Authors: Chennoju Manikiran, Professor Dr. S. Narender
Abstract: Mutual funds have emerged as one of the most preferred investment avenues by offering investors the benefits of professional fund management, portfolio diversification, liquidity, and risk reduction. This study aims to evaluate the performance of selected mutual fund schemes at Net Worth Stock Broking Limited, Hyderabad, over the five-year period from March 2020 to March 2025. The study focuses on analyzing the risk-return relationship of selected mutual fund schemes and comparing their performance with the benchmark market index (Nifty). The research is based entirely on secondary data collected from reliable sources such as the Association of Mutual Funds in India (AMFI), company reports, journals, and financial websites. Five mutual fund schemes—UTI, SBI, Axis, Reliance, and Aditya Birla—were selected for analysis. Standard financial performance measures, including the Sharpe Ratio, Treynor Ratio, Beta, Average Returns, Variance, and Standard Deviation, were used to evaluate the risk-adjusted performance of the selected schemes. The findings reveal that the mutual fund schemes exhibited varying levels of returns and risk over the study period. Equity-oriented schemes generally generated higher returns but were accompanied by greater market volatility, while diversified and income-oriented funds demonstrated relatively stable performance. The analysis indicates that risk-adjusted performance measures provide valuable insights for investors in selecting suitable investment options based on their risk appetite and return expectations. The study concludes that mutual funds continue to be an effective investment alternative for both retail and institutional investors. The application of risk-adjusted performance measures enables investors to make informed investment decisions, while financial intermediaries such as Net Worth Stock Broking Limited play a significant role in guiding investors toward appropriate mutual fund schemes.
