A STUDY ON MUTUAL FUND VS DIRECT EQUITY ANALYSIS

Abstract

Investment plays a crucial role in financial planning, enabling individuals to grow wealth and achieve long-term financial goals. Among various investment avenues, mutual funds and direct equity investments are two of the most prominent options available to investors. While mutual funds offer professionally managed and diversified portfolios, direct equity investments provide higher return potential with greater risk exposure. This study focuses on a comparative analysis of mutual funds and direct equity investments, examining their risk-return characteristics, investor preferences, and performance. The research is conducted with reference to Karvy Stock Broking Limited, a well-known financial services company that provides investment solutions, brokerage services, and wealth management support. The primary objective of the study is to analyze the differences between mutual funds and direct equity investments and to understand which investment option is more suitable for different categories of investors. The study also evaluates investor awareness, risk tolerance, and decision-making factors. Primary data has been collected from 100 respondents using a structured questionnaire. Secondary data has been obtained from financial reports, stock market data, and industry publications.