Appendix 1

Registration for Dissertation Work

1. 2. 3. 4. Name of the student : NARESHA. A. Name of the guide : Prof. SMITA GAIKWAD Proposed research area : FINANCE Proposed research topic : AN ANALYTICAL STUDY OF DERIVATIVES IN CURRENCYFUTURES WITH REFERENCE TONSE AT UNICON.

5. Write a brief note on topic Derivative is a product whose value is derived from the value of an underlying asset in a contractual manner. The underlying asset can be equity, forex, commodity or any other asset. The following three broad categories of participants in the derivatives market.Hedgers,Speculators,Arbitrageurs. Types of Derivative The following are the various types of derivatives. They are Forwards, Futures, A futures contract is an agreement between two parties to buy or sell an asset at a certain time in the future at a certain price.Options, Leaps, Baskets, Swaps.Interest rate swaps Currency swaps. A contract is that which derives its value from the prices or index of price underlying securities.The Future segment of NSE provides trading facilities for the following derivative segment:Index Based Futures,Individual Stock Futures. Student signature

Approved or disapproved if it is disapproved,the reason for revision.. Guides signature with date Research co-ordinators signature with date

SYNOPSIS
On

AN ANALYTICAL STUDY OF DERIVATIVES IN CURRENCY FUTURES WITH REFERENCE TO

NSE AT UNICON .
Submitted in partial fulfilment of the requirement of the Bangalore University for the award of degree of Master of business administration Submitted by NARESHA. A Reg no.11KXCMA034 Under the guidance of Prof. SMITA GAIKWAD

Surana college PG centre Kengeri satellite town Bangalore -560060. 2011-2012

TITLE: AN ANALYTICAL STUDY OF DERIVATIVES IN

CURRENCY FUTURESWITH REFERENCE TO NSE AT UNICON.

BACK GROUND A Derivative is a financial instrument that derives its value from an underlying asset. Derivative is an financial contract whose price/value is dependent upon price of one or more basic underlying asset, these contracts are legally binding agreements made on trading screens of stock exchanges to buy or sell an asset in the future. The most commonly used derivatives contracts are futures, which we shall discuss in detail later. The main objective of the study is to analysethe derivatives market in India and to analyse the operations of futures. Analysis is to evaluate the profit/loss position futures. Derivate market is an innovation to cash market. Approximately its daily turnover reaches to the equal stage of cash market

NATURE OF PROBLEM The present study on futures is very much appreciable on the grounds that it gives deep insights about thefuture market. It would be essential for the perfect way of trading infutures. An investor can choose the fight underlying or portfolio for investment which is risk free. The study would explain the various ways to minimize the losses and maximize the profits. The study would help the investors how their profit/loss is reckoned. The study would assist in understanding the Future segments. The study assists in knowing the different factors that cause for the fluctuations in the Future market.

OBJECTIVES OF THE STUDY; 1. To study the various trends in derivatives market. 2. To study the role of derivatives in India financial market. 3. To study in detail the role of futures. 4. To find out profit/loss position of the Future writer and future holder by using marked to market technique.

METHODLOGY OF THE STUDY:

The data had been collected through primary and secondary source. Primary data collect through Unicon staff,stock brokers and Internet, Newspapers respectively.

Primary data:
The data had been collected through Unicon staff, Project guide and Stock brokers. Primary data will be collected through interviews and discussions with finance and accounts manager .

Secondary data:
The data had been collected through Journals, Newspapers, and Internet. Secondary data will be collected from financial statements, annual reports, journals, newspapers, magazines & the information available on internet.

DATA ANANLYSIS: Analysis is based on by using Marked to market technique.Data is represented by using tables, graphs, and charts are wherever necessary. Usage of statistical tools and techniques is also undertaken.

LIMITATIONS OF THE STUDY: 1. The study does not take any Nifty Index Futures Markets into the consideration. 2. This is a study conducted within a short period of time ie only 45 days, hence time is a constraint. 3. During this limited period of studythe study may not be in detailed orfullfledged and utilitarian one in all aspects. and International

CHAPTER SCHEME; Chapter 1- Introduction: This chapter includes information of the Derivatives market and various types and about BSE &NSE &also about the Unicon securities and theoretical background of research topic.

Chapter 2-Literature review: Derivative is a product whose value is derived from the value of an underlying asset in a contractual manner. The underlying asset can be equity, forex, commodity or any other asset.Securities Contracts (Regulation) Act, 1956 (SC(R).

Chapter 3- Research design: This chapter provides a plan of the study which includes statement of the problem, need for study review of the Derivatives are risk management instruments, which derive their value from an underlying asset. The underlying asset can be bullion, index, share, bonds, currency, interest etc. Banks, securities firms, companies and investors to hedge risks, to gain access to cheaper money and to make profit, use derivatives. Derivatives are likely to grow even at a faster rate in future. Chapter 4-Data analysis and interpretation: This chapter provides an analysis of the data with required interpretation, tables, graphs, and charts are used wherever necessary.By using method Marked to market technique. Chapter 5- Findings, conclusion and Recommendations: This chapter provides major findings, conclusion and offer recommendations based on the findings.

DURATION OF THE PROJECT:

This project done for the period from 5 weeks to 8 weeks.