A SUMMER TRAINING PROJECT REPORT

ON

A STUDY OF PERCEPTION OF CUSTOMERS TOWARDS

SHAREKHAN AND COMPARISON WITH FIVE OTHER BROKRING
FIRMS

SUBMITTED IN THE PARTIAL FULFILLMENT FOR THE AWARD OF

DEGREE OF MASTER IN BUSINESS ADMINISTRATION 2013-15

UNDER THE GUIDANCE OF:

Mr Sumit Gulati
Assistant Professor
SUBMITTED BY:
Maaz Abdullah
ROLL No. 1303870086
MBA, Semester 3rd
Batch 2013 - 2015

INSTITUTE OF TECHNOLOGY AND SCIENCE MOHANNAGAR GHAZIABAD

An ISO 9001:2008 Certified Institute (Approved by AICTE, HRD Ministry, Govt. of India)Affiliated to
Uttar Pradesh Technical University, Noida U.P.)

STUDENT DECLARATION

This is to certify that I have completed the Project titled A STUDY OF

PERCEPTION OF CUSTOMERS TOWARDS SHAREKHAN AND
COMPARISON WITH FIVE OTHER BROKERING FIRMS
under the guidance of Mr Sumit Gulati in the partial
fulfilment of the requirement for the award of the degree of
Master in Business Administration from Institute of
Technology And science , Mohannagar. This is an original
work and has not been submitted anywhere else.

Name of the student: Maaz Abdullah

Course: MBA
Batch: 2013-15

(Sign)

CERTIFICATE

This is to certify that Maaz Abdullah MBA 2013-15 batch, a student of INSTITUTE OF
TECHNOLOGY AND SCIENCE GHAZIABAD has undertaken the project on A STUDY

OF PERCEPTION OF CUSTOMERS TOWARDS SHAREKHAN AND

COMPARISON WITH FIVE OTHER BROKERING FIRMS The survey, data
collection and analysis work for preparing has been carried by the student in partial
Fulfilment of the recruitment for the award of MBA, under my guidance and supervision.
I am satisfied with work of Maaz Abdullah. I wish his further success and growth in his
career.

(Signature)
Prof. Sumit Gulati
Date:

ACKNOWLEDGEMENT

I hereby take this opportunity to thank SHAREKHAN PVT. LTD, for providing
me a corporate exposure through the course of my summer internship.
I would like to express my sincere gratitude towards my company guide
Mr Ashish Kumar Gupta, for providing me great insights about stock markets
for guiding me all throughout and for being a great support.
I would also like to thank Mr Sumit Gulati, my faculty guide for instructing me
and giving me his valuable advice on my project.
I am also like to thank to my friends Neeraj, Pramod, and Arshad Ali. I would
like to extend my gratitude to I.T.S Mohannagar, for providing me such a
platform.
Last but not the least all my friends and family for their support and
co-operation.

Thanking You,
Maaz Abdullah,
1303870086

EXECUTIVE SUMMARY
The present report is prepared for In partial fulfilment of the Requirements for the award of
Degree of Master of Business Administration..
New ideas and innovations have always been the hallmark of progress made by mankind. At
every stage of development, there have been two core factors that drive man to ideas and
innovation. These are increasing returns and reducing risk, in all facets of life. The financial
markets are no different. The endeavour has always been to maximize returns and minimize
risk. A lot of innovation goes into developing financial products cantered on these two
factors. It has spawned a whole new area called financial engineering.
Derivatives are among the forefront of the innovations in the financial markets and aim to
increase returns and reduce risk. They provide an outlet for investors to protect themselves
from the vagaries of the financial markets. These instruments have been very popular with
investors all over the world.
The good news is that E-MARKETING is inexpensive, fast, and easy to carry out and it can
be more effective than any other marketing channel available today if youre smart. Being
smart is to be strategic. Online trading is now become very popular due to this e marketing
only.
In this project, firstly I have given the overview of Indian stock market how it was originate
in India. How Indian financial system of India works .I have also provided the detail about
the various financial product of Sharekhan pvt ltd mainly which include demat accounts, now
a days why it is must.
The various strategies adopted for generating the leads for the Sharekhan. According to me
telecalling was one of best way to generate the clients for Sharekhan. After this I have also
mentioned about the learning which I learned after completing this project.

TABLE OF CONTENTS FOR PROJECT REPORT

Serial

Particular

No.

Page
No.

INTRODUCTION

1.

BACKGROUND
RESEARCH PROBLEM
RESEARCH OBJECTIVE

7-52

2.

LITRATURE REVIEW

53-54

3.

RESEARCH METHODOLGY

55-68

4.

TYPES OF DATA
CHOICE OF METHOD FOR DATA COLLECTION
SAMPLE SIZE
SAMPLING TECHNIQUE

68

Data Analysis & Interpretation

69-76

5.

FINDINGS
77

6.

CONCLUSION
78

7.

SUGGESTION

8.

BIBLOGRAPHY

79
80

9.

APENDIX- QUESTIONNAIRE
81

INTRODUCTION

INTRODUCTION OF STOCK MARKET

Indian Stock Markets are one of the oldest in Asia. Its history dates back to nearly 200 years
ago. The earliest records of security dealings in India are meagre and obscure. The East India
Company was the dominant institution in those days and business in its loan securities used
to be transacted towards the close of the eighteenth century. By 1830's business on corporate
stocks and shares in Bank and Cotton presses took place in Bombay. Though the trading list
was broader in 1839, there were only half a dozen brokers recognized by banks and
merchants during 1840 and 1850. The 1850's witnessed a rapid development of commercial
enterprise and brokerage business attracted many men into the field and by 1860 the number
of brokers increased into 60.
In 1860- 61 the American Civil War broke out and cotton supply from United States of
Europe was stopped; thus, the 'Share Mania' in India begun. The number of brokers increased
to about 200 to 250. However, at the end of the American Civil War, in 1865, a disastrous
slump began (for example, Bank of Bombay Share which had touched Rs 2850 could only be
sold at Rs. 87).
In 1887, they formally established in Bombay, the "Native Share and Stock Brokers'
Association" (which is alternatively known as "The Stock Exchange"). In 1895, the Stock
Exchange acquired a premise in the same street and it was inaugurated in 1899.
Thus, the Stock Exchange at Bombay was consolidated. Thus in the same way, gradually with
the passage of time number of exchanges were increased and at currently it reached to the
figure of 24 stock exchange For a new investor, the stock market can feel a lot like legalized
gambling. "Ladies and gentlemen, place your bets! Randomly choose a stock based on gut
instinct and water cooler chatter! If the price of your stock goes up -- and who knows why? -you win! If it drops, you lose!" Isn't that why so many people got rich during the dot-com
boom -- and why so many people lost their shirts (not to mention their retirement savings) in
the recent recession?

INDIAN FINANCIAL SYSTEM

IMPORTANCE OF STOCK MARKET:

Function and purpose
Stock market is an important part of the economy of a country. The stock market plays a play
a pivotal role in the growth of the industry and commerce of the country that eventually
affects the economy of the country to a great extent.
That is reason that the government, industry and even the central banks of the country keep a
close watch on the happenings of the stock market. The stock market is important from both
the industrys point of view as well as the investors point of view.
Whenever a company wants to raise funds for further expansion or settling up a new business
venture, they have to either take a loan from a financial organization or they have to issue
shares through the stock market. In fact the stock market is the primary source for any
company to raise funds for business expansions. If a company wants to raise some capital for
the business it can issue shares of the company that is basically part ownership of the
company. To issue shares for the investors to invest in the stocks a company needs to get
listed to a stocks exchange and through the primary market of the stock exchange they can
issue the shares and get the funds for business requirements. There are certain rules and
regulations for getting listed at a stock exchange and they need to fulfill some criteria to issue
stocks and go public.
The stock market is primarily the place where these companies get listed to issue the shares
and raise the fund. In case of an already listed public company, they issue more shares to the
market for collecting more funds for business expansion. For the companies which are going
public for the first time, they need to start with the Initial Public Offering or the IPO. In both
the cases these companies have to go through the stock market.
This is the primary function of the stock exchange and thus they play the most important role
of supporting the growth of the industry and commerce in the country. That is the reason that
a rising stock market is the sign of a developing industrial sector and a growing economy of
the country.
Of course this is just the primary function of the stock market and just an half of the role that
the stock market plays. The secondary function of the stock market is that the market plays

the role of a common platform for the buyers and sellers of these stocks that are listed at the
stock market. It is the secondary market of the stock exchange where retail investors and
institutional investors buy and sell the stocks. In fact it is these stock market traders who raise
the fund for the businesses by investing in the stocks.
For investing in the stocks or to trade in the stock the investors have to go through the brokers
of the stock market. Brokers actually execute the buy and sell orders of the investors and
settle the deals to keep the stock trading alive. The brokers basically act as a middle man
between the buyers and sellers. Once the buyer places a buy order in the stock market the
brokers finds a seller of the stock and thus the deal is closed. All these take place at the stock
market and it is the demand and supply of the stock of a company that determines the price of
the stock of that particular company.
So the stock market is not only providing the much required funds for boosting the business,
but also providing a common place for stock trading. It is the stock market that makes the
stocks a liquid asset unlike the real estate investment. It is the stock market that makes it
possible to sell the stocks at any point of time and get back the investment along with the
profit. This makes the stocks much more liquid in nature and thereby attracting investors to
invest in the stock market.

COMPANY PROFILE

PROFILE OF THE COMPANY :

NAME OF THE COMPANY

: Sharekhan ltd.

YEAR OF ESTABLISHMENT

: 1925

HEADQUATER

: ShareKhan SSKI
A-206 Phoenix House
Phoenix Mills Compound
Lower Parel
Mumbai - Maharashtra,
INDIA- 400013

NATURE OF BUISNESS

: Service Provider

SERVICES

:Online Services, Depository Services and

Technical Research.

NO OF EMPLOYEES

: Over 5500

WEBSITE

: www.sharekhan.com

SLOGAN

: Your Guide to The Financial Jungle.

SHAREKHAN LOGO

COMPANY DETAIL:
Sharekhan is one of the top retail brokerage houses in India with a strong online trading
platform. The company provides equity based products research, equities, derivatives,
depository, margin funding, etc.. It has one of the largest networks in the country with 1200+
share shops in 400 cities and Indias premier online trading portal www.sharekhan.com. With
their research expertise, customer commitment and superior technology, they provide
investors with end-to-end solutions in investments .They provide trade execution services
through multiple channels as an internet Platform, telephone and retail outlets. Sharekhan
was established by Morakhia family in 1999-2000 and Morakhia family ,continues to remain
the largest shareholder. It is the retail broking arm of the Mumbai-based SSKI [SHRIPAL
SHEWANTILAL KANTILAL ISWARNATH LTD] Group. SSKI which is established in
1930 is the parent company of Sharekhan ltd. With a legacy of more than 80 years in the
stock markets, the SSKI group ventured into institutional broking and corporate finance over
a decade ago. Presently SSKI is one of the leading players in institutional broking and
corporate finance activities. Sharekhan offers its customers a wide range of equity related
services including trade execution on BSE, NSE, and Derivatives. Depository services, online
trading, Investment advice, Commodities, etc. Sharekhan Ltd. is a brokerage firm which is
established on 8th February 2000 and now it is having all the rights of SSKI. The company
was awarded the 2005 Most Preferred Stock Broking Brand by Awaaz Consumer Vote. It is
first brokerage Company to go online. The Company's online trading and investment site
www.Sharekhan.com - was also launched on Feb 8, 2000. This site gives access to superior
content and transaction facility to retail customers across the country. Known for its jargonfree, investor friendly language and high quality research, the content-rich and research
oriented portal has stood out among its contemporaries because of its steadfast dedication to
offering customers best-of-breed technology and superior market information. Sharekhan has
one of the best states of art web portal providing fundamental and statistical information
across equity, mutual funds and IPOs. One can surf across 5,500 companies for in-depth
information, details about more than 1,500 mutual fund schemes and IPO data. One can
also access other market related details such as board meetings, result announcements, FII

transactions, buying/selling by mutual funds and much more. Sharekhan's management team
is one of the strongest in the sector and has positioned Sharekhan to take advantage of the
growing consumer demand for financial services products in India through investments in
research, pan-Indian branch network and an utstanding technology platform. Further,
Sharekhan's lineage and relationship with SSKI Group provide it a unique position to
understand and leverage the growth of the financial services sector. We look forward to
providing strategic counsel to Sharekhan's management as they continue their expansion for
the benefit of all shareholders. Sharekhan has always believed in investing in technology to
build its business. The company has used some of the best-known names in the IT industry,
like Sun Microsystems, Oracle, Microsoft, Cambridge Technologies, Nexgenix, Vignette,
Verisign Financial Technologies India Ltd, Spider Software Pvt Ltd. To build its trading
engine and content.The Morakhiya family holds a majority stake in the company. HSBC,
Intel & Carlyle are the other investors. With a legacy of more than 80 years in the stock
markets, the SSKI group ventured into institutional broking and corporate finance 18 years
ago. Presently SSKI is one of the leading players in institutional broking and corporate
finance activities. SSKI holds a sizeable portion of the market in each of these segments.
SSKIs institutional broking arm accounts for 7% of the market for Foreign Institutional
portfolio investment and 5% of all Domestic Institutional portfolio investment in the country.
It has 60 institutional clients spread over India, Far East, UK and US. Foreign Institutional
Investors generate about 65% of the organizations revenue, with a daily turnover of over US
$ 2 million. The Corporate Finance section has a list of very prestigious clients and has many
firsts to its credit, in terms of the size of deal, sector tapped etc.

ACHIEVEMENTS OF SHAREKHAN:

Rated among the top 20 wired companies along with Reliance, HUJl, Infosys, etc by
Business Today, January 2004 edition.

Awarded Top Domestic Brokerage House four times by Euro money and Asia
money.

Pioneers of online trading in India amongst the top 3 online trading websites from
India.

Most preferred financial destination amongst online broking customers.

Winners of Best Financial Website award.

Indias most preferred brokers within 5 years. Awaaz customers Award 2005.

FUTURE PLAN:

3,00,000 plus retail customers being serviced through centralized call centers/ web
solutions.

Branches / Semi branches servicing affluent / aggressive traders through high skill
financial advisor.

250 independent investment managers/ franchisee servicing 50,000 highly valued

clients.

New initiatives Portfolio management Services and commodities trading.

VISION :
To be the best retail brokering Brand in the retail business of stock market.
MISSION:
To educate and empower the individual investor to make better investment
Decisions through quality advice and superior service.

SHAREKHAN IS INFACT:

Among the top 3 branded retail service providers

No. 1 player in online business

Largest network of branded broking outlets in the country serving more than 7,00,000
clients.

SHAREKHAN OUTLET OFFER FOLLOWING SERVICES:

Online BSE and NSE executions (through BOLT & NEAT terminals) .

Free access to investment advice from Sharekhan's Research team .

Sharekhan Value Line (a monthly publication with reviews of recommendations,

stocks to watch out for etc.) .

Daily research reports and market review (High Noon & Eagle Eye) ,

Pre-market Report (Morning Cuppa) .

Daily trading calls based on Technical Analysis.

Cool trading products (Daring Derivatives and Market Strategy).

Personalised Advice .

Live Market Information.

Commodities Trading .

IPOs & Mutual Funds Distribution .

Internet-based Online Trading: Speed Trade.

REASON TO CHOOSE SHAREKHAN LIMITED

EXPERIENCE :
SSKI has more than eight decades of trust and credibility in the Indian stock market. In the
Asia Money broker's poll held recently, SSKI won the 'India's Best Broking House for 2004 '

award. Ever since it launched Sharekhan as its retail broking division in February 2000, it has
been providing institutional level research and broking services to individual investors.
TECHNOLOGY :
With its online trading account one can buy and sell shares in an instant from any PC with an
internet connection. One can get access to its powerful online trading tools that will help him
take complete control over his investment in shares.
ACCESSIBILITY :
Sharekhan provides ADVICE, EDUCATION, TOOLS AND EXECUTION services for
investors. These services are accessible through its centres across the country over the
internet (through the website www.sharekhan.com) as well as over the Voice Tool.
KNOWLEDGE :
In a business where the right information at the right time can translate into direct profits, one
can get access to a wide range of information on Sharekhan Limiteds content-rich portal.
INVESTMENT ADVICE:
Sharekhan has dedicated research teams of more than 30 people for fundamental and
technical researches. Its analysts constantly track the pulse of the market.

SHAREKHAN LIMITEDS MANAGEMENT TEAM:

Mr. Dinesh Murikya Owner of the company:

The Sharekhan Group of Companies was brought to life by Mr. Dinesh Murikya. He Venture
into stock trading with an intention to raise capital for his own independent enterprise.
However, he recognised the opportunity offered by the stock market to serve individual
investors. Thus Indias first retail-focused stock-broking house was established in 1925.
Under his leadership, Sharekhan became the first broking house to embrace new technology
for faster, more effective and affordable services to retail investors.

DIRECTORS:

MR. TARUN SHAH CEO- SHARE KHAN

A science graduate from St. Xaviers College, Mumbai, Mr. Tarun Shah started his
professional life in sales and marketing in a chemicals company. His hands on approach and
rigorous experience in sales led him to higher challenges that the capital markets provided.In
1987, he joined SSKI, a brokerage firm with over five decades of legendary service to its
credit.

MR

SHANKAR

SHAREKHAN

VAILAYA-

DIRECTOR

(OPERATION)

OF

A graduate in commerce from the University of Mangalore and an Associate of

TheMember of the Institute of Chartered Accountants of India,Mr. Shankar Vailaya
heads the operations, finance and legal functions.

MR. JAIDEEP ARORA DIRECTOR (PRODUCT&TECHNOLOGY)

Jaideep Arora,completed his B.Tech from IIT (Kanpur) and his PGDM from IIM Kolkata.

OTHER DIRECTORS:

Mr Pathik Gandotra

: Head of Research

Mr Rishi Kohli

: Vice President of Equity Derivatives

HIERARCHY IN SHAREKHAN:
Sales Side

Dealing Side

Trainees

Junior Dealer

Super Trainees

Dealer

Sales Executives

Relationship manager

Senior sales executives

Senior Relationship manager

Business
executive

Equity advisor

Assistant sales manager

Assistant Branch Manager

Deputy manager

Branch Manager

Territory manager

Cluster Head

Area sales manager/ Cluster

manager

Directors

Regional sales manager

CEO

development

Regional Head

Vice president

Directors

CEO

\SWOT

ANALYSIS
STRENGTHS

1. First brokerage firm to go online.

2. PMS Services.
3. Technology

WEAKNESSES
1.High brokerage charges but now they
have overcome this by a new prepaid
scheme in which brokerage is reduced to
half.
2. Lesser emphasis on customer
retention.

4. Online fund transfer.

5. Research reports.
6. Clients (average of15,000 accounts per year)
7. Recommendations from clients.
8. Free Demat a/c opening.
9. Low annual maintenance charge
10. Different variety of financial products.

OPPORTUNITIES

With the booming capital market it can

successfully launch new services and raise
its clients base.

It can easily tap the retail investors with

3. Lack of awareness among customers

because of non-aggressive promotional
strategies (print media, newspapers, etc).

small saving through promotional channels

like print media, electronic media, etc.

Increasing usage of internet through

broadband connectivity may boost a whole
new breed of investors for trading in
securities

Learnings and tasks performed in my SIT:

To project Sharekhan as an authority in the retail stock trading business.

To execute business for the company by selling demat accounts.

To study the various products of Sharekhan.

To know how to open and close the calls.

To learn the online terminal used for trading.

To know the various policies of the company.

To know how to handle various types of customers.

To know various reasons for market fluctuations.

To learn to manage time.

To gain practical knowledge of the market.

To have a practical experience of working in a reputed organization.

To expand the market penetration of Sharekhan ltd.

To provide pricing strategy of competitors to fight cut throat competition.

Study of influencing factors affecting the purchase decision.

Checking the satisfaction level of the customers towards Sharekhan

Checking the awareness level of investor in online share trading.

PRODUCTS & SERVICES OF SHAREKHAN

Sharekhan ltd. Provide different Product as follows

Share online & offline

Derivatives
Mutual fund online
Commodities online
IPO online
Portfolio Management Services
Insurance
Fixed deposits
Advisory products
Currency trading

PRODUCTS OF SHAREKHAN

SHAREKHANS VARIOUS TYPES OF ACCOUNT

SHAREKH
AN

CLASSIC
A/C

ONLINE
A/C

OFFLINE
A/C

FAST
TRADE

SHARE
MOBILE

SHARE ONLINE:
Sharekhan provide online facilities for:

Instant credit and transfer:-instant transfer of funds from bank account of the choice
to Sharekhan trading account.

Trade anywhere:-enjoy the ease of trading from any part of the world in a completely
secure environment.

Dial n Trade:-call toll free number (1-800-22-7050) to place orders through tele
brokers.

Timey advice:-make informed decisions with expert advice, investment calls and live
market commentary.

Real-time portfolio tracking:-benefit from real-time information for investment and

current portfolio value.

After-hour orders:-place order after market hours, which get executed as soon as the
markets opens.

Freedom from paperwork:-Integrated trading, bank and de-mat account with digital
contracts removers all paperwork.

Sharekhan provide different types of online accounts

CLASSIC ACCOUNT:The Classic Account enables customers to trade online on the NSE and the BSE, invest in
IPO and Mutual Funds and access all the research and transaction reports through
Sharekhans website. This account is suitable for the retail investors. The life time registration
charge for this account is 750 rupees.
Features

Online trading account for investing in Equities and Derivatives

Free trading through Phone (Dial-n-Trade)

Integration of: Online trading + Bank + Demat account\

Instant cash transfer facility against purchase & sale of shares

IPO investments

Instant order and trade confirmations by e-mail

Single screen interface for cash and derivatives

FAST TRADE:
Features

Streaming quotes.

Personalized market watch.

Single screen interface for cash, derivatives and Commodities.

New FastTrade is platform independent will support by all Operating System.

New FastTrade will support all browsers in the market.

New FastTrade is independent of existing website and can work even if content
website is down.

Fast trade is web base product and its a shown fluctuation rate.

TRADE TIGER ACCOUNT:

This is an internet-based software application, which enables one to buy and sell in an instant.
It is ideal for active traders and jobbers who transact frequently during days session to
capitalize on intra-day price movement.
This account comes with the following features:

Instant order Execution and Confirmation.

Single screen trading terminal for NSE Cash, NSE F&O & BSE.

Technical Studies.

Multiple Charting.

Real-time streaming quotes, tic-by-tic charts.

Alerts and reminders.

Live market debts.

SHARE OFFLINE:
As the internet has taken over the physical trade, the same is the situation in trading in shares.
Even the internet has not spared trading in shares and still the conventional system of offline
trading continues in todays world.

Merits of offline trading:

Low brokerage

Less margin

Flexibility in credit period

Customized advice

Demerits of offline trading

Problems in getting in touch with the broker

Limited clientele

Problem of attention from the broker due to load

Customer has to believe what the broker says

Broker Might not give the best price

Paperwork
Geographical Restriction

DIAL-N-TRADE:
Sharekhan provides complete trading facility like they are giving Toll free numbers the phone
trading facility as an alternative of net trading where a customer can call n number of
times. Toll Free numbers: 1800-22-7500

DERIVATIES:
Derivatives are financial contracts whose value/price is depends on the behavior of price
of one or more basic underling assets. These contracts are legally binding agreement,
made on the trading screen of stock exchange, buy or sell an asset in future. The assets
can be share, index, interest rate, bond, rupee- dollar exchange rate, sugar, crude oil,
soybean, cotton, coffee etc.

EQUITY FUTURE AND OPTION:

Future:-

An agreement between two parties to buy or sell an asset at a certain time in the Future at a
certain price. Stock futures on certain specified securities and internet rate futures are

available for trading at NSE (NATIONAL STOCK EXCHANGE).All the futures contracts
are settled in cash.

Options:-

An Options is a contract which gives the right, but not but or sell the underlying at a stated
price, which a buyer of an option pays the premium and Options are of two types calls and
put. Calls give the buyer the right but not the obligation to buy a given quantity of the
underlying asset, at a given price on or before a given future date. Calls also known as bulls.
Puts give the buyer the right, but not obligation to sell a given quantity of the underlying
asset at a given price on or before a given date. Puts also known as bears.

COMMODITIES ONLINE:

COMMODITIES ONLINE:
Commodities are agreements to buy and sell virtually anything except, for some reason,
onions. The primary commodities that are traded are oil, gold and agricultural products.
Commodity derivatives comprise of raw materials and products that can be traded on special
commodity exchanges across the country. Commodities expands customer investing horizon
from investing in a metal company to trading in the metal itself. Trading in commodity
derivative provides unique market opportunities for a wider section of participants like:
investor, hedgers, arbitragers, traders, manufactures planters, exporters and importers. While
trading commodities through an exchange, there are no transportation charges, no insurance

costs, no storage charges and complete security when customer trade though an exchange.
Customer can trade in commodities at nominal costs and carry the investment in paper from
as customer want. The fundamentals for commodities are quite simple: price is a function of
demand and supply. Sharekhan provides commodity facility. Sharekhan trades on two major
commodity exchanges in India.

MCX

NCDEX

Indexes of commodities:

MCX (MULTI COMMODITY EXCHANGE OF INDIA LTD) is a state-of-the-art electronic

commodity futures exchange.MCX is an independent commodity exchange based in India. It
was established in 2003 and is based in Mumbai. The turnover of the exchange for the period
Apr-Dec 2008 was INR 32 Trillion.MCX offers futures trading in Agricultural Commodities,
Bullion, Ferrous & Non-ferrous metals, Pulses, Oils & Oilseeds, Energy, Plantations, Spices
and other soft commodities. MCX has also setup in joint venture the National Spot Exchange
a purely agricultural commodity exchange and National Bulk Handling Corporation (NBHC)
which provides bulk storage and handling of agricultural products.

NCDEX:

National Commodity & Derivatives Exchange Limited (NCDEX) is a professionally

managed online multi commodity exchange promoted by ICICI Bank Limited (ICICI Bank),
Life Insurance Corporation of India (LIC), National Bank for Agriculture and Rural
Development (NABARD) and National Stock Exchange of India Limited (NSE). Punjab
National Bank (PNB), CRISIL Limited (formerly the Credit Rating Information Services of
India Limited), Indian Farmers Fertiliser Cooperative Limited (IFFCO) and Canara Bank by
subscribing to the equity shares have joined the initial promoters as shareholders of the
Exchange.
NCDEX currently facilitates trading of thirty six commodities - Cashew, Castor Seed, Chana,
Chilli, Coffee, Cotton, Cotton Seed Oilcake, Crude Palm Oil, Expeller Mustard Oil, Gold,
Guar gum, Guar Seeds, Gur, Jeera, Jute sacking bags, Mild Steel Ingot, Mulberry Green
Cocoons, Pepper, Rapeseed - Mustard Seed ,Raw Jute, RBD Palmolein, Refined Soy Oil,
Rice, Rubber, Sesame Seeds, Silk, Silver, Soy Bean, Sugar, Tur, Turmeric, Urad (Black
Matpe), Wheat, Yellow Peas, Yellow Red Maize & Yellow Soybean Meal. At subsequent
phases trading in more commodities would be facilitated.

IPO:-

Initial

Public

Offering,

the

first sale of stock by

a company to

the public.

Companies offering an IPO are sometimes new, young companies, or sometimes companies
which have been around for many years but are finally deciding to go public. IPOs are often
risky investments, but often have the potential for significant gains. IPOs are often used as a
way for a young company to gain necessary market capital.
From an investor point of view, IPO gives a chance to buy shares of a company,
directly from the company at the price of their choice (In book build IPO's). Many a
times there is a big difference between the price at which companies decides for its
shares and the price on which investor are willing to buy share and that gives a good
listing gain for shares allocated to the investor in IPO.
From a company prospective, IPO help them to identify their real value which is
decided by millions of investor once their shares are listed in stock exchanges. IPO's
also provide funds for their future growth or for paying their previous borrowings.
Sharekhan provides to their customer the Online IPO facility. In this facility, The
customer has to feel only the bid price and the quantity for which he/she wants to buy
the stock.

STEPS FOR APPLYING IPO ONLINE

CURRENCY TRADING:

CURRENCY TRADING:

Currency trading means to trade in currency of different countries and price varies
because of supply and demand.

Currency trading is mostly done by large companies or by people who is import

export business.

In price of currency there is always fluctuation. So it can be dangerous for people who
have import-export business. So they make reverse position or it is also known as
hedging.

So by this way people minimize their risk with the help of currency trading.

Currency trading is not much useful to individual investors.

Sharekhan is providing offline currency trading to interested customers..

CUSTOMER SUPPORTER:

Call Centre:
There is a call centre at Bombay, where more than 200 employees are working efficiently.
Their work is as powerful that they complete every call within two minutes. So customers are
satisfied with them.

Relationship Manager:
Sharekhan provides personal relationship manager to its customer. The work of relationship
manager in Sharekhan ltd is as follow:

Punching in trades for clients.

Communicating intra-day trading calls and investment ideas to customers.

Conducting business development activities in branches.

Monitoring day to day operations at branch.

Maintaining regular relations with clients.

ALERTS:

Mutual Funds, IPOs and Traders

ON YOUR MOBILE
IN YOUR MAIL
IN MYINBOX

Variety of Alerts for equities,

Get customize Daily Updates

Trade Execution Alerts will be set

by default for trading customers

Be the first to get Research

updates

Setting Alerts was never easier

Get the advantage of new alerts

being added in the future

SEMINAR:

Sharekhan organizes seminars across the country from time to

time in order to educate investors in various subjects related to
the stock, derivatives and commodities markets. These exclusive
Seminars are organized by Sharekhan for its Online Trading
Customers for FREE. This will the the people to take investment
decision.

SHAREKHAN SHOPS:

All you have to do is walk into any of our share shops across cities in India to get a host of
trading and investment related services. Our friendly customer service staff will also help you
with any account related queries you may have.

AFTER HOUR ORDERS:

Sharekhans customer also enjoy the facility of placing orders even after trading hours and
the orders are executed as soon as the market opens.

DE-MAT ACCOUNT

Overview of Demat Account :

Demat account allows you to buy, sell and transact shares without the endless paperwork and
delays. It is also safe, secure and convenient.
In India, a demat account, the abbreviation for dematerialized account, is a type of banking
account which dematerializes paper-based physical stock shares. The dematerialized account
is used to avoid holding physical shares: the shares are bought and sold through a stock
broker.
This account is popular in India. The Securities and Exchange Board of India (SEBI)
mandates a demat account for share trading above 500 shares. As of April 2006, it became
mandatory that any person holding a demat account should possess a Permanent Account
Number (PAN), and the deadline for submission of PAN details to the depository lapsed on
January 2007.

IS DEMAT A/C IS MUST?

Now a day, practically all trades have to be settled in dematerialized form. Although the
market regulator, the Securities and Exchange Board of India (SEBI), has allowed trades of
up to 500 shares to be settled in physical form, nobody wants physical shares any more. So a
demat account is a must for trading and investing.

WHY TO CHOOSE DEMAT?

The demat account reduces brokerage charges, makes pledging/hypothecation of shares
easier, enables quick ownership of securities on settlement resulting in increased liquidity,
avoids confusion in the ownership title of securities, and provides easy receipt of public issue
allotments.
It also helps you avoid bad deliveries caused by signature mismatch, postal delays and loss of
certificates in transit. Further, it eliminates risks associated with forgery, counterfeiting and
loss due to fire, theft or mutilation. Demat account holders can also avoid stamp duty (as
against 0.5 per cent payable on physical shares), avoid filling up of transfer deeds, and obtain
quick receipt of such benefits as stock splits and bonuses.

WHAT IS DEMATERIALIZATION?
Dematerialization is the process by which physical certificates of an investor are
converted to an equivalent number of securities in electronic form and credited into the
investors account with his/her DP.

WHY DEMAT A/C IS LIKE BANK A/C?

Just as you have to open an a/c with a bank if you want to save your money, make cheque
payments etc, you need to open a demat a/c if you want to buy or sell stocks. So it just like a
bank a/c where actual money replaced by shares.
Example : lets say your portfolio has 100 of SATYAM, 200 of IBM and 120 of TCS shares.
All these will show in youre a/c. so you dont have to possess any physical certificate that
you own these shares. They all are held electronically in youre a/c.

DEMAT ACCOUNT IN SHAREKHAN:

Opening a DP account with Sharekhan

One can open a Depository Participant (DP) account, either through a Sharekhan
branch or through a Sharekhan Franchisee center.

There is no fee for opening DP accounts with Sharekhan. However a nominal deposit
(refundable) is charged towards services which will be adjusted against all future
billings.

All investors have to submit their proof of identity and proof of address along
with the prescribed account opening form.

DE-MAT ACCOUNT OPENING CHARGES:

TYPE OF DEMAT

CLASSIC ACCOUNT

TRADE TIGER

DEPOSIT

CHARGES

(Refundable)

(non refundable)

Rs.5000

Rs.750

Rs.10000

Nil

Rs.5000

Rs.1000

Rs.10000/25000

Nil

List of Documents required to open an account with Sharekhan:

Proof of Identity

Copy of Ration card

Address Proof

A copy of cancelled cheque

Nominee photograph, if filled

Signed Photograph of all holders

Customer can submit a photo copy of any of the following document for proof
of identity:
Customer can submit a photo copy of any of the following document for
residence proof:
BROKERAGE STRUCTURE OF SHAREKHAN
BROKERAGE:
It is the charge taken by the guiding company for helping you in buying and selling your
shares. There are different charges for Intraday and Delivery.

INTRADAY:

The day to day buying and selling or daily transactions are called as Intraday. You have to
buy or sell the shares within the day only.

DELIVERY:
It is the three day transaction. The day you buy the share and the next two days after that
day is called as Delivery. It includes thre days. If you are buying any share then you have
to sell it within three days including the buying day.

PREPAID ACCOUNT
There are three types of Prepaid account are provided to the customers accordingly they
make transactions more and more. All Prepaid accounts are valid for One year only.

Prepaid Brokerage

Cash

(P.A)

Futures and Options

Futures

Options

2000/-

Intra-day 0.07%
(Single Side)
Delivery 0.40%

0.07

1.5% or Rs.80,
whichever is
Higher

6000/-

Intra-day 0.05%
Delivery 0.25%

0.05

18000/-

Intra-day 0.04%
Delivery 0.20%

0.04

1% or Rs.70,
whichever is
Higher
1% or Rs.50,
whichever is
Higher

SHAREKHAN HAS TIE UP WITH FOLLOWING BANKS:

HDFC

Axis Bank

IDBI

Citi Bank

IndusInd Bank

Union Bank

ICICI

Oriental Bank Of Commerce.

8 bank others

NOTE :In these following bank we can transfer our funds from our bank account to trading
account with the help of online banking like net banking within a second .Now there is no
need to pay demand draft and cheques to the sharekhan.

BENEFIT OF SHAREKHAN DEMAT ACCOUNT:

EXPOSURE:
Sharekhan also helps their customers by providing them up to Five times Exposure.
Example :- If a customer invests Rs. 20000, then he will get a exposure of 5 times of Rs.
20000 that means Rs. 20000 * 5 = Rs. 100000.
But only for Five days, within 5 days the customer have to pay back the amount otherwise
Sharekhan will sell your shares.

Its cost effective

You pay comparatively lower transaction fees. As an Introductory offer, we invite you to pay
a flat fee of just Rs. 750/- and transact through Sharekhan.
Its offers single

Through Sharekhans associates, you can transact in equity, currency and commodities
derivatives, offshore investments mutual funds, IPOs life insurance, general insurance,
money transfer, money changing and credit cards, amongst others.
ITS CONVENIENT :
You can access Sharekhans services through the internet

Transaction kiosks

The phone (call & transact)

A safe and convenient way to hold securities;

Immediate transfer of securities

No stamp duty on transfer of securities;

Elimination of risks associated with physical certificates such as bad delivery, fake
securities, delays, thefts etc.;

Reduction in paperwork involved in transfer of securities;

Reduction in transaction cost;

No odd lot problem, even one share can be sold;

Nomination facility;

Change in address recorded with DP gets registered with all companies in which investor
holds securities electronically eliminating the need to correspond with each of them
separately;

Transmission of securities is done by DP eliminating Correspondence with companies;

Automatic

credit

into

demat

account

of

shares,

arising

out

bonus/split/consolidation/merger etc.

Holding investments in equity and debt instruments in a single account.

ACCESS TO VALUE ADDED SERVICES

Reliable research, including views of external experts with an enviable track

record

Live news updates from Reuters and Dow Jones

CEOs / expert views on the economy and financial markets

Tools that help you plan your investments, tax, retirement, etc. in the personal
finance section

of

Risk Analyser for analysis of your risk profile

Asset allocators to build an appropriate investment portfolio

Innovative use of technology for facilitating

Benefit For Investors

Demat account has become a necessity for all categories of investors for the following
reasons/ benefits:

SEBI has made it compulsory for trades in almost all scrips to be settled in Demat
mode. Although, trades up to 500 shares can be settled in physical form

MY WORK PROFILE IN SHAREKHAN:

I worked there with SHAREKHAN LTD. with a profile of Management Trainee. This profile
offers me to understand the need of customer and provide them the best deal possible with
maximization of the profit, both for the company as well as for the customer.
The most important aspect for the role of trainee is trust. So far fulfilment of the targets one
needs to:

Capitalize on the old and loyal client age which can be building slowly by advising
people in the best possible way.

Generating new leads through various activities.

TARGETS / TASKS:
To sell 05 Demat accounts worth Rs. 750/- in 2 months for Sharekhan Ltd at Vaishali
Noida.
To sell 3 Demat accounts in 1 month for Sharekhan ltd at Vaishali and Noida.

TASKS

To collect the leads.

To do the tele calling and take appointments.

and

To attend the appointment on prescribed time.

To tell the client about the company and its products.

To tell the client about the advantages of opening a demat account .

To convince the clients to do Online Trading.

To explain him the terms and conditions of the product.

To convince the client to open Demat account at Sharekhan ltd.

To give a live demo of how the online terminal works.

By means of presentation explaining them how to trade online.

To take signatures of the client on the KYC (know your customer) form.

To collect the documents required to open a demat account.

To fill up the KYC form for the customer.

To install the software in the client`s computer.

To make the client trade.

To get the references from the client.

TARGET CUSTOMERS FOR SELLING DEMAT ACCOUNT

Business class people (high class)

Service class people

Government Employees ( working in banking sector )

Young Adults (19-25 yrs students want to earn part time income.)

Adults (35-50 yrs.)

Women (literate and working women)

GENERATION OF LEADS FOR SHAREKHAN:

Since I was new in the field so I had to start from scratch and generate new leads to sustain in
the market.
Personal references and cold calling is one of the trusted ways of getting to the customers
without meeting them. Although in cold calling the rate of conversion remained very less, for

cold calling the quality and accent remains a very important criterion. This activity gives me
mixed result. I often got success and generated many leads through it but it also landed me in
awkward position where the customer is not ready to hear. Corporate calls always remained
more difficult to crack with respect to retail sector.
The corporate were the most difficult and most temping to get the business from. It took me
one day to crack Hi-tech Gears. At SHAREKHAN LTD. after getting the product knowledge
in the two week at the branch I was also allotted distributor to work with. In the initial phase I
was accompanied by more experienced staff. After I became known to the market and
procedure I started attending calls alone only.
After the fourth week my performance also improved and I was able to get close to the
targets, Although it looked difficult to achieve in the beginning. To get awareness of the every
product I attended diversified calls. This helped me to implement cross selling to get better
result ,follow ups also play major role when we talk about cold calling

STRATEGY ADOPTED FOR SELLING DEMATS ACCOUNTS:

COLLECTING MORE AND MORE DATA THROUGH SHAREKHAN WEBSITE

AND BY USING JUST DAIL APP

NOT INTERESTED

TAKE REFRENCES

STRATEGY ADOPTED FOR TELECALLING :

I was supposed to use the database provided by the company to make cold calls or by directly
meeting people to get new leads.

While making cold calls, we need to have:

Good Communication Skills (Voice quality is clear and articulate)

Persistent and able to bounce back from rejection

Good organizational skills.

Ability to project a telephone personality (Enthusiasm, friendliness)

Flexibility: can adapt to different types of clients and new situations.

Using a good database is very essential

Eighty per cent of our business comes from 20 per cent of our customers" is a frequent
statement at any sales convention. There's hardly a sales executive who is not aware of the
80/20 rule.

While talking to customers, I analyse their needs. Whether they want to go for investment
purpose or insurance or both. Suggest them the plan that best suits them. If they agree to it
then either we send across the agents to close the deal or close it themselves.

SYSTEMATIC PLAN AND PROCESS

MY PERSONAL EXPERINCE IN SHAREKHAN

Before my Summer Internship Programme, I had very little knowledge about the stock
market and its fundamentals. And now after undergoing training for the 6th week at
Sharekhan there is a tremendous increase in my knowledge about the stock market. I have
also gained a lot of knowledge about the Sharekhan Company and its various products,
schemes and policies and also about its competitors. The products which I have sold up till
now are Demat accounts . And I am confident about my knowledge about demat accounts .
Although nobody can claim complete expertise but there is a sea change at least from my
point of view. I have learnt what are the various indices and their significance in market. I
have also learnt the impact of Sensex and Nifty on overall stock market. I have learnt about
various fundamentals and technical aspects, which affect the stock prices in short, run and

long run. At Sharekhan we have also been taught to use the online terminal. Sharekhan is one
of the top retail brokerage houses in India with a strong online trading platform. The
company provides equity based products (research, equities, derivatives, depository, margin
funding, etc.). It has one of the largest networks in the country with 1000 share shops in 375
cities and Indias premier online trading portal www.sharekhan.com.Out of these we have to
mostly sell demat accounts. In the first week we had training sessions for 5 days in which our
company guide Mr Ashish Kumar gupta

gave us the complete information about the

company, its products and policies. He gave us tips on how to open and close the calls. He
also gave me tips on how to do telecalling. He also share information on how to fill the KYC
form and what are the documents required to open the demat account.
Then finally after this we were sent to the market to bring demat accounts and Mutual funds.
Initially we faced many obstacles and reasons were many like bad stock market conditions
and we were unable to locate potential market etc. but slowly I collected a good number of
leads and references from whom so ever I met. I am still following the clients who are giving
follow up dates.Our main task is to sell the online demat account. During this venture I came
across many people who came from different walks of life. I have learned how to deal with
them and convince them to open the demat account with Sharekhan. Selling a demat account
requires special focus on targeting the customers. Each and every person does not invest in
the share market. The person who will be investing in the share market should have at least
the basic knowledge about the same or should have the curiosity to gain the same. So what I
had to do is to identify the prospective client and then try to convince them. Wasting time on
the customer who does not know anything about stock market is completely worthless. While
on the call if customer asks me any query about which I am not very much sure then I call
our Ashish kumar gupta sir who then clears my doubts and queries without any irritation.
This not only solves clients query but also makes our concepts clear and strong. I initially met
round about 5 to 10 people every day. Out of these I found 2 to 4 persons who took actual
interest in the Demat account and Mutual funds. As I met more and more people, I learned
how to identify the prospective clients. I came to know more about how to talk to them, how
much time should be given to each client. . Even, by solving the customer queries, my own
understandings were enhanced. While selling our product in the market, I also came to know
more about our competitor's product like, ICICIDirect, India bulls, kotak security , Religare
etc. and their strategy of marketing and the consumer's preference towards the competitor's
product. I did cold calling in these 6 week and created my own database through it. In the
fourth week some of the follow-ups from the third week started converting. Sharekhan also

started a scheme of free demat account opening and also the one in which the brokerage
reduces to half of the original brokerage of 0.03% for Intraday and 0.30% for Delivery. I met
people in different locations i.e. at like in Vaishali, Noida sector 62, etc. This includes people
from the Banks, Chartered Accountants, Travel agents, business people, real estate people,
Customer Relationship Managers, Assistant Sales Manager, and engineers of NSN Company.
Once the customer fills up the KYC form, I call him/her after 5 working days to check if he
has received the welcome kit which contains the login ID and password from Bombay office
of Sharekhan. After he receives the kit I have to go to his place to install the software in his
computer and also I have to tell him how to trade online i.e. I have to explain him the
complete terminal. I am required to show the customer how to make a transaction and how to
get access to the terminal. Also, if the client faces any problem, then those too had to be
solved by me. So, it is all a very good learning experience for me. We have to take about 25
signatures of the customer on the KYC form. This is again a big challenge because they say
that now they don`t have enough time to sign in 25 places. And if the sign mismatches even a
little then there is again some long procedure to make that form acceptable. I had faced this
kind of situation. My second client

Mr Ahmad Zama signature on the passport photocopy

was different from that on his PAN card. So the form got rejected. And he even said that if
this form will not proceed further then he don`t want to open the Demat account and asked
me to return the cheque. Due to this I was very depressed for 2-3 days but then maybe I
called him at a right time as he instantly asked me given another copy of passport with
matched signature and I was very happy that day. At Sharekhan, the atmosphere is perfectly
cordial. There are senior trainees and back office people always to solve the difficulties we
faced in approaching a customer, filling up the form, demonstrating the terminal, or solving
the customers queries. Even our Ashish sir helped us in solving our problems. I am gone in a
market in alternate days.

Problems faced while selling products:

Customer dissatisfied with the services.

People fear about the Market fluctuations

Past experience, word of mouth.

People do not want insurance products.

Lack of knowledge and less awareness about demat account.

People risk appetite is very low, so they are afraid of mutual fund as well

ACHIEVEMENT:

SERIAL
NO

WEEK NO.

ACHIEVEMENT

A.

(15/06/14
22/06/14)

NIL

B.

(28/6/1406/7/14)

NIL

C.

(07/7/14 14/7/14)

2 DEMAT A/C

D.

(16/7/14 22/7/14)

NIL

NAME OF
THE
CLIENT

TYPE OF
ACCOUNT

AMOUNT /
ASSET

NIL

NIL

NIL

NIL

NIL

NIL

1.Mr.Bisharat
khan
2.Mr.Ahmad
zama khan

Classic
accounts

Rs.750/(Rs.750/each)

NIL

NIL

NIL

1.Mrs.Afsha
khan

Rs.750/2Classic
account

E.

(23/07/14 1/08/14)

5 DEMAT A/C

LEARNINGS:

Importance of information technology in the field of stock broking is immense.

Stock broking companies run with the help of IT.

The terminal through which the brokers buy and sell shares is a software that
completely depends on the internet. For Sharekhan, this terminal has been designed
by the software company Spider.

Buying and selling through internet is fast. As soon as the prices of the shares goes up
or comes down then they can be sold or purchased instantly within seconds.

Customer Relationship is very necessary for the company to retain the customers.

In Sharekhan I have learned how to maintain good relations with the customers by
giving them the proper service and solving their queries regarding the share market.

I have also learned how to maintain good relation with the employees and the cotrainees.

In Sharekhan Ltd. I have learned a lot relating to the finance and marketing

Learned the meaning of the words that are mostly used in the share market.

Learned about various products of the Sharekhan Limited.

Learned various aspects regarding Share Market.

Learned about various products used in the share market especially Demat
accounts .Learned how to use online trading terminal.

Enhanced my communication and convincing skills. Learned how to take

appointments.

Learned how to approach the customers.

Learned how to open and close the calls.

Learned how to interact with people, how to convince them and guide them in trading.

Learned the various policies of the company.

Learned to manage time properly.

LIMITATIONS OF ACHEVING

Due to bad market conditions people are becoming more and more pessimistic about
investing in the share market. After the depreciation of rupee upto the level of Rs 60,
SENSEX fell tremendously from 21000 . In this crash many people lost their money
amounting from 2 Lakhs to 4-5 crore or even more. So when we approach them they
tell us how much they used to trade in shares and how much money they have lost in
the share market. They even tell us that we are doing our training at very wrong time.

While telecalling sometimes the clients do not give positive response, may be because
they are really busy or may be not interested in the demat accounts.

While cold calling when we met the owners of big shops. They said that if they had
spare money they will invest it in their shops and not in the share market. They don`t
want to take risk.

There are some negative rumors in the market about Sharekhan ltd. some people have
very bad experience with Sharekhan in terms of services and charges. This may not be
the fault of the company but of some of the marketing executives who don`t disclose
all the details about charges and products and once the demat account has been
opened they don`t pay any attention to their old clients and thus fail to give proper
services to the clients.

Sharekhan takes no charges for opening Demat accounts but there is a initial deposit
of Rs.10,000/-. It is just a margin money which has to be kept with Sharekhan till the
account opens. As soon as the account opens this money can be kept as it is in the
demat account or it can be completely used for buying shares or it can be partially
used and the rest of the amount can be withdrawn. But clients fail to understand this.
They think that these are the charges they start suspecting it. So its very difficult to
convince them to deposit that much amount and open a demat account.

Points to Remember

You may choose your DP based on your evaluation of their reputation, service
standards, charges, other conveniences, etc.

Account opening procedure should typically take 2-5 days.

In case of a minor, the depository account should be opened in the name of the minor
and the guardians name should be mentioned. The guardian will sign
as signatory on behalf of the minor. For selling the securities of the minor, a court
order should be obtained.

In case of any difficulties, contact your DP.

Only securities admitted by NSDL can be dematerialized. The list is available with
your DP.

Only securities registered in the name of the account holder can be dematerialized.

Dematerialization is normally completed within 15 days after the share certificates

have reached the issuer/their R&T Agent. Thus it may take you a month from the date
you hand over shares, to receive demat credit.

Dematerialization would be done only when the issuer / their R&T Agent is satisfied
of genuineness of securities & ownership status

All the joint holders should sign the DRF.

Demat requests with name(s) not matching exactly with the name(s) appearing on the
certificates merely on account of initials not being spelt out fully or put after or prior
to the surname, would be processed, provided the signature(s) of the client(s) on the
DRF tallies with the specimen signature(s) available with the issuer/ their R & T
agent.

If the signature in the DRF does not match with the signature available with the
issuer/ their R & T agent, the issuer/ their R & T agent may at the time of demat
confirmation, ask for additional documentation (like bank attestation/ notarization,
etc.) to prove that the certificate belongs to the person who forwarded the DRF.

In case there is any problem in processing the DRF, contact your DP and if he cannot
resolve the problem you may contact NSDL

LITERATURE REVIEW

LITERATURE REVIEW:
According to jayanth .R. verma (July 1997) on Indian Money Market
Market Structure, Covered Parity and Term Structure:In the context of the relatively recent deregulation of interest rates in India, this paper
analyses the structure and inter-relationships of money market interest rates and studies the
extent to which covered interest parity holds in India. The paper shows that there was a major
structural break in September 1995 when in the wake of turmoil in the foreign exchange
markets, covered interest arbitrage came into play in a big way for the first time.
According to Jayanth R Varma (November 2004) on Towards a Unified Market for
Trading Gilts in India:A Working Group of the Reserve Bank of India (RBI) under the chairmanship of Dr. R. H.
Patil has recommended that Indian government securities should be traded in two separate
and segregated markets. Banks and primary dealers are to trade on an anonymous electronic
screen based order matching trading system a monopoly exchange based on the Negotiated
Dealing System (NDS) owned by the RBI. Households, pension and provident funds and
most other investors are proposed to be relegated to a separate segregated market driven by
compulsory market making. The Patil Report also recommends that the RBI should indulge
in systematic market manipulation in the NDS to reduce the borrowing cost of the
government. This paper argues for a reconsideration of most elements of this design.
Government securities are a unique asset class to which all Indians should have nondiscriminatory access. Segregated markets are unacceptable. Nor are monopolies desirable
since intense competition is the principal mechanism for fostering innovation and investor
protection.
According to Rajnish Mehra (June 2010) on INDIAN EQUITY MARKETS
MEASURES OF FUNDAMENTAL VALUE:In this paper, we take a critical look at the relationship between the value of capital stock in
the Indian corporate sector and the valuation of claims to this capital stock in capital markets.
We address the question of whether Indian equity valuations over the period 1991- 2008 are
consistent with three key market fundamentals: corporate capital stock, after tax corporate
cash flows and net corporate debt. Our analysis extends the neo-classical growth model to
include intangible capital and key features of the tax code and uses national account statistics
to estimate the equilibrium value of corporate equity relative to GDP. Our framework can
provide policy makers with a benchmark to identify deviations in equity markets relative to
those implied by economic fundamentals. In addition, it facilitates a quantitative assessment
of policy changes such as, for example, the effect of changes in dividend taxation on stock

prices. We caution the reader that although our framework is well suited to examining secular
movements in the value of equity relative to GDP, it is not suitable to address high frequency
price movements in the stock market. In fact, we know of no framework that can
satisfactorily account for these movements in terms of the underlying fundamentals. High
frequency volatility remains a puzzle. Based on our analysis, we conclude that in a large
measure, Indian equity markets were fairly priced over the 1991-2008period.
According to Debjiban Mukherjee (April 2007) On Comparative Analysis of Indian
Stock Market with International Markets:The stock market is witnessing heightened activities and is increasingly gaining importance.
In the current context of globalization and the subsequent integration of the global markets
this paper captures the trends, similarities and patterns in the activities and movements of the
Indian Stock Market in comparison to its international counterparts. This study covers New
York Stock Exchange (NYSE), Hong Kong Stock exchange (HSE), Tokyo Stock exchange
(TSE), Russian Stock exchange (RSE), Korean Stock exchange (KSE) from various sociopolitico-economic backgrounds. Both the Bombay Stock exchange (BSE) and the National
Stock Exchange of Indian Limited (NSE) have been used in the study as a part of Indian
Stock Market. The time period has been divided into various eras to test the correlation
between the various exchanges to prove that the Indian markets have become more integrated
with its global counterparts and its reaction are in tandem with that are seen globally.

According To GopiKrishna Suvanam & Amit Trivedi on Imbalances

Created because of Structured Products in Indian Equity markets:-

This paper is study of effect of hedging of structured products on exchange

traded equity products. We look at various aspects of the structured product
markets including the motivation to buy, the risks of the products, the hedging
behaviour and the effect of hedging on exchange traded products. We conclude
the hedging would be volatility supportive in a sell off and would be volatility
suppressing in significant rally. We also suggest introduction of some new
exchange products that would make the
Hedging process easy and also would help some retail investors express their
view in a better fashion
Without the transaction costs involved in structured products.

RESEARCH
METHODOLOGY

RESEARCH METHODOLOGY
For the purpose of literature survey, a sample survey was adopted through the
Structured Questionnaire, and information was gathered by those who had
conducted study, the information was also searched in libraries in various reports,
journals and internet sites were also scanned for the authenticities of the subject
matter.

Definition Of Research Design:

It is a basic plan, which guides the data collection and analysis phases of the
project. It is a frame work, which specifies the type of information to be collected,
the resources of data collection procedure.

Type of Research:
Descriptive studies are well structured, they tend to be rigid and its approach cannot
be changed every now and then.
Descriptive study is undertaken in many circumstances:
1

When the researcher is interested in knowing the characteristics of certain

groups such as age, profession.

When the researcher is interested in knowing the proportion of people in given

population who have behaved in a particular manner, making projection of
certain things. The objective of this kind of study is to answer the why, who,
what, when and how of the subject under consideration. We will be taking
descriptive research because our research includes comparative analysis in
Delhi-NCR region and by the help of primary data assisted by questionnaire we
will accomplish this task. A research design is a market plan or model for
conduction a formal Investigation. It is a specification of methods and
procedures for acquiring the Information needed for solving of any problem.
Research design is the strategy for a study and the plan by which the strategy is
to be carried out. It specifies the methods and procedures for the collection,

measurement and analysis of data. Unfortunately, there is no simple

classification of research designs that covers the variation found in practice.

BASIC RESEARCH:
The research which is done for knowledge enhancement, the research which does
not have immediate commercial potential. The research which is done for human
welfare, animal welfare and plant kingdom welfare. It is called basic, pure,
fundamental research. The main motivation is to expand man's knowledge, not to
create or invent something. There is no obvious commercial value to the discoveries
that result from basic research. Basic research lay down the foundation for the
applied research. Dr.G.Smoot says people cannot foresee the future well enough to
predict what is going to develop from the basic research E.g.:-how did the universe
begin?

APPLIED RESEARCH:
Applied research is designed to solve practical problem of the modern world, rather
than to acquire knowledge for knowledges sake. The goal of applied research is to
improve the human condition. It focuses on analysis and solving social and real life
problems. This research is generally conducted on large scale basis, it is expensive.
As such, it often conducted with the support of some financing agency like
government, public corporation, world bank, UNICEF, UGC, Etc.,. According to
hunt, applied research is an investigation for ways of using scientific knowledge to
solve practical problems for example:- improve agriculture crop production, treat
or cure a specific disease, improve the energy efficiency homes, offices, how can
communication among workers in large companies be improved? Applied research
can be further classified as problem oriented and problem solving research. Problem
oriented research:- research is done by industry apex body for sorting out problems
faced by all the companies. E.g.:- WTO does problem oriented research for
developing countries, in India agriculture and processed food export development
authority (APEDA) conduct regular research for the benefit of agri-industry.
Problem solving:-this type of research is done by an individual company for the
problem faced by it. Marketing research and market research are the applied

research. For e.g.:- Videocon international conducts research to study customer

satisfaction level, it will be problem solving research. In short, the main aim of
applied research is to discover some solution for some pressing practical problem.

QUANTITATIVE RESEARCH:
Quantitative research aim to measure the quantity or amount and compares it with
past records and tries to project for future period. In social sciences, quantitative
research refers to the systematic empirical investigation of quantitative properties
and phenomena and their relationships. The objective of qualitative research is to
develop and employ mathematical models, theories or hypothesis pertaining to
phenomena. The process of measurement is central to quantitative research because
it provides fundamental connection between empirical observation and mathematical
expression of quantitative relationships. Statistics is the most widely used branch of
mathematics in quantitative research. Statistical methods are used extensively with
in fields such as economics and commerce. Quantitative research involving the use
of structured questions, where the response options have been Pre-determined and
large number of respondents is involved.eg:-total sales of soap industry in terms of
rupees cores and or quantity in terms of lakhs tones for particular year, say
2008,could be researched, compared with past 5 years and then projection for 2009
could be made.

QUALITATIVE RESEARCH:
Qualitative research presents non-qualitative type of analysis. Qualitative research is
collecting, analyzing and interpreting data by observing what people do and say.
Qualitative research refers to the meanings, definitions, characteristics, symbols,
metaphors, and description of things. Qualitative research is much more subjective
and uses very different methods of collecting information, mainly individual, in

depth interviews and focus groups. The nature of this type of research is exploratory
and open ended. Small number of people are interviewed in depth and or a relatively
small number of focus groups are conducted. Qualitative research can be further
classified in the following type. I. Phenomenology:-a form of research in which the
researcher attempts to understand how one or more individuals experience a
phenomenon. E.g.:-we might interview 20 victims of bhopal tragedy. II.
Ethnography:- this type of research focuses on describing the culture of a group of
people. A culture is the shared attributes, values, norms, practices, language, and
material things of a group of people. E.g.:-the researcher might decide to go and live
with the tribal in Andaman island and study the culture and the educational
practices. III. Case study:-is a form of qualitative research that is focused on
providing a detailed account of one or more cases.

SAMPLING:
A process of selecting a sample to determine certain characteristics of a population.
In statistics, quality assurance, and survey methodology, sampling is concerned with
the selection of a subset of individuals from within a statistical population to
estimate characteristics of the whole population. Acceptance sampling is used to
determine if a production lot of material meets the governing specifications. Two
advantages of sampling are that the cost is lower and data collection is faster than
measuring the entire population. Each observation measures one or more properties
(such as weight, location, color) of observable bodies distinguished as independent
objects or individuals. In survey sampling, weights can be applied to the data to
adjust for the sample design, particularly stratified sampling (blocking). Results
from probability theory and statistical theory are employed to guide practice. In
business and medical research, sampling is widely used for gathering information
about a population.

Population definition:
Successful statistical practice is based on focused problem definition. In sampling,
this includes defining the population from which our sample is drawn. A population
can be defined as including all people or items with the characteristic one wish to
understand. Because there is very rarely enough time or money to gather
information from everyone or everything in a population, the goal becomes finding a

representative sample (or subset) of that population. Sometimes that which defines a
population is obvious. For example, a manufacturer needs to decide whether a batch
of material from production is of high enough quality to be released to the customer,
or should be sentenced for scrap or rework due to poor quality. In this case, the batch
is the population.
Although the population of interest often consists of physical objects, sometimes we
need to sample over time, space, or some combination of these dimensions. For
instance, an investigation of supermarket staffing could examine checkout line
length at various times, or a study on endangered penguins might aim to understand
their usage of various hunting grounds over time. For the time dimension, the focus
may be on periods or discrete occasions.
In other cases, our 'population' may be even less tangible. For example, Joseph
Jagger studied the behavior of roulette wheels at a casino in Monte Carlo, and used
this to identify a biased wheel. In this case, the 'population' Jagger wanted to
investigate was the overall behavior of the wheel (i.e. the probability distribution of
its results over infinitely many trials), while his 'sample' was formed from observed
results from that wheel. Similar considerations arise when taking repeated
measurements of some physical characteristic such as the electrical conductivity of
copper. This situation often arises when we seek knowledge about the cause system
of which the observed population is an outcome. In such cases, sampling theory may
treat the observed population as a sample from a larger 'super population'. For
example, a researcher might study the success rate of a new 'quit smoking' program
on a test group of 100 patients, in order to predict the effects of the program if it
were made available nationwide. Here the super population is "everybody in the
country, given access to this treatment" - a group which does not yet exist, since the
program isn't yet available to all.
Note also that the population from which the sample is drawn may not be the same
as the population about which we actually want information. Often there is large but
not complete overlap between these two groups due to frame issues etc. (see below).
Sometimes they may be entirely separate - for instance, we might study rats in order
to get a better understanding of human health, or we might study records from
people born in 2008 in order to make predictions about people born in 2009.Time
spent in making the sampled population and population of concern precise is often

well spent, because it raises many issues, ambiguities and questions that would
otherwise have been overlooked at this stage.

Sampling methods:
Within any of the types of frame identified above, a variety of sampling methods can
be employed, individually or in combination. Factors commonly influencing the
choice between these designs include. Nature and quality of the frame. Availability
of auxiliary information about units on the frame. Accuracy requirements and the
need to measure accuracy. Whether detailed analysis of the sample is expected.
Cost/operational concerns.

Simple random sampling:

In a simple random sample (SRS) of a given size, all such subsets of the frame are
given an equal probability. Each element of the frame thus has an equal probability
of selection: the frame is not subdivided or partitioned. Furthermore, any given pair
of elements has the same chance of selection as any other such pair (and similarly
for triples, and so on). This minimizes bias and simplifies analysis of results. In
particular, the variance between individual results within the sample is a good
indicator of variance in the overall population, which makes it relatively easy to
estimate the accuracy of results. However, SRS can be vulnerable to sampling error
because the randomness of the selection may result in a sample that doesn't reflect
the makeup of the population. For instance, a simple random sample of ten people
from a given country will on average produce five men and five women, but any
given trial is likely to over represent one sex and underrepresent the other.
Systematic and stratified techniques, discussed below, attempt to overcome this
problem by using information about the population to choose a more representative
sample. SRS may also be cumbersome and tedious when sampling from an
unusually large target population. In some cases, investigators are interested in
research questions specific to subgroups of the population. For example, researchers
might be interested in examining whether cognitive ability as a predictor in this
situation because it does not provide subsamples of the population. Stratified of job
performance is equally applicable across racial groups. SRS cannot accommodate
the needs of researchers sampling, which is discussed below, addresses this

weakness of SRS. Simple random sampling is always an EPS design (equal

probability of selection), but not all EPS designs are simple random sampling.

Systematic sampling:
Systematic sampling relies on arranging the study population according to some
ordering scheme and then selecting elements at regular intervals through that
ordered list. Systematic sampling involves a random start and then proceeds with the
selection of every kth element from then onwards. In this case, k=(population
size/sample size). It is important that the starting point is not automatically the first
in the list, but is instead randomly chosen from within the first to the k th element in
the list. A simple example would be to select every 10th name from the telephone
directory (an 'every 10th' sample, also referred to as 'sampling with a skip of 10').
As long as the starting point is randomized, systematic sampling is a type of
probability sampling. It is easy to implement and the stratification induced can make
it efficient, if the variable by which the list is ordered is correlated with the variable
of interest. 'Every 10th' sampling is especially useful for efficient sampling from
databases.
For example, suppose we wish to sample people from a long street that starts in a
poor area (house No. 1) and ends in an expensive district (house No. 1000). A simple
random selection of addresses from this street could easily end up with too many
from the high end and too few from the low end (or vice versa), leading to an
unrepresentative sample. Selecting (e.g.) every 10th street number along the street
ensures that the sample is spread evenly along the length of the street, representing
all of these districts. (Note that if we always start at house #1 and end at #991, the
sample is slightly biased towards the low end; by randomly selecting the start
between #1 and #10, this bias is eliminated. However, systematic sampling is
especially vulnerable to periodicities in the list. If periodicity is present and the
period is a multiple or factor of the interval used, the sample is especially likely to
be unrepresentative of the overall population, making the scheme less accurate than
simple random sampling.
For example, consider a street where the odd-numbered houses are all on the north
(expensive) side of the road, and the even-numbered houses are all on the south

(cheap) side. Under the sampling scheme given above, it is impossible to get a
representative sample; either the houses sampled will all be from the odd-numbered,
expensive side, or they will all be from the even-numbered, cheap side.
Another drawback of systematic sampling is that even in scenarios where it is more
accurate than SRS, its theoretical properties make it difficult to quantify that
accuracy. (In the two examples of systematic sampling that are given above, much of
the potential sampling error is due to variation between neighbouring houses - but
because this method never selects two neighbouring houses, the sample will not give
us any information on that variation.)As described above, systematic sampling is an
EPS method, because all elements have the same probability of selection (in the
example given, one in ten). It is not 'simple random sampling' because different
subsets of the same size have different selection probabilities - e.g. the set {4,
14,24,...,994} has a one-in-ten probability of selection, but the set {4,13,24,34,...}
has zero probability of selection.

Stratified sampling:
Where the population embraces a number of distinct categories, the frame can be
organized by these categories into separate "strata." Each stratum is then sampled as
an independent sub-population, out of which individual elements can be randomly
selected.[1] There are several potential benefits to stratified sampling. First, dividing
the population into distinct, independent strata can enable researchers to draw
inferences about specific subgroups that may be lost in a more generalized random
sample.
Second, utilizing a stratified sampling method can lead to more efficient statistical
estimates (provided that strata are selected based upon relevance to the criterion in
question, instead of availability of the samples). Even if a stratified sampling
approach does not lead to increased statistical efficiency, such a tactic will not result
in less efficiency than would simple random sampling, provided that each stratum is
proportional to the group's size in the population.
Third, it is sometimes the case that data are more readily available for individual,
pre-existing strata within a population than for the overall population; in such cases,
using a stratified sampling approach may be more convenient than aggregating data
across groups (though this may potentially be at odds with the previously noted
importance of utilizing criterion-relevant strata).

Finally, since each stratum is treated as an independent population, different

sampling approaches can be applied to different strata, potentially enabling
researchers to use the approach best suited (or most cost-effective) for each
identified subgroup within the population.
There are, however, some potential drawbacks to using stratified sampling. First,
identifying strata and implementing such an approach can increase the cost and
complexity of sample selection, as well as leading to increased complexity of
population estimates. Second, when examining multiple criteria, stratifying variables
may be related to some, but not to others, further complicating the design, and
potentially reducing the utility of the strata. Finally, in some cases (such as designs
with a large number of strata, or those with a specified minimum sample size per
group), stratified sampling can potentially require a larger sample than would other
methods (although in most cases, the required sample size would be no larger than
would be required for simple random sampling. A stratified sampling approach is
most effective when three conditions are met Variability within strata are minimized.
Variability between strata are maximized. The variables upon which the population
is stratified are strongly correlated with the desired dependent variable.

Advantages over other sampling methods:

Focuses on important subpopulations and ignores irrelevant ones. Allows use of
different sampling techniques for different subpopulations. Improves the
accuracy/efficiency of estimation. Permits greater balancing of statistical power of
tests of differences between strata by sampling equal numbers from strata varying
widely in size.

Disadvantages:
Requires selection of relevant stratification variables which can be difficult. Is not
useful when there are no homogeneous subgroups. Can be expensive to implement.
Poststratification Stratification is sometimes introduced after the sampling phase in a
process called "poststratification". This approach is typically implemented due to a
lack of prior knowledge of an appropriate stratifying variable or when the
experimenter lacks the necessary information to create a stratifying variable during
the sampling phase. Although the method is susceptible to the pitfalls of post hoc
approaches, it can provide several benefits in the right situation. Implementation
usually follows a simple random sample. In addition to allowing for stratification on

an ancillary variable, post stratification can be used to implement weighting, which

can improve the precision of a sample's estimates

Oversampling
Choice-based sampling is one of the stratified sampling strategies. In choice-based
sampling,[5] the data are stratified on the target and a sample is taken from each
stratum so that the rare target class will be more represented in the sample. The
model is then built on this biased sample. The effects of the input variables on the
target are often estimated with more precision with the choice-based sample even
when a smaller overall sample size is taken, compared to a random sample. The
results usually must be adjusted to correct for the oversampling.

Probability-proportional-to-size sampling:
In some cases the sample designer has access to an "auxiliary variable" or "size
measure", believed to be correlated to the variable of interest, for each element in the
population. These data can be used to improve accuracy in sample design. One
option is to use the auxiliary variable as a basis for stratification, as discussed above.
Another option is probability-proportional-to-size ('PPS') sampling, in which the
selection probability for each element is set to be proportional to its size measure, up
to a maximum of 1. In a simple PPS design, these selection probabilities can then be
used as the basis for Poisson sampling. However, this has the drawback of variable
sample size, and different portions of the population may still be over- or underrepresented due to chance variation in selections. To address this problem, PPS may
be combined with a systematic approach.
Example: Suppose we have six schools with populations of 150, 180, 200, 220, 260,
and 490 students respectively (total 1500 students), and we want to use student
population as the basis for a PPS sample of size three. To do this, we could allocate
the first school numbers 1 to 150, the second school 151 to 330 (= 150 + 180), the
third school 331 to 530, and so on to the last school (1011 to 1500). We then
generate a random start between 1 and 500 (equal to 1500/3) and count through the
school populations by multiples of 500. If our random start was 137, we would
select the schools which have been allocated numbers 137, 637, and 1137, i.e. the
first, fourth, and sixth schools.
The PPS approach can improve accuracy for a given sample size by concentrating
sample on large elements that have the greatest impact on population estimates. PPS

sampling is commonly used for surveys of businesses, where element size varies
greatly and auxiliary information is often available - for instance, a survey
attempting to measure the number of guest-nights spent in hotels might use each
hotel's number of rooms as an auxiliary variable. In some cases, an older
measurement of the variable of interest can be used as an auxiliary variable when
attempting to produce more current estimates.

Cluster sampling:
Sometimes it is more cost-effective to select respondents in groups ('clusters').
Sampling is often clustered by geography, or by time periods. (Nearly all samples
are in some sense 'clustered' in time - although this is rarely taken into account in the
analysis.) For instance, if surveying households within a city, we might choose to
select 100 city blocks and then interview every household within the selected
blocks. Clustering can reduce travel and administrative costs. In the example above,
an interviewer can make a single trip to visit several households in one block, rather
than having to drive to a different block for each household. It also means that one
does not need a sampling frame listing all elements in the target population. Instead,
clusters can be chosen from a cluster-level frame, with an element-level frame
created only for the selected clusters. In the example above, the sample only requires
a block-level city map for initial selections, and then a household-level map of the
100 selected blocks, rather than a household-level map of the whole city. Cluster
sampling generally increases the variability of sample estimates above that of simple
random sampling, depending on how the clusters differ between themselves, as
compared with the within-cluster variation. For this reason, cluster sampling
requires a larger sample than SRS to achieve the same level of accuracy - but cost
savings from clustering might still make this a cheaper option. Cluster sampling is
commonly implemented as multistage sampling. This is a complex form of cluster
sampling in which two or more levels of units are embedded one in the other. The
first stage consists of constructing the clusters that will be used to sample from. In
the second stage, a sample of primary units is randomly selected from each cluster
(rather than using all units contained in all selected clusters). In following stages, in
each of those selected clusters, additional samples of units are selected, and so on.
All ultimate units (individuals, for instance) selected at the last step of this procedure

are then surveyed. This technique, thus, is essentially the process of taking random
subsamples of preceding random samples. Multistage sampling can substantially
reduce sampling costs, where the complete population list would need to be
constructed (before other sampling methods could be applied). By eliminating the
work involved in describing clusters that are not selected, multistage sampling can
reduce the large costs associated with traditional cluster sampling.[6]

Quota sampling:
In quota sampling, the population is first segmented into mutually exclusive subgroups, just as in stratified sampling. Then judgment is used to select the subjects or
units from each segment based on a specified proportion. For example, an
interviewer may be told to sample 200 females and 300 males between the age of 45
and 60.It is this second step which makes the technique one of non-probability
sampling. In quota sampling the selection of the sample is non-random. For example
interviewers might be tempted to interview those who look most helpful. The
problem is that these samples may be biased because not everyone gets a chance of
selection. This random element is its greatest weakness and quota versus probability
has been a matter of controversy for several years.

Accidental sampling:
Accidental sampling (sometimes known as grab, convenience or opportunity
sampling) is a type of nonprobability sampling which involves the sample being
drawn from that part of the population which is close to hand. That is, a population
is selected because it is readily available and convenient. It may be through meeting
the person or including a person in the sample when one meets them or chosen by
finding them through technological means such as the internet or through phone.
The researcher using such a sample cannot scientifically make generalizations about
the total population from this sample because it would not be representative enough.
For example, if the interviewer were to conduct such a survey at a shopping center
early in the morning on a given day, the people that he/she could interview would be
limited to those given there at that given time, which would not represent the views
of other members of society in such an area, if the survey were to be conducted at
different times of day and several times per week. This type of sampling is most

useful for pilot testing. Several important considerations for researchers using
convenience samples include: Are there controls within the research design or
experiment which can serve to lessen the impact of a non-random convenience
sample, thereby ensuring the results will be more representative of the population?
Is there good reason to believe that a particular convenience sample would or should
respond or behave differently than a random sample from the same population?
Is the question being asked by the research one that can adequately be answered
using a convenience sample?
In social science research, snowball sampling is a similar technique, where existing
study subjects are used to recruit more subjects into the sample. Some variants of
snowball sampling, such as respondent driven sampling, allow calculation of
selection probabilities and are probability sampling methods under certain
conditions.

Line-intercept sampling:
Line-intercept sampling is a method of sampling elements in a region whereby an
element is sampled if a chosen line segment, called a "transect", intersects the
element.

Panel sampling:
Panel sampling is the method of first selecting a group of participants through a
random sampling method and then asking that group for (potentially the same)
information several times over a period of time. Therefore, each participant is
interviewed at two or more time points; each period of data collection is called a
"wave". The method was developed by sociologist Paul Lazars Feld in 1938 as a
means of studying political campaigns.[7] This longitudinal sampling-method allows
estimates of changes in the population, for example with regard to chronic illness to
job stress to weekly food expenditures. Panel sampling can also be used to inform
researchers about within-person health changes due to age or to help explain
changes in continuous dependent variables such as spousal interaction.[8] There
have been several proposed methods of analyzing panel data, including MANOVA,
growth curves, and structural equation modeling with lagged effects.
Replacement of selected units

Sampling schemes may be without replacement ('WOR' - no element can be selected

more than once in the same sample) or with replacement ('WR' - an element may
appear multiple times in the one sample). For example, if we catch fish, measure
them, and immediately return them to the water before continuing with the sample,
this is a WR design, because we might end up catching and measuring the same fish
more than once. Another example, the re-sampling process of a dataset of (n) years
can be represented by having (n) balls of different colors in a box. Essentially,
bootstrap re-sampling with replacement is to randomly pick a ball from the box,
record its color and return the ball to the box. This process is repeated many times
until a new time series is generated out of the original sample, the box of colored
balls.[9] However, if we do not return the fish to the water (e.g. if we eat the fish),
this becomes a WOR design.

Sample Location:
The study will be taken up in Ghaziabad, vaishali, Delhi NCR region.

Sample Size:
Total of one hundred respondents were interviewed during the survey, the input
from these respondents which was collected in Ghaziabad, vaisahli, Nodia62 formed
the primary data for the study.

Sample Unit:
The sample unit will be of employees, entrepreneur, households, students, that are
Doing online trading

Sample-Procedure:
Data were collected from Internet users among students, employees and
entrepreneurs in India in summer 2013. A purposive sample was recruited with the
assistance from professional survey research companies. Overall, 100 questionnaires
were collected in employees, entrepreneur, and students.

Data Collection: s

Interaction with Respondents was in the form of face-to-face interviews with the
help of questionnaire. The questionnaire consisted of a set of questions, asked to the
respondent for his/her response; the questionnaire was structured and non-disguised.
It was done in a prearranged order and the object of the research was revealed to the
respondent. The questionnaire consisted of combination of open ended and closeended question.

Primary Data:
The research collected primary data during the course of research
period with the help of Questionnaire to carry out the research.
Questionnaire filling through survey and personal interviews with
sample size of 100 respondents in area on Delhi- NCR. The primary
data was generated through extensive use of a structured questionnaire, which had
both the open end and close-ended questions. They were conducted in Delhi-NCR
and the data collected was used for the purpose of analysis and interpretation.

Secondary Data:
The second data was collected from the following sources:
1

Books

Magazines

Website

Journals

Data Processing:
Collected data was Analyzed and tabulated with the help of MS Excel and then they
have been presented in the tables and Graphs in this report. These are the basis for
drawing the appropriate conclusion for this project.

Data Analysis Technique :

The data collected from the manufacturer, dealer, retailer and services were analyzed
using different standard statistical tools and techniques each of the question were
analyzed to find out the Manufacturer, dealer, retailer and services choice of with
reference to Primary Data and Secondary Data.

OBJECTIVES OF THE
STUDY

OBJECTIVES OF THE STUDY

To study the preferred mode of trading.

To study the channels of awareness used by investors
To study the factor which influence an investor while choosing broker.
To compare Sharekhan as a brokerage firm with other leading broking firm.

DATA ANALYSIS AND

INTERPRETATION

 Online/Offline Trading

Total Sample(100)

online(64)

offline(36)

According to this Pie chart there are 78% Investor use online trading.21.95% Investor use
offline trading mode so the study indicate most number of customer are aware about online
trade

Investment Product Preference

30
25
20
15
10
5
0

Column1

As per the study maximum number of respondent trade in equity followed by mutual fund.

Mode Of Awareness

30
25
20
15
10
5
0

Newspaper Journals

TV Adv.

Friends

Internet

Others

As per the study maximum customer aware from friends which followed by internet

Preference for Broking Firm

25
20
15
10
5
0

As per the study maximum no. of trader prefer ICICI direct which followed by Sharekhan.

Low brokerage factor influence in choosing firm

(a) Not very important

1% 15%
55%

29%

(b) Not important

(c ) Indifferent
(d) Important
( e ) Extremely
important

According to this Pie chart 55% investor influence low brokerage given by firm
most of the customer give importance low brokerage firm.

 Better customer service factor influence in choosing a broking firm.

1%

15%

(a) Not very important

(b) Not important
(c ) Indifferent

55%

29%

(d) Important
( e ) Extremely
important

According this Pie chart 55% Customer want better customer services from the firms.

Brand loyalty factor influence in choosing a broking firm.

11% 1% 13%
(a) Not very important
29%

(b) Not important

45%

(c ) Indifferent
(d) Important
( e ) Extremely important

According to this Pie chart 40% customer is focus on brand loyalty of a broking firm.

Margin money factor influence in choosing a broking firm

11% 1% 13%

(a) Not very important

(b) Not important
(c ) Indifferent
(d) Important
( e ) Extremely important

29%
45%

According to this Pie chart 45% investor wants to invest money on minimum margin money

Good Trading Tips factor influence in choosing a broking firms

11%1% 13%

(a) Not very important

(b) Not important

29%
45%

(c ) Indifferent
(d) Important
( e ) Extremely
important

According to this Pie Chart 40% investor beliefs in good trading tips provide
by the firms.

Timely Research Report factor influence in choosing a broking

firms

11% 1% 13%
29%
45%

(a) Not very important

(b) Not important
(c ) Indifferent
(d) Important
( e ) Extremely important

According to this Pie Chart 45% indifferent about the timely report of trading provided by
the firms.

Friends Refer factor Influence in choosing a broking firm.

Chart Title

(a) Not very important

11% 1% 13%

(b) Not important

(c ) Indifferent

29%

(d) Important

45%

( e ) Extremely important

According to this Pie chart 45% indifferent about Friends refer factor to choose to broking
firms.

CAMPARISION OF COMPETITIORS WITH SHAREKHAN:

PARTICULAR

SHAREKHAN

ICICI
DIRECT

INDIA
BULLS
SECURTI
.

RELIGARE kotak

ANGEL
securities SECURIT

A/C
OPENING
CHARGES

NIL

975/-

950/-

500/-

550/-

660/-

DEMAT
A/C
CHARGES

First year free

and second year
400

NIL

RS.450/PERYEAR

NIL

30 PM

225/-

ICICI
ONLY

HDFC,
IDBI,
ICICI,
AXIS

TIE UP WITH
BANKS

HDFCBANK
IDBIBANK,
CITI BANK,
UTIBANK,
OBC,
ICICI BANK,
YES BANK,
UNION

CITI BANK
UTIBANK
HDFCBANK

BOI
CANARABAN
K,
INDUS BANK

TRADING
THROUGH

WEBSITE
,
SOFTWA
RE AND
MOBILE
ONLINE/
OFFLINE

WEBSITE, SOFTWAR SOFTWAR

AND
E ONLY
ONLY
SOFTWARE
ONLY

WEBSITE,
SOFTWARE
AND MOBILE
ONLINE/OFFL
INE

WEBSITE
ONLY

MARGIN
MONEY
DEBIT PERIOD

5000

NIL

NIL

5000

8000

5000

T+4

T+2

T+2

T+2

T+2

T+2

MOBILE APPS

YES

NIL

YES

NIL

INTEREST
RATES

19 %

18%

17%

MODE OF
TRAINING

ONLINE/
OFFLINE

ONLINE/
OFFLINE

OFFLINE ONLINE/
OFFLINE

NIL

NIL
18%

FINDINGS AND
SUGGESTION

FINDING OF THE STUDY

The findings of the study are as follows..

As per the study 78% Investor use online trading.21.95% Investor use
offline trading
mode so the study indicate most number of customer are
aware about online trading.
As per the study maximum number of respondent trade in equity followed by
mutual fund.
As per the study maximum no. of trader prefer ICICI direct which followed by
Sharekhan.
As per the study 55% investor influence low brokerage given by firm most of
the customer give importance low brokerage firm.
As per the study 55% customer want better customer services from the firms.
As per the study 40% customer is focus on brand loyalty of a broking firm.
As per the study 45% investor wants to invest money on minimum margin
money.
As per the study 40% investor beliefs in good trading tips provide by the
firms.
As per the study 45% indifferent about the timely report of trading provided
by the firms.
As per the study 45% indifferent about Friends refer factor to choose to
broking firms.

Suggestions

There are still some customer who may not know about online trading that is why
they use offline mode so company should advise them to use online plate form so that
they can trade through anywhere any time.
As per as product is concern equity is the most preferred by the customer but
company should also increase the awareness in investing mutual fund.
It is good suggestion to company charges if it charges more or less same brokerage in
the derivative segment exactly what ICICI direct does than customer could be more
interested trade in derivatives.
In some of the areas company should provide quality service.
Company should promote its self through social media like Facebook ,tweeter
because today most of the person and specially youth is very much engage in these
media its should be good promoting plate form and creating buzz to the customer.

CONCLUSION

CONCLUSION

Trading in stock market as a whole is now considered as a specific sources of investment.

With the advent of new online based trading customers are very much satisfied. Share trading
industry has reviewed up its standards once again investment centers.

After analysing we conclude that most of the investor invests in equity after that they invest
in mutual fund.
It can be explicitly noted from the project that the awareness level are high with the present
youngsters and the middle-aged group which can be observed as a positive sign for the
growth of the industry. The effectiveness of the other supporting instrument
like client relationship can be further improved so that the impact will be high.
It doesnt end at just opening the demat account but the actual implementation is considered
with the customer related services. The customer should be updated on recent trends market
news and the value of the investment that increases their satisfaction and awareness and trust
on the company.

BIBLIOGRAPHY

BIBLOGRAPHY
Research Papers:

Indian Money Market, Market Structure, Covered Parity and Term Structure by
Jayanth R. Varma (July 1997, 3(2), 1-10) the ICFAI Journal of Applied Finance

Towards a Unified Market for Trading Gilts in India by Jayanth R. Varma (2004-1-05)
Indian Institute of Management Ahmedabad 380 015 India

Indian Equity Markets: Measures of Fundamental Value by Rajnish Mehra (June

2010). National Bureau Of Economics Research 1050 Massachusetts Avenue
Cambridge, MA 02138

Comparative Analysis of Indian Stock Market with International Markets by

Debjiban Mukherjee T. A. Pai Management Institute, Manipal, India

Websites:
www.sharekhan.com
www.indiabulls.com
www.angelbroking.com
www.kotaksecurity.com
www.slideshare.com

Books:
Ranganatham- Security Analysis and Portfolio Management (Pearson Education,)
Chandra P - Investment Analysis and Portfolio Management (Tata Mc Graw Hill, )
Bajpai Naval- Business Research Methods, Pearson
Pandey I M - Financial Management (Vikas, 2004, 9th Ed.)

APENDIX
QUESTIONAIR
1. Are you interested in share trading?
a) Yes
b) No
2. Which mode of trading would you prefer?
a) Online b) Offline
3. Which type of product do you invest in?
a) Mutual fund b) Equity c) Commodity d) Insurance e) Others

4. If you trade in future, which broking firm would you prefer?

a) Share khan b) India Bulls c) Angel broking d) ICICI Direct e) Religare f) kotak
5. How did you come to know about the broking firm?
a) Newspaper b) Journals c)TV Advertisement d) Friends e)Internet f) Others
6. How important do you think these factors influence in choosing a broking firm?
(Select one)
a) Low brokerage
Not very important

5 Extremely important

b) Better customer service

Not very important

5 Extremely important

c) Brand loyalty
Not very important

5 Extremely important

5 Extremely important

5 Extremely important

5 Extremely important

d) Margin money
Not very important
e) Good trading tips
Not very important
f) Timely research report
Not very important

(e)

Friends recommendations
Not very important

NAME:
GENDER: MALE/FEMALE
CONTACT NO:

5 Extremely important

AGE: