A comparative study on debt scheme of mutual fund of reliance, and hdfc with treynor model

Mutual funds are key contributors to the globalization of financial markets and one of the main sources of capital flows to emerging economies. This study provide an overview of the performance of debt scheme of mutual fund of Reliance and HDFC with the help of Treynor Index after calculating Net Asset Values, Standard Deviation and Beta. This study reveals that returns on Debt Schemes are close to Benchmark return (Crisil Composite Debt Fund Index: 4.34%) and Risk Free Return: 5.50% (average adjusted for last five year). The Treynor Index shows that the return of the selected Debt Fund Schemes is less than even from Risk-free-return rate and the Benchmark Index. Performance of Debt Scheme of Reliance is better than the performance of Debt Scheme of HDFC on the basis of data studied in this report. The average returns of about 60% selected schemes are more than the average market return or Benchmark return.