PROJECT ON COMPARATIVE VOLATILITY ANALYSIS BETWEEN SBI & DSP BLACK

ROCK MUTUAL FUND (EQUITY & HYBRID) DURING GLOWAL MELTDOWN & POST GLOBAL MELTDOWN PERIOD

SUBMITTED BY ANJALI (DR IT GROUP CHANDIGARH) (PTU , JALANDHER) SUBMITTED TO DR. S. GHOSH ASSOCIATE PROF. (DR IT GROUP CHANDIGARH) (PTU , JALANDHER)

EXCUTIVE SUMMARY

Project work is a part of our curriculum that gives us the knowledge about the practical work in any organization and makes are stand in an organization. This also helps to understand & correlate the theoretical concepts better which remains uncovered in the classrooms. I have prepared this report in the process of my postgraduate diploma in business management. The topic that has been taken for the project is COMPARATIVE VOLATILITY ANALYSIS BETWEEN SBI & DSP BLACK ROCK MUTUAL FUND ( EQUITY & HYBRID) DURING GLOWAL MELTDOWN & POST GLOBAL MELTDOWN PERIOD This project includes how broking is done in mutual fund. This also helps to understand & It involves equity & hybrid fund analysis during meltdown & post meltdown period such as Volatility in SBI& DSP Black Rock mutual fund. I have covered various sessions for analysis from Aug-07 to Jul-11. In these sessions, SBI & DSP Block Rock mutual fund (Equity & Hybrid fund) was most volatility so that I have covered various analyses with most affected factors to the global meltdown & post meltdown. In this project I have included highest NAV of the month and also used standard deviation.

CHAPTER 1 Introduction

INTRODUCTION TO PROJECT

The study is about the analysis of the volatility between SBI & DSP Black Rock Mutual fund (Equity & Hybrid). Before buying a any mutual fund, think about its volatility. While past performance does not necessarily predict future return. It can tell you how volatility a fund has been. Generally, the more volatile a fund is, the higher the investment risks. In this study we calculated NAV for the period of 4years from aug-07 to july-11 and apply volatility calculation to determine the impact on the basis of global meltdown and post global meltdown period. By this project I tried to find out the volatility analysis between SBI & DSP Black Rock mutual fund (Equity & Hybrid fund) during Global meltdown & post Global meltdown periods.

CHAPTER:- 2 Company Profile

INTRODUCTION:PRUDENT CAS Ltd

Prudent CAS (Corporate Advisory Services) Ltd, known as Prudent Fund Manager established in 2000 is a registered investment company offering fee-based money management, financial planning, and investment advisory services. It focus on each client, build investment strategies tailored to specific client needs, and regularly review those strategies to increase the likelihood of success. It would like to know the clients goals and aspirations. So that it can determine an investing strategy that helps you achieve your full potential. Prudent believes in understanding the customer needs and offering the product that can match his requirement (marketing) as against just selling what product is already available. Owing to the inherent professional expertise we first study and understand the investment requirements and circumstances. Our experts assess the investors' need and their risk profile. Once the entire comparative analysis is done then the best possible option is advised to the investors. The best possible option provides the proper asset allocation to various asset classes and also the estimated risk involved. This helps us to provide our clients an optional basket of funds rather than selling the typical available funds. This approach lets us set our focus on the quality work rather than the just the quantity. 1. PRUDENT INFRASTRUCTURE AND CLIENTS:Presently, Prudent operate from four key and 21 other locations of Gujarat. Each of our branches is fully furnished with an excellent infrastructure and latest systems to service the clients independently. We have been successful in making a remarkable presence in all these locations.

Team Prudent consists of more than 80 professionals having expertise in the fields like clients servicing, research, sales, technology etc.

2. PRUDENT LAURELS:Prudent have been accredited many times by various Assets management company (AMCs) for outstanding performance in fund mobilization. Some of the prestigious awards we won are: 1. Won consequently for four years in a row the most prestigious Prudential ICICI Chairman Gold Award in FY 2002, 2003, 2004 and 2005 2. Rated 9th best independent Financial Advisor in all India by Franklin Templeton for the year 2002. 3. SBI Mutual Fund in FY 2002 selected us as a chairman club member. 4. Selected consequently for 2 years in a row by Standard Chartered AMC for their Hall of Fame in FY 2002 and 2003.

3. HEAD OFFICE;701, SEARS TOWER, GULABI TEKARA, OFF. C.G ROAD AHAMEDABAD- 380006 TELEFAX: +91-79-26464627. 26402436 EMAIL: info@prudentcorporate.com Website: www.prudentcorporate.com www.prudentchannel.com

It caters the market through Direct & Indirect channel. We were recruited at indirect channel headed by Mr. Jignesh Bhuva. Address:-sco-215-216-217, cabin-307 3rd floor, sector-34/A,
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Chandigarh-160022,Punjab. Contact No: - 0172-4015998 Prudent CAS Ltd. is the National distributors and deals in the various Company like Reliance Asset Management Company, ICICI Prudential Asset Management Company, Kotak Life Insurance, Religare Mutual Fund etc.

4.1 GEOGRAPHICAL AREAS OF OPERATION OF THE COMPANY:

Prudent, presently, have over 30 offices in 6 states (Gujarat, Rajasthan, Delhi, Maharashtra, Haryana, Madhya Pradesh) with over Rs 2000 crores plus of asset.

4. NATURE OF THE ORGANIZATION:Prudent is a service based distribution company which is in the business of distribution of and marketing research of financial products like (mutual funds, insurance). It mainly operates in functional areas of finance, marketing & sales for financial products.

5. COMPANYS VISION & MISSION:Vision: - Providing Professional services in area of Personal and Corporate Investment. Mission: - To help Investor in their Wealth Creation.

6. PRODUCT RANGE OF THE COMPANY: Prudent CAS Ltd plans the financial needs in customised way. It analyses market trend and investment buckets in turn to have maximum returns. Prudent CAS Ltd serves with array of financial planning. Spectrum of Products in which Prudent has an expertise:

1) Mutual Funds. 2) Investment Consultancy. 3) Equity and Derivatives broking. 4) RBI Relief funds and Infrastructure Bonds. 5) Life Insurance. 6) Gold selling

7. SIZE

(IN

TERMS

OF

MANPOWER

&

TURNOVER)

OF

ORGANIZATION:
Prudent, presently has manpower of 400 employees. It has a sales turnover of Rs 600-700 crore out of which profit turnover is around 50 crore.

8. ORGANIZATION STRUCTURE OF THE COMPANY:

Sanjay Shah Experience 15 Years; CA Director, Prudent CAS Ltd

Shirish Patel Experience 8 Years; MBA Worked with ICICI, City Bank Director, Prudent CAS Ltd Yogi Kanani Experience 5 Years; BE Computer Science IT Manager, Prudent CAS Ltd

Chirag Shah Experience 6 Years; CA, Worked with NDSL Director, Prudent CAS Ltd

Deven Shah Experience 6 Years; CA Experience across all products/investors

Chirag Kothari Experience 8 Years; CS Accounts Head, Prudent CAS Ltd

Jignesh Shah Experience 3 Years; MBA Worked with CMIE, Research Analyst

Experience 4 Years; PGDIFA Operations head, Prudent CAS Ltd

Figure No:- 1.1 Organization Structure of the Company

9. MARKET SHARE AND POSITION OF THE COMPANY IN THE

INDUSTRY:
The total market shares of industry are 5 lakh Crore and the prudent is capturing 3 thousand Crore. It captures 60% of the market.

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CHAPTER:-3 Industry Profile

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3.1 INTRODUCTION:Mutual fund is the most suitable investment (or the common man as it offers an opportunity to invest in a diversified, professionally managed portfolio relatively at a low cost. Anybody with an inventible surplus of as little as a few thousand rupees can be invested in mutual funds. Change in the economic scenario, falling interest rates of bank deposits, volatile nature of capital market and recent hitter experience of investors in making direct investment emphasis the increasing importance of the intermediaries like mutual funds. Mutual funds help the small and medium size investors to participate in today's complex and modern financial scenario. Investors can participate in the mutual fund by buying the units of the fund. The income earned through these investments and capital appreciation realized by the schemes is shared by its unit holders in proportion to the number of units owned by them. Mutual funds play vital role in mobilization of resources and their efficient al1ocation. These funds played a significant role in financial inter-mediation, development of capital markets and growth of the financial sector as a whole. The active involvement of mutual funds in economic development can be seen by their dominant presence in the money and capital market. In early 19th century, mutual funds have proved to be an important institutional arrangement of risk pooling. These institutions have come to assume so much of significance them they now completely dominate the entire financial market. 3.2 MUTUAL FUND:Mutual Fund is an investment company that pools money from shareholders and invests in a variety of securities, such as stocks, bonds and money market instruments. Most open-end mutual funds stand ready to buy back (redeem) its shares at their current net asset value, which depends on the total market value of the fund's investment portfolio at the time of redemption. Most open-end mutual funds continuously offer new shares to investors. Also known as an open-end investment company, to differentiate it from a closed-end investment company. Mutual funds invest pooled cash of many investors to meet the fund's stated investment objective. Mutual funds stand ready to sell and redeem their shares at any time at the fund's current net asset value: total fund assets divided by shares outstanding.

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In Simple Words, Mutual fund is a mechanism for pooling the resources by issuing units to the investors and investing funds in securities in accordance with objectives as disclosed in offer document. Investments in securities are spread across a wide cross-section of industries and sectors and thus the risk is reduced. Diversification reduces the risk because all stocks may not move in the same direction in the same proportion at the same time. Mutual fund issues units to the investors in accordance with quantum of money invested by them. Investors of mutual funds are known as unit holders. The profits or losses are shared by the investors in proportion to their investments. The mutual funds normally come out with a number of schemes with different investment objectives which are launched from time to time. In India, A mutual fund is required to be registered with Securities and Exchange Board of India (SEBI) which regulates securities markets before it can collect funds from the public. In Short, a mutual fund is a common pool of money in to which investors with common investment objective place their contributions that are to be invested in accordance with the stated investment objective of the scheme. The investment manager would invest the money collected from the investor in to assets that are defined/ permitted by the stated objective of the scheme. For example, an equity fund would invest equity and equity related instruments and a debt fund would invest in bonds, debentures, gilts etc. Mutual Fund is a suitable investment for the common man as it offers an opportunity to invest in a diversified, professionally managed basket of securities at a relatively low cost. 3.3 THE CONCEPT OF A MUTUAL FUND:A mutual fund is a common pool of money into which investors place their contributions that are to be invested in accordance with a stated objective. The ownership of the fund is thus joint or mutual; the fund belongs to all investors. A single investors ownership of the fund is in the same proportion as the amount of the contribution made by him or her bears to the6 total amount of the fund. A mutual fund uses the money collected from investors to buy those assets which are specifically permitted by its stated investment objective. Thus, an equity fund would buy mainly equity assets-ordinary shares, preference shares, warrants etc. a bond fund would
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mainly buy debt instruments such as debentures, bonds, or government securities. It is these assets which are owned by the investors in the same proportion as their contribution bears to the total contribution of all investors put together. When investors subscribes to a mutual fund, he or she buys a part of the assets or the pool of funds that are outstanding at that time. It is no different from buying shares of a joint stock company, in which case the purchase makes the investors a part owner of the company and its assets. In fact, in the U.S.A., a mutual fund is constituted as an investor buys into the fund, meaning he buys the shares of the fund. In India, a mutual fund is constituted as a trust and the investor subscribes to the units issued by the fund, which is where the term Unit Trust comes from. However, whether the investors get fund shares or units is only a matter of legal distinction. In any case, a mutual fund shareholder or unitholder is a part owner of the funds assets. In this project, used the term unit-holder includes the mutual fund account-holder or close-end fund shareholder. A unit-holder in unit trust of India US-64scheme is the same as a UTI Master share-holder or investors in an Alliance or DSP Merrill Lynch or Prudential-ICICI or Tata or Templeton or SBI or any other fund managers open-end or close-end scheme. Since each owner is a part owner of a mutual fund, it is necessary to establish the value of his part. In other words, each share or unit that investors hold needs to be assigned a value. Since the units held by-an investors evidence the ownership of the funds assets the value of the total assets of the fund when divided by the total number of units issued by the mutual fund gives us the value of one unit. This is generally called the Net Asset Value (NAV) of one unit or share. The value of an investors part ownership is thus determined by NAV of the number of units held number of units held

3.4 HISTORY OF INDIAN MUTUAL FUND INDUSTRY:-

The mutual fund industry in India started in 1963 with the formation of Unit Trust of India, at the initiative of the Government of India and Reserve Bank the. The history of mutual funds in India can be broadly divided into four distinct phases.

3.4.a First Phase 1964-87

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Unit Trust of India (UTI) was established on 1963 by an Act of Parliament. It was set up by the Reserve Bank of India and functioned under the Regulatory and administrative control of the Reserve Bank of India. In 1978 UTI was de-linked from the RBI and the Industrial Development Bank of India (IDBI) took over the regulatory and administrative control in place of RBI. The first scheme launched by UTI was Unit Scheme 1964. At the end of 1988 UTI had Rs.6, 700 crores of assets under management.

3.4 b Second Phase 1987-1993 (Entry of Public Sector Funds):-

1987 marked the entry of non- UTI, public sector mutual funds set up by public sector banks and Life Insurance Corporation of India (LIC) and General Insurance Corporation of India (GIC). SBI Mutual Fund was the first non- UTI Mutual Fund established in June 1987 followed by Can bank Mutual Fund (Dec 87), Punjab National Bank Mutual Fund (Aug 89), Indian Bank Mutual Fund (Nov 89), Bank of India (Jun 90), Bank of Baroda Mutual Fund (Oct 92). LIC established its mutual fund in June 1989 while GIC had set up its mutual fund in December 1990. At the end of 1993, the mutual fund industry had assets under management of Rs.47,004 crores.

3.4.c Third Phase 1993-2003 (Entry of Private Sector Funds):-

With the entry of private sector funds in 1993, a new era started in the Indian mutual fund industry, giving the Indian investors a wider choice of fund families. Also, 1993 was the year in which the first Mutual Fund Regulations came into being, under which all mutual funds, except UTI were to be registered and governed. The erstwhile Kothari Pioneer (now merged with Franklin Templeton) was the first private sector mutual fund registered in July 1993.

The 1993 SEBI (Mutual Fund) Regulations were substituted by a more comprehensive and revised Mutual Fund Regulations in 1996. The industry now functions under the SEBI (Mutual Fund) Regulations 1996.The number of mutual fund houses went on increasing, with many foreign mutual funds setting up funds in India and also the industry has witnessed
15

several mergers and acquisitions. As at the end of January 2003, there were 33 mutual funds with total assets of Rs. 1, 21,805 crores. The Unit Trust of India with Rs.44, 541 crores of assets under management was way ahead of other mutual funds. 3.4.c Fourth Phase since February 2003:-

In February 2003, following the repeal of the Unit Trust of India Act 1963 UTI was bifurcated into two separate entities. First is the Specified Undertaking of the Unit Trust of India with assets under management of Rs.29, 835 crores as at the end of January 2003, representing broadly, the assets of US 64 scheme, assured return and certain other schemes. The Specified Undertaking of Unit Trust of India, functioning under an administrator and under the rules framed by Government of India and does not come under the purview of the Mutual Fund Regulations. The second is the UTI Mutual Fund Ltd., sponsored by SBI, PNB, BOB and LIC. It is registered with SEBI and functions under the Mutual Fund Regulations. With the bifurcation of the erstwhile UTI which had in March 2000 more than Rs.76, 000 crores of assets under management and with the setting up of a UTI Mutual Fund, conforming to the SEBI Mutual Fund Regulations, and with recent mergers taking place among different private sector funds, the mutual fund industry has entered its current phase of consolidation and growth.

As at the end of September, 2004, there were 29 funds, which manage assets of Rs.153108 crores under 421 schemes.

3.5 TYPES OF MUTUAL FUNDS:-

A mutual fund may float several schemes which may be classified on the basis of its structure, its investment objectives and other objectives.

A. Mutual fund schemes by structure:-

1. Open ended schemes:-

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Open ended fund scheme is open for subscription all through year. An investor can buy or sell the units at NAV(net asset value)related price at any time.

2. Close-Ended funds:-

A close-ended fund is open for subscription only during specified period, generally at the time of initial public issue. The close ended fund scheme is listed on the some stock exchange where an investor can buy or sell the units of this type of scheme.

Interval fund:-

Interval funds combine both the features of open-ended fund and close-ended funds.

B. Mutual Fund schemes by investment objectives:-

1. GROWTH FUNDS:-

The objective of growth fund scheme is to provide capital appreciation over the medium to long term. This type of scheme is an ideal scheme for the investors seeking capital appreciation for long period.

2. INCOME FUNDS:-

The income fund schemes objective is to provide regular and steady income to investors.

3. BALANCED FUNDS:-

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The objective of balanced fund schemes is to provide both growth and regular income to investors. 4. MONEY MARKET FUNDS:The objective of money market funds is to provide easy liquidity, regular income and preservation of income.

C. GEOGRAPHICAL CLASSIFICATION:

1. DOMESTIC FUNDS:-

Funds which mobilize resources from a particular geographical locality like a country or a region are domestic funds. The market is limited and confined to the boundaries of a nation in which the fund operates. They can invest only in the securities, which are issued and traded in the domestic financial market.

2. OFFSHORE FUNDS:-

Offshore funds attract foreign capital for investment in the country of the issuing Company. They facilities cross-border fund flow which leads to an increase in foreign currency and foreign exchange reserves. Such mutual funds can invest in securities of foreign companies. They open domestic capital market to international investors. Many mutual funds in India have launched a number of offshore funds, either independently or jointly with foreign investment management companies. The first offshore fund, the India fund, was launched by unit trust of India in July 1986 in collaboration with the US fund manager, Merril Lynch.

D. OTHER FUNDS:
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1. TAX SAVING SCHEMES:-

The objective of Tax Saving Schemes is to offer tax rebates to the investors under specific provisions of the Indian Income Tax Laws. Investment made under some schemes is allowed as deduction u/s 88 of the Income Tax Act.

2. INDUSTRY SPECIFIC SCHEMES: Industry specific schemes invest only in the industries specific in the offer document of the schemes.

3. SECTORAL SCHEMES:The schemes invest particularly in specific industries or initial public offering.

4. INDEX SCHEMES:Such schemes link with the performance of BSE sensex or NSE.

5.

LOAD FUNDS:A loan fund charges a commission each time when you buy or sale units in the fund.

6.

NO-LOAD FUNDS: A No-Loan fund does not charge a commission on purchase or sale of the unit in the fund.

7.

EQUITY-LINKED SAVING SCHEME(ELSS):19

In order to encourage investor to invest in equity market, the government has given tax-concessions through special schemes. Investment in these schemes entitles the investor to claim an income tax rebate, but these schemes carry a lock in period before the end of which funds cannot be withdrawn.

3.5 ADVANTAGES OF MUTUAL FUNDS:-

If mutual funds are emerging as the favorite investment vehicle, it is because of the many advantages they have over other forms and avenues of investing, particularly for the investor who has limited resources available in terms of capital and ability to carry out detailed research and market monitoring. The following are the major advantages offered by mutual funds to all investors.

1) Portfolio Diversification:-

Mutual funds normally invest in a well-diversification portfolio or securities. Each investor in a fund is a part owner of all of the funds assets. This enables him to hold a diversified investment portfolio even with a small amount of investment that would otherwise require big capital.

2) Professional Management :-

Even if an investor has a big amount of capital available to him, he benefits from the professional management skills brought in by the management of the investors portfolio. The investment management skills, along with the needed research into
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available investment option, ensure a much better return than what n investor can manage on his own. Few investors have the skills and resources of there own to succeed in todays fast-moving, global and sophisticated markets.

3) Reduction/Diversification Of Risk :-

An investor in a mutual fund acquires a diversified portfolio, no matter how small his investment. Diversification reduces the risk of loss, as compared to investing directly in one or two share or debentures or other investments. When an investor invests directly, all the risk of potential loss is his own. A fund investor also reduces his risk in another way. While investing in the pool of funds with other investors, any loss on one-two securities is also shared with other investor. This risk reduction is one of the most important benefits of a collective investment vehicle like the mutual fund.

4) Reduction Of Transaction Costs :-

What is true of risk is also true of the transaction costs. A direct investor bears all the costs of investing such as brokerage or custody of securities. When going through a fund, he has the benefits of economies of scale: the fund pays lesser costs because of larger volumes, a benefit passed on to its investors.

5) Liquidity:-

Often, investors hold shares or bonds they cannot directly, easily and quickly sell. Investment in a mutual fund, on the other hand, is more liquid. An investor can liquidate the investment, by selling the units to the fund if open-end, or selling them in the market if the fund is close-end and collect funds at the end of a period specified
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by the mutual fund or the stock market.

6) Convenience And Flexibility:-

Mutual fund management companies offer many investor services that a direct market investor cannot get. Investors can easily transfer their holding from one scheme to the other, get updated market information, and so on.

3.6 DISADVANTAGES OF MUTUAL FUNDS:-

While the benefits of investing through mutual funds far outweigh the disadvantages, an investors and his advisor will do well to be aware few shortcomings of using the mutual funds as investment vehicles.

1. No Control Over Costs:-

An investor in a mutual fund has no control over the overall cost of investing. He pays investment management fees as long as he remains with the fund, albeit in return for the professional management and research. Fees are usually payable as a percentage of the value of his investment, whether the fund value is rising or declining. A mutual fund investor also pays fund distribution costs, which he would not incur in direct investing. However, this shortcoming only means that there is a cost to obtain the benefits of mutual fund services. However, this cost is often less then the cost of direct investing by the investors.

2. No Tailor-Made Portfolios:-

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Investors who invest on their own can build their own portfolios of shares, bonds and other securities. Investing through funds means he delegates this decision to the fund managers. The very high-net-worth individuals or large corporate investors may find this to be a constraint in achieving their objectives their objectives. However, most mutual fund help investors overcome this constraint by offering families of schemesa large number of different schemes- within the same fund. An investor can choose from different investment plans and construct a portfolio of his choice.

3. Managing A Portfolio of Funds:-

Availability of a large number of funds can actually mean too much choice for the investor. He may again need advice on how to select a fund to achieve his objectives, quite similar to the situation when he has to select individual shares or bonds to invest in.

4. Risk Factors:-

Mutual fund and securities investments are subject to market risk and there is no assurance or guarantee that the objective of the schemes will be achieved. As with any security investment, he Net Asset Value (NAV) of the units issued under the schemes can go up or down depending on the factors affecting the capital market. Past performance of the sponsors, the Asset Management Company/ Fund does not indicate the future performance of the fund.

5. Net Asset Value (NAV):-

It is the common practice for the mutual fund to compute the share of each investor on
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the basis of the value of net asset per share/unit, commonly known as the Net Asset Value. It is the market value of the assets minus the liabilities on the day of valuation. In other words it is the amount which the shareholder will collectively get if the fund is dissolved or liquidation. NAV= {Market price of securities + other assets Total liabilities}/Units outstanding at the NAV date. NAV={Net asset of the scheme + Number of units outstanding, Market value of investment + Receivables + Other accrued income + other assets Accrued expensesother payable liabilities}/Number of units outstanding at the date of NAV.

3.7 PROFILE OF MUTUAL FUNDS:-

Mutual funds now represent perhaps the most appropriate investment opportunity for the most investors. As financial markets become more sophisticated and complex, investors need a financial intermediary who provides the required knowledge and professional expertise on successful investing. It is no wonder then that in the birthplace of mutual fund-the U.S.A. - the fund industry has already overtaken the banking industry, more funds being under mutual fund management than deposited with banks. The Indian mutual fund industry has already started opening up many of the exciting investment opportunities to Indian investors. We have started witnessing the phenomenon of more saving now being entrusted to the funds than to the banks. Despite the expected continuing growth in the industry, mutual funds are still a new financial intermediary in India. Hence, it is important that the investors, the mutual fund agents/distributors the investment advisors and even fund employees acquire better knowledge of what mutual funds are, what they can do for investors and what
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they cannot, and how they function differently from other intermediaries such as the banks.

3.8 PLACE OF MUTUAL FUND IN FINANCIAL MARKETS:Indian household started allocating more of their saving to the capital markets in 1980s, with investments flowing into equity and debt instruments, besides the conventional mode of bank deposits. Until1992 primary market investors were effectively assured good return as the issue price of new equity issue was controlled and low. After introduction of free pricing of shares, new issue prices were higher and with greater volatility in the stock markets, many investors who bought highly priced shares lost money, and withdraw money from the market altogether. Even those investors, who continued as direct investors in stock markets, realized that the key to successful investing in the capital markets lay in building a diversified portfolio, which in turn required substantial capital. Besides, selecting securities with growth and income potential from the capital market involved careful research and monitoring of the market, which was not possible for all investors. Under similar circumstances in other countries, mutual funds had emerged as professional intermediaries. Besides providing the expertise in stock market investing these fund allow investing in small amounts and yet holding a diversified portfolio to limit risk, while providing the potential for income and growth that is associated with the debt and equity instruments. In India, Unit Trust of India occupied this place as the only capital markets intermediary from 1964 until late 1987, when the government started allowing other sponsors also to set up mutual funds. With some ups and downs, this new class of intermediary institution has emerged, in India as elsewhere, as a good alternative to direct investing in capital markets. Mutual fund serves as a link between the saving public and the capital market, as they
25

mobilize savings from investor and bring them to borrowers in the capital markets. By the very nature of their activities, and by virtue of being knowledgeable and informed investors, they influence the stock markets and play an active role in promoting good corporate governance, investor protection and the health of capital market. Mutual fund have imparted much needed liquidity into the financial system and challenged the hitherto dominant role of banking and financial institution in the capital markets.

3.9 SBI MUTUAL FUND :-

SBI Mutual Fund was setup on june 29th , 1987 and incorporated on feb 7th 1992. It is a result of joint venture between State Bank of India and societe Generale Asset Management of France. This is a bank sponsored mutual fund and has a base of 3.5 million investors(approx). They offer mutual fund products in equity fund, Index funds, Balance funds, Debt funds etc.

3.9.a PRODUCTS:-

At SBI mutual funds we know that every investor every Investor has unique financial goals and requires a different set of products. Which is why, we have a wide range of schemes that fulfil every kind of investors requirements. Each scheme is managed by devising a different strategy which is reflective of the investors profile and carries with it different risk and rewards. There are six basic asset classes, which we manage and variations of these six asset

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classes from various products. 1. Equity schemes 2. Hybrid schemes 3. Debt schemes 4. Fixed schemes 5. Liquid schemes 6. Exchange Traded funds

1. Equity schemes:The primary objective of the equity asset class is to provide capital growth/appreciation by investing in the equity and equity related instruments of companies over medium to long term. Equity Fund: Magnum multicap fund Magnum equity fund SBI Blue chip fund

Market Neutral strategy: SBI Arbitrage opportunities fund

EQUITY FUND:Magnum multicap fund It is invest in a diversified basket of equity and equity related instrument.

BENEFIT

27

Diversified equity fund which invests in equity related companies. The fund will invest 50-90 percent in large cap, 10- 40 percent in madcap and 0-10 percent in small caps.

Magnum equity fund The scheme seeks capital appreciation through investment in diversified portfolio of equity of high growth companies, along with liquidity of an open ended scheme. It is invested for the long term capital appreciation. . SBI Blue chip fund It is invests in stocks of blue chip companies i.e in stocks of companies with market capitalization is equal to or more than the least market capitalized stock of BSE 100 Index. This company are large business, good reputation. It is generally invests in large reputed Indian companies.

MARKET NEUTRAL STRATEGY:SBI Arbitrage opportunities fund The fund adopts a market neutral trading strategy. Arbitrage opportunities arie due to market inefficiencies.

BENEFIT The scheme would size arbitrage opportunities by buying stock in the sport market of NSE or BSE.

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2. Hybrid schemes:These schemes invest in a mixture of debt and equity securities in different proportions as prescribed in the schemes information document. Magnum monthly income plan- Growth Magnum Balance Fund- Growth

Magnum Monthly income plan- Growth Magnum Monthly Income Plan (MMIP) invests in government securities, corporate debt and money market instruments as well as a small portion in equity. The equity portion is invested across market stocks.

BENEFIT Magnum Monthly Income Plan (MMIP) fits in nicely between a bond fund and a balanced fund. Magnum Monthly Income Plan (MMIP) has the advantage of choosing among sovereign, corporate and money market instruments while the flexibility to invest upto 15% of the portfolio in equity.

Magnum Balance Fund- Growth This Fund invests in a mix of equity and debt investments. It provides a good investment opportunity to investors who do not wish to be completely exposed to equity markets, but are looking for relatively higher returns than those provided by debt funds.

BENEFIT Magnum Balanced Fund invests in a equities across market capitalisation/ money market
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instruments.

3.9 DSP BLACK ROCK MUTUAL FUND:DSP BlackRock Mutual Fund does not accept mutual fund subscriptions with Third Party Payments. We advise investors to issue subscription payments only from the bank account of the first unit holder or submit additional documents as enumerated in specific situations. Any application accompanied with third party payment is liable for rejection without any recourse to the applicant or investor. 3.9.a PRODUCTS: Equity schemes Hybrid schemes Fixed Income schemes Fund of fund schemes

EQUITY SCHEMES Micro cap fund An Open equity growth scheme that seeks to generate long-term capital appreciation from a portfolio that is substantially constituted of equity and equity related securities, which are not part of the top 300 companies by market capitalization. From time to time, the Investment Manage will also seek participation in other equity and equity related securities to achieve optimal portfolio construction. This shall be the fundamental attribute of the Scheme.

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Top 100 Equity Fund An Open Ended growth Scheme, seeking to generate capital appreciation, from a portfolio that is substantially constituted of equity securities and equity related securities of the 100 largest corporate, by market capitalization, listed in India.

HYBRID SCHEMES Saving Managed Fund An Open Ended income Scheme, seeking to generate income, consistent with prudent risk, from a portfolio which is substantially constituted of quality debt securities. The scheme will also seek to generate capital appreciation by investing a smaller portion of its corpus in equity and equity related securities of issues domiciled in India.

Balance Funds An Open Ended balanced Scheme, seeking to generate long term capital appreciation and current income from a portfolio constituted of equity and equity related securities as well as fixed income securities (debt and money market securities).

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CHAPTER-4 Research Methodology

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RESEARCH METHODOLOGY
This chapter contains the objective, Research design, Review of Literature, Sampling technique, Sample size, Data collection methods, Statistical tools used, and Limitations.

4.1 RESEARCH OBJECTIVES To study the volality in equity and Hybrid mutual funds of SBI mutual funds & DSP Black Rock. To compare the NAV of during global meltdown and post global meltdown.

To analysis the volatility movement between equity mutual and Hybrid mutual funds during global meltdown & post global meltdown period.

4.2 RESEARCH DESIGN

A analytical research has been conducted. Because its tell us such trends. A good research design has the characterstics viz problem definition, specific method of data collection analysis.

4.3 SAMPLING TECHNIQUE

The annualized volatility is the standard deviation of the instrument's yearly logarithmic returns.

4.4 SAMPLE SIZE

For this study two mutual funds companies has been taken into consideration that is SBI Mutual fund and DSP Black Rock Mutual fund (Equity & Hybrid).

4.5 DATA COLLECTION METHODS

33

Data used in this study is of secondary in nature. NAV is taken as a source of information which widely describes volatility of SBI Mutual Fund and DSP Black Rock Mutual Fund (Equity &Hybrid).

4.6 STATISTICAL TOOLS USED

Volatility on the basis of =

4.7 LIMITATIONS

By the highest NAV we cant calculate proper volatility in mutual fund. Manager investing no more than 20 percent of the fund assets in foreign securities.

34

CHAPTER-5 Analysis & Interpretation

35

In this volatility analysis, I have taken data of highest NAV for the period of 4 years From aug-07 to july-11. After taking into consideration data of mutual fund. I analysis highest NAV between SBI & DSP Black Rock mutual fund through graphical presentation and also did analysis of fluctuations in SBI & DSP Black Rock mutual fund monthly. Table.5.1. Nov-07 to Jul-09

GLOBAL MELTDOWN VOLATILITY EQUITY

SBI- Arbitrage opportunities fund
SN Months Highest NAV of SBI VOLATILITY SBI-EQUITY Arbitrage opportunities fund GMELTDOWN 1 2 3 4 5 6 7 8 9 10 Nov-07 Dec-07 Jan-08 Feb-08 Mar-08 Apr-08 May08 Jun-08 Jul-08 Aug-08 10.964 10.9861 11.0453 11.39912969 0.994756537 0.99630216 11.0452 11.117 11.295 11.3527 11.382 10.8221 10.8795 0.681255082 0.589954018 2.096626851 2.033618185 2.4487825 10.86462155 10.88545712 Nov-07 Dec-07 Jan-08 Feb-08 Mar-08 Apr-08 May08 Jun-08 Jul-08 Aug-08 9.906 9.081 9.582 23.50211523 22.64467943 31.92981588 13.2209 15.053 16.597 13.084 11.246 11.098 11.167 7.564317882 11.7770549 11.75760194 70.52862501 60.33753334 39.24087635 29.76176396

DSP BLACK ROCK -Micro cap Fund

Months Highest NAV of DSP Blackrock VOLATILITY DSP BLACK ROCK Micro cap Fund GMELTDOWN

36

11 12 13 14 15 16 17 18 19 20 21

Sep-08 Oct-08 Nov-08 Dec-08 Jan-09 Feb-09 Mar-09 Apr-09 May09 Jun-09 Jul-09

11.1334 11.2272 11.2915 11.3909 11.457 11.4873 11.5141 10.862 10.8909 10.9482 10.9785

1.030302993 0.563905828 0.497290785 0.576934762 0.603359992 1.060731226 0.662266452 12.15764902 12.15925536 12.45892344 0.507744849

Sep-08 Oct-08 Nov-08 Dec-08 Jan-09 Feb-09 Mar-09 Apr-09 May09 Jun-09 Jul-09

9.322 7.782 5.942 5.517 5.408 5 4.665 5.954 7.987 8.822 8.847

24.45975733 41.20715321 42.44342335 33.91468457 45.51754396 11.29809715 10.90248683 63.59373455 68.18997932 34.96564453 51.32789679

37

5.1.a.

CHART -1 Analysis of Highest NAV between S.B.I & DSP BLACK ROCK MUTUAL FUND during Global Meltdown Period (nov 2007-july2009)
18 16 14 12 10 8 6 4

2
0 Nov-07 Dec-07 Jan-08 Feb-08 Mar-08 Apr-08 May-08 Jun-08 Jul-08 Aug-08 Sep-08 Oct-08 Nov-08 Dec-08 Jan-09 Feb-09 Mar-09 Apr-09 May-09 Jun-09 Jul-09 Highest NAV of SBI No De Fe Ma Ap Ma Au Se No De Fe Ma Ap Ma Jan Jun JulOct Jan Jun Julv- cb- r- r- yg- pv- cb- r- r- y-08 -08 08 -08 -09 -09 09 07 07 08 08 08 08 08 08 08 08 09 09 09 09 11 11.1 11.4 10.8 11.3 11.4 10.9 11 11 11 11.1 11.3 11.5 11.5 10.9 11.2 11.4 11.5 10.9 10.9 11 Highest NAV of DSP Blackrock 13.2 16.6 11.2 11.2 9.08 9.32 5.94 5.41 5 4.66 7.99 8.85 15.1 13.1 11.1 9.91 9.58 7.78 5.52 5.95 8.82

INTERPRETATIONS:-

At the time of global meltdown period the performance of SBI mutual fund is better than DSP Black Rock mutual fund (Equity fund). Because in nov 07 the NAV of DSP Black Rock mutual fund was 13.2 and in the next month they suddenly up to 15.05 and then 16.5 but after three months the NAV of DSP is down continue. NAV of SBI mutual fund was same for five months after that they down in April08 and again they up.

38

5.1.b

Chart 2 Analysis of S.B.I Highest NAV & volatility during Global Meltdown Period (nov 2007-july 2009)
14 12 10 8 6 4 2 0 Nov-07 Dec-07 Jan-08 Feb-08 Mar-08 Apr-08 May-08 Jun-08 Jul-08 Aug-08 Sep-08 Oct-08 Nov-08 Dec-08 Jan-09 Feb-09 Mar-09 Apr-09 May-09 Jun-09 Jul-09 Highest NAV of SBI No De Fe Ma Ap Ma Au Se Oc No De Fe Ma Ap Ma Jan Jun Jul Jan Jun Jul v- cb- r- r- yg- p- t- v- cb- r- r- y-08 -08 -08 -09 -09 -09 07 07 08 08 08 08 08 08 08 08 08 09 09 09 09 11 11.1 11.4 10.8 11 11 11 11.1 11.3 11.5 11.5 10.9 11 11.3 11.4 10.9 11.2 11.4 11.5 10.9 10.9 SBI- Arbitrage opportunitis 0.68 2.12.03 10.9 11.4 0.59 2.45 10.9 0.99 1 1.03 0.50.580.61.06 12.2 12.5 0.56 0.66 12.2 0.51 fund

INTERPRETATIONS:At the time of global meltdown period (nov-07 to jul-09) the NAV of SBI Mutual fund is not better. And these graphs represent the volatility of SBI- Arbitrage opportunities-Dividend fund. In Nov 07 the volatility of that fund was 0.6 and in the next month o.5 and after they continues up to then after they reverse down. And continues down in July 08 to march 09. Then after mar 09 they up to 12.1. So in this graph the volatility is more fluctuated and also this fund is more risky.

39

5.1.c.

Chart 3 Analysis of D.S.P BLACK ROCK Highest NAV & volatility during Global Meltdown Period (nov 2007-july2009)
80 70 60 Axis Title 50 40 30 20 10 0 Nov-07 Dec-07 Jan-08 Feb-08 Mar-08 Apr-08 May-08 Jun-08 Jul-08 Aug-08 Sep-08 Oct-08 Nov-08 Dec-08 Jan-09 Feb-09 Mar-09 Apr-09 May-09 Jun-09 Jul-09 No De Fe Ma Ap Ma Ju Au Se Oc No De Fe Ma Ap Ma Ju Jan Jul Jan Jul v- cb- r- r- y- ng- p- t- v- cb- r- r- y- n-08 -08 -09 -09 07 07 08 08 08 08 08 08 08 08 08 08 09 09 09 09 09 Highest NAV of DSP Blackrock 13.2 16.6 11.2 11.2 9.08 9.32 5.94 5.41 5 4.66 7.99 8.85 15.1 13.1 11.1 9.91 9.58 7.78 5.52 5.95 8.82

DSP BLACK ROCKMicro cap Fund

7.56 11.8 60.3 29.8 22.6 24.5 42.4 45.5 10.9 68.23551.3 11.8 70.5 39.2 23.5 31.9 41.2 33.9 11.3 63.6

INTERPRETATIONS:At the time of global meltdown period (nov-07 to jul-09) the NAV of DSP Black Rock mutual fund was not better condition. And these graphs represent the volatility of DSP Black Rock Micro cap fund. In Nov 07 there volatility was 7.5 and in next month 11.2, 11.3. After Jan 08 they up to 70.2. And after they suddenly down.

40

5.1.d

Chart 4 Comparative analysis between volatility of S.B.I & D.S.P BLACK ROCK EQUITY MUTUAL FUND during Global Meltdown Period (nov 2007-july2009)
90.000 80.000 70.000 60.000 50.000 40.000 30.000 20.000 10.000 0.000 Nov-07 Dec-07 Jan-08 Feb-08 Mar-08 Apr-08 May-08 Jun-08 Jul-08 Aug-08 Sep-08 Oct-08 Nov-08 Dec-08 Jan-09 Feb-09 Mar-09 Apr-09 May-09 Jun-09 Jul-09 No De Fe Ma Ap Ma Ju Au Se Oc No De Fe Ma Ap Ma Ju Jan Jul Jan Jul v- cb- r- r- y- ng- p- t- v- cb- r- r- y- n-08 -08 -09 -09 07 07 08 08 08 08 08 08 08 08 08 08 09 09 09 09 09 VOLATILITY DSP BLACK ROCK 7.56 11.7 60.3 29.7 22.6 24.4 42.4 45.5 10.9 68.1 51.3 11.7 70.5 39.2 23.5 31.9 41.2 33.9 11.2 63.5 34.9 Micro cap Fund VOLATILITY SBI- Arbitrage opportunitis fund 0.68 2.09 2.44 10.8 0.99 1.03 0.49 0.60 0.66 12.1 0.50 0.59 2.03 10.8 11.3 0.99 0.56 0.57 1.06 12.1 12.4 VOLATILY

INTERPRETATIONS:At the time of global meltdown period (nov-07 to jul-09) the DSP Black Rock- micro cap fund are not better than SBI-Arbitrage opportunities fund. Because in this period the micro cap fund was more risky and more return concept follow but SBI-Arbitrage opportunities fund was not follow. These fund are safe.

41

Table.5.2. Nov-09 to jul-11

POST GLOBAL MELTDOWN VOLATILITY EQUITY

SBI- Arbitrage opportunities fund
SN Months Highest NAV of SBI VOLATILITY SBI-EQUITY Arbitrage opportunities fund GMELTDOWN 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 Nov-09 Dec-09 Jan-10 Feb-10 Mar-10 Apr-10 May10 Jun-10 Jul-10 Aug-10 Sep-10 Oct-10 Nov-10 Dec-10 Jan-11 Feb-11 Mar-11 Apr-11 May11 Jun-11 Jul-11 10.974 10.9944 10.9469 10.9655 10.9912 11.0318 11.0619 11.0007 11.0511 11.1335 11.1845 11.2512 11.3634 11.4125 11.4943 11.5721 11.6201 11.7233 11.8101 11.872 11.9985 0.02316755 0.00790628 0.01189086 0.01221749 0.01274692 0.00351666 0.00240219 0.01758671 0.01866750 0.02361979 0.00571585 0.00495188 0.00962897 0.00999739 0.00971917 0.00530917 0.00565096 0.00816116 0.00833577 0.00629753 0.00936515 Nov-09 Dec-09 Jan-10 Feb-10 Mar-10 Apr-08 May10 Jun-10 Jul-10 Aug-10 Sep-10 Oct-10 Nov-10 Dec-10 Jan-11 Feb-11 Mar-11 Apr-11 May11 Jun-11 Jul-11 11.087 11.549 12.813 12.333 13.466 14.764 14.678 15.504 16.507 17.253 17.9 18.463 18.714 17.509 17.264 14.92 14.76 15.964 15.534 15.42 16.329 0.172577061 0.078593715 0.185020149 0.246543757 0.269537633 0.256376585 0.191730986 0.171104433 0.129848776 0.032122999 0.046165135 0.022972768 0.042014991 0.180142922 0.140880707 0.229913775 0.267029772 0.391268226 0.197007349 0.194590757 0.153169653

DSP BLACK ROCK -Micro cap Fund

Months Highest NAV of DSP Blackrock VOLATILITY DSP BLACK ROCK Micro cap Fund GMELTDOWN

42

5.2.a.

CHART -5 Analysis of Highest NAV between S.B.I & DSP BLACK ROCK MUTUAL FUND during POST Global Meltdown Period (nov 2009-july2011)
20 18 16 14 12 10 8 6 4 2 0

HIGEEST NAV

Highest NAV of SBI

No De Fe Ma Ap Ma Au Se Oc No De Fe Ma Ap Ma Jan Jun Jul Jan Jun Jul v- cb- r- r- yg- p- t- v- cb- r- r- y-10 -10 -10 -11 -11 -11 09 09 10 10 10 10 10 10 10 10 10 11 11 11 11 11 1110.911 11 1111.111 11.1 11.2 11.4 11.5 11.6 11.8 12 11.1 11.3 11.4 11.6 11.7 11.9

Highest NAV of DSP Blackrock 11.1 12.8 13.5 14.7 16.5 17.9 18.7 17.3 14.816 15.5 16.3 11.5 12.3 14.8 15.5 17.3 18.5 17.5 14.9 15.4

INTERPRETATIONS:At the time of post global meltdown period (nov-09 to jul-11) the performance of SBI Equity mutual fund was better than DSP Black Rock. Because the SBI highest NAV was appxo. Same in every year like nov-09 11.87 and 11.54 and so on. But the NAV of DSP is fluctuated in every year.

Nov-09 Dec-09 Jan-10 Feb-10 Mar-10 Apr-10 May-10 Jun-10 Jul-10 Aug-10 Sep-10 Oct-10 Nov-10 Dec-10 Jan-11 Feb-11 Mar-11 Apr-11 May-11 Jun-11 Jul-11

43

5.2.b

Chart 6 Analysis of S.B.I Highest NAV & volatility during Post Global Meltdown Period (nov 2009-july 2011)
14 12 10 Axis Title 8 6 4 2 0 Nov-09 Dec-09 Jan-10 Feb-10 Mar-10 Apr-10 May-10 Jun-10 Jul-10 Aug-10 Sep-10 Oct-10 Nov-10 Dec-10 Jan-11 Feb-11 Mar-11 Apr-11 May-11 Jun-11 Jul-11

Highest NAV of SBI

No De Fe Ma Ap Ma Au Se Oc No De Fe Ma Ap Ma Jan Jun JulJan Jun Julv- cb- r- r- yg- p- t- v- cb- r- r- y-10 -10 10 -11 -11 11 09 09 10 10 10 10 10 10 10 10 10 11 11 11 11 11 11 10.9 11 11 11 11.1 11 11.1 11.2 11.4 11.5 11.6 11.8 12 11.1 11.3 11.4 11.6 11.7 11.9

Volatility SBI- Arbitrage 0.02 0.01 0.01 0.00 0.01 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.01 0.00 0.01 0.02 0.00 0.00 0.00 0.00 0.00 opportunitis fund

INTERPRETATIONS:At the time of post global meltdown period (nov-09 to jul-11) the volatility of SBI-Arbitrage opportunities fund-Dividend are same in every months. Because in nov 07 the volatility was 0.02 and the next month they fluctuated 0.007 and then 0.011 and so on. So due to this resion these Equity fund performance is better condition.

44

5.2.c

Chart 7 Analysis of D.S.P BLACK ROCK Highest NAV & volatility during POST Global Meltdown Period (nov 2009-july2011)
20 18 16 14 Axis Title 12 10 8 6 4

2
0

No De Fe Ma Ap Ma Au Se Oc No De Fe Ma Ap Ma Jan Jun JulJan Jun Julv- cb- r- r- yg- p- t- v- cb- r- r- y-10 -10 10 -11 -11 11 09 09 10 10 10 10 10 10 10 10 10 11 11 11 11 Highest NAV of DSP Blackrock 11.1 12.8 13.5 14.7 16.5 17.9 18.7 17.3 14.8 16 15.5 16.3 11.5 12.3 14.8 15.5 17.3 18.5 17.5 14.9 15.4 Micro cap Fund 0.17 0.19 0.27 0.19 0.13 0.05 0.04 0.14 0.27 0.20.19 0.08 0.25 0.26 0.17 0.03 0.02 0.18 0.23 0.39 0.15

INTERPRETATIONS:At the time of post global meltdown period (nov-09 to jul-11) the performance of DSP Black Rock-Micro cap fund are better condition. Because in this Equity fund the volatility was not fluctuated. They moved around 0.1, 00, &0.1 and so on.

Nov-09 Dec-09 Jan-10 Feb-10 Mar-10 Apr-10 May-10 Jun-10 Jul-10 Aug-10 Sep-10 Oct-10 Nov-10 Dec-10 Jan-11 Feb-11 Mar-11 Apr-11 May-11 Jun-11 Jul-11

45

5.2.d

Chart 8 Comparative analysis between volatility of S.B.I & D.S.P BLACK ROCK EQUITY MUTUAL FUND during POST Global Meltdown Period (nov 2009-july2011)
0.45000000 0.40000000 0.35000000 0.30000000 Axis Title 0.25000000 0.20000000 0.15000000 0.10000000 0.05000000 0.00000000 Nov-09 Dec-09 Jan-10 Feb-10 Mar-10 Apr-10 May-10 Jun-10 Jul-10 Aug-10 Sep-10 Oct-10 Nov-10 Dec-10 Jan-11 Feb-11 Mar-11 Apr-11 May-11 Jun-11 Jul-11 No De Ja Fe M Ap M Ju Jul Au Se Oc No De Ja Fe M Ap M Ju Jul v- c- n- b- ar- r- ay- n- - g- p- t- v- c- n- b- ar- r- ay- n- 09 09 10 10 10 10 10 10 10 10 10 10 10 10 11 11 11 11 11 11 11 VOLATILITY DSP BLACK ROCK0.20.10.20.20.30.30.20.20.1 0 0 0 0 0.20.10.20.30.40.20.20.2 EQUITY Micro cap Fund Volatility SBI- EQUITY Arbitrage opportunitis fund 0.00.00.00.00.00.00.00.00.00.00.00.00.00.00.00.00.00.00.00.00.0

INTERPRETATIONS:At the time of post global meltdown period (nov-09 to jul-11). The performance of SBIEquity (Arbitrage opportunities fund) was better than DSP Black Rock Equity Micro cap fund. Because the volatility of DSP Black Rock Equity micro cap fund was 0.20 and in dec 09 they suddenly down in 0.1 and then up to 0.25. And during this period they move up and down.

46

5.2.e.

Chart 9 Comparative analysis between volatility of S.B.I & D.S.P BLACK ROCK EQUITY MUTUAL FUND during Global Meltdown Period (nov 2007-july2009)
80.000 70.000 VOLATILY 60.000

50.000
40.000 30.000 20.000 10.000 0.000 Nov-07 Dec-07 Jan-08 Feb-08 Mar-08 Apr-08 May-08 Jun-08 Jul-08 Aug-08 Sep-08 Oct-08 Nov-08 Dec-08 Jan-09 Feb-09 Mar-09 Apr-09 May-09 Jun-09 Jul-09 No De Fe Ma Ap Ma Ju Au Se Oc No De Fe Ma Ap Ma Ju Jan Jul Jan Jul v- cb- r- r- y- ng- p- t- v- cb- r- r- y- n-08 -08 -09 -09 07 07 08 08 08 08 08 08 08 08 08 08 09 09 09 09 09

VOLATILITY SBI- Arbitrage opportunitis fund

0.68 2.09 2.44 10.8 0.99 1.03 0.49 0.60 0.66 12.1 0.50 0.59 2.03 10.8 11.3 0.99 0.56 0.57 1.06 12.1 12.4

VOLATILITY DSP BLACK ROCK -Micro 7.56 11.7 60.3 29.7 22.6 24.4 42.4 45.5 10.9 68.1 51.3 11.7 70.5 39.2 23.5 31.9 41.2 33.9 11.2 63.5 34.9 cap Fund

INTERPRETATIONS:At the time of global meltdown period (nov-07 to jul-09) the performance of SBI Equity fund was better than DSP Black Rock. Because the volatility of DSP Black Rock- Micro cap fund are more fluctuated in every months.

47

5.2.f. Comparative analysis between volatility of SBI & DSP BlackRock Equity Mutual Fund during global meltdown (nov09-jul-11).

Chart 10 Comparative analysis between volatility of S.B.I & D.S.P BLACK ROCK EQUITY MUTUAL FUND during POST Global Meltdown Period (nov 2009-july2011)
0.45000000 0.40000000 0.35000000 0.30000000 Axis Title 0.25000000 0.20000000 0.15000000 0.10000000 0.05000000 0.00000000 Nov-09 Dec-09 Jan-10 Feb-10 Mar-10 Apr-10 May-10 Jun-10 Jul-10 Aug-10 Sep-10 Oct-10 Nov-10 Dec-10 Jan-11 Feb-11 Mar-11 Apr-11 May-11 Jun-11 Jul-11 No De Fe Ma Ap Ma Ju Au Se Oc No De Fe Ma Ap Ma Ju Jan Jul Jan Jul v- cb- r- r- y- ng- p- t- v- cb- r- r- y- n-10 -10 -11 -11 09 09 10 10 10 10 10 10 10 10 10 10 11 11 11 11 11 VOLATILITY DSP BLACK ROCK0.17 0.19 0.27 0.19 0.13 0.05 0.04 0.14 0.27 0.20.19 0.08 0.25 0.26 0.17 0.03 0.02 0.18 0.23 0.39 0.15 EQUITY Micro cap Fund Volatility SBI- EQUITY Arbitrage 0.02 0.01 0.01 0.00 0.01 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.01 0.00 0.01 0.02 0.00 0.00 0.00 0.00 0.00 opportunitis fund

INTERPRETATIONS:At the time of post global meltdown period (nov-09 to jul-11) the performance of SBIEquity Arbitrage opportunities fund are better than DSP Black Rock- Micro cap Equity fund. Because DSP Black Rock- Micro cap Equity fund was more fluctuated than SBI- Arbitrage opportunities fu

48

Table. 5.3. SBI & DSP Block Rock Equity mutual fund during Global meltdown &post Meltdown periods.

ANALYSIS OF VOLATILITY BETWEEN SBI & DSP BLACK ROCK EQUITY FUND DURING GLOBAL MELTDOWN & POST MELTDOWN PERIOD
volatility SBI- Arbitrage opportunities fund- global melt down 0.6813 0.5900 2.0966 2.0336 2.4488 10.8646 10.8855 11.3991 0.9948 0.9963 1.0303 0.5639 0.4973 Volatility SBIArbitrage opportunities fund post GLOBAL MELTDOWN 0.0232 0.0079 0.0119 0.0122 0.0127 0.0035 0.0024 0.0176 0.0187 0.0236 0.0057 0.0050 0.0096 7.5643 11.7771 11.7576 70.5286 60.3375 39.2409 29.7618 23.5021 22.6447 31.9298 24.4598 41.2072 42.4434 0.1726 0.0786 0.1850 0.2465 0.2695 0.2564 0.1917 0.1711 0.1298 0.0321 0.0462 0.0230 0.0420 volatility DSP BLACK ROCK Micro cap Fundglobal melt down VOLATILITY DSP BLACK ROCK Micro cap Fund POST GLOBAL MELTDOWN

49

0.5769 0.6034 1.0607 0.6623 12.1576 12.1593 12.4589 0.5077

0.0100 0.0097 0.0053 0.0057 0.0082 0.0083 0.0063 0.0094

33.9147 45.5175 11.2981 10.9025 63.5937 68.1900 34.9656 51.3279

0.1801 0.1409 0.2299 0.2670 0.3913 0.1970 0.1946 0.1532

50

5.3.a.

ANALYSIS OF VOLATILITY BETWEEN SBI & DSP BLACK ROCK EQUITY FUND DURING GLOBAL MELTDOWN & POST MELTDOWN PERIOD
100 10 Axis Title 1 0.1 0.01 0.001 volatility SBI- Arbitrage opportunitis fund- global melt down Volatility SBI- Arbitrage opportunitis fund post GLOBAL MELTDOWN 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 0.7 0.6 2.1 2 2.4 11 11 11 1 1 1 0.6 0.5 0.6 0.6 1.1 0.7 12 12 12 0.5

0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0

volatility DSP BLACK ROCK Micro cap 7.6 12 12 71 60 39 30 24 23 32 24 41 42 34 46 11 11 64 68 35 51 Fundglobal melt down VOLATILITY DSP BLACK ROCK Micro cap Fund 0.2 0.1 0.2 0.2 0.3 0.3 0.2 0.2 0.1 0 0 0 0 0.2 0.1 0.2 0.3 0.4 0.2 0.2 0.2 POST GLOBAL MELTDOWN

INTREPRETATIONS:At the time of global meltdown and post global meltdown period the performance of SBIArbitrage opportunities fund (Global meltdown) are better than the DSP Black Rock Micro cap fund in post global meltdown period.

51

Table.5.4. Nov2007-july2009

GLOBAL MELTDOWN VOLATILITY HYBRID

SBI- Magnum monthly income plan
SN Months Highest NAV of SBI VOLATILITY SBI-HYBRID Magnum monthly income plan fund GMELTDOWN 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 Nov-07 Dec-07 Jan-08 Feb-08 Mar-08 Apr-08 May08 Jun-08 Jul-08 Aug-08 Sep-08 Oct-08 Nov-08 Dec-08 Jan-09 Feb-09 Mar-09 Apr-09 May09 Jun-09 Jul-09 18.0873 18.2786 18.3838 18.0983 18.0197 18.2054 18.326 18.1248 17.8592 17.9559 17.8718 17.635 17.1822 18.62 18.028 17.014 16.8527 17.3602 17.6958 17.8781 18.2027 4.896816035 4.078909042 3.8714137 3.947091531 4.020163509 3.989732662 4.050455921 3.399957564 4.328977401 3.820726815 3.056402214 3.221263016 4.614598464 16.73907846 18.26212968 21.17410192 20.83291199 12.86731565 13.56811435 5.758864736 2.765258154 Nov-07 Dec-07 Jan-08 Feb-08 Mar-08 Apr-08 May08 Jun-08 Jul-08 Aug-08 Sep-08 Oct-08 Nov-08 Dec-08 Jan-09 Feb-09 Mar-09 Apr-09 May09 Jun-09 Jul-09 15.7024 15.6576 15.754 15.0251 14.8921 15.1573 15.3281 15.1895 15.1684 15.3786 15.362 15.3128 14.9479 15.1759 15.29 15.2274 15.4312 15.8052 16.7443 16.8926 17.2804 2.986669484 5.014188505 5.02231537 9.511104149 8.16632588 9.815862962 10.14402542 4.771122838 4.181321398 3.724986197 3.309352747 2.730993359 5.399809979 5.579565721 5.904989295 5.919329479 3.004727513 4.052028276 9.021555523 7.660119334 7.198233228

DSP BLACK ROCK Saving managed fund

Months Highest NAV of DSP Blackrock VOLATILITY DSP BLACK ROCK Saving managed fund GMELTDOWN

52

Table.5.4.a.

Chart -1 Analysis of Highest NAV between S.B.I & DSP BLACK ROCK MUTUAL FUND during Global Meltdown period (nov2007-july2009)
20 18 16

14
12 10 8 6 4 2

Highest NAV of SBI

No De Ma Ma Au No De Ma Ma Jan Feb Apr Jun JulSep Oct Jan Feb Apr Jun Julv- crygv- cry-08 -08 -08 -08 08 -08 -08 -09 -09 -09 -09 09 07 07 08 08 08 08 08 09 09 18.1 18.4 18.3 18.1 18 18.2 18.1 18.3 17.9 18 17.9 17.2 17.6 18.6 18 17 16.9 17.7 18.2 17.4 17.9

Highest NAV of DSP Blackrock 15.7 15.8 15 14.9 15.3 15.2 15.4 14.9 15.3 15.4 16.7 17.3 15.7 15.2 15.2 15.4 15.3 15.2 15.2 15.8 16.9

INTERPRETATIONS:-

At the time of global meltdown period the performance of SBI mutual fund is better than DSP Black Rock mutual fund (Hybrid fund). Because in nov 07 the NAV of DSP Black Rock mutual fund was 15.2 and in the next month they up to 15.05 and after feb-08 they suddenly down 14.2 then after they are continues same for seven months.

53

Table.5.4.b

Chart 2 Analysis of S.B.I Highest NAV & Volatility during Global Meltdown period (nov2007-july2009
25 20 15 10 5 0

Highest NAV of SBI

No De Ja Fe M Ap M Ju Jul Au Se Oc No De Ja v- c- n- b- ar- r- ay- n- - g- p- t- v- c- n07 07 08 08 08 08 08 08 08 08 08 08 08 08 09 18.1 18.4 1818.2 18.1 1817.9 17.2 18 18.3 18.1 18.3 17.9 17.6 18.6

Fe M Ap M Ju Jul b- ar- r- ay- n- 09 09 09 09 09 09 1716.9 17.7 18.2 17.4 17.9

VOLATILITY SBI-HYBRID Magnum monthly incom plan- 4.94.08 3.95 3.99 3.44.33 3.06 4.61 18.3 20.8 13.6 2.77 3.87 4.02 4.05 3.82 3.22 16.7 21.2 12.9 5.76 growth fund GMELTDOWN

INTERPRETATIONS:At the time of global meltdown period (nov-07 to jul-09) the NAV of SBI Mutual fund is not better. And these graphs represent the volatility of SBI-Hybrid Magnum monthly income plan-growth fund. In Nov 07 the volatility of that fund was 4.9 and in the next month 4.02 and after they are same up to nov-08. Then the volatility was suddenly up to 16.3. So in this graph the volatility is more fluctuated.

54

Table.5.4.c

Chart 3 Analysis of D.S.P BLACK ROCK Highest NAV & Volatility during Global Meltdown period (nov2007-july2009)
20 18 16 14 12 10 8 6 4 2 0

Axis Title

No De Fe Ma Ap Ma Au Se No De Fe Ma Ap Ma Jan Jun JulOct Jan Jun Julv- cb- r- r- yg- pv- cb- r- r- y-08 -08 08 -08 -09 -09 09 07 07 08 08 08 08 08 08 08 08 09 09 09 09 Highest NAV of DSP Blackrock 15.7 15.8 15 14.9 15.3 15.2 15.4 14.9 15.3 15.4 16.7 17.3 15.7 15.2 15.2 15.4 15.3 15.2 15.2 15.8 16.9 VOLATILITY DSP BLACK ROCKSaving managed Fund 2.99 5.02 8.17 10.1 4.18 3.31 5.45.585.95.92 3 4.05 7.667.2 5.01 9.51 9.82 4.77 3.72 2.73 9.02 GMELTDOWN

INTERPRETATIONS:At the time of global meltdown period (nov-07 to jul-09) the NAV of DSP Black Rock mutual fund was better condition. And these graphs represent the volatility of DSP Black Rock Saving managed fund. In Nov 07 there volatility was 2.9 and next two months they are same like 5.0 and 5.1 and then they fluctuated up and down.

55

Table.5.4.d

Chart 4 Comparative analysis between volatility of S.B.I & D.S.P HYBRID MUTUAL FUND during Global Meltdown period (nov2007-july2009)
25

20
Axis Title

15
10 5 0 Nov-07 Dec-07 Jan-08 Feb-08 Mar-08 Apr-08 May-08 Jun-08 Jul-08 Aug-08 Sep-08 Oct-08 Nov-08 Dec-08 Jan-09 Feb-09 Mar-09 Apr-09 May-09 Jun-09 Jul-09 No De Ja Fe M Ap M Ju Au Se Oc No De Ja Fe M Ap M Ju Jul Jul v- c- n- b- ar- r- ay- ng- p- t- v- c- n- b- ar- r- ay- n-08 -09 07 07 08 08 08 08 08 08 08 08 08 08 08 09 09 09 09 09 09

VOLATILITY SBI-HYBRID Magnum monthly incom plan- 4.94.08 3.95 3.99 3.44.33 3.06 4.61 18.3 20.8 13.6 2.77 3.87 4.02 4.05 3.82 3.22 16.7 21.2 12.9 5.76 growth fund GMELTDOWN
VOLATILITY DSP BLACK ROCKSaving managed Fund 2.99 5.02 8.17 10.1 4.18 3.31 5.45.585.95.92 3 4.05 7.667.2 5.01 9.51 9.82 4.77 3.72 2.73 9.02 GMELTDOWN

INTERPRETATIONS:At the time of global meltdown period (nov-07 to jul-09) the DSP Black Rock-Saving managed fund are better than SBI-Magnum monthly income plan-growth fund.

56

Table.5.5. Nov-09 to jul-11

POST GLOBAL MELTDOWN VOLATILITY HYBRID

SBI- Magnum monthly income plan
SN Months Highest NAV of SBI VOLATILITY SBI-HYBRID Magnum monthly income plan fund GMELTDOWN 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 Nov-09 Dec-09 Jan-10 Feb-10 Mar-10 Apr-10 May10 Jun-10 Jul-10 Aug-10 Sep-10 Oct-10 Nov-10 Dec-10 Jan-11 Feb-11 Mar-11 Apr-11 May11 Jun-11 Jul-11 18.6984 18.8496 18.9326 18.8617 19.1769 19.393 19.385 19.501 19.6251 19.8594 20.0843 20.1642 20.3136 20.2273 20.2251 19.8536 20.0457 20.3038 20.2079 20.3037 20.4832 2.038210306 0.749133826 0.751952375 2.093411478 3.543414293 3.64867269 3.007673919 2.015579518 1.315125685 1.144507296 1.049464629 1.522473575 1.263639436 2.072717425 2.043497327 3.349183752 4.955729988 5.975267402 3.235905002 3.03913719 2.405757904 Nov-09 Dec-09 Jan-10 Feb-10 Mar-10 Apr-10 May10 Jun-10 Jul-10 Aug-10 Sep-10 Oct-10 Nov-10 Dec-10 Jan-11 Feb-11 Mar-11 Apr-11 May11 Jun-11 Jul-11 18.0332 18.2836 18.447 18.1823 18.3521 18.4123 18.4771 18.5161 18.5422 18.4855 18.8404 19.0871 19.2723 19.24 19.2885 18.9535 19.1439 19.3574 19.2444 19.2985 19.5538 0.641952754 0.585247675 0.887191847 5.228492047 4.71040611 4.276741771 1.180992849 0.260404358 0.371281334 0.971814451 4.043621691 3.954479948 1.642915366 2.666037524 1.984966279 3.660942686 4.92863417 5.61591116 3.285030469 2.935258632 3.294616388

DSP BLACK ROCK Saving managed fund

Months Highest NAV of DSP Blackrock VOLATILITY DSP BLACK ROCK Saving managed fund GMELTDOWN

57

Table.5.5.a

Chart 5 Analisisy of Highest NAV between S.B.I & DSP BLACK ROCK MUTUAL FUND during post Global Meltdown period (nov2009-july2011)

21 20.5 20 19.5 19 18.5 18 17.5 17 16.5 Nov-09 Aug-10 Oct-10 Nov-10

Highest NAV

Sep-10

Feb-10

Dec-09

Mar-10

Dec-10

Feb-11

May-10

Mar-11

Apr-10

Apr-11

May-11

Jan-11

Jan-10

Jul-10

Jun-10

Ma Ma Nov Dec Jan- Feb Mar Apr Jun- Jul- Aug Sep Oct Nov Dec Jan- Feb Mar Apr Jun- Julyy-09 -09 10 -10 -10 -10 10 10 -10 -10 -10 -10 -10 11 -11 -11 -11 11 11 10 11 Highest NAV of SBI 18.718.818.918.919.219.419.419.519.619.920.120.220.320.220.219.9 20 20.320.220.320.5 Highest NAV of DSP 18 18.318.418.218.418.418.518.518.518.518.819.119.319.219.3 19 19.119.419.219.319.6 Blackrock

INTERPRETATIONS:At the time of post Global Meltdown period (nov09-july11) the performance of DSP Black Rock mutual fund was better than SBI mutual fund. Because the NAV of DSP mutual fund in Nov 18 then next month 18.1.Then after they suddenly up to 19.1 for the seven months. In feb 11 they down and then up to 20.

58

Jun-11

Jul-11

Table.5.5.b

Chart 6 Analysis of S.B.I Highest NAV & volatility during post Global Meltdown period (nov2009-july 2011)
100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Nov-09 Dec-09 Jan-10 Feb-10 Mar-10 Apr-10 May-10 Jun-10 Jul-10 Aug-10 Sep-10 Oct-10 Nov-10 Dec-10 Jan-11 Feb-11 Mar-11 Apr-11 May-11 Jun-11 Jul-11 No De Fe M Ap M Ju Au Se Oc No De Fe M Ap M Ju Jan Jul Jan Jul v- cb- ar- r- ay- ng- p- t- v- cb- ar- r- ay- n-10 -10 -11 -11 09 09 10 10 10 10 10 10 10 10 10 10 11 11 11 11 11 VOLATILITY SBI-HYBRID Magnum monthly incom plan2.04 0.75 3.54 3.01 1.32 1.05 1.26 2.04 4.96 3.24 2.41 0.75 2.09 3.65 2.02 1.14 1.52 2.07 3.35 5.98 3.04 growth fund post GMELTDOWN Highest NAV of SBI 18.7 18.9 19.2 19.4 19.6 20.1 20.3 20.2 2020.3 20.3 18.8 18.9 19.4 19.5 19.9 20.2 20.2 19.9 20.2 20.5

INTERPRETATIONS:At the time of post Global Meltdown period (nov09-july11) the performance of SBI-Hybrid Magnum monthly income plan-growth fund was not better condition. Because this graph show volatility was 100%.

Axis Title

59

Table.5.5.c

Chart 7 Analysis of D.S.P BLACK ROCK Highest NAV & volatility during post Global Meltdown period (nov 2009-jult2011)
25 20 15 10 5 0

No De Fe Ma Ap Ma Au Se Oc No De Fe Ma Ap Ma Jan Jun Jul Jan Jun Jul v- cb- r- r- yg- p- t- v- cb- r- r- y-10 -10 -10 -11 -11 -11 09 09 10 10 10 10 10 10 10 10 10 11 11 11 11 Highest NAV of DSP Blackrock 18 18.3 18.2 18.4 18.5 18.5 19.1 19.2 19 19.1 19.2 19.6 18.4 18.4 18.5 18.5 18.8 19.3 19.3 19.4 19.3 VOLATILITY DSP BLACK ROCKSaving managed Fund 0.64 0.89 4.71 1.18 0.37 4.04 1.64 1.98 4.93 3.29 3.29 0.59 5.23 4.28 0.26 0.97 3.95 2.67 3.66 5.62 2.94 postGMELTDOWN

INTERPRETATIONS:At the time of post Global Meltdown period (nov09-july11) the performance of DSP Black Rock was better condition. Because in this graph the volatility was not more fluctuated.

Axis Title

60

Table.5.5.d

Chart 8 Comparative analysis between volatility of S.B.I & D.S.P BLACK ROCK HYBRID MUTUAL FUND during post Global Meltdown period(nov2009-july2011)
7 6 5 Axis Title 4 3

2
1 0 Nov-09 Dec-09 Jan-10 Feb-10 Mar-10 Apr-10 May-10 Jun-10 Jul-10 Aug-10 Sep-10 Oct-10 Nov-10 Dec-10 Jan-11 Feb-11 Mar-11 Apr-11 May-11 Jun-11 Jul-11 No De Fe Ma Ap Ma Au Se Oc No De Fe Ma Ap Ma Jan Jun Jul Jan Jun Jul v- cb- r- r- yg- p- t- v- cb- r- r- y-10 -10 -10 -11 -11 -11 09 09 10 10 10 10 10 10 10 10 10 11 11 11 11 VOLATILITY SBI-HYBRID Magnum monthly incom plan-growth fund 2.04 0.75 3.54 3.01 1.32 1.05 1.26 2.04 4.96 3.24 2.41 0.75 2.09 3.65 2.02 1.14 1.52 2.07 3.35 5.98 3.04 post GMELTDOWN

VOLATILITY DSP BLACK ROCKSaving managed Fund postGMELTDOWN

0.64 0.89 4.71 1.18 0.37 4.04 1.64 1.98 4.93 3.29 3.29 0.59 5.23 4.28 0.26 0.97 3.95 2.67 3.66 5.62 2.94

INTERPRETATIONS:At the time of post global meltdown period (nov-09 to jul-11). The performance of SBIHybrid (Magnum monthly income plan-growth fund) was better than DSP Black Rock Hybrid saving managed fund. Because the volatility of DSP Black Rock Hybrid saving managed fund was 0.6 and the next month 0.5. And then 0.8, 5.2, 4.7 then they suddenly down in may10 to Aug 10.

61

Table.5.5.e

Chart 9 Comparative analysis between volatility of S.B.I & DSP BLACK ROCK HYBRID MUTUAL FUND during Global Meltdown period (nov2007-july2009)
30 25 20 Axis Title 15 10 5 0

No De Fe Ma Ma Au Se No De Fe Ma Ma Jan Apr Jun JulOct Jan Apr Jun Julv- cb- ryg- pv- cb- ry-08 -08 -08 08 -08 -09 -09 -09 09 07 07 08 08 08 08 08 08 08 09 09 09 VOLATILITY SBI- Magnum Monthly 4.94.57 2 4.83 3.714.52.63 3.95 3.49 3.71 21.9 8.38 7.03 1.68 3.94 3.72 3.25 20.1 25.5 15.2 3.37 Incom Plan Growth fund VOLATILITY DSP BLACK ROCK Saving managed fund 2.99 5.02 8.17 10.1 4.18 3.31 5.01 9.51 9.82 4.77 3.72 2.735.45.585.95.92 3 4.05 7.667.2 9.02

INTERPRETATIONS:At the time of post global meltdown period the performance of DSP Black Rock saving managed fund was better than the SBI magnum monthly income plan growth fund.

62

Table.5.5.f

Chart 10 Comparative analysis between volatility of S.B.I &D.S.P BLACK ROCK HYBRID MUTUAL FUND during post Global Meltdown period (nov2009-july2011)
14 12 10 Axis Title 8 6

4
2 0

No De Ma Ma Au No De Ma Ma Jan Feb Apr Jun JulSep Oct Jan Feb Apr Jun Julv- crygv- cry-10 -10 -10 -10 10 -10 -10 -11 -11 -11 -11 11 09 09 10 10 10 10 10 11 11 VOLATILITY DSP BLACK ROCK Saving managed fund 0.64 0.89 4.71 1.18 0.37 4.04 1.64 1.98 4.93 3.29 3.29 0.59 5.23 4.28 0.26 0.97 3.95 2.67 3.66 5.62 2.94

VOLATILITY SBI- Magnum 2.04 0.75 3.54 3.01 1.32 1.05 1.26 2.04 4.96 3.24 2.41 0.75 2.09 3.65 2.02 1.14 1.52 2.07 3.35 5.98 3.04 Monthly Incom Plan Growth fund

INTERPRETATIONS:At the time of post global meltdown period the performance of SBI- Magnum monthly income plan growth was better than the DSP Black Rock- saving managed fund. Because DSP Black Rock is more volatility compared to SBI-Magnum monthly income plan growth fund.

63

Table.5.6. Analysis of volatility between Equity &Hybrid fund during global Meltdown period.

ANALYSIS OF VOLATILITY BETWEEN EQUITY & HYBRID FUND(SBI & DSP BLACK ROCK ) DURIND GLOBAL MELTDOWN PERIOD
120.00 100.00 VOLATILITY

80.00
60.00 40.00 20.00 0.00 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21

VOLATILITY DSP BLACK ROCK Saving Managed Fund 2.95.05.09.58.19.810.4.74.13.73.32.75.45.55.95.93.04.09.07.67.2 HYBRID GLOBAL MELTDOWN VOLATILITY SBI-HYBRID Magnum monthly Incom PlanGLOBAL MELTDOWN 4.94.03.83.94.03.94.03.44.33.83.03.24.616.18.21.20.12.13.5.72.7

VOLATILITY DSP BLACK ROCK EQUITY Micro cap Fund 7.511.11.70.60.39.29.23.22.31.24.41.42.33.45.11.10.63.68.34.51. GMELTDOWN VOLATILITY SBI-EQUITY Arbitrage opportunitis fund GMELTDOWN 0.60.52.12.02.410.10.11.0.91.01.00.50.50.50.61.00.612.12.12.0.5

INTERPRETATIONS:At the time of global meltdown period the performance of SBI-Equity Arbitrage opportunities fund was better than DSP Black Rock Equity fund and also SBI-Hybrid Magnum monthly income plan is better than the DSP Black Rock Hybrid fund.

64

Table.5.7. Analysis of volatility between Equity & Hybrid fund (SBI &DSP Black Rock) During post global meltdown period.

ANALYSIS OF VOLATILITY BETWEEN EQUITY & HYBRID FUND(SBI & DSP BLACK ROCK ) DURING POST GLOBAL MELT DOWN PERIOD
7.00 6.00

5.00
Axis Title 4.00 3.00 2.00 1.00 0.00 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21

Volatility SBI- Arbitrage opportunitis fund EQUITY POST 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 GMD DSP BLACK ROCK Micro cap Fund EQUITY POST 0.1 0.0 0.1 0.2 0.2 0.2 0.1 0.1 0.1 0.0 0.0 0.0 0.0 0.1 0.1 0.2 0.2 0.3 0.2 0.1 0.1 GMD VOLATILITY SBI-Magnum HYBRID monthly POST GLOBAL 2.0 0.7 0.7 2.0 3.5 3.6 3.0 2.0 1.3 1.1 1.0 1.5 1.2 2.0 2.0 3.3 4.9 5.9 3.2 3.0 2.4 MELTDOWN Incom Plan VOLATILITY DSP BLACK ROCK Saving Managed HYBRID 0.6 0.5 0.8 5.2 4.7 4.2 1.1 0.2 0.3 0.9 4.0 3.9 1.6 2.6 1.9 3.6 4.9 5.6 3.2 2.9 3.2 FundPOST GLOBAL MELTDOWN

INTERPRETATION:At the time of post global meltdown period the performance of SBI-Equity Arbitrage opportunities fund is much better than DSP Black Rock Equity fund. And the performance of DSP-Hybrid fund is better than SBI-Hybrid fund.

65

CHPATER-6 Findings & Conclusion

66

FINDINGS
After undertaking the in depth study of volatility of mutual funds, it was found that the several events which had most affection in fluctuation of mutual fund in particular months.

EQUITY: Highest NAV between SBI & DSP

At the time of global meltdown period the performance of SBI mutual fund is better. Because the NAV of the SBI mutual fund are continuous same for five months like11.04, 11.11, 11.29, 11.35 &11.38. Then next two months the NAV of SBI is down approx. 10.82 (Apr-08) &10.87 (May-08). Then after may-08 they are up for ten months continuous. Then they again down in three months. Then they again down in three months in june-09 SBI equity mutual fund is up to 11-97. So due to the NAV of SBI equity mutual fund we analysis these fund is better.

Volatility of SBI & DSP (G,M P)

At the time of global meltdown period the performance of volatility of SBI is better Condition. Because in nov-07 the volatility of SBI is 0.6 and then the next months 0.5 then 2 & 2.4. After mar-08 they suddenly fluctuated 10.1 & then move high continuous three months. Then they start to down. In july-08 to mar-09 the volatility of SBI are same. Then up 12.1 but after june the volatility is down in 0.5. So by these volatility we analysis that SBI-Arbitrage opportunities fund is better. Highest NAV of SBI & DSP (P.G.M.P)

At the time of post global meltdown the NAV of SBI is better condition. Because in nov-09 there NAV is 11.1 and the next months 11 then after two months there NAV is down approx. 10.2. Then after june-10 the NAV of SBI equity mutual fund are
67

same in every month. So by the NAV we find out the performance of mutual fund. So due to this resion the SBI is better. SBI Highest NAV & volatility (G.M.P)

At the time of global meltdown period the NAV of SBI is same in every month. So due to this resion the SBI Equity mutual fund are not so much fluctuated. Comparative analysis between volatility of SBI and DSP(P.G.M.P)

At the time of post global meltdown period the performance of SBI is better. Because in nov-09 the volatility is 0.02 and the next month 0.007. And also these fund volatility are fluctuated in few. So due to this resion volatility of SBI is better.

HYBRID: Highest NAV between SBI & DSP Hybrid mutual fund (G.M.P)

At the time of global meltdown period the NAV of SBI Hybrid mutual fund is better condition. Because in nov-07 the NAV of SBI is 18.08 and the next seven months the NAV of SBI are same. Then after jun-08 NAV of SBI are down up to 17.85. And the last month they suddenly up. So due to this resion the SBI Hybrid mutual fund is better during global meltdown period. Volatility of SBI & DSP Hybrid mutual fund (G.M.P)

At the time of global meltdown period the performance of DSP Hybrid mutual fund is better condition. Because in nov-07 there volatility is 2.9 then the next month 5 and in the last month like jun-09 &july-09 these volatility are 7.6 & 7.2.

68

 Highest NAV between SBI & DSP Hybrid mutual fund(P.G.M.P)

At the time of post global meltdown period the NAV of SBI is better. Because in nov-09 these NAV is 18.69 and the next month 18.84 then after feb-10 they up to 19.17 and also they up to 20.22 in dec-10. In the last month the NAV of SBI is high. Volatility of SBI & DSP Hybrid mutual fund(P.G.M.P)

At the time of post global meltdown period the volatility of SBI Hybrid magnum monthly income plan is better. Because in nov these volatility is 2 then next month 0.7. At the last time the volatility of SBI is 3.2, 3 & 2.4.

EQUITY &HYBRID: Volatility between Equity & Hybrid(G.M.P)

In the time of global meltdown period the volatility of SBI & DSP is better. Because in nov volatility of SBI is 0.2 and in mid time the volatiliy of SBI is 0.5,0.4, 0.5 and also the last month july-09 is 0.5. So due to this resion the volatility of SBI Equity mutual fund is better during global meltdown period. Volatility between Equity & Hybrid (P.G.M.P)

In the time of post global meltdown period the volatility of Equity is also better condition compared to other fund.

69

CONCLUSION:After completing this project on the topic Comparative volatility analysis between SBI Mutual fund and DSP Black Rock Mutual fund(Equity & Hybrid funds) during Global Meltdown & post Global Meltdown period. We had concluded that the SBI- Arbitrage opportunities fund- Dividend (Equity) is better than the time of global and post global meltdown period. And DSP Micro cap fund (Hybrid) is better in the time of global and post global meltdown period.

70

BIBLIOGRAPHY
www.sbimf.com www.dspblackrock.com www.moneycontrol.com www.indobase.com Marketing Research: Text and Cases by Harper W. Boyd & Stanley F. Stash

71

ANNEXURE
The annualized volatility is the standard deviation of the instrument's yearly logarithmic returns

A.1

DSP BLACK ROCK MUTUAL FUND

Equity schemes (Top 100 Equity fund) GLOBAL MELTDOWN

72

DSP BLACK ROCK MUTUAL FUND

Equity schemes (Top 100 Equity fund) POST GLOBAL MELTDOWN

73

The annualized volatility is the standard deviation of the instrument's yearly logarithmic returns A.2.

DSP BLACK ROCK MUTUAL FUND

Equity schemes (Micro cap fund) GLOBAL MELTDOWN

74

DSP BLACK ROCK MUTUAL FUND

Equity schemes (micro cap fund) POST GLOBAL MELTDOWN

75

The annualized volatility is the standard deviation of the instrument's yearly logarithmic returns

A.3.

SBI MUTUAL FUND Equity schemes (Arbitrage opportunities fund- Dividend) GLOBAL MELTDOWN

76

SBI MUTUAL FUND Equity schemes (Arbitrage opportunities fund- Dividend) POST GLOBAL MELTDOWN

77

The annualized volatility is the standard deviation of the instrument's yearly logarithmic returns

A.4.

SBI MUTUAL FUND Equity schemes (Magnum Equity Fund-Dividend) GLOBAL MELTDOWN

Months Aug-07 Sep-07 Oct-07 Nov-07 Dec-07 Jan-08 Feb-08 Mar-08 Apr-08 May-08 Jun-08 Jul-08 Aug-08 Sep-08 Oct-08 Nov-08 Dec-08 Jan-09 Feb-09 Mar-09 Apr-09 May-09 Jun-09 Jul-09

Hightes NAV of the month 32.51 36.06 42.45 42.42 41.52 42.62 35.38 30.9 31.68 32.39 29.43 25.94 28.5 27.43 22.86 19.53 18.59 19.23 17.95 18.12 21.2 27.6 29.42 30.05

yearly logarithmic returns %

of yearly logarithmic VOLATILITY returns %

10.36364835 16.3142695 -0.070696362 -2.144471028 2.614838781 -18.61769379 -13.53905048 2.492938304 2.216416624 -9.583517094 -12.62283834 9.411790839 -3.826678233 -18.22486466 -15.74369135 -4.932794316 3.384775787 -6.888144467 0.942618568 15.69848811 26.3814591 6.385894245 2.118794581

8.2940998 10.111814 2.3861989 11.141802 11.087239 11.018742 9.1772897 6.8939064 7.838786 11.941413 11.091696 13.822383 7.6971769 7.0676593 9.5912783 5.4549405 5.3668407 11.468889 12.773646 10.005606 12.95317

28.7316045 35.0283528 8.26603535 38.596335 38.4073221 38.1700424 31.7910639 23.8811924 27.1543513 41.3662684 38.4227635 47.8821379 26.663803 24.4830901 33.2251628 18.8964683 18.5912814 39.7293973 44.2492071 34.6604353 44.8710963

78

SBI MUTUAL FUND Equity schemes (Magnum Equity Fund-Dividend) POST GLOBAL MELTDOWN

Month s Aug-09 Sep-09 Oct-09 Nov-09 Dec-09 Jan-10 Feb-10 Mar-10 Apr-10 May10 Jun-10 Jul-10 Aug-10 Sep-10 Oct-10 Nov-10 Dec-10 Jan-11 Feb-11 Mar-11 Apr-11 May11 Jun-11 Jul-11

Hightes NAV of the month 30.8 32.25 33.65 33.31 34.08 29.72 28.14 30.13 30.79 30.29 31.36 31.89 33 35.17 35.8 34.82 34.77 34.8 28.52 29.57 29.89 29.3 29.37 29.79

yearly logarithmic returns %

of yearly logarithmi c returns %

VOLATILITY

4.600335326 4.249501285 -1.015540389 2.285304976 -13.68904821 -5.462816816 6.832930146 2.166860879 -1.63723369 3.471557044 1.675928554 3.421508044 6.368588502 1.775444692 -2.775595907 -0.143698832 0.086244076 -19.90117912 3.615473832 1.076364243 -1.993646027 0.238622919 1.419902151

3.1459447 2.6606488 8.433004 7.988369 10.328019 6.2071139 4.2423856 2.6543395 2.5916876 1.0225649 2.3718273 2.3270789 4.5721084 2.2848036 1.5900673 11.473941 12.681913 12.906958 2.8087443 1.5869152 1.7335299

10.8978721 9.21675768 29.2127828 27.6725219 35.7773077 21.5020733 14.6960548 9.19490189 8.97786929 3.54226886 8.21625077 8.06123785 15.838248 7.9147918 5.50815469 39.7468989 43.9314356 44.7110136 9.72977555 5.49723535 6.00512389

79

The annualized volatility is the standard deviation of the instrument's yearly logarithmic returns

B.1.

DSP BLACK ROCK MUTUL FUND Hybrid Schemes (Saving Managed Fund) GLOBAL MELTDOWN

Months Aug-07 Sep-07 Oct-07 Nov-07 Dec-07 Jan-08 Feb-08 Mar-08 Apr-08 May-08 Jun-08 Jul-08 Aug-08 Sep-08 Oct-08 Nov-08 Dec-08 Jan-09 Feb-09 Mar-09 Apr-09 May-09 Jun-09 Jul-09

Hightes NAV of the month 14.6802 15.0067 15.4834 15.7024 15.6576 15.754 15.0251 14.8921 15.1573 15.3281 15.1895 15.1684 15.3786 15.362 15.3128 14.9479 15.1759 15.29 15.2274 15.4312 15.8052 16.7443 16.8926 17.2804

yearly logarithmic returns %

of yearly logarithmic returns %

VOLATILITY

2.199712097 3.127171424 1.404508463 -0.28571448 0.613787917 -4.73721653 -0.8891265 1.765139309 1.120548113 -0.90833455 -0.13900832 1.376261615 -0.1080005 -0.32078476 -2.41182582 1.513782152 0.749037668 -0.41025833 1.329499729 2.394756588 5.771890204 0.881775436 2.269725504

0.86217722 1.44747154 1.44981757 2.74561927 2.35741522 2.83359556 2.9283279 1.37730453 1.20704352 1.07531089 0.95532785 0.78836988 1.55879087 1.61068189 1.70462358 1.70876323 0.86739012 1.16971981 2.60429875 2.21128598 2.07795095

2.986669484 5.014188505 5.02231537 9.511104149 8.16632588 9.815862962 10.14402542 4.771122838 4.181321398 3.724986197 3.309352747 2.730993359 5.399809979 5.579565721 5.904989295 5.919329479 3.004727513 4.052028276 9.021555523 7.660119334 7.198233228

80

DSP BLACK ROCK MUTUL FUND Hybrid Schemes (Saving Managed Fund) POST GLOBAL MELTDOWN

Months Aug-09 Sep-09 Oct-09 Nov-09 Dec-09 Jan-10 Feb-10 Mar-10 Apr-10 May-10 Jun-10 Jul-10 Aug-10 Sep-10 Oct-10 Nov-10 Dec-10 Jan-11 Feb-11 Mar-11 Apr-11 May-11 Jun-11 Jul-11

Hightes NAV of the month 17.3734 17.621 17.8064 18.0332 18.2836 18.447 18.1823 18.3521 18.4123 18.4771 18.5161 18.5422 18.4855 18.8404 19.0871 19.2723 19.24 19.2885 18.9535 19.1439 19.3574 19.2444 19.2985 19.5538

yearly logarithmic returns %

of yearly logarithmic returns %

VOLATILITY

1.415107171 1.046657065 1.26565602 1.378997974 0.889727246 -1.44531622 0.929541597 0.327491017 0.351320795 0.21084964 0.140859156 -0.30625745 1.901685936 1.300921386 0.965611761 -0.16773866 0.251761816 -1.75204524 0.999551598 1.109064829 -0.5854666 0.280726336 1.314226826 0.1853158 0.16894645 0.25611023 1.50933565 1.35977712 1.23458901 0.34092327 0.07517226 0.10717969 0.28053867 1.16729304 1.14156003 0.47426881 0.76961874 0.57301041 1.05682312 1.42277413 1.62117391 0.94830661 0.84733618 0.95107383 0.641952754 0.585247675 0.887191847 5.228492047 4.71040611 4.276741771 1.180992849 0.260404358 0.371281334 0.971814451 4.043621691 3.954479948 1.642915366 2.666037524 1.984966279 3.660942686 4.92863417 5.61591116 3.285030469 2.935258632 3.294616388

81

The annualized volatility is the standard deviation of the instrument's yearly logarithmic returns

B.2.

DSP BLACK ROCK MUTUL FUND Hybrid Schemes (Balance Fund) GLOBAL MELTDOWN

Months Aug-07 Sep-07 Oct-07 Nov-07 Dec-07 Jan-08 Feb-08 Mar-08 Apr-08 May-08 Jun-08 Jul-08 Aug-08 Sep-08 Oct-08 Nov-08 Dec-08 Jan-09 Feb-09 Mar-09 Apr-09 May-09 Jun-09 Jul-09

Hightes NAV of the month 43.816 48.128 51.651 54.465 58.21 59.793 52.07 48.99 50.529 50.627 48.219 45.38 46.908 46.233 42.648 36.975 36.367 37.005 35.882 36.022 39.16 47.911 49.379 50.676

yearly logarithmic returns %

of yearly logarithmic returns %

VOLATILITY

9.386508085 7.064542814 5.304873707 6.649886775 2.683143597 -13.829963 -6.09727715 3.093123323 0.193760193 -4.87318966 -6.06816549 3.311675725 -1.44944078 -8.07134493 -14.2738371 -1.65802386 1.739126862 -3.08172617 0.389408592 8.352595475 20.16893055 3.018010945 2.592719314 2.0472623 0.9199126 2.0173242 10.861568 8.2620912 8.4720004 4.6983493 4.0320059 3.3244965 5.1055755 4.6901007 5.7168028 6.4133411 6.3082002 8.4371637 2.4768322 2.4870042 5.8623777 9.9521154 8.7772206 10.027114 7.091924601 3.186670722 6.988215848 37.6255761 28.62072357 29.34787019 16.27555949 13.96727818 11.51639365 17.68623249 16.24698554 19.80358575 22.21646527 21.85224656 29.22719252 8.579998272 8.615235321 20.30787203 34.47513912 30.40518409 34.73494257

82

DSP BLACK ROCK MUTUL FUND Hybrid Schemes (Balance Fund) POST GLOBAL MELTDOWN

Months Aug-09 Sep-09 Oct-09 Nov-09 Dec-09 Jan-10 Feb-10 Mar-10 Apr-10 May-10 Jun-10 Jul-10 Aug-10 Sep-10 Oct-10 Nov-10 Dec-10 Jan-11 Feb-11 Mar-11 Apr-11 May-11 Jun-11 Jul-11

Hightes NAV of the month 52.462 55.816 56.914 57.735 59.566 60.944 57.988 59.945 61.39 61.354 62.614 63.931 66.833 69.537 71.057 71.829 68.894 69.163 64.371 66.14 67.731 66.462 66.403 67.89

yearly logarithmic returns %

of yearly logarithmic returns %

VOLATILITY

6.197146864 1.948078993 1.432221884 3.122136609 2.287046824 -4.97193171 3.319138257 2.381948028 -0.05865867 2.032852657 2.081548149 4.439259377 3.966201448 2.162338685 1.080592237 -4.17192027 0.389694605 -7.18028164 2.711048642 2.377027007 -1.89136219 -0.08881196 2.214651213 2.6148676 0.8660573 0.8449766 4.451668 4.5184773 4.5405527 1.7437698 1.319902 1.2218344 1.3754979 1.2472974 1.2015318 1.4577858 3.3882616 2.8540777 3.8114544 5.17255 5.616822 2.5662197 2.1427667 2.0580928 9.058167187 3.000110538 2.927084694 15.42103021 15.65246456 15.72893601 6.040595782 4.572274772 4.232558597 4.764864487 4.320764769 4.162228372 5.049918169 11.73728244 9.886815211 13.20326541 17.91823874 19.45724204 8.889645909 7.422761673 7.129442606

83

The annualized volatility is the standard deviation of the instrument's yearly logarithmic returns

B.3.

SBI MUTUAL FUND Hybrid Schemes (Magnum monthly income plan-Growth) GLOBAL MELTDOWN

Months Aug-07 Sep-07 Oct-07 Nov-07 Dec-07 Jan-08 Feb-08 Mar-08 Apr-08 May-08 Jun-08 Jul-08 Aug-08 Sep-08 Oct-08 Nov-08 Dec-08 Jan-09 Feb-09 Mar-09 Apr-09 May-09 Jun-09 Jul-09

Hightes NAV of the month 17.282 17.651 18.1046 18.0873 18.2786 18.3838 18.0983 18.0197 18.2054 18.326 18.1248 17.8592 17.9559 17.8718 17.635 17.1822 18.62 18.028 17.014 16.8527 17.3602 17.6958 17.8781 18.2027

yearly logarithmic returns %

of yearly logarithmic returns %

VOLATILITY

2.112694158 2.537361063 -0.09560151 1.052094212 0.573886536 -1.56518308 -0.43524073 1.02526495 0.660256317 -1.10396503 -1.47623846 0.539997012 -0.46947002 -1.33384879 -2.60115995 8.036230761 -3.2310167 -5.78895703 -0.95256532 2.966934855 1.914709338 1.024917683 1.799343461

1.41358903 1.32008301 0.57649838 1.39370261 1.0701033 1.29873448 0.76009012 1.13866359 1.14132046 1.07287808 1.00811804 0.93785859 1.07217304 5.81031481 6.3311619 7.35560718 2.41954142 4.38593983 2.02858424 0.97214012 0.48386874

4.896816 4.5729017 1.997049 4.8279275 3.7069466 4.4989482 2.6330294 3.9444464 3.9536501 3.7165587 3.4922233 3.2488375 3.7141164 20.127521 21.931788 25.480571 8.3815373 15.193341 7.0272219 3.3675921 1.6761705

84

SBI MUTUAL FUND Hybrid Schemes (Magnum monthly income plan-Growth) POST GLOBAL MELTDOWN

Months Aug-09 Sep-09 Oct-09 Nov-09 Dec-09 Jan-10 Feb-10 Mar-10 Apr-10 May-10 Jun-10 Jul-10 Aug-10 Sep-10 Oct-10 Nov-10 Dec-10 Jan-11 Feb-11 Mar-11 Apr-11 May-11 Jun-11 Jul-11

Hightes NAV of the month 18.2709 18.5378 18.62 18.6984 18.8496 18.9326 18.8617 19.1769 19.393 19.385 19.501 19.6251 19.8594 20.0843 20.1642 20.3136 20.2273 20.2251 19.8536 20.0457 20.3038 20.2079 20.3037 20.4832

yearly logarithmic returns %

of yearly logarithmic returns %

VOLATILITY

1.450226048 0.44243811 0.420168685 0.805373481 0.43936104 -0.37518929 1.65730187 1.120574652 -0.04126051 0.596617518 0.634361289 1.186808748 1.126096864 0.397033951 0.738185763 -0.42574353 -0.01087698 -1.85390564 0.962931602 1.279339374 -0.47344436 0.472951839 0.880190252 0.58838063 0.21625631 0.21706995 0.60431584 1.0228956 1.05328108 0.86824067 0.58184769 0.37964408 0.3303908 0.30295434 0.43950026 0.36478128 0.59834198 0.58990687 0.96682607 1.43059602 1.72491112 0.93412531 0.87732334 0.69448249 2.0382103 0.7491338 0.7519524 2.0934115 3.5434143 3.6486727 3.0076739 2.0155795 1.3151257 1.1445073 1.0494646 1.5224736 1.2636394 2.0727174 2.0434973 3.3491838 4.95573 5.9752674 3.235905 3.0391372 2.4057579

85

The annualized volatility is the standard deviation of the instrument's yearly logarithmic returns

B.4.

SBI MUTUAL FUND Hybrid Schemes (Magnum Balance Fund) GLOBAL MELTDOWN

Months Hightes NAV of the month Aug-07 39.34 Sep-07 43.14 Oct-07 48.21 Nov-07 49.61 Dec-07 52.48 Jan-08 53.43 Feb-08 46.58 Mar-08 43.57 Apr-08 42.84 May-08 43.29 Jun-08 40.27 Jul-08 37.88 Aug-08 39.13 Sep-08 38.23 Oct-08 34.59 Nov-08 30.38 Dec-08 29.55 Jan-09 30.68 Feb-09 28.54 Mar-09 28.9 Apr-09 32.62 May-09 40.57 Jun-09 42.05 Jul-09 42.71

yearly logarithmic returns % 9.22 11.11 2.86 5.62 1.79 -13.72 -6.68 -1.69 1.04 -7.23 -6.12 3.25 -2.33 -10.01 -12.98 -2.77 3.75 -7.23 1.25 12.11 21.81 3.58 1.56

of yearly logarithmic returns %

VOLATILITY

4.321426188 4.19890575 1.976340997 10.24329463 7.768111999 6.044246247 3.917108403 4.21681577 4.491679893 5.755177166 4.710657473 6.65391495 5.496122986 5.250237652 8.432737853 5.523759589 5.756924403 9.693611704 10.28380236 9.119965399 11.15436632

14.96985944 14.54543619 6.846246039 35.48381347 26.90952932 20.93788319 13.56926155 14.60747832 15.55963557 19.93651852 16.31819616 23.04983752 19.03912851 18.18735673 29.21186082 19.13486451 19.94257112 33.57965596 35.62413635 31.59248687 38.63985838

86

SBI MUTUAL FUND Hybrid Schemes (Magnum Balance Fund) POST GLOBAL MELTDOWN

Months

Hightes NAV of the month

yearly logarithmic returns %

of yearly logarithmic returns %

VOLATILITY

Aug-09 Sep-09 Oct-09 Nov-09 Dec-09 Jan-10 Feb-10 Mar-10 Apr-10 May-10 Jun-10 Jul-10 Aug-10 Sep-10 Oct-10 Nov-10 Dec-10 Jan-11 Feb-11 Mar-11 Apr-11 May-11 Jun-11 Jul-11

43.5 45.95 46.73 46.42 47.73 48.85 46.89 48.5 49.62 49.07 49.28 50.46 51.78 53.97 54.96 55.44 53.86 53.91 49.75 50.51 51.23 50.35 49.84 50.53 5.48 1.68 -0.67 2.78 2.32 -4.09 3.38 2.28 -1.11 0.43 2.37 2.58 4.14 1.82 0.87 -2.89 0.09 -8.03 1.52 1.42 -1.73 -1.02 1.37 3.100715862 1.761585162 1.871623574 3.844175019 4.043014597 4.035020145 2.341772802 1.701236751 1.744217288 1.186897888 0.9691476 1.184823438 1.683988857 2.490601798 1.985476078 4.109040731 5.150288108 5.48291922 1.847288822 1.650390362 1.627591678 10.74119483 6.102310004 6.483494244 13.31661289 14.00541339 13.9777198 8.112138946 5.893256977 6.042145924 4.11153489 3.357225766 4.104348787 5.833508519 8.627697712 6.87789089 14.23413463 17.84112135 18.99338933 6.399196191 5.71711992 5.63814296

87