A PROJECT REPORT

ON
“A STUDY ON CONSUMER INVESTMENT BEHAVIOUR IN STALLION
CAPITAL MANAGEMENT”

Project Report Submitted in Partial

fulfillment of the requirements for the award of Degree of

MASTER OF BUSINESS ADMINISTRATION (MBA)

Submitted by
SANGITHA J
1405005902

Under the guidance of

VIMLA SHARMA
MBADL0141

SIKKIM MANIPAL UNIVERSITY (SMU)

DIRECTORATE OF DISTANCE EDUCATION
March, 2019

1
TITLE OF THE PROJECT
A Comparative study of customer services in ICICI and SBI banks in India

INTRODUCTION
This is a project about the study of the analysis is to determine the investment behavior of
investors and investment preferences for the same. The kind of volatility we witnessed in the
asset class (Equity markets) in recent times is unprecedented. It is true with other asset classes
like Gold, Currencies, and Bonds as well. This leaves the investor baffled at times. If we get into
further details, it can be finding that the continuous volatility is affecting investor behavior in a
big way. Therefore, one has to get into an investor’s mind and experience the upheavals going on
there.

OBJECTIVE

Primary Objective
 To understand in depth about Stallion Capital Management.
Secondary objective
 To find out how investors get information about the various financial instruments.
 To give some recommendations to the investors that where they should invest.
 To know the risk tolerance level of the individual investor and suggest a suitable
portfolio.
 To study the various financial opportunities available for investment.
 To study about the investors perception regarding various investment opportunities
available in the market
 To analyze the investment patterns of the investment.

2
PROBLEM STATEMENT
The particular topic is mainly selected to analyze Investor’s attitude and investment behavior
towards Stallion Capital Management. The comprehensive statement of the problem can thus be
stated as “Consumer Investment behavior towards Stallion Capital Management-.
This analysis was carried out to give more knowledge and broader view to the consumer
investment behavior in the stallion capital management. As the Consumer’s are not well
educated about the various options in which they can invest in. Their attitudes towards
investments are guided by so many external factors and once they decide to invest, the major
problem starts with the lack of proper agency (financial advisor/ consultant) to guide the
investors according to their preference. If at all the Consumer decide to invest, they take a risk of
losing their hard earned money.
Hence it is very important that the Consumers knowledge about the investment options available
in Stallion Capital Management are broadened and thus gaining a positive attitude towards the
investment behavior

3
Literature Review
Various studies have been done to know Investors perception regarding various financial
opportunities available in market for investment. The different studies tell the perception of
investors i.e. where they want to invest and what they see at the time of investment.
Large costs associated with evaluating market conditions. Even Individual savers may not have
the ability to collect process and produce information on possible investments. High information
cost may prevent capital to flow to its highest value use. So, Financial intermediaries undertake
the costly process of researching investment possibilities for others. Savers do not like risk; but
high-return projects are riskier; Financial systems that ease risk diversification induce a portfolio
shift towards higher return project.
- Banks, mutual funds, securities markets provide vehicles for trading, pooling and diversifying
risk
- Risk diversification → savings rate→ resource allocation→ economic growth
The various studies done by various researchers which tells about the tendency which is followed
by investors at the time of investment are as follows:
- Gurley and shaw(1955)
- Greenwood and Jovanovic(1990)
- Saint- Paul(1992)
- Patrick(1966)
Greenwood and Jovanovic(1990):
This study points out the effective information processing (entrepreneurs / projects) induces
higher growth. It Captures the link between risk-sharing, capital accumulation and growth that
how more risk increases capital accumulation and growth. It points out effective information
processing and Captures the dynamic interaction between finance and growth.
Growth → more individuals can afford to join intermediaries →improves efficiency of
intermediaries.

4
Acemoglu and Zilibotti (1997): This study points out to Captures the interaction between risk-
diversification, capital accumulation and growth, it tells risk diversification like to invest in
different instruments accumulate growth in capital. Item phasizes endogenous risk generation in
the growth process. It also points out financial systems allow agents to hold a diversified
portfolio of risk like to invest in various instruments. According to that
- More investments in high-return projects;
- Higher growth
Allen and Gale(1997):
Long-lived intermediaries can facilitate intergenerational risk sharing: invest with a long-run
perspective; according to this study which instruments offer returns that are relatively low in
boom times and high in lack times
Diamond and Dybvig (1983):
According to this study, the investors or savers choose between an illiquid, high-return project
and a liquid, low-return project. A fraction of savers receive shocks, access their savings before
illiquid project produces. Prohibitive information (verification) cost creates incentives for
financial markets to emerge.

5
RESEARCH METHODOLOGY

Research Methodology is a way to systematically solve the research problem. The Research
Methodology includes the various methods and techniques for conducting a research. Research is
an art of scientific investigation. In other word research is a scientific and systematic search for
pertinent information on a specific topic. The logic behind taking research methodology into
consideration is that one can have knowledge about the method and procedure adopted for
achievement of objective of the project.

Nature of Research:
The study is descriptive and analytical in nature. It is descriptive as it describes the existing
financial instruments available in the market. It is analytical as it analyses the perception of the
investors.
Area of research: New Delhi
Universe and Sample Size
NCR region have been taken as universe of the study .Convenient sampling technique is used
and sample of 70 investors has been taken for the purpose of the study .Convenience sampling
technique is used for collecting the data from different investors. The investors are selected by
the convenience sampling method. The selection of units from the population based on their easy
availability and accessibility to the researcher is known as convenience sampling. Convenience
sampling is at its best in surveys dealing with an exploratory purpose for generating ideas and
hypothesis.
Data Collection and Sources
The study is based on both primary and secondary data. Following are the sources of secondary
data.

6
Primary Data:
For this project the primary data is collected in four ways:
a) Through observations
b) Through discussion ( Department Heads & Executives )
c) Through questionnaires
d) Through Sampling procedure
Secondary Data:
The secondary data is collected from various sources available within the organization like,
a) Organizational web site
b) Company Past records
c) Library books
d) Internet
e) Annual reports

Research Instruments:
Interview and questionnaire have been used to conduct the study. A structured questionnaire
consisting close-ended questions have been made, which is filled by the trainee during direct
interaction with the respondents.
Interviews have been taken of Relationship managers of different NBFC's and BANKS to seek
the investor’s behavior towards investment.
Analysis Pattern:
Critical examinations of various investment instruments have been done and a comparison is
made, based on their merits and demerits.
The data collected form questionnaire is edited, tabulated and analyzed. Various graphical
techniques have been used to present the data in more meaningful way.

7
STATISTICAL TOOLS:
Statistical techniques are to obtain findings and average information in logical sequence from the
raw data collected. After tabulation of data research have used the following quantitative
technique.
 Percentage analysis
 Charts

 PERCENTAGE ANALYSIS
Percentage refers to special kind of ratio. This method is used as making comparison between
two or more services of data. Percentage charts are used to decidable relationship. Percentage
can also be used to compare the relative terries, the distribution of two or more services of data
 CHARTS
Bar charts and pie charts are used to get a clear look at the tabulated data.

LIMITATIONS OF THE STUDY :

 Due to lack of time and resources a countrywide survey was not possible. Hence only
Delhi city has been taken for the study.
 Since a smaller sample was chosen so it may not be a true representative of the
population under study.
 Most of the study was restricted to Internet and published data because of the non-
availability of primary data.
 The information given by the respondents might be biased because some of them might
not be interested to given correct information.
 Some of the respondents of the survey were unwilling to share information.

8
REFERENCES

Books & Research Papers:

 Avadhani. V.A. “Investment Management”, 3rd Edition, Mumbai: Himalaya Publish
House, 1999.
 Bhalla, B.K. “Security, Analysis and portfolio Management”, 1st Edition New Delhi:
S.chand & CO.Ltd., 2002.
 Desai Vasant,”Indian Financial System” Himalaya Publishing House, New Delhi. Fisher
Donald E. and Jordan Ronald j., “Security Analysis and Portfolio Management” Prentice
Hall of india, Pvt. Ltd. Sixth Edition, New Delhi.
 Desigan Gnana, Kalaselvi S and Anuya L (2006), “Women Consumers Perception
Towards Investment: An empirical Study, “Indian Journal of Marketing, April.
 International Journal of Multidisciplinary Research, Vol. 1 Issue8,
 Journal of Law and Economics, Vol. 23
 Gorden E. and Natrajan K. (2010), “Financial Markets and services”, Vikas publishing
House pvt. Ltd., New Delhi.
 Pandian, Punivathy (2013) “financial service and management”, vikas publishing house
pvt ltd, New Delhi.
 Business Standard
 Fact sheet and statements of various funds houses

Web Sites:
 www.the-finapolis.com
 www.stallioncap.com
 www.mutualfundsindia.com
 www.moneycontrol.com
 www.yahoofinance.com
 www.threeconomictimes.com

9
 www.rediffmoney.com
 www.bseindia.com
 www.nseindia.com
 www.investopedia.com
 www.amfiindia.com
 www.altavista.com
 www.sebi.gov

10