derivatives mba project
Content
CHAPTER – I INTRODUCTION Finance is the lifeblood of any business enterprise. No business activity can be
imagined, without sufficient finance or funds to meets its working capital and fixed capital requirements.
Financial Management means planning, organizing, directing and controlling the
financial activities such as procurement and utilization of funds of the enterprise. It means me ans apply applying ing ge gener neral al manag managem ement ent princ principl iples es to finan financia ciall resour resources ces of the enterprise.
Functions of Financial Management: Management:
1. stima stimation tion of capital capital require requiremen ments ts !. "hoi "hoice ce of source sourcess of of fund fundss #. Inve Invest stme ment nt of fu fund ndss $. %isp %ispos osal al of su surp rplu luss &. 'ana 'anage geme ment nt of cash cash (. )i )ina nanc ncia iall con contr trol olss
fund, or any corporation , mutual fund, Sa!es: * share is a single unit of ownership in a corporation, othe otherr organization. organization . * * +oint +oint stock company company divides its capital into capital into shares, which are offer off ered ed for sale to raise raise capit capital al,, term termed ed as issui issuing ng shares shares.. hus, hus, a share share is an indiv in divisi isibl blee unit unit of capit capital, al, expres expressin sing g th thee propri propriet etary ary re relat latio ionsh nship ip be betw tween een the the company and the shareholder. he denominated denominated value of a share is its face value- the total capital of a company is divided into a number of shares. he commencem commencement ent of radi rading ng and %emat %emat has transfor transformed med the capital capital market in India. /ith the help of %emat and rading account, buying and selling of shares has become a much faster and even process than trading with the assistance of a physical broker. It provides for the assimilation assimilation of bank, broker, stock exchange and 1
depository participants. participants. his helps to get rid of the painstaking procedure of investing in stock exchange. oday, if one wants to invest in stock market, he has to contact a broker on phone or meet him personally perso nally to place p lace order. * broker generally gene rally gives such impor im porta tance nce an and d addit addition ional al servi service ce only only to high high net worth worth custom customers ers.. 0ut 0ut the the intr introd oduc ucti tion on of In Inte tern rnet et trad tradin ing, g, even even a co com mmon mon or a smal smalll inve invest stor or ge gets ts an opportunity to avail the service at an affordable price which is much lesser than what opportunity is charged by a physical broker over the phone. nline trading has given customer a real time access to account information, stock quotes elaborated market research and interactive trading. he prerequisites of Internet trading are a computer, a modem and a telephone connection, registration with broker, a bank a2c and depository account. he introduction introduction of depository service is considered as the beginning of the trading of 3tocks 4 click. his means that you can arrange delivery of scrips sold anytime, anywhere to anyone by click of a mouse. %ematerialization facilitates to keep the securities in electronic form instead of paper form. It offers more advantageous than the physic the physical al certi certifi ficat catee form. form. %espi %espite te the advan advanta tages ges of %emate %emateria rializ lizati ation, on, the the awarene awa reness ss levels levels among among the investors investors relatin relating g to %emat %emat account account is not adequate adequate because of numerous reasons. he investors are not sufficiently responsive of the conce con cept pt of %ema %ematt accou account nt and th thee vario various us finan financi cial al insti institut tutio ions ns pr provi ovidin ding g such such services.
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INDUSTRIA" O#ER#IE$ %asic Info!mation:& he history of trading goes back to 156#, when a doctor in 'ichigan placed the first nline trade trade using 7*% technology. technology. /hat began with with a single click over 1( years yea rs ago has now taken the world world by storm. storm. he concept concept was visuali visualized zed by one 0I88 977, a physicist and inventor who provide online quotes and trading services to many :3 firms firms like fidelity, "harles "harles 3chwab, and ;uick ;uick and 7eilly. his led 0ill to wonder why, as an Individual investor, he had to pay a broker hundreds of dollars for stock transaction. /ith incredible incredible foresight, he saw the solution at hand< someday everyone would own computers compute rs and invest through them with with unprecedented unprecedented efficiency and control. control. *nd today his dream has become a reality. /ith /i th th thee gl globa oball fi firm rmss tu turni rning ng their their ey eyes es on IN%I IN%I* * as a co count untry ry with with imme immense nse potential for growth thanks to globalization and various vario us economic reforms, the Indian stock markets markets are places receiving receiving a lot of attention. rading and inv investing esting in share is gaining momentum and with the Internet facility virtually at every part of the country, it has become a reality for even a smallest smallest person wanting to invest his surplus money but did not know where to go until u ntil recently. 0esides familiarity with the stock market, the transaction process, and having an account at s broker or subbroker, knowledge of basic investment information is also important to making investment decisions.
E!a of Sc!i' less an( Pa'e!less t!a(ing: o sort out the above mentioned problems and to restore the investors confidence in the stock market the depository system was set up. It was against this background that the =overnment of India enacted the %epositories *ct in 155(, which an era of scrip less trading and settlement, efficient market infrastructure, investor protection, reduced risks and transparency of transaction in the securities market.
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De'osito!) Act* +,,-:
he concept of %epository is known to the world since 15$5 when the first depository was set up in =ermany. here were 11! depositories in operation by the year !>>1. very depository operates under a country?s specific law and regulation in order to ensure safety, liquidity, rights and liabilities to the security holders.
De'osito!): * deposi deposito tory ry is an organ organiz izati ation on where where the securi securiti ties es of an invest investor or are held held in electronic electro nic form. * depository can be compared to a bank. o avail of the services of a deposi dep ositor tory, y, an invest investor or has to open open an accoun accountt wi with th the deposi deposito tory ry throug through h a depository participant, +ust as he opens an account with the bank. @olding shares in the account is a kin to holding money in the bank *t present, present, India India has only two deposito depositories riesNa Nation tional al 3ecurit 3ecurities ies %eposit %epository ory 8td. 8td. AN3%8B and "entral %epository 3ervices 8td A"%38B. N3%8 is the first depository in the county, co unty, which is promoted by three ma+or financial institutions :nit rust of India, Industrial development 0ank of India and National 3tock xchange of India 8imited. he second depository of the country A"3%8B is set up in 1555 by the 0ombay 3tock xchange and 0ank of India @owever, most of the services offered by both these depositories are similar. oday almost all the companies listed in dematerialized dematerialized from with N3%8 are available with "%38.
%AN.
DEPOSITOR/
@olds funds in accounts ransf nsfers ers fund fundss bet between ac acccount ountss 3afekeeping of of 'oney
@olds securities in accounts ransfe nsferrs without hout han handli dling secu currities 3afekeeping of securities
De'osito!) 'a!tici'ant: * depository participant is an agent appointed by the depository and is authorized to offer depository services to all investors. *n investor cannot directly open a %emat account with the depository. *n investor has to open his account through a %9 only. $
he %9 in turn opens opens the account account with the deposit depository ory.. he %9 in turn takes takes up the responsibility of maintaining the account and updating them as per the instructions given by the investor from time to time. he %9 generates and provides the holdings statement statem ent from time to time as required by the investor. hus, the %9 is basically the interface between the investor and the depository. he person who holds a %emat account is a beneficiary owner. In case of a +oint account, the account holders will be beneficiary holders of that +oint account. he %emat account number of the beneficiary holderAsB is known as the 0 Id. * %9 id is the number of the depository participant allotted by the depository.
Functions Functio ns o off De De'osito 'osito!) !) In the depository system, securities securities are held in depository accounts, which which is more or less similar to holding funds in bank account. ransfer of ownership of securities is done through simple account transfers. his method does away with all the risks and hassles normally associated associated with paperwork. "onsequently, the cost of transacting in a depository environment is considerably lower as compared to transacting in certificates. he depository system also allows distribution of dividends through the 70I?s "3 system, whenever the participating company has agreed to such services. ther entitlements such as bonuses, splitups are also directly effected by the depository into the investor?s account. he following can be held in the depository AelectronicB form3har 3h ares es Al Alis iste ted d or un unli list sted edBB ,3to ,3tock ckss ,0 ,0on onds ds ,% ,%eb eben entu ture ress ,7 ,70I 0I 7eli 7elief ef 0ond 0ondss ,= ,=ov over ernm nmen entt 3ecu 3ecuri riti ties es At Athr hrou ough gh a pr prim imar ary y %eal %ealer erBB ,:ni ,:nits ts of 'utu 'utual al )und )undss ,"ommercial 9aper ,'oney 'arket Instruments etc.
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OPENIN0 A DEMATERIA"I1ATION ACCOUNT 2DEMAT A3C4 %emat refers to a dematerialized account. Cust as we have to open an account with a bank if we want wa nt to save your money, make cheque payments etc, we need to open a demat account if we want to buy or sell stocks. 3o it is +ust like a bank account where actual money is replaced by shares. /e have to approach the %9s Aremember, they are like bank branchesB, to open our demat account. %ema %e matt accoun accountt allow allowss you you to buy, buy, sell sell an and d tr trans ansact act share sharess wi with thout out the endle endless ss paperwork and delays. It is also safe, secure and co convenient. nvenient. 8etDs say our portfolio has 1>> of 3atyam, &>of 3uzlon, !> of I"I"I 0*NE, &> of ech 'ahindra and 1>> of "3 shares. *ll these will show in our demat account. account. 3o we donDt have to possess any physical certificates showing that us own these shares. hey are all held electronically in our account. *s we buy and sell the shares, they are ad+usted in our account. Cust like a bank passbook or statement, the %9 will provide you with periodic statements of holdings and transactions.
Individuals, companies, rusts, 9artnership firms, N7Is, @:), 0anks and Institutions are allowed to open a depository account with any depository through a depository participant. he investor would need to execute a standard stand ard form giving all his details, details , bank details, instruction details, nomination details and offcourse photograph and signature. signatur e. *long with this form, the investor would also have sign an agreement agreement with the depository participant participant which usually forms a standard part of the account opening process. he details on the form have to be matched with a photocopy of the investor?s passport, driving license etc. to certify the mentioned details. If the investor is an N7I, then the client will have to provide overseas address, provi provide de copy of 70I *pproval, if any. he 70I *pproval is not mandatory for opening of a %9. *ccount but is required to receive shares into the account when purchased through the secondary market.
A: P!oce(u!e fo! 'u!casing (emate!iali5e( secu!ities he procedure for purchasing dematerialized securities is also similar to the procedure for buying physical securities. secu rities. (
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Investor instructs instructs %9 to to receive receive credits credits into his account in in the 9rescribed 9rescribed form.
here he re may be one time time standing standing instruct instruction ion or 3eparat 3eparatee instruction instruction each time time to receive credits.
!. Investor purchases purchases securities securities in any of the the stock exchanges exchanges linked to %epository %epository through a broker.
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0roke 0rokerr recei receive vess paym payment ent from invest investor or and arrange arrangess payme payment nt to "lear "learin ing g
corporations.
$. 0roker 0roker gives instruct instructions ions to %9 to debit clearing clearing account account and credit credit "lientDs "lientDs account. Investor receives shares into his account by way of book entry.
%: P!oce(u!e of selling (emate!iali5e( secu!ities he procedure for selling dematerialized securities in stock exchanges is similar as selling physical securities. he only ma+or difference is that instead of delivering physical securities to the broker, the investor instructs his %9 to debit his demat account with the number of securities sold by him and credit the brokers clearing account. he procedure for selling dematerialized securities is given below1. Investor sells securities securities in any of the stock exchange linke linked d to depository depository through a broker. !. Investor instructs his %9 to debit his demat account with the number of securities sold and credit the brokerDs clearing account. #. 0efore the payinday, broker of the investor transfers the securities to clearing corporation. $. he broker receives payment from the stock exchange. &. he investor receives payment from the broker for sale of securities in the same manner as received in case of sale of physical securities.
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%ENEFITS %ENE FITS OF DEMATERI DEMA TERIA"I A"I1ATI 1ATION ON ACCOUNT
P!ima!) 6enefits:
ApaperBB form, there +& Safet)- If we are holding our shares, bonds etc in physical Apaper are chances of its theft, mutilation, mutilation, and loss. 'oreover, we are also exposed to the risks of fake papers, baddelivery or delays at the time of transfer of physical securities. s ecurities. @owever, @owev er, in %'* accounts< we can preserve our long term investments safely and securely.
7& Con8enience: /hen we want to sell our dematerialized dematerialized shares or redeem our debentures in %'* account< there are no hassles of filling up transfer forms, sending redemption requests or any other messy, costly and time consuming paper work. /e can conveniently transfer our securities through electronic electro nic transfers or +ust by signing one ?%elivery Instruction 3lipD, which is nothing but our chequebook for %'* *ccounts.
Ote! %enefits: *part from the safety and convenience, there are lot more advantages of opening %'* accounts. accounts. @ere are few of the most necessary reasons for having a %'* %'* account.
/e can park most of our investments including shares, bonds, debentures, =old =o ld :nit :nits, s, N3" N3" an and d bo bond ndss in ou ourr %'* %'* acco accoun unt. t. /e migh mightt no nott immediately realize the benefits of having all the investments in %'* form. )or instance, instance, if we change our residence, we +ust have to write to the %9 A%epository A%eposit ory 9articipantB, 9articipantB, which automatic automatically ally gets our new address registered with all the companies where we have invested our money.
/e do not have to remember the due dates of maturity of bonds, N3" and debentures, debentur es, as the redemption proceeds are automatically automatically credited to our bank account, which is linked with our %'* account.
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/e receive all the dividends and interests directly in our linked bank account.
In case case of bo bonu nus, s, ri righ ghts ts,, sp spli lit, t, merg merger er or an any y othe otherr corp corpor orat atee acti action ons, s, everything everyth ing takes place automatically. automatically. /e do not have to do anything except to file the physical intimation letters sent by the 7egistrar and ransfer *gents.
Nowadays with the advent of online trading, we can perform online all the activities associated with buy, sell and transfer of shares.
/ith a single nomination in your %'* account, we are nominating our legal heirs to all the investments held by us.
)or many public issues of bonds and debentures of reputed and trustworthy companies, it is necessary to have a %'* *ccount, as the companies do not allot securities in paper form.
3ince most of the process of buying and selling dematerialized securities is electronic, there are no chances of signature mismatch.
limination of problems related to selling securities on behalf of a minor.
limination lim ination of problems related to change of address of investor, investor, transmission etc.
7eduction in handling of huge volumes of paper periodic status reports.
3o with %ematerialized 3ecurities, the entire process of transferring shares, bonds and other other finan financi cial al asset assetss has becom becomee smoo smooth th and swif swift. t. %'* %'* *ccou *ccount ntss offer offer numer num erous ous ad advan vantag tages es and he hence nce it makes makes sense sense for the the re reta tail il invest investors ors to open open %'* *ccounts as early as possible.
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MECHANICS OF ON"INE TRADIN0
"8IN
9laces an order the net of the 0rokerDs website through the distinctive Id code
he settlement of the deal Abuy2sell orderB gets reflected in his %emat account.
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3"E G"@*N=
*ccepts the order, "hecks the clientDs Identity and 9laces the rder
*ccepts the order after checking the scrip limit of the broker for the day
9ays the xchange through his owns account and receives it from the client account.
he client is intimated about the execution of the deal by email.
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7eceives the money and completes the settlement
Featu!es Of Online T!a(ing he nline rading is having many features which make it most suitable for the investors to go for. 3ome of these features are as followsF!ee(om of Info!mation:
he Internet can provide a new sense of control over your financial future. he amount of investment information information available online is truly astounding. ItHs one of the best aspects of being a wired investor. )or the first time in history, any individual with an Internet connection can
Enow the price of any stock at any time
7eview the price history of any stock in chart format
)ollow market events indepth
7eceive a wealth of free commentary and analysis about stock
markets and the global economy
"onduct extensive financial research on any company
Cont!ol ou! mone):
ne of the great appeals of using an online trading accou account nt is the fact that the account belongs to you, and is under your direct control. /hen you want to buy or sell stock, you no longer need to call your broker on the phone< hope that he is in the office to place your order< possibly argue with the broker about the order< and hope that the transaction is executed instantly. Access to te ma!9et: *t the most basic level, an online trading account gives you more agility in buying and selling selling stocks. stocks. his his is through through sophisti sophisticat cated ed informa information tion streams streams,, dedicate dedicated d trading platforms and sophisticated tools for accessing the markets. Offe!s g!eate! t!ans'a!enc):
nline trading offers you greater transparency by providing you with an audit trail. his involves a complete integrated electronic chain starting from order placement, placement, to clearing clearin g and settlement settlement and finally ending with a credit into your depository account.
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*ll these stages are sub+ect to inspection, thus bringing in transparency into the system. Re(uces te settlement !is9:
his method of trading reduces the settlement risk for the investor, as in this case all short sell orders are squared off at the specified cutoff time and not allowed to be carried forward. Instant t!a(e o!(e! confi!mations:
very trade is confirmed immediately immediately and you will receive an onscreen onscreen confirmation following followi ng every trade with full details for your records. his avoids costly errors that would have been discovered when it is too late. Integ!ate( Accounts:
ur 0ank, %eposito %epository ry and rading rading account are integrat integrated ed for our convenie convenience. nce. arious broking houses provide access to many of the popular banks .
%ENEFITS OF ON"INE TRADIN0: +4 "ess Costl):
he most significant advantage of the nline broking is the cost reduction in the brokerage. %ue to the power of the Internet one has the privilege of becoming the clients of really large brokerages with the benefits of en+oying the low charges before en+oyed only by the big players. *s the %9 account has got linked to the trading account most players do not charge a minimum transaction cost thus truly allowing one to buy a single share and achieve achieve meaningful meaningful rupee price averaging averaging whatever be your buying power.
74 Peace of Min(:
ne can never have complete peace of mind but online investing does away with the hassles of filling up instruction slips, visits to the broker for handing over these slips and consequent costs.
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4 .ee'ing Reco!(s-
he site one trades on keeps a record of all transactions down to unexecuted orders and cancelled orders thus keeping one abreast of all your transactions transactions !$ hours a day. No paperwork means more time at oneDs on eDs disposal for researc research h and analysis.
;<4 Ease of t!a(e:
It is the ease of doing the trade through net, with with a click of mouse< one can buy or sell any share that is dematerialized. ther than the abovementioned advantages, Internet trading provides some additional advantages to the investors, brokers and also helps the nation to "hannelize the resources. Net trading would increase competition in the market hence increase in the bargaining power of the investors. he entire communication between the investor, broker br oker and exchange would wou ld take place within milliseconds. millisecon ds.
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CHAPTER – II RESEARCH PRO%"EM STATEMENT OF THE PRO%"EM
o understand about the company, its achievements and tasks, products and services.
o collect information about thecompetitors, its products and services offered.
*fter understanding and collecting information about the organization and its competitors, a trainee will be able to work well for the organization.
o 3tudy present online share trading.
Identify the areas where IN%I*0:883 3cores above its competitors and what are its weak links.
Sco'e of te Stu()
It provides a complete knowledge of various fundamental concepts of share market and online trading.
It will help in analyzing the behavior of consumers and help in Enowing the parameters of investment on which they would like to inv invest. est.
*lso *ls o through through this pro+ect suggest suggestions ions were recomm recommende ended d regardin regarding g
the
behavioral pattern of investors towards different dif ferent instruments. )rom )rom the study study we wi will ll know know ab about out the the compan companyD yDss str strat ategy egy towar towards ds the business.
O%=ECTI#ES OF THE STUD/:
o find out the point of view of Investors regarding the services provided by %9.
o find the awareness of %emat account among employed investors.
o know the challenges faced in trading by traders in %8@I city.
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o assess the perception of traders about Indialbulls securities private limited in %elhi "ity.
o assess the satisfaction level of traders regarding services of Indiabulls
o know the market share of Indiabulls.
o know the competitors of India0ulls in %8@I city.
RESEARCH METHODO"O0/: Resea!c Design: 7esearch %esign refers to Jframework or plan for a study that guides the collection and analysis of dataJ. * typical research design of a company basically tries to resolve the following issuesaB %eterm %etermini ining ng %ata %ata "ollect "ollection ion %esign %esign bB %etermining %ata 'ethods cB %ete %eterm rmin ining ing %ata %ata 3ourc 3ources es dB %eterm %etermini ining ng 9rimary 9rimary %ata %ata "ollecti "ollection on 'eth 'ethods ods eB %eve %evelop loping ing ;ue ;uesti stionn onnai aires res fB %ete %eterm rmin ining ing 3ampl 3ampling ing desig design n
E>'lo!ati8e Resea!c Design: xpl x plora orati tive ve studi studies es are under undertak taken en wi with th a view view to know know more more about about the problem. hese studies help h elp in a proper definition def inition of the problem, prob lem, and development of specific hypothesis hypothesis is to be tested later by more conclusive research research designs. Its basic purpose is to identify factors underlying a problem and to determine which one of them need to be further researched by using rigorous conclusive research designs.
Conclusi8e Resea!c Design: "onclusive 7esearch 3tudies are more formal in nature and are conducted with a view to eliciting more precise information for purpose of making marketing decisions. hese studies can be eitheraB %escriptive or bB xperimental 1&
Data Collection:
Data Sources:
AiB 9rimary %ata AiiB 3econdary %ata
requir ired ed data data was was coll collec ecte ted d by way way of dist distri ribu buti tion on of P!ima P! ima!) !) Data Data- he requ questionnaires questionn aires to investors at random and by way of telephonic telephonic interviews and online distribution of questionnaire. ool o ols2 s2ec echni hnique que of data data colle collecti ction on
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9ersonal Interview
"lose observation
3urvey conduction
Secon(a!) Data: *lready existing existing data is called secondary data. I collected them by following method K
Internet
0ooks
*rea selected for data collection %elhi
Data P!esentation an( Anal)sis: 1. 0ar graphs !. 9ie %iagrams #. "omparative analysis $. 3/ analysis
Sam'ling Plan: %uration L wo A!B 'onths.
3ample size
1>>
3ampling used in data collection
7andom sampling
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"imitations "imitatio ns of stu():
he respondents who have not given any information information are not included in the sample but do come under the population.
It was not possible to cover each and every client of each and every broking house and hence a sample of 1>> people was taken.
he market share of all the online share trading products is only for the city of %elhi. he market share of all the companies may differ in different cities. It may also differ nationally.
%ue to the tough competition each M every broking firm is offering different schemes like, free opening *2c or different advance brokerage schemes where Indiabulls is lacking in this area.
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CHAPTER – III
COMPAN/ PROFI"E Indiabulls is IndiaDs leading )inancial 3ervices and 7eal state "ompany having over ($> branches across India. Indiabulls serves the financial needs of more than $,&>,>>> customers with its wide range of financial services and products from securities, derivatives trading, depositary services, research and advisory services, consumer secured and unsecured credit, loan against shares and mortgage M housing finance. @aving around $>>> 7elationship 'anagers, Indiabulls helps its clients to satisfy their customized customi zed financial goals. *n India bull through its group of companies has entered into the Indian 7eal state business in !>>&. It is currently evaluating several large scale pro+ects worth several hundred million dollars. dollars. Indiabulls )inancial 3ervices 8td is a public company and listed on the National 3tock xchange, 0ombay 3tock xchange, 8uxembourg 3tock xchange and 8ondon 3tock xchange. he market capitalization of Indiabulls is approx :3 6>> million, and the consolidated consolida ted net worth of the company is approx :3 $>> million. million. Indiabulls and its group companies have attracted :3 #>> million of equity capital in )oreign %irect Investment A)%IB since 'arch !>>>. Indiabulls ranks at 6!nd position in the list of most valuable companies in India. Indiabulls is promoted by three engineers from the Indian Institute of echnology AIIB %elhi. )oreign Institutional Investors A)IIsB and foreign funds hold over (> percent shareholding of Indiabulls. 3ome of the large shareholders of Indiabulls are thee la th large rgest st financ financia iall insti institut tutio ions ns of th thee worl world d such such as )idel )idelit ity y )unds )unds,, "api "apital tal International, =oldman 3achs, 'errill 8ynch, 8loyd =eorge and )arallon "apital. here are approximately over $>,>>> shareholders of the company. Indiabul Indi abulls ls )inanci )inancial al 3ervice 3ervicess is a retail retail financia financiall service servicess company company providi providing ng a diverse array of financial products and services, through its nationwide network of over #>> Indiabulls offices, and services over !,&>,>>> clients spread across 11> cities in India. India. Indiabul Indiabulls, ls, along along with with its subsidia subsidiary ry compani companies, es, offer offer consume consumerr loans, loans, 16
brokerage and depository services, personal loans, home loans and other financial products and services serv ices to the retail markets. Indiabulls, Indiabul ls, which has a workforce workforce of over 1>,>>> full time employees, reported reported :3 (> million in 9rofit before ax and :3 $& million in Net 9rofit for the first nine months of the current financial year. 0usiness of the company has grown in leaps and bounds since its inception. Indiabulls became the first company to bring )%I in Indian 7eal state through a C with )arallon "apital 'anagement 88", a respected :3 based investment firm, Indiabulls has demonstrated deep understanding and commitment to Indian 7eal state market by winning competitive bids b ids for landmark properties properti es in 'umbai and %elhi. Indiabulls =roup is one of the top business houses in the country with business interes int erests ts in 7eal 7eal state, state, Infrastr Infrastructu ucture, re, )inanci )inancial al 3ervice 3ervices, s, 7etail 7etail,, 'ultipl 'ultiplex ex and 9ower sectors. Indiabulls Indiabulls =roup companies are listed in Indian and overseas financial markets. he Net worth of the =roup exceeds :3% ! billion. Indiabulls has been conferred the status of a O0usiness 3uper brandP by he 0rand "ouncil, 3uper brands India. Indiabulls )inancial 3ervices is an integrated financial services powerhouse providing "onsum "on sumer er )inance, )inance, @ousing @ousing )inance )inance,, "ommer "ommercial cial 8oans, 8oans, 8ife 8ife Insuranc Insurance, e, *sset *sset 'anagement and *dvisory services. Indiabulls )inancial 3ervices 8td is amongst (6 companies constituting '3"I 'organ 3tanley India Index. Indiabulls )inancial is also also part part of "83* "83*Ds Ds model model portfo portfoli lio o of #> 0est 0est "omp "ompani anies es in *sia. *sia. India Indiabul bulls ls )inancial )inanci al 3ervices signed a +oint venture agreement with 3ogecap, the insurance arm of 3ocietQ =enerale A3oc=enB for its upcoming life insurance venture. Indiabulls )inancial 3ervices in partnership with ''" 8imited, the largest commodity trading company in India, is setting up IndiaDs $th 'ulti"ommodities xchange. India Ind iabul bulls ls 7eal 7eal s sta tate te 8i 8imi mited ted is India IndiaDs Ds third third large largest st pr prope operty rty co comp mpany any wi with th development pro+ects spread across residential pro+ects, commercial offices, hotels, malls, and 3pecial conomic Rones A3RsB infrastructure development. Indiabulls 7eal state partnered with )arallon "apital 'anagement 88" of :3* to bring the first )%I into real estate. Indiabulls 7eal state is transforming 1$ million sqft in 1( cit cities ies into into premium premium quality quality,, highend highend commer commercial cial,, residen residential tial and retail retail spaces. spaces. Indiabulls Indiabul ls 7eal state has diversified diversified significantly in the following following business verticals within the real estate space- 7eal state %evelopment, 9ro+ect *dvisory M )acilities 15
'anagement- 7esidential, "ommercial Affice and 'allsB and 3R %evelopment. 9ower- hermal and @ydro 9ower =eneration.
ype
9ublic company
raded as
N3-- IN%I*0:883 N3 03-- &#!&$$ 03
Industry
)inancial 3ervices, 3ervices, 7eal state,9ower state,9ower
)ounded
'ay, !>>>
@eadquarters Eey people
=urgaon =urgaon,, India =ehlaut, "hairman M ", 7a+iv 7an+an, ice "hairman, 3ameer =ehlaut, 3aurabh 'ittal, ice "hairman
9roducts
3ecurities , "onsumer )inance, 3ecurities, )inance,'ortgages, 'ortgages, 7eal state
mployees
!>>>> A!>>FB
/ebsite
www.Indiabulls.com
!>
HISTOR/ Indiabulls )inancial 3ervices 8imited was incorporated on Canuary 1>, !>>> as '2s rbis Infoech 9rivate 8imited at New %elhi under the "ompanies *ct, 15&( with 7egistration No. && 1>#16#. he name of "ompany was changed to. Indiabulls )inancial 3ervices 9rivate 8imited on 'arch 1(, !>>1 due to change in the main ob+ects of the "ompany from Infoech business to Investment M )inancial 3ervices business. It became b ecame a 9ublic 8imited "ompany on )ebruary !F, !>>$ ! >>$ and the name of "ompany was changed to '2s. Indiabulls )inancial 3ervices 8imited. *nd now this company has achieved milestone by voted as he Soungest "ompany of the year in &>>. hee group h group start started ed its its busin business ess as a stock stockbro broker kerage age firm firm and pionee pioneere red d online brokerage business busine ss in India before diversifying diver sifying into other financial fin ancial services areas such as consumer credit A!>>$B and mortgages A!>>&B. he group partnered with )arallon "apitall to purchase landmark "apita landmark 'umbai land assets and is currently building one of the largest integrated commercial real estate pro+ects in India Avalued at more than ! billionB. he group recently entered the power generation business and aims to have more than &>>> '/ of power generation under construction before the end of !>>6. Indiabulls )inancial 3ervices 8td is a public company and listed on the National 3tock xchange, 0ombay 3tock xchange, 8uxembourg 3tock xchange and 8ondon 3tock xchange. he market capitalization of Indiabulls is approx :3 6>> million, and the consolidated consolida ted net worth of the company is approx :3 $>> million. million. Indiabulls and its group companies have attracted :3 #>> million of equity capital in )oreign %irect Investment A)%IB since 'arch !>>>. Indiabulls ranks at 6!nd position in the list of most valuable companies in India. Indiabulls is promoted by three engineers from the Indian Institute of echnology AIIB %elhi. )oreign Institutional Investors A)IIsB and foreign funds hold over (> percent shareholding of Indiabulls. 3ome of the large shareholders of Indiabulls are thee la th large rgest st financ financia iall insti institut tutio ions ns of th thee worl world d such such as )idel )idelit ity y )unds )unds,, "api "apital tal International, =oldman 3achs, 'errill 8ynch, 8loyd =eorge and )arallon "apital. here are approximately over $>,>>> shareholders. shareholders.
!1
A%OUT FOUNDERS: he fast paced paced growth, growth, diversifica diversificatio tion n and consoli consolidati dation on of the =roup =roup has been possible due to the vision v ision and leadership of o f the cofounders of Indiabulls. I ndiabulls. Samee! 0elaut is the "hairman, " and /hole ime %irector of Indiabulls. 3ameer is an engineer from IIT* Deli 2+,,?4 and has worked internationally with Halli6u!ton in it itss inter internat natio ional nal servic services es busine business ss in 155&. 155&. @e has utili utilize zed d his his
experien expe rience ce with with the internat internationa ionall best practices practices and professi professional onal work culture culture at @alliburton to lead Indiabulls successfully. Ra@i8 Rattan is the 9resident, ") and /hole ime %irector of Indiabulls. 7a+iv is
an engineer from IIT* Deli 2+,,;4 and has rich experience in the oil industry, having worke wo rked d extens extensive ively ly acros acrosss th thee gl globe obe in highly highly respon responsib sible le assign assignme ments nts wi with th . 7a+iv has managed remote exploration pro+ects providing evaluation Sclum6e!ge! services for different clients in India as well as abroad. Sau!a6 Mittal is a %irector at Indiabulls. %eclared the best graduating student in
3aur urab abh h was also also on onee of the the engi engine neer erss sele select cted ed by II IIT* T* Del Delii in 2+,, 2+,,?4 ?4, 3a Sclum6e!ge! to work for its international services business in 155& and gained
experience of working in various global locations. @e graduated as a 0aker 3cholar with an '0* from the Ha!8a!( %usiness Scool. @e has also developed indepth understanding of international financial markets.
%oa!( Of Di!ecto!s N*' 'r.3ameer =ehlaut 'r.3hamsher 3ingh 'r.*ishwarya Eatoch 'r.Eartar 3ingh =ulia 'r.=agan 0anga 'r.3aurabh E 'ittal 'r.Earan 3ingh 'r.7a+iv 7attan
%3I=N*IN "hairman M /hole time %irector %irector %irector %irector %irector %irector %irector /hole ime %irector
!!
INDIA%U""S SECURTIES "TD< Indiabulls 3ecurities 8imited is IndiaDs leading capital markets company with *ll India 9resence and an extensive client base. Indiabulls 3ecurities 3ecurities is the first and only brokerage house in India to be assigned the highest rating 0; K 1 by "7I3 "7 I3I8 I8.. India Indiabul bulls ls 3ecur 3ecurit itie iess 8t 8td d is liste listed d on N3, N3, 03 03 M 8uxem 8uxembou bourg rg stock stock exchange. he company through various types of brokerage accounts provides product and services related to purchase and sale of securities listed in N3 and 03. It also provides depository depositor y services, equity research res earch services, mutual fund, fu nd, I9 distribution to its clients. he company provides these services through online and offline distribution channel.
Indiabulls 3ignature *ccount
9ower Indiabulls
%epository 3ervices N7I rading .
I9 nline
Indiabulls quity *nalysis
!#
Poe! In(ia6ulls 2PI%4 9ower 9ow er Indiabul Indiabulls ls A9I0B A9I0B is the advance advanced d online online trading trading platform platform from Indiabul Indiabulls ls 3ecurities 8imited, the leading stock broker in India with a branch network spread across the country. 9I0 provides the best in the class internet trading features and delivers a seamless and rich online trading experience experience for its users. /hether /hether we are a %ayrader who buy2sell stocks during the day or a 3tock 7esearch *nalyst who believes in taking a stock trading call after doing extensive fundamental research M technical analysis, 9I0 fulfills our every stock trading need from the comfort of our desktop. 9I0 comes with a whole host of online features for the internet trading users ranging from realtime realtime stock prices, to live trading reports, charting, charting, News 7oom. )or 'arket xperts M 3tock 7esearch *nalysts, 9I0 provides features like echnical *nalysis to help them analyze the behavior of a particular stock using popular technical analysis indicat indi cators ors like like 3imple 3imple 'oving 'oving *verage *verage,, 3tochas 3tochastic tic,, 7elativ 7elativee 3trengt 3trength h Index, Index, etc. etc. 0esides, one can also view 'arket 3tatistics section to view the dayDs op =ainers 2 8osers, 'ost *ctive, 'ost olatile, etc. )or day traders, 9I0 offers trading features like Intraday "harting, @ourly ick 8ist and *lerts to help them track the movement of underlying scrip 2 index during the day. 0esides, one can also create multiple 'arket /atch windows to view the latest market price of the stocks they want to track. 9I0 provides an integrated online trading platform for the internet trading community to invest in equity, )M, nline I9s and base their decision on sound fundamental research and technical analysis. analysis. It also provides various kinds of trading reports, each
!$
developed develope d to cater to internet trading usersD distinct needs. )or ex., we can access Net 9ortfolio 7eport to view a list of stocks that are available in our portfolio. o view our open positions in )M segment, we can access )M "omplete 9osition 7eport. 9I0 also provides provides details details about about our current current dayHs dayHs obligati obligations ons in "urrent "urrent bligat bligations ions 7eport. /ith whole host of advanced online trading features, 9I0 aims to fulfill the needs of every genre of investors M help them gain profits in every possible way. Featu!es of PI%:
8ive 3treaming ;uotes )ast rder ntry ic by ic 8ive "harts echnical *nalysis 8ive News and *lerts
Signatu!e Account /ith Indiabulls 3ignature account you will always remain on top of your investments. It provides you the platform to trade in quity and %erivatives. /ith an unmatched service and nationwide presence, the Indiabulls 3ignature account comes bundled with a variety of exclusive features.
flexib ility to Ease of t!a(ing K /ith Indiabulls 3ignature account we have the flexibility place your orders either by logging on the website, calling at the branch or
walking in the branch. De(icate( Se!8ice %!anc an( Relationsi' Manage!: we can get in touch with our 7elationship 'anager and 3ervice 0ranch for all our trading related requirements.
Poe! In(ia6ulls 2PI%4 - /e can trade smarter and faster using the 9ower
Indiabul Indi abulls ls applica application tion.. *ccess *ccess the broad broad spectrum spectrum of sophist sophisticat icated ed trading trading tools and get an edge in the stock markets.
Indiabulls online payment gateways facility Online Pa)ment 0atea)s- :se Indiabulls and get instant credit in our rading *ccount. Indiabulls currently provide
!&
online gateway payment facility with four ma+or banks K @%)", I"I"I, *GI3 and I%0I.
IPOs K Indiabulls Indiabulls provides flexibility to apply in ongoing I9s through either
online or offline channels. )or applying online, we do not need to fill tedious forms and write cheques. /e can apply conveniently in I9s from the comfort of our home 2 office through our /ebsite29I0. )or applying offline, we can contact our 7elationship 'anager2 3ervice 0ranch.
Po!tfolio T!ac9e!- /e can track our investments online through Indiabulls
portfolio tracker functionality. /e can conveniently track the daily dail y movement, notional 2 booked profits and losses in your portfolio.
EBuit) Anal)sis Re'o!t K * qualified and dedicated team of equity analysts
at Indiabulls publishes various research reports. /e can view these reports to gain insight into the companies of your interest.
Nes Room: he News 7oom provides realtime news from stockmarkets,
corporate sector, economy and other segments that have a bearing on the market sentiment.
Ma!9et Statistics- his functionality facilitates tracking the market trend by
providing us real time data d ata on top gainers, top losers, lo sers, volume toppers and most volatile stocks.
obilep lepho hone ne base ased Mo6i Mo 6ile le Poe Poe!! In(i In(ia6 a6ul ulls ls 2MPI 2MPI%4 %4- '9I0 is a mobi application, applicat ion, developed exclusively for Indiabulls customers. :sing '9I0, we can view the live market rates of your favorite stocks and futures contrac contracts ts on your mobile device. hus with '9I0, we can always remain connected with the market, even on the move.
Elect!onic Cont!act Notes on Email - his facility enables us to get digitally
signed lectronic lectronic "ontract Notes on email within !$ hours of executing trades in our rading *ccount.
De'osito!) Se!8ices Indiabulls Indiabul ls is a depository participant with the National National 3ecurities %epository 8imited 8imited and "ent "entral ral %epo %eposi sitor tory y 3ervi 3ervices ces AIndia AIndiaBB 8imi 8imite ted d for tr tradi ading ng and sett settlem lement ent of demat dem ateri erial alis ised ed share shares. s. India Indiabul bulls ls perfor performs ms clear clearing ing servi services ces for all all secur securiti ities es !(
transactions through its accounts. /e offer depository services to create a seamless transaction platform K execute trades through Indiabulls 3ecurities and settle these transac tra nsactio tions ns through through the Indiabul Indiabulls ls %eposito %epository ry 3ervice 3ervices. s. Indiabul Indiabulls ls %eposit %epository ory 3ervi 3ervice cess is part part of our value value ad added ded servic services es fo forr our clie client ntss that that cr creat eatee mult multipl iplee interfaces with the client and provide for a solution that takes care of all your needs.
In(ia6ulls EBuit) Anal)sis Indiabulls Indiabul ls quity *nalysis complements its equity broking and advisory services with high quality comprehensive report which can be accessed online. 7esearch report assess the potential strength and investment risk by doing indepth and exhaustive analysis of operational and financial performance of company, 9eer group analysis, present Industry scenario using advanced and sophisticated forecasting tools and models. mod els. hese hese research research reports reports identif identify, y, examin examinee and distill distill attr attracti active ve investm investment ent opportunities to help you in building and maintaining your ideal portfolio. 3alient features of Indiabulls quity *nalysis
"overs report of more than &$> company
:pdated on a daily basis
3corecard on )undamentals, aluations and risk
9eer *nalysis
aluation of potential growth
Industry 3cenario
xpansion plan
%etails of 'ergers and *cquisitions
NRI T!a(ing Non7esident Indians AN7IsB can also en+oy the state of the art nline trading 9latformss of Indiabulls 9latform Indiabulls to trade in Indian "apital "apital 'arkets. 'arkets. /e, at Indiabulls, Indiabulls, provide N7I clients a fast and secure trading platform which would perfectly cater to N7IHs rading requirements. o start trading through Indiabulls , the following simple steps need to be followedpening of nline N7I rading and N7I %emat account with Indiabulls- =et in touch with your nearest Indiabulls service branch A0ranch 8ocatorB to complete all the rading and %emat account opening formalities. !F
pening of a N7I 9I3 account with *xis bank- * N7I is required to open a 9I3 acco accoun untt A9or A9ortf tfol olio io In Inve vest stm ment ent 3chem chemeB eB with with a desi design gnat ated ed bank bank in In Indi dia. a. Indiabulls 3ecurities 8imited has tied up *xis bank to offer this facility to N7Is to enable them to trade in the Indian "apital markets.
0RO$TH STOR/
7& Indiabulls )inancial 3ervices 8td. established one of IndiaDs first trading + platforms with the development develop ment of an in house team. 7+& Indiabulls expands its service offerings to include quity, )M, /holesale %ebt, 'utual fund, I9 distribution and quity 7esearch. 7& Indiabulls ventured into Insurance distribution and commodities trading. ; "ompany focused on brand building and franchise model.
Indiabulls came out with its initial public offer AI9B in 3eptember !>>$. Indiabulls started its consumer finance business. 7;& Indiabulls entered the Indian 7eal state market and became the first company ? to bring )%I in Indian 7eal state.
Indiabulls won bids for landmark properties in 'umbai. Indiabulls has acquired over 11& acres A>.$F km!B of land in 3onepat for residential home site development. 'errill 8ynch and =oldman sac, one of the renowned investment banks in the world have increased their shareholding in Indiabulls. 7?& Indiabulls is a market leader in securities brokerage industry, /ith around #1T share in online trading, )arallon "apital and its affiliates, the worldDs largest
hedge fund committed 7s. !>>> million for Indiabulls subsidiaries iz. Indiabulls "redit 3ervices 8td. and Indiabulls @ousing )inance 8td. 3teel ycoon 'r. 8N 'ittal promoted 8N' India Internet venture 8td. acquired 6.!T stake in Indiabulls "redit 3ervices 8td.
!6
Indiabulls entered in a &>2&> +oint venture with %8), Eenneth 0uilders M %evelopers AE0%B. E0% has acquired #&.6 acres A1$&,>>> m!B of land from %elhi %evelopment *uthority through a competitive bidding process for 7s $&> crore to develop residential apartments. Indiabulls )inancial 3ervices 8td. is included in the prestigious 'organ 3tanley "apital International Index A'3"IB. 7-&
)arallon "apital has agreed to invest 7s. (,$$> million in Indiabulls )inancial 3ervices 8td. Indiabulls ventured into commodity brokerage business. Indiabulls has received an Oin principle approvalP from =overnment of India for development of multi product 3R in the state of 'aharashtra. %ev 9roperty %evelopment plc. has subscribed to new shares and has also acquired a minority shareholding from the "ompany. Indiabulls )inancial 3ervices 8td. 0oard resolves to *malgamate Indiabulls "redit 3ervices 8imited and demerge Indiabulls 3ecurities 8imited.
!5
Sales Tu!n o8e! an( P!ofit an( Ea!ning 'e! sa!e Of In(ia%ulls 'ar H>6 'arD>5 Sales Tu!no8e! ther Income
+-<; 1.#F
-+< !.6!
otal Income otal xpenses
1(6.$1 (!.6&
(1#.1& !>1.>$
O'e!ating P!ofit 9rofit n 3ale f *ssets 9rofit n 3ale f Investments =ain28oss n )oreign 73 *d+ustment ther xtraordinary otal xtraordinary
+;<+,
;,<7,
'arD1> 'ar H11 +*7;<, +*--<7 ? ? #.$( !.&! 1,!$$.$ 1,(66.F 1 F $5&.(5 $&6.#1 +*77<, ;?<7;
ax xtra n xrdinary traordinary Net
0!oss P!ofit
Interest 90% %epreciation %epreciation n 7evaluation ) assests 90 ax Net P!ofit 9rior Sears Income2xpenses %epreciation for 9revious /ritten 0ack2
+?<?-
;+7<++
1#.#6 5!.16 !.1F
#1.$5 #6>.(! F.!&
5>.>1 ##.# ?-<+
9rovided %ividend %ividend ax %ividend ATB Ea!nings Pe! Sa!e 0ook alue quity
#F#.#F 1!>.>1 7?<-
;<7-
+*7<; +*7<; + ;<7 1,>!6.( (F.5F #5!.!( ( (6>.F& 6#6.! 1F6.F( 1F.(5 F.1( F.61 ((#.>( 6#1.>$ 1F>.5& !15.(( !&>.$ F1.& ;;<; ?<-; ,,<;?
+?<+
7;<+,
!(.(&
7eserves )ace alue
&## !
#>
#!.>& 1,(&$.( # !
'ar H1! 7*< , !.F !,>>&.F 5 F56.#6 +*7;< +
#(.(( 1,$(#.> > !
77<,+
&>.(5 #,156.! ! !
<,7
&>.F# #,!15.1 $ !
Sales Tu!no8e! Ta6le
Sales Tu!no8e! Ca!t
#1
O'e!ating P!ofit Ta6le
O'e!ating P!ofit Ta6le Ca!t
#!
0!oss P!ofit Ta6le Ca!t
0!oss P!ofit Ca!t
##
Net P!ofit Ta6le
Net P!ofit Ca!t
#$
Ea!nings Pe! Sa!e Ta6le
Ea!nings Pe! Sa!e Ca!t #&
S$OT ANA"/SIS St!engts
ery 3trong 0rand Image.
8ow "harges with respect of its 3ervices.
)ree annual maintenance of %emat account.
)acility to trade in office.
ery =ood "ustomer "are :nit.
$ea9nesses
/eak *dvertisement 9olicies.
rading on 03 stocks is not available
"ommodity trading is not available in 0ranch
#(
O''o!tunities
8arge :ntapped 'arket.
pportunity to educate investors about their products M inspire them to invest
more M encourage others. =ood pportunity to "ash its 0rand Image and 9eople rust.
T!eats
9resence of very strong competitors 8ike, Earvy, *ngel 0roking, 3hare khan, 7eligare etc.
*ggressive marketing by competitors.
8ow brokerage offerings by competitors.
#F
COMPARATI#E ANA"/SIS OF #ARIOUS STOC. %RO.IN0 COMPANIES IN DE"HI ON THE %ASIS OF ACTI#ATION CHAR0ES* %RO.ERA0E* SER#ICES
Angel %!o9ing "riteria
*ngel stock broking
%emat a2c opening charges
F&>
0rokerage intra day, delivery
& paise,&> paise
*'"A*nnual 'a 'aintenance "h "hargesB
7s.#>>
radin ding fundi undin ng int ntrra day, del delivery
(ti (times, es,$ timesAmin Aminim imum um stock ock 7s &>>>> >>>>BB
%ebit period
U! %ays
'ode of trading
0oth online and offline
'argin money
&>>>
3oftware installation charges
No extra charges
#6
In(iaInfoline
"riteria
India infoline
%emat a2c opening charges
&&>
0rokerage intra day, delivery
& paise,&> paise
*'"A*nnual maintaince chargesB
NI8
rading funding,intraday,%elivery
1> times, $times
%ebit period
U!
'ode of trading
0oth online and offline
'argin 'oney
!>>>
3oftware Installation charges
No extra charges
#5
Religa!e Secu!ities
"riteria
7eligare 3ecurities
%emat a2c opening charges
&&>
0rokerage intra day, delivery
$ paise,$> paise
*'"A*nnual maintaince chargesB
!&> (times,$ timesAminimum stock 7s &>,>>>B
rading funding,intraday,%elivery %ebit period
U!
'ode of trading
0oth online and offline
'argin 'oney
No limit
3oftware Installation charges
No xtra charges
$>
ICICI Di!ect
"riteria
ICICI Di!ect
%emat a2c opening charges
7s.5F& &>9aise,F&9aise
0rokerage intra day, delivery *'"A*nnual maintaince chargesB
7s.&>> (times,$ timesAminimum stock 7s &>,>>>B
rading funding,intraday,%elivery %ebit period
U!
'ode of trading
0oth online and offline
'argin 'oney
No limit
3oftware Installation charges
No xtra charges
$1
CHAPTER – I# DATA ANA"/SIS AND INTRPRETATION
I
uestions !ega!(ing '!o6lems in t!a(ing:&
;.1B %o you invest in share marketV aB Ses bB No
Ta6le No< + Soing Pu6licGs Inte!est toa!(s In8estment in Sa!e Ma!9et
Particulars No. of respondents % of respondents
Yes
NO
35
65
35.00
65.00
Anal)sis: *s per the table in %elhi city people invest in 3hare market is
moderate.
$!
Ca!t No<+ Soing Pu6l Pu6licGs icGs Inte!est toa!(s In8estment in Sa!e Ma!9et
70 60 50 40 30 20 10 0 Yes
NO
No. of of re respo pon ndents nts
% of rre esp spo onden ents ts
Interpretation- #&T people invest in share market in %elhi city
$#
;.!B 9lease tick the following- a.B ype of trading you generally do
intraday 2 delivery 2 both
Ta6le No< 7<+ Soing T)'e of T!a(ing
Particulars No. of r% esopforn en ed sp otnsdent
Intraday
Delivery
1$ !6.#
!5 " #!.6
Doth
! 1 30.
Anal)sis: *s per the table it indicates that delivey type had been more.
$$
Ca!t No< 7<+ Soing T)'e of T!a(ing
45 40 35 30 25 20 15 10 5 0 Intraday No. of of res respo pond nden ents ts
Deliv ery
Doth
per perent enta! a!e e of respo espond nden entt
Interpretation- !(.$FT people prefer intraday trading, $!.(& T prefer delivery and #>.66T do both type of trading.
$&
b.Bime period of investment less 1 month 2 1( months 2more than ( months.
Ta6le No< 7<7 Soing Time Pe!io( of In8estment
Particulars No. of respondents % of respondents
ess than 1 &onth
1 to 6 &onths
'ore than 6 &onths
!1
3#
13
30.
50.00
1".1!
Anal)sis: *s per the table time period for investment minimum (
months.
$(
Ca!t No< 7<7 Soing Time Pe!io( of In8estment
50 40 30 20 10 0 "ess than 1 #onth
1 to 6 #onths
No.. of No of re respondents
$ore than 6 #onths
% of respondents
Interpretation- 'aximum people prefer to invest for 1 to ( months and amount of investment investment for ma+ority of people was found to be between 7s. !>,>>> to 7s. 1 lac.
$F
;.#B In your opinion what is biggest problem in trading-
a.B 8ack of knowledge or experience b.B :nsatisfactory :nsatisfactory serv services ices of br broking oking fi firms rms c.B 'arket uncertainty d.B "harges by broking firm
Ta6le No< Soing P!o6lems in T!a(ing
Particulars
a.( ac) of )no*led+e or e,perience
No. of respondents % of respondents
-.( nsatisfactory services of -ro)in+ fir&s
c.('ar)et d.(/har+ uncertaint es -y y -ro)in+ fir&
50
!"
10
1$
#$.1$
!$.36
".#3
16.0#
Anal)sis: *s per the table the biggest problem is only lack of knowledge
or experience is maximum.
$6
Ca!t No< Soing P!o6lems in T!a(ing
50 40 30 20 10 0
a. "a& of &no'led!e or e(periene
). *nsatisfatory se rvies rvies of )ro&in! fir#s
No. o off respo espond nden ents ts
.$ar&et +nertainty
d.,har!es )y )ro&in! fir#
% of respo espond nden entts
Interpretation- 'ost of the people facing biggest problem in trading, 8ack 8ac k of kn knowl owledg edgee and bel believ ievee th that at unsat unsatis isfac factor tory y servi services ces by their their broking firms create problem in trading while 1( T people consider charges of broking firm as a problem in trading.
$5
;.$B /hat is your opinion about the problem of market uncertainty in tradingV a.B ItHs a big challenge b.B ItHs manageable manageable c.B ItHs an opportunity
Ta6le No< ; Soing Ma!9et Unce!taint) in T!a(ing
Particulars No. of respondents % of respondents
a.(Its a -i+ challen+e
-.(Its &ana+ea-le
c.(Its an opportunity
#0
1
13
56.3#
!5.35
1.31
Anal)sis: *s per the table it clearly shows that the uncertainty in trading
is a big challenge.
&>
Ca!t No< ; Soing Ma!9et Unce!taint) in T!a(ing
60 50 40 30 20 10 0
a.It-s a )i! hallen!e
).It-s .It-s an #ana!ea)le opport+nity
No.. of No of rres esp pondents
% of rre esponden entts
Interpretation- 'a+ority of people consider market uncertainty as a big problem,, around 16 T people consider it as an opportu problem opportunity nity and rest says it is manageable.
&1
;.&B %oes unsatisfactory services provided by the broking firm create problem in tradingV a.B Ses b.B * little little c.B No
Ta6l Ta 6lee No No<< ? S So oin ing g Un Unsa sati tisf sfac acto to!) !) Se Se!8 !8ic ices es '! '!o8 o8i( i(e( e( 6) t tee 6!o9ing fi!m
Particulars No. of respondents % of respondents
Yes
little
No
3$
1#
1$
5#.#1
!0.5"
!5.00
Anal)sis: *s per the table it indicates that there is unsatisfactory services
is more by the broking firm.
&!
Ca! C a!tt No No<< ? S So oin ing g Un Unsa sati tisf sfac acto to!) !) Se Se!8 !8ic ices es '! '!o8 o8i( i(e( e( 6) t tee 6!o9ing fi!m
60 50 40 30 20 10 0 Yes Y es
littl little e
No. of respo espond nden ents ts
No
% of respo espond nden entts
Interpretation Interpretati on - &$.$1T consider the :nsatisfactor :nsatisfactory y services provided by the broking firm create problem in trading, !>.&T people consider it a little and !&T were not agree to that.
&#
;.(B /hich charge do you consider charged by the broking firms is a problem in tradingV a.B 0roking charge b.B :ndisclosed :ndisclosed hid hidden den charge c.B *nnual maintenance charge
Ta6le No< - Soing Ca!ges of te %!o9ing Fi!m
Particulars
No. of respondents % of respondents
-.( ndisclosed a.( 2ro)in+ hidden c.( nnual char+e char+e &aintenance char+e 13
3
!$
16.6$
#.$!
3#.6!
Anal)si Ana l)sis: s: *s per the table undisclosed hidden charges by the broking
firm is high,
&$
Ca!t No< - Soing Ca!ges of te %!o9ing Fi!m
50 40 30
20 10 0
a./ro a./ ro&i &in! n! h har!e ar!e
).*n ).*ndis dislo los sed hidd hidden en .nn+al har!e #aintenane har!e
No. of respo espond nden entts
% of respo espond nden ents ts
Interpretation- 'ost people considered undisclosed hidden charges and annual maintenance charge as their problem in trading.
&&
II U UES ESTI TION ONS S RE RE0A 0ARD RDIN IN0 0 PE PERC RCEP EPTI TION ON OF TR TRAD ADER ERS S RE0ARDIN0 INDIA%U""S:&
;.1B ;. 1B Na Nam me of th thee br brok okin ing g fi firm rm with with whic which h you you are are makin aking g your your investmentV a.B Indiabulls bB 3hare khan khan cB *ngel 0roking dB 7eligare eB Earvy fB thers
Ta6le No< + Soing In8estment ma(e 6) 'u6lic in %!o9ing Fi!m
Particulars No. of respondents % of respondents
India -ulls
n+el 2ro)in +
hare )han
4eli+ar e
arvy
Other s
!"
11
6
!0
#0
30
!1.3!
.0"
#.#1
1#.$1
!".#1
!!.06
Anal)sis: *s per the table the public response towards karvy is high.
&(
Ca!t No< + Soing In8estment ma(e 6) 'u6lic in %!o9ing Fi!m
40 35 30 25 20 15 10 5 0
In d ia ) +lls
h ar e &han
n!el /ro&in!
No. o off rre espond nde ent nts s
e li! are
arv y
o th e r s
% of rre espond nde ent nts s
Interpretation- 'arket share of IN%I*0:883 is around !1.#! T in %elhi.
;.!B *re you satisfied in trading with your broking firmV &F
a.B 3atisfied b.B Neither satisfied n nor or diss dissatisfied atisfied c.B %issatisfi %issatisfied ed
Ta6le No< 7 Soing Satisfaction in T!a(ing it %!o9ing Fi!m
Particulars
No. of respondents % of respondents
a.(atisfi ed
-.(Neither c.(Dissatisfi satisfied ed nor dissatisfi ed
!5
!0
1#
#!.3$
33."0
!3.$3
Anal An al)si )sis: s: *s per the table the public response towards broking firm
services is average.
&6
Ca!t No< 7 Soing Satisfaction in T!a(ing it %!o9ing Fi!m
45 40 35 30 25 20 15 10 5 0
a.at isfie d
) .Ne iitt h e r satisfie d nor dissatisfied
No.. o No off rre espond nde ent nts s
.Dissatisfied
% of rre espond nde ent nts s
Interpretation- 'ost of the people are satisfied with their broking firm.
&5
;.#B *re you aware of products and services offered by IndiabullsV a.B Ses b.B No
Ta6le No< Soing Aa!eness of P!o(uct an( Se!8ices offe!e( 6) In(ia6ulls
Particulars No. of respondents % of respondents
Yes
NO 3!
36
#$.06
5!."#
Anal)sis: *s per the table the awar awareness eness of p product roduct and services lesser
provided by Indi Indiabulls. abulls.
(>
Ca!t No< Soing Aa!eness of P!o(uct an( Se!8ices offe!e( 6) In(ia6ulls
60 50 40 30 20 10 0 Yes
NO
No.. of No of rre espondents
% of rre esp spo onde den nts
Interpretation- $F.>( T of people are aware of products and services offered by Indiabulls.
(1
;.$B *re you satisfied with themV a.B 3atisfied b.B Neither satisfied n nor or diss dissatisfied atisfied c.B %issatisfi %issatisfied ed
Ta6le No< ; Soing Satisfaction of Cutome!s it In(ia6ulls
Particulars
a.(atisfi
-.(Neither c.(Dissatisfi
ed
satisfied nor dissatisfi ed
No. of respondents % of respondents
ed
1"
5
5".3
!5.00
15.63
Anal)sis: *s per the table it indicates that Indiabulls having good name
in the market by &5.#6T.
(!
Ca!t No< ; Soing Satisfaction of Cutome!s it In(ia6ulls
60 50 40 30 20 10 0
a. atisfie d
) .Ne iitth e r satisfie d nor dissatisfied
No.. of rre No espond nde ent nts s
.Dissatisfied
% of rre espond nde ent nts s
Interpretation- 'a+ority of people are satisfied with them.
(#
;.&B *re you satisfied with the charges charged by Indiabulls Indiabulls for opening %'at accountV a.B 3atisfied b.B Neither satisfied n nor or diss dissatisfied atisfied c.B %issatisfi %issatisfied ed
Ta6l Ta 6lee No No<< ? S So oin ing g Sa Sati tisf sfac acti tion on of O' O'en enin ing g D& D&m mat A3 A3cc i it t In(ia6ulls
Particulars
No. of respondents % of respondents
a.(atisfi ed
-.(Neither c.( satisfied Dissatisfied nor dissatisfi ed
1 56.!5
" !.13
5 15.63
Anal)si Ana l)sis: s: *s per the table it clearly denotes that cutomers satisfaction
towards Indiabulls demat a2c is good and it is !6T more than unsatisfied customers.
($
Ca! C a!tt No No<< ? S So oin ing g Sa Sati tisf sfac acti tion on of O' O'en enin ing g D& D&m mat A3 A3cc i it t In(ia6ulls
60 50 40 30 20 10 0
a.atisfied
).Ne Neiither . satisfied satisfi ed nor Dissatisfied dissatisfied
No. of respo pon nde dent nts s 3D ,ol+#n 5
% of rre espo pon nde dent nts s
Interpretation- 'ost of people are satisfied with the charges charged by Indiabulls for opening %emat account.
(&
;.(B /hat is your perception regarding IndiabullsV a.B =ood b.B average c.B 0ad
Ta6le No< - Soing Pe!ce'tion !ega!(ing In(ia6ulls
Particulars No. of respondents % of respondents
ood
v+.
2ad
3#
!!
1!
50.00
3!.35
1$.65
Anal An al)s )sis is:: *s pe perr th thee tabl tablee it in indi dica cate tess th that at th thee perc percep epti tion on to towa ward rdss
Indiabulls is good by &>T.
((
Ca!t No< - Soing Pe!ce'tion !ega!(ing !ega !(ing In(ia6ulls
50 40 30 20 10 0 ood
v !.
No.. of No of rre esponde ndents
/ad
% of rre esponden entts
Interpretation- xcept 1! people A1F.(& TB perceive positive perception about IN%I*0:883.
(F
;.FB 9lease specify reasonsV a.B 3ervices
good 2average 2 bad
b.B 0rokerage 0rokerage
good 2av 2average erage 2 bad
c.B 7elationship managerHs support
good 2average 2 bad
d.B ransparency
good 2average 2 bad
Ta6le No< Soing Custome! Su''o!t 6) In(ia6ulls
3ervices
0rokerage
ransparency
7elationship managerDs support
9articulars No. of respondent T of
=ood
*vg.
0ad
=ood
*vg.
0ad
=ood
*vg.
0ad
=ood
*vg.
0ad
#!
!1
1&
1$
#F
1F
!#
!F
16
#5
1$
1>
$F.>(
#>.66
!!.>(
!>.&5
&$.$1
!&.>>
##.6!
#5.F1
!(.$F
&F.#&
!>.&5
1$.F1
respondent
Anal)sis: *s per th thee tab table it indic icat ates es th that at In Ind dia iab bulls towar wards
transparency they are very successful in market by &F.#T.
Ca!t No< Soing Custome! Su''o!t 6) In(ia6ulls (6
60 50 40 30 20 10 0
o od
v! .
/ ad
a.B3ervice
o od
v! .
/ad
b.B0rokerage
No.. of resp No espondents
o od
v! .
/ad
c.B7elationship managerHs support
o o d
v! .
ransparency
% of respon pondents
Inte Interp rpre reta tati tion on-- In case case of tr tran ansp spar aren ency cy and and serv servic ices es In Indi diab abul ulls ls is consi con sider dered ed good good and ave averag ragee in cas casee of br brok okera erage ge and relati relation onsh ship ip managerHs support.
(5
/ ad
CONC"USION
'ost of the traders consider unsatisfactory services of broking firm as biggest problem in trading.
'ost of traders perceive Indiabulls as a good broking firm.
In case of transparency and services Indiabulls is considered good and average in case, of brokerage and relationship managerHs support.
9eople awareness about Indiabulls product are recognized by the cutomers and they are satisfied regarding services offered by them
'arket share of Indiabulls in %elhi city is about #&T
F>
SU00ESTIONS
0roking charges should be revised to make them more competitive.
'ore relationship managers should be appointed to increase market share.
7elationship managerHs support to the clients should be improved.
)acility to trade on commodity and 03 should be added.
Indiabulls should conduct some kind of mock "lasses for new Investors who even donDt know about share market.
India0ulls rganize training 9rogram for their existing clients once or twice in a year.
F1
%I%"IO0RAPH/
www.Indiabulls.com
www.Investopedia.com
www.powerindiabulls.com
www.bseindia.com
www.nseindia.com
www.moneycontrol.com
www.equitymarket.com
www.demat.com
ANNEURE F!
uestionnai!e: ;.1B %o you you invest in share 'arketV aB Ses bB No ;.!B 9lease tick the followinga.Bype of trading you generally do
Intraday 2 %elivery 20oth
b.B*mount of investment
8ess than !> k 2 !>kl lacs 2more than 1 lacs
c.Bim c.Bimee period period of investm investment ent
8ess 8ess than than 1 month21 month21( ( month month 2m 2more ore than (
month
;.#B In your opinion what is biggest problem in tradinga.B 8ack 8ack of knowledg knowledgee or experie experience nce
b.B:nsat b.B:nsatisf isfacto actory ry
service servicess
of
broking firms c.B'arket uncertainty
d.B "harges by broking firm
;$B /hat is your opinion Habout the problem of market uncertainty in tradingV a.B ItHs a big challenge
b.B ItHs manageable
c.B ItHs an opportunity
;.&B %oes unsatisfactory services provided by the braking firm create problem in tradingV a.B Ses
b.B 9artially
c.B No
;.(B /hich charge do you consider charged by the companies is a problem in tradingV a.B0roking charge
b.B :ndisclosed hidden charge
c.B*nnual
maintenance charge
;.FB Name of the company with which you are making your investmentV
F#
a.B Indiabulls b.B 7eliance money
c.B 3hare khan
;.6B *re you satisfied in trading with your broking firmV a.B 3atisfi 3atisfied ed b.B b.BNei Neither ther satisfi satisfied ed nor dissati dissatisfie sfied d
d.B ther
cB %issat %issatisfi isfied ed
;.5B *re you aware of products and services offered by IndiabullsV a.B Ses b.B No
;.1>B *re you satisfied with the charges charged by Indiabulls for opening %'at account Awith annual maintenance chargeBV a.B 3 3aatisfied b.B Ne Neither sa satisfied n no or di dissatisfied
c.B %i %issatisfied
;.11B /hat is Sour perception regarding IndiabullsV a.B =ood b.B *verage cB 0ad
;.1!B 9lease specify reasonsV a.B 3ervices
good2average 2 bad
b.B 0rokerage
good 2 average 2 bad
c.B 7elationship managerHs support
good 2 average 2 bad
d.B ransparency
good 2 average 2 bad
F$
