Scribd
Upload
516 views31 pages

SWOT Analysis of Mutual Funds

The document analyzes the strengths, weaknesses, opportunities, and threats for mutual funds. It notes that mutual funds' strengths include their large customer base, government support through tax concessions, offering liquidity and variety to investors, and accessing market information. However, their weaknesses include poor retail investor participation and focus, underperformance, and limited distribution networks. Opportunities lie in untapped rural markets and online trading. Threats include increased competition and volatility in stock markets. The conclusion discusses advantages like professional management and diversification, as well as disadvantages such as high costs and over-diversification. It also covers fund types, expenses, buying/selling, and performance metrics.

Uploaded by

ALEXANDAR
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
516 views31 pages

SWOT Analysis of Mutual Funds

The document analyzes the strengths, weaknesses, opportunities, and threats for mutual funds. It notes that mutual funds' strengths include their large customer base, government support through tax concessions, offering liquidity and variety to investors, and accessing market information. However, their weaknesses include poor retail investor participation and focus, underperformance, and limited distribution networks. Opportunities lie in untapped rural markets and online trading. Threats include increased competition and volatility in stock markets. The conclusion discusses advantages like professional management and diversification, as well as disadvantages such as high costs and over-diversification. It also covers fund types, expenses, buying/selling, and performance metrics.

Uploaded by

ALEXANDAR
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
You are on page 1/ 31

























SWOT Analysis Of Mutual Funds

STRENGTHS WEAKNESS
1.Large number of potential customers are 1.Poor participation of retail investors
base. 2.Lack of focus
2.Government support by way of tax 3.Under performance
concession for MF investors 4.Poor service conditions
3.Volatility of bank interest rate. 5.Distribution network is confines only to
4.Better scope for accessing market metro cities
information
5.Offer liquidity to the investors at any time.
6.Offers variety of products to the investors.
7.The size of the market is large.

OPPORTUNITIES THREATS
1.Huge untapped market in semi-urban and 1.Increasing competition among the players.
rural areas. 2.High level of volatility in the stock market.
2.High level of savings habit among the people 3.Possibility of more stringent regulations by
3.Liberalized business environment. SEBI , RBI , AMFI , etc ., in future.
4.Using on-line mode of trading systems. Advertisements
5.Investment opportunities abound in the
international market.
6.Failures of non bank financial company
operations.
Mutual Funds: Conclusion

1. A mutual fund brings together a large group of people and invests their aggregated
money in stocks, bonds, and other securities.
2. The advantages of mutual funds are professional
management, diversification, economies of scale, and wide range of offerings.
3. The disadvantages of mutuals are high costs, over-diversification, possible tax
consequences, liquidity concerns, and the inability of management to guarantee a
superior return.
4. There are many, many types of mutual funds. You can classify funds based on asset
class, investing strategy, region, etc.
5. Mutual funds have expenses that can be broken down generally into ongoing fees
(represented by the expense ratio) and transaction fees (loads).
6. Some funds carry no broker fee, known as no-load mutual funds.
7. One of the biggest problems with mutual funds are their costs and fees.
8. Mutual funds are easy to buy and sell. You can either buy them directly from the fund
company or through a third party.
9. Comparing fund returns across a number of metrics is important, such as over time,
compared to its benchmark, and compared to other funds in its peer group.

You might also like