Case study on Performance Evaluation Framework for Mutual Funds: Beyond Life-Cycle Insights

Abstract

The Indian mutual fund sector serves a variety of investors spanning multiple generations and varying degrees of risk appetite. In this context the case study aims to create an assessment model, for evaluating mutual fund performance. This model extends beyond financial metrics incorporating a wide array of factors. The research utilizes data, from 2025 obtained from Indian mutual fund screener websites and AMFI publications to examine the investment patterns of various generational groups, namely Generation Z (aggressive) Generation X (moderate) and Baby Boomers (conservative) and explores how they might utilize risk-adjusted indicators to enhance their portfolios. Such indicators consist of Sharpe and Sortino ratios, alpha, beta and expense ratios. Visual representations of data, such as risk, return scatter plots, and ratio comparison bars, make it easier for the respective profiles to understand which fund categories perform best for them. The case study further supports the chosen methodologies by combining established and emerging finance theories and providing proof that a thorough data-focused strategy not greatly enhances the investment decision-making process but also renders it more responsive, to behavioral and demographic factors. The results offer a wealth of insights that investors, advisors and fund managers can easily apply when planning their future portfolio strategies.