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Journal for Studies in Management and Planning
Available at
http://edupediapublications.org/journals/index.php/JSMaP/
ISSN: 2395-0463
Volume 03 Issue 12
November 2017
Available online: http://edupediapublications.org/journals/index.php/JSMaP/ P a g e | 78
A study on Equity Fund Evaluation Special Reference to Aditya
Birla Sun Life Frontline Equity.
Dr.C.Mugunthan & Mr. Sharath Prabhu
Research Supervisor, Department of Commerce, Periyar University, Dharmapuri
Research Scholar, Department of Commerce, Periyar University, Dharmapuri
mugunth16274@gmail.com & prabhu.sharath22@gmail.com
Introduction
The mutual fund is such investment it will
help the investors to invest with the small
fund and it will collect or pool the money
from the various small and big investors
according to the investment objectives of
the investors. They intern issues units
based on the current NAV and it will run
based on the market interacting and always
hopes on the market that it will rise in the
future. The benefits for the investors are
that it will give the equal opportunities in
investing various scheme of the mutual
fund. There are different kinds of mutual
fund available in the market it will be open
ended and close ended schemes. These
mutual funds are regulated by SEBI and
managed by the asset management
company for healthy growth in the market
and within the scheme. They will collect
certain amount has the fee for managing
the fund of the investors. This study has
been taken on the equity scheme one of the
beset and popular scheme in the market at
the same time it will has much fluctuation
in the units. Therefore there is a small
attempt has been made to research on the
performance of the fund over the past five
years.
Back ground of the study
The Aditya Birla Sunlife Frontline Equity
generates the long term growth of capital
through a portfolio with a target allocation
of 100% equity by aiming at being as
diversified across various industries. The
fund manager always plays a vital role to
up keep fund when it break down through
different types of strategies.
The policy is flexibility to invest and buy
and hold strategies and a buy and hold
strategy well for the investors who stay
invest in this fund for the long run. A well
diversified fund with holdings of about 70
stocks, along with a stable management
team backed by performance makes it a
good choice to invest in.
Review of literature
Friend, et al., (1962) made a broad and
methodical investigation of 152 common
Page 2 of 5
Journal for Studies in Management and Planning
Available at
http://edupediapublications.org/journals/index.php/JSMaP/
ISSN: 2395-0463
Volume 03 Issue 12
November 2017
Available online: http://edupediapublications.org/journals/index.php/JSMaP/ P a g e | 79
assets found that shared reserve plans
earned a normal yearly return of 12.4
percent, while their composite benchmark
earned an arrival of 12.6 percent. Their
alpha was negative with 20 premise
focuses. General outcomes did not propose
boundless wastefulness in the business.
Examination of store comes back with
turnover and cost classifications did not
uncover a solid relationship.
Williamson (1972) thought about
positions of 180 supports between 1961-65
and 1966-70. There was no relationship
between's the rankings of the two periods.
The speculation capacities of a large
portion of the reserve chiefs were
indistinguishable. He highlighted the
developing unmistakable quality of
instability in the estimation of venture
hazard.
Klemosky (1973) examined speculation
execution of 40 assets in light of quarterly
returns amid the period 1966-71. He
recognized that, predispositions in Sharpe,
Treynor, and Jensen's measures, could be
expelled by utilizing mean supreme
deviation and semi-standard deviation as
hazard surrogates contrasted with the
composite measures got from the CAPM
(Capital Asset Pricing Modal).
Objectives
1. To study the fund invested by the
company.
2. To study the benchmark fixed for the
fund invested.
3. To study the sector investment made
by the company.
4. To study the holdings of the company.
Methodology
This study has been conducted based on the
secondary data collected from various reports
of the companies.
Analysis
Table 1: Showing the investment made by the company in mutual fund schemes
Year Fund invested (Rs in Lakh) Percentage
1 16.14 21.29
3 13.30 17.54
5 19.07 25.15
7 13.10 17.28
10 14.20 18.73
75.81 100
Table 1: Showing the investment made by the company in mutual fund schemes
0
20
40
1 3 5 7 10
16.14 13.3 19.07 13.1 14.2 21.29 17.54 25.15 17.28 18.73
fund invested
Axis Title
Fund invested
Page 3 of 5
Journal for Studies in Management and Planning
Available at
http://edupediapublications.org/journals/index.php/JSMaP/
ISSN: 2395-0463
Volume 03 Issue 12
November 2017
Available online: http://edupediapublications.org/journals/index.php/JSMaP/ P a g e | 80
Interpretation: The investment made by the Aditya Birla Sun Life Frontline Equity varies from one
year to ten years. Initial years it is more and during 3year and 7 years it was declined and then it was
increased.
Table 2: Showing the Bench Mark fixed for the return
Year Bench mark (%)
1 15.79
3 9.90
5 14.48
7 8.85
10 9.60
Chart 2: Showing the Bench Mark fixed for the return
Interpretation: The Company has the expectation from the diversification which company has made.
It was varying from the year to year and the fund invested. The expected return is more from year to
years.
Table 3: Showing the holdings of the company in various sectors.
Company % of Holdings of the various sectors
ICICI Bank 5.73
HDFC Bank 4.93
ITC 4.20
Infosys 3.84
Maruti Suzuki India 3.03
Charts 3: Showing the 5 sector of investment
0%
20%
40%
60%
80%
100%
1 3 5 7 10
15.79 9.9 14.48 8.85 9.6
Bench mark
year
Bench mark fixed for the return
5.73 4.93 4.2 3.84 3.03
0
10
ICICI Bank HDFC Bank ITC Infosys
Holidings
Sectors
Holdings of investments in various
sectors
