Association between ARQ Score and Mutual Fund Performance in Top Rated Hybrid Mutual Funds

Abstract

Mutual funds are trusts, which accepts savings from investors and invest the same in diversified financial instruments. The Mutual Fund is a fast growing sector of Indian Capital Market with a view to provide investors the benefit of economies of large scale, lower trading costs, better selection of investment among diversified opportunities available in the market etc. ARQ is India's first of a kind, Rule-based investment engine that uses latest cognitive technology, machine learning and deep industry insights to offer investment recommendations. Angel Broking had brought in this innovation to assist investment decisions. The claim made is that higher ARQ denotes higher fundamental strength, growth and return for a mutual fund. This paper attempts to associate ARQ scores with fund performance of top rated hybrid mutual funds.