9.3 %) ranked seventh the Tata Mutual Funds.
From the above, it is inferred that the majority of 72 respondents
(24%) have chosen first the Reliance and the Tata Mutual Fund was at
seventh stage chosen by 28 respondents (9.3%). Hence the Tata Assets
Management Companies must concentrate on the investors to provide
much facilitative earning strategies to the investors to retain them.
Graph 4.44
Ranking of Asset Management Companies by the Respondents
91
Opinion of the respondents regarding the benefits provided by
different Asset Management Companies (AMCs)
Every Asset Management Company must provide facilities and
benefits to individual investors. The cliental approach and service to the
best among others are equally important. In this regard, the selected
respondents of Tata Mutual Fund companies were inquired; the opinions
of them are drawn and presented below.
Table 4.45
Opinion of the respondents regarding the benefits provided by
different AMCs
AMCTimelyservice
ReturnsProfessional
fundmanagement
Safetyprincipal
Notinvested
Reliance 108(36%) 66(22%) 50(16.7%) 42(14%) 34(11.3%)
ICICI Prudential
108(36%) 67(22.3%) 49(16.3%) 41(13.7%) 35(11.7%)
Sundaram 110(36.7%) 66(22%) 49(16.3%) 41(13.7%) 34(11.3%)
HDFC 105(35%) 67(22.3%) 51(17%) 43(14.3%) 34(11.3%)
Frankiln 86(28.7%) 81(27%) 56(18.7%) 43(14.3%) 34(11.3%)
DSP 85(28.3%) 73(24.3%) 60(20%) 47(15.7%) 35(11.7%)
Tata 93(31%) 60(20%) 61(20.3%) 49(16.3%) 37(12.3%)
Source: Primary Data
92
Inference
There are many different benefits provided by the several
companies. Such are grouped into timely service, returns, professional
fund management, safety principal etc.
Out of the total 300 respondents regarding the Reliance funds,
108 (36%) respondents opined the timely service; 66 respondents (22%)
said about the returns; 50 respondents (16.7%) opined about their
professional fund management; 42 respondents (14%) opined about the
safety principal and the rest of 34 respondents (11.3%) did not invest
any fund with Reliance.
Among the total 300 respondents regarding the ICICI Prudential
funds, 108 (36%) respondents opined the timely service; 67 respondents
(22.3%) opined about the returns; 49 respondents (16.3%) praised the
professional fund management; 41 respondents (13.7%) said about the
safety principal; and the rest of 35 respondents (11.7%) did not invest in
ICICI.
Out of the total 300 respondents regarding the Sundaram Funds,
110 respondents (36.7%) said about the timely service; 66 respondents
(22%) said about the returns; 49 respondents (16.3%) said about the
professional fund management; 41 respondents (13.7%) said about the
93
safety principal; 34 respondents (11.3%) did not invest any fund with
Sundaram Mutual Fund.
Among the total 300 respondents, 86 respondents (28.7%) opined
the timely service of Franklin, 81 respondents (27%) said about the
returns; 56 respondents (18.7%) opined about the professional fund
management; 43 respondents (14.3%) said about the safety principal and
34 respondents (11.3%) not invested any fund with Franklin.
Among the total 300 respondents, regarding the DSP Meril Lynch
85 respondents (28.3%) said about their timely service; 73 respondents
(24.3%) said about their returns; 60 respondents (20%) are in favour the
professional fund management, 47 respondents (15.7%) opined about
the safety principal and 37 respondents (12.3%) did not invest any fund.
Among the total 300 respondents regarding the Tata Mutual
Funds 93 respondents (31%) said about the timely service; 60
respondents (20%) favoured their returns; 61 respondents (20.3%) said
about their professional fund management; 49 respondents (16.3%) said
about the safety principal and 37 respondents did not (12.3%) invest any
fund with Tata.
94
It is concluded that out of all the respondents, a higher number of
respondents are in favour of timely service of every company and it is
followed by the returns of the company.
Graph 4.45
Opinion of the respondents regarding the benefits provided bydifferent AMCs
95
Opinion on the Performance of the companies
Every investor has their self opinion about the performance of
every financial marketing companies. In this regard the selected
companies are presented before the respondents to draw their opinion
regarding the performances of the companies.
Table 4.46
Opinion on the performance of the companies
Good Average Poor
Reliance 137(45.7%) 85(28.3%) 78(26%)
ICICI Prudential
131(43.7%) 87(29%) 82(27.3%)
Sundaram 134(44.7%) 91(30.3%) 75(25%)
HDFC 136(45.3%) 88(29.3%) 76(25.3%)
Frankiln 106(35.3%) 89(29.7%) 105(35%)
DSP 140(46.7%) 86(28.7%) 74(24.7%)
Tata 143(47.7%) 83(27.7%) 74(24.7%)
Source: Primary Data
Inference
Out of the total 300 respondents 137 (45.7 %) respondents said
good; 85 respondents (28.3 %) said average and 78 respondents (26 %)
said poor about reliance’s performance.
96
Among the total 300 respondents regarding ICICI prudential, 131
respondents (43.7 %) said good; 87 respondents (29 %) said average and
82 respondents (27.3 %) said poor.
Out of the total 300 respondents, 134 respondents (44.7 %) said
good; 91 respondents (30.3 %) said average and 75 respondents (25 %)
said poor.
Among the total 300 respondents 136 respondents (45.3 %) said
good; 88 respondents (29.3 %) said average; and 76 respondents (25.3
%) said poor about the performance of HDFC fund managers.
Out of the total 300 respondents regarding the performance of
Franklin, 106 respondents (35.3 %) said good; 89 respondents (29.7 %)
said average; and 105 respondents (35 %) said poor.
Out of the total 300 respondents regarding the performance of
DSP Meriyl Lynch, 140 respondents (46.7 %) said good; 86 respondents
(28.7%) said average and 74 respondents (24.7 %) said poor.
Among the total 300 respondents regarding the performance of
Tata Mutual Fund, 143 respondents (47.7 %) said good; 83 respondents
(27.7 %) said average and 74 respondents (24.7 %) said poor about the
Tata funds. It is concluded that the maximum of the total respondents
97
said good about the performance of all the companies, followed by the
average opinion about the performance of the companies.
Graph 4.46
Opinion on the performance of the companies
98
STATISTICAL INFERENCES
CHI - SQUARE TEST
Ho: There is no significant association between the age of the
respondents and the importance of financial planning for life goals
H1: There is a significant association between the age of the
respondents and the importance of financial planning for life goals
Sl.no AgeFinancial planning is important
for life goalsStatisticalinference
Yes (n=139) No (n=161)
1Below 25
yrs23(16.5%) 30(18.6%)
2=.878 Df=4.928>0.05
Not Significant
226 to 35
yrs42(30.2%) 42(26.1%)
336 to 45
yrs49(35.3%) 58(36%)
446 to55yrs
24(17.3%) 29(18%)
5Above55yrs
1(0.7%) 2(1.2%)
Inference
The calculated value of Chi-square is 0.878. The table value for 4
degrees of freedom at 5% significance level is 0.928. Since the
calculated value is less than the table value, the null hypothesis is
accepted. Hence, it is concluded that there is no significant association
between the age of the respondents and the importance of financial
planning for life goals. Thus, the age is not an important for investments
for life goals.
99
CHI - SQUARE TEST
Ho: There is no significant association between the marital status of the
respondents and the importance of financial planning for life goals
H1: There is a significant association between the marital status of the
respondents and the importance of financial planning for life goals
Sl.no
Maritalstatus
Financial planning is importantfor life goals
Statisticalinference
Yes (n=139) No (n=161)1 Single 78(56.1%) 90(55.9%) 2=.001 Df=1
.970>0.05Not Significant
2 Married 61(43.9%) 71(44.1%)
Inference
The calculated value of Chi-square is 0.001. The table value for 1
degrees of freedom at 5% significance level is 0.970. Since the
calculated value is less than the table value, the null hypothesis is
accepted. Hence, it is concluded that there is no significant association
between the marital status of the respondents and the importance of
financial planning for life goals. Thus, the marital status does not
determine the investments for life goals.
100
CHI - SQUARE TEST
Ho: There is no significant association between the occupation of the
respondents and the importance of financial planning for life goals
H1: There is a significant association between the occupation of the
respondents and the importance of financial planning for life goals
Sl.no
Occupation
Financial planning is importantfor life goals Statistical
inferenceYes (n=139) No (n=161)
1 Service 28(2.1%) 15(9.3%)
2=12.342Df=5
.030<0.05Significant
2 Business 22(15.8%) 47(29.2%)
3 Professional 44(31.7%) 49(30.4%)
4 Retired 29(20.9%) 30(18.6%)
5 House wife 11(7.9%) 15(9.3%)
6 Others 5(3.6%) 5(3.1%)
Inference
The calculated value of Chi-square is 12.342. The table value for
5 degrees of freedom at 5% significance level is 0.30. Since the
calculated value is greater than the table value, the null hypothesis is
rejected. Hence, it is concluded that there is a significant association
between the occupation of the respondents and the importance of
financial planning for life goals. Because the occupation alone makes
every individual to invest their earnings in financial and money markets.
101
CHI - SQUARE TEST
Ho: There is no significant association between the income of the
respondents and the importance of financial planning for life goals
H1: There is a significant association between the income of the
respondents and the importance of financial planning for life goals
Sl.no Income
Financial planning is importantfor life goals Statistical
inferenceYes (n=139) No (n=161)
1Below 1.5 lakh
47(33.8%) 42(26.1%)
2=2.204 Df=3.531>0.05
Not Significant
21.5 to 5 lakh
40(28.8%) 53(32.9%)
35 to 10Lakh
45(32.4%) 58(36%)
4Above 10 lakh
7(5%) 8(5%)
Inference
The calculated value of Chi-square is 2.204. The table value for 3
degrees of freedom at 5% significance level is 0.531. Since the
calculated value is greater than the table value, the null hypothesis is
rejected. Hence, it is concluded that there is a significant association
between the income of the respondents and the importance of financial
planning for life goals.
102
CHI - SQUARE TEST
Ho: There is no significant association between the income of the
respondents and the importance for investments in mutual funds
H1: There is a significant association between the income of the
respondents and the importance for investments in mutual funds
Sl.no Income
Importance of investingStatisticalinference
Safety(n=82)
Taxbenefits(n=69)
Low cost(n=94)
Professionalmanagement
(n=55)
1Below 1.5 lakh
23(28%) 24(34.8%) 24(25.5%) 18(32.7%)2=6.335
Df=9.706>0.05
NotSignificant
21.5 to 5 lakh
27(32.9%) 20(29%) 31(33%) 15(27.3%)
35 to 10Lakh
28(34.1%) 24(34.8%) 31(33%) 20(36.4%)
4Above 10 lakh
4(4.9%) 1(1.4%) 8(8.5%) 2(3.6%)
Inference
The calculated value of chi square is 0.706 and the table value is
0.05, which is less than the calculated value. Hence, it is decided that
there is no significant association between the Income of the
respondents and the importance for investments in mutual funds.
103
CHI - SQUARE TEST
Ho: There is no significant association between the sources of income
of the respondents and the importance for investments in mutual
funds
H1: There is a significant association between the sources of income
of the respondents and the importance for investments in mutual
funds
Sl.noSource
ofincome
Importance of investingStatisticalinferenceSafety
(n=82)
Taxbenefits(n=69)
Low cost(n=94)
Professionalmanagement
(n=55)
1 Salaries 23(28%) 19(27.5%) 25(26.6%) 13(23.6%) 2=1.024Df=6
.985>0.05Not
Significant
2 Business 29(35.4%) 28(40.6%) 38(4.4%) 23(41.8%)
3 Others 30(36.6%) 22(31.9%) 31(33%) 19(34.5%)
Inference
The calculated value of chi square is 0.985 and the table value is
0.05, which is less than the calculated value. Hence it is concluded that
there is no significant association between the sources of income of the
respondents and the importance for investments in mutual funds.
104
T-TEST
Ho: There is no significant association between the gender and the
risk perception on mutual funds
H1: There is a significant association between the gender and the risk
perception on mutual funds
Do you feel investment in mutualfunds is risky
Mean S.DStatisticalinference
Male (n=225) 1.87 .811 T=.165 Df=298.869>0.05
Not SignificantFemale (n=75) 1.85 .800
Inference
Since the significance value is 0.869, which is more than 0.05 the
gender of the respondents would not say about the risk. Hence, it is
concluded that there is no significant association between the gender
and the risk perception on mutual funds.
105
T-TEST
Ho: There is no significant association between the gender of the
respondents and the risk Tolerance level
H1: There is a significant association between the gender of the
respondents and the risk Tolerance level
Risk tolerance level
Male (n=225) 2.48 1.180 T=-.028 Df=298.978>0.05
Not SignificantFemale (n=75) 2.48 1.201
Inference
Since the significance value is 0.978, which is more than 0.05, the
gender of the respondents are not in connection with the risk tolerance
level. Hence, it is concluded that there is no significant association
between the gender of the respondents and the risk tolerance level.
106
T-TEST
Ho: There is no significant association between the gender of the
respondents and the confidence in mutual funds
H1: There is a significant association between the gender of the
respondents and the confidence in mutual funds
Confidence in Mutual Funds
Male (n=225) 1.95 .781 T=1.844 Df=298.066>0.05
Not SignificantFemale (n=75) 1.76 .768
Inference
Since the significance value is 0.066, which is more than the
value of 0.05, the gender of the respondents would not create the
confidence level. Hence, it is said that there is no significant relationship
between the gender of the respondents and the confidence in mutual
funds.
107
T-TEST
Ho: There is no significant association between the gender of the
respondents and their opinion on the awareness level of protection
mechanisms followed by the government
H1: There is a significant association between the gender of the
respondents and their opinion on the awareness level of protection
mechanisms followed by the government
Awareness level of protectionmechanisms followed by the
government.
Male (n=225) 2.23 .829 T=-.579 Df=298.563>0.05
Not SignificantFemale (n=75) 2.29 .731
Inference
Since the significance value is 0.563m, which is more than the
value 0.05, the gender of the respondents would not make aware the
investors on protection mechanisms by the government. Hence it is
concluded that there is no significant association between the gender of
the respondents and their opinion on the awareness level of protection
mechanisms followed by the government.
108
T-TEST
Ho: There is no significant association between the marital status of
the respondents and their opinion on the investment in mutual
fund is risky
H1: There is a significant association between the marital status of the
respondents and their opinion on the investment in mutual fund is
risky
Do you feel investment in mutualfunds is risky
Mean S.DStatisticalinference
Single (n=168) 1.89 .812 T=.634.527>0.05
Not SignificantMarried (n=132) 1.83 .802
Inference
Since the significance value is 0.527 which is more than 0.05, the
marital status is not connected to the opinion on the investment in
mutual funds. Hence it is concluded that there is no significance
between the marital status and their opinion on the investment in mutual
fund is risky.
109
T-TEST
Ho: There is no significant association between the marital status of
the respondents and their opinion on the risk tolerance level
H1: There is a significant association between the marital status of the
respondents and their opinion on the risk tolerance level
Risk tolerance level
Single (n=168) 2.49 1.243 T=.287.775>0.05
Not SignificantMarried (n=132) 2.45 1.108
Inference
Since the calculated value is 0.775, which is greater than 0.05
level, the marital status would not be the basis for the risk tolerance
level. Hence it is concluded that there is no significance between the
marital status of the respondents and their opinion on the risk tolerance
level.
110
ANALYSIS OF VARIANCE (ANOVA)
Ho: There is no significant association between the occupation of the
respondents and their knowledge about the financial
liberalization.
H1: There is a significant association between the occupation of the
respondents and their knowledge about the financial liberalization
Your knowledge aboutfinancial liberalization
Between Groups .993 3 .331
F=.507.678>0.05
NotSignificant
Below 1.5 lakh (n=89) 2.09 .821
1.5 to 5 lakh (n=93) 2.23 .796
5 to 10Lakh (n=103) 2.17 .797
Above 10 lakh (n=15) 2.07 .884
Within Groups 193.327 296 .653
Inference
Since the significance value is 0.279, which is greater than 0.05,
the null hypothesis is accepted. Hence, it is concluded that there is no
significant association between the occupation of the respondents and
their knowledge about the financial liberalization.
111
ANALYSIS OF VARIANCE (ANOVA)
Ho: There is no significant association between the occupation of the
respondents and their risk tolerance level
H1: There is a significant association between the occupation of the
respondents and their risk tolerance level
1Risk tolerance level
Between Groups 1.112 3 .371
F=.263.852>0.05
NotSignificant
Below 1.5 lakh (n=89) 2.43 1.147
1.5 to 5 lakh (n=93) 2.43 1.201
5 to 10Lakh (n=103) 2.54 1.203
Above 10 lakh (n=15) 2.60 1.242
Within Groups 417.724 296 1.411
Inference
Since the significance value is 0.479, which is greater than 0.05,
the null hypothesis is accepted. Hence, it is concluded that there is no
significant association between the occupation of the respondents and
their risk tolerance level
112
ANALYSIS OF VARIANCE (ANOVA)
Ho: There is no significant association between the occupation of the
respondents and their confidence in mutual funds
H1: There is a significant association between the occupation of the
respondents and their confidence in mutual funds
Confidence in MutualFunds
Between Groups 2.067 3 .689
F=1.132.336>0.05
NotSignificant
Below 1.5 lakh (n=89) 1.99 .761
1.5 to 5 lakh (n=93) 1.94 .832
5 to 10Lakh (n=103) 1.83 .755
Above 10 lakh (n=15) 1.67 .724
Within Groups 180.129 296 .609
Inference
Since the significance value is 0.410, which is greater than 0.05,
the null hypothesis is accepted. Hence, it is concluded that there is no
significant association between the occupation of the respondents and
their confidence in mutual funds
113
ANALYSIS OF VARIANCE (ANOVA)
Ho: There is no significant association between the occupation of the
respondents and their confidence in bench marking
H1: There is a significant association between the occupation of the
respondents and their confidence in bench marking
Confidence in Benchmarking
Between Groups 1.485 3 .495
F=.811.489>0.05
NotSignificant
Below 1.5 lakh (n=89) 1.96 .824
1.5 to 5 lakh (n=93) 1.84 .784
5 to 10Lakh (n=103) 1.79 .736
Above 10 lakh (n=15) 1.93 .799
Within Groups 180.635 296 .610
Inference
Since the significance value is 0.686, which is greater than 0.05,
the null hypothesis is accepted. Hence, it is concluded that there is no
significant association between the occupation of the respondents and
their confidence in bench marking.
114
ANALYSIS OF VARIANCE (ANOVA)
Ho: There is no significant association between the income of the
respondents and their confidence in mutual funds.
H1: There is a significant association between the income of the
respondents and their confidence in mutual funds.
Confidence in MutualFunds
Between Groups 2.067 3 .689
F=1.132.336>0.05
NotSignificant
Below 1.5 lakh (n=89) 1.99 .761
1.5 to 5 lakh (n=93) 1.94 .832
5 to 10Lakh (n=103) 1.83 .755
Above 10 lakh (n=15) 1.67 .724
Within Groups 180.129 296 .609
Inference
Since the significance value is 0.336, which is greater than 0.05,
the null hypothesis is accepted. Hence, it is concluded that there is no
significant association between the income of the respondents and their
confidence in mutual funds.
115
ANALYSIS OF VARIANCE (ANOVA)
Ho: There is no significant association between the income of the
respondents and their knowledge on mutual funds.
H1: There is a significant association between the income of the
respondents and their knowledge on mutual funds
State yourknowledge of Mutual
Fund
Between Groups 2.123 3 .708
F=.357.784>0.05
NotSignificant
Below 1.5 lakh (n=89) 2.71 1.383
1.5 to 5 lakh (n=93) 2.62 1.444
5 to 10Lakh (n=103) 2.53 1.427
Above 10 lakh (n=15) 2.40 1.183
Within Groups 587.464 296 1.985
Inference
Since the significance value is 0.784, which is greater than 0.05,
the null hypothesis is accepted. Hence, it is concluded that there is no
significant association between the income of the respondents and their
knowledge on mutual funds.
116
KRUSKAL WALLIS TEST
Ho: There is no significance between the investment time period
Preference and the timely service of the fund management
companies
H1: There is a significance between the investment time period
Preference and the timely service of the fund management
companies
Investment time period preference inMutual Fund
MeanRank
Statisticalinference
Timely service
Below 1 yrs (n=105) 160.48X2=4.014
Df=3.260>0.05
Not Significant
1 to 3 yrs (n=63) 135.98
3 to 5 yrs (n=55) 154.91
Above 5 yrs (n=77) 145.63
Inference
The significance value is 0.260 which is greater than 0.05 level.
Therefore it is concluded that the null hypothesis is accepted that there
is no significance between the investment time period preference and
the timely service of the fund management companies.
117
KRUSKAL WALLIS TEST
Ho: There is no significance between the investment time period
Preference and the home delivery of services
H1: There is a significance between the investment time period
Preference and the home delivery of services
Home delivery
Below 1 yrs (n=105) 132.52X2=10.411
Df=3.015<0.05Significant
1 to 3 yrs (n=63) 161.45
3 to 5 yrs (n=55) 172.70
Above 5 yrs (n=77) 150.19
Inference
The significance value is 0.015, which is less than 0.05 level.
Hence the null hypothesis is rejected and the alternate hypothesis is
accepted. It is concluded that there is a significance between the
investment time period preference and the home delivery of services.
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