An empirical study on the performance of selected mutual fund schemes in India

A mutual fund is a scheme in which several people invest their money for a common financial cause. The collected money invests in the capital market and the money, which they earned, is divided based on the number of units, which they hold. So, there is a need for the mutual fund investors to evaluate the performance of schemes before deciding on investments. Past performance is taken as reference by many investors. The present paper investigates the performance of 9 fundsfrom three different companies for the period from April 2007 to March 2012 (five years). Yearly NAV of different schemes have been used to calculate the returns from the fund schemes. NSE- Nifty has been used for market portfolio. The historical performance of the selected schemes were evaluated on the basis of Sharpe, Treynor, and Jensen's measure whose results will be useful for investors for taking better investment decisions. The results of various statistical measures are tabulated and consolidated to get a comprehensive picture of the performance of the select schemes.