Summer Training Project Report 2008-2010

SUMMER TRAINING PROJECT REPORT2008-2010

Corporate Guide:- Faculty Guide:-Miss Monika Mishra Miss Nida Afsar Center manager Lecturer,FinanceAgra

Submitted in Partial Fulfillment for the Award of Degree

MASTER IN BUSINESS ADMNISTRATION

Submitted by: - Vikas Tiwari

IVS Institute of Technology

1

TABLE OF CONTENTS

Objective of Study…………………………………………05

About the Company………………………………………..07

Introduction to the Topic………………………………….45

Board of Director……………………………………………64

Research Methodology………………………………………71

Data Analysis & Interpretation……………………………75

Observation………………………………………………….82

Limitations of the study…………………………………….87

Recommendations & Suggestions…………………...…….…84

Conclusion……………………………………………..………89

Bibliography……………………………………………..……91

Appendix…………………………………………………...….93

2

DECLARATION

I Vikas Tiwari do here by declare that the project work entitle on the “D-mat

Account with Reliance Money”at DELHI is the original work done by me.

This project report presented as a partial fulfillment requirement for the degree of

Master of Business administration.

VIKAS TIWARI

IVS INSTITUTUE OF

TECHNOLOGY

MATHURA

3

ACKNOWLEDGEMENT

It was a great opportunity for me to work with Reliance money, pioneers in the

field of stock trading, a part of Reliance Capital Ltd. I am extremely grateful to the

entire team of Reliance Money at Agra who have shared their experience and

knowledge with me and without whom the completion of this project would have

been virtually impossible.

I am gratified to Mr Brijesh Singh for their earnest coordination owing to which,

I had the leg-up of undertaking the internship at the prominent organization, Reliance

Money Pvt ltd.

This is to express my sincere gratitude and heartfelt appreciation for all of the

help,cooperation and patient guidance provided by Miss Nida Afsar( Finance

Lecturer), Miss. Monika Mishra (Center Manager of Reliance Money, Agra) and

company project guide, who has provided me the necessary information and his

valuable suggestion and a good support in understanding the basics of the Reliance

Money easily.

I feel great pleasure to cordial thanks Mr. Prabhat Pun (Cluster Head of Reliance

Money).

Last but not least, I would like to extend my heartfelt gratitude to all those

who directly or indirectly responsible for the successful completion of this project.

Vikas tiwari

IVS INSTITUTE OF TECHNOLOGY

4

OBJECTIVE

To find the market potential and market penetration of Reliance

Money product offerings in NEW DELHI

To collect the real time information about preference level of

customers using D-mat account and their inclination towards

various other brokerage firms e.g. Indiabulls, Sharekhan,

Indiainfoline, Religare, Alankit , Unicon.ICICI Direct

To expand the market penetration of Reliance money.

To provide pricing strategy of competitors to fight cut throat

competition.

To increase the product awareness of Reliance money as single

window shop for investment solutions.

6

Executive Summary

Investment is a serious Proposition; one has to look into various factors before

deciding on the instrument in which to invest. To save money is not enough. One must

invest wisely, and regularly to get the maximum benefits. Hence, the concept of

investment in profitable financial instruments comes into focus.

To cope up with inflation, one has to invest wisely so that he can cope up with

uncertain future, for that you have to invest in investment opportunities available,

before that one has take into consideration the following points before investing your

savings:

Consider your investment objective- what are you saving for?

Define your investment horizon, or the time that you want to stay invested....

Determine your risk profile based on how much volatility you can take in your

portfolio. One has to take a major decision that how to save money. But after saving

the imperative issues that approach in one’s mind that is:

What are the sources of income?

Where to invest those incomes?

And how to earn maximum revenues from it.

It’s an adage that earning wealth is not tough but the thing which matters that is how

to hold on to and enhance that wealth.

8

The project dealt with various fields like:

1. Trading and Demat account

2. Mutual Funds

3. Life Insurance

Thus it gave trainees the opportunity to learn about all the

products and with the range of products Reliance money offered it

made the task a bit easier as we could fulfill the need of the customer

in a better way.

Our task was divided in 4 phases :

1. Product knowledge: This included the theoretical knowledge about

the field and products which needed to be marketed.

2. Pitching in retail sector: This included the implementation of the

knowledge imparted to us and the test of our marketing skills. Initially

we were accompanied by other sales executive so that we can learn how

to deal with the customers and understand their need. This also

enhanced our interpersonal skills and confidence level.

3. Implementation in retail sector and pitching in corporate: By the

start of this phase we were confident enough about the pitching and

fulfilling the needs of the customer in the retail sector. This also

included of the ways we should pitch the corporate.

4. Implementation at corporate levels: This included the

implementation of the all the knowledge and ways learnt for the

pitching and extracting business out of the corporate.

With the end of 6 weeks every phase was completed and it gave

us the real experience of retail as well as corporate world.

9

Training Manual – Equity Markets & Scope

Slide 1

A Reliance Capital company

Equity Markets & Scope

Prepared by – Neeraj Joshi (Learning & Development)

Objective – To cover Equity Aspects and Scope for the Headstart to Leadership

Program as per the PPT part of L&D Product & P

rocess Repository

INTRODUCTION

Have slide 1 on during the discussion to be followed

10

Meet & Greet the participants in the session – Conduct an activity to familiarize you

with the crowd. Introduce yourself and your role within the company. Your

responsibilities, The business that your area / zone has generated, the business that

your cluster has generated (If you have the information)

Talk to participants about session related expectation –

Behaviour

Absenteeism – Related to them getting the certificate (If attendance is less than

95% the certificate would not be issued)

Ask Questions – Encourage participants to ask questions

Discipline – Maintain silence during the session, mobiles to be switched off,

no side talks, etc.

Discuss session flow -

Slide 2 –

2 of 26confidential A Reliance Capital company

Objectives & Agenda

Journey of the Indian Stock Markets

Difference Between Primary & Secondary Markets

Markets Around

Equity Markets

The Cycle of Market Emotions

Sensex Highlights Over the Years

Financial Saving - House Hold

Return on equity: India and Emerging Markets

Sectoral growth – Market expectations

Trade in Equity with Reliance Money

Comparison with Online Brokers

Franchisee Model

Our trading Platforms

Identifying your clients and challenges

Read out the points to the participants to give them a brief of the flow of the

presentation

11


What is the single word that drives any market…

EVENTS

INTERNAL INFORMATION

EXTERNAL FACTORS

TECHNICAL

NEWS

COMPANY INFORMATION

INFORMATION

All is based on the communication flow in the market.

Company Information – Emphasize on – should know factors before investing -

performance of the company over the last 3-5 years. Comparison with other players,

News – Both print and media channels – Newspapers, Magazines, TV / Radio etc.

Events – Country and global wide events – political disturbances, Economical

Performance & Impacts etc.

External factors – Other industries, related industries to your segment that could

impact you as well – e.g. – The Animal Husbandry Enterprise part of the Agricultural

Industry Could impact Milk product based Industries

Technical – Product know how, market performance should be known, track of stocks

traded on

12

Internal Information – management changes and impact. Business changes and

impact, new business Models, New product lines being launched, Quote an example

of a launch of a product – e.g. NANO and it’s impact on the auto industry

Slide 4


Sr. Don Rafael del Pino y Moreno

"If I give you one dollar and you give me one dollar, each of us will only have one dollar.

But if you give me one idea and I give you another idea, we will both have two ideas".

Read the quote and explain the concept of ideas related to information (if you

have information you would get more ideas) in turn related to market (changes

are what run the markets)

13


Journey of the Indian Stock Markets:

Slide 6


Wall Street was built in 1644, on the lower end of Manhattan "Island" by the Dutch to protect against British attacks.

The world's foremost marketplace New York Stock Exchange (NYSE), started its trading under a tree (now known as 68 Wall Street) over 200 years ago

•1840's: Recognition from banks and merchants to about half a dozen brokers

1850's: Rapid development of commercial enterprise saw brokerage business attracting more people into the business

18th Century East India Company

14

Address the participants by letting them know –

Reason for half a dozen brokers:

1830's Business on corporate stocks and shares in Bank and Cotton presses started in

Bombay.

More people in the brokerage business led to results in the coming years:

1860-1865 Cotton price bubble as a result of the American Civil War

1870 - 90's Sharp increase in share prices of jute industries followed by a boom in tea

stocks and coal

Slide 7


•1860's: The number of brokers increased to 60

1860-61:The American Civil War broke out which caused a stoppage of cotton supply from USA; marking the beginning of the "Share Mania" in India 1862- 63. The number of brokers increased from approximately 200 to 2501865.

1874:With the rapidly developing share trading business, brokers used to gather at a street (now well known as "Dalal Street") for the purpose of transacting business

15


•Bombay Stock Exchangeplayed a pivotal role in the development of the Indian capital marketand its index

•The Exchange has a nation-wide reach with a presence in 417 cities and towns of India.

•BSEprovides an efficient and transparent market for trading in equity, debt instruments and derivatives

1875:"The Native Share and Stock Broker”Association" (also known as "The Bombay Stock Exchange”) was established in Bombay

Traditionally, trading in Stock Exchanges in India followed a conventional style where people used to gather at the

Exchange and bids and offers were made by open outcry.

Slide 9


Difference Between Primary & Secondary Markets

Companies want to raise money to expand their business

Individuals want to invest in business

Market Scope

Primary Market

Companies

IPO

Individuals apply to get Shares

Company allocate shares to individuals in lieu of investments

Company releases IPO. Individuals apply for IPO to obtain ownership of the company

Secondary Market

Companies

Individual Investors

Companies get themselves listed on popular stock exchange like BSE and NSE

In the primary market the securities are issued to the public and the proceeds go to the company. Secondary market is a term used for stock exchanges, where stocks are bought and sold after they are issued to the public.

Broker

16

Basic Definition –

A primary market is the main market to which you are selling.

A secondary market is an additional market to which you are selling

In the primary market, securities are offered to public for subscription for the purpose

of raising capital or fund. Secondary market is an equity trading venue in which

already existing/pre-issued securities are traded among investors. Secondary market

could be either auction or dealer market. While stock exchange is the part of an

auction market, Over-the-Counter (OTC) is a part of the dealer market.

A primary offering, such as with a corporate bond, means you are buying it directly

from the issuer, at par value, usually. A secondary market is where you sell or buy

existing issues. I.E. If you bought a bond last year, now need to get your principal,

you can sell it in the secondary market. You may not get par value. If rates are up

since you bought the bond, then you will likely have to sell it at a discount to be able

to get rid of it. If rates have fallen since you bought it, you could get a premium for it.

For Primary Markets you can give the example of Reliance Power –

Investors submit application forms for the Reliance Power Initial Public Offering at

an outlet for Reliance Money, an arm of the Anil Dhirubhai Ambani owned Reliance

Capital in Mumbai, India, Tuesday, Jan. 15, 2008. Investors took up all available

shares in the initial public offering of India's Reliance Power within a minute

Tuesday, raising some US$3 billion (euro2. 0 billion) for the company, officials said,

making it the country's largest IPO ever.

17

http://www.daylife.com/topic/Dhirubhai_Ambani


Markets Around (Major Indices)

INDIAN MARKETS:

Nifty – 50 stocks representing various sectors

Sensex – 30 stocks representing various sectors

WORLD MARKETS:

US : DOW JONES, NASDAQ, S& P 500

UK : FTSE 100

ASIAN : NIKKEI 225, HANG SANG

EUROPE : CAC 40

Nifty Fifty was an informal term used to refer to 50 popular large cap stocks on the

New York Stock

Exchange in the 1960s and 1970s that were widely regarded as solid buy and hold

growth stocks.

The fifty are credited with propelling the bull market of the early 1970s. Most are still

solid performers,

although a few are now defunct or otherwise worthless.

BSE Sensex or Bombay Stock Exchange Sensitive Index is a value-weighted index

composed of 30 stocks started in 01 of Jan, 1986. It consists of the 30 largest and

most actively traded stocks, representative of various sectors, on the Bombay Stock

Exchange. These companies account for around one-fifth of the market capitalization

18

http://en.wikipedia.org/wiki/Bombay_Stock_Exchange

http://en.wikipedia.org/wiki/Bombay_Stock_Exchange

http://en.wikipedia.org/wiki/Stock_market_index

http://en.wikipedia.org/wiki/Bull_market

of the BSE. The base value of the sensex is 100 on April 1, 1979, and the base year of

BSE-SENSEX is 1978-79.

NASDAQ – The NASDAQ (acronym of National Association of Securities Dealers

Automated Quotations) is an American stock exchange. It is the largest electronic

screen-based equity securities trading market in the United States. With

approximately 3,800 companies, it has more trading volume per hour than any other

stock exchange in the world.

It was founded in 1971 by the National Association of Securities Dealers (NASD),

who divested themselves of it in a series of sales in 2000 and 2001. It is owned and

operated by the NASDAQ OMX Group, the stock of which was listed on its own

stock exchange in 2002, and is monitored by the Securities and Exchange

Commission (SEC)

Slide 11


Allahabad Stock Exchange

Ahmedabad Stock Exchange

Hyderabad Stock Exchange

Madras Stock Exchange

Various Indian Stock Exchange Formed Between 1908 - 1947

Delhi Stock Exchange

Kolkata Stock Exchange

National Stock Exchange of IndiaOTC Exchange of India

19

http://en.wikipedia.org/wiki/Electronic_trading

http://en.wikipedia.org/wiki/United_States


The Cycle of Market Emotions

Optimism

Thrill

Excitement

EuphoriaAnxiety

Denial

Fear

Desperation

Panic

Capitulation

Despondency

Optimism

Depression

Hope

Wow I feel great about this investment

Point of Maximum Risk

“Temporary Setback, I am a long

term investor.”

“maybe the markets just

aren’t for me.”

Point of Maximum Financial Opportunity

Relief

The reason for running this graphic of the Cycle of Market Emotions is because it's so

central to understanding market psychology and investor emotions during bull

markets and bear markets.

I don't know where most people are on this curve, but the odds are it's somewhere

between Denial and Hope. That covers a lot of ground and you could argue the

distinction between the terms desperation, despondency (sadness, misery) and

depression is somewhat arbitrary.

The point is that we are certainly not at the cycle's top emotion, Euphoria, which is

when most of us pile in to trends like technology and Emerging Markets, oblivious to

the fact that's actually the point of maximum financial risk. You have to wonder how

many times we have to experience this cycle before we finally get it right.

It is human nature to put too much weight on current conditions and extrapolate them

far into the future." Today, the market prices of many stocks are "well below the

underlying value of the business.

20


Sensex Highlights Over the Years

0100020003000400050006000700080009000

10000110001200013000140001500016000170001800019000200002100022000

Jan

91

Jul 9

1

Jan

92

Jul 9

2

Jan

93

Jul 9

3

Jan

94

Jul 9

4

Jan

95

Jul 9

5

Jan

96

Jul 9

6

Jan

97

Jul 9

7

Jan

98

Jul 9

8

Jan

99

Jul 9

9

Jan

00

Jul 0

0

Jan

01

Jul 0

1

Jan

02

Jul 0

2

Jan

03

Jul 0

3

Jan

04

Jul 0

4

Jan

05

Jul 0

5

Jan

06

Jul 0

6

Jan

07

Jul 0

7

Jan

08

Jul 0

8

Jan

09

April 28, 1992: Sensex fall of 570 pts. Harshad Mehta Scam

The CRB Scam Uncovered

Oct – 1999: Sensextouched highest

of 5000 pts - BJ P led Govt. came into power.

Feb 2000: InfoTech boom

Helped the market to rise further

Feb 1992: Sensexcrosses

3000 mark

J un: 2005 Sensextouched

7000 pts

May 2004: Sensexdropped, BJ P coallition govt

lost to congress

Sept 2005 - : Sensex keeps rising. Following brisk buyingby foreign & domestic

Funds in early trading. Huge invesments by FII’sOct 2006 - :

Sensexcrossed the magical Figure of 13000

Took 135 days to moveFrom 12000 – 13000

Sept 2007 - : Biggest ever single day

Gain of 654 pts.Heavy investment

of FII

J an 2008 - : Sensextouched allTime peak of 21078Before closing at

20873

Oct 208: SensexDropped below the 10K mark due toGlobal financial

indictions

J an 2009: Satyam Scam

Important points to be covered during this slide –

Here is a timeline on the rise and rise of the Sensex through Indian stock market

history.

1000, July 25, 1990 - On July 25, 1990, the Sensex touched the four-digit

figure for the first time and closed at 1,001 in the wake of a good monsoon

and excellent corporate results.

2000, January 15, 1992 - On January 15, 1992, the Sensex crossed the 2,000-

mark and closed at 2,020 followed by the liberal economic policy initiatives

undertaken by the then finance minister and current Prime Minister Dr

Manmohan Singh.

21

3000, February 29, 1992 - On February 29, 1992, the Sensex surged past the

3000 mark in the wake of the market-friendly Budget announced by

Manmohan Singh.

4000, March 30, 1992 - On March 30, 1992, the Sensex crossed the 4,000-

mark and closed at 4,091 on the expectations of a liberal export-import policy.

It was then that the Harshad Mehta scam hit the markets and Sensex witnessed

unabated selling.

Harshad Mehta Scam –

Harshad Mehta was an Indian stockbroker and is alleged to have engineered the rise

in the BSE stock exchange in the year 1992. Exploiting several loopholes in the

banking system, Harshad and his associates siphoned off funds from inter-bank

transactions and bought shares heavily at a premium across many segments, triggering

a rise in the Sensex. When the scheme was exposed, the banks started demanding the

money back, causing the collapse. He was later charged with 72 criminal offenses and

more than 600 civil action suits were filed against him. He died in 2002 with many

litigations still pending against him.

Mehta first started working as a dispatch clerk in the New India Assurance Company.

Over the years, he got interested in the stock markets and along with brother Ashwin,

who by then had left his job with the Industrial Credit and Investment Corporation of

India, started investing heavily in the stock market. The year was 1990. The shares

which attracted attention were those of Associated Cement Company (ACC). The

price of ACC was bid up to Rs 10,000. For those who asked, Mehta had the

replacement cost theory as an explanation. The theory basically argues that old

companies should be valued on the basis of the amount of money which would be

required to create another such company.

On April 23, 1992, journalist Sucheta Dalal in a column in The Times of India,

exposed the dubious ways of Harshad Metha. The broker was dipping illegally into

the banking system to finance his buying.

22

http://en.wikipedia.org/wiki/Sensex

http://en.wikipedia.org/wiki/BSE

http://en.wikipedia.org/wiki/India

“In 1992, when I broke the story about the Rs 600 crore that he had swiped from the

State Bank of India, it was his visits to the bank’s headquarters in a flashy Toyota

Lexus that was the tip-off. Those days, the Lexus had just been launched in the

international market and importing it cost a neat package,” Dalal wrote in one of her

columns later.

The authors explain: “The crucial mechanism through which the scam was effected

was the ready forward (RF) deal. The RF is in essence a secured short-term (typically

15-day) loan from one bank to another. Crudely put, the bank lends against

government securities just as a pawnbroker lends against jewellery….The borrowing

bank actually sells the securities to the lending bank and buys them back at the end of

the period of the loan, typically at a slightly higher price.”

It was this ready forward deal that Harshad Mehta and his cronies used with great

success to channel money from the banking system.

A typical ready forward deal involved two banks brought together by a broker in lieu

of a commission. The broker handles neither the cash nor the securities, though that

wasn’t the case in the lead-up to the scam.

“In this settlement process, deliveries of securities and payments were made through

the broker. That is, the seller handed over the securities to the broker, who passed

them to the buyer, while the buyer gave the cheque to the broker, who then made the

payment to the seller.

In this settlement process, the buyer and the seller might not even know whom they

had traded with, either being know only to the broker.”

This the brokers could manage primarily because by now they had become market

makers and had started trading on their account. To keep up a semblance of legality,

they pretended to be undertaking the transactions on behalf of a bank.

Another instrument used in a big way was the bank receipt (BR). In a ready forward

deal, securities were not moved back and forth in actuality. Instead, the borrower, i.e.

the seller of securities, gave the buyer of the securities a BR.

23

As the authors write, a BR “confirms the sale of securities. It acts as a receipt for the

money received by the selling bank; hence the name - bank receipt. It promises to

deliver the securities to the buyer. It also states that in the mean time, the seller holds

the securities in trust of the buyer.”

Having figured this out, Metha needed banks that could issue fake BRs or BRs not

backed by any government securities. “Two small and little known banks - the Bank

of Karad (BOK) and the Metorpolitan Co-operative Bank (MCB) - came in handy for

this purpose. These banks were willing to issue BRs as and when required, for a fee,”

the authors point out.

Once these fake BRs were issued, they were passed on to other banks and the banks in

turn gave money to Mehta, obviously assuming that they were lending against

government securities when this was not really the case. This money was used to

drive up the prices of stocks in the stock market. When time came to return the

money, the shares were sold for a profit and the BR was retired. The money due to the

bank was returned.

The game went on as long as the stock prices kept going up, and no one had a clue

about Mehta’s modus operandi. Once the scam was exposed, though, a lot of banks

were left holding BRs which did not have any value - the banking system had been

swindled of a whopping Rs 4,000 crore.

CRB Scam –

Important dates to Remember –

24

May 2006 - On May 22, 2006, the Sensex plunged by 1100 points during intra-day

trading, leading to the suspension of trading for the first time since May 17, 2004.

The volatility of the Sensex had caused investors to lose Rs 6 lakh crore (US$131

billion) within seven trading sessions. The Finance Minister of India, P.

Chidambaram, made an unscheduled press statement when trading was suspended to

assure investors that nothing was wrong with the fundamentals of the economy, and

advised retail investors to stay invested. When trading resumed after the reassurances

of the Reserve Bank of India and the Securities and Exchange Board of India

(SEBI), the Sensex managed to move up 700 points, still 450 points in the red.

July 6, 2007 - The Sensex on July 6, 2007 crossed another milestone and reached a

magic figure of 15,000. it took almost 7 month and 1 day to touch such a historic

milestone. Coincidentally Sachin Tendulkar achieved the same mark (15000 runs in

international cricket) around the same time! (The usual refrain of the time was,

"Sachin, make runs so Sensex rises!")

Effects of the Subprime crisis in the U.S

On July 23, 2007, the Sensex touched a new high of 15,733 points. On July 27, 2007

the Sensex witnessed a huge correction because of selling by Foreign Institutional

Investors and global cues to come back to 15,160 points by noon. Following global

cues and heavy selling in the international markets, the BSE Sensex fell by 615 points

in a single day on August 1, 2007.

September 19, 2007- The Sensex on September 19, 2007 crossed the 16,000 mark

and reached a historic peak of 16322 while closing. The bull hits because of the rate

cut of 50 bit/s in the discount rate by the Fed chief Ben Bernanke in US.

September 26, 2007- The Sensex on September 26, 2007 crossed the 17,000 mark for

the first time, creating a record for the second fastest 1000 point gain in just 5 trading

sessions. It failed however to sustain the momentum and closed below 17000. The

Sensex closed above 17000 for the first time on the following day. It was also during

this record bull run that the Sensex for the first time zoomed ahead of the Nikkei of

Japan.

25

http://en.wikipedia.org/wiki/Foreign_Institutional_Investor

http://en.wikipedia.org/wiki/Foreign_Institutional_Investor

http://en.wikipedia.org/wiki/Subprime_crisis

http://en.wikipedia.org/wiki/Securities_and_Exchange_Board_of_India

http://en.wikipedia.org/wiki/Reserve_Bank_of_India

http://en.wikipedia.org/wiki/P._Chidambaram

http://en.wikipedia.org/wiki/P._Chidambaram

http://en.wikipedia.org/wiki/Crore

http://en.wikipedia.org/wiki/Lakh

http://en.wikipedia.org/w/index.php?title=Intra-day_trading&action=edit&redlink=1

http://en.wikipedia.org/w/index.php?title=Intra-day_trading&action=edit&redlink=1

October 15, 2007- The Sensex crossed the 19k mark for the first time on October 15,

2007. It took just 4 days to reach from 18k to 19k. This is the fastest 1000 points rally

ever and also the 640 point rally was the second highest single day rally in absolute

terms. This made it a record 3000 point rally in 17 trading sessions overall.

October 29, 2007- The Sensex crossed the 20k mark for the first time with a massive

734.5 point gain but closed below the 20k mark. It took 11 days to reach from 19k to

20k. The journey of the last 10,000 points was covered in just 869 sessions as against

7,297 sessions taken to touch the 10,000 mark from 1,000 levels. In 2007 alone, there

were six 1,000-point rallies for the Sensex

Slide 14


Financial Saving of the House Hold Sector

Investment Areas

8.9

8.6

10.9

47

55.3

56.5

5.1

6.6

10.5

5.3

14.9

17.5

10.5

9.2

8.2

14.6

-3.7

14

20

05

-06

20

06

-07

20

07

-08

Currency DepositsShare and Debentures Claims on GovernmentInsurance Funds Provident and Pension Funds

Note: All source from RBI• All figures in %age of total financial saving2. Figures in parentheses are percentage to GDP at current market prices.3. Components may not add up to the totals due to rounding off.

0.20.20.3State Insurance

0.40.30.3Postal Insurance

16.914.413.4Life Insurance Funds

Insurance Funds4

-1.75.112.2Investment in Small Savings, etc.(ii)

-20.22.4Investment in Government securities(i)

Claims on Government3

7.75.23.8Mutual Funds (Other than UTI)(v)

000Bonds of public Sector undertakings(iv)

0.0 0.0 (0.1)Units of Unit Trust of India(iii)

0.10.10.1Banking(ii)

2.7 1.4 1.3 Private Corporate Business(i)

Share and Debentures2

000Trade Debt (Net)(iv)

000With Co-operative Banks and Societies(iii)

1.211With Non-banking Companies(ii)

55.354.346With Banks(i)

Deposits1

2007-082006-072005-06

Per cent to Total Financial SavingFinancial Saving

The

re h

as b

een

trem

endo

us g

row

th

in th

e S

hare

s &

deb

entu

res

Sec

tion

and

lot o

f sco

pe a

s w

ell

The focus of this slide needs to be the growth in the Shares & Debentures area.

26


Relative Growth in Various Industries

Growth in Various Industries

2.4

2.4 4.5

0

15.0

16.6

18.2

6.4

5.7 6.6

1.9 4

.8

3.2 8

.2

2.3

2.3

22.4

13.4 1

9.0

6.1

6.3

4.1

-0.4

-1.50.9

2.3

1.42

.0

1.5

1.1

5.3

0.9

8.0 6.8

-5

0

5

10

15

20

25

30

35

40

Wood a

nd

wood

pro

ducts

,Jute

and o

ther

vegeta

ble

fib

re

textil

es

Oth

er

manufa

ctu

ring

industr

ies

Bevera

ges,

tobacco a

nd

rela

ted

Leath

er

and

leath

er

& fur

pro

ducts

Chem

icals

and

chem

ical

pro

ducts

Basic

meta

l

and a

lloy

industr

ies

Machin

ery

and

equip

ment

oth

er

than

equip

ment

Rubber,

pla

stic

,

petr

ole

um

and

Food p

roducts

Non-m

eta

llic

min

era

l

pro

ducts

Wool,

silk

and

man-m

ade

fibre

textil

es

Cotton textil

es

Textil

e

pro

ducts

(inclu

din

gT

ransport

equip

ment and

part

sP

aper

and

paper

pro

ducts

and

Meta

l pro

ducts

and p

art

s

(except

Acceleration Deceleration Negative

Industries

In %

ag

e

2006-07 2007-08 P Source : Central Statistical Organisation

This graph primarily represents the various sectors.

Acceleration – where industries have grown by a huge margin and there is more scope

of growth

Deceleration – Where industries could have grown or not and would not have huge

growth

Negative – Current and scope of growth is less – e.g Metal Products & Parts

27


GDP growth to maintain its momentum

Manufacturing to witness strong growth ahead on back of

- Infrastructure spending of govt.

- Capexby industries

Source: Planning Commission, Cygnus Research

0

1000

2000

3000

4000

5000

6000

Rs

in B

illio

n

Po

we

r

Ele

ctri

cal E

qu

ipm

en

t

Ch

em

ica

ls

Oil

an

d G

as

Co

ke

Ste

el

Alu

min

ium

Te

xtile

s

Tra

nsp

ort

Eq

uip

Pe

tro

che

mic

als

Pa

pe

r

Ce

me

nt

Co

nst

ruct

ion

Industries

India Inc Capex (2007 - 2012)

Economy Growth Robust Ahead

1

2

3

4

5

6

7

8

9

10

2008-09 (E) 2009-10 (E) 2010-11(E) 2011-02 (E)

Yrs

0

20

40

60

80

100

120

140

160

Ele

ctric

ity

Roa

ds

Tel

ecom

Rai

lway

s

Irrig

atio

n

Wat

er

Por

ts

Airp

orts

Sto

rage

Gas

Industries

Robust Infrastructure By Government

2002-07 2007-12

There is robust economy growth coming ahead as and the India Capex has also been

shown in the other graphs reflecting various sectors. Self explanatory.

28


Return on equity: India and Emerging Markets

Source: FTSE, Worldscope, Factset, Lehman Brothers, Extel.

This is just to show that Return of equity in India is higher as compared to

emerging markets

Emerging markets, e.g. – Philippines, Thai stocks, Baht, Polish Zloty, Turkish ISE

100 etc.

29


Equity Markets- India & Global

Slide 19

30


US & India Movement of Stock Markets

1970 - 1990 1991 – 2000 2001 - 2009

Black Monday (1987)

Usage of Computers in Exchanges

Real Time Ticker Introduced

Online trading Started

Sept 11 2001 attacks – Trading in fractions

NYSE Euronext

NYSE Merger with American Stock Exchange – Leads to market rise

September 15 2008, Ugly Monday –Short Selling

1970 - 1990 1991 – 2000 2001 - 2009

Old Methodology – no transparency in share prices

1978-79 – Base year of sensex, defined to be 100

Neat Bolt – Transparency in the system

Emerging of new Brokers

Dot com bubble burst

Bullish Markets for most part of this period

Majority Trading – Online. Charge was anything between 4% to 0.40 paisa - .01 paisa

Flat Fee Structure

Flat Fee Structure Introduced

Unite States

The usage of computers started very early in the US while very late in India.

In financial markets, Black Monday refers to Monday, October 19, 1987, when stock

markets around the world crashed, shedding a huge value in a very short time. The

crash began in Hong Kong, spread west through international time zones to Europe,

hitting the United States after other markets had already declined by a significant

margin. The Dow Jones Industrial Average (DJIA) dropped by 508 points to 1738.74

(22.61%). By the end of October, stock markets in Hong Kong had fallen 45.8%,

Australia 41.8%, Spain 31%, the United Kingdom 26.4%, the United States 22.68%,

and Canada 22.5%. New Zealand's market was hit especially hard, falling about 60%

from its 1987 peak, and taking several years to recover. (The terms Black Monday

and Black Tuesday are also applied to October 28 and 29, 1929, which occurred after

Black Thursday on October 24, which started the Stock Market Crash of 1929. In

Australia and New Zealand the 1987 crash is also referred to as Black Tuesday

because of the timezone difference.)

Real Time Ticker Introduced

31

http://en.wikipedia.org/wiki/New_Zealand_Exchange

http://en.wikipedia.org/wiki/Canada

http://en.wikipedia.org/wiki/Australia

http://en.wikipedia.org/wiki/United_States

http://en.wikipedia.org/wiki/Europe

http://en.wikipedia.org/wiki/Stock_market_crash

http://en.wikipedia.org/wiki/Stock_market

http://en.wikipedia.org/wiki/Stock_market

Flat fee structure was introduced during this era in the US – brokers started charging a

flat fee structure. Customers started trading online during this era.

India

No transparency till late 1900’s. Emerging of Brokers during this entire period till

2000 and still running.

Neat BOLT introduced in the year 1995.

The "dot-com bubble" (or sometimes the "I.T. bubble") was a speculative bubble

covering roughly 1995–2001 (with a climax on March 10, 2000 with the NASDAQ

peaking at 5132.52) during which stock markets in Western nations saw their value

increase rapidly from growth in the new Internet sector and related fields.

The period was marked by the founding (and, in many cases, spectacular failure) of a

group of new Internet-based companies commonly referred to as dot-coms.

Companies were seeing their stock prices shoot up if they simply added an "e-" prefix

to their name and/or a ".com" to the end, which one author called "prefix investing".

A combination of rapidly increasing stock prices, individual speculation in stocks, and

widely available venture capital created an exuberant environment in which many of

these businesses dismissed standard business models, focusing on increasing market

share at the expense of the bottom line.

The low interest rates in 1998–99 helped increase the start-up capital amounts.

Although a number of these new entrepreneurs had realistic plans and administrative

ability, many more of them lacked these characteristics but were able to sell their

ideas to investors because of the novelty of the dot-com concept.

Slide 20

32

http://en.wikipedia.org/wiki/Venture_capital

http://en.wikipedia.org/wiki/Speculation

http://en.wikipedia.org/wiki/Prefix

http://en.wikipedia.org/wiki/.com

http://en.wikipedia.org/wiki/Internet-related_prefixes

http://en.wikipedia.org/wiki/Internet

http://en.wikipedia.org/wiki/Quaternary_sector_of_industry

http://en.wikipedia.org/wiki/2000

http://en.wikipedia.org/wiki/Economic_bubble


Brokerage in Various Markets

BROKER

Customers

Approach to buy Shares

Charge Brokerage – 2-4%

How can I Make more money – Where are the

opportunities?

No Transparency

Misquote Prices

Charge Brokerage as per desire

Services Provided

Commission on Trade (could vary on broker to broker)

Commission from mutual fund companies ("trailer fees")

Management Fees (ie: if they manage your funds completely they would take a 1-2% yearly management fees as well)

Before

Now

United States

While the term stockbroker is still in use, it is more commonly referred to as simply

"broker", "registered rep" or simply "rep"-- shortened versions of the official FINRA

(pronounced "FIN-ra") designation "Registered Representative". This designation is

obtained by an individual passing the FINRA General Securities Representative

Examination (also known as the "Series 7 exam") and being employed ("associated

with") a registered Broker-dealer also called a brokerage firm; the firm is typically a

FINRA "member" firm.

More restrictive FINRA licenses or series exams exist for brokers or reps who do not

need the full array of capabilities with the Series 7. See the FINRA List of Securities

Examinations. And variable products such as a variable annuity contract or variable

universal life insurance policy typically require the broker to also have one or another

state insurance department licenses.

United Kingdom

In the UK, brokers are required to pass the XII (Securities and Investment Institute)

Certificate in Securities, this qualification is achieved by passing two exams: Either

Unit 1: FBI Financial regulations or Unit 10 Principles of Financial Regulation for

MiFID compliant retail trading, and either Unit 2: Securities, Unit 3: Derivatives or

33

Unit 4: for both Securities and Derivatives. Passing Unit 10 or Unit 52 identifies

individuals as having attained FSA Approved Person Status.

In 1995 there were 981 companies with revenues of $176.26 billion and 429,900

employees. In that year U.S. corporate stock and bond sales rose to $709.3 billion

from $705.7 billion in 1994, due to a robust calendar of common-stock offerings.

Behind the strong financing activity was a blend of lower interest rates and higher

stock prices, which together spurred more and more individual investors to buy

common stock. One of the most vibrant areas of the common-stock underwriting

market was the initial public offering, as 572 companies came to market for the first

time in 1995. Total debt sales, including convertible offerings, slipped to nearly $611

billion in 1995 from $628.8 billion in 1994. But asset-backed offerings jumped 42

percent to $107.1 billion.

In the past, investors had to call up their brokers and place an order on the phone. The

broker would then enter the order in their system which was linked to trading floors

and exchanges.

With the advent of the internet, investors can now enter orders directly online, or even

trade with other investors via ECN's (electronic communication networks). Some

orders entered online are still routed through the broker allowing agents to approve or

monitor the trades. This step assists in the protection of both the client and brokerage

firm from unlawful or incorrect trades which could affect the client’s portfolio or the

broker’s license.

Online brokers are most often referred to as discount brokers, due to their lower fees

as opposed to full service brokers who also give advice to clients.

Slide 21

34

http://en.wikipedia.org/wiki/ECN


NEAT BOLT Launched - in 1995

More Transparency

BROKER

Stock ExchangeTerminals

Information Access

Customers

Information Access

Information with the Broker & the Customer is the same

Mumbai: : In technology terms, how are the two major exchanges of India—National

Stock Exchange (NSE) and Bombay Stock Exchange—pitted against each other?

Here’s a reality check.

The older of the two, BSE launched the electronic trading platform for the cash

segment—BSE On Line Trading System (BOLT)—in 1995. For BOLT, BSE uses

Tandem Fault Tolerant System consisting of 26 central processing units (CPUs).

Tandem systems are high performance trading engines enabling huge volumes

without any downtime. This electronic trading platform is available to members and

their hierarchy through a nationwide network spanning over 360 cities, through over

7,000 trader work stations on campus LAN, leased lines and V-SATs for upcountry

members.

According to the BSE spokesperson, the BSE Private Network in one of the largest

and most sophisticated networks in Asia Pacific running multiple services from

trading to settlement.

35

As against the BSE technology, the NSE trading system is implemented on the

mainframe Continuum series of machine, which is supplied by Stratus Computers.

The Stratus machines provide hardware-fault tolerance and therefore are able to

sustain any single point failure. The operating system offers transaction protection,

robust inter-process communication and network interface.

Slide 22

36


2007 – Reliance Money Ventures & Changed the Rules of The Game

Introducing Flat Fee Structure

Slide 23


Reliance Money Business Models

Slide 24

37


Various Business Models

Apart form the rest of the models followed in the international markets the Franchisee Model across the world revolves around 4 types as mentioned in the visuals

Reliance Money Business Model

Direct VerticalThrough RMoney employee sales

force, Walk In at branches,seminars, road shows etc.

Emerging Markets VerticalThrough Rural & upcountry locations….

Household VerticalThrough suitcase Agents, Retired Personnel, House wives etc.

Let’s look at the models in detail…

Capital Market VerticalThrough Franchisee Partners & Remisars / agents

As per The Financial Express and the new trend seen in the markets - Broking firms

have started opting for franchise route to weather meltdown.

Franchising refers to the methods of practicing and using another person's business

philosophy. The franchisor grants the independent operator the right to distribute its

products, techniques, and trademarks for a percentage of gross monthly sales and a

royalty fee. Various tangibles and intangibles such as national or international

advertising, training, and other support services are commonly made available by the

franchisor. Agreements typically last from five to thirty years, with premature

cancellations or terminations of most contracts bearing serious consequences for

franchisees.

Franchising dates back to at least the 1850s; Isaac Singer, who made improvements to

an existing model of a sewing machine, wanted to increase the distribution of his

sewing machines. His effort, though unsuccessful in the long run, was among the first

franchising efforts in the United States. A later example of franchising was John S.

Pemberton's successful franchising of Coca-Cola. Early American examples include

the telegraph system, which was operated by various railroad companies but

controlled by Western Union, and exclusive agreements between automobile

38

http://en.wikipedia.org/wiki/Railroad

http://en.wikipedia.org/wiki/Telegraph

http://en.wikipedia.org/wiki/John_S._Pemberton

http://en.wikipedia.org/wiki/John_S._Pemberton

http://en.wikipedia.org/wiki/Sewing_machine

http://en.wikipedia.org/wiki/Isaac_Singer

http://en.wikipedia.org/wiki/Training

http://en.wikipedia.org/wiki/Advertising

http://en.wikipedia.org/wiki/Business_philosophy

http://en.wikipedia.org/wiki/Business_philosophy

manufacturers and operators of local dealerships. Earlier models of product

franchising collected royalties or fees on a product basis and not on the gross sales of

the business operations of the franchisees.

What Type of Franchise Arrangement is Best for You?

Introducing the right level of franchising, to meet your needs, is almost as important

as introducing the right franchise. Below are the four levels of franchising, which

include information on the territory specifics, the required level of participation, and

the typical liquid capital requirements. It is best to consider all aspects of each level,

before selecting a franchise.

1.) Single-Unit Franchise

2.) Multi-Unit Franchise

3.) Area Development Franchise

4.) Master Franchise

Master Franchise

With a Master Franchise, you own an exclusive territory which allows you to receive

franchise fees from franchises sold as well as ongoing royalties or possibly even

residual income from overrides on product sales.

This can be a low overhead business with very few employees needed and yet can be

built to where the Master Franchise is worth millions of dollars.

Single-Unit Franchise, Multi-Unit Franchise, Area Development Franchise

Start with one unit and build up to several units. Control your own mini-empire and

achieve financial independence in the quickest way. You'll receive excellent support

in all areas of the business operation with a minimal out-of-pocket investment.

Reliance Money Business Models – Capital Market, Household, Direct & Emerging

Markets

Slide 25

39


Branch Office

Franchisee 1 Franchisee 2 Franchisee 3

Reliance Money Corporate Office

Requirements to become a franchisee:

1.) A nominal deposit as security 2.) Office Space3.) FOS (feet On street)4.) Dealers5.) Tele callers

Benefits & Support provided:

1.) Brand Name 2.) Marketing support3.) Research & Technical Assistance4.) Cross Selling Avenues5.) Training to franchisee and staff

Capital Market VerticalThrough Franchisee Partners & Remisars / agents

Slide 26


Franchisee Model - Example

Franchisee Partners

Franchisee

Role on Account Opening – Acquire as many customers as possible

Ok. Why should I partner with Reliance Money? What Is In It For Me (WIIFM)???

Let’s take a scenario

Assuming a Franchisee opens 100 accounts in a month

Assuming only 100 clients are active the number of trades / Day would be. Our research team gives 10 calls per day per customer and assuming 5 Trades are performed (5 Buys & 5 Sells = 10 Trades), then…

AOF / MTH - A 100OAF / YR - B = (A*12) 1200

75% of B 900 25% of B 300 Previous Year 900 clients purchase Rs. 1000/- cards in the second year X 200 Clients @ 10 Trades / Day - I FRev / Client on AOF (PR 500) - C for current 900 cleints acquired Y Rev / Day J = I*10 GMF - 10K / YR @ 2% (now 2.5%) - D Z Rev / MTH - K = J*20 (20 trading days / MTH) HIPO - 10K / YR - E A Total = K*12 "XXX"Total - F = C+D+E BRevenue from 900 clients - G = F*B "XXX"

Online Offline

Total Revenue earned Per Year By Franchisee = Anything between 0 - 25Lacs / Annum

Year 2

If we receive 75% of the customers through Online mode and 25% through Offline Mode It translates to

500

This is an example of the Franchisee model – showcasing how much can a franchisee

earn.

Slide 27

40


Seminars Road ShowsBranch Office

Direct VerticalThrough RMoney employee sales

force, Walk In at branches,seminars, road shows etc.

Direct Sales Productivity Drivers

1.)Territory / Strategic Planning2.) Prospecting3.) Need Analysis of the customer4.) Create Portfolio5.) Follow Ups6.) Cover the gaps in the portfolio by suggesting the right product

Slide 28


Retired Personnel

Housewives

Government Employees

Household VerticalThrough suitcase Agents, Retired Personnel, House wives etc.

Suitcase Agents

How Do we generate the Business

1.) Conduct Seminars2.) Visit Senior citizens Club3.) Various Housing Societies

Support Provided

1.) Provide Training2.) Marketing Support3.) Cross Selling Avenues

Slide 29

41


Emerging MarketsThrough Gram Panchayat, Co-operative societies, etc.

Gram Panchayat

Co-operative Societies

Functionality Of The Business

1.) Create Awareness amongst the Gram Panchayats2.) Organize Seminars / Meets3.) Create Awareness amongst the farmers4.) Provide Training5.) Marketing Support6.) Cross Selling Avenues

Agriculturist

Slide 30 – 36 are very much self explanatory

Slide 37

42


Comparison with Online Brokers

Axis, HDFC, ICICI, IDBI

123 times for 5 days

0.010.05None900IndiaBulls

ICICIMargin – 4Margin + - 20

Deposited amount

0.050.75450975ICICIDirect.com

Axis, HDFC, ICICI, Citibank.

7 – 8 30.050.50None5555 paisa.com

Axis, HDFC, ICICI, Citibank.

44times for 4 days

0.010.05350 from 2nd yrs750Sharekhan

ICICI, IDBI, Axis, HDFC.

5Deposited amount

0.010.01200 on HUF, Individual &

Trust

750Reliance Money

Axis, HDFC, ICICI.8 - 1540.050.05250999Religare

ICICI, HDFC, Citibank, Federal

bank, Punjab National Bank,

IDBI.

3 - 53- 5 days for T +1

0.030.30300600Geojit Financial Services

Axis, Citibank, ICICI, Kotak.

4 - 6T+20.03 - 0.060.059 – 0.18360750Kotak Securities

ICICI, HDFC.76 times T+20.010.05300 From 2nd

Year740Angel Broking

Axis, HDFC, ICICI, Kotak

84times for 7 days

0.010.05None500Almondz Capital Markets

Collaborating bank

Exposure for intra -

day trading

Investment exposure

Brokerage Fee for intra -day of shares

(Per Transaction)

Brokerage Fee on delivery of shares (Per

Transaction)

Annual Maintenance Charges

(Rs)

Account Opening Charge

(Rs)

Online Broker

Here focus on Reliance Money Brokerage

Slide 38 – 41 – only discuss that this is how the trading platforms look like –

more would be shown once you take them through the live trading session.

Slide 42

43


Identify Your Clients

Frequent Trader/ Investor Infrequent Trader/ Investor

Trades of Delivery Trades for Intraday

Classify them into Two Group (Trader/

Investor)

Call them for small Training

Classify the investor in Long / Medium / Short

Divide Cash Trade & FNO Traders

Teach them Option Trading with market trend

Teach them the Hedging concept for minimizing risk

Mail them Research Reports on market, sectors and stocks

This is a very important slide and would help participants understand how to

identify clients.

44

.“Success is a journey, not a destination’’

45

RELIANCE DEMAT ACCOUNTS

46

Overview of D-mat Account

In India, a D-mat account the abbreviation for d-materialized account, is a type of

banking account which dematerializes paper-based physical stock shares. The d-

materialized 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 d-mat account for share trading above

500 shares. As of April 2006, it became mandatory that any person holding a d-mat

account should possess a Permanent Account Number (PAN), and the deadline for

submission of PAN details to the depository lapsed on January 2007.

Procedure

1. Fill d-mat request form (DRF) (obtained from a depository participant or DP with

whom your depository account is opened).

2. Deface the share certificate(s) you want to dematerialize by writing across

Surrendered for d-materialization.

3. Submit the DRF & share certificate(s) to DP. DP would forward them to the issuer /

their R&T Agent .

4. After d-materialization, your depository account with your DP, would be credited

with the d-materialized securities.

Reliance Money D-mat Account Services

47

Reliance Money – Transacting and investing simplified.

Get ready to change the way you transact and invest in financial products and

services. Whether you wish to transact in equity, equity & commodity derivatives,

IPO’s offshore investments or prefer to invest in mutual funds, life & general

insurance products or avail money transfer and money changing services, you can do

it all through reliance money. Simply open a reliance money account and enjoy the

convenience of handling all your key financial transactions through this one window.

Benefits of having a reliance money account.

•It’s cost effective

You pay comparatively lower transaction fees. As an introductory offer, we invite you

to pay a flat fee of just Rs. 500/- and 750/- and transact through reliance money. This

fee is valid for two months or a specified transaction value.

The table below for details.

• Its offers single –

Through reliance money’s associates, you can transact in equity, equity and

commodities derivatives, offshore investments mutual funds, IPO’s life insurance,

general insurance, money transfer, money changing and credit cards, amongst others.

•Its convenient

You can access reliance money’s services through

•The internet

48

•Transaction kiosks

•The phone (call & transact)

•Our all – India network of associates On an assisted trade (through the call centre or

our network of associates) a charge of Rs 12 per executed trade applicable.

•Its Safe Your account is safeguarded with a unique security number that changes

every 32 seconds. This number works as a dynamics password to keep your account

extra safe.

• You get your own d- mat account with

reliance capital at an annual fee of just

Rs. 50/-.

• Its provides you a d- mat account

provides you a 3-in-1 facility,

• You can access your banking, trading and d-mat account through a single window

and transfer funds across accounts seamlessly.

• It provide you value- added services At www.reliancemoney.com, you get.

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

• Live news updates from Reuters and Dow Jones

• CEO’s / expert views on the economy and financial markets

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

finance section

• Risk Analyzers for analysis of your risk profile

• Asset allocators to build an appropriate investment portfolio

• Innovative use of technology for facilitating

convenient trading/investments –

kiosks (similar to ATM’s)

49

Reliance Money Provide the kiosks (similar to ATM’s) Facilities, to their customer

through which the customers can trade on available kiosks at the particular Branch of

Reliance Money. The company are going to open these kiosks in the market as the

ATM’s of the Banks. Reliance Money provides 3 different trading platforms for

equity trading:

Insta Trade

Fast Trade

Easy trade

The benefits

• 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;

50

• 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 d-mat account of shares, arising out of

bonus/split/consolidation/merger etc.

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

Reliance Money

BROKERAGE

ONLINE OFFLINE

RECHARGE VOUCHER RECHARGE VOUCHER

+

FRANCHISEE FEE

FRANCHISEE FEE RS. 15/ TRANSACTION

Reliance has the concept of Recharge Vouchers

RECHARGE VOUCHER:

Rs. 500 12 Month 5 Lac Limit

Rs. 500 2 Months 1 Crore



51

Account Opening Charges :

For Regular Customers : Rs. 750.00

For Govt. Employees / Corporate : Rs. 500.00

Offer:

One Year Trading Account Fee by Reliance of Rs. 500.00 & 12 Months. Validity / 5

Lacs.

Required Documents

The extent of documentation required to open a d-mat account may vary according to

your relationship with the institution. If you plan to open a d-mat account with a bank,

a savings, current and, or other account for which the holder have been issued a check

book, such holder has an edge over the non-account holder. In fact, banks usually

offer additional incentives to customers who open a d-mat account with them. Along

with the application form, your photographs (with co-applicants) and proof of

identity/residence/date of birth have to be submitted. The DPs also ask for a DP-client

agreement to be executed on non-judicial stamp paper. Here is a broad list:

• A canceled check, preferably MICR

• Proof of Identification

• Proof of Address

• Proof of Pan card (mandatory)

• Recent photographs, one and, or more For proof of identification and, or address

self-attested facsimile copies of PAN card, Voter’s ID, Passport, Ration card, Driver’s

license, Photo credit card, Employee ID card, Bank attestation, latest IT returns and,

or latest Electricity/Landline phone bill are sufficient. While they only ask for

photocopies of the documents, they will need the originals for verification.

Brokerage card:

52

500 for 2 months 1 crore (90 lakh for intra trade & 10 lakh for delivery)

1350 for 6 months 3 crores (2.70 lakh for intra trade & .30 lakh for delivery)

2500 for 12 months 6 crore (5.40 lakh for intra day & .60 lakh for delivery)

PR 500 for 12 months with the limit of 5 lakhs (both intraday & delivery)

Secured log in with reliance money:

Unique user id (different for each & every client)

User password (which you need to change every 15 days)

Security key (which changes in every 32 seconds and generate numbers

randomly)

Brokerage:

Reliance money is working on the zero brokerage concept, because of which

education cess as well as service tax will be NIL.

As per the SEBI guidelines any brokerage company can't charge zero

brokerage so it charges 0.01% of brokerage in the name of transaction cost.

Other than this the security transaction tax (STT) is also being charged @

On Delivery: 0.125% On Intra day: 0.0125%

Other than this holding charges are also being charged on sale of securities

@Rs 12 on

1 Scrip & 1 Order (irrespective of the fact as to how much big be the value of

the complete order).

Points To Remember

53

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

your DP.

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

3. 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 d-mat credit.

4. Dematerialization would be done only when the issuer / their R&T Agent is

satisfied of genuineness of securities & ownership status

5. All the joint holders should sign the DRF.

6. The pattern of holding in the DRF should match the pattern of holding on the share

certificate & the pattern in which account is opened.

7. D-mat 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.

8. 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 d-mat

confirmation, ask for additional documentation (like bank attestation/ notarization,

etc.) to prove that the certificate belongs to the person who forwarded the DRF.

9. In case there is any problem in processing the DRF, contact your DP and if he

cannot resolve the problem you may contact NSDL.

Benefit:

D-mat 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 scrip’s

to be settled in D-mat mode. Although, trades up to 500

shares can be settled in physical form, physical settlement is

virtually not taking place for the apprehension of bad

delivery on

account of mismatch of signatures, forgery of signatures,

fake certificates, etc.

54

It is a safe and convenient way to hold securities compared

to holding securities in physical form..

No stamp duty is levied on transfer of securities held in D-

mat form.

Instantaneous transfer of securities enhances liquidity.

It eliminates delays, thefts, interceptions and subsequent

misuse of certificates.

Change of name, address, registration of power of attorney,

deletion of deceased's name, etc. - can be effected across

companies by one single instruction to the DP.

Each share is a market lot for the purpose of transactions -

so no odd lot problem.

Any number of securities can be transferred/delivered with one

delivery order. Therefore, paperwork and signing of multiple transfer

forms is done away with. It facilitates taking advances against

securities on low margin/low interest.

IMPORTANCE OF THE STUDY

55

The need of the study arises because of the reason that a trainee must

understand the company, its achievements and tasks, products and

services and also to collect information about its competitors, its

products and services offered. So that, after understanding and

collecting information about the organization and its competitors, a

trainee will be able to work well for the organization.

From the study I have learned very much, about the company as well

as the strategy of the customers, which helps me a lot at my working

days.

COMPANY PROFILE

56

Reliance Capital Ltd is a part of the Reliance - Anil Dhirubhai Ambani Group, and is

ranked among the 25 most valuable private companies in India. Reliance Capital is

one of India's leading and fastest growing private sector financial services companies,

and ranks among the top 3 private sector financial services and banking groups, in

terms of net worth.Reliance Capital has interests in asset management and mutual

funds, life and general insurance, private equity and proprietary investments, stock

broking, depository services, distribution of financial products, consumer finance and

other activities in financial services.

The Reliance Anil Dhirubhai Ambani Group is one of India's top 2 business houses,

and has a market capitalization of over Rs.2,90,000 crore (US$ 75 billion), net worth

in excess of Rs.55,000 crore (US$ 14 billion), cash flows of Rs. 11,000 crore (US$

2.8 billion) and net profit of Rs. 7,700 crore (US$ 1.9 billion)

RELIANCE CAPITAL COMPANY OUTLINE

57

RELIANCECAPITAL

RELIANCEMONEY

RELIANCELIFE

INSURNACE

RELIANCEGENERAL

INSURANCE

RELIANCEMUTUAL FUNDS

RELIANCEMUTUAL FUNDS

Reliance Money

Reliance Money is a group company of Reliance Capital; one of India's leading and

fastest growing private sector financial services companies, ranking among the top 3

private sector financial services and banking companies, in terms of net worth.

Reliance Capital is a part of the Reliance Anil Dhirubhai Ambani Group.

Reliance Money is a comprehensive electronic transaction platform offering a wide

range of asset classes. Its endeavour is to change the way India transacts in financial

markets and avails financial services. Reliance Money is a single window, enabling

you to access, amongst others in Equities, Equity & Commodities Derivatives, Mutual

Funds, IPOs, Life & General Insurance products, Offshore Investments, Money

Transfer, Money Changing and Credit Cards. The Reliance – Anil Dhirubhai Ambani

Group is among India’s top three private sector business houses on all major financial

parameters, with a market capitalization of Rs.325,000 crores (US$ 81 billion), net

assets in excess of Rs.115,000 crores (US$ 29 billion), and net worth to the tune of

Rs.55,000 crores (US$ 14 billion)

Reliance Money is a group company of Reliance Capital; one of India's leading and



Reliance Capital Ltd. has interests in asset management, life and general insurance,

private equity and proprietary investments, stock broking and other financial services.

Reliance Capital is one of India’s leading and fastest growing private sector financial

services companies, and ranks among the top 3 private sector financial services and

banking companies, in terms of net worth. The company has interests in asset

management and mutual funds, life and general insurance, private equity and

proprietary investments, stock broking and other activities in financial services.

58

ORGANIZATION HIERARCHY

59

RELIANCE MONEY

(Head Office Mumbai)

BHOPAL BRANCH

Cluster Head

Centre Manager

Business Development

Executives

VISION STATEMENT

To be globally respected wealth creator with an emphasis on customers care and a

culture of good corportate governance.

MISSION

To Create and nurture a world class, high performance environment aimed at

delighting our customers.

CONCEPT BEHIND Reliance Money

Reliance Money provides a comprehensive platform, offering an investment avenue

for a wide range of asset classes. Its Endeavour is to change the way India transacts in

financial markets and avails financial services.

Reliance Money offers a single window facility, enabling you to access, amongst

others. Equity, Equity and Commodity Derivatives Offshore Investments, IPO’s,

Mutual Funds, Life Insurance & General Insurance Products.

Why Reliance Money?

Reliance Money is the most cost-effective, convenient and secure way to transact in a

wide range of financial products and services.

The highlights of Reliance Money’s offering are:

Cost-effective: The fee charged by the affiliates of Reliance Money, through whom

the transactions can be placed, is among the lowest charged in the present scenario.

As an introductory offer, pay a flat fee of just Rs. 500/- valid for 2 months or

specified transactional value*.

Convenience: You have the flexibility to access Reliance Money services in multiple

ways: through the Internet, Transaction Kiosks, Call & Transact (Phone) or seek

assistance through our Business Partners.

Security: Reliance Money provides secure access through an electronic token that

flashes a unique security number every 32 seconds (and ensures that the number used

for the earlier transaction is discarded). This number works as a third level password

that keeps you account extra safe.

60

Single window for multiple products: Reliance Money, through its affiliates/partners,

facilitates transactions in Equity, Equity & Commodity Derivatives, Offshore

Investments**, Mutual Funds, IPO’s. Life Insurance and General Insurance products.

3 in 1 integrated access: Reliance Money offers integrated access to your banking,

trading and demat account. You can transact without the hassle of writing cheques.

Demat Account with Reliance Capital: Through Reliance Money, you get a hassle-

free demat account with Reliance Capital. The Annual Maintenance Charge for the

Demat Account is just Rs. 50/- per annum.

61

RELIANCE ADA GROUP

62

Reliance Money is a group company of Reliance Capital, one of India's leading and



Reliance Capital is a part of the Reliance Anil Dhirubhai Ambani Group. Reliance

Money is a comprehensive electronic transaction platform offering a wide range of

asset classes. Its endeavor is to change the way India transacts in financial markets

and avails financial services.

Reliance Money is a single window, enabling you to access, amongst others in

Equities, Equity & Commodities Derivatives, Mutual Funds, IPOs, Life & General

Insurance products, Offshore Investments, Money Transfer, Money Changing and

Credit Cards.

The Reliance Anil Dhirubhai Ambani Group is one of India's top 3 business houses,

and has a market capitalisation of over Rs.2,90,000 crore (US$ 75 billion),net worth

in excess of Rs.40,000 crore (US$ 10 billion), cash flows of Rs. 9,000 crore (US$ 2.2

billion), net profit of Rs. 5,000 crore (US$ 1.3 billion) and zero net debt.

63

RELIANCE MONEY PRODUCT OFFERING

1. Trading Portal (with almost negligible brokerage )

Equity Broking

Commodity Broking

Derivatives ( Futures & Options )

Offshore Investments (Contract For Differences)

D-Mat Account.

2. Financial Products

Mutual Funds

Life Insurance

o ULIP plan

o Term Plan

o Money Back Plan

General Insurance

oVehicle/Motor Insurance

oHealth Insurance

oHouse insurance

IPO’s

NFOs

3. Value-Added Services

Retirement Planning

Financial Planning

Tax Saving

Children Future Planning

5.Credit Cards

4. Gold coins retailing

64

Chairman's Profile:

Regarded as one of the foremost corporate leaders of contemporary India, Shri Anil

Dhirubhai Ambani is the chairman of all listed companies of the Reliance ADA

Group, namely, Reliance Communications, Reliance Capital, Reliance Energy,

Reliance Natural Resources and Reliance Power. He is also Chairman of the Board of

Governors of Dhirubhai Ambani Institute of Information and Communication

Technology, Gandhi Nagar, Gujarat. Till recently, he also held the post of Vice

Chairman and Managing Director in Reliance Industries Limited (RIL), India's largest

private sector enterprise. Anil Dhirubhai Ambani joined Reliance in 1983 as Co-Chief

Executive Officer, and was centrally involved in every aspect of the company's

management, If we look for examples to prove this quote then we can find many but

there is none like that of Reliance Money. The company which is today known as the

largest financial service provider of India.

Reliance Capital has interests in asset management and mutual funds, life and general

insurance, private equity and proprietary investments, stock broking, depository

services, distribution of financial products, consumer finance and other activities in

financial services. Reliance Mutual Fund is India's no.1 Mutual Fund. Reliance Life

Insurance is India's fastest growing life insurance company and among the top 4

private sector insurers. Reliance General Insurance is India's fastest growing general

insurance company and the top 3 private sector insurers.

66

http://images.google.co.in/imgres?imgurl=http://www.karamveer.com/wp-content/uploads/2008/06/anil-ambani.JPG&imgrefurl=http://www.karamveer.com/&usg=__eWNm0YdwRiyv2k2gojyJN34aO6E=&h=320&w=277&sz=12&hl=en&start=13&um=1&tbnid=mHpVZ26G8gdQnM:&tbnh=118&tbnw=102&prev=/images%3Fq%3Danil%2Bambani%26hl%3Den%26sa%3DN%26um%3D1

Reliance Money is the largest brokerage and distributor of financial products in India

with more than 2.5 million customers and the largest distribution network. Reliance

Consumer finance has a loan book of over Rs. 8,000 crores at the end of June 2008.

Reliance Capital has a net worth of Rs.6,862 crores (US$ 1.6 billion) and total assets

of Rs. 19,940 crores (US$ 4.6 billion) as of June 30, 2008 and over 26,000

employees. Money has increased its market share among private financial companies

to nearly Convenient & effective – Anytime & anywhere financial transaction

capability. Launched inApril 2007. It provides the Flat fees system. It has 2.2 million

customers in 1 year of official launch. It has over 5,000 outlets across 700

towns/cities. Average daily turnover – in excess of Rs 2,000 crores. Considering the

entire life market, including the Rs. 12,890 crores booked by life insurance

Corporation, Reliance life insurance market share works out to around 6.25% .The

life insurance market continuous to be dominated by LIC which has about 67% share

this only a marginal dip from its 73% share in end-July . These comparisons are only

for first year or new business premium.

67

COMPETITORS

HDFC BANK is one of the leading Depository Participant (DP) in the country with

over 8 Lakh d-mat accounts.

HDFC Bank D-mat services offers you a secure and convenient way to keep track of

your securities and investments, over a period of time, without the hassle of handling

physical documents that get mutilated or lost in transit.

HDFC BANK is Depository participant both with –

National Securities Depositories Limited (NSDL) and Central Depository Services

Limited (CDSL).

Features & Benefits

As opposed to the earlier form of dealing in physical certificates with delays in

transaction, holding and trading in D-mat form has the following benefits :

Settlement of Securities traded on the exchanges as well as off market transactions.

Shorter settlements thereby enhancing liquidity.

Pledging of Securities.

Electronic credit in public issue.

Auto Credit of Rights / Bonus / Public Issues / Dividend credit through ECS.

Auto Credit of Public Issue refunds to the bank account.

No stamp duty on transfer of securities held in d-mat form.

No concept of Market Lots.

Change of address, Signature, Dividend Mandate, registration of power of attorney,

68

http://images.google.co.in/imgres?imgurl=http://img1.moneycontrol.com/images/entitygame/big/HDFC_Standard_Life_Insurance_Co._Ltd_300.jpg&imgrefurl=http://www.moneycontrol.com/profile/others/517189&usg=__TZPikOJt6lOynUOHiK8FUd0j7es=&h=360&w=300&sz=9&hl=en&start=11&tbnid=QJ-KqSMNuCBQGM:&tbnh=121&tbnw=101&prev=/images%3Fq%3Dhdfc%2Bstandard%2Blife%2Blogo%26gbv%3D2%26hl%3Den

transmission etc. can be effected across companies held in d-mat form by a single

instruction to the Depository Participant (DP).

Holding / Transaction details through Internet / email.

Incase you need any more information or have any queries , feedback & complaints ,

you may please mail us at [email protected]

Secured & easy transaction processing

HDFC Bank Ltd provides convenient facility called 'SPEED-e' (Internet based

transaction) whereby account holder can submit delivery instructions electronically

through SPEED-e website (https://speed-e.nsdl.com). SPEED-e offers secured means

of transaction processing eliminating preparation of instruction slips and submission

of the same across the counter to the depository participant. The 'IDEAS' facility

helps in viewing the current transactions and balances (holdings) of D-mat account on

Internet on real time basis.

Disclaimer:

Whatever have been stated above are in the good interest of the Investor / D-mat

Applicants / holders to provide a brief picture about the depository system. You are

requested go through the guidelines of the depositories before taking any further

action. For detailed guidelines, you are requested to approach your nearest HDFC

Bank branch. HDFC Bank will not be responsible for any misunderstanding / act

based on the above. Also HDFC Bank might ask for additional information /

documentation than what has been stated above to process your application /

instruction.

69

ICICI DIRECT

ICICIDirect (or ICICIDirect.com) is stock trading company of ICICI Bank. Along

with stock trading and trading in derivatives in BSE and NSE, it also provides facility

to invest in IPOs, Mutual Funds and Bonds. Trading is available in BSE and NSE

ICICIDirect offers 3 different online trading platforms to its customers,

Type of Account

1. Share Trading Account

Share Trading Account by ICICIDirect is primarily for buying and selling of

stocks in BSE and NSE.

This account allows Cash Trading, Margin Trading,

Margin PLUS Trading, Spot Trading, Buy Today Sell Tomorrow and Call and Trade

on phone.

ICICIDirect.com website is the primary trading platform for this trading

account. They also provide installable application terminal based application

for high volume trader.

2. Wise Investment Account

3. Online Mutual funds investment allows investor to invest on-line in around

19 Mutual Fund companies. ICICI Direct offers various options while

investing in Mutual Funds like Purchase Mutual Fund, Redemption and

switch between different schemes, Systematic Investment plans,

Systematic withdrawal plan and transferring existing Mutual Funds in to

electronic mode. This account also provides facility to invest in

Government of India Bonds and ICICI Bank Tax Saving Bonds.

70

http://images.google.co.in/imgres?imgurl=http://myshare.in/images/logo-icici-direct.gif&imgrefurl=http://myshare.in/about.htm&usg=__ucTcbvCvQWc4yGfQwlTrhEo2XeU=&h=66&w=123&sz=3&hl=en&start=3&tbnid=C2Pb_s66GHQHUM:&tbnh=48&tbnw=89&prev=/images%3Fq%3Dicici%2Bdirect%2Blogo%26gbv%3D2%26hl%3Den

2.Active Trader account gives more personalized investment options to the

investors. It allows investor to use online and offline stock trading. It also

provides with independent market expertise and support through a

dedicated Relationship Manager from ICICI.

Active Trader also provides commodity trading.

Brokerage and fees

Account opening fees : Rs 750/- (One time non-refundable)

Brokerage : ICICIDirect.com brokerage varies on volume of trade and inclusive of

d-mat transaction charges, service taxes and courier charges for contract notes. It

ranges from 0.1% to 0.15% for margin trades, 0.2% to 0.425% for squared off

trades and 0.4% to 0.85% on delivery based trades.

Disadvantages of ICICIDirect

1. Getting access to ICICIDirect.com website during market session can be

frustrating.

.

71

RESEARCH METHODOLOGY

The approach to the research is considered in this chapter, from

the theoretical underpinning to the collection and analysis of the data.

It begins with the extent of the research to provide the specific

guidelines of studying. The next part is concerned with the method of

the research that refers to the data collection and analyzing which is

used in the research.

METHODS-

PRIMARY DATA

Date collection for this research was done primarily through

filling up of questionnaire. The sample for the research including

different individuals of various age groups and having different

professions and qualifications. Data was collected through the

interview of individuals. The questionnaire was containing questions

regarding the personal details of individuals and then some light

questions regarding their primary knowledge related to private

insurance companies. Then there were questions related to their interest

in being the Insurance Consultants of company.

SECONDARY DATA

A large amount of secondary data has been collected from secondary

sources. Some of the sources are:-

Reports on Insurance Sector of India.

Articles from Newspapers and magazines.

Various web sites of the insurance companies and related sites.

73

DATA ANALYSIS

There are some features of analyzing data that need to be borne

in mind when choosing the method for analyzing the research. The

questionnaires were prepared to explore the psychology of individuals

about being associated with as Insurance Consultants and to help the

company grow by increasing its sales. Instead of testing a hypothesis, a

qualitative analyst may demonstrate evidence showing that a theory,

generalizing, or interpretation is plausible.

SAMPLE SIZE:-

Various areas of Delhi were covered in order to fill the

questionnaire. I interacted with 100 individuals in order to know about

their interest of being Insurance Consultants..

SAMPLE COMPOSITION

Youth

Executives

Serviceman

Business persons

RESEARCH DESIGN:

A research design provides the framework to be used as a guide

in collecting and analyzing data.

Descriptive Research :

Market survey is one of the best example of descriptive research.

This is a one shot research study at a given point of time, and consists

of a sample of the population of interest. Its advantages are that it

gives a good overall picture of the position at a given time. It can cover

many variables of interest, and is not affected by the movements of

elements in the sample, because other elements can be substituted for

them.

74

DATA ANALYSIS :-

After collection of data, the analysis of it was done through

various graphs:-

Pie Diagram

Bar Diagram

Tubes

Cones

75

DATA ANALYSIS AND INTERPRETATION

Q .1 Which bank is easily available every where ?

Company Name Percentage of respondent

Reliance Money 25

ICICI 15

HDFC 10

Interpretation:- 50% have respondent of Reliance Money, 30% have respondent

of HDFC, 20% have respondent of ICICI.

77

Q.2Which banking D-mat account offered you a large no. of services?


Reliance money 25

HDFC 10

ICICI 15

INTERPRETATION : 50% have respondent of Reliance Money, 20% have

respondent of HDFC, 30% have respondent of ICICI.

78

Q.3 Which bank provide you a better email facility?


Reliance money 23

HDFC 11

ICICI 16

INTERPRETATION: 46% have respondent of Reliance Money, 22% have


79

Q.4 Which company provide a less BROKARAGE rate ?


Reliance money 21

HDFC 15

ICICI 14

INTERPRTETATION: 42% have respondent of Reliance Money, 30% have


Q. 5 Which company provide you a large number of product and services?

80


Reliance money 21

HDFC 15

ICICI 14

INTERPRETATION:- 42% have respondent of Reliance Money, 30% have


81

Represent a pie chart

Reliance45%

HDFC28%

ICICI27%

82

OBSERVATION

To study the sales and distribution management and improve the

Customer Acquisition Process by analyzing the consumer behavior,

response and mindset towards the product and services the

company offers.

50% have respondent of Reliance Money, 30% have respondent of

HDFC, 20% have respondent of ICICI.









84

\

SUGGESTION

85

The Brand image of Reliance Money is good in market but according to customer

satisfaction the company have to provide the better service.

And also change the Market strategy

In order to render the existing Mutual Funds more effective and purposeful the

following steps should be taken:

There should be comprehensive legislation to control the operations of the

Mutual Funds including the UTI. At present, Mutual Funds are subject to

guidelines laid down by the RBI, Government of India and the SEBI and some

of the guidelines are contradictories leading to confusion among the Mutual

Fund managers. Further, the guidelines governing the UTI are not the same.

It is, therefore, necessary that the Government should come out with single

set of comprehensive legislation, which will uniformly be applicable to public

sector and private sector Mutual Funds and the UTI.

So far Mutual Funds in India confined themselves to urban areas; leaving vast

saving potentials in rural hinterlands untapped. By penetrating in rural areas

and introducing saving schemes tailored to the diverse preferences of rural

community and by educating them about the benefits of the schemes, Mutual

Funds can raise burgeoning resources which can be gainfully employed for

the national development.

Investors' confidence in Mutual Funds can be restored by rendering their

operations more transparent and providing better services.

86

While it is fine to advertise good performance of a particular scheme by a fund

in order to attract more investment, the times are fast approaching when an

honest view based approach would compel a Mutual Fund to advise investors

on "sell" or "switch" between schemes, as emphatically as it would advise on

the purchase. So as to attract investors, it is, therefore, advisable to Mutual

Funds to offer this sort of counseling which will certainly make a Mutual Fund

different from other institutions.

87

LIMITATION

88

1. Low level of need..

2. Low consumer awareness

3. For consumer, features and quality are less important.

4. market is very small.

5. More complex.

6. Regional, cultural and economic barriers exist in market..

7. Poor standard of living in society.

8. Slow down in demand.

9. The time constraint was one of the major problems.

10.The study is limited to the different schemes available under the Demat account

selected.

11.The lack of information sources for the analysis part.

89

CONCLUSION

90

Reliance D-mat Account is better than other D-mat account . Reliance Money has

good return of investment. A good brand is always welcomed over here people are

aware of quality so they go for ready to spend bucks of money.

At last all con be concluded by that Reliance Money is still growing industry in India

Reliance D-mat account have less brokerage rate .

It provide a security with the use of special type of key .

91

BIBLIOGRAPHY

By the Help of Manuals

Reliance Money Report of 2008 & Internet.

By the help of Other Sources

By the head’s and the consultant of the Reliance Money.

By the Help of Newspaper & Magazines

Business World

Outlook

Business Economy

The Economic Times

By the help of Websites

1. www. IRDAIndia.org.

2. www.Reliancemoney.com

3. www.google.com

Reference books:

1. FINANCIAL INSTITUTIONS AND MARKETS - L.M.BHOLE

2.INVESTMENT MANAGEMENT - V.K.BHALL

3. RESEARCH METHODOLOGY - KOTHARI

93

http://www.Reliancemoney.com/

QUESTIONNAIRE

1. NAME : ………………….

2. AGE : ………………….

3. OCCUPATION : ………………….

4. Do you know about stock market ? YES NO

5. Do you have a basic knowledge of Demat A/C ? YES NO

6. Do you know about Reliance Demat A/C ? YES NO

7. Do you know about Demat A/C concepts? YES NO

8. Do you know about mutual Demat A/C profits ? YES NO

9. Do you compare different companies Demat A/C? YES NO

10. Have you liked investing in them ? YES NO

11. Are you satisfied with mutual Demat A/C? YES NO

95

Q .12 Which bank is easily available every were ?

Reliance Money

HDFC

ICICI

Q.13 Which banking D-mat account offered you a large no. of services?

Reliance Money

HDFC

ICICI

Q.14 Which bank provide you a better email facility?

Reliance Money

HDFC

ICICI

Q.15 Which company provide a less BROKARAGE rate ?

Reliance Money

HDFC

ICICI

Q. 16 Which company provide you a large number of product and services?

Reliance Money

HDFC

ICICI

96

Summer Training Project Report 2008-2010

Documents

Transcript of Summer Training Project Report 2008-2010