SUMMER TRAINIG REPORT

ON
MARKETING BRAND ROLE IN BUYING
BEHAVIOUR OF YOUTH
Submitted in Partial Fulfillment for the Award of Degree
MASTER IN BUSSINESS ADMNISTRATION
Corporate Guide:-
Suresh Behera
Head of Sales
Faculty Guide:-
Mr. Prakash Chandra Dash
BIMIT, Bhuanes!ar
Submitted by: - Rajendranath Behera
Regd no:-0706275024
D"C#$%$TI&'
I Sri Rajendranath Behera do hereby declare that the project report
entitled MARKETING BRAND ROLE IN BUING
BE!A"IOUR O# OUT!! being submitted to Biju Patnaik
University of Technology Rourkela is my o!n piece of !ork and it has
not been submitted to any other institute or published at any time
before"
%a(endranath Behera
%e)d 'o: - *+*,-+.*-/
I Submitted by: -
Rajendranath Behera
Regd no:-0706275024
A$KNO%LEDGEMENT
This report bears the imprint of many people. Right from the
experienced staff of Relian"e Mone#$ to the staff of Bhubane%war
In%titute of Management & Information Te"hnolog# without whose
support and guidance I would have not got the unique opportunity to
successfully complete my internship in this esteemed organization.
I take this opportunity to express my deep gratitude to all the employees
of, Relian"e Mone#$ Bhubane%war. lso I am indebted for the rich
guidance, knowledge and suggestions provided by my guide, Mr'
Pra(a%h Da% who took sincere efforts and illustrated the !arketing
"oncept of #inancial $roducts, with their vast knowledge in the field,
which helped me in carrying out my internship.
I am gratified to Prof' B'M' Da% for their earnest coordination owing
to which, I had the leg%up of undertaking the internship at the
prominent organization, Reliance !oney $vt ltd.

&ast but not least, I also thank all those people whom I met in the
industry during my internship and helped me to accomplish my
assignments in the most efficient and effective manner.
II Submitted by: -
Rajendranath Behera
Regd no:-0706275024
"0"C1TI2" S1MM$%3
The project !ork is pursued as a part of #B$ %#arketing&
'urriculum at BHUB$()S*$R I(STITUT) +, #$($-)#)(T
$(. I(,+R#$TI+( T)'H(+/+-0 Bhubanes!ar" It is undertaken
as a traineeship at Reliance #oney /td" The project is done under
e1pert supervision and guidance of Mr. Prakash Chandra Das
%/ecture in #arketing& and Mr. Suresh Behera %'enter Sales
#anager Reliance #oney&
The Project is about the study of marketing and sales of
financial products and also the efforts done to make improvements in
the customer ac2uisition process for better results"
$t %"#I$'C" M&'"3 initially the trainees !ere imparted
process and product kno!ledge" They !ere given sufficient time to
kno! about the products and also about sales and distribution
channel" They had to !ork !ith the sales representatives of the
.istributor and think of !ays of improving the sales and distribution
channel and implementing them" The main aim !as to increase sales
and for this different !ays !ere tried and implemented" They !ere
provided !ith database and had to make cold calls from the data"
'ompany activity !as also one of the major sources for generating
business" Initially they even accompanied sales representatives to the
clients place" #ain objective !as to kno! the need of the customer
and ho! to fulfill that in the best !ay"
The project dealt !ith various fields like3
4" Trading and .emat account
5" #utual funds
III Submitted by: -
Rajendranath Behera
Regd no:-0706275024
6" /ife insurance
7" -eneral insurance
Thus it gave trainees the opportunity to learn about all the
products and !ith the range of products Reliance money offered it
made the task a bit easier as !e could fulfill the need of the customer
in a better !ay"
+ur task !as divided in / phases3
4. Product kno!led)e: This included the theoretical kno!ledge about
the field and products !hich needed to be marketed"
-. Pitchin) in retail sector: This included the implementation of the
kno!ledge imparted to us and the test of our marketing skills"
Initially !e !ere accompanied by other sales e1ecutive so that !e can
learn ho! to deal !ith the customers and understand their need" This
also enhanced our interpersonal skills and confidence level"
5. I6ple6entation in retail sector and pitchin) in corporate: By
the start of this phase !e !ere confident enough about the pitching
and fulfilling the needs of the customer in the retail sector" This also
included of the !ays !e should pitch the corporate"
/. I6ple6entation at corporate le7els: This included the
implementation of the all the kno!ledge and !ays learnt for the
pitching and e1tracting business out of the corporate"
*ith the end of 8 !eeks every phase !as completed and it gave
us the real e1perience of retail as !ell as corporate !orld"
IV Submitted by: -
Rajendranath Behera
Regd no:-0706275024
C&'T"'T
'ertificate of 'ompany
,aculty -uide 'ertificate i
.eclaration ii
$ckno!ledgement iii
)1ecutive Summary iv9v

C8$PT"% 4 I'T%&D1CTI&' 4-9
4"4 I(:)ST#)(T $:)(U)S $(. $/T)R($TI:)S 4
4"4"4 (on9marketable ,inancial $ssets ;
4"4"5 )2uity Shares ;
4"4"6 Bonds 8
4"4"7 #oney #arket Instruments 8
4"4"; #utual ,unds 8
4"4"8 /ife Insurance <
4"4"< Real )state <
4"4"= Precious +bjects <
4"4"> ,inancial .erivatives <
C8$PT"% - #IT"%$T1%" %"2I": ;-44
5"4 Significance of Study 4?
5"5 +bjective of Study 44
C8$PT"% 5 C&MP$'3 P%&FI#" 4--45
6"4 PR+.U'T +,,)RI(- 46
6"4"4 Trading Portal 46
6"4"5 ,inancial Products 46
6"4"6 :alue9$dded Services 46
6"4"7 'redit 'ards 46
6"4"; -old coins retailing 46
C8$PT"% / T%$DI'G P&%T$# 4/-4;
V Submitted by: -
Rajendranath Behera
Regd no:-0706275024
7"4 .)#$T $''+U(T 47
C8$PT"% . FI'$'CI$# P%&D1CTS -*-/-
;"4 #UTU$/ ,U(.S 5?
;"4"4 +pen end versus 'losed end Schemes 54
;"4"5 'onstitution of a #utual ,und 56
;"4"6 Types of a #utual ,unds 57
;"4"7 Ho! to invest in #utual ,und 58
;"4"; (ature of Income .istribution to Investors 5=
;"4"8 .ifferent schemes of Reliance #utual fund 5>
;"5 /I,) I(SUR$(') 64
;"5"4 Ta1 Benefits of Insurance 66
;"5"5 'laims 6;
;"5"6 Plans 6<
;"6 -)()R$/ I(SUR$(') 6>
;"6"4 Types of -eneral Insurance 6>
;"7 B$SI' ,)$TUR)S 74
;"; :$/U) $..). ,)$TUR)S 74
;"8 P+/I'0 ,)$TUR)S 74
C8$PT"% , &B<"CTI2" $'D C&'C#1SI&'S /5-.4
8"4 +B@)'TI:) 76
8"5 #)TH+.+/+-0 76
8"6 S*+T $($/0SIS 78
8"7 #0 R+/) I( TH) +R-$(IS$TI+( 78
8"; /I#IT$TI+( 7=
8"8 /)$R(I(-S 7=
C8$PT"% + %"S1#TS $'D FI'DI'GS /;-.-
C8$PT"% 9 C&'C#1SI&' $'D %"C&MM"'D$TI&'S .5-./
="4 R)'+##)(.$TI+(S ;6
="5 A)0 ISSU)S $(. '+('/USI+(S ;6
$PP"'DI0 ..-.9
$"43 BU)STI+(($IR) ;;
$"53 /IST +, ,I-UR)S ;<
$"63 BIB/+-R$PH0 ;=
$"73 R),)R)(')S ;=
VI Submitted by: -
Rajendranath Behera
Regd no:-0706275024
VII Submitted by: -
Rajendranath Behera
Regd no:-0706275024
INTRODU$TION
*hether itCs retiring early saving for childrenCs education
paying off a loan or to live a secured and satisfied life everyone has
dreams they can achieve by investing their savings" Ho!ever the
2uestion that arises is that should one leave his money tucked a!ay
in the bank or plough it into the stock market !here the potential for
higher returns is greater but the chances of losing money is higherD
.eciding !here to invest depends on oneEs attitude to!ards risk
%oneEs capacity to take risk and oneEs tolerance to!ards risk& and the
investment horiFon and non9availability of guaranteed9return
investment products"
In such a scenario investing in e2uity !hich offers returns that
are higher than the inflation rate help to build !ealth and to improve
the standard of living" It is fine that stock market fluctuates over
time" $t present as far as the !orld economy is concerned it is on a
boom" $s soon as globaliFation and liberaliFation has come into act it
has !ell shaped the economy" India has turned out to be the hot
destination for the money investors and this has resulted gro!th in the
sense1 "It !as never hoped before that BS) !ill ever touch the mark
of 48??? points" But only due to the ne! economic opportunities and
the confidence of people in IndiaCs economic future it has been
successful "Investing in e2uity is the !ay to earn money and to fulfill
the dreams" The risk involved !ith investing in e2uity can be
moderated by careful stock selection and close monitoring"
I'2"STM"'T $2"'1"S $'D $#T"%'$TI2"S
Investment alternatives vary from fi1ed income to variable
income !hich includes RBI bonds government securities fi1ed
deposit e2uity investments property and so on"
In recent years the 8"; percent ta19free RBI Bonds have become
a very popular saving instrument 99 especially amongst individuals"
Till 4>>8 these bonds gave returns of 4? per cent" This came do!n to
> per cent and then = percent and then in 5??6 it !as reduced to 8";
per cent %ta1 free&" (o!adays = percent ta1able -overnment of India
bonds are also doing !ell to attract investors !ho !ant safe and
higher yield"
Ho!ever !ith inflation at nearly 7";G the return offered by
these instruments !ere still attractive" Ho!ever !ith the scrapping of
the ta19free bonds safe investment options for individuals have
become very limited and people are no! choosing to go !ith either
post office saving schemes or e2uity related instruments"
Take a look at !hat is happening" .ebt funds !hich !ere said
to be relatively risk9free are giving very less returns" #onthly
Income Plans offered by mutual funds are also not attractive as their
portfolio is made up of =? percent debt and 5? percent e2uity" *ith
debt giving very less returns and returns from e2uity becoming
stagnant the returns from #IPs are also very attractive" The returns
offered by #IPs are totally dependant upon the type of security and
debt instruments held by the fund But !ith recent rally in the stock
market very fe! people are no! going for #IPs and have a very
positive sentiment about the market and !ould like to stay !ith the
market for long" But continuously !e still have a single 2uestion in
mind3
So where %hould indi)idual% *ar( their mone# now+
'The ( per cent taxable R)I )onds seem to be one of the best options
right now looking for a safe avenues.'
The person in the 6? percent ta1 bracket the = per cent RBI
bonds !ill give returns of appro1imately ;"8 per cent" Though this is
much lo!er than the previous 8"; percent it is still a better than most
other options" If you are a senior citiFen the Senior 'itiFens Savings
scheme offering a > Percent yearly interest is a good investment
option" The scheme !as announced in the Budget 5??895??< and !as
meant for people above the age of 8?" Ho!ever this scheme has a
ma1imum deposit limit of Rs" 4; lacs !hile RBI Bonds do not have
any limit" In this case the term for deposit is five years !ith a
facility for premature !ithdra!al" The > percent returns are subject to
ta1 so if you are in the 6? percent ta1 bracket you !ill effectively
get returns of 8"6 per cent"
$nother option can be ,loating Rate Bond ,und offered by
mutual funds" Basically these funds invest in floating rate
instruments and therefore have a direct correlation to interest rates" If
interest rates go up the returns from these funds rise and returns fall
!ith a fall in interest rates" This is unlike debt funds !here there is a
reverse relationship bet!een interest rates and returns" $ rise in
interest rates results in a fall in returns" In the current scenario these
funds are likely to give returns of ; percent to ;"; percent"
The dividends are ta19free in the hands of the investor and most
importantly there is complete li2uidity" $gain there is no limit on the
amount that can be deposited" $lso there is hardly any volatility
making it a safe option" If you are !illing to take a bit of risk you
can divide your portfolio in such a !ay that 8? percent is invested in
floating rate bond funds and the remaining 7? percent in e2uity" ThatH s
like having an #IP e1cept that instead of =? percent in debt and 5?
percent in e2uity here the 8? percent is in floating rate bond funds"
Such a portfolio can give you returns of apro1" ="; G to >"; G"
The (S's and the Aisan :ikas Patras give returns of = percent
so for those in the 6? percent ta1 bracket it !orks out to ;"8 percent"
Here too there is no limit on the amount of deposit" Ho!ever here the
interest is posted only at the time of maturity" So it is not a good
option if you !ant regular returns" +n the other hand RBI Bonds
give returns every si1 months or half yearly" So depending upon
their risk profile and need for li2uidity one !ill have to decide on
their portfolio" ,or anyone belo! 6; years it is recommend that one
should invest some part of there portfolio in RBI Bonds and in (S's
A:Ps as a long term investments and the remaining in combination of
floating rate bond funds and e2uity But for those above 6; it is
advocate that one should look at nearly 7? percent in RBI Bonds
6? percent in (S's A:Ps hence giving safe and regular income"
$nd the remaining 6? per cent in floating rate bond funds and e2uity"
,or those above the age of 8? 7? percent must be put in the Senior
'itiFens Scheme %of course this is up to a ma1imum limit of Rs 4;
lakh& another 7? percent in RBI Bonds and the remaining 5? percent
in floating rate bond funds so that one has some li2uidity"$s an
investor one has a !ide array of investment avenues available to on e
Investment
Avenues
Equity S!"es N#n$
M!"%et!&'e
Fin!n(i!'
'on-6arketale Financial $ssets 9 $ good portion of financial
assets is represented by non9marketable financial assets" These can be
classified into the follo!ing broad categories3
Bank deposits
Post office deposits
'ompany deposits
Provident fund deposits
"=uity Shares 9 )2uity shares represent o!nership capital" $s an
e2uity shareholder you have an o!nership stake in the company" This
essentially means that you have a residual interest in income and
!ealth" Perhaps the most romantic among various investment
avenues e2uity shares are classified into the follo!ing broad
categories by stock market analysts3
Blue chip shares
-ro!th shares
Income shares
'yclical shares
Fi)4.4 In7est6ent $lternati7es
B#n)s
M#ney
M!"%et
Inst"uments
Mutu!'
Fun)
Li*e Insu"!n(e
P#'i(ies
Re!' Est!te
P"e(i#us
O&+e(ts
Fin!n(i!'
De"iv!tives
Speculative shares
Bonds 9 Bonds or debentures represent long9term debt instruments"
The issuer of a bond promises to pay a stipulated steam of cash flo!"
Bonds may be classified into the follo!ing categories3
-overnment securities
-overnment of India relief bonds
-overnment agency securities
PSU bonds
.ebentures of private sector companies
Preference shares
Money Market Instru6ents 9 .ebt instruments !hich have a
maturity of less than one year at the time of issue are called money
market instruments" The important money market instruments are3
Treasury bills
'ommercial paper
'ertificates of deposits
Mutual Funds 9 Instead of directly buying e2uity shares andIor fi1ed
income instruments you can participate in various schemes floated by
mutual funds !hich in turn invest in e2uity shares and fi1ed income
securities" There are three broad types of mutual fund schemes3
)2uity schemes
.ebt schemes
Balanced schemes
#i>e Insurance 9 In a broad sense life insurance may be vie!ed as an
investment" Insurance premiums represent the sacrifice and the
assured sum the benefit" The important types of insurance policies in
India are3
)ndo!ment assurance policy
#oney back policy
*hole life policy
Term assurance policy
%eal "state 9 ,or the bulk of the investors the most important asset in
their portfolio is a residential house" In addition to a residential
house the more affluent investors are likely to be interested in the
follo!ing types of real estate3
$gricultural land
Semi9urban land
Time share in a holiday resort
Precious &(ects 9 Precious objects are items that are generally small
in siFe but highly valuable in monetary terms" Some important
precious objects are3
-old and silver
Precious stones
$rt objects
Financial Deri7ati7es 9 $ financial derivative is an instrument !hose
value is derived from the value of an underlying asset" It may be
vie!ed as a side bet on the asset" The most important financial
derivatives from the point of vie! of investors are3
+ptions
,utures
Since every individual !ould like to earn return on their
investment but !here to invest has al!ays been a problem" There has
al!ays been a confusion as to !hich instrument to invest !hich
instrument !ill give me higher returns etc" )ven no! nuclear
families are in and so are longer life spans" )ven inflation is
increasing and so do the standard of life medical costs and other
things" In such a scenario one need to think as to ho! he !ill take
care of all his future needs and build up a corpus that !ill not only
take care of routine e1penses but also provide for e1tra costs
especially of health care" +ne need to have a corpus of funds post9
retirement !hich !ill give him close to 4??G of the salary to
preserve the lifestyle he has gro!n to enjoy"
LITERATURE SUR"E
$ccording to the *ebsterCs dictionary literature is Jthe !ritings
that pertain to a particular branch of learning and printed matterK"
$nd revie! means Jto e1amine again to study carefullyK"
Therefore literature revie! is the printed matter !hich !e study
very carefully during our !ork" This project is also a collection of
insight into the different printed material"
$s this project is specifically related to sales of financial
products hence books on investments is one of the study materials"
The insurance institute of India has published books !hich give
an insight into the life insurance products and general insurance
products"
The main source of data through !hich this project has taken its
shape is the circulars of S)BI and IR.$" These circulars give
description of e1isting market"
The kno!ledge about the marketing principles is gained from
the book Jprinciples of marketingK !ritten by Philip Aotler"
'hapter Jpositioning and marketing of servicesK of the Jservice
management and operationsK published by prentice hall international
editions gives us the outline of marketing of services"
'hapter JBuilding 'ustomer Satisfaction :alue and RetentionK
of J#arketing #anagementK !ritten by Philip Aotler" Purpose of this
book is to provide background needed to understand the basics of
forming strong customer bonds and customer relationship
management"
'hapter on distribution channels in the book Jmarketing
channelsK !ritten by /ouis *"stern L add I")"I $nsary" Purpose of
this book is to provide the detailed kno!ledge about !hat is
distribution channel its importance L role in marketing"
'hapter JThe concept and role of mutual fundsK of the $#,I
mutual fund testing programme by association of mutual funds in
India" This book provide concept of mutual funds"
The article Jmanaging your .emat accountK published in the
#I(T dated @une 4= 5??< page 45 give kno!ledge about .emat
account"
/ast but not the least the practical e1periences of reliance
money has given the best ever e1posure on the actually market !orks
in financial products and services"
SIG'IFIC$'C" &F ST1D3
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 organiFation and its competitors a
trainee !ill be able to !ork !ell for the organiFation"
$OM&AN &RO#ILE
%eliance Money is promoted by Reliance 'apitalM one of IndiaH s
leading and fastest gro!ing private sector financial services
companies ranking among the top 6 private sector financial services
and banking companies in terms of net !orth" Reliance 'apital is a
part of the Reliance $nil .hirubhai $mbani -roup"
Thus Reliance #oney provides a comprehensive platform
offering an investment avenue for a !ide range of asset classes" Its
endeavor is to change the !ay India transacts in financial market and
avails financial services" Reliance #oney offers a single !indo!
facility enabling you to access amongst others )2uities )2uity and
'ommodity derivatives +ffshore Investments IP+Cs #utual ,unds
/ife Insurance and -eneral Insurance products"
$d7anta)es offered by Reliance money over other companies3
'ost )ffective
'onvenience
Security
Single *indo! for #ultiple Products
6 in 4 Integrated $ccess
.emat $ccount !ith Reliance 'apital
+ther Services like research live ne!s from Reuter and .o!
@ones etc"
P%&D1CT &FF"%I'G
4. Tradin) Portal %!ith almost negligible brokerage &
)2uity Broking
'ommodity Broking
.erivatives % ,utures L +ptions &
+ffshore Investments %'ontract ,or .ifferences&
.9#at $ccount"
-. Financial Products
#utual ,unds
/ife Insurance
o *&I$ plan
o Term $lan
o !oney )ack $lan
-eneral Insurance
o +ehicle,!otor Insurance
o -ealth Insurance
o -ouse insurance
IP+Cs
(,+s
5. 2alue-$dded Ser7ices
Retirement Planning
,inancial Planning
Ta1 Saving
'hildren ,uture Planning
/. Credit Cards
.. Gold coins retailin)
TRADING &ORTAL
+nline trading refers to buying and selling of the
sharesIstocksIcontractsIbonds !ith the use of internet" In this shares
are not issued in physical form rather they are transferred in the
dematerialiFed form in the .emat account directly"
D"M$T $CC&1'T
In India a De6at account the abbreviation for de6ateriali?ed
account is a type of banking account !hich dematerialiFes paper9
based physical stock shares" The dematerialiFed account is used to
avoid holding physical shares3 the shares are bought and sold through
a broker" This account is popular in India" The Securities and
"@chan)e Board o> India AS"BIB mandates a .emat account for
share trading above ;?? shares" $s of $pril 5??8 it became
mandatory that any person holding a .emat account should posses a
Permanent $ccount (umber %P$(& and the deadline for submission
of P$( details to the depository lapsed on @anuary 5??<"
%hat are the bene't( )* )+enin, a Demat a--)unt.
.emat account has become a necessity for all categories of investors
for the follo!ing reasonsI benefits3
S)BI has made it compulsory for trades in almost all scripCs
to be settled in .emat mode" $lthough trades up to ;??
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"
It is a safe and convenient !ay to hold securities compared to
holding securities in physical form""
(o stamp duty is levied on transfer of securities held in
.emat form"
Instantaneous transfer of securities enhances li2uidity"
It eliminates delays thefts interceptions and subse2uent
misuse of certificates"
'hange of name address registration of po!er of attorney
deletion of deceasedH s name etc" 9 can be effected across
companies by one single instruction to the .P"
)ach share is a market lot for the purpose of transactions 9 so
no odd lot problem"
$ny number of securities can be transferredIdelivered !ith one
delivery order" Therefore paper!ork and signing of multiple transfer
forms is done a!ay !ith" It facilitates taking advances against
securities on lo! marginIlo! interest"


D"M$T $CC&1'T
Te"e !"e m!ny &"#%in, #uses )#in, &usiness in
In)i! !n) tey (!",e ! &"#%e"!,e #n eve"y t"!ns!(ti#n
m!)e #n'ine #" #-ine. /Buyin, !n) Se''in, !"e t"e!te) !s
se0!"!te t"!ns!(ti#n1. Re'i!n(e M#ney2s !)v!nt!,e #ve"
#te"s is t!t it2s (!",in, te '#3est &"#%e"!,e in te
m!"%et 3i( is +ust 4 0!is! #n eve"y e5e(utive t"!)e
i""es0e(tive #* te v#'ume t"!)e). Re'i!n(e M#ney6 te
&"#%e"!,e !n) )ist"i&uti#n !"m #* Re'i!n(e ADA G"#u06
!ims t# t!0 invest#"s in te sm!''e" t#3ns !n) (ities
t"#u, ! 7!t *ee st"u(tu"e. Te (u""ent 'e!)e"s in te
"et!i' &"#%in, se,ment 'i%e I8I8I Di"e(t6 In)i! In*#'ine !n)
In)i!&u''s #9e" ! :0!y 0e" use2 m#)e' 3e"e te (ust#me"
0!ys ! 0e"(ent!,e #* te !m#unt t"!ns!(te) &y im.
Re'i!n(e M#ney2s &"#%e"!,e "!tes !"e quite (#m0etitive.
The ne! !onder is Reliance #oneyH s pre9paid card for stock
market brokerage" Reliance #oney the financial services division of
$nil .hirubhai $mbani -roup9promoted Reliance 'apital is bringing
to the market pre9paid cards in denominations of Rs;?? Rs46;? and
Rs5;?? !ith validity period of t!o months si1 months and t!elve
months respectively"
These cards !ould offer brokerage at one9third of the rate being
charged by institutional and individual brokerage houses" Sample this"
,or a pre9paid card !orth Rs;?? an investor can trade up to Rs>?
lakh in futures and option segment or can undertake intra9day trade of
similar amount" Besides an investor can undertake a delivery9based
activity of Rs4? lakh"
The Rs46;? !orth pre9paid card total trading limit !ould reach
Rs 6 crore of !hich Rs 5"<? crore is for the ,L+ segment and
balance Rs6? lakh for delivery9based activities"
,or Rs5;?? pre9paid card total trading limit is fi1ed at Rs48
crore that include ,L+ limit of Rs4;"7? crore and balance Rs 8? lakh
for delivery9based broking"

/S#u"(e ;e&1
Fi). /. 4 Fee Structure
'onverted to percentage terms 9 Reliance #oney offers most
competitive brokerage rates 9 ?"?;G for delivery trades and ?"??;G
for non9delivery trades %fi1ed fee of Rs;??I9 for delivery trades up to
Rs4? lacs andIor non9delivery trades up to Rs4 crore&" Industry rates
vary bet!een ?"7G to ?"=;G for delivery trades and bet!een ?"?;G
and ?"4?G for non delivery trades"
Target lo! level of retail penetration in India 9 less than 6 per
cent of household financing savings makes it into e2uity markets
Reliance #oney consumers can trade in e2uities commodities
and offshore Investments IP+Cs #utual ,unds Insurance #oney
transfer and #oney 'hanging 9 all through single !indo! both off9
line and online"
Reliance #oney has already tied9up !ith '#' 'apital Plc UA
to offer offshore Investment products to Indian consumers as per
guidelines"
8o! reliance 6oney scored o7er othersC
4" Two wa# authenti"ation: Reliance offers its customers !ith a
token %an electronic gadget& that generates a pass!ord !hich are
a third level of security in addition to the customer log in and a
pass!ord provided" The pass!ord generated by the token is valid
only for a period of 5? seconds" If the !eb page e1pires for the
fresh login a ne! pass!ord generated by the token has to be
keyed in by the customer"
5" ,owe%t bro(erage: Reliance offers the lo!est brokerage of 4
paisa !hich is very less !ith respect to the other .Ps in the
market"
6" U%er friendl# %oftware: The portal offered is very easy to
understand and use"
7" Fore- and off%hore in)e%tment : Reliance provides the offshore
facility !hich no other $#' is providing in the market"
;" Better re%ear"h and new%: Reliance offers ne!s from the .+*
@+()S and R)UT)RS"
Seeking to bring share trading closer to consumers just like
$T#s Reliance 'apitalH s stock brokerage arm Reliance
#oney launched Internet trading services through !eb9enabled retail
kiosks"
%Source3 *eb&
#onday $pri l 48 5??<
%eliance Money launches Internet tradin) throu)h kiosks
()* .)/HI3 Seeki ng t o bri ng share t radi ng cl oser t o consumers j ust l i ke $T#s
Rel i ance 'api t al H s st ock brokerage arm Rel i ance #oney on #onday l aunched
Int ernet t radi ng servi ces t hrough *eb9 enabl ed ret ai l ki osks"
Becomi ng t he fi rst Indi an company t o provi de share t radi ng t hrough *eb9 enabl ed
ret ai l ki osks $ni l .hi rubhai $mbani -roup fi r m sai d i t pl ans t o depl oy 4? ???
such ki osks across t he count r y for !hi ch i t i s al so t al ki ng t o vari ous ret ai l chai ns"
NThese Int ernet enabl ed ki osks !i l l provi de t he users anyt i me9 any!here access t o
Rel i ance #oneyH s fi nanci al t ransact i on port al t hrough !hi ch t hey can i nvest i n
vari ous fi nanci al i nst rument s i n a secure envi ronment N #r" Sudi p Bandyopadhyay
')+ Rel i ance #oney sai d"
In i t s fi rst phase t he ki osks !oul d be operat i onal at t he ret ai l out l et s of Rel i ance
#oney !hi ch had commenced operat i ons l ast !eek across <?? ci t i es" The ki osks at
vari ous ret ai l chai ns !oul d be l aunched i n t he subse2uent phases"
The company has t i ed up !i t h *incor (i 1dorf a l eadi ng gl obal provi der of ret ai l
banki ng IT sol ut i on !i t h net revenues of O4" 7 bi l l i on and presence i n >? count ri es
for t hese ki osks"
*incor9(i 1dorfH s $P$' Ret ai l Head #r" $ndre! Phay sai d N*e see great
pot ent i al for our product s i n t he count r y o!i ng t o t he ret ai l boom and !i l l cont i nue
t o i nt roduce l at est product s for our cust omers here" N
The company sai d t hi s !oul d be bi ggest ever depl oyment of Int ernet enabl ed ret ai l
ki osks by any company across t he !orl d" 9 PTI
#INAN$IAL &RODU$TS
$ mutual fund represents a vehicle for collective investment"
*hen you participate in a scheme of a mutual fund you become a
part9o!ner of the investments held under that scheme" The most
important characteristic of a mutual fund is that the contributors and
the beneficiaries of the fund are the same class of people namely the
investors" The term J#UTU$/K means that investors contribute to the
pool and also benefit from the pool"
The money held in the trust is divided into shares of e2ual value
called JU(ITSK" Investors become Junit9holdersK and are allocated
units based on the amount of their investment" The income earned
through these investments and the capital appreciation realiFed is
shared by its unit holders in proportion to the number of units o!ned
by them"
Investments in securities are spread across a !ide cross9section
of industries and sectors and thus the risk is reduced" .iversification
reduces the risk because all stocks may not move in the same
direction in the same proportion at the same time" #utual fund issues
units to the investors in accordance !ith 2uantum of money invested
by them" Investors of mutual funds are kno!n as unit holders"
Thus a mutual fund is the most suitable investment for the
common man as it offers an opportunity to invest in a diversified
professionally managed basket of securities at a relatively lo! cost"
Fi ). .. 4 Concept o> 6utual >und
The shift in investor preference to!ards mutual funds has been
facilitated by3
,iscal incentives
Increasing returns from debt mutual fund investments in the last
fe! years due to the secular decline in interest rates
The gro!ing number of choices available to investors
The gradual change in the investorsC risks profile and returns"
&pen end 7ersus Closed end Sche6es
There are t!o different types of funds"
+pen9ended ,undI Scheme
'losed9ended fundI Scheme
The key differences bet!een the closed9end and open9end schemes
area as follo!s39
The subscription to a closed9end scheme is kept open only for a
limited period %usually one month to three months&" *here an open9
end scheme accepts funds from investors by offering its units or
shares on a continuing basis"
$ closed9end scheme does not allo! investors to !ithdra! funds
as and !hen they like !hereas an open9end scheme permits investors
to !ithdra! funds on a continuing basis under a re9purchase
arrangement"
$ closed9end scheme has a fi1ed maturity period %usually five to
fifteen years& !hereas an open9end scheme has no maturity period"
The closed9end schemes are listed on the secondary market
!hereas the open9end schemes are ordinarily not list"
In India three entities are central to a mutual fund operation3
The sponsor
The mutual fund
The asset management company"
The sponsor is the key !ho establishes the mutual fund and the
asset #anagement 'ompany" ,or e1ample Templeton International
%sponsor& set up the Templeton #utual ,und !hich has been
constituted as a trust under the Indian Trusts $ct 4==5 and registered
!ith S)BI" The mutual fund is in a !ay an umbrella organiFation
that floats various schemes in !hich investors participate" The asset
management company organiFed as a separate joint Stock company
manages the funds of mutual fund under its various schemes" ,or
e1ample Templeton $sset #anagement %India& Pvt" /td" the asset
management company set up by Templeton International manages the
various schemes of Templeton #utual ,und"
:hy one should in7est in 6utual >undsC
#utual funds are preferable mode of investment due to the follo!ing
reasons3
Reduction of risk
Professional #anagement
Ta1 benefits
/o! transaction costs
Highly regulated
/i2uidity
)asy to administer
:hy one should not in7est in 6utual >undsC
The follo!ing are the reasons !hich are deterrent to mutual fund
investment3
(o control over costs
(o tailor made portfolios
#anaging a portfolio of funds
Constitution o> a Mutual Fund
There are a number of bodies that form a part of the mutual fund they
are as follo!s3
Sponsors
The sponsor is the company !hich sets up the mutual fund" It means
anybody corporate acting alone or in combination !ith another body
corporate established a mutual fund after initiating and completing
the formalities"
Trustees
The management of the mutual fund is subject to the control of the
board of trustees of the fund" They guide the operations of the fund
and carry the crucial responsibility to see that $#' al!ays act in the
best interest of the investors"
$sset Mana)e6ent Co6pany
The mutual fund is operated by a separately established asset
management company %$#'&"It manages the funds of the various
schemes" It is entrusted !ith the specific task of mobiliFing funds
under the scheme"
Custodian
$ custodian is a person carrying on the activities of the safekeeping
of the securities or participating in any clearing system on behalf of
the clients to effect deliveries of the securities"
Types o> Mutual Funds
There are different !ays of classifying mutual funds3
$n "D1IT3 F1'D invests mainly in stocks and shares of
companies" )BUIT0 ,U(.S typically aim to generate long term
gro!th in the unit capital" There are a variety of !ays in !hich
an e2uity portfolio can be created for investors" There are thus
the follo!ing choices in e2uity funds3
o Simple e2uity funds
o Industry Specific funds
o Inde1 funds
o )/SS
Target mar(et.
They are ideal for investors having a long term perspective
Speculative outlook9 the e2uity cult !ho !ould like to make gains in
the shortest period of time and investors in their prime earning years9
specifically the young !ho have a decent earning and can take some
kind of risk"
$ D"BT F1'D invests mainly in debt instruments like bonds
and debentures !ith high and consistent dividend payout" These
funds give decent returns but the capital appreciation is not
much" There are a variety of !ays in !hich a debt portfolio can
be created for investors" There are thus the follo!ing choices in
debt funds3
o /i2uid and #oney market funds
o -ilt ,unds
o #onthly Income Plan
o ,loating rate funds
Target mar(et.
o Retired people and others !ith a need for stability and regular
income"
o Investors !ho need some income to supplement their earnings"
$ B$#$'C"D F1'D invests in both e2uity and debt
instruments" It aims to generate gro!th and income by
periodically distributing its assets over both types of securities "
Target mar(et.
These ideal for investors looking for a combination of income and
moderate gro!th"
8o! to in7est in 6utual >undsC
The follo!ing are the essential steps !hich one must take into
account !hile investing in #utual funds39
Ste* /0 Identif# the in)e%tment need%
,inancial goals of an individual !ill vary based on hisIher age
lifestyle financial independence family commitments level of
income and e1penses among many other factors" Therefore the first
step is to assess oneCs needs !hich can be done by asking oneself
these 2uestions3
B4"*hat is my investment objectives and needsD
B5"Ho! much risk I am !illing to takeD
B6"*hat is my cash flo! re2uirementsD
By going through such an e1ercise one !ill kno! !hat one !ants out
of his investment and can set the foundation for a sound mutual
fund investment strategy"
Step --Choose the ri)ht 6utual >und
+nce an individual has a clear strategy in mind he no! has to choose
!hich mutual fund and scheme he !ants to invest in" The offer
document of the scheme tells its objectives and provides
supplementary detail like the track record of other schemes managed
by the same fund manager" Some factors to evaluate before choosing a
particular mutual fund are3
The track record of the performance over the past fe! years
in relation to appropriate yardstick and similar funds in the same
category"
Ho! !ell the fund is organiFed to provide efficient prompt and
personaliFed service"
.egree of transparency as reflected in fre2uency and 2uality of
their communications"
Ste* 10Sele"t the ideal mi- of %"heme%'
Investing in one mutual fund may not meet all the investment needs"
+ne may consider investing in a combination of schemes to achieve
the specific goals"
Ste* 20 In)e%t regularl#
,or most of us the approach that !orks best is to invest a fi1ed
amount at specific intervals say every month" By investing a fi1ed
sum each month one buys fe!er units !hen the price is higher and
more units !hen the price is lo! thus bringing do!n the average cost
per unit" This is called Rupee cost averaging and is a disciplined
investment strategy follo!ed by investors all over the !orld"
Ste* 304ee* the ta-e% in mind
If an individual comes under the high ta1 bracket and has utiliFed
fully the e1emptions under Section =?/ of the income ta1 act
investing in mutual funds !ill improve his return"
Ste* 50Start earl#
It is desirable to start investing early and stick to a regular
investment plan" If one starts no! "he !ill make more than if he !aits
and invests later" The po!er of compounding lets one earn income on
income and oneCs money multiplies at a compounded rate of return"
Ste* 60The final Ste*
$ll one needs to do no! is to get in touch !ith a mutual fund or oneCs
agent and start investing" Reap the benefits in the years to come"
#utual funds are suitable for ever kind of investor9!hether starting a
career or retiring conservative or risk taking gro!th oriented or
income seeking"
'ature o> Inco6e Distriution to In7estors
$t a broad level the investors have three options3
.I+I./0. $1 2*T 2$TI20
In this option investors receive dividends from the mutual fund as
and !hen such dividends are declared" .ividends are paid in the form
of !arrants or are directly credited to the investorCs bank accounts"
3R24T- 2$TI20
Investors !ho do not re2uire periodic income distributions can choose
the gro!th option !here the incomes earned are retained in the
investment portfolio and allo!ed to gro! rather than being
distributed to the investors"
R/%I0+/5T!/0T 2$TI20
In this option investors re invest the dividends that are declared by
the mutual fund back into the fund itself at ($: that is prevalent at
the time of reinvestment "In this option the number of units held by
the investor !ill change !ith every reinvestment" The value of the
units !ill be similar to that under the dividend option"
Di>>erent sche6es o> %eliance Mutual >und
The different schemes offered to various kinds of investors by
Reliance mutual fund can be broadly classified into three categories P
)2uity .ebt and sector specific" )ach of these categories has
different investment objectives and therefore has different portfolio"
/quity 5chemes
Reliance -ro!th ,und
Reliance :ision ,und
Reliance (RI )2uity ,und
Reliance )2uity +pportunities ,und
Reliance Inde1 ,und
Reliance Ta1 Saver ,und
Reliance )2uity ,und
.ebt 5chemes
Reliance Income ,und
Reliance #edium Term ,und
Reliance Short Term ,und
Reliance /i2uid ,und
Reliance #onthly Income Plan
Reliance -ilt Securities ,und
Reliance ,loating Rate ,und
Reliance (RI Income ,und
5ector 5pecific 5chemes
Reliance Banking ,und
Reliance Pharma ,und
Reliance #edia and )ntertainment ,und
Reliance .iversified Po!er Sector ,und
$s I !as more involved in the understanding and promotion of the
(,+ of Reliance )2uity ,und during the initial part of my training" I
!ould like to summariFe it in brief"
%eliance "=uity Fund
The Reliance )2uity ,und is an open ended diversified e2uity
fund that seeks to provide long term capital appreciation by investing
in a portfolio constituted of e2uity and e2uity related securities of top
4?? companies by market capitaliFation and of companies that are
available in derivatives segment belonging to diverse sectors"
The investment strategy being that even if the markets go do!n
the fund has a part of its portfolio hedged !hich aims at minimiFing
the do!nside risk" The fund !ill not only use hedging techni2ues to
limit the do!nside risk but !ill also try L capitaliFe on short selling
opportunities to generate additional returns for the investors" The
fund !ill invest <;94??G in e2uity and e2uity related instruments and
?95;G in debt and money market securities" In a nut shell !hat this
fund tries to do3
-enerate long term returns by investing in a diversified
portfolio of stocks"
#inimiFe the do!nside risk by being in a hedged position
'apitaliFe on generating additional returns by selective shorting"
'Insurance is a contract between two parties whereby one party
called insurer undertakes in exchange for a fixed sum called
premiums, to pay the other party called insured a fixed amount of
money on the happening of a certain event.'
Reliance /ife Insurance is an associate company of Reliance
'apital /td" !hich along !ith its associates has ac2uired 4??G
shares in $#P Sanmar /ife Insurance 'o /td" Reliance /ife
Insurance has a pan presence and a range of products catering to
individual as !ell as corporate needs" $ total of 48 products covering
savings protection L investment re2uirements"
2ision3 /mpowering everyone live their dreams
Mission3 'reate unmatched value for everyone through dependable
effective transparent and profitable life insurance and pension plans
-uiding Principles
'ustomer 'are and Satisfaction
'orporate -overnance
'reativity and Innovation
'ompetitiveness
0//. #2R &I#/ I05*R0"/
Protection of the interest of the faculty of the loss of income due
to death of the bread!inner"
Provision for the education L marriage of children"
Post retirement income for self L dependents"
Special needs like loss of income due to disabilities accidents
treatment of diseases sickness etc"
To protect against inflation"
:ho Can Buy $ PolicyC
$ny person !ho has attained majority and is eligible to enter
into a valid contract can insure himselfIherself and those in !hom
heIshe has insurable interest" Policies can also be taken subject to
certain conditions on the life of oneH s spouse or children" *hile
under!riting proposals certain factors such as the policyholderCs
state of health the proponentH s income and other relevant factors are
considered by the 'orporation"
Insurance >or :o6en
Prior to nationaliFation %4>;8& many private insurance
companies !ould offer insurance to female lives !ith some e1tra
premium or on restrictive conditions" Ho!ever after nationaliFation
of life insurance the terms under !hich life insurance is granted to
female lives have been revie!ed from time9to9time" $t present
!omen !ho !ork and earn an income are treated at par !ith men" In
other cases a restrictive clause is imposed only if the age of the
female is up to 6? years and if she does not have an income attracting
Income Ta1"
Medical and 'on-Medical Sche6es
/ife insurance is normally offered after a medical e1amination
of the life to be assured" Ho!ever to facilitate greater spread of
insurance and also to avoid inconvenience 'ompanies has been
e1tending insurance cover !ithout any medical e1amination subject
to certain conditions"
7ith Profit and 7ithout Profit Plan%
$n insurance policy can be H !ithH or H !ithoutH profit" In the
former bonuses disclosed if any after periodical valuations are
allotted to the policy and are payable along !ith the contracted
amount" In H !ithoutH profit plan the contracted amount is paid !ithout
any addition" The premium rate charged for a H !ithH profit policy is
therefore higher than for a H !ithoutH profit policy"
4e#man In%uran"e
Aeyman insurance is taken by a business firm on the life of key
employee%s& to protect the firm against financial losses !hich may
occur due to the premature demise of the Aeyman"
Ta@ Bene>its o> Insurance
The ta1 breaks that are available under our various insurance and
pension policies are described belo!3
/ife insurance plans are eligible for deduction under Sec" =?'"
Pension plans are eligible for a deduction under Sec" =?'''"
Health insurance plansIriders are eligible for deduction under
Sec" =?."
The proceeds or !ithdra!als of our life insurance policies are
e1empt under Sec 4?%4?.& subject to norms prescribed in that
section"
1nit #inked Insurance Plan
U/IPs have been selling like proverbial Qhot cakesC in the recent
past and they are likely to continue to outsell their plain vanilla
counterparts going ahead" )arlier there !ere a gamut of traditional
products for instance )ndo!ment PlansM #oney back plans etc then
came the concept of Unit /ink Insurance Plans !hich today has
caught the fancy of many people"
Unit /ink plans !ork like a combination of #utual ,unds and
/ife Insurance just like in #utual ,unds the Investment here is also
broken up into units based on the current ($: these products are
termed as Unit /inked plans because the Investment is broken up into
units"
,or instance if you !ere to invest Rs4???? it !ould be broken into 6
components3
8harge%- These are charges that the Insurance 'ompany deducts
from your premium a major chunk of charges goes into paying
commission to the $gent for sourcing the business"
Mortalit#0 /xpense9 #ortality e1penses are not as high as agent
commissionM they appro1imately tend to be around Rs4??I/akh
for a 6? yr old man" In case of a death claim of 4 lakh the
insurance company can make this claim !ith a mere Rs4??
deducted from you no! this is made possible because mortality
charge is deducted from every customer !ho has invested in the
plan" In this manner the Insurance 'ompany collects a
substantial portion and not every person dies at the same time
leading to only a fe! claims in a single year"
In)e%tmentE $fter the above 5 deductions the balance is
invested on behalf of the customers so in reality if the current
($: is 4? and a customer has paid a premium of 4???? then
allotment of units !ould be 4???? P %charges R #ortality
e1pense& current ($: " The same process is repeated in the
follo!ing years !hen premiums are paid ho!ever in the
follo!ing years the charges tend to be lo!er as insurance charge
lesser after the 4
s t
year" #ortality 'ost ho!ever goes up !ith
age but does not increase substantially for a younger person in
his 5?Cs or 6?Cs as a result of !hich the money allotted to!ards
Investment goes up"
Unit /ink plans give the fle1ibility to !ithdra! your investments
earlier than Traditional Plans but !ithdra!als can decrease the
Insurance cover you have opted for" The other thing to keep in mind is
the ta1 implication of making early !ithdra!als from the returns
point of vie! Unit link plans give you a chance of choosing your o!n
Investment +ptions !hich could be .ebt )2uity or Balanced
%combination or both& !hereas traditional plans have primarily
invested in debt instruments like -ovt" Bonds !here the security is
ensured but returns may not be very high"
Unit link plans also give a greater amount of fle1ibility in terms of
your policy not lapsing if premium in a year or t!o is not paid" The
other interesting option that these plans offer is the choice to decide
your o!n Insurance cover in the beginning" ,le1ibility !ise Unit /ink
plans definitely score over traditional plansM even they tend to be
more transparent"
Clai6s
In case of 'ritical illness Total and permanent disability or
.eath claim please log the claim and submit listed documents either
directly to the 'laims department 'hennai or at any of the nearest
branch"
Register the 'laim under3
.eath
'ritical Illness
.isability
Sur7i7al or Maturity Bene>its
Survi val Benefi ts: Survival benefits are those payments !hich
are paid during the term of the policy" The fre2uency of payment may
vary from product to product"
Maturi ty Benefi ts: Payment made at end of the policy term as
sho!n in policy documents"
D)-ument( re/uired *)r death -0aim
'laim form $3 This form need to be filled by the nominee or
claimant
'laim form B 9 'ertificate of last illness to be filled signed and
stamped by the doctor in attendance during the last illness of the
deceased life assured"
+riginal Policy .ocuments
+riginal death certificate by .eath and Birth Registrar
.eath certificate by the doctor confirming cause of death
(ominees photo identification card copy attested by Insurance
company official"
$ll hospital reports if hospitaliFed during the last sickness
Post #ortem Report and :iscera report if performed
In -a(e )* a--ident )r (ui-ide
,irst Information Report and final Police Investigation Report
Panchnama IIn2uest report
(e!s paper report on the accident !ith photographs if available
Docu6ents re=uired >or Total F per6anent disaility clai6
'laim forms %$ L B&
$ll hospital reports %certificate of diagnosis attended physician
report discharge summary first consultation notes etc&
+riginal policy document
,IR and Police Investigation Report
(e!s paper report on the accident
Panchanama or In2uest Report
P#$'S
Indi7idual Plans
Product 'a6e Descri pti on
Re0ian-e
Aut)mati-
In1e(tment
&0an
$ smart pl an !hi ch adapt s t o your changi ng ri sk profi l e !i t h
i ncreasi ng age"
Re0ian-e
M)ney
Guarantee
&0an
Under t hi s pl an t he i nvest ment ri sk i n t he i nvest ment port fol i o i s
borne by t he pol i cyhol der"
%el i ance
"ndo!6ent Pl an
Thi s pl an !i l l keep you fi nanci al l y prepared for al l t he speci al
occasi ons i n your l i fe"
Re0ian-e
S+e-ia0
End)2ment
&0an
Thi s i nsurance pol i cy i s desi gned for peopl e !ho !i sh t o combi ne
savi ngs !i t h e1t ended securi t y"
Re0ian-e
$a(h #0)2
&0an
Thi s i nsurance pol i cy i s desi gned for t hose !ho have a recurri ng
need for rei nvest ment i n busi ness or l ook for short 9t erm i nvest ment
channel s"
Re0ian-e
$hi0d &0an
Thi s i nsurance pol i cy i s desi gned for peopl e !ho !i sh t o save
money for a fut ure t i me"
Re0ian-e
Term &0an
Thi s i nsurance pol i cy i s desi gned for t hose !ho onl y !ant l i fe
cover for t he prot ect i on of t hei r fami l y and do not !i sh t o save for
t hemsel ves"
Re0ian-e
%h)0e Li*e
&0an
Thi s i nsurance pol i cy i s desi gned for peopl e !ho do not !i sh t o
avai l of any benefi t s t hemsel ves but !i sh t o creat e an i mmedi at e
est at e t o prot ect t hei r fami l y by avai l i ng of i nsurance cover on t hei r
l i fe at a ver y l o! cost "
Re0ian-e
Mar3et
Return &0an
Rel i ance #arket Ret urn ,und i s t he uni t 9l i nked product t hat hel ps
you i nvest i n t he fi nanci al market s i n a combi nat i on of i nvest ment
i nst rument s of your choi ce"
Re0ian-e
G)0den ear(
&0an
Rel i ance -ol den 0ears Pl an i s a fl e1i bl e package t hat provi des
freedom of choi ce i n choosi ng t he t ype of i nvest ment l i fe cover
vest i ng opt i ons such as commut i ng and annui t y opt i ons"
Re0ian-e
Sim+0e Term
&0an
Rel i ance Si mpl e Term Pl an i s a cost 9effect i ve pure l i fe i nsurance
pl an t hat offers you comprehensi ve and affordabl e coverage for a
l i mi t ed peri od of t i me t o sui t your needs"
Re0ian-e
S+e-ia0 Term
&0an
Rel i ance Speci al Term Pl an i s a pure l i fe i nsurance pl an t hat offers
you comprehensi ve and affordabl e coverage for a l i mi t ed peri od of
t i me t o sui t your needs"
Re0ian-e
$redit
Guardian
&0an
Rel i ance 'redi t -uardi an Pl an ensures t hat your housi ng l oans
personal l oans or even out st andi ng credi t card bi l l s are pai d i n t he
event of unt i mel y demi se" Thus keepi ng you and your fami l y
prot ect ed from t he burden and t he !orr y of debt i n such a si t uat i on"
Re0ian-e
S+e-ia0
$redit
Guardian
&0an
Rel i ance Speci al 'redi t -uardi an Pl an hel ps you and your fami l y
avoi ds such si t uat i ons by securi ng your housi ng l oans personal
l oans and even credi t card payment s" *hat makes t he Pl an speci al
i s t he fact t hat on survi val at mat uri t y al l premi ums pai d for your
basi c pol i cy !i l l be ret urned t o you"
Re0ian-e
$)nne-t 4
Li*e &0an
Rel i ance 'onnect 5 /i fe Pl an hel ps you bui l d securi t y and savi ngs
for a bet t er t omorro!"
"6ployee Bene>it Plans
Product 'a6e Descri pti on
Re0ian-e Gr)u+
Term A((uran-e
&)0i-y
Rel i ance -roup Term $ssurance Pol i cy i s a one year
Rene!abl e Ter m $ssurance cont ract " The benefi t i s payabl e
on t he happeni ng of t he cont i ngency duri ng one year" $t t he
end of t he year t he cont ract may be rene!ed"
Re0ian-e EDLI
S-heme
$l l est abl i shment s !i t h at l east 4? ful l 9t i me per manent
empl oyees and t o !hom t he )mpl oyeeH s Provi dent ,und and
#i scel l aneous Provi si ons $ct 4>;5 appl i es have a st at ut or y
l i abi l i t y t o subscri be t o )mpl oyeeH s .eposi t /i nked Insurance
Scheme %)./I& t o provi de for l i fe i nsurance for al l t hei r
empl oyees"
Re0ian-e Gr)u+
Gratuity &)0i-y
$ grat ui t y pol i cy t hat refl ect s your companyH s i dent i t y and
!hi ch hi ghl i ght s t he val ue of t he benefi t s you provi de t o your
empl oyees"
Re0ian-e Gr)u+
Su+erannuati)n
&)0i-y
$ superannuat i on pol i cy t hat refl ect s your companyH s i dent i t y
and !hi ch hi ghl i ght s t he val ue of t he benefi t s you provi de t o
your empl oyees"
,undamentals of -eneral Insurance companies are business
houses" The product they sell is financial protection" To succeed and
survive they must cover their costs !hich include payments to cover
the losses of policyholders as !ell as sales and administrative
e1penses ta1es and dividends" Insurance companies have t!o sources
of income for covering these costs3 premium and investment income"
The premium are collected on a regular basis and invested in
-overnment Bonds -ift stocks mutual funds real estates and other
conservative avenues" Ho!ever investment income depends on
market conditions interest rates economy etc and varies from year to
year" Because of the uncertainty associated !ith the investment
income insurance companies must generate enough income form
premium to cover the bulk of their e1penses" The primary function of
insurance is to provide protection against financial losses caused by
unforeseen events" This protection is available to individuals
businessmen and large companies alike"
Types o> General Insurance
8ealth
Individual #ediclaim
-roup #ediclaim
Reliance Health *ise Policy
Personal $ccident
Personal $ccident
-roup Personal $ccident
Fire
Standard ,ire and Special Perils
'onse2uential /oss %,ire&
Industrial $ll Risks
"n)ineerin)
)rection $ll RisksIStorage9cum9)rection
'ontractorCs $ll Risks
'ontractorCs Plant and #achinery
#achinery Breakdo!n Insurance
#achinery /oss of Profits Insurance
Boiler and Pressure Plant Insurance
)lectronic )2uipment Insurance
Marine
#arine 'argo Insurance
Motor
Private 'ar 'omprehensive
#iaility
.irectors and +fficers /iability
Public /iability %$ct&
Public /iability
Product /iability
Professional Indemnity
*orkmenCs compensation
Miscellaneous
Industry 'are
'ommercial 'are
+ffice Package
,idelity -uarantee
Burglary and Housebreaking
#oney Insurance
HouseholderCs Package
ShopkeeperCs Package
Tra7el
Individual and ,amily
$sia
Student
'orporate
B$SIC F"$T1%"S
HospitaliFation )1penses
.aycare Treatment
.omiciliary HospitaliFation
Pre and Post HospitaliFation
'overage of Pre9)1isting .iseases
'ritical Illness 'over
.onor )1penses
2$#1" $DD"D F"$T1%"S
)1penses of accompanying person at the Hospital
/ocal Road $mbulance Services
Recovery Benefit
'ost of Health 'heck up
(ursing $llo!ance
Hospital .aily $llo!ance
P&#IC3 F"$T1%"S
Income Ta1 Benefit
,amily ,loater % 4 4R4 4R5 5R5 &
Sum Insured
Pre9insurance Health 'heck up
+ption in Policy .uration % 4 L 5 years &
Rene!al .iscount
'ashless ,acility %Through Third Party $dministrators 9 TP$&
$ge Slabs
Plan Details
%Source3 !eb&
OBSER"ATION 5 #INDINGS
T# stu)y te s!'es !n) )ist"i&uti#n m!n!,ement !n)
im0"#ve te 8ust#me" A(quisiti#n P"#(ess &y !n!'y<in,
te (#nsume" &e!vi#"6 "es0#nse !n) min)set t#3!")s
te 0"#)u(t !n) se"vi(es te (#m0!ny #9e"s.
OB6E$TI"E
To find the market potential and market penetration of Reliance
#oney product offerings in Bhubanes!ar"
To collect the real time information about preference level of
customers using .emat account and their inclination to!ards
various other brokerage firms e"g" Indiabulls Sharekhan
Indiainfoline Religare $lankit Unicon"
To e1pand the market penetration of Reliance money"
To provide pricing strategy of competitors to fight cut throat
competition"
To increase the product a!areness of Reliance money as single
!indo! shop for investment solutions"
M"T8&D&#&G3
*e !ere supposed to operate from reliance money (ehru place
branch" *e !ere made a!are about all the products Reliance #oney
!as providing !ith a more stress on their core product i"e" .emat
account"
TR3/T5
The time duration of the project is 5 months starting from 4
st
@uly
and ending on 6?
t h
$ugust" *e !ere given targets to be achieved
during training months" The targets of each month !ere3
6.emat $ccounts
4SIP or #utual ,und !orth Rs4????
-eneral Insurance Premium !orth Rs;????
/ife Insurance Premium !orth Rs4?????
I !as supposed to use the database provided by the company to
make cold calls or by directly meeting people to get ne! leads
The 2uestionnaire used is attached in appendi1 $"4
*hile making cold calls !e need to have3
-ood 'ommunication Skills %:oice 2uality is clear and
articulate&
Persistent and able to bounce back from rejection
-ood organiFational skills"
$bility to project a telephone personality %)nthusiasm
friendliness&
,le1ibility3 can adapt to different types of clients and ne!
situations"

Using a good database is very essential"
J/ighty percent of our business comes from 67 percent of our
customers' is a frequent statement at any sales convention. There8 s
hardly a sales executive who is not aware of the (7,67 rule9.
*hile talking to customers I analyFe their needs" *hether they !ant
to go for investment purpose or insurance or both" Suggest them the
plan that best suits them" If they agree to it then either !e send across
the agents to close the deal or close it themselves "

Fi ),. - The Custo6ers Sal es Cycl e
Prole6s >aced !hile sellin) products:
Fi ),. 4 The Constructi 7e Factors o> Tel e cal l i n)
'ustomer dissatisfied !ith the services"
People fear that Reliance #oney Being a Private company and a
ne! entrant may be able to sustain or not"
Insurance means /I' for people"
Past e1perience !ord of mouth"
#isguidance by agents"
People do not !ant insurance products"
/ack of kno!ledge and a!areness about general and life
insurance"
People risk appetite is very lo! so they are afraid of mutual
fund as !ell"
People relate the problems of mobile phones of Reliance
'ommunication !ith Reliance #oney"
S:&T $'$#3SIS
:eakness
Ine1perienced Staff
/o! a!areness due to lack
of advertisement"
/ack of loyal clientage
.eveloping product"
Stren)th
'o9operative and
)1perienced Branch
#anagers
-ood .atabase
Reliance Brand
/o! pricing
&pportunity
Untapped #arket
Increased spending po!er
'hanging #indset of
'ustomers
Unpredictable Sense1
Threat
Reach
Stiff competition from
e1isting players in the
market
Better products
Custo6er $c=uisition Process
)ducate the prospects on the products and services"
'ustomiFe the approach to each of the different customers
involved in the sales process"
)stablish a kno!ledge base for sales people resellers and
partners"
Ramp up the ne! salespeople more 2uickly and keep them on
road"
Track the prospects as they move through the sales process"
Harvest other types of information from your market to help the
company close business more 2uickly" The data of the prospects
can be used for research and development purpose"
)nabling the consistent flo! of information to the customer and
encouraging feedback from them"
Helping the customers do the ,inancial Planning for future"
M3 %"SP&'SIBI#IT3 &%G$'IS$TI&':
I !orked !ith Reliance money !ith a profile of financial
advisor" This profile offers me to understand the need of the customer
and provide them the best deal possible !ith ma1imiFation of the
profit both for the company as !ell as for the customer"
The most important aspect for the role of financial advisor is trust"
So for fulfillment of the targets one needs to3
'apitaliFe on old and loyal clientage !hich can be building
slo!ly by advising people in the best possible !ay"
-enerating ne! leads through various activities"
3eneration of leads:
Since I !as ne! in this field so I had to start from the scratch
and generate ne! leads to sustain in the market"
'old calling is one of the trusted !ays of getting to the customers
!ithout meeting them" $lthough the rate of conversion remained very
less" ,or cold calling the 2uality and accent remains a very important
criterion" This activity gave me mi1ed results" I often got success and
generated many leads through it but it also landed me in a!k!ard
position !here the customer !ere in different mood and made us hear
!ords for !hich a marketer should be al!ays prepared to hear"
'orporate calls al!ays remained more difficult to crack !ith respect
to retail sector"
The corporate !ere the most difficult and most tempting to get the
business from" It took me one day to crack Hi9tech -ears"
$t Reliance money after getting the product kno!ledge in the first
!eek at the branch I !as also allotted distributor to !ork !ith" In the
initial phase I !as accompanied by more e1perienced staff" $fter I
became kno!n to the market and procedure I started attending calls
alone only"
$fter the third !eek my performance also improved and I !as
able to get close to the targets though it looked difficult to achieve in
the beginning" To get a!areness of the every product I attended
diversified calls" This helped me to implement cross selling to get
better results"
Since the reliance money core product is .emat account more
stress !as given over this" .emat account !as also the most tempting
of all the products as it !as difficult to convince the customer for the
reliance .emat as it !as ne! and !ith many limitations" It !as
al!ays difficult to convince on 4 paisa as it !asnCt mentioned
any!here in ink"
#IMIT$TI&'S:
;. "old "alling
:oice and accent plays a major role"
The right time to call a customer cannot be decided as the
customer may in a different mood at the time of calling"
Time consuming
/ess success rate
6. "orporate
Time consuming
'ontacts !ith higher authorities play a major role
#"$%'I'GS
To get initial success in this field is very difficult" $lthough the
business generation becomes easier !ith time as !e serve more
people !ho then get added up in the loyal clientage" Thus time
and service are t!o most factors to get in this field"
$lso the corporate remains a very important segment !hich gets
business in bulk but retail cannot be ignored !hich makes your
business ticking"
'ustomer remains in the pivotal position"
Findin)s
4. Pre>erence o> In7est6ent
Interpretation3 This sho!s that although the mutual funds market is on the
rise yet the most favored investment continues to be in the Share #arket" So !ith
a more transparent system investment in the Stock #arket can definitely be
increased"
-. $!areness on &nline Share Tradin)
Fi)+.- %esult o> $!areness o> &nline Share Tradin)
Interpretation3 *ith the increase in cyber education the a!areness
to!ards online share trading has increased by leaps and bounds" This a!areness is
e1pected to increase further !ith the increase in Internet education"
Fi)+.4 %esult o> Pre>erence o> In7est6ent
5. $!areness o> %eliance Money as a Brand
Interpretation3 This pie9chart sho!s that reliance money has a reasonable
amount of Brand a!areness in terms of a premier Retail stock broking company"
This brand image should be further leveraged by the company to increase its
market share over its competitors"
/. $!areness o> %eliance Money Facilities
Interpretation3 $lthough there is sufficiently high brand e2uity among the
target audience yet it is to be noted that the customers are not a!are of the
facilities provided by the company meaning thereby that the company should
concentrate more to!ards promotional tools and increase its focus on product
a!areness rather than brand a!areness"
.. Satis>action #e7el a6on) Custo6ers !ith current roker
Fi)+.5 %esult o> $!areness o> %eliance 6oney as a Brand
Fi)+./ %esult o> $!areness o> %eliance 6oney Facilities
Fi)+.. %esult o> satis>action le7el a6on) custo6ers !ith current roker
Interpretation: This pie9chart corroborate the fact that Strategic marketing
today has gone beyond only meeting Sales targets and generating profit volumes"
It sho!s that all the competitors are striving hard not only to !oo the customers
but also to make them Brand loyal by generating customer satisfaction"
,. Fre=uency o> Tradin)
Fi)+., %esult o> Fre=uency o> Tradin)
Interpretation3 Inspite of the huge returns that the share market promises
!e see that there is still a dearth of active traders and investors" This is because of
the non P transparent structure of the Indian share market and the skepticism of
the target audience that is generated by the volatility of the stock market" It
re2uires efficient bureaucratic intervention on the part of the -overnment"
+. Percenta)e o> earnin)s in7ested in Share Tradin)
Interpretation3 This sho!s that people invest only upto 4?G of their
earnings in the stock market again reiterating the volatile and non9transparent
structure of the Indian stock market" Hence effective and efficient steps should be
undertaken to !oo the customers to invest more in the lucrative stock market"
$ON$LUSION AND RE$OMMENDATIONS
%"C&MM"'D$TI&'S
Fi)+.+ %esult o> percenta)e o> earnin) in7ested in share tradin)
Based on the findings of our project !e !ould like to suggest the follo!ing39
$fter sales services and follo! up calls are important for getting ne!
references so trained telesales should be appointed for this purpose !hose
sole !ork should be to make feedback calls"
Reliance is having too many financial products right from .emat account to
-eneral Insurance and not all the salespeople are familiar !ith each and
every product so the !ork force should be segregated each group dealing in
a specific product and the sales target should be given like!ise"
*hile interacting !ith the investors I found that most of the customers are
una!are about the #utual fund" Some of the people look upon mutual
funds and e2uity trading as gambling" Thus a mutual fund a!areness
program can help to increase the penetration of mutual funds in the market"
Reliance should declare in black ink that they !ill charge just 4 paisa per
transaction" People tend to think that there must be some hidden charges"
Rs<;? account opening charges are too high !hen targeting a corporate so
the company should be fle1ible on this amount"
Reliance should provide periodic training for updating the product
kno!ledge of various financial advisors"
'ompany should have a scheme of re!ards and recognition to employees
and the field persons to boost their motivation"
G"3 ISS1"S $'D C&'C#1SI&'S
Based on the above S*+T analysis and study of the available data I have come
to the follo!ing conclusions3
-*3/ $2T/0TI&:
$ll though relatively ne! entrants in the market Reliance is slo!ly but
surely gaining a strong hold because it is finally able to grasp the
investment climate in .elhi" Secondly the branch managers at all the
branches are very kno!ledgeable !ith a lot of e1perience in the financial
markets so under their leadership can definitely e1pand its base
The entire !orkforce consists of mostly youngsters !hich means they can
be encouraged and motivated to do good !ork because they have a long
!ay to go and most of them are eager to climb the ladder"
Right no! Reliance is at its nascent stage and !ill surely grab the major
market under its belt very soon like in other fields"
-uge investments taking place:
The Stock #arket has been very buoyant until no! especially in the past 6
years" This particular trend is very favorable because a soaring S)(S)S
means higher returns !hich encourages the investors to invest their money
in the market" $lthough in the past 6 months the market has sho!n very
unpredictable trend and has already lost over 4??? points"
So in order to make the best the only thing re2uired is to recruit more field
staff !ho should be trained in a proper !ay to get better results"
In case of insurance it re2uires push selling because people al!ays
associate it !ith emergencies and unpleasant situations like death and they
donCt !ant to think about such situation let alone prepare for them !hich
means it re2uires a lot of conviction on part of the e1ecutives"
&arge untapped market:
People have just opened up to the idea of U/IPs because till no! they kne!
only t!o kinds of insurance plans endo!ment and term plans so the
concept of high returns !ith protection is very ne! to them and slo!ly and
slo!ly these are becoming popular so there is a huge market !aiting to be
tapped"
In the past fe! years there has been a tremendous inflo! of funds in the
Indian market !hich has lead to the sky rocketing S)(S)S" In fact there
has been a tremendous response from the investors not only in shares but
mutual funds as !ell" The Rs;<??'r infused in the market through the
Reliance )2uity mutual ,unds is an e1ample of the gro!ing trust of
investors !ho earlier shied from such investments due to stock market
fiascos like the Harshad #ehta scam or the US87 disaster in !hich
investors lost huge amounts of money as !ell as their trust in financial
instruments"
*ith the ,.I limits being rela1ed a lot of avenues !ill open up in the
insurance sector and insurance companies are e1pected to come up !ith
ne! plans !ith a great deal of customiFation and fle1ibility"
D1"STI&''$I%"
D4. In !hich o> these Financial Instru6ents do you in7est intoC
Shares #utual ,unds Bonds .erivatives
D-. $re you a!are o> online Share tradin)C
0es (o
D5. 8eard aout %eliance 6oneyC
0es (o
D/. Do you kno! aout the >acilities pro7ided y %eliance 6oneyC
0es (o
D.. :ith !hich co6pany do you ha7e your D"M$T accountC
Reliance money I'I'I .irect Aotak #ahindra India Bulls
+thers %please specify&
D,. :hat di>>erentiates your Share tradin) co6pany >ro6 othersC Ain re)ards o>
rokera)e, satis>action, ser7ices, products B
D+. $re you currently satis>ied !ith your Share tradin) co6panyC
0es (o
D9. 8o! o>ten do you tradeC
.aily *eekly #onthly 0early
D;. :hat percenta)e o> your earnin)s do you in7est in share tradin)C
Up to 4?G Up to 5;G Up to ;?G $bove ;?G
D45. 8o! do you rate these share tradin) co6paniesC
4" 5" 6"
7" ;"
a. Re'i!n(e m#ney
b. ICICI Direct
c. India Bulls
d. Kotak Mahindra
e. Others (Please
specify)
D4/. :hat 6ore >acilities do you think you re=uire !ith your D"M$T accountC
'a6e:
$)e:
Se@: #ale ,emale
Phone 'o:
&ccupation:

BIB#&G%$P83
$gar!al @"." NSecurity $nalysis L Portfolio #anagement3 $ Revie!
,inance India :ol" II (o" 4 #arch 4>=>"
Personal In>or6ation
Bhatt :" :" N$n $ppraisal +f Some Recent )stimates +f Savings and
InvestmentsN I'R(I :ol" ; 4>86"
.ouglas $" Hayes and *" Scott Bauman NInvestments3 $nalysis and
#anagementN III )d" 4><8 #ac#illan
#alhotra (aresh N#arketing Research and $pplied +rientationN I: )d"
5??; Pearson
%"F"%"'C"S
!!!"mutualfundsindia"com
!!!"easymf"com
!!!"amfiindia"com
!!!"google"com
!!!"moneycontrol"com
!!!"valueresearchonline"com
!!!"nseindia"com
!!!"bseindia"com