“AN EXPLORATORY STUDY ON INVESTOR
PERSPECTIVES: A DEEP DIVE INTO MUTUAL
FUND PERCEPTIONS OF SBI & HDFC”
Project report submitted in partial fulfilment of the requirements
of the award of the Degree of
MASTER OF BUSINESS ADMINISTRATION
of
BANGALORE UNIVERSITY
-By
DINESH KUMAR M
P03AA22M015191
UNDER THE GUIDANCE OF
DR. VIGNESH RAJENDRAN B.E, MBA, PH. D
ASSISTANT PROFESSOR, DEPARTMENT OF MBA,
ACHARYA BANGALORE B SCHOOL
BANGALORE UNIVERSITY
2024
i
DECLARATION BY THE STUDENT
I hereby declare that A Study on “An Exploratory Study on Investor Perspectives: A
Deep Dive into Mutual Fund Perceptions of SBI & HDFC” is the result of the project
work carried out by me under the guidance of Dr. VIGNESH RAJENDRAN B.E, MBA,
Ph.D. in partial fulfilment for the award of Master’s Degree in Business Administration
by BANGALORE UNIVERSITY.
I also declare that this project is the outcome of my own efforts and that it has not been
submitted to any other University or Institute for the award of any other Degree or
Diploma or Certificate.
Place: Bengaluru DINESH KUMAR M
Date: P03AA22M015191
ii
BANGALORE UNIVERSITY
Certificate of Originality (Plagiarism)
Name of the Student : DINESH KUMAR M
Registration Number : P03AA22M015191
Titel of the project : AN EXPLORATORY STUDY ON INVESTOR
PERSPECTIVES: A DEEP DIVE INTO MUTUAL FUND PERCEPTIONS OF SBI &
HDFC
Name of the Guide : Dr. VIGNESH RAJENDRAN
Similar Content Identified : 14%
(Acceptable maximum limit of similarity 25%)
Project ID number(s) in: 2395179842
The project report has been checked using TURNITIN anti-plagiarism software and found
within limits as per the plagiarism Policy and instruction issued by the
UNIVERSITY/CBSMS.
We have verified the contents of the project report, as summarised above and certified
that the statements made above are true to the best of our knowledge and belief.
Signature of the Guide Signature of the Director
iii
CERTIFICATE OF ORIGINALITY
Date:
This is to certify that dissertation titled “An Exploratory Study on Investor
Perspectives: A Deep Dive into Mutual Fund Perceptions of SBI & HDFC” is an
original work of Mr. DINESH KUMAR M bearing university Register Number
P03AA22M015191 and is being submitted in partial fulfillment of the award of the
Master’s Degree in Business Administration of Bangalore University. The report has not
been submitted earlier either to this institution for the fulfillment of the requirement of a
course of study.
SIGNATURE OF GUIDE SIGNATURE OF DIRECTOR
Date: Date:
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ACKNOWLEGEMENT
First, I thank my almighty for giving this opportunity. It is my privilege to render my
heartfelt thanks and gratitude to our most beloved Director of MBA Dr. H.R
VENKATESHA, for providing me the opportunity to do this project during my MBA
degree.
I would like to express my sincere and deep gratitude to Head of the Department, Dr. R
JAYANTHI, Department of MBA
I would like to extend my heartfelt thanks to my guide DR. VIGNESH RAJENDRAN
B.E, MBA, PH. D, ASSISTANT PROFESSOR, Department of MBA and, I extend my
thanks to the faculties and Management for providing the opportunity to do this project.
Last, but not the least I thank all my friends and family for their valuable feedback from
time to time as well as their help and encouragement throughout the project.
Date: DINESH KUMAR M
P03AA22M015191
v
Table of Content
SL No. Particulars Page No.
List of Tables viii
List of Graphs ix
Executive Summary x
Chapter 1 INTRODUCTION 1-16
1.1 Introduction
1.2 Mutual Fund Services Offered
1.3 Impact on the Macroeconomic
1.4 Impact on the Microeconomic
1.5 Theoretical Background of The Study
1.6 Definition of Mutual Fund
1.7 A Deeper Dive: SBI Mutual Funds vs. HDFC Mutual
Funds
Chapter 2 RESEARCH DESIGN 17-28
2.1 Review Of Literature
2.2 Research Gap
2.3 Statement of the Problem
2.4 Need of the Study
2.5 Objectives of the Study
2.6 Hypothesis of the Study (Based on Objectives)
2.7 Scope of the Study
2.8 Research Methodology
2.9 Limitation of the Study
2.10 Chapter Scheme
Chapter 3 COMPANY PROFILE 29-45
3.1 Company Profile of HDFC Mutual Funds
3.2 Company Profile of SBI Mutual Funds
Chapter 4 DATA ANALYSIS AND INTERPRETATION 46-70
4.1 Data Analysis and Interpretation
4.2 Statistical Testing
ANOVA 71
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F-Test 72
Chapter 5 SUMMARY OF FINDINGS, CONCLUSIONS 73-80
AND SUGGESTIONS.
5.1 Findings
5.2 Conclusion
5.3 Suggestions/ Recommendation
BIBLIOGRAPHY 81-82
ANNEXURE 83-88
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LIST OF TABLES
Table No. Title Page No.
4.1 Gender 46
4.2 Age Distribution 47
4.3 Educational Status 48
4.4 Occupational Diversity 49
4.5 Income Levels 50
4.6 Educational Qualifications 51
4.7 Investment Duration 52
4.8 Mutual Fund Provider Preferences 53
4.9 Mutual Fund Types Preferred 54
4.10 Investment Decision Factors 55
4.11 Portfolio Review Frequency 56
4.12 Satisfaction with SBI Mutual Funds 57
4.13 Perceived Strengths of SBI Mutual Funds 58
4.14 Perceived Weaknesses of SBI Mutual Funds 59
4.15 Ratings of SBI Mutual Funds 60
4.16 Customer Service Issues with SBI Mutual Funds 61
4.17 Satisfaction with HDFC Mutual Funds 62
4.18 Perceived Strengths of HDFC Mutual Funds: 63
4.19 Perceived Weaknesses of HDFC Mutual Funds 64
4.20 Ratings of HDFC's Online Platform 65
4.21 Customer Service Issues with HDFC Mutual Funds 66
4.22 Preference Between SBI and HDFC 67
4.23 Desired Improvements in Mutual Fund Companies 68
4.24 Willingness to Recommend SBI or HDFC Mutual 69
Funds
4.25 Desired Enhancements for Mutual Fund 70
Experience
viii
List of Graph
Graph No. Title Page No.
4.1 Gender 46
4.2 Age Distribution 47
4.3 Educational Status 48
4.4 Occupational Diversity 49
4.5 Income Levels 50
4.6 Educational Qualifications 51
4.7 Investment Duration 52
4.8 Mutual Fund Provider Preferences 53
4.9 Mutual Fund Types Preferred 54
4.10 Investment Decision Factors 55
4.11 Portfolio Review Frequency 56
4.12 Satisfaction with SBI Mutual Funds 57
4.13 Perceived Strengths of SBI Mutual Funds 58
4.14 Perceived Weaknesses of SBI Mutual Funds 59
4.15 Ratings of SBI Mutual Funds 60
4.16 Customer Service Issues with SBI Mutual Funds 61
4.17 Satisfaction with HDFC Mutual Funds 62
4.18 Perceived Strengths of HDFC Mutual Funds: 63
4.19 Perceived Weaknesses of HDFC Mutual Funds 64
4.20 Ratings of HDFC's Online Platform 65
4.21 Customer Service Issues with HDFC Mutual Funds 66
4.22 Preference Between SBI and HDFC 67
4.23 Desired Improvements in Mutual Fund Companies 68
4.24 Willingness to Recommend SBI or HDFC Mutual 69
Funds
4.25 Desired Enhancements for Mutual Fund 70
Experience
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EXECUTIVE SUMMARY
This explorative study delves into the perspectives of investors on mutual funds offered
by two prominent financial institutions in India: State Bank of India (SBI) and Housing
Development Finance Corporation (HDFC). The primary objective is to understand the
preferences, satisfaction levels, risk perceptions, and decision-making factors of investors
regarding these mutual funds. The study reveals that the majority of mutual fund investors
are aged between 30 and 50 years, with a significant portion being professionals and
salaried individuals. These investors typically have more than five years of experience in
mutual fund investments, indicating a mature and informed investor base.
Investment preferences highlight a strong inclination towards equity mutual funds, which
are favoured for their higher potential returns despite the associated risks. This is followed
by a preference for hybrid and debt funds, suggesting that while investors are willing to
take risks for better returns, they also seek a balance through diversified portfolios. The
study also indicates that investors tend to favour long-term investment horizons, typically
ranging from five to ten years, aligning with the general financial goals of wealth
accumulation and retirement planning.
Satisfaction levels with mutual fund offerings from SBI and HDFC are generally high,
with factors such as fund performance, brand reputation, and customer service playing
crucial roles. SBI's extensive branch network and strong brand trust are significant draws
for its investors, while HDFC is appreciated for its robust digital platforms and consistent
fund performance. Risk perception varies among investors, with some expressing
concerns about market volatility and economic instability. Additionally, the ease of
transaction and accessibility to detailed fund information via digital platforms are
increasingly influencing investor choices. Both SBI and HDFC have made substantial
efforts to enhance their digital interfaces, providing investors with user-friendly platforms
for monitoring and managing their investments.
The study underscores the importance of understanding investor behaviour and
preferences to tailor mutual fund offerings effectively. Both SBI and HDFC are well-
positioned to capitalize on their strengths by addressing the evolving needs and concerns
of their investors. Enhancing transparency, providing superior customer service, and
leveraging technology will be critical in sustaining investor confidence and driving future
growth in their mutual fund businesses.
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