Abstract

Mutual funds are popular among all income levels. With a mutual fund, we get a diversified basket of stocks managed by a professional. A mutual fund is a professionally-managed investment scheme, usually run by an asset management company that brings together a group of people and invests their money in stocks, bonds and other securities Most investors are aware of advantages of Mutual Funds and the preferred reason for investing in Mutual Funds is consistent returns given by these funds. Based on this the selection of schemes and the choice of investment avenues can be decided. Due to the fund manager�s poor risk bearing capacity, timing skill, stock selection ability, and imperfect diversification the schemes had suffered with low return. Hence to increase the fund return the concerned fund managers have to improve all these skills. The study also helps to understand the role of investment pattern and preferences of investors behind investing in mutual fund. Financial markets are constantly becoming more efficient by providing more promising solutions to the investors. Being a part of financial markets although mutual funds industry is responding very fast by understanding the dynamics of investor�s perception towards rewards. This paper discusses the investor�s perception on mutual fund investment in North Costal Andhra Pradesh since last 10 years. The present study is an endeavor to know the perception of investors about mutual funds.

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