Choosing a mutual fund seems to have become a very complex affair lately.

There are no dearth of funds in the market and they all clamor for attention. The most crucial factor in determining which one is better than the rest is to look at returns. Returns are the easiest to measure and compare across funds. At the most trivial level, the return that a fund gives over a given period is just the percentage difference between the starting Net Asset Value (price of unit of a fund) and the ending Net Asset Value. Returns by themselves don't serve much purpose. The purpose of calculating returns is to make a comparison. Either between different funds or time periods. And, you must be careful not to make a mistake here. Or else, you could end up investing in the wrong funds.

Invest in various funds, not one

Absolute returns Absolute returns measure how much a fund has gained over a certain period. So you look at the NAV on one day and look at it, say, six months or one year or two years later. The percentage difference will tell you the return over this time frame. But when using this parameter to compare one fund with another, make sure that you compare the right fund. To use the age-old analogy, don't compare apples with oranges. So if you are looking at the returns of a diversified equity fund (one that invests in different companies of various sectors), compare it with other diversified equity funds. Don't compare it with a sector fund which invests only in companies of a particular sector. Don't even compare it with a balanced fund (one that invests in equity and fixed return instruments).

Why has my fund not declared a dividend?

Benchmark returns This will give you a standard by which to make the comparison. It basically indicates what the fund has earned as against what it should have earned. A fund's benchmark is an index that is chosen by a fund company to serve as a standard for its returns. The market watchdog, the Securities and Exchange Board of India , has made it mandatory for funds to declare a benchmark index. In effect, the fund is saying that the benchmark's returns are its target and a fund should be deemed to have done well if it manages to beat the benchmark.

Let's say the fund is a diversified equity fund that has benchmarked itself against the Sensex. So the returns of this fund will be compared vis-a-viz the Sensex. Now if the markets are doing fabulously well and the Sensex keeps climbing upwards steadily, then anything less than fabulous returns from the fund would actually be a disappointment. If the Sensex rises by 10% over two months and the fund's NAV rises by 12%, it is said to have outperformed its benchmark. If the NAV rose by just 8%, it is said to have underperformed the benchmark. But if the Sensex drops by 10% over a period of two months and during that time, the fund's NAV drops by only 6%, then the fund is said to have outperformed the benchmark. A fund's returns compared to its benchmark are called its benchmark returns. At the current high point in the stock market, almost every equity fund has done extremely well but many of them have negative benchmark returns, indicating that their performance is just a side-effect of the markets' rise rather than some brilliant work by the fund manager.

Time period The most important thing while measuring or comparing returns is to choose an appropriate time period. The time period over which returns should be compared and evaluated has to be the same over which that fund type is meant to be invested in. If you are comparing equity funds then you must use three to five year returns. But this is not the case of every other fund. For instance, cash funds are known as ultra short-term bond funds or liquid funds that invest in fixed return instruments of very short maturities. Their main aim is to preserve the principal and earn a modest return. So the money you invest will eventually be returned to you with a little something added. Investors invest in these funds for a very short time frame of around a few months. So it is alright to compare these funds on the basis of their six month returns. Market conditions

It is also important to see whether a fund's return history is long enough for it to have seen all kinds of market conditions. For example, at this point of time, there are equity funds that were launched one to two years ago and have done very well. However, such funds have never seen a sustained declining market (bear market). So it is a little misleading to look at their rate of return since launch and compare that to other funds that have had to face bad markets. If a fund has proved its mettle in a bear market and has not dipped as much as its benchmark, then the fund manager deserves a pat on the back.

Why you should watch over your mutual fund

Final checklist Here are some quick pointers when comparing funds. - Compare funds that are similar. For instance, compare Alliance Equity with Franklin India Prima. Both are diversified equity funds. Similarly, compare UTI Auto with J M Auto, both being auto sector funds. Or Birla Midcap with Magnum Midcap, both being funds that invest in mid-cap companies. Don't compare the performance of Alliance Equity with UTI Auto or even Alliance Equity with Birla Midcap. - When returns are compared, make sure that the time period is identical. Or else, you may be looking at the one-year returns for one fund and the three-year returns for another. For instance, if you were told that the return of HDFC Equity was 59.72% and that of Franklin India Prima was 61.74%, it would be misleading. Because the return stated of HDFC Equity is a one year return while that of Franklin India Prima is the three-year return. A good comparison would be: Return Franklin India s Prima 1 year 81.13% 3 year 61.74% 5 year 39.58% HDFC Equity 59.72% 47.52% 27.04%

- Compare a fund with it's own stated benchmark, not another. For instance, Fidelity Equity, Escorts Growth and BoB Growth are all diversified equity funds with different benchmarks. Fidelity Equity - BSE 200 Escorts Growth - S&P CNX Nifty BoB Growth Sensex While there are other factors that have to be considered when investing in a mutual fund, returns is the most important. So make sure you do your homework right on this count.

EXPENSE RATIOS:Remember that in addition to mutual funds being groups of funds that investors can buy, they may refer to companies that sell funds to people. In this case, mutual funds are like any other business. They have costs for maintenance and other expenses. An efficient fund is going to have lower expenses. The general rule of thumb is that the larger the fund, the lower its per-share cost is going to be. This is due to the fact that these mutual funds are doing business in great volume. There is definitely the economy of scale which such funds take advantage of. Expense ratios are yet another factor that is very important to look at when buying a mutual fund. You can calculate a funds expense ratio by dividing annual expenses by average net assets. A fund's expenses typically include adviser's fees, legal and accounting fees, 12b-1 fees, but not commissions, interest on loans or income taxes. An expense ratio of over 2% is considered exorbitant. Funds that perform poorly year after year have high expense ratios. That makes sense. Obviously, these funds are not managing their expenses to the highest level of efficiency, and this results in poor performance. But these numbers can be misleading. Consider this: A mutual fund allows investors in with a very low initial minimum investment. As a result, it will have a high expense ratio because it is more expensive to deal with a large group of small investors than a small group of large investors. The Wiesenberger Investment Companies Service provides this type of information about funds. Here are some of the expense ratios of different types of mutual funds, not all of which are discussed in this page, for simplicity's sake:

Expense Ratios for Various Mutual Funds Type of Mutual Fund Aggressive growth Growth/income Balanced Stock income Income (flexible) International Metals Sector Government Technology Other ALL MUTUAL FUNDS Expense Ratio (in %) 1.15 1.03 0.96 1.20 1.05 1.35 1.32 1.35 1.02 1.27 1.51 1.15

How you can invest in a mutual fund There are two ways in which you can invest in a mutual fund. 1. A one-time outright payment If you invest directly in the fund, you just hand over the cheque and you get your fund units depending on the value of the units on that particular day. Let's say you want to invest Rs 10,000. All you have to do is approach the fund and buy units worth Rs 10,000. There will be two factors determining how many units you get. Entry load

This is the fee you pay on the amount you invest. Let's say the entry load is 2%. Two percent on Rs 10,000* would Rs 200. Now, you have just Rs 9,800 to invest. NAV The Net Asset Value is the price of a unit of a fund. Let's say that the NAV on the day you invest is Rs 30. So you will get 326.67 units (Rs 9800 / 30). 2. Periodic investments This is referred to as a SIP. That means that, every month, you commit to investing, say, Rs 1,000 in your fund. At the end of a year, you would have invested Rs 12,000 in your fund. Let's say the NAV on the day you invest in the first month is Rs 20; you will get 50 units. The next month, the NAV is Rs 25. You will get 40 units. The following month, the NAV is Rs 18. You will get 55.56 units. So, after three months, you would have 145.56 units. On an average, you would have paid around Rs 21 per unit. This is because, when the NAV is high, you get fewer units per Rs 1,000. When the NAV falls, you get more units per Rs 1,000. Here are some FAQs on the SIP 1. Is there a load? An exit load is a fee you pay the fund when you sell the units, just like the entry load is a fee you pay when you buy the units. Initially, funds never charged an entry load on SIPs. Now, however, a number of them do. You will also have the check if there is an exit load. Generally, though, there is none. Also, if there is an entry load, an exit load will not be charged. An exit load may be charged if you stop the SIP mid-way. Let's say you have a one-year SIP but discontinue after five months, then an exit load will be levied. These conditions will wary between mutual funds. 2. What is the minimum investment? If you do a one time investment, the minimum amount that you have to invest is Rs 5,000. How to invest in a mutual fund

If you invest via an SIP, the amount drops. Each fund has their own minimum amount. Some may keep it at least Rs 500 per month, others may keep it as Rs 1,000. 3. How often does one have to invest? It would depend on the fund. Some insist the SIP must be done every month. Others give you the option of investing once in three months or once in six months. They also give fixed dates. So you will get the option of various dates and you will have to choose one. Let's say you are presented with these dates: 1, 10, 20 or 30. You can pick any one date. If you pick the 10th of the month, then on that day, the amount you have decided to invest in the fund has to be credited to your mutual fund. 4. How must the payment be made? You can opt for the Electronic Clearance Service from your bank; this means the mutual fund will, as per your instructions, debit a certain amount from your account every month. Let's say you have a SIP of Rs 1,000 every month and you have chosen to invest in it on the 10th of every month.Under this option, you can instruct your mutual fund to directly debit your bank account of Rs 1,000 on the due date. If you don't have the required money in your account, then for that month, no units will be allocated to you. But, if this continues periodically, the mutual fund will discontinue the SIP. You need to check with each mutual fund what their parameters are. Alternately, you can give cheques to your mutual fund. In this case, they may ask for five Post Dated Cheques upfront with your first investment. Since these cheques are dated ahead of time, they cannot be processed till the date indicated. The importance of choosing the right funds Cool funds for a hot market

5. Must I state for how long I want the SIP? Yes. You will have to state whether you want it for a year or two years, etc. If, during the course of this period, you realise you cannot continue with the SIP, all you have to do is inform the fund 15 days prior to the payout. The SIP will be discontinued. You can continue to keep your money with the fund and withdraw it when you want.

6. Do all funds offer SIP? No. Liquid funds, cash funds and floating rate debt funds do not offer an SIP. These are funds that invest in very short-term fixed-return investments. Floating rate debt funds invest in fixed return investments where the interest rate moves in tandem with interest rates in the economy (just like a floating rate home loan). All types of equity funds (funds that invest in the shares of companies), debt funds (funds that invest in fixed-return investments) and balanced funds (funds that invest in both) offer a SIP. 7. Tax implications Let's say you have invested in the SIP option of a diversified equity fund. If you sell the units after a year of buying, you pay no capital gains tax. If you sell if before a year, you pay capital gains tax of 10%. Let's say you invest through a SIP for 12 months: January to December 2005. Now, in February 2006, you want to sell some units. Will you be charged capital gains tax? The system of first-in, first-out applies here. So, the amount you invest in January 2005 and the units you bought with that money, will be regarded as the units you sell in February 2006. For tax purposes, the units that you sell first will be considered as the first units bought. 8. How will an SIP help? When you buy the units of a fund, you may do so when the NAV is really high. For instance, let's say you bought the units of a fund when the bull run was at its peak, leading to a high NAV. If the market dips after that, the value of your investments falls and you may have to wait for a long while to make a return on your investment. But, if you invest via a SIP, you do not commit the error of buying units when the market is at its peak. Since you are buying small amounts continuously, your investment will average out over a period of time. You will end up buying some units at a high cost and some units a lower price. Over time, your chances of making a profit are much higher when compared to an one-time investment. Most volatile mutual funds

We have learned about the Systematic Investment Plan, there is another facility called SWP, i.e. Systematic Withdrawal Plan. This facility is similar to that of SIP. But in this case the investor can withdraw his investment systematically. Suppose an

investor has accumulated a good corpus and if he needs money periodically then by using SWP he can withdraw a fixed amount. The investor can either withdraw a fixed amount or redeem fixed number of units from the fund. If the investor has accumulated a sizeable amount and want to withdraw a fixed amount for a particular expenses/event, then in this case he can use the SWP facility and withdraw a fixed amount every month, quarter, year etc. the advantage of this facility is that the investor withdraws only the required amount periodically, so the balance amount remains invested in the fund. This balance amount fetches return and so the corpus goes on increasing to some extent even after withdrawal from the fund. The investor can very well use a combination of both SIP and SWP for the satisfaction of his goals. Let us assume that the investor has started an SIP of Rs 5,000 per month; so after a year it will become Rs 63,413. If he continuous investing into SIP and also withdraws Rs 10,000 every year, then the accumulated balance after the withdrawal becomes Rs 53,413, and this will become Rs 59,822 at 12 percent returns after one year plus the SIPinvestment will become Rs 63,413. The total balance will become Rs 1, 23,235. So the combination of SIP and SWP also works out to be a good strategy for an investor to satisfy his goals and to accumulate good corpus.

What is trigger facility? Trigger facility is an add-on, optional feature provided in mutual fund schemes, which enables investors to book profit automatically at a pre-defined time or value. In another words, it is an event in which the fund will declare dividend, redeem and/or switch the units automatically on behalf of the investor on the date of the happening of the event.

Read: MF offer document: Reading between the lines

Are there different types of triggers available? A plethora of choices are available to the investor when it comes to choosing a trigger. The most common of them are based on capital appreciation, date and value of NAV. The trigger point can either be an appreciation in NAV by a pre-defined percentage or an appreciation in an investment value or a specified date, etc. The various kinds of triggers available to the investor are presented in Table 1. Table 1: Different Types of Triggers Value Trigger Date Trigger Downside Trigger Upside Trigger Investment amount reaching a particular value Redeem on a date specified by investors Redeem if the investment goes down by a defined level Redeem if the investment goes up by a defined level

Index-based Trigger Dividend Trigger

Trigger based on Sensex/Nifty values Dividend declaration if the investment goes up by a defined level

How it works? Let us assume that you have invested in a trigger-activated equity mutual fund scheme at a NAV of Rs. 10 and have set the trigger at 20 per cent NAV appreciation. Once the NAV reaches Rs. 12, the trigger gets activated automatically, and your gains will be either redeemed or transferred to any of the debt schemes as decided by you. Thus, trigger provides a convenient and useful financial planning tool, especially for those who want to earn a sizeable profit within a period of time.

Read: Have I made the right investment?

What are the tax issues? Whether payout under a trigger-activated mutual fund scheme is subject to tax or not will depend on what type of trigger you have opted for.

In case of redemption or switch, it is similar to Systematic Withdrawal Plan (SWP) where your investment units are redeemed minus exit charges, if any, and you need to pay short-term gain tax (STGT) if redeemed within one year. In case of dividend trigger, as in Tata Equity PE Fund, the fund manager announces the record date for dividend within 5 working days from the date of occurrence of trigger, i.e., when the target for NAV appreciation is achieved. Thus, investors are exempt from paying any exit load and STGT.

Pros and cons of trigger A trigger facility is a blessing, here is why:

You do not have to track your investments all the time You do not have to worry about volatile market conditions as your notional gains are realised when the market moves up. A trigger ceases to exist once the switch takes place. After booking profits at a particular trigger level, you lose an opportunity to earn gains in near future in case the market continues an upward trajectory. Switch carried out with the help of trigger option cannot be reversed in any condition.

However, you need to exercise caution while selecting a trigger option, here is why:

What are the risks involved? Firstly, investors should be cautious in deciding the debt fund schemes (target schemes in trigger facility) as they carry interest rate and pricing risk, thus there are chances of the gain in equity getting wiped out by the loss in debt schemes. So, it is better to stick to liquid fund schemes for any switch proceeds. Secondly, if there is any trigger within one year, investors will have to pay short-term gain tax and exit load on your redemptions which can be as high as 16 per cent (15 per cent (STGT) + 1 per cent (Exit Load)).

A little more about dividend trigger in Tata Equity P/E Fund Tata Mutual Fund has offered a dividend trigger facility in its star performing scheme Tata Equity P/E Fund. This facility allows automatic dividend payments when the net asset value (NAV) of the scheme moves up by a pre-determined percentage, i.e., 5 per cent or 10 per cent. Thus an investor makes most of the opportunity by booking profits or reinvesting the gains when the market moves up, and there is no disappointment on his/her part when the market crashes. So how this takes place actually? Once the NAV appreciates say by 10 per cent, the record date for dividend is announced within 5 working days from the date of occurrence of trigger. Once a trigger is done, no second dividend will be declared in the current quarter. Even if the NAV remains above the trigger level, the next dividend will be declared on the 1st day of next quarter. Thus, possibility of multiple dividend triggers would ensure repeated automatic profit booking by way of dividends at pre-determined trigger levels. It serves as a useful tool against the volatile nature of equity investments. In addition, this method exempts investors from paying any short-term gain taxes and exit loads (if withdrawn within one year) unlike in other trigger options as there is no dividend distribution

tax (DDT) on equity-oriented schemes. Some of the mutual fund schemes providing this facility are shown in Table 2. Table 2: Mutual Funds Offering Trigger Facilities Mutual Funds/Schemes Tata Equity PE Fund ICICI Prudential Target Returns Fund Birla SunLife Mutual Fund IDFC Money Manager Fund Reliance Mutual Fund Fidelity Investments UTI Mutual Fund Trigger Levels 5% or 10% 12%, 20%, 50% or 100% 15%, 30%, 50% or 100% 10% 10% (Min.) 10% (Min.) Customised Category Dividend Value Value Value Value Value Mixed

* This list is not exhaustive; investors are requested to check with Mutual Funds Conclusion The idea behind offering trigger facility is simple: to retain mutual fund customers who have become jittery on account of the fluctuating market. So it is no secret that the facility works well when the market conditions are volatile. However, investors must be cautious in selecting the target level for triggers. The choice of target depends upon investment horizon. Investors with a long investment horizon may choose a target from 50 to 100 per cent based on their risk appetite.

How To Read A Bond Table

Column 1: Issuer - This is the company, state (or province) or country that is issuing the bond. Column 2: Coupon - The coupon refers to the fixed interest rate that the issuer pays to the lender. Column 3: Maturity Date - This is the date on which the borrower will repay the investors their principal. Typically, only the last two digits of the year are quoted: 25 means 2025, 04 is 2004, etc. Column 4: Bid Price - This is the price someone is willing to pay for the bond. It is quoted in relation to 100, no matter what the par value is. Think of the bid price as a percentage: a bond with a bid of 93 is trading at 93% of its par value. Column 5: Yield - The yield indicates annual return until the bond matures. Usually, this is the yield to maturity, not current yield. If the bond is callable it will have a "c--" where the "--" is the year the bond can be called. For example, c10 means the bond can be called as early as 2010.

YIELD (FINANCE)
In finance, the term yield describes the amount in cash that returns to the owners of a security. Normally it does not include the price variations, at the difference of the total return. Yield applies to various stated rates of return on stocks (common and preferred, and convertible), fixed income instruments (bonds, notes, bills, strips, zero coupon), and some other investment type insurance products (e.g. annuities). The term is used in different situations to mean different things. It can be calculated as a ratio or as an internal rate of return (IRR). It may be used to state the owner's total return, or just a portion of income, or exceed the income.

Because of these differences, the yields from different uses should never be compared as if they were equal. This page is mainly a series of links to other pages with increased details. Bonds, notes, bills Main article: Bond valuation The nominal yield or coupon yield is the yearly total of coupons (or interest) paid divided by the Principal (Face) Value of the bond. The current yield is those same payments divided by the bond's spot market price. The yield to maturity is the IRR on the bond's cash flows: the purchase price, the coupons received and the principal at maturity. The yield to call is the IRR on the bond's cash flows, assuming it is called at the first opportunity, instead of being held till maturity.[1] The yield of a bond is inversely related to its price today: if the price of a bond falls, its yield goes up. Conversely, if interest rates decline (the market yield declines), then the price of the bond should rise (all else being equal). There is also TIPS (Treasury Inflation Protected Securities), also known as Inflation Linked fixed income. TIPS are sold by the US Treasury and have a "real yield". The bond or note's face value is adjusted upwards with the CPI-U, and a real yield is applied to the adjusted principal to let the investor always outperform the inflation rate and protect purchasing power. However, many economists believe that the CPI under-represents actual inflation. In the event of deflation over the life of this type of fixed income, TIPS still mature at the price at which they were sold (initial face). Losing money on TIPS if bought at the initial auction and held to maturity is not possible even if deflation was long lasting. Preferred shares Like bonds, preferred shares compensate owners with scheduled payments. The payments are usually called dividends, although they may technically be considered interest. The dividend yield is the total yearly payments divided by the principal value of the preferred share. The current yield is those same payments divided by the preferred share's market price. If the preferred share has a maturity (not always) there can also be a yield to maturity and yield to call calculated, the same way as for bonds.

Preferred trust units Like preferred shares but units in a trust. Trusts have certain tax advantages to standard corporations and are typically deemed to be "flow-through" vehicles. Private mutual funds trusts are gaining in popularity in Canada following the changes to tax legislation which forced many publicly traded royalty trusts to convert back into corporations.[2] Investors seeking the high yields typically associated with the energy royalty trusts are increasingly investing in private mutual energy fund trusts.[3][4] Common shares Common shares will often pay out a portion of the earnings as dividends. The dividend yield is the total dollars (Yen, etc.) paid in a year divided by the spot price of the shares. Most web sites and reports are updated with the expected future year's payments, not the past year's. The price/earnings ratio quoted for common shares is the reciprocal of what is called the earnings yield. EarningsPerShare / SharePrice. Annuities The life annuities purchased to fund retirement pay out a higher yield than can be obtained with other instruments, because part of the payment comes from a return of capital. $YearlyDistribution / $CostOfContract. REITs, royalty trust, income trusts Like annuities, distribution yields from REITs, Royalty trusts, and Income trusts often include cash that exceeds the income earned: that is return of capital. $YearlyDistribution / $SharePrice. How to evaluate the yield (%) All financial instruments compete with each other in the market place. Yield is one part of the total return of holding a security. A higher yield allows the owner to recoup his investment sooner, and so lessens risk. But on the other hand, a high yield may have resulted from a falling market value for the security as a result of higher risk. Yield levels vary mainly with expectations of inflation. Fears of high inflation in the future mean that investors ask for high yield (a low price vs the coupon) today. The maturity of the instrument is one of the elements that determines risk. The relationship between yields and the maturity of instruments of similar credit worthiness, is described by the yield curve. Long dated instruments typically have a higher yield than short dated instruments.

The yield of a debt instrument is generally linked to the credit worthiness and default probability of the issuer. The more the default risk, the higher the yield would be in most of the cases since issuers need to offer investors some compensation for the risk.

Debt-Equity Ratio
= Total Liabilities Shareholders Equity

Indicates what proportion of equity and debt that the company is using to finance its assets. Sometimes investors only use long term debt instead of total liabilities for a more stringent test. Things to remember A ratio greater than one means assets are mainly financed with debt, less than one means equity provides a majority of the financing. If the ratio is high (financed more with debt) then the company is in a risky position - especially if interest rates are on the rise.

private limited company

Definition A type of company that offers limited liability to itsshareholders but that places certain restrictions on itsownership. These restrictions are spelled out in the companys articles of association or bylaws and are meant to prevent any hostile takeover attempt. The major ownership restriction are: (1) shareholders cannot sell or transfer their shares without offering themfirst to the other shareholders for purchase, (2) shareholders cannot offer their shares or debentures to thegeneral public over a stock exchange, (3) the number of shareholders cannot exceed a fixed figure (commonly 50).

public limited company

Definition

A company whose securities are traded on a stock exchange and can be bought and sold by anyone. Public companies are strictly regulated, and are required by law to publish their complete and true financial position so that investors can determine the true worth of its stock (shares). Also called publicly held company. Public limited company and its abbreviation Plc are commonly used in the UK in the way that corporation and Inc. is used in the United States.

Introduction Vision To be the most Preferred Mutual Fund. Our mission is to make UTI Mutual Fund: The most trusted brand, admired by all stakeholders The largest and most efficient money manager with global presence The best in class customer service provider The most preferred employer The most innovative and best wealth creator A socially responsible organisation known for best corporate governance Genesis January 14, 2003 is when UTI Mutual Fund started to pave its path following the vision of UTI Asset Management Co. Ltd. (UTIAMC), which was appointed by UTI Trustee Co, Pvt. Ltd. for managing the schemes of UTI Mutual Fund and the schemes transferred/migrated from the erstwhile Unit Trust of India. UTIAMC provides professionally managed back office support for all business services of UTI Mutual Fund in accordance with the provisions of the Investment Management Agreement, the Trust Deed, the SEBI (Mutual Funds) Regulations and the objectives of the schemes. State-of-the-art systems and communications are in place to ensure a seamless flow across the various activities undertaken by UTIMF. Since February 3, 2004, UTIAMC is also a registered portfolio manager under the SEBI (Portfolio Managers) Regulations, 1993 for undertaking portfolio management services. UTIAMC also acts as the manager and marketer to offshore funds through its 100 % subsidiary, UTI International Limited, registered in Guernsey, Channel Islands. Assets Under Management UTIAMC presently manages a corpus of over Rs. 65,38,724.42 lakhs as on 31st December 2010 (source: www.amfiindia.com). UTI Mutual Fund has a track record

of managing a variety of schemes catering to the needs of every class of citizens. It has a nationwide network consisting 148 UTI Financial Centres (UFCs) and UTI International offices in London, Dubai and Bahrain. UTIAMC has a well-qualified, professional fund management team, which has been fully empowered to manage funds with greater efficiency and accountability in the sole interest of the unit holders. The fund managers are ably supported by a strong in-house securities research department. To ensure investors interests, a risk management department is also in operation. Reliability UTIMF has consistently reset and upgraded transparency standards. All the branches, UFCs and registrar offices are connected on a robust IT network to ensure cost-effective quick and efficient service. All these have evolved UTIMF to position as a dynamic, responsive, restructured, efficient and transparent entity, fully compliant with SEBI regulations.