MUTUAL FUNDS

Paper Code: 
CBFS 201
Credits: 
4
Contact Hours: 
60.00
Max. Marks: 
100.00
Objective: 

Learning outcome  (at course level)

Learning and teaching strategies

Assessment Strategies

 
 

On completion of this course, the students will be able to:

  1. Gain insights on various aspects of the functioning of the mutual fund industry in India.
  2. Analyze legal structure of mutual funds and understand offer document of the scheme.
  3. Comprehend themselves with the legal framework of mutual fund organisations.
  4. Analyze and evaluate different types of mutual funds schemes in India.
  5. Examine portfolio risk and return associated with mutual fund investment

Approach in teaching:

Interactive Lectures, Discussion, Tutorials, Reading assignments, Team teaching

 

Learning activities for the students:

Self learning assignments, Effective questions, Seminar presentation, Giving tasks.

Class test, Semester end examinations, Quiz, Solving problems in tutorials, Assignments, Presentation, Individual and group projects.

  

 

12.00
Unit I: 
Concept and Role of a Mutual Fund

Concept of a mutual fund, Classification of Mutual Funds, Organisation of Mutual Funds, Advantages and limitations of mutual fund

12.00
Unit II: 
Fund Structure and Constituents

Legal structure of mutual funds in India, Role of Trustee, Sponsor and AMC, Other Service Providers and their functions.

12.00
Unit III: 
Legal and Regulatory Environment -

Role of the regulators in Mutual Fund Industry, Know the salient features of the AMFI Code of Ethics and AMFI Guidelines & Norms for Intermediaries (AGNI) , Know the Investor rights and obligations.

12.00
Unit IV: 
Offer Document-

Know the process of New Fund Offer (NFO), Know the Investment Objective Policy and Strategy, Know the regulatory aspects of an offer document ,Know the salient features of Scheme Information Document (SID), Statement of Additional Information (SAI) and Key Information Memorandum (KIM).
Fund Distribution and Sales Practices-Know the various distribution channels for mutual funds, the pre-requisites for becoming a mutual fund distributor, the elements covered in an agreement between a distributor and a mutual fund, the sales practices and commission structure.

12.00
Unit V: 
Mutual Fund Products-

Product features of diversified equity schemes, fixed maturity plans and index schemes, Gold ETFs, Concept of entry and exit load; Expense ratio. Computation of NAV.
Debt Funds, Liquid Funds, Different types of plans; Systematic Investment Plan (SIP); Systematic Transfer Plan (STP) and Systematic Withdrawal Plan (SWP); Dividend payout. Concept of entry and exit load; Expense ratio; Portfolio turnover; AUM; Analysis of cash level in portfolio.
Features of SEBI regulations on Risk disclosures and Return presentations.

Essential Readings: 

• Sadhak.H., Mutual Fund in India: Marketing Strategies and Investment Practices, Response Publication, New Delhi.
• National Stock Exchange of India Ltd, Mutual Fund Basic and Advisors Module.
• Pathak Bharti V., Indian Financial System, Pearson Education, New Delhi.

References: 

Suggested Readings:
• Gorden,Natrajan,Financial markets and services,Himalya Publishing House.
• Mutual fund poroducts and services,IIBF module,Taxman Publications
• N. J .Yasaswy , Personal Investment & Taxation, Year book, Y 2011-12 , ICFAI
• NCFM and NISM Modules

E-Readings:
• Nism website
• InflibnetShodhganga: www.shodhganga.inflibnet.ac.in
• National Digital Library
• World EBook Library

Journals:
• FIIB Business Review- http:// sagepub.com
• Directory of Open Access Journals

Academic Year: 
2023-2024
  • Printer-friendly version
  • PDF version