Mutual Funds & Insurance

Paper Code: 
BIE 232
Credits: 
04
Contact Hours: 
60.00
Max. Marks: 
100.00
Objective: 

Course Objectives:

This course will enable the students to-

Acquaint the students with theoretical aspects of Mutual Funds & Insurance.

 

12.00
Unit I: 
UNIT I

Concept and Role of Mutual Funds
Concept of a Mutual Fund; Advantages, Evolution of Mutual Funds in India Size of Industry, Growth Trends, Role of Mutual Funds in Financial Markets, Mutual Funds vis a vis other investment Options

12.00
Unit II: 
UNIT II

Classification of Mutual Funds : Operational, Portfolio, Geographical, Structural classification
Organisation of Mutual Funds: Functions of Asset Management Company, Appointment and Functions of Trustees/Trust Companies , Custodian of mutual funds, Fund Sponsors, Role of AMFI

12.00
Unit III: 
UNIT III

Regulation of Mutual Funds:
Guidelines by RBI and SEBI , Rights and Facilities available to investors.
Regulation of Insurance: IRDA: Role , power and functions
Essentials of insurance contracts- Distinction between General Law of contract and Insurance contract; Life and indemnity Contract.

12.00
Unit IV: 
UNIT IV

Double Insurance: Meaning, Features
Reinsurance: Characteristics of Reinsurance, Types of Reinsurance. Reinsurance Vs. Double insurance, Methods of Reinsurance
Risk: Meaning , Definition , Peril , Hazard, Classification of hazard Classification of risk, Requirements of an Insurable risk.
Risk Management in Insurance: Need and process,
Methods of handling risk: Avoidance, Risk Reduction, Risk retention, Risk transfer, combination, Hedging method.

12.00
Unit V: 
UNIT V

Calculation of Premium: Net premium, Gross premium, Methods of computation of Premium-Assessment plan, Natural premium Plan, Level Premium Plan, Mortality table-meaning, characteristics, need
Settlement of claim: Death claims, Maturity/Survival claims

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.
• Jha R.N., Insurance in India, Bharat book Buereau, Mumbai.
• Rajda George, Principles of Risk Management and Insurance, Pearson Education, New Delhi.
• Banking and insuranc, O.P, Agarwal, himalya Publishing House
• Risk management in Insurance,R.K. Kothari, Mukesh jain, RBD publications

Academic Year: