BATCH CODE : PGDBM NOI01AA0815Faculty Name: Mr. Rakesh Mathur.

Participants:-

Abhinay Mehrotra E14CC1020091Himanshi Singh E14CC1019243Sonakshi Singha E14CC1019207Nitish kumar E14CC1019021

 

 

RECOMMEND 3 PRODUCT WITH REASONS IN THE CURRENT INTEREST RATE SCENARIO TO AN AGGRESSIVE INVESTOR WITH A SURPLUS OF Rs. 350000.

INTRODUCTION

• MOTIVE- INVESTMENT• AMOUNT - Rs350000• RISK – HIGH (AGGRESSIVE INVESTOR)• KEY INTEREST-INTEREST/ PROFIT• IMPORTANT CONSIDERATIONS :-CRR/SLR, FUNDS &

BONDS ,RISK ISSUES• THREE PRODUCTS WE WOULD SUGGEST :-FIXED DEPOSITGILT FUNDSEQUITY

PRIME CONCERN IN INVESTMENT

INTEREST RATE

TENURERISK

MARKET SCENARIOMACRO ECONOMIC FACTORS

Name Value

CRR(cash Reserve Ratio) 4.00% (wef   09/02/2013) -announced on 29/01/2013 

SLR( Statutory Liquidity Ratio )

21.50%(w.e.f. 07/02/2015)(announced on 03/02/2015)

REPO RATE 7.25%(w.e.f. 02/06/2015)

Reverse Repo Rate 6.25%(w.e.f. 02/06/2015)

SCHEMES WE WOULD SUGGESTFIXED DEPOSITS

WHAT ARE FIXED DEPOSITS? •One time payment of investment. •For a fixed tenure (minimum 7 days to maximum 10 years.)•Usually at a rate of fixed deposit •TDS is applicable. However, interest from FD is not tax free • Income tax is to be paid on interest earned at the rate of tax slab of the FD holder.

TOP FIXED DEPOSIT - COMPARISON

AS ON 5-JUNE-2015

PRIME CALCULATIONS FOR TOP FD RETURN

Name Value

Name PNB HOUSING Finance Limited

Amount Rs. 3,50,000.

Time Period 1 Year

INTEREST RATE 12.65%

TOTAL MATURED Amount Rs. 3,82,000.(inflation not accounted)

RISK Low Risk

AS ON 5-JUNE-2015

SCHEMES WE WOULD SUGGEST MUTUAL FUNDS

A mutual fund that invests in several different types of medium and long-term government securities in addition to top quality corporate debt.

Gilt funds differ from bond funds because bond funds invest in corporate bonds, government securities, and money market instruments. Gilt funds stick to high quality-low risk debt, mainly government securities.

SCHEMES WE WOULD SUGGEST MUTUAL FUNDS

ICICI Prudential GILT MUTUAL FUNDS

AS ON 5-JUNE-2015

PRIME CALCULATION FOR MUTUAL FUNDS

Name ICICI Prudential GILT MUTUAL FUNDS

Amount RS 3,50,000.

Time 1 Year

Return % 12.65%

Risk High Risk

Total amount Rs. 3,94,275

SCHEMES WE WOULD SUGGEST-EQUITY

• A stock or any other security representing an ownership interest.

• On a company's balance sheet, the amount of the funds contributed by the owners (the stockholders) plus the retained earnings (or losses)

TOP THREE HIGH DIVIDENT YEILDING COMPANY

SCHEMES WE WOULD SUGGESTEQUITY

Name Oracle financial Services Limited

PRIME CALCULATIONS-EQUITY

Name Oracle financial Services Limited

Amount RS 3,50,000.

Time 1 Year

Return % 24.19%

Risk High Risk

Total amount Rs. 434665.

COMPARISIONS BETWEEN 3 OPTIONS

BASIS Fixed Deposits

MUTUAL FUND Equity

SCHEME PND HOUSING FD

ICICI Prudential GILT MUTUAL FUNDS

Oracle financial Services Limited

AMOUNT (IN INR)

3,50,000 3,50,000 3,50,000

TIME 1 YEAR 1 YEAR 1 YEAR

RISK LOW MEDIUM HIGH

%INTEREST 9.15 12.65 24.19

FINAL AMOUNT 3,82,000 3,94,275 4,34,665

CONCLUSION

WE SUGGEST

BIBLIOGRAPHY

• http://smartinvestor.business-standard.com• http://www.google.com• http://businesstoday.intoday.in• http://www.moneycontrol.com• http://www.indiainfoline.com• http://economictimes.indiatimes.com• http://bankbbazaar.com