A Study on Transition of Investors from Traditional Mutual FundSchemes to Focused Schemes

Abstract

Mutualfundspool moneyfrom different investors and investin different investment sources (like stocks, shares, bonds etc.). A fund manager manages these funds and returns are paid in theform ofdividends. Mutual funds investment has emerged as a strongfmancial intermediary and is thefostestgrowing segmentforthejinancial service sectorin India recently. Thoughfoeusedfunds are the subsetofMutualfunds. Mutualfunds hold more than I 00 companies' stocks whereas 0ocusedfunds holds only a limited variety of stocks or bonds i.e. 20-30 companies.

The objective of the study is "to study the attitude of investors towards Mutual Fund Schemes with special reference to their Transition towards FocusedSenelnes The survey isundertaken of80 respondents ofDelhi,
NCR by using convenience sampling. The study was collected on the basis of Reliability test, Demographics factors were analyzed, Factor analysis was conducted & Crosstab forHypothesis testing.

Reliability test shows that all the 29 variables are highly reliable & accepted. Through Factor analysis, it depicts that out ofl6 constructs that have been taken they are 3 rnajorfactors which have been extracted. It was analyzed through the Chi Square testthat those who are planning to shijtfrom traditional Mutualfund schemes tofocused schemes want to investregularly through SIP(Systematic Investment Plan).