Portfoliio Management R.R

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ABSTRACT

Selection of right sets of projects is considerably critical for organizations tosuccessfully achieve their competitive advantages and corporate strategies. Due tolimited resources and dynamic changes in business environment, this kind of selection isquite challenging for organizations. Beside one hundred selection tools and techniques,academics and practitioners have studied and recommended complex selectionframeworks to facilitate the selection of right projects. However, these theoreticalframeworks are not applied by private corporations in Vietnam. Therefore, thisdissertation is intended to better understand the academic and practical literature aboutproject portfolio selection; study current practices of project selection that privatecorporations in Vietnam are using; and propose a framework that is beneficially

adaptable to these private corporations. A multiple-case study strategy accessingqualitative data through observations and semi-structure interviews is designed toinvestigate how private corporations select their project portfolio under the currentcontexts of booming economy in Vietnam to ensure successful realization of their growthand development strategy. The recommendations resulted from literature review andinvestigations do not only support the investigated corporations to improve the quantityand quality of their investment project portfolio(s) but also facilitate possible adaptationto project portfolio selection by other private corporations.


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CONTENTS

Chapter No. Name of the concept Page No.

I

Introduction

Need of the study

Objectives of the study

Scope of the study

Methodology of the study

Limitations of the study

II Review of Literature

III Company Profile

IV Data analysis and interpretation

V

Findings

Suggestions

Conclusions

VI Bibliography


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Introduction;

Portfolio management refers to the art of managing various financial products and

assets to help an individual earn maximum revenues with minimum risks involved in thelong run. Portfolio management helps an individual to decide where and how to invest hishard earned money for guaranteed returns in the future.

A collection ofinvestments all owned by the same individual ororganization. These investments often include stocks, which areinvestments in individual businesses; bonds, which are investments indebt that are designed to earn interest; and mutual funds, which areessentially pools ofmoney from many investors that are invested byprofessionals or according to indices.

Risk/return plot and Pareto-optimal portfolios (in red)The term portfolio refers to any collection of financial assets such asstocks, bonds, and cash. Portfolios may be held by individual investorsand or managed by financial professionals, hedge funds, banks andother financial institutions. It is a generally accepted principle that aportfolio is designed according to the investor's risk tolerance, timeframe and investment objectives. The monetary value of each assetmay influence the risk/ reward ratio of the portfolio and is referred toas the asset allocation of the portfolio. When determining a properasset allocation one aims at maximizing the expected return andminimizing the risk. This is an example of a multi-objective

optimization problem: more "efficient solutions" are available and thepreferred solution must be selected by considering a tradeoff betweenrisk and return. In particular, a portfolio A is dominated by anotherportfolio A' if A' has a greater expected gain and a lesser risk than A. Ifno portfolio dominates A, A is a Pareto-optimal portfolio. The set ofPareto-optimal returns and risks is called the Pareto Efficient Frontierfor the Markowitz Portfolio selection problem There are many types ofportfolios including the Market Portfolio and the Zero-InvestmentPortfolio. A portfolio's asset allocation may be managed utilizing any ofthe following investment approaches and
http://www.investorwords.com/937/collection.htmlhttp://www.investorwords.com/2599/investment.htmlhttp://www.investorwords.com/10993/same.htmlhttp://www.investorwords.com/3504/organization.htmlhttp://www.investorwords.com/9996/include.htmlhttp://www.investorwords.com/4725/stock.htmlhttp://www.investorguide.com/definition/bond.htmlhttp://www.investorguide.com/definition/debt.htmlhttp://www.investorguide.com/definition/earn.htmlhttp://www.investorguide.com/definition/interest.htmlhttp://www.investorwords.com/3173/mutual_fund.htmlhttp://www.investorguide.com/definition/pool.htmlhttp://www.investorguide.com/definition/money.htmlhttp://www.investorguide.com/definition/investor.htmlhttp://www.investorguide.com/definition/professional.htmlhttp://www.investorwords.com/8751/according_to.htmlhttp://en.wikipedia.org/wiki/Stockhttp://en.wikipedia.org/wiki/Bond_(finance)http://en.wikipedia.org/wiki/Value_(economics)http://en.wikipedia.org/wiki/Assethttp://en.wikipedia.org/wiki/Asset_allocationhttp://en.wikipedia.org/wiki/Multi-objective_optimizationhttp://en.wikipedia.org/wiki/Multi-objective_optimizationhttp://en.wikipedia.org/wiki/Pareto_efficiencyhttp://en.wikipedia.org/w/index.php?title=Market_Portfolio&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Zero-Investment_Portfolio&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Zero-Investment_Portfolio&action=edit&redlink=1http://www.investorwords.com/2599/investment.htmlhttp://www.investorwords.com/10993/same.htmlhttp://www.investorwords.com/3504/organization.htmlhttp://www.investorwords.com/9996/include.htmlhttp://www.investorwords.com/4725/stock.htmlhttp://www.investorguide.com/definition/bond.htmlhttp://www.investorguide.com/definition/debt.htmlhttp://www.investorguide.com/definition/earn.htmlhttp://www.investorguide.com/definition/interest.htmlhttp://www.investorwords.com/3173/mutual_fund.htmlhttp://www.investorguide.com/definition/pool.htmlhttp://www.investorguide.com/definition/money.htmlhttp://www.investorguide.com/definition/investor.htmlhttp://www.investorguide.com/definition/professional.htmlhttp://www.investorwords.com/8751/according_to.htmlhttp://en.wikipedia.org/wiki/Stockhttp://en.wikipedia.org/wiki/Bond_(finance)http://en.wikipedia.org/wiki/Value_(economics)http://en.wikipedia.org/wiki/Assethttp://en.wikipedia.org/wiki/Asset_allocationhttp://en.wikipedia.org/wiki/Multi-objective_optimizationhttp://en.wikipedia.org/wiki/Multi-objective_optimizationhttp://en.wikipedia.org/wiki/Pareto_efficiencyhttp://en.wikipedia.org/w/index.php?title=Market_Portfolio&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Zero-Investment_Portfolio&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Zero-Investment_Portfolio&action=edit&redlink=1http://www.investorwords.com/937/collection.html


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The objective ofportfolio management is to invest in securities is securities in such a waythat one maximizes ones returns and minimizes risks in order to achieve onesinvestment objective.

A good portfolio should have multiple objectives and achieve a sound balance among

them. Any one objective should not be given undue importance at the cost of others.Presented below are some important objectives of portfolio management.

1. Stable Current Return: -

Once investment safety is guaranteed, the portfolio should yield a steady current income.The current returns should at least match the opportunity cost of the funds of the investor.What we are referring to here current income by way of interest of dividends, not capitalgains.

2. Marketability: -

A good portfolio consists of investment, which can be marketed without difficulty. Ifthere are too many unlisted or inactive shares in your portfolio, you will face problems inencasing them, and switching from one investment to another. It is desirable to invest incompanies listed on major stock exchanges, which are actively traded.

3. Tax Planning: -

Since taxation is an important variable in total planning, a good portfolio should enableits owner to enjoy a favorable tax shelter. The portfolio should be developed consideringnot only income tax, but capital gains tax, and gift tax, as well. What a good portfolio

aims at is tax planning, not tax evasion or tax avoidance.

4. Appreciation in the value of capital:

A good portfolio should appreciate in value in order to protect the investor from anyerosion in purchasing power due to inflation. In other words, a balanced portfolio mustconsist of certain investments, which tend to appreciate in real value after adjusting forinflation.

5. Liquidity:

The portfolio should ensure that there are enough funds available at short notice to takecare of the investors liquidity requirements. It is desirable to keep a line of credit from abank for use in case it becomes necessary to participate in right issues, or for any otherpersonal needs.
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6. Safety of the investment:

The first important objective of a portfolio, no matter who owns it, is to ensure that theinvestment is absolutely safe. Other considerations like income, growth, etc., only comeinto the picture after the safety of your investment is ensured.

Investment safety or minimization of risks is one of the important objectives of portfoliomanagement. There are many types of risks, which are associated with investment inequity stocks, including super stocks. Bear in mind that there is no such thing as a zerorisk investment. More over, relatively low risk investment give correspondingly lowerreturns. You can try and minimize the overall risk or bring it to an acceptable level bydeveloping a balanced and efficient portfolio. A good portfolio of growth stocks satisfiesthe entire objectives outline above.

Principles

equally-weighting, capitalization-weighting, price-weighting, Riskparity, Capital asset pricing model, Arbitrage pricing theory, JensenIndex,Treynor Index, Sharpe Diagonal (or Index) model, Value at riskmodel, Modern Portfolio Theory and others.

There are several methods for calculating portfolio returns andperformance. One traditional method is using quarterly or monthlymoney-weighted returns, however the true time-weighted method is amethod preferred by many investors in financial markets. There arealso several models for measuring the Performance Attribution of aportfolio's returns when compared to an Index or benchmark. partly

viewed as investment strategy.

Momentum Investment Strategies, Portfolio Performance, andHerding: A Study of Mutual Fund Behavior. Mark Grinblatt, SheridanTitman, Russ Wermers The American Economic Review, Vol. 85, No. 5(Dec., 1995), pp. 1088-1105

An artist's portfolio is an edited collection of their best artworkintended to showcase an artist's style or method of work. A portfolio isused by artists to show employers how versatile they can be byshowing different samples of current work. Typically, the work reflects

an artist's best work or a depth in one area of work.

Historically, Portfolios were printed out and placed into a book.With the increased use of the internet and email however, there arenow websites that host online portfolios such as Pippa They are alsoavailable to a wider audience.
http://en.wikipedia.org/wiki/Risk_parityhttp://en.wikipedia.org/wiki/Risk_parityhttp://en.wikipedia.org/wiki/Capital_asset_pricing_modelhttp://en.wikipedia.org/wiki/Arbitrage_pricing_theoryhttp://en.wikipedia.org/wiki/Jensens_alphahttp://en.wikipedia.org/wiki/Treynor_ratiohttp://en.wikipedia.org/wiki/William_Forsyth_Sharpehttp://en.wikipedia.org/wiki/Value_at_riskhttp://en.wikipedia.org/wiki/Modern_Portfolio_Theoryhttp://en.wikipedia.org/wiki/True_Time-Weighted_Rate_of_Returnhttp://en.wikipedia.org/wiki/Performance_Attributionhttp://en.wikipedia.org/wiki/Risk_parityhttp://en.wikipedia.org/wiki/Risk_parityhttp://en.wikipedia.org/wiki/Capital_asset_pricing_modelhttp://en.wikipedia.org/wiki/Arbitrage_pricing_theoryhttp://en.wikipedia.org/wiki/Jensens_alphahttp://en.wikipedia.org/wiki/Treynor_ratiohttp://en.wikipedia.org/wiki/William_Forsyth_Sharpehttp://en.wikipedia.org/wiki/Value_at_riskhttp://en.wikipedia.org/wiki/Modern_Portfolio_Theoryhttp://en.wikipedia.org/wiki/True_Time-Weighted_Rate_of_Returnhttp://en.wikipedia.org/wiki/Performance_Attribution


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A key component is the editing of work. Regardless of the depthof an artist's, the editing process allows for a clean, concisepresentation to the intended audience. You can add from basicknowledge of your art in your visual like resume in portfolio.Sometimes, an artist portfolio can be referred to as a lookbook.

When creating a portfolio, it is vital to consider your audience.You must consider who will see it, why they are looking at it, and whatyou are trying to accomplish with it.
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Need of the study:

Portfolio management or investment helps investors in effective and efficientmanagement of their investment to achieve this goal.

The rapid growth of capital markets in India.

Opened up new investment avenues for investors.

The stock markets have become attractive investment options for the commonman.

The need is to be able to effectively and efficiently manage investments in orderto keep maximum returns with minimum risk.

Hence this study on PORTFOLIO MANAGEMENT & INVESTMENTDECISION

Examine the role process and merits of effective investment management anddecision.

Importance of the study


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Portfolio management is technique ofinvesting in securities.

The ultimate object of investment in the securities is return.

Hence, the first objective of portfolio management is getting higher return.

Their object of portfolio management is that not only their current wealth is

invested in the securities. Sometimes, some portfolio planning is done to obtain some tax savings.

Inflation eats the value of money purchasing power. Their objective of portfolioplanning would be that they get their money at that time.

Scope of the study:
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A career in financial services is a lucrative career option today as jobopportunities in financial services are growing rapidly in India.

There is an increasing need for the financial expertise as a career in financialservices includes various areas like corporate finance, commercial banking,

insurance, investment banking, money management, real estate and financialplanning.

Jobs in financial services are available in government agencies and variouscorporations, national and international banks and financial institutions.

It is a prosperous and secure career option. The candidate needs to apply his skillsin quantitative analysis, strategic financial planning, investment management andsales.

The applicant should have good mathematical skills, computer skills, knowledge

of latest computer technology, analytical skills, leadership skills, communicationskills including listening and writing, integrity, problem-solving and decision-making skills and organization skills.

Proficiency in any foreign language is considered as additional qualification.

Methodology of the study:


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Achieving accuracy in any research requires in depth study regarding the subject.

As the prime objective of the project is compare various Investment products available in

the market with the existing players in the market and the impact of entry of private

players in the market, the research methodology adopted was basically based on primary

data via which the most recent and accurate piece of first hand information that could be

collected from all possible source. Secondary data was used to support primary data

wherever needed.

For the purpose of study, secondary data will be collected. The observational

method is used to collect the primary data. The necessary data is also been collected from

official records and other published sources. The collected data is classified, tabulated,

analyzed and interpreted. Finally conclusion is draw based on the study and suggestions

are offered to the company for increasing its customer base.

Data Collection:

There are two types of data collection

1. Primary data

2. Secondary data

Primary Data

Primary data is personally developed data and it gives latest information and

offers much greater accuracy and reliability.

There are various sources for obtaining primary data i.e., Mail survey, personal

interview,

Field survey, panel research and observation approach etc.

The study is dependent on primary data to a maximum extent, which is collected

by way of structures personal interview with customers.


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Secondary Data

Secondary data is the published data. It is already available for using and its saves

time. The mail source of secondary data are published market surveys, government

publications advertising research report and internal source such as sales, sales recordsorders, customers complaints and other business record etc. the study has also depended

on secondary data to little extent, which is collected through internal source.

Sources of Secondary Data:

These source were use to obtain information on, Banks and other institutions

history, current issues, policies, procedures etc, wherever required.

Internet

Magazines

Newspapers

Journals


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Limitations of the study:

The results obtained can not be generalized.

The study in other major aspects can give more accurate results.

The study is done only for a period of 45 days.

Secondary Data may not be authentic in all the cases.


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Review of Literature:


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Industry Profile:

Cipla Limited is an Indianpharmaceutical company, probably best-known outsideits home country for pioneering the manufacture of low-cost anti-AIDS drugs for HIV-positive patients in developing countries. It has played a similarly prominent role inexpanding access to drugs to fight influenza,respiratory disease and cancer. Founded bynationalist Indian scientist Khwaja Abdul Hamied as The Chemical, Industrial &Pharmaceutical Laboratories in 1935, Cipla makes drugs to treat cardiovascular disease,arthritis, diabetes, weight control, depression and many other health conditions, and itsproducts are distributed in virtually every country of the world.

Founded prior to Indian independence by Khwaja Abdul Hamied on the principlethat India needed to become self-sufficient in supplying medicine to its people, Cipla hasalways emphasized self-reliance and the right of all people to health and access to

medicine, regardless of their economic circumstances or where in the world they happento live. The company has become well-known internationally for its dedication toworking according to these values and prioritizing a socially-conscious approach to itsoperations, and that for over 75 years.

Apart from its presence in the Indian market, Cipla also has an export market andregularly exports to more than 185 countries in all corners of the world. Cipla cooperateswith other enterprises in areas such as consulting, commissioning, engineering, projectappraisal, quality control, know-how transfer, support, and plant supply.

Struggle against HIV/AIDS in the developing world Cipla is the world's largest

manufacturer ofantiretroviral drugs[6](ARVs) to fight HIV/AIDS, as measured by unitsproduced and distributed (multinational brand-name drugs are much more expensive, soin money terms Cipla medicines are probably somewhere down the list). Roughly 40percent of HIV/AIDS patients undergoing antiretroviral therapy worldwide take Cipladrugs.

In February, 2001, Cipla stunned the HIV/AIDS and public health communities byannouncing it would make its triple cocktail of antiretroviral drugs available indeveloping countries for $350 per patient per year, a tiny fraction of the prices prevailinginternationally at the time. Ten years later, looking back on the decade of rapid growth inaccess which ensued, the Journal of the International AIDS Society (IAS) would write:

Ciplas dramatic price reduction, which received widespread media attention, hammeredthe message home that many of the multinational drug companies were abusing theirmarket monopoly in the face of a catastrophic human disaster.

Indian law from 1972 until 2005 allowed no (end-product) patents on drugs, andprovided for compulsory licensing, Cipla was able to manufacture medicines whichenjoyed patent monopoly in certain other countries (particularly those where large,multinational pharmaceutical companies are based). By doing so, as well as by making an
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purchased stockpiles of Antiflu in preparation forHajj in late 2009, fearing an outbreakofflu among Hajjis arriving from all parts of the world.

The firm announced the launch of the drug under the name "Antiflu" on 11November 2009 to be sold as a category X drug, strictly under prescription. Cancer

medications. In May 2012, Cipla made headlines worldwide by slashing prices on severalcancer drugs previously priced far out of reach to the vast majority of the world'spopulation (cancer drugs are generally the most expensive category of pharmaceutical).[16]

The Wall Street Journal quoted Cipla chairperson Yusuf Hamied as saying: "We hadtaken the lead to provide affordable medicine for AIDS and I think the time has nowcome -- 10 years later -- when we do a similar thing for cancer." The revised pricesaveraged roughly 75% less than the previous ones, and Hamied announced plans tosimilarly reduce prices on the full range of cancer drugs made by Cipla. The move wasexpected to prompt significant price drops from other producers, providing access tomedicine and saving many millions of cancer patients unnecessary suffering and/or death.

Other drugs

Cipla also has a product range comprising antibiotics, anti-bacterials, anti-asthmatics, anthelmintics, anti-ulcerants, oncology, corticosteroids, nutritionalsupplements and cardiovascular drugs. The company has at least nine differentprescription drugs registered with the US FDA.[19] Active in the anti-bacterial and anti-asthmatic segments, Cipla was the first in Asia to launch a non-CFC metered doseinhaler.

In a September 2011 article, The New York Times discussed Cipla's efforts toradically lower costs of biotech drugs forcancer, diabetes and othernon communicable

diseases, and, referencing the leading role the company had played in getting low-costAIDS drugs to developing world, the Times opined: In retrospect, the battle 10 years agoover AIDS medicines was a small skirmish compared with the one likely to erupt overcancer, diabetes and heart medicines. The AIDS drug market was never a majormoneymaker for global drug giants, while cancer and diabetes drugs are central to thecompanies very survival.

Company History Cipla:

1935 - The Company was Incorporated at Mumbai.

1979 - The Company acquired a plot of land from MIDC at Patalganga in Kulaba districtof Maharashtra State about 55 kms. from Mumbai.

- 18,773 Bonus equity shares issued in proportion 1:1.

1984- The name of the Company was changed from The Chemical Industrial &Pharmaceutical Laboratories Ltd., to the present one with effect from 20th July.
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an advance stage of development. The research and development wing also developedanthelmintics oxfendazole and oribendazole, two veterinary products for exports.

- In May, 6,000 equity shares offered at par as rights to pref. shareholders in prop. 1:1.Only 5,216 shares taken up. Allotment of 5 equity shares pending.

1992- Some of the new products introduded were Zidovir capsules an antiretroviral forHIV injection, Cipril tablets for hypertension, Optipres eyedrops for glaucoma patients,Felogard for hypertension, Nodine, a non-narcotic analgesic, etc.

2007- Cipla unveils anti-malaria global initiative.

-Set-up state-of-the-art facility for manufacture of formulations at Sikkim.

-Award for the Forbes Asia's Best Under A Billion List!

-Ciplas drug included in US anti-AIDS initiative

-Anti-AIDS blitz sees pharma firms locked in ugly battle

-Cipla launches emergency contraception tablet

-Cipla launches estradiol transdermal spray in India

-Cipla launches cut-price zanamivir in India

-Cipla receives International Trade Awards 2006 for outstanding exporter of the year(Pharmaceuticals, Healthcare and Life Sciences category)

2008-Cipla Ltd has appointed Mr. Pankaj Patel as a Director in casual vacancy witheffect from March 05, 2008.

-Cipla launched Roche's generic version of anti-infection drug

2009-Cipla wins Erlotinib case against Roche

-Pharmaceuticals Export Promotion Council Awards

-Cipla launches drug to treat Swine flu virus

-Cipla wins patent fight against Gilead Sciences

2010-Cipla Ltd acquired Meditab Specialities Pvt. Ltd. ("Meditab") for an aggregateconsideration of Rs. 133.35 crores.


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-Cipla Medpro has signed a deal with Biomab, a division of Chinese company DesanoPharma.

-Cipla sold the marketing rights of i-Pill to Piramal Healthcare for Rs 95 crore in cash.

-Cipla has tied up with the Manipal Group-promoted 'Stempeutics Research'.

- Drug Maker Cipla has launched the generic Version of Pirfenidone, used to treatIdiopathic Pulmonary Fibrosis, a progressive Lung disease.India is the 2nd market tohave this drug after Japan.

2011-Cipla Cancer Palliative Care Centre launched 24 hour helpline to offer counsellingto ensure more people use of the free services available.

2012-Cipla India's second largest drug firm, has agreed to acquire South AfricanDrugmaker Cipla Medpro with 51% stake amounts to $220 Million.

-Cipla bags tentative approval for HIV treatment tablets

-Drug giant Cipla Ltd has announced price reduction on 3 major anti-cancer drugsincluding Erlotinib (ERLOCIP), Docetaxel (DOCETAX) and Capecitabine(CAPEGARD).

-Cipla bags award in the Field of Export of Pharmaceuticals during the year conferred theHighest Award 'Platinum.

The objective ofportfolio management is to invest in securities is securities insuch a way that one maximizes ones returns and minimizes risks in order to achieveones investment objective.

A good portfolio should have multiple objectives and achieve a sound balanceamong them. Any one objective should not be given undue importance at the cost ofothers. Presented below are some important objectives of portfolio management.

1. Stable Current Return: -

Once investment safety is guaranteed, the portfolio should yield a steady currentincome. The current returns should at least match the opportunity cost of the funds of theinvestor. What we are referring to here current income by way of interest of dividends,not capital gains.

2. Marketability: -
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A good portfolio consists of investment, which can be marketed withoutdifficulty. If there are too many unlisted or inactive shares in your portfolio, you will faceproblems in encasing them, and switching from one investment to another. It is desirableto invest in companies listed on major stock exchanges, which are actively traded.

3. Tax Planning: -

Since taxation is an important variable in total planning, a good portfolio shouldenable its owner to enjoy a favorable tax shelter. The portfolio should be developedconsidering not only income tax, but capital gains tax, and gift tax, as well. What a goodportfolio aims at is tax planning, not tax evasion or tax avoidance.

4. Appreciation in the value of capital:

A good portfolio should appreciate in value in order to protect the investor fromany erosion in purchasing power due to inflation. In other words, a balanced portfolio

must consist of certain investments, which tend to appreciate in real value after adjustingfor inflation.

5. Liquidity:

The portfolio should ensure that there are enough funds available at short noticeto take care of the investors liquidity requirements. It is desirable to keep a line of creditfrom a bank for use in case it becomes necessary to participate in right issues, or for anyother personal needs.

6. Safety of the investment:

The first important objective of a portfolio, no matter who owns it, is to ensurethat the investment is absolutely safe. Other considerations like income, growth, etc.,only come into the picture after the safety of your investment is ensured.

Investment safety or minimization of risks is one of the important objectives ofportfolio management. There are many types of risks, which are associated withinvestment in equity stocks, including super stocks. Bear in mind that there is no suchthing as a zero risk investment. More over, relatively low risk investment givecorrespondingly lower returns. You can try and minimize the overall risk or bring it to anacceptable level by developing a balanced and efficient portfolio. A good portfolio of

growth stocks satisfies the entire objectives outline above.


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Company Profile:


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Data analysis and interpretation:


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Findings, Suggestions and Conclusion:

Mutual Funds now represent perhaps most appropriate investment opportunity formost investors. As financial markets become more sophisticated and complex,

investors need a financial intermediary who provides the required knowledge andprofessional expertise on successful investing. As the investor always try tomaximize the returns and minimize the risk. Mutual fund satisfies theserequirements by providing attractive returns with affordable risks.

The stock market has been rising for over three years now. This in turn has not

only protected the money invested in funds but has also to helped grow these

investments.

India's largest mutual fund, UTI, still controls nearly 80 per cent of the market.Also, the mutual fund industry as a whole gets less than 2 per cent of household

savings against the 46 per cent that go into bank deposits. Some fund managers

say this only indicates the sector's potential. "If mutual funds succeed in chipping

away at bank deposits, even a triple digit growth is possible over the next few

years.

Comparatively people of small towns are less aware of other investment avenues

viz Mutual Fund.

People of young age group are ready to take risk and they can be targeted for

investment in Mutual Fund.

People with less experience were inclined towards investment in the MutualFunds. It attracted as a safer avenue as compared to share market

Income funds and ELSS are among the few top funds.

People are not willing to take much risk and bear loss


25/26


26/26

Bibliography:

Books:

1. FINANCIAL MARKET AND SERVICES -Gordon and Natarajan

2. Investments Analysis & Portfolio Management by Prasana Chandra & V.K.Bhalla

3. Financial Accounting by I.M. Panday

Magazines

1. Business India

2. Business World

News Papers

1. Economic Times

2. Business Standard.

Websites:www.utimf.com

www.reliancemutual.com

www.amfiindia.com

www.wikipedia.com

www.angelbroking.com

www.mutualfundsindia.com

www.bseindia.com
http://www.utimf.com/http://www.reliancemutual.com/http://www.amfiindia.com/http://www.wikipedia.com/http://www.angelbroking.com/http://www.mutualfundsindia.com/http://www.bseindia.com/http://www.utimf.com/http://www.reliancemutual.com/http://www.amfiindia.com/http://www.wikipedia.com/http://www.angelbroking.com/http://www.mutualfundsindia.com/http://www.bseindia.com/

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