Summer internship report

on

A RESEARCH PROJECT ON:- ANALYSIS OF

STOCK MARKET FOR INVESTOR
At

Submitted by
MD Amir
Admission No.
14GSOB101191

SUBMITTED TO
DR. M C RASHID

GALGOTIAS UNIVERSITY, GREATER NOIDA

1

Acknowledgement
This project work, which is my first step in professionalism, has been
successfully accomplished only because of timely support of my wellwishers. I would like to pay my sincere regards to those, who directed
me at every step in my project work. First of all . I would like to express
my thanks to GALGOTIAS UNIVERSITY for giving me such a
wonderful opportunity to widen the horizons of my knowledge. I extend
my thanks to my project guide Prof. M.C. Rashid for his scholarly
guidance, constant supervision and encouragement. It is due to his
personal interest and initiative that the project work is published in the
present form. last but not the least, I would also like thank all the staff
members of GALGOTIAS UNIVERSITY, friends and parents who have
directly or indirectly contributed in this project a success, it is a tribute
for their valuation. Despite all efforts I have no doubt that error and
obscurities remain that seen to afflict a working project for which I am
capable.
MD. Amir
ADMSN. NO. : - 14GSOB101191

Certificate of Approval
The following Summer Internship Project Report titled "ANALYSIS OF
STOCK MARKET FOR INVESTORS At Birla Sun Life Insurance Pvt.
Ltd. is hereby approved as a certified study in management carried out
and presented in at manner satisfactory to warrant its acceptance as a
prerequisite lbr the award of Bachelor of Management Studies for which
it has been submitted. It is understood that by this approval the
undersigned do not necessarily endorse or approve any statement made,
opinion expressed or conclusion drawn therein but approve the Summer
Internship Project Report only for the purpose it is submitted to the
Summer Internship Project Report Examination Committee for
evaluation of Summer Internship Project Report
1. Faculty Mentor: Dr. M.C. Rashid
2. Industry Mentor: - Mr. lqbal Singh Bansal

EXECUTIVE SUMMARY

Why should I put my hard earned money into shares when I am not sure of a
return?
If there is a science to investing then why do we call investing a risk? And if its not a risk, then
why do people end up losing money from their investment in shares?
In this project report I have tried to answer the questions, you might have about investing in
shares. When is investing in shares a risk and when does it become a science? How can you be
assured that your investment in shares is safe?
And most importantly, I have tried to explain some basic concepts that most investors take for
granted but thats a crucial knowledge for a person just entering into the financial jungle.
I hope that the project report shall succeed in satisfying desire for knowledge of the share market
as well as in lending investor a helping hand as they take their FIRST STEP into the world of
investing.
Main purpose of investment is return and liquidity, share market is less preferred by investors
due to lack of awareness. The major findings of this study are that people are interested to invest
in stock market but they lack knowledge

INDEX
1. Company Profile

1.1 Company Profile

1.2 Vision & Mission

1.3 Values

10

1.4 Awards

11

1.5 Future

12

1.6 Our Commitment

13

2. Internship Profile

14

2.1 Project Details

14

2.2 Details of Industry Mentor

15

2.3 Objective & Scope of Project

15

2.4 Assumption & Limitations of Project

16

3. Key Observation

17

4. Learning & Values Addition

18

5.Research Methodology

19

5.1 SECTORIAL ANALYSIS

19

5.2 FUNDAMENTAL ANALYSIS

28

5.3 TECHNICAL ANALYSIS

35

CONCLUSION

50

RECOMMENDATIONS

52

BIBLIOGRAPHY

54

QUESTIONAIRE

55

Chapter-1

1.1 COMPANY PROFILE

Established in 2000, Birla Sun Life Insurance Company Limited (BSLI) is a joint venture
between the Aditya Birla Group, a well known and trusted name globally amongst Indian
conglomerates and Sun Life Financial Inc, leading international financial services organization
from Canada. The local knowledge of the Aditya Birla Group combined with the domain
expertise of Sun Life Financial Inc., offers a formidable protection for its customers future.
With an experience of over 9 years, BSLI has contributed significantly to the growth and
development of the life insurance industry in India and currently ranks amongst the top 5
private life insurance companies in the country.
Known for its innovation and creating industry benchmarks, BSLI has several firsts to its credit.
It was the first Indian Insurance Company to introduce Free Look Period and the same was
made mandatory by IRDA for all other life insurance companies. Additionally, BSLI pioneered
the launch of Unit Linked Life Insurance plans amongst the private players in India. To
establish credibility and further transparency, BSLI also enjoys the prestige to be the originator
of practice to disclose portfolio on monthly basis. These category development initiatives have
helped BSLI be closer to its policy holders expectations, which gets further accentuated by the
complete bouquet of insurance products (viz. pure term plan, life stage products, health plan and
retirement plan) that the company offers.
Add to this, the extensive reach through its network of 600 branches and 175,000 empanelled
advisors. This impressive combination of domain expertise, product range, reach and ears on
ground, helped BSLI cover more than 2 million lives since it commenced operations and
establish a customer base spread across more than 1500 towns and cities in India. To ensure that
our customers have an impeccable experience, BSLI has ensured that it has lowest outstanding
claims ratio of 0.00% for FY 2008-09. Additionally, BSLI has the best Turn Around Time
according to LOMA on all claims Parameters. Such services are well supported by sound
financials that the Company has. The AUM of BSLI stood at Rs. 8165 crs as on February 28,
2009, while as on March 31, 2009, the company has a robust capital base of Rs. 2000 crore.
8

1.2 VISION
To be a leader and role model in a broad based and integrated financial services business.

MISSION
To help people mitigate risks of life, accident, health, and money at all stages and under all
circumstances.
Enhance the financial future of our customers including enterprises.

1.3 VALUES

Integrity

Commitment

Passion

Seamlessness

Speed
A US $28 billion corporation, the Aditya Birla Group is in the league of Fortune 500

worldwide. It is anchored by an extraordinary force of 100,000 employees, belonging to 25

different nationalities. The group operates in 25 countries across six continents truly India's
first multinational corporation.
Aditya Birla Group through Aditya Birla Financial Services Group (ABFSG), has a strong
presence across various financial services verticals that include life insurance, fund
management, distribution & wealth management, security based lending, insurance broking,
private equity and retail broking. The seven companies representing ABFSG are Birla Sun Life
Insurance Company, Birla Sun Life Asset Management Company, Aditya Birla Money, Aditya
Birla Finance, Birla Insurance Advisory & Broking Services, Aditya Birla Capital Advisors
9

and Apollo Sindhoori Capital Investment. In FY 2008-09, the consolidated revenues of

ABFSG from these businesses crossed Rs. 4763 crore, registering a growth rate of 36%.
Sun Life Financial is a leading international financial services organisation providing a diverse
range of protection and wealth accumulation products and services to individuals and corporate
customers. Chartered in 1865, Sun Life Financial and its partners today have operations in key
markets worldwide, including Canada, the United States, the United Kingdom, Ireland, Hong
Kong, the Philippines, Japan, Indonesia, India, China and Bermuda. As of December 31, 2008,
the Sun Life Financial group of companies had total assets under management of $381 billion.

1.4 AWARDS
At Birla Sun Life Insurance, winning is a way of life. Our innovative solutions and customerfriendly services have been admired, appreciated and rewarded by customers and the industry at
large.

Recruiting and Staffing Best in Class Awards.

Outlook Money Awards 2004 BSLI - Best Life Insurer (Runner Up) 2004 TROPHY

The 8th Asia Insurance Industry Awards 2004 - Birla Sun Life Insurance was among the top
five nominees in the category.

The Indo-Canadian Business Chamber- BSLI awarded for its 'Successful Performance' for 4
years April 2005.

Birla Sun Life Insurance was presented 'The Hewitt Best Employers In India Awards 2004'
Trophy.

Birla Sun Life Insurance was awarded 'The Great Place to Work Seminar Series 2007
Presented by Anil Sachdev (Chairman & MD of Grow Talent Company Ltd) Robert
10

Levering (Co-founder Great Place to Work Institute) and Jehangir Pocha (Business World
Magazine).

The Bhartiya Shiromani Puraskar awarded to BSLI at the seminar on "Economic

Development New Delhi, on February 13, 2006. This is a Certificate of Excellence for
Enhancing the image of India presented by Dr. Bhishma Narain Singh (Former Governor of
Tamil Nadu & Assam) in association with the "Institute of Economic Studies (IES)".

Hewitt Best Employers in India 2004.

Sponsorship Acknowledgement for - The Asia Insurance Review.

1.5 FUTURE
BUSINESS CONTINUITY PLAN
Birla Sun Life Insurance is one of the few Indian companies to have a fully operational
Business Continuity Plan (BCP) to ensure minimal impact to the tabilizatio, its people, and most
importantly, its customers. Our Business Continuity Planning (BCP) Program is a response plan
which would ensure that in the event of a disaster we would be able to restore and recover
operations for critical processes within a predetermined time after the disaster.

BSLIS BUSINESS CONTINUITY MANAGEMENT POLICY

11

To have a planned response in the event of any contingency ensuring recovery of critical
activities at agreed levels within agreed timeframe thereby complying with various regulatory
requirements and minimizing the potential business impact to BSLI. Additionally to create a
system that fosters continuous improvement of business continuity management

BUSINESS CONTINUITY MANAGEMENT SYSTEM OBJECTIVES (BCMS):

The objectives of BSLIs BCMS are as follows

Ensuring a Proactive response to any contingency

Ensuring recovery of identified critical activities within agreed timeframe.

Ensuring that we adhere to our clients, contractual, legal & regulatory requirements.

PROGRAMME OVERVIEW
As part of our Business Continuity Plan, we have a documented crisis response and recovery
procedure for quick response and tabilization of the situation, and a business continuity
procedure to ensure recovery.

HIGHLIGHTS OF OUR PLAN DOCUMENT:

Alternate recovery sites if primary location is unavailable

12

Assurance to customers that they will continue to receive optimum customer services at all
times

Communication with customers, employees and other stakeholders

Crisis Management & incident response

Data back-up, data and system recovery

Recovery of all mission-critical business functions and supporting systems

1.6

OUR COMMITMENT

Risk Assessment & Business Impact Analysis (BIA) annually.

Business Continuity Plan for HO & its Critical branches.

Crisis Management Plan & Pandemic Response Plan at a corporate Level.

Business Continuity Plan Testing ensuring viability of all its plans.

The activities set forth above may evolve as business and regulatory needs
require.

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Chapter-2
Internship Profile
2.1 PROJECT DETAILS
This study suggests that people are reluctant while investing in stock market
due to lack of knowledge

This is the project on the analyzing of equities to invest the money to future for get higher return
on investment. This project report to all investor who want to invest their money in equities. But
they should analysis the securities before to invest because the money has very much value in
our life...
I choose this project to do because I want to analysis the equities for investor point of view so
they can get good return in future, by using fundamental and technical analysis of securities and
try to understand the movement and performance of stocks and also try to know the factors that
affect the movement of stock prices in the Indian stock market.
14

Through this project we were also able to understand, what are the companies positive and strong
points, on the basis of which we come to know what, can be the basis of pitching to a potential
client.

15

2.2 Details of Industry Mentor:Mr. IQBAL SINGH BANSAL

BUSINESS PARTNER
BIRLA SUN LIFE INSURANCE CO.
GURGAON, HARYANA

STARTING DATE:- 01/06/2016

COMPLETION DATE:- 25/07/2016

2.3 Objective:
The main objective of this project to understand that proper analysis of a company minimizes the
risk of losing money in stock market of any investor.
The other objective is to make people aware that other than cash market there is future and
option which is well known as derivative market to invest. In this they can earn profit even if
they are in loss in cash market.

Scope:
The scope of project is limited to Understanding the basics of Fundamental analysis and
Technical analysis and apply it to take a decision of investing in Cement and Steel Stocks and
F&O strategies for the same.

16

2.4 Assumptions:
This project is prepared on the assumption that most of the investment in stock market is done by
the brokers and not by the common man and on the other hand there are many people who want
to invest in stock market but fears as they think that it is luck game which is not totally true and
this might change their way of thinking.

Limitations:
The project has been limited to investment analysis of cement and steel only.

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CHAPTER- 3
Key Observation
90 people saying that investment in insurance sector is good option and 10 are
saying no.
40 people have BSLI policies and 60 have of LIC.

10 people of BSLI have Whole life plan, 4 have retirement plan, 22 have
children plan, 4 have health plan.

56 people are saying that investment in LIC is better than BSLI, 44 are
sayinginvestment in BSLI is better.

Most of the people of both LIC and BSLI are getting rate of interest 8-12%

Most of the people have children plan of BSLI.

Most of the people invest due to high interest of the policy in BSLI

People have more faith in govt. Companies than the private.

14 people invest in LIC due to its brand loyalty.

26 people saying that BSLI growth will be neutral in near future.

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CHAPTER-4
LEARNING & VALUE ADDITION
Our training was a very enriching experience for me, I have learnt so many things, I got sight
into the insurance world. Insurance role in everyone's life lot more than ever before,
currently there is a comprehensive range of products covering each type of policy available in
the market.
We have studied various insurance plans covered under BSLI, and their features. BSLI also
gives various Riders, which provides extra benefits to the customers. And we came to know
about the pioneering features of BSLI, like sales procedure, etc.
While most insurance plans block money for certain period of time, a BSLI plan gives the
double benefit of life insurance along with easy liquidity through lump sum cash. Birla Sun
Life Insurance (BSLI), one of the largest private life insurers, is gearing itself to take advantage
of the vast moral opportunity that has opened up as a result of the revised definition of rural
areas by the IRDA.
Over the last four years, BSLI has painstakingly built its rural infrastructure to create a costeffective distribution network across the country. Our training gave us corporate exposure,
and helped in improving our communication skills. We learnt to deal with customers, we
made them aware about various plans, and their respective features, even helped them to
select the best plan as per their requirements.

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CHAPTER-5
RESEARCH METHODOLOGY

While making a study we very often look for what type of research methodology
is to be used in this type of study. For implementation of a proper research
methodology we have to first understand the meaning of research. Research is a
process with the help of which new concepts arises. It is the increase in the actual
knowledge stock. It can be called as movement from known to unknown and viceversa. It is also a continuous process. It is a scientific as well as systematic process,
which includes defining and redefining the problem to develop hypothesis, to
collect and define the information/data, to analysis the information and bring out
the

mother of Discovery. An individual makes the effort in research and society or

public takes its benefits because the results are usually generalized.
Data collection
The word data means any raw information, which is either quantitative or
qualitative in nature, which is of practical or theoretical use. The task of data
collection begins after a research problem has been defined and research design
chalked out. While deciding about the method of data collection, the researcher
should keep in mind that there are two types of data primary and secondary.

20

1.Primary data: This is those, which are collected afresh and for the first Time, and thus happen to
be original in character. There are many ways of data collection of primary data
like observation method, interview method, through schedules, pantry Reports,
distributors audit, consumer panel etc. The Team Managers and employees of
both the Department were consulted to get information about procedure of both
the online and off line share trading. But the method used by us for the primary
data collection was through questionnaires.

Questionnaire method
For the collection of primary data I used questionnaire method. A formal list of
questions, which are to be asked, is prepared in a questionnaire and questions are
asked on those bases. There are some merits and demerits of this method. These
as under: -Merits: -1. Low cost even when universe is large.2. It is free from bias
of interviewer.3. Respondents have proper

time to answer.4. Respondents who are not easily approachable can also be
reachable.5. Large samples can be made.

21

2. Secondary data: These are those data, which are not collected afresh and are used earlier also and
thus they cannot be considered as original in character. There are many ways of
data collection of secondary data like publications of the state and central govt.,
reports prepared by researchers, reports of various associations connected with
business, Industries, banks etc. And the method, which was used by us, was with
the help of reports of the company.

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5.1 SECTORIAL ANALYSIS:

CEMENT
INTRODUCTION:
The Indian cement industry with a total capacity of about 200 m tones (MT) in FY15 is the
second largest market after China. Although consolidation has taken place in the Indian cement
industry with the top five players controlling almost 60% of the capacity, the balance capacity
still remains pretty fragmented.

Despite the fact that the Indian cement industry has clocked production of more than 100 MT for
the last five years, registering a growth of nearly 9% to 10%, the per capita consumption of
around 134 kgs compares poorly with the world average of over 263 kgs, and more than 950 kgs
in China. This, more than anything, underlines the tremendous scope for growth in the Indian
cement industry in the long term.
Cement, being a bulk commodity, is a freight intensive industry and transporting cement over
long distances can prove to be uneconomical. This has resulted in cement being largely a
regional play with the industry divided into five main regions viz. north, south, west, east and the
central region. While the southern region always had excess capacity in the past owing to
abundant availability of limestone, the western and northern regions are the most lucrative
markets on account of higher income levels. However, with capacity addition taking place at a
slower rate as compared to growth in demand, recently the demand supply parity had also been
restored to some extent in the Southern region. Considering the pace at which infrastructural
activity is taking place in different regions, the players have lined up expansion plans
accordingly.
Given the high potential for growth, quite a few foreign transnationals have been eyeing the
Indian markets and are planning to acquire domestic companies. Already, while companies like
Lafarge, Heidelberg and Italicementi have made a couple of acquisitions, Holcim has acquired
stake in domestic companies Ambuja Cements and ACC and has increased its stake gradually to
23

gain full control. After acquiring stake in big companies, transnationals eyed median capacity
producers. Italcementi acquired 100% stake in Zuari Cement and 95% stake in Shree Vishnu.
Cimpor, the Portuguese cement manufacturer, acquired Grasims stake (53.63%) in Shree Dig
Vijay. However, it must be noted that the transnationals will find the going tough since cement
is a game of volumes and with the median capacity of fragmented players, the transnationals
will have to acquire capacities piecemeal and this route is fraught with a lot of uncertainties. The
global players put together account of quarter share of the domestic market. Further, turning
around few of the companies at a time when the cycle is at its peak would be a difficult task.
Considering the long term growth story, fair valuations, fragmented structure of the industry and
low gearing, an another wave of consolidation would not come as a surprise.

KEY POINTS :
Supply: - The demand-supply situation is tightly balanced with the latter being marginally
higher than the former
Demand: - Housing sector acts as the principal growth driver for cement. However, in recent
times, industrial and infrastructure sector have also emerged as demand drivers for cement.
Barriers to entry: - High capital costs and long gestation periods. Access to limestone reserves
(principal raw material for the manufacture of cement) also acts as a significant entry barrier.
Bargaining power of suppliers: - Licensing of coal and limestone reserves, supply of power
from the state grid and availability of railways for transport are all controlled by a single entity,
which is the government. However, nowadays producers are relying more on captive power, but
the shortage of coal and volatile fuel prices remain a concern.
Bargaining power of customers: - Cement is a commodity business and sales volumes mostly
depend upon the distribution reach of the company. However, things are changing and few
brands have started commanding a premium on account of better quality perception.

24

Competition: - Due to large number of players in the industry and very little brand
differentiation to speak of, the competition is intense with players resorting to expanding reach
and achieving pan India presence.

FINANCIAL YEAR 15:

During FY15, the industry maintained volume growth of around 10% YoY. The industry added
nearly 30 MT in FY15 over the previous year taking the total capacity to nearly 212 MTPA.
India owing to its locational advantage has been catering to the cement requirements of the
Middle East and the South East Asian nations. However, the exports were curtailed in FY15 in
order to satisfy the domestic demand and contain inflation. While demand growth stood at 10%
YoY, average industry cement realisations (average of price per bag of cement) were higher by
about 5% YoY. The growth in realisations slowed down as additional capacities coming on
stream eased the supply pressures.
The 0overheated real estate sector has cooled off now. Considering the financial turmoil
witnessed globally, financial institutions have tightened their credit norms. This cautious stance
has led to a credit crunch and the same has impacted upcoming projects. On account of general
economic slowdown and these issues, the demand for cement has moderated. However, stimulus
packages announced by the government and agricultural income gave a fillip to the demand for
the commodity.
The industry volumes and realisations were higher during FY15 that boosted topline growth.
However, cost of operation did also witnessed northward movement that exerted pressure on
margins. The cement industry on an average maintains two months inventory of fuel and such
costs. The crude prices have only started cooling off November 2014 onwards, the benefit of
which should start flowing in starting quarter ended March 2015 onwards. Smooth supply of
state grid power is another problem. To ensure smooth functioning of plants and lower costs,
industry has opted to set up captive power plants based on coal. This has resulted in increase in
demand for coal. But coal linkages for the industry are poor. Recently the ratio has dropped
below 50%. So the players either have to purchase it from open market or import it. This has
increased cost of operation. The industry had lined up huge capex plans with that depreciation
costs have moved up. All of this dented profitability.
25

PROSPECTS:
The industry is likely to maintain its growth momentum and continue growing at around 8% to
9% in the medium to long term. Government initiatives in the infrastructure sector and the
housing sector are likely to be the main drivers of growth for the industry.
In the recent past, demand has surpassed supply, resulting in healthy cement prices across the
country. However, this scenario is likely to reverse as the industry has lined up huge capacity
expansion plans. With the growth in the sector and waning demand supply gap, cement
producers have lined up capacity expansion plans either by brown field or green filed expansion
route. The fresh capacities announced till date will add up 60 MT to the existing capacity (200
MT), and are expected to go on stream by FY16. As the capacities become operational, which
has started taking place, supply may once again outstrip demand putting downward pressure on
margins, having said that, temporary relief may be provided if there are delays in any of the
proposed expansion plans.
While infrastructure spending has been a boon, there was also a strong cushion from the steady
growth of the construction sector (read housing). However, recently the demand has slowed
down as real estate and construction activities in the urban areas have taken a back seat with
economic slowdown. The importance of the housing sector in cement demand can be gauged
from the fact that it consumes almost 60%-70% of the countrys cement. If this support wanes, it
would impact the growth in consumption of cement, leading to demand supply mismatch. Also,
the hike in prices of coal and petroleum products could impact cement companies margins.
In the budget, while the government refrained from cutting lowering the burden of taxes and
duties on cement, it imposed customs duty of 7.5% on RMC cement. Imposition of 7.5%
customs duty on concrete batching plants is likely to negatively impact the ready mix concrete
manufacturers. However, it wont have a severe impact as RMC constitutes not more than 5% of
total cement consumption. The government has increased budgetary allocation for roads under
NHDP. Further, with more incentives being spelled out for the infrastructure and housing sector,
cement manufacturers will continue to benefit. The budget measures such as increasing excise
duties have proved to be futile and in the future too, we believe that it is the market dynamics
that will determine these variables.

26

Good agricultural income has supported demand for the commodity despite slowdown in real
estate sector. Going forward, we believe the governments initiatives in the infrastructure and
housing sectors are likely to be the main drivers of growth for the industry in the long run.

STEEL
INTRODUCTION
India is currently the fifth largest steel-producing nation in the world with production of over 54
million tons (MT). However, it has a very low per capita consumption of steel of around 46 kgs
as against an average of 198 kgs of the world. This wide gap in relative steel consumption
indicates that the potential ahead for India to raise its steel consumption is high.
Being a core sector, steel industry tracks the overall economic growth in the long term. Also,
steel demand, being derived from other sectors like automobiles, consumer durables and
infrastructure, its fortune is dependent on the growth of these user industries.
The Indian steel sector enjoys advantages of domestic availability of raw materials and cheap
labour. Iron ore is also available in abundant quantities. This provides major cost advantage to
the domestic steel industry, with companies like Tata Steel being one of the lowest cost
producers in the world.
However, Indian steel companies have to bear additional costs pertaining to capital equipment,
power and inefficiencies (low per employee productivity). This has resulted in the erosion of the
edge they would have otherwise enjoyed due to availability of cheap labour and raw materials.
The government reinstated basic customs duty on steel imports in order to protect India from
dumping of cheap steel products. It has also provided series of benefits to auto, housing and real
estate sector in order to counter the slowdown in the economy.

27

KEY POINTS
Supply: - With trade barriers having been lowered over the years, imports play an important role
in the domestic markets.
Demand: - The demand is derived from sectors that include infrastructure, consumer durables
and automobiles.
Barriers to entry: - High capital costs, technology.
Bargaining power of suppliers: - The governments move on railway freight costs and grid
power costs would determine the final price of the metal.
Bargaining power of customers: - High, presence of a large number of suppliers and access to
global markets.
Competition: - High, presence of a large number of players in the unorganized sector.

FINANCIAL YEAR 15
The steel sector witnessed a mixed performance in FY15 wherein during the first half it
experienced an extraordinary spurt in demand backed by expansion of key consumer sectors.
However, the second half experienced a significant demand contraction on account of the global
financial crisis. Thus overall, Indias crude steel production grew by 1.2%YoY to 54.5 MT. The
global steel industry continued to reel under the recessionary trends in the developed economies;
domestic steel demand remained less affected, mainly steered by growth in semi urban and rural
areas. Also, the various monetary and fiscal packages announced by the government helped the
domestic steel industry to counter the slowdown and thus the demand started reviving upwards
from the fourth quarter onwards.
Domestic steel prices and international steel prices experienced a divergent trend in FY15. While
during the first half, international prices touched an all time high levels backed by robust
demand, the second half witnessed more than 50% fall in the prices on account of significant
contraction in demand due to the global credit crisis. Raw material prices like iron ore and
28

coking coal also experienced a similar trend. It may be noted that most of the domestic steel
players entered into an annual contract for coking coal in June-July 2015 when prices were at
their peak. Hence the industry experienced a severe pressure on the margins.

PROSPECTS
As per the World Steel Associations forecasts, global steel consumption is projected to decline
by around 14.9% in 2015 led by US (-36.6%), Europe (-28.8%), CIS (-23.7%) and Japan (20.4%). Also, the worlds largest steel producer China is projected to experience a decline of 5%
in steel usage. However, India is the only country that is projected to witness a growth of around
2% in 2015. The global steel industry is expected to recover in 2016 on the back of government
stimulation packages, the continued stabilisation of financial systems and a return of consumer
confidence.
Also, the domestic steel sector may face threat from cheap imports, now that the import duties on
steel in India being amongst the lowest in the world. Import pressures could consequently lead to
pressure on margins of the domestic companies on account of lower steel realisations. However,
if the Indian government increases the import duty on steel products, domestic steel industry
could get protection to an extent. But since India has already agreed to the WTO norms, it might
become difficult for the government to increase duties substantially.
Going forward, we remain apprehensive about the continuation of the strong performance by
steel companies. We believe that volume growth would be visible in the years to come, largely
due to the continuation of infrastructure spending (including housing), strong demand from the
auto sector, which could help in driving demand for value added steel products like CR (cold
roll) steel and exports. We expect realisations to remain under pressure on account of excessive
supplies. However, a recovery in steel prices could be sooner if steel producers across the globe
take continuous efforts at curtailing production.
The government over the last couple of years has continued to lay emphasis on continuation of
infrastructure activities in the country. Increased spending on infrastructure will be a key positive
for the steel sector as the demand for steel will get a boost. The continuance of tax sops to the
housing sector is another positive for steel demand.
29

30

5.2 FUNDAMENTAL ANALYSIS

Fundamental analysis of a business involves analyzing its financial statements and health, its
management and competitive advantages, and its competitors and markets. When applied to
futures and forex, it focuses on the overall state of the economy, interest rates, production,
earnings, and management. When analyzing a stock, futures contract, or currency using
fundamental analysis there are two basic approaches one can use; bottom up analysis and top
down analysis. The term is used to distinguish such analysis from other types of investment
analysis, such as quantitative analysis and technical analysis.
Fundamental analysis is performed on historical and present data, but with the goal of making
financial forecasts. There are several possible objectives:

To conduct a company stock valuation and predict its probable price evolution.

To make a projection on its business performance,

To evaluate its management and make internal business decisions,

To calculate its credit risk.

Fundamental analysis includes:

1. Economic analysis
2. Industry analysis
3. Company analysis
On the basis of this three analysis the intrinsic value of the shares are determined. This is
considered as the true value of the share. If the intrinsic value is higher than the market price it
is recommended to buy the share but if it is equal to market price hold the share and if it is less
than the market price sell the shares.

31

USE BY DIFFERENT PORTFOLIO STYLES

Investors may use fundamental analysis within different portfolio management styles.
Buy and hold investors believe that latching onto good businesses allows the investor's asset to
grow with the business. Fundamental analysis lets them find 'good' companies, so they lower
their risk and probability of wipe-out.
Managers may use fundamental analysis to correctly value 'good' and 'bad' companies. Even
'bad' companies' stock goes up and down, creating opportunities for profits.
Managers may also consider the economic cycle in determining whether conditions are 'right' to
buy fundamentally suitable companies.
Contrarian investors distinguish "in the short run, the market is a voting machine, not a
weighing machine". Fundamental analysis allows you to make your own decision on value, and
ignore the market.
Value investors restrict their attention to under-valued companies, believing that 'it's hard to fall
out of a ditch'. The value comes from fundamental analysis.
Managers may use fundamental analysis to determine future growth rates for buying high priced
growth stocks.
Managers may also include fundamental factors along with technical factors into computer
models (quantitative analysis).

PROCEDURES
The analysis of a business' health starts with financial statement analysis that includes ratios. It
looks at dividends paid, operating cash flow, new equity issues and capital financing. The
earnings estimates and growth rate projections published widely by Thomson Reuters and others
can be considered either 'fundamental' (they are facts) or 'technical' (they are investor sentiment)
based on your perception of their validity.
32

The determined growth rates (of income and cash) and risk levels (to determine the discount
rate) are used in various valuation models. The foremost is the discounted cash flow model,
which calculates the present value of the future

Dividends received by the investor, along with the eventual sale price.

Earnings of the company or Cash flows of the company.

The amount of debt is also a major consideration in determining a company's health. It can be
quickly assessed using the debt to equity ratio and the current ratio (current assets/current
liabilities).
The simple model commonly used is the Price/Earnings ratio. Implicit in this model of a
perpetual annuity (Time value of money) is that the 'flip' of the P/E is the discount rate
appropriate to the risk of the business. The multiple accepted is adjusted for expected growth
(that is not built into the model).
Growth estimates are incorporated into the PEG ratio but the math does not hold up to
analysis.[neutrality is disputed] Its validity depends on the length of time you think the growth
will continue.
Computer modeling of stock prices has now replaced much of the subjective interpretation of
fundamental data (along with technical data) in the industry. Since year 2000, with the power of
computers to crunch vast quantities of data, a new career has been invented. At some funds
(called Quant Funds) the manager's decisions have been replaced by proprietary mathematical
models.

33

CEMENT INDUSTRY ANALYSIS

RATIOS AND COMMENTS
ACC

AMBUJA UltraTech
Comment

(861.40)

(117.25)

(933.20)

Attribute

Value

Value

Value

PE ratio

10.07

14.78

11.04

EPS (Rs)

85.49

87.82

As the PE ratio of ACC is low it is

good to invest
As the EPS of UltraTech is more it
is the best stock to invest

Stock turnover
ratio

25.22

36.80

22.89

As the Stock turnover ratio of

Ambuja is more its good stock to
invest

Price to sale ratio

7.57

8.84

6.04

As the P/S of UltraTech is less its

good stock to invest

31.43

7.45

26.7

18.83

27.13

Dividend Payout
ratio (in crore)
Return on
average equity

As the Payout ratio of UltraTech is

less its a good stock to invest
As the ROE of UltraTech is more its
good stock to invest

Conclusion
In cement sector it is very hard to say which is a good stock because there is very close
difference between UltraTech and ACC so just by looking at the PE ratio I will suggest to go for
ACC rather Ultra Tech.

34

STEEL INDUSTRY ANALYSIS

RATIOS AND COMMENTS
SAIL

TATA

JINDAL

(195.80)

(490.05 )

(643.05)

Attribute

Value

Value

Value

PE ratio

12.15

8.87

43.17

EPS (Rs)

16.35

56.87

15.89

Comment

As the PE ratio of TATA is low it

is good to invest
As the EPS of TATA is more it is
the best stock to invest
As the Stock turnover ratio of

Stock turnover
ratio

5.86

9.36

9.08

Tata steel is more its good stock

to invest

Price to sale
ratio
Dividend Payout
ratio (in crores)
Return on
average equity

6.08

5.92

6.04

20.32

27.15

5.5

As the P/S of TATA is less its

good stock to invest
As the Payout ratio of Jindal is
less its a good stock to invest

22.06

21.1

28.38

As the ROE of Jindal is more its

good stock to invest

CONCLUSION
Fundamental analysis clearly suggest that if we are thinking of investing in steel sector then
TATA Steel is the best stock to buy at this point.

35

FORMULAS
1.

EPS = Net Earnings / Outstanding Shares

There are three types of EPS numbers:

Trailing EPS last years numbers and the only actual EPS

Current EPS this years numbers, which are still projections

Forward EPS future numbers, which are obviously projections

What Does Outstanding Shares Mean?

Stock currently held by investors, including restricted shares owned by the company's officers
and insiders, as well as those held by the public. Shares that have been repurchased by the
company are not considered outstanding stock.
Also referred to as "issued and outstanding" if all repurchased shares have been retired.

2.

P/E = Stock Price / EPS

The P/E gives you an idea of what the market is willing to pay for the companys earnings. The
higher the P/E the more the market is willing to pay for the companys earnings. Some
investors read a high P/E as an overpriced stock and that may be the case, however it can also
indicate the market has high hopes for this stocks future and has bid up the price.
Conversely, a low P/E may indicate a vote of no confidence by the market or it could mean
this is a sleeper that the market has overlooked. Known as value stocks, many investors made
their fortunes spotting these diamonds in the rough before the rest of the market discovered
their true worth.

36

3.

P/S = Market Cap / Revenues

Much like P/E, the P/S number reflects the value placed on sales by the market. The lower the
P/S, the better the value, at least thats the conventional wisdom.

4.

DPR = Dividends Per Share / EPS

Companies that pay higher dividends may be in mature industries where there is little room for
growth and paying higher dividends is the best use of profits (utilities used to fall into this
group, although in recent years many of them have been diversifying).
The payout ratio and the retained earning ratio are the indicators of the amount of earnings that
have been ploughed back in the business. The lower the payout ratio, the higher will be the
amount of earnings ploughed back in the business and vice versa. A lower payout ratio or
higher retained earnings ratio means a stronger financial position of the company.

5.

Return on Equity (ROE)

It is one measure of how efficiently a company uses its assets to produce earnings. You
calculate ROE by dividing Net Income by Book Value. A healthy company may produce an
ROE in the 13% to 15% range. Like all metrics, compare companies in the same industry to
get a better picture.

6. Inventory Turnover Ratio = Cost of goods sold / Average inventory at cost

Usually a high inventory turnover/stock velocity indicates efficient management of inventory
because more frequently the stocks are sold, the lesser amount of money is required to finance
the inventory. A low inventory turnover ratio indicates an inefficient management of inventory.
A low inventory turnover implies over-investment in inventories, dull business, poor quality of
goods, stock accumulation, accumulation of obsolete and slow moving goods and low profits
as compared to total investment.

37

5.3 TECHNICAL ANALYSIS

INTRODUCTION
Despite all the fancy and exotic tools it employs, technical analysis really just studies supply and
demand in a market in an attempt to determine what direction, or trend, will continue in the
future. In other words, technical analysis attempts to understand the emotions in the market by
studying the market itself, as opposed to its components. If you understand the benefits and
limitations of technical analysis, it can give you a new set of tools or skills that will enable you to
be a better trader or investor.
Technical analysts seek to identify price patterns and trends in financial markets and attempt to
exploit those patterns. While technicians use various methods and tools, the study of price charts
is primary.
Technicians especially search for archetypal patterns, such as the well-known head and shoulders
or double top reversal patterns, study indicators such as moving averages, and look for forms
such as lines of support, resistance, channels, and more obscure formations such as flags,
pennants, balance days and cup and handle patterns.

Technical analysts also extensively use indicators, which are typically mathematical
transformations of price or volume. These indicators are used to help determine whether an asset
is trending, and if it is, its price direction. Technicians also look for relationships between prices,
volume and, in the case of futures, open interest. Examples include the relative strength index,
and MACD. Other avenues of study include correlations between changes in options (implied
volatility) and put/call ratios with price. Other technicians include sentiment indicators, such as
Put/Call ratios and Implied Volatility in their analysis.

Technicians seek to forecast price movements such that large gains from successful trades
exceed more numerous but smaller losing trades, producing positive returns in the long run
through proper risk control and money management.

38

CHARACTERISTICS
Technical analysis employs models and trading rules based on price and volume transformations,
such as the relative strength index, moving averages, regressions, inter-market and intra-market
price correlations, cycles or, classically, through recognition of chart patterns.

Technical analysis stands in contrast to the fundamental analysis approach to security and stock
analysis. Technical analysis "ignores" the actual nature of the company, market, currency or
commodity and is based solely on "the charts," that is to say price and volume information,
whereas fundamental analysis does look at the actual facts of the company, market, currency or
commodity. For example, any large brokerage, trading group, or financial institution will
typically have both a technical analysis and fundamental analysis team.

PRINCIPLES
Technicians say that a market's price reflects all relevant information, so their analysis looks at
the history of a security's trading pattern rather than external drivers such as economic,
fundamental and news events. Price action also tends to repeat itself because investors
collectively tend toward patterned behavior hence technicians' focus on identifiable trends and
conditions.
The field of technical analysis is based on three assumptions:

The market discounts everything.

Price moves in trends.

History tends to repeat itself.

1. The Market Discounts Everything

A major criticism of technical analysis is that it only considers price movement, ignoring the
fundamental factors of the company. However, technical analysis assumes that, at any given
time, a stock's price reflects everything that has or could affect the company - including
fundamental factors. Technical analysts believe that the company's fundamentals, along with
broader economic factors and market psychology, are all priced into the stock, removing the
39

need to actually consider these factors separately. This only leaves the analysis of price
movement, which technical theory views as a product of the supply and demand for a particular
stock in the market.

2. Price Moves in Trends

In technical analysis, price movements are believed to follow trends. This means that after a
trend has been established, the future price movement is more likely to be in the same direction
as the trend than to be against it. Most technical trading strategies are based on this assumption.

3. History Tends To Repeat Itself

Another important idea in technical analysis is that history tends to repeat itself, mainly in terms
of price movement. The repetitive nature of price movements is attributed to market psychology;
in other words, market participants tend to provide a consistent reaction to similar market stimuli
over time. Technical analysis uses chart patterns to analyze market movements and understand
trends. Although many of these charts have been used for more than 100 years, they are still
believed to be relevant because they illustrate patterns in price movements that often repeat
themselves.

CHARTING TERMS AND INDICATORS

1. Types of charts
OHLC "Bar Charts" Open-High-Low-Close charts, also known as bar charts, plot the
span between the high and low prices of a trading period as a vertical line segment at the
trading time, and the open and close prices with horizontal tick marks on the range line,
usually a tick to the left for the open price and a tick to the right for the closing price.
Candlestick chart Of Japanese origin and similar to OHLC, candlesticks widen and fill
the interval between the open and close prices to emphasize the open/close relationship. In the
West, often black or red candle bodies represent a close lower than the open, while white,
green or blue candles represent a close higher than the open price.
40

Line chart Connects the closing price values with line segments.
Point and figure chart a chart type employing numerical filters with only passing
references to time, and which ignores time entirely in its construction.

2. Concepts
Resistance a price level which acts as a ceiling above prices
Support a price level which acts as a floor below prices
Breakout the concept whereby prices forcefully penetrate an area of prior support or
resistance, usually, but not always, accompanied by an increase in volume.
Trending the phenomenon by which price movement tends to persist in one direction for
an extended period of time
Average true range averaged daily trading range, adjusted for price gaps
Chart pattern distinctive pattern created by the movement of security prices on a chart
Momentum the rate of price change
Point and figure analysis a priced-based analytical approach employing numerical filters
which may incorporate time references, though ignores time entirely in its construction.

3. Overlays
Overlays are generally superimposed over the main price chart.
Resistance an area that brings on increased selling
Support an area that brings on increased buying
41

Trend line a sloping line of support or resistance

Channel a pair of parallel trend lines
Moving average an average that lags behind the price action but filters out short term
movements
4. Price-based indicators
These indicators are generally shown below or above the main price chart.
Advance decline line a popular indicator of market breadth
Average Directional Index a widely used indicator of trend strength
Commodity Channel Index identifies cyclical trends
MACD moving average convergence/divergence
Relative Strength Index (RSI) oscillator showing price strength
Stochastic oscillator close position within recent trading range
Momentum the rate of price change

5. Volume-based indicators
Accumulation/distribution index based on the close within the day's range
Money Flow the amount of stock traded on days the price went up
On-balance volume the momentum of buying and selling stocks
PAC charts two-dimensional method for charting volume by price level

42

CEMENT SECTOR ANANLYSIS

1. AMBUJA

In this chart we can observe that there is a resistance and support at approx 111 and 95 resp. this
means mainly the stock moves between this if it crosses either resistance or support there is
profit or loss resp.
The other indicators used are trend line and moving average of 200days. When this both are
combined together gives a clear picture when to sell or buy the stock. Once the senses cuts the
trend line it gives us the indication that its time to sell the stock and the confirmation of it is
given by the moving average indicator.
At present the Ambuja stock have just completed the round bottom shape which indicates that
there is an up going trend coming and it also crossed the resistance line.

43

2. ACC

ACC stock shows almost same pattern as Ambuja it is just that it is valued more than Ambuja. It
has resistance level around 850 and support level at 770. And we can see that it has also just
completed a round bottom shape but it is not clear whether the stock will have an up trend or
down trend so we should wait for some more time before investing.
We can see that there is an upward trend between 09 and 10 and once it cutted the trend line we
would have sell the stock and buyed it back while it cuts the moving average line while its way
back up.

44

3. ULTRATECH

As compared to other cement stocks UltraTech has same resistance and support ie at around 32.
In this chart we can see a new pattern that is head and shoulder ie a high peak with to small peak
on either side of it.
This is one of the most popular and reliable chart patterns in technical analysis. Head and
shoulders is a reversal chart pattern that when formed, signals that the security is likely to move
against the previous trend.
In the above fig we can see we can see after the head and shoulder pattern there is a steep fall in
stock.
CONCLUSION
Technical analysis suggest that both ACC and Ambuja are good stock to buy as it as just
completed a round shape pattern which indicates that there is trnd change in upward direction.

45

STEEL INDUSTRY ANALYSIS

1. SAIL

Sail is one of the top steel company in India. As we can see it has a similar resistance and
support level at around 195. In this chart we can also find the double top pattern
This chart pattern is another well-known pattern that signals a trend reversal - it is considered to
be one of the most reliable and is commonly used. These patterns are formed after a sustained
trend and signal to chartists that the trend is about to reverse. The pattern is created when a price
movement tests support or resistance levels twice and is unable to break through. This pattern is
often used to signal intermediate and long-term trend reversals.
At present we can see from chart that it is not clear whether the stock will rise or fall so it will be
hard to predict.

46

2. TATA STEEL

Tata Steel technical chart is a very volatile chart as we can see. There are many patterns in it.
The resistance and support of this chart is at around 580 and 460 respectively. It has a double top
after which there is a trend change which is just before the February month of 2010. The new
pattern seen here is cup and handle pattern just before the 2009.
A cup and handle chart is a bullish continuation pattern in which the upward trend has paused
but will continue in an upward direction once the pattern is confirmed.
Present scenario of Tata Steel stock is similar to Sail where it is not clear whether the stock will
rise or fall so it will be hard to predict.

47

3. JINDAL STEEL

JINDAL STEEL

Unlike other steel company Jindal shows a uniform pattern it is moving between the support and
resistance which is at 610 and 710 respectively.
At present it has just shown a round shape curve and now the trend is changing slowly.

CONCLUSION
Technical Analysis suggests that Tata steel is good stock among the three companies as it has
just completed a reverse head and shoulder pattern which indicates there is trend change soon.

RECOMMENDATION
From the above done analysis, it can be concluded that both Fundamental and Technical
Analysis suggests that amongst the Cement Sector, ACC should be bought and from Steel sector,
it is wise to buy Tata Steel stock at this point of time.

48

FUNDAMENTAL V/S TECHNICAL ANALYSIS

Technical analysis and fundamental analysis are the two main schools of thought in the financial
markets. As we've mentioned, technical analysis looks at the price movement of a security and
uses this data to predict its future price movements. Fundamental analysis, on the other hand,
looks at economic factors, known as fundamentals. Let's get into the details of how these two
approaches differ, the criticisms against technical analysis and how technical and fundamental
analysis can be used together to analyze securities.
THE DIFFERENCES
Charts vs. Financial Statements
At the most basic level, a technical analyst approaches a security from the charts, while a
fundamental analyst starts with the financial statements.
By looking at the balance sheet, cash flow statement and income statement, a fundamental
analyst tries to determine a company's value. In financial terms, an analyst attempts to measure a
company's intrinsic value. In this approach, investment decisions are fairly easy to make - if the
price of a stock trades below its intrinsic value, it's a good investment. Although this is an
oversimplification (fundamental analysis goes beyond just the financial statements) for the
purposes of this tutorial, this simple tenet holds true.
Technical traders, on the other hand, believe there is no reason to analyze a company's
fundamentals because these are all accounted for in the stock's price. Technicians believe that all
the information they need about a stock can be found in its charts.
Time Horizon
Fundamental analysis takes a relatively long-term approach to analyzing the market compared to
technical analysis. While technical analysis can be used on a timeframe of weeks, days or even
minutes, fundamental analysis often looks at data over a number of years.
The different timeframes that these two approaches use is a result of the nature of the investing
style to which they each adhere. It can take a long time for a company's value to be reflected in
the market, so when a fundamental analyst estimates intrinsic value, a gain is not realized until
49

the stock's market price rises to its "correct" value. This type of investing is called value
investing and assumes that the short-term market is wrong, but that the price of a particular stock
will correct itself over the long run. This "long run" can represent a timeframe of as long as
several years, in some cases.

Furthermore, the numbers that a fundamentalist analyzes are only released over long periods of
time. Financial statements are filed quarterly and changes in earnings per share don't emerge on a
daily basis like price and volume information. Also remember that fundamentals are the actual
characteristics of a business. New management can't implement sweeping changes overnight and
it takes time to create new products, marketing campaigns, supply chains, etc. Part of the reason
that fundamental analysts use a long-term timeframe, therefore, is because the data they use to
analyze a stock is generated much more slowly than the price and volume data used by technical
analysts.

Trading Versus Investing

Not only is technical analysis more short term in nature that fundamental analysis, but the goals
of a purchase (or sale) of a stock are usually different for each approach. In general, technical
analysis is used for a trade, whereas fundamental analysis is used to make an investment.
Investors buy assets they believe can increase in value, while traders buy assets they believe they
can sell to somebody else at a greater price. The line between a trade and an investment can be
blurry, but it does characterize a difference between the two schools.

CAN THEY CO-EXIST?

Although technical analysis and fundamental analysis are seen by many as polar opposites - the
oil and water of investing - many market participants have experienced great success by
combining the two. For example, some fundamental analysts use technical analysis techniques to
figure out the best time to enter into an undervalued security. Oftentimes, this situation occurs
when the security is severely oversold. By timing entry into a security, the gains on the
investment can be greatly improved.

Alternatively, some technical traders might look at fundamentals to add strength to a technical
50

signal. For example, if a sell signal is given through technical patterns and indicators, a technical
trader might look to reaffirm his or her decision by looking at some key fundamental data.
Oftentimes, having both the fundamentals and technicals on your side can provide the best-case
scenario for a trade.

While mixing some of the components of technical and fundamental analysis is not well received
by the most devoted groups in each school, there are certainly benefits to at least understanding
both schools of thought.

51

CHAPTER- 6

CONCLUSION

52

After reading this report, one can learn the basics of FUNDAMENTAL and TECHNICAL
ANALYSIS, and he will get complete knowledge of the factors he should consider before
investing in STOCK MARKET.

In conclusion, neither fundamental analysis nor technical analysis is more superior than each
other. Both have their merits and should be used at the right times.

If you are investing for the long-term, the fundamentals analysis plays a more important role in
determining the type of industry and company you choose. The technical side analysis plays a
more important role when deciding the entry and exit points of your investments.
If you are a speculator, then all you are concerned with is the short-term, hence the technical
charts.
From this report we can conclude that by doing proper analysis of the stock and then investing
in it would minimize the risk involved in losing money in stocks.

After all this analysis an investor can lose money because at last the market behavior i.e. whether
it is bullish or bearish depends on the buying and selling of the stocks.

At the end I want to conclude this project again by saying this that by doing this analysis we
would reduce risk in stock market it does not guarantee us that we will not lose money.

53

CHAPTER- 7

RECOMMENDATION

54

As per my recommendation I will suggest peoples should invest in stock market after studing the
market, as it will be a secondary source of income along with their primary income. While
investing every investor must have a diversified portfolio so that he get good returns.
Stock market is place where we can earn lots of money if we invest smartly. We should always
invest after doing self research rather than investing blindly as someone else has invested in that
particular stock.

The last and the one of the most important suggestion while playing with stocks is keep emotions
aside and be realistic and invest it in for LONG TERM rather than short term. So one should
have a high level of patience while dealing with stock.

We should look after the stocks as our child which will give us the return in future and not as
soon as we bought it.

STOCK MARKET IS SUBJECTED TO HIGH RISK SO PEOPLE WITH WEAKER

HEART DONT EVEN TRY TO DEAL WITH IT AND PEOPLE WHO LOVE TO TAKE
RISK IN LIFE ITS THE BEST WAY OF EARNING MONEY LEGALLY.

55

QUESTIONAIRE

56

Questionnaire:
Name:...............................Age:..Occupation:..Ques.1
Birla Sun Life Scheme does you have?(a) Life

Which

(b) Retirement
(c) Health
Ques.2 Are you satisfied with the Insurance plan you have?
(a) Yes
(b) No
Ques.3 What attract you towards Birla Sun Life Plans?
(a)
(b)

(d)
Ques.4 Are you satisfied with the services provided by the company regarding
new plans and schemes?
(a) Yes
(b) No
Ques.5 Are you interested to make more investments in Birla Sun Life ?
(a) Yes
57

(b) No
Ques.6 Have you any other Insurance Plan apart from Birla Sun Life?
(a) Yes
(b) No
Ques.7 If yes, then of which Life Insurance Company?
(a) LIC
(b) Bajaj Allianz
(c) Birla Sun life
(d) Reliance
(e) Others
Ques.8 If you get any attractive plan than are you ready to switch over?
(a) Yes
(b) No

58

Summer Internship Feedback Form

59

Summer Internship Feedback Form

(To be filled by the Industry Mentor)
Date:

Interns Name:. Batch:.

CompanyName:...
Address:
Department (in which the training has been done):..
Mentors Name:..
Mentors e-mail id:
Contact Number:

Part A: General Intern Performance Instructions: Please rate the student intern
on each of the following job dimensions. For each dimension, sample behaviors of
excellent and satisfactory performance are listed as guidelines:

Please
mention
the
interns
duties
and
responsibilities?

Performance Rating Scale:

1= Unsatisfactory - did not meet expectations
60

2 = Fair - somewhat met expectations, but need improvement

3= Satisfactory - met expectations
4 = Good - met and exceeded expectations
5= Excellent - far exceeded expectations

1. Attitude/Effort: His/her attitude and efforts towards the work & duties
assigned during internship.

Ability to meet deadlines

Keen to take on extra duties
Seeks out opportunities
Always make a contributions in work

Always Takes initiative

61

2. Works Independently: His/her ability to work independently to complete tasks

with minimum supervision.

Always submit assignments timely

Complete tasks effectively

Tasks are fully completed

Team player/assists others

Needs constant
supervision/help

3. Adaptability: His/her ability to adjust to new work requirements, directions

with a minimum loss of efficiency.
1

Response to feedback
62

Attitude towards change to work

duties

Acceptance
to
criticism
and
modifications
in
behavior/task
accordingly.
Ability to accommodate to new
directions/tasks

4. Interpersonal Skills: Degree to which intern gets along with others (co-workers,
supervisor,clients.)

Ability to work well in groups

Professional

behaviour

with

co-

63

workers

Effective
and
cooperative
relationships with co-workers

Ability to follow direction

5. Reliability: Consider of absences or degree of regularity in coming to work on

regularly scheduled work days during the period.

Punctuality & Regularity

Arrives on time or early

Absence planned/non-disruptive

64

6. Ability to learn: His/her ability to understand/grasp new ideas, opinions &

instructions.

Interest in learning new tasks

Actively seeks out information

Continually improvement
performance

in

job

Accept new ideas and instructions

Part B: Specific Internship Learning Objectives (specific learning objectives should

be filled in by student prior to giving form to supervisor)

Additional Feedback/Comments
(1) What were the strengths of this intern?

(2) What were the weaknesses of this intern?

65

(3) Are you willing to take interns in next year? (Indicate one) Yes No
If no, why not?

(4) What qualifications would you like to see in future interns?

(5) If an opening became available in your firm, would you consider this student
for a full- time position? Yes
No

6 ) How would you assess the interns overall performance?

outstanding above average satisfactory below average unsatisfactory

7) Any additional comments or recommendations.

66

CHAPTER- 8

BIBLIOGRAPHY

67

 www.indiainfoline.com
www.money.rediff.com
www.en.wikipedia.org
www.in.finance.yahoo.com
www.wikihow.com
www.moneycontrol.com

National Stock Exchange of India Ltd. Web. 05 July 2010.

<http://www.nseindia.com/>.

Welcome to AMFI! <http://www.amfiindia.com/>.

Birla Sun Life Financial Services - Mutual Funds, Life Insurance & Wealth
Management Services. <http://www.birlasunlife.com/>.

68