SCB Project Final

7/31/2019 SCB Project Final

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Need Ananlysis of BankingRequirements of a Segment for

Segment Oil Industries


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Project Done By :-

PGP/SS/09-11/IIPM-I

+91-9831203010

[email protected]


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is a British bank headquartered in Londonwith operations in more than seventy countries. It operates anetwork of over 1,700 branches and outlets (including subsidiaries,associates and joint ventures) and employs 73,000 people.Despite its British base, it has few customers in the United Kingdomand 90% of its profits come from Asia, Africa, and the Middle East.Because the bank's history is entwined with the development of theBritish Empire its operations lie predominantly in former Britishcolonies, though over the past two decades it has expanded intocountries that have historically had little British influence. It aims toprovide a safe regulatory bridge between these developingeconomies.

It now focuses on consumer, corporate, and institutional banking,and on the provision of treasury services areas in which the Grouphad particular strength and expertise.

Standard Chartered is listed on the London Stock Exchange and theHong Kong Stock Exchange and is a constituent of the FTSE 100Index. Its largest shareholder is Temasek Holdings.

In this project, I have tried my best to evaluate the need for BankingServices of the Oil Industries in the area of West Bengal. Manyvaluable learnings have been derived by the survey carried out.These learnings have been analysed and evaluated to reach astrategic conclusion which is discussed in this project in the later

part.


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Here I would like to thank the people who have helped mecomplete this project by guiding me, supporting me andhelping me in the best way possible.

Mr. Anirban Chakrabarty

Mr. Harmeet Singh Dhingra

THANK YOU VERY MUCH


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Description Page Number

Products and Services 1-3

Industry Analysis 4-6

Introduction 7-11

SWOT Analysis 12-13

Research Proposal 14-15

Data Analysis & Results 16-27

Conclusion &Recommendations

28

Bibliography 29

Questionnaire 30-36


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Standard Chartered bank provides different products and services in order to

cater the needs of the customers which can be broadly classified into the following categories:

Personal banking: To cater the diverse financial needs, Standard Charteredoffers a wide range of premium banking products and services through itsnetwork of 81 branches in 31 cities across the country. As a privileged customerof this bank, the customers can always be assured of a banking service that is flexible enough to tailor-make a product suite to take care of his specificbanking needs.

SME Banking: SME Banking provides integrated financial solutions to small andmedium businesses, through a relationship management approach. Its customer focused product offerings include working capital finance, trade services, foreign exchange, and cash management.

Commercial banking: Standard Chartered has maintained a long local presence,since 1858, with particular emphasis on relationship banking. Significant

networks have been established with vendors and financial-relatedorganisations to enable it to offer the customers a comprehensive range of flexible financial services, with special focus on transactional banking products.Supported by state-of-the-art operations, Standard Chartered is pro-active inimproving every part of services. Electronic Delivery system has been put inplace to ensure that transactions are handled speedily. It has its Cash Product Specialists and dedicated Customer Service Centres to provide its customerswith effective solutions.

I. WHOLESALE & INSTITUTIONAL BANKING

1)Funding

Working capital or Capex or Acquisition financeLoans or NCDsRupee or foreign currencyFixed or floating rateFlexibility in tenor


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2) Transaction banking

Cash management CollectionPaymentsWebbankLiquidity management Trade financeLetter of credit Channel financeImport or export servicesGuarantees

3) Global markets

FX and derivativesFunds management Syndication & structured financeCorporate advisoryFixed income & structure solution

II.RETAIL BANKING

1) Online services

Net banking2) Deposits

ParivaarAxcess plusSavings & current account Business plus account 2 in 1 account Term deposit account

3) Loans HomesaverMileageSmart credit Car financePersonal financeMortgageFlexireserve


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4) Credit cards

The new visa miniAir sahara chartered gold cardDIVASapnayRCI gold cardClassic cardGold CardExecutive card

5) Demat

6) Investment

7) NRI

NRONREFCNR(B)


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The first step to analyze any industry is through the MichaelPorters Five Forces Analysis

We can take the suppliers of Standard Chartered Bank as itsmanpower, RBI and other regulatory bodies of the Government. All these

suppliers influence the pricing of the products offered. If the bank has lessmanpower, it has to keep the price of products higher to earn adequate profitsand if the bank has higher manpower, it may offer products at lower price.Similarly RBI decides the several bank rates and interest rates which have aneffect on pricing of the bank s products.


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Here we see how easy it is for buyers to drive prices down. Again,this is driven by the number of buyers, the importance of each individual buyerto the business, the cost to them of switching from this bank s products andservices to those of someone else, and so on. Products are generally designedkeeping in mind the benefits, interests and needs of the customer. So buyers of these products do influence the structure of the products and the bank keeps inmind the needs of the buyers and deliver what they actually expect. If this doesnot happen, the buyers are bound to take the products and services from someother bank.

What is important here is the number and capability of thecompetitors if the bank has many competitors, and they offer equally attractiveproducts and services, then it will most likely have little power in the situation. If suppliers and buyers dont get a good deal from Standard Chartered Bank,

theyll go elsewhere. On the other hand, if no -one else can do what StandardChartered Bank can do, then it can often have tremendous strength. There aresome products of Standard Chartered Bank like the Priority Banking Servicewhich very few banks have.

This is affected by the ability of the bank s customers to find a different way of doing what Standard Chartered Bank does. For example:Standard Chartered Bank offers Insurance Policies through Bajaj Allianz. Thereare charges involved in almost all policies. If a customer finds the same type of policy, that is offered by Standard Chartered, with some other bank with lowercharges being cut, then he is bound to go to the latter bank. It may also happenthat some other bank is offering better banking facilities at competitive ratesthan Standard Chartered. It is a threat for Standard Chartered Bank then.

Power is also affected by the ability of people to enter thebanking market. If it costs little in time or money to enter the market andcompete effectively, if there are few economies of scale in place, or if the bankhas little protection for its key technologies, then new competitors can quicklyenter the market and weaken Standard Chartered Bank s position. If the bankhas strong and durable barriers to entry, then it can preserve a favorableposition and take fair advantage of it. One barrier of entry could be the uniqueproduct like Priority Banking the bank has. If such unique customer-orientedproducts are designed, which are difficult to adopt by other banks, then thethreat of new entry can be very well managed.


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The second step in Industry Analysis is the PESTAnalysis

Political Environment can influence the functioning of the bankingsystem in a huge way. Due to the Political Reforms, several policies and rulesare imposed by the Government due to which the Banking Rates fluctuate. Theremay be strike by the Bank employees or even by the Union of Bank employeeswho are directly not associated with Standard Chartered Bank. This may prove fatal for the bank in terms of operations and customer satisfaction.

Economic conditions are very closely related with the bankingoperations. Equity and Debt market constitute the economic conditions of a

country related to banks. In the fluctuating equity markets, the share prices of various companies fall and rise. These companies include the bank themselves,competitors, customers and even sometimes the suppliers. Bank also invests itsmoney in markets and hence the returns of the Bank also fluctuates.

Social conditions include the demography and the age, occupation,lifestyle, education trends etc of the customer. This highly drives the business for a Bank. Standard Chartered Bank generally serves the upper middle class

section of the society and SME and Large scale companies only. The productsare designed to suit the requirements of these.

Research, inventions, discoveries, usage of informationtechnology etc. deal with the technological analysis. Banking in India has gonethrough a rapid technological uplift since a decade. All banks are nowcomputerized. But does that only mean they are advanced? Standard CharteredBank offer internet banking facility which is better than any other bank s internet banking. The features included in internet banking of Standard Chartered Bankare much more. Mobile Banking is also a very widely used feature of the bank.Technology is getting advanced day by day with all the banks racing to adopt thelatest technology as soon as possible to get the attention of maximum customersand serve them better.


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is a British bank headquartered in London with

operations in more than seventy countries. It operates a network of over 1,700branches and outlets (including subsidiaries, associates and joint ventures) andemploys 73,000 people.Despite its British base, it has few customers in the United Kingdom and 90% of its profits come from Asia, Africa, and the Middle East. Because the bank'shistory is entwined with the development of the British Empire its operations liepredominantly in former British colonies, though over the past two decades it has expanded into countries that have historically had little British influence. It aims to provide a safe regulatory bridge between these developing economies.It now focuses on consumer, corporate, and institutional banking, and on theprovision of treasury services areas in which the Group had particularstrength and expertise.Standard Chartered is listed on the London Stock Exchange and the Hong KongStock Exchange and is a constituent of the FTSE 100 Index. Its largest shareholder is Temasek Holdings

The name Standard Chartered comes from the two original banks from which it was founded and which merged in 1869 The Chartered Bank of India,Australia and China, and The Standard Bank of British South Africa

The Chartered Bank was founded by Scotsman James Wilson following the grant of a Royal Charter by Queen Victoria in 1853, while The Standard Bank was founded in the Cape Province of South Africa in 1862 by another Scotsman JohnPaterson. Both companies were keen to capitalise on the huge expansion of trade and to earn the handsome profits to be made from financing the movement of goods from Europe to the East and to Africa.

In those early years, both banks prospered. Standard Chartered Bank has amajor branch in Kolkata. Chartered opened its first branches in Bombay,Kolkata and Shanghai in 1858, followed by Hong Kong and Singapore in 1859.

With the opening of the Suez Canal in 1869 and the extension of the telegraph toChina in 1871, Chartered was well placed to expand and develop its businessIn South Africa, Standard, having established a considerable number of branches, was prominent in financing the development of the diamond fields of Kimberley from 1867 and later extended its network further north to the newtown of Johannesburg when gold was discovered there in 1885. Half the output of the second largest gold field in the world passed through The Standard Bankon its way to London .
http://en.wikipedia.org/wiki/Chartered_Bank_of_India,_Australia_and_Chinahttp://en.wikipedia.org/wiki/Chartered_Bank_of_India,_Australia_and_Chinahttp://en.wikipedia.org/wiki/Standard_Bank_of_British_South_Africahttp://en.wikipedia.org/wiki/James_Wilson_(UK_politician)http://en.wikipedia.org/wiki/Kolkatahttp://en.wikipedia.org/wiki/Kolkatahttp://en.wikipedia.org/wiki/James_Wilson_(UK_politician)http://en.wikipedia.org/wiki/Standard_Bank_of_British_South_Africahttp://en.wikipedia.org/wiki/Chartered_Bank_of_India,_Australia_and_Chinahttp://en.wikipedia.org/wiki/Chartered_Bank_of_India,_Australia_and_Chinahttp://en.wikipedia.org/wiki/Chartered_Bank_of_India,_Australia_and_China


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Both banks at that time still quite separate companies survived the First World War and the Depression, but were directly affected by the wider conflict of the Second World War in terms of loss of business and closure of branches.There were also longer term effects for both banks as countries in Asia andAfrica gained their independence in the 50s and 60s.

Each had acquired other small banks along the way and spread their networks further. In 1969, the banks decided to merge and to counterbalance theirexisting network by expanding in Europe and the United States, while continuingtheir expansion in their traditional markets in Asia and Africa.

In 1986 Lloyds Bank of the United Kingdom made a hostile takeover bid for theGroup. The bid was defeated however it spurred Standard Chartered into aperiod of change, including a series of divestments notably in the United Statesand South Africa.

In 2000, Standard Chartered acquired Grindlays Bank from ANZ Bank, increasing its presence in private banking and further expanding its operationsin India and Pakistan. Standard Chartered retained Grindlays' private bankingoperations in London and Luxembourg and the subsidiary in Jersey, all of whichit integrated into its own private bank. This now serves high net worthcustomers in Hong Kong, Dubai, and Johannesburg under the name StandardChartered Grindlays Offshore Financial Services. In India, Standard Charteredintegrated most of Grindlays' operations, making Standard Chartered thelargest foreign bank in the country.

On 15 April 2005, the bank acquired Korea First Bank, beating HSBC in the bid.Since then the bank has rebranded the branches as SC First Bank.Standard Chartered completed the integration of its Bangkok branch andStandard Chartered Nakornthon Bank in October, renaming the new entityStandard Chartered Bank (Thailand)
http://en.wikipedia.org/wiki/Grindlays_Bankhttp://en.wikipedia.org/wiki/ANZ_Bankhttp://en.wikipedia.org/wiki/Luxembourghttp://en.wikipedia.org/wiki/Jerseyhttp://en.wikipedia.org/wiki/Dubaihttp://en.wikipedia.org/wiki/Johannesburghttp://en.wikipedia.org/wiki/Korea_First_Bankhttp://en.wikipedia.org/wiki/HSBChttp://en.wikipedia.org/wiki/Bangkokhttp://en.wikipedia.org/wiki/Standard_Chartered_Bank_(Thailand)http://en.wikipedia.org/wiki/File:StanChart_Singapore.JPGhttp://en.wikipedia.org/wiki/Standard_Chartered_Bank_(Thailand)http://en.wikipedia.org/wiki/Bangkokhttp://en.wikipedia.org/wiki/HSBChttp://en.wikipedia.org/wiki/Korea_First_Bankhttp://en.wikipedia.org/wiki/Johannesburghttp://en.wikipedia.org/wiki/Dubaihttp://en.wikipedia.org/wiki/Jerseyhttp://en.wikipedia.org/wiki/Luxembourghttp://en.wikipedia.org/wiki/ANZ_Bankhttp://en.wikipedia.org/wiki/Grindlays_Bank


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Standard Chartered also formed strategic alliances with Fleming Family &Partners to expand private wealth management in Asia and the Middle East, andacquired stakes in ACB Vietnam, Travelex, American Express Bank inBangladesh and Bohai Bank in China.

On 9 August 2006 Standard Chartered announced that it had acquired an 81%shareholding in the Union Bank of Pakistan in a deal ultimately worth $511

million. This deal represented the first acquisition by a foreign firm of a Pakistanibank and the merged bank, Standard Chartered Bank (Pakistan), is nowPakistan's sixth largest bank.

On 22 October, 2006 Standard Chartered announced that it had receivedtenders for more than 51 per cent of the issued share capital of HsinchuInternational Bank (Hsinchu), established in 1948 in Hsinchu province inTaiwan. Standard Chartered, which had first entered Taiwan in 1985, acquiredmajority ownership of the bank, Taiwans seventh largest private sector bank byloans and deposits as at 30 June, 2006. Standard Chartered merged its existingthree branches with Hsinchu's 83, and then delisted Hsinchu International Bank,

changing the bank's name to Standard Chartered Bank (Taiwan) Limited). Priorto the merger, Hsinchu had suffered extensive losses on defaulted credit carddebt.

In 2007, Standard Chartered opened its Private Banking global headquarters inSingapore.

On 23 August, 2007 Standard Chartered entered into an agreement to buy a 49percent of an Indian brokerage firm (UTI Securities) for $36 million in cash fromSecurities Trading Corporation of India Ltd., with the option to raise its stake to75 percent in 2008 and, if both partners agree, to 100 percent by 2010. UTI

Securities offers broking, wealth management and investment banking servicesacross 60 Indian cities.

On 29 February 2008, Standard Chartered PLC announced it has received all therequired approvals leading to the completion of its acquisition of AmericanExpress Bank Ltd (AEB) from the American Express Company (AXP). The totalcash consideration for the acquisition is US$823 million.

On 12 September 2009, The Times newspaper in the United Kingdom reportedthat Standard Chartered had signed a record equaling 20million a seasonsponsorship deal with Liverpool FC to commence at the start of the 2010/2011

English Premier League season and last for four years. Liverpool football clubannounced on the club's official website on 14 September 2009 that StandardChartered bank will be the new shirt sponsor starting from 2010 to 2014.

On 27 November 2009, Dow Jones Financial News reported the city of Dubai willrestructure its largest corporate entity. Standard Chartered is the most significantly impacted financial institution with $7.77bn in loan exposure toDubai and the UAE. This amounts to 4.2% of Standard Chartered's total loansoutstanding. Other impacted banks included HSBC, Barclays, and RBS.
http://en.wikipedia.org/wiki/Asia_Commercial_Bankhttp://en.wikipedia.org/wiki/Travelexhttp://en.wikipedia.org/wiki/American_Express_Bankhttp://en.wikipedia.org/wiki/Bangladeshhttp://en.wikipedia.org/wiki/Bohai_Bankhttp://en.wikipedia.org/wiki/Standard_Chartered_Bank_Limitedhttp://en.wikipedia.org/wiki/Union_Bankhttp://en.wikipedia.org/wiki/Pakistanhttp://en.wikipedia.org/wiki/Standard_Chartered_Bank_(Pakistan)http://en.wikipedia.org/wiki/Standard_Charteredhttp://en.wikipedia.org/wiki/Hsinchuhttp://en.wikipedia.org/wiki/Hsinchuhttp://en.wikipedia.org/wiki/Standard_Charteredhttp://en.wikipedia.org/wiki/Taiwanhttp://en.wikipedia.org/wiki/Singaporehttp://en.wikipedia.org/wiki/The_Timeshttp://en.wikipedia.org/wiki/Liverpool_FChttp://en.wikipedia.org/wiki/English_Premier_Leaguehttp://en.wikipedia.org/wiki/Liverpool_football_clubhttp://en.wikipedia.org/wiki/Liverpool_football_clubhttp://en.wikipedia.org/wiki/English_Premier_Leaguehttp://en.wikipedia.org/wiki/Liverpool_FChttp://en.wikipedia.org/wiki/The_Timeshttp://en.wikipedia.org/wiki/Singaporehttp://en.wikipedia.org/wiki/Taiwanhttp://en.wikipedia.org/wiki/Standard_Charteredhttp://en.wikipedia.org/wiki/Hsinchuhttp://en.wikipedia.org/wiki/Standard_Charteredhttp://en.wikipedia.org/wiki/Standard_Chartered_Bank_(Pakistan)http://en.wikipedia.org/wiki/Pakistanhttp://en.wikipedia.org/wiki/Union_Bankhttp://en.wikipedia.org/wiki/Standard_Chartered_Bank_Limitedhttp://en.wikipedia.org/wiki/Bohai_Bankhttp://en.wikipedia.org/wiki/Bangladeshhttp://en.wikipedia.org/wiki/American_Express_Bankhttp://en.wikipedia.org/wiki/Travelexhttp://en.wikipedia.org/wiki/Asia_Commercial_Bank


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Over the 150 years of quality services that SCB has provided to its customers,the Bank has had various mission Statements. However this is the one that iscurrently being followed by the organization

From the above mentioned mission statement the bank has developed somevery deep-rooted brand values. These values are mainly designed with theintention of communicating with the customers. However they also serve thepurpose of showing each employee exactly what a customer expects when hewalks into Standard Chartered. The employees are constantly reminded of thecustomer expectations and have to continuously evaluate how their behavior isconformant with what the customers have in mind. This is why it is commonpractice to display these values in almost each department and on all the noticeboards.

These values are there for all employees and apply especially to the personalloans department. As it is the people of this department who are mainly goingout to meet the customers and getting the opportunity to communicate thesevalues to them.

The values that have been developed over the 150-year life of this organizationare as follows:

A commitment to being there for you, in good times and bad. We help youachieve your aspirations by guiding you towards the right choice, not just the easy one.

We are good on our word. We are accessible whenever and wherever youneed us. Not only do we strive to deliver solutions, we also aim to exceedyour expectations.

We understand the balance between global and local. You trust us to beestablished and internationally networked, while at the same timesensitive to your individual needs. Our strong network across culturehelps us build stronger relationships based on ideas, not formulae.


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Creative thinkers are not limited by convention. They allow their minds tosoar beyond predictable solutions. That's how we approach eachchallenge posed to us, which is why we base our products and serviceson ideas that are innovative, perceptive and instinctive.

We respect you, and the life you live. By understanding your needs andtailoring the right financial solutions for you, we earn your trust.


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A SWOT Analysis is used to evaluate a company's strengths, weaknesses,opportunities and threats. This report examines Standard Chartered PLC's keybusiness structure and operations, history and products, and it providessummary analysis of key revenue lines and strategy.

Strengths

Strong presence in India 150 years of banking in India. Provides the convenience of online banking to access information about

various accounts and also transfer money

Strong Brand Name worldwide presence. Variety of services offered

Weaknesses

ATM coverage not as good as other private banks Services do not cater to the mass Advertising is not aggressive Credit card facilities not as good as other private banks Not many branch networks

Opportunities

Government removed restrictions on foreign banks in 2009, allowed thosebanks to open shop in India. Standard Chartered has an opportunity toincrease its branches in India, and further utilize its brand image here.

Scope for more effective use of their brand name Can start new departments like a brokerage firm

Threats

Emergence of Indian private banks Nationalization of banks these banks have many more branch networks

than foreign banks


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Some unique strategies:o To build and grow strong businesses in East and South East Asia- the Asia

Pacific Region.o To enhance historical position in the Middle East and South Asia region.o To provide support in newly industrialized and emerging markets.o Capitalize on the good track record in these regions by building unique

position and image among the target customer segment and beingresponsive to the needs and serve better than the competitors.

o To concentrate operations in the activities that have direct impact on thecommunities of the countries; help the country and its economy and at thesame time earn profit in an ethical way.


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Research Objective

The objective of the study is to:

Compare the preference of customers on different investment scheme and thepurpose of investment on the basis of age, occupation and income of thecustomers.

To find and study the amount that customers wants to invest and how manycustomers want to invest.To find the type of risk that customer is willing to take and the time duration forwhich he is willing to invest.To develop recommendation for the banks as to how the banks can gain moremarket share.

Research Methodology

In order to accomplish the objectives of the research study, we have conductedPrimary Research as the r esearch revolves around customers preference forvarious products and services provided by the banks.

Questionnaire Framing

The questionnaire was designed to find how the parameters (like age,occupation, income) influence the customer in various kind of investment. The

questionnaire also provides us various valuable insights related to:Deposit Scheme preferred.Preference for investment.Initial investment Type of risk.Purpose of investment.Time duration of investment

Sampling Plan

Sampling unit:

For this research I have chosen West Bengals Oil Industries as the sample unit because its a developing region.


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Sample Size:

The final questionnaire was administered on 200 respondents.Age Group: 18yrs to 60yrs (and above)

The sample procedure followed for this research is Random Sampling.

I have taken due care while the respondents were filling out the questionnaire toensure completeness of the same. All the duly filled questionnaire have beencarefully examined and tabulated in excel sheet.

I have used several graphical techniques like Frequencies, Pie Chart, CrossTabulation, Bar graph, Line Graph, Trend line etc on primary data gathered toget meaningful results and analysis .


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People Willing To Invest

75%

11%

13% 1%

18-30

31-45

46-60

above 60

DATA ANALYSIS & RESULTS

Trend analysis and Pie chart:

People who want to invest according to age group:

It is clear from the graph that people of age up to 45 years are willing to invest but after the age of 45 years the percentage is decreasing. So it can beconcluded that with age the priority for investment decreases. 75% of peoplewho are of age group of 18-30 are ready to invest. And 11% of people who areage 31-45 are willing to invest and 13 % of age group of 46-60.

People Willing to Invest

0 10 20 30

40 50 60 70

18-30 31-45 46-60 above 60

Yes No

Count

Age(in Yrs)


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Priority of Investment with Regards to Age Group:

Respondents of age up to 45 years are interested in investing in stock/shares.Whereas the ratio of investors in stocks decreases as the age increases and theratio of investor in insurance sector increases. In the age group of 46-60 thepriority of fixed account increases. From pie chart it can be seen that investorsin the stock market is maximum with 27% of the whole population after that comes Insurance with 23% , investors in mutual fund 14%, in bank account it is9% and in real estate it comes to around 11%.

Priority

9%14%

23%16%0%

11%

27%

Bank account

Fixed account

Insurance

Mutual Fund

Others

Real state

Shares/Stocks

Age group 18-30 31-45 46-60 above 60

Bank account

Fixed account

Insurance

Mutual Fund

Others

Real state

Shares/Stocks

Priority

0 2 4 6 8

10 12 14 16 18

Count


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Initial Investment Amount According To Age Group:

From the line graph it can be concluded that with the age of the respondents theamount of investment decreases. People who are of age 18-45 are likely tomake high investment and between 45 to 60 are likely to go for mediuminvestment and above 60 very low investments.

From the pie chart it is clear that 35% of people want to invest in the range of 10k-20k, 20% in the range of 40k-50k, 70% less than 10000, 13% more than 50k,9% in the range of 20k-30k and 6% in the range of 30k-40k.

Initial Investment

35%

9%6%20%

17%

13% 10000-20000

20000-30000

30000-40000

40000-50000

Less than 10000

More than 50000

Initial Investment

0

10

20

30

40

50

60

70

18-30 31-45 46-60 above 60

More than 50000

Less than 10000

40000-50000

30000-40000

20000-30000

10000-20000

Count

Age (in Yrs)


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Risk that Customer Willing to Take Age Wise:

When it comes to taking risk most of the people do not want to take risk. Themaximum being the people of age group of 18 to 30. And majority of the peoplewho are willing to take low and moderate risk are also from the same group. Incase of high risk only people of 18 t0 31 years are wiling.

From the pie chart it is clear that 37% of the people are not willing to take anyrisk, 35% are willing to take moderate risk, 20% are willing to take low risk and8% are willing to take high risk.

Risk

8%

20%

35%

37% High

Low

Modereate

No Risk

0

20

40

60

80

18-30 31-45 46-60 above 60

No Risk

Modereate

Low

High

Count


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Purpose of Investment With Accordance To Age:

Majority of the people are investing for the purpose of tax saving and for thepurpose of pension and for other purpose. Very few of the people are investing for child education and marriage and medical purposes.

It has been found that 50% of the people are investing for same purpose, 19%are investing for tax saving, 14% are investing for child education, 9% areinvesting for marriage, 6% for medical health.

Purpose of Investment

14%9%

6%

50%

2%

19% Child EducationMarrige

Medical/ Health care

Other

Pension

Tax Saving


0 10 20 30 40 50 60 70

18-30 31-45 46-60 above 60

Respondents

Tax Saving

Pension

Other


Marriage

Child Education

Count

Age (in Yrs)


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Investent Duration According to Age:

In the terms of duration of investment people of age 18-31 are interested in short term investment whereas people of age 31-46 are more interested medium terminvestment where as for long term investment very few people are interested.

Duration

0

10

20

30

40

18-30 31-45 46-60 above 60

Age

Long

Medium

Short

Count

Duration

7

25

96

33

6 7

10

5

10

1520

25

30

35

18-30 31-45 46-60 above 60

Long

Medium

Short


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People of Different of Income Group versus Willingness to Invest:

From the trend analysis it is clear that people from all the income group arewilling to invest, only few of them are refusing to invest. It is high among therespondents whose income is less than 10k. From the pie chart it is clear that 32% belong to the income group less than 10k, 23% belong to 20k to 30k, 24%belong to 10k to 20k, 8% belong to 30k to 40k, 13% belong to above 40k.

Ready to Invest

24%

23%8%13%

32% 10000-20000

20000-30000

30000-40000

above 40000


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Respondents Investment option versus Income:

Most of the people of income group less than 10000 are opting for insurancePeople of income group between 10000- 20000 are opting for share/stocks.According to the pie chart 31% people are investing on Insurance, 14% areinvesting in real estate and mutual fund, 21% are investing in fixed account,10%are investing in share and bank account.

Investment Priority

10%

21%

31%

14%

0%14%

10%Bank account

Fixed account

Insurance

Mutual Fund

Others

Real state

Shares/Stocks

Investment Options

0

2

4

6

8

10


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Initial Investment Amount according to Income:

Most of the people are willing to invest more than 50000. And very few peoplewant to invest between 10000-20000. 55% of the population is ready to invest less than 10k, 14% is ready to invest more than 50k and 31% is ready to invest between 10k to 20k.

Initial Investment

31%

0%0%0%

55%

14% 10000-20000

20000-30000

30000-40000

40000-50000

Less than 10000

More than 50000

Initial Investment

0

10

20

30

40


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Risk exposure versus Income group:

People do not want to take risk and from the graph we can see that with growingincome, number of people also increase for moderate risk but up to certain limit after that it again falls.

From the bar chart it is clear that those who are earning less than 10k are willingto take moderate risk. Majority of the respondents of income group 10k to 20 kare willing to take low risk. It is same with the income group of 20k to 30k, andpeople of income group of 30 to 40k and above are willing to take no risk.

Risk Exposure

0

2

46

8

10

12

14


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Purpose of investment as Compared to Income:

Most of the people in lower income group are investing for the purpose of taxsaving and pension.

From the pie chart it is clear that 24% is investing for tax saving, 17 % for childeducation 21% for other purposes, 14% for pension, 7% for pension, 17% formedical purpose.


17%

14%

17%21%

7%

24% Child EducationMarrige


Other

Pension

Tax Saving

Purpose Of Investment

0 10 20 30 40


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Income versus Investment Duration:

Most of the people would like to go for short term investment. It is clear that theproportion of investment decreases as the income group increases but after 30kof income it again increases.

From the bar chart it is clear that people of income group less than 10k arewilling to go for medium time investment, where as people of income group 10kto 40k are willing to go for short term investment.

Duration of Investment

02468

10121416

18


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On the successful completion of my research, I conclude that factors like age,income and occupation influences customers attitude towards selecting bank,banking product and services, risk taking ability and their need for change.

Influence of Age:Customers of segment 18yrs-30yrs and above 60 are more likely to go forinvestment compared to the customers of other segment

Customer of young age wants to go for investment in shares and stocks.

Majority of the people of age group 18yrs to 45 yrs are investing for the purposeof tax saving and for the purpose of pension and for other purpose. Very fewpeople are investing for child education and marriage and medical purposes.

Majority of the people of age group 18-30yrs want to go for low risk. But peopleof age 30-45 yrs want to go for medium risk.

Majority of people of all age group want to go for short term Investment.

Influence of Income:

People from all the income group are willing to invest, only few of them arerefusing to invest. And people of low income group are more interested ininvestment.

There are very few people who want to go for large amount of investment.People are more interested in making small investment.

People do not want to take risk and with growing income number of people alsoincreases for moderate risk but up to certain limit after that it again falls.

People of lower earning groups are willing to take moderate risk. Majority of therespondents with income of 20k to 30k are willing to take moderate risk. Again it is opposite with people of higher income group

Most of the people in lower income group are investing for the purpose of tax

saving and pension.Most of the people would like to go for short term investment. It is clear that theproportion of investment decreases as the income group increases. People of income group less than 10k are willing to go for medium time investment, whereas people of income group 10k to 40k are willing to go for short term investment.


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1. The Economic Times

2. www.finance.indiamart.com

3. www.standardchartered.co.in4. www.amfiindia.com

5. www.mutualfundsindia.com

6. Investors India, Bajaj Capital Publication
http://www.finance.indiamart.com/http://www.finance.indiamart.com/


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Dear Sir/Madam,

I am a student of Indian Institute of Planning & Management, Kolkata and

presently doing a summer internship project on

. I request you to kindly fill the questionnaire below and I assure

you that the data generated shall be kept strictly confidential.

..

..

( O) (M)

............... . .


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Less than 1 year

Between 2 to 5 years

More than 5 years

Between 5 to 10 years

More than 10 years

Local

National

International

Locally

In Mumbai

In Delhi

In Chennai No other branch

If any other place please specify..


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Never Quite Often

Some times

Less than 50 lacs

Between 50 lacs to 1 crore

Between 1 to 50 crores

Between 50 to 100 crores

More than 100 crores

Yes

No

Cash

Cheques

Drafts

Account Transfers


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Cash

Cheques

Drafts

Account Transfers

SBI

ICICI

AXIS

HSBC

HDFC

CITI

PNB

If any other please specify

Less than 1 year

2 to 5 years

5 to 10 years

More than 10 years


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Personally

By other person

Your Bank Offers any facility in this regard

Almost every day

Once/Twice a week

Once/Twice a month

Quite often

Yes No

Not Sure

Less than 5

Between 5 to 10

Between 10 to 25

More than 25


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By visiting the Branch

Telephone

Online

Less than 10 lacs

Between 10 to 25 lacs

Between 25 to 50 lacs

More than 50 lacs

Yes, quite often Sometimes

Never

Net Banking Facility not Available


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THANK YOU

SCB Project Final

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