RESEARCH REPORT

Perception of People towards and Various Investment Avenue

RESEARCH REPORT SUBMITTED IN PARTIAL FULLFILMENT OF MASTER OF BUSINESS ADMINISTRATION PROGRAMME (Session- 2010-2012)

IMS ENGINEERING COLLEGE GHAZIABAD MAHAMAYA TECHNICAL UNIVERSITY- NOIDA (U.P.) Submitted By: Vivek Singh Roll No. 1014370060 MBA 4th semester Research Guide: Miss. Punjika Rathi Asst. Prof. IMSEC Gaziabad

ACKNOWLEDGEMENT
First of all I would like to express my gratitude to my faculty Miss. PUNJIKA RATHI. who guided me with her knowledge and skill and helped me in successful completion of the work.

I thank my Institute who has given me an opportunity to show my skills. I also thank all my nearer and dearer ones without whose support this project would not been possible. I gratefully acknowledge the invaluable support and guidance that was provided to me by various individuals that led to the successful completion of this project. Their vision of the problem gave me enough direction to bring out a meaningful result. I extend my sincere gratitude towards my parents, who have always encouraged me and gave suggestions. They always stand by me. Their support has always motivated me. I would heartily thank all the respondents of the survey without whose support & valuable inputs this project would not have been completed

DECLARATION
I, Vivek Singh hereby declare that the research report titled PERCEPTION OF PEOPLE TOWARDS AND VARIOUS INVESTMENT AVENUE Submitted in Partial fulfillment for the degree of MASTER OF BUSINESS ADMINISTRATION to IMS ENGINEERING COLLEGE, GHAZIABAD is my own effort and has not been submitted earlier to any other University / Board / Institute.

Vivek Singh Roll No.1014370060 MBA 4th sem Place: Ghaziabad Date:

CERTIFICATE
This is to certify that Mr. VIVEK SINGH is a bonafide student of MBA 2nd year of this institute. He prepared research report titled titled PERCEPTION OF PEOPLE TOWARDS AND VARIOUS INVESTMENT AVENUE for partial fulfillment of Master of Business Administration (MBA) affiliated to Mahamaya Technical University, Noida (Formally Uttar Pradesh Technical University). I wish him all the best for his Future endeavors.

Prof. Rushen S. Chahal Head of Department (MBA)

TABLE OF CONTENT
Articles Front Page Acknowledgement Declaration Certificate Executive Summary Introduction To The Topic Introduction To Industry Introduction To Company Objective Of Research Research Methodology Data Collection And Interpretation Conclusion Limitations Bibliography Questionnaire Page No. 1 2 3 4 6-7 8-11 12-19 20-39 42-46 47-49 50-58 59-60 61-62 63-64 65-67

EXECUTIVE SUMMARY

EXECUTIVE SUMMARY
The present report is prepared for the partial fulfillment of M.B.A and as a part of curriculum. This is an attempt to determine and do a Study of PERCEPTION OF PEOPLE TOWARDS AND VARIOUS INVESTMENT AVENUE To pursue the research area of RELIGARE securities are chosen. Where the survey conducted through QUISTIONNARE and INTERVIEW. The data collection is as analyzed and some practical tools were applied to get inferences from the survey. The results are printed in forms of graphs and diagrams. The report has two sections, in its first section company profile is given, where as in second section, research methodology is given which includes sample design, analysis on sample and findings are given. Suggestions with respect to the survey for future improvement are given to improve the survey because their competitors have also taken up the survey. At the end of the report limitations, Conclusion of the research. Last there is Bibliography.

INTRODUCTION

INTRODUCTION
The working of stock exchanges in India started in 1875. BSE is the oldest stock market in India. The history of Indian stock trading starts with 318 persons taking membership in Native Share and Stock Brokers Association, which we now know by the name Bombay Stock Exchange or BSE in short. In 1965, BSE got permanent recognition from the Government of India. National Stock Exchange comes second to BSE in terms of popularity. BSE and NSE represent themselves as synonyms of Indian stock market. The history of Indian stock market is almost the same as the history of BSE. The 30 stock sensitive index or Sensex was first compiled in 1986. The Sensex is compiled based on the performance of the stocks of 30 financially sound benchmark companies. In 1990 the BSE crossed the 1000 mark for the first time. It crossed 2000, 3000 and 4000 figures in 1992. The reason for such huge surge in the stock market was the liberal financial policies announced by the then financial minister Dr. Man Mohan Singh. The up-beat mood of the market was suddenly lost with Harshad Mehta scam. It came to public knowledge that Mr. Mehta, also known as the big-bull of Indian stock market diverted huge funds from banks through fraudulent means. He played with 270 million shares of about 90 companies. Millions of small-scale investors became victims to the fraud as the Sensex fell flat shedding 570 points. To prevent such frauds, the Government formed The Securities and Exchange Board of India, through an Act in 1992. SEBI is the statutory body that controls and regulates the functioning of stock exchanges, brokers, sub-brokers, portfolio

managers investment advisors etc. SEBI oblige several rigid measures to protect the interest of investors. Now with the inception of online trading and daily settlements the chances for a fraud is nil, says top officials of SEBI. Sensex crossed the 5000 mark in 1999 and the 6000 mark in 2000. The 7000 mark was crossed in June and the 8000 mark on September 8 in 2005. Many foreign institutional investors (FII) are investing in Indian stock markets on a very large scale. The liberal economic policies pursued by successive Governments attracted foreign institutional investors to a large scale. Experts now believe the sensex can soar past 14000 mark before 2010. The unpredictable behavior of the market gave it a tag a volatile market. The factors that affected the market in the past were good monsoon, Bharatiya Janatha Partys rise to power etc. The result of a cricket match between India and Pakistan also affected the movements in Indian stock market. The National Democratic Alliance led by BJP, during 2004 public elections unsuccessfully tried to ride on the market sentiments to power. NDA was voted out of power and the sensex recorded the biggest fall in a day amidst fears that the Congress-Communist coalition would stall economic reforms. Later prime minister Man Mohan Singhs assurance of reforms with a human face cast off the fears and market reacted sharply to touch the highest ever mark of 8500. India, after United States hosts the largest number of listed companies. Global investors now ardently seek India as their preferred location for investment. Once viewed with skepticism, stock market now appeals to middle class Indians also. Many Indians working in foreign countries now divert their savings to stocks. This recent phenomenon is the result of opening up of online trading and diminished interest rates from banks. The stockbrokers based in India are opening offices in

different countries mainly to cater the needs of Non Resident Indians. The time factor also works for the NRIs. They can buy or sell stock online after returning from their work places.

INTRODUCTION TO INDUSTRY

INTRODUCTION TO INDUSTRY
The Securities Contract (Regulation) Act, 1956 [SCRA] defines Stock Exchange as anybody of individuals, whether incorporated or not, Constituted for the purpose of assisting, regulating or controlling the business

of buying, selling or dealing in securities. Stock exchange could be a regional stock exchange whose area of operation/jurisdiction is specified at the time of its recognition or national exchanges, which are permitted to have nationwide trading since inception. NSE was incorporated as a national stock exchange. Stock market is known as the cradle of capitalism. It is a place where companies come to raise their share capital and investors go to invest their surplus funds. Stock market essentially discharges the functions of "the invisible hand" that channels investment into the most productive ventures so as to optimize the overall productivity of the economy. Stock Market is a place where financial instruments like shares, debentures, commercial papers, bonds etc are bought and sold. Stock markets are popularly known as stock exchanges. There are many popular stock markets in the world. NASDQ, Tokyo Stock Exchange, London Stock Exchange are the most popular of the lot. There are many participants in a stock market. Investors, Speculators, Arbitrators, Traders are different type of participants of a Stock Market. Brokers are intermediaries who bring together various participants in a Stock Market.

National Stock Exchange (NSE)

The National Stock Exchange of India Ltd. (NSE), set up in the year 1993, is today the largest stock exchange in India and a preferred exchange for trading in equity, debt and derivatives instruments by investors. NSE has set up a sophisticated electronic trading, clearing and settlement platform and its infrastructure serves as a role model for the securities industry. The standards set by NSE in terms of market practices; products and technology have become industry benchmarks and are being replicated by many other market participants. It provides a screen-based automated trading system with a high degree of transparency and equal access to investors irrespective of geographical location. The high level of information dissemination through the on-line system has helped in integrating retail investors across the nation.

The exchange has a network in more than 350 cities and its trading members are connected to the central servers of the exchange in Mumbai through a sophisticated telecommunication network comprising of over 2500 VSATs. NSE has around 850 trading members and provides trading in over 1000 equity shares and 2500 debt securities. Besides this, NSE provides trading in various derivative products such as index futures, index options, stock futures, stock options and interest rate futures. At NSE, it has always been our endeavor to continuously upgrade the skills and proficiency of the Indian investor. Since, financially literate investors are the backbone of the securities market, knowledge and awareness about the securities market is of the foremost concern to us, starting with the most basic of information being made available as the first step. This booklet has therefore been prepared for those of you who are keen to acquire some basic but key information about the stock markets as an initial step towards becoming a more informed investor. We hope this booklet will act as a means of satisfying some of your initial queries on the stock markets.

NSE has several advantages over the traditional trading exchanges. They are as follows:

NSE brings an integrated stock market trading network across the nation. Investors can trade at the same price from anywhere in the country since inter-market operations are streamlined coupled with the countrywide access to the securities.

Delays in communication, late payments and the malpractices prevailing in the traditional trading mechanism can be done away with greater operational efficiency and informational transparency in the stock market operations, with the support of total computerized network.

Indian Stock Market

Indian stock exchanges host the most number of listed companies after United States. About 2500 companies are listed in the Bombay stock Exchange and the National Stock Exchange. Apart from foreign institutional investors, Indian stock market has some 30 million domestic investors. The working of stock markets has started in India as early as 1875, when 318 persons coming together to Native Share and Stock Brokers Association, with Re.1 for membership fee. Today the same place has Association has grown into BSE and compiles the benchmark index for 21 other exchanges spread throughout the country. BSESensex is the benchmark index of Indian stock exchanges. The 30 stocks that BSE has selected to determine the index are *ACC, Bajaj, Bharti, BHEL, Cipla, Dr Reddy's, GACL, Grasim, HDFC, HDFC Bank, Hero Honda, Hindalco, HLL, ICICI Bank, Infosys, ITC, L&T, Maruti, NTPC, ONGC, Ranbaxy, Reliance, Reliance Energy, Satyam, SBI, Tata Motors, Tata Power, TCS, Tisco and Wipro. The 30 companies come from 13 different industries and they are the market leaders in their industries. Closest to BSE is National Stock Exchange, also located at Bombay. Nifty is the market index of NSE. Indian stock market has seen many ups and downs, but now

is flying high, crossing every previous record and zooms to even further heights. BSE-Sensex crossed the four-figure mark of 1000 in 1990 and had a smooth bull ride till 1992, when the big-bull of Indian stock market, Harshad Mehta became a villain in the infamous Harshad Mehta scam broke out. The sensex lost 570 points in no time and some eight to 12 million investors were pushed to bankruptcy. After that incidence, came the Securities and Exchanges Board of India. With the enforcement of several regulations and strict guidelines, the confidence of investors was somewhat regained. With the present technology and practices, it is next to impossible to commit a fraud in Indian stock market. So claims the SEBI. Under the watchful eyes of SEBI, Indian stock markets once again gained momentum. The sensex crossed reached and crossed 6000 mark in 2000 and crossed the 7000 and 8000 marks in 2005. Foreign Institutional Investors are pumping in money into the market. The FIIs are confident of a sustainable momentum. The momentum in the stock market can be associated with the growth in the fields of export, IT, ITES, telecommunication, education, energy sector, agriculture etc. The reformist policies being pursued by the government is also a factor for this growth. Due to large scale outsourcing by American and European countries, a large number of jobs also went to India, resulting in more affluent youth who are only happy to spend out their money. This helped in the growth of telecommunication, FMCG and manufacturing sectors. The steady growth of GDP at around 6% is also a critical factor in the upward movement of Indian stock market. If the predictions of experts come true, sensex will go past 14000 by 2010.

Apart from FIIs, the non-resident Indians also invest hugely in the stock market. Diminishing returns from bank deposits and the facilities of online trading made them turn to stock markets and with the current bull-run many have made a good fortune from stock markets. The stockbrokers also chip in on and open offices in foreign countries, aimed at the NRIs there. The initial public offers by Tata Consultancy Services, Maruti Udyog Limited, ONGC etc were big events in Indian stock market. Not only did they put a great show, but also took the stock market to newer heights. TCS is a big weight in the stock market from the day it was listed. Traditional heavy weights are Reliance, Tata, Bharati etc. Now new entrants like Biocon are also play significant roles in the market. Growth directed at sky is visible everywhere. The biggest growth opportunity lies in the stock market itself. The population of India is well above one billion. The number of investors is just above 40 million.

INTRODUCTION TO COMPANY

COMPANY PROFILE

RELIGARE Securities Ltd. (RSL) is a wholly owned subsidiary of RELIGARE Financial Services Ltd. (RFSL), a Company promoted by the late Dr. Parvinder Singh, Ex-CMD of Ranbaxy Laboratories Ltd. The primary focus of Religare Securities Ltd. is to cater to services in Capital Market Operations to Institutional Investors. The Company is a member of the National Stock Exchange (NSE) and OTCEI. The growing list of financial institutions with whom RSL is empanelled as approved Broker is a reflection of the high levels of services maintained by the Company. REL operates from seven domestic regional offices, 43 sub-regional offices, and has a presence in 498* cities and towns controlling 1,837* business locations all over India. To make a mark in the global arena, REL acquired UK-based Hichens, Harrison & Co. in 2008 which was subsequently re-named as Religare Hichens Harrison PLC ("RHH"). Hichens, Harrison & Co. was incorporated in London in the year 1803 and is believed to be one of the oldest firms of stockbrokers in the City of London. Pursuant to expansion of REL's business, the company has grown from largely an equity trading company into a diversified financial services company. With the addition of RHH the REL group now operates out of multiple global locations, other than India, (the UK, the USA, Brazil, South Africa, Dubai and Singapore).

RELIGARE was founded with the vision of providing integrated financial care driven by the relationship of trust. The bouquet of services offered by RELIGARE includes Broking (Stocks and Commodities), Depository Participant Service, Advisory on Mutual Fund Investments and Portfolio Management Services. RELIGARE is a pioneer in the concept of partnership to reach multiple locations in order to effectively service its large base of individual clients. Besides the reach of RELIGARE, the clients of the company greatly benefit by its strong research capability, which encompasses fundamentals as well as technical knowledge. RELIGARE GROUP: RELIGARE in recent years has expanded its reach in health care and financial services wherein it has multiple specialty hospital and labs which provide health care services and multiple financial services such as secondary market equity services, portfolio management services, depository services etc. RELIGARE financial services group comprises of Religare Securities Limited, RELIGARE Comdex Limited and RELIGARE Finvest Limited which provide services in Equity, Commodity and Financial Services business & Religare Insurance Advisory Ltd.

RELIGARE SECURITIES LIMITED 1. Member of National Stock Exchange of India and Bombay Stock Exchange of India. 2. Depository Participant with National Securities Depository Limited (NSDL) and Central Depository Services Limited (CDSL). A SEBI approved Portfolio Manager. RSL provides platform to all segments of the investor to leverage the immense opportunity offered by equity investing in India either on their own or through managed funds in Portfolio Management. The ARN No. of the Religare Securities Ltd. is 33764. The ARN No. is required by to be available with the broker who deals on behalf of investors or sell the mutual funds of the different companies present in the market.

Religare Enterprises Limited

Religare Securities Limited

Religare Finvest Limited

Equity Broking Online Investment Portal Portfolio Management Services Depository Services Religare Commodities Limited

Lending and Distribution business Proposed Custodial business

Religare Insurance Broking Limited

Commodity Broking

Life Insurance General Insurance Reinsurance Religare Arts Initiative Limited Business of Art Gallery launched - arts-i Religare Venture Capital Limited Private Equity and Investment Manager Religare Asset Management* Derivatives Sales Corporate finance

Religare Capital Markets Limited

Investment Banking Proposed Institutional Broking Religare Realty Limited In house Real Estate Management Company Religare Hichens Harrison** Corporate Broking Institutional Broking

Services of Religare

Equity Arts Initiative Commodit y

Investment Banking

REL

Mutual Fund

Wealth Advisory Services

Insurance Personal Credit

Organization Structure:

Religare Enterprises Limited

Religare AMC Limited

Asset Management Business Portfolio Management AEGON Religare Life Insurance Co. Ltd.

Life Insurance Company, JV with Aegon(26%), Religare(44%), and Bennett & Coleman(30%) Religare Macquarie Wealth Mgmt. Ltd.

JV with Macquarie for Wealth Management Business. Religare Securities Limited

Retail Equity Broking Online Investment Portal Depository Services Religare Commodities Limited

Commodity Broking Business. Religare Capital Markets Limited

PE and M&A Advisory Institutional Broking Investment Banking Religare Finvest Limited

Lending and Distribution business.

Religare Insurance Broking Limited

Life Insurance Broking Business. Non-Life Insurance Broking Business. Religare Arts Initiative Limited

Business of Art Art Gallery Art Advisory Religare Venture Capital Limited

Private Equity and Investment Manager. Vistaar Religare Capital Advisors Ltd.

JV with Vistaar Entertainment Ventures for film fund. India's first ever film fund. Religare - Milestone

JV with Milestone Capital to manage a healthcare and education fund. Religare Finance Ltd.

Capital Market Financing

Competitors of Religare

India Infoline was founded in 1995 and was positioned as a research firm. In 2000 e-broking was started under the brand name of 5 paisa.com. A part from offering online trading in stock market the company offers mutual fund online. It also acts as a distributer of various financial services i.e. GOI securities ,Company Fixed Deposits, Insurance. It has a limited ground network, present in 20 cities. Online Account Type Investor Terminal: Investors /Students Trader Terminal: Day Traders/HNIs Pricing for retail clients Investor Terminal: Account Opening: Rs 500 Demat 1st year: Rs 250 Initial Margin: Rs 2500(Compulsory) Min Margin Retainable: Rs 100 Brokerage: Trading 0.10% each side + ST Delivery 0.50% each side + ST

Kotak Securities

Company Background Kotak Securities limited is a joint venture between Kotak Mahindra bank and Goldman Sachs. Online Account Type Free Way: Flat Rs 999 Cover Charges p.m. 0.03% per transaction High Trader: 6 Times Exposure Cash & Derivatives, Auto sq off 2:55 Pricing of Kotak Account opening: Rs 500 Demat: Rs 22.5 p.m. Initial Margin: Rs 5000(Compulsory) Min Margin Retainable: Rs 1000 Brokerage Slab wise: Higher the Volume, Lower the brokerage. Even older customers (on 0.25% & 0.40% ) have been moved to the slab wise structure.

India Bulls

Company Background India Bulls is a retail financial services company present in 70 locations covering 62 cities. It offers a full range o financial services and product ranging from Equities to Insurance. 450+ Relationship Managers who act as personal financial advisors. Online Account Type Signature Account: Plain Vanilla Account with focus on Equity Analysis. The equity analysis is a paid service even for A/c holders. Power India bulls: Account with sophisticated trading tools, low commission and priority to RM. Pricing of IB Accounts Signature Account Account Opening: Rs 250 Demat : Rs 200 if POA is signed, No AMC for this DP Initial Margin: NIL Brokerage: Negotiable

ICICI DIRECT

Company Background ICICI Web Trade Limited (IWTL) maintains ICICI direct.com. IWTL is an affiliated of ICICI Bank Limited and the Website is owned by ICICI Bank Limited. Account Type: ICICI Direct e-invest Account: Premium trading interface of ICICI Direct Link is giving to DBC partners and HNIs Plain Vanilla Account with focus on 3 in 1 advantage. Differentiated in services within the account. Cash on Spot Margin Plus Account Opening: Rs 750 Schemes: For short periods Rs 750 is refundable against brokerage generated in a qtr. These schemes are introduced 3-4 times a year. Demat: NIL, 1st year charges including in Account Opening Plus a facility to open additional 4 DPs without 1st year AMC. Initial Margin: NIL Brokerage: All brokerage is inclusive of stamp duty and exclusive of other taxes. Slab wise brokerage ranges from 0.75% to 0.25% depending on volume.

Sharekhan

Company Background Sharekhan is online stock trading company of SSKI Group, provider of Indiabased investment banking and corporate finance services. Sharekhan is one of the largest broking houses in the country. S.S. Kantilala Ishwarlal Securities Limited (SSKI) has been among Indias leading broking houses for more than a century. Types of Account: Sharekhan Classic account Sharekhan SpeedTrade account Brokerage: Some stock trading charges direct percentage while others a fixed amount per Rs 100. Sharekhan charges 0.50% for inter day and 0.10% for intra day .

Comparison Table of Brokerage in India

Online Broker SBICAP Securities brokerage charges Sharekhan brokerage charges Motilal Oswal brokerage charges 5 paisa brokerage charges Angel Broking brokerage charges ICICI direct brokerage charges Indiabulls brokerage charges HDFC Securities brokerage charges UTI Securities brokerage charges Religare brokerage charges Reliance Money brokerage charges Brokerage for Delivery 0.50% Brokerage for Intraday trading 0.10% MMC*

NIL

0.03% - 0.50%

0.03% - 0.10%

NIL

0.30% - 0.50%

0.03% - 0.15%

0.25% - 0.85%

0.07%

0.50%

0.02% - 0.03%

0.75%

0.15%

0.25% - 0.50%

0.05% - 0.10%

0.50%

0.15%

0.80%

0.15%

0.20% - 0.30%

0.02% - 0.03%

0.01%

0.01%

card system

Brokerage is usually negotiable: Several of you trying to choose an online broker and open an online trading account must have been frustrated trying to search for the exact brokerage charges charged by various online brokers. But the fact is the brokerage charged by the same broker varies and in several cases is negotiable. For example if you go and tell a brokerage house that you are going to deposit 2 lakh rupees and try to convince them you are going to trade heavily, they might consider reducing your brokerage. That is why in the above table you will find only a range for the brokerage charges in some cases. But that should be enough to get an idea.

Effective brokerage with taxes is more: In addition to the above brokerage charges you will have to pay STT (Securities Transaction Tax) at the rate or 0.02% of the total transaction amount. You will also be charged 12.5% Service Tax on the brokerage amount (and not on the transaction amount). For example, if your brokerage is 0.50% for delivery and you do a delivery transaction of Rs.100/then the total brokerage you pay is 0.50 (brokerage) + 0.02 (stt) + 0.063 (service tax) = 0.58 . Thus your effective brokerage (including all taxes) will be 0.58%. Similarly for brokerage on intraday transactions.

About Religare Securities Limited (RSL) One of the leading integrated financial services groups of India Diverse range of offerings Client base of more than 5000,000 and growing across the retail, wealth and Institutional Spectrum. Pan India and global footprint. Width and depth of management leading a formidable employee base. Best-in-class Research. Sweetly placed to spot new opportunities and power ahead. The Religare Edge Diverse offerings Dynamic Management Team State-of-the art technology Vast Distribution and Reach Robust Brand Recognition Synergistic partnerships Innovative Initiatives

Vision
"To be the leading emerging markets financial services group driven by innovation, delivering superior value for all stakeholders globally".

Mission
To be Indias first Multinational providing complete financial services solution across the globe.

BRAND IDENTITY Name

Religare is a Latin word that translates as 'to bind together'. This name has been chosen to reflect the integrated nature of the financial services the company offers.

Symbol

The Religare name is paired with the symbol of a four-leaf clover. Traditionally, it is considered good fortune to find a four-leaf clover as there is only one four-leaf clover for every 10,000 three-leaf clovers found. For us, each leaf of the clover has a special meaning. It is a symbol of Hope. Trust. Care. Good Fortune. For the world, it is the symbol of Religare.

The first leaf of the clover represents Hope. The aspirations to succeed. The dream of becoming. Of new possibilities. It is the beginning of every step and the foundation on which a person reaches for the stars. The second leaf of the clover represents Trust. The ability to place ones own faith in another. To have a relationship as partners in a team. To accomplish a given goal with the balance that brings satisfaction to all, not in the binding, but in the bond that is built. The third leaf of the clover represents Care. The secret ingredient that is the cement in every relationship. The truth of feeling that underlines sincerity and the triumph of diligence in every aspect. From it springs true warmth of service and the ability to adapt to evolving environments with consideration to all. The fourth and final leaf of the clover represents Good Fortune. Signifying that rare ability to meld opportunity and planning with circumstance to generate those often looked for remunerative moments of success. Hope. Trust. Care. Good Fortune. All elements perfectly combine in the emblematic and rare, four-leaf clover to visually symbolize the values that bind together and form the core of the Religare vision.

Accent usage The diacritical tilde mark ( ) over the letter A in the Religare typeface indicates a palatal emphasis sound of the letter A. Pronunciation religare (rel'i-gir)

GLOBAL NETWORK

We operate across multiple locations & countries

IMPORTANCE OF RESEARCH

IMPORTANCE OF RESEARCH:
The purpose of research is to discover answer to question through the application of scientific procedure. The main aim is to find out the truth which is hidden & which has not discovered as yet. Though each research study has its own specific purpose.

OBJECTIVE OF THE STUDY

OBJECTIVE OF THE STUDY

Savings form an important part of the economy of any nation. With the savings invested in various options available to the people, the money acts as the driver for growth of the country. Indian financial scene too presents a plethora of avenues to the investors. Though certainly not the best or deepest of markets in the world, it has reasonable options for an ordinary man to invest his savings. The money people earn is partly spent and the rest saved for meeting future expenses. Instead of keeping the savings idle they may like to use savings in order to get return on it in the future. This is called Investment. One needs to invest to and earn return on your idle resources and generate a specified sum of money for a specific goal in life and make a provision for an uncertain future. The various avenues of investment are: a) MUTUAL FUNDS b) STOCK MARKET c) BONDS d) INSURANCE POLICIES e) FIXED DEPOSITS f) GOVERNMENT SECURITIES g) REAL ESTATE h) COMMODITY MARKET

.MUTUAL FUNDSA mutual fund is a collection of stocks, bonds or cash-type investments such as a money market fundor some combination of these. Reasons to invest in mutual funds include: they are easy to buy and sell, are managed by someone other than you, and they give you a better. Basically Mutual fund is a pool of money collected from investors and is invested according to stated investment objectives. BONDSA bond is a debt security, in which the authorized issuer owes the holders a debt and, depending on the terms of the bond, is obliged to pay interest (the coupon) and/or to repay the principal at a later date, termed maturity. It is a formal contract to repay borrowed money with interest at fixed intervals. COMMODITY MARKET A commodity is a normal physical product used by everyday people during the course of their lives, or metals that are used in production or as a traditional store of wealth and a hedge against inflation. The market in which the trading regarding these commodities takes place is called commodity market. STOCK MARKETA stock market or equity market or industrial security market is a private or public market for the trading of company stock and derivatives of company stock at an agreed price; both of these are securities listed on a stock exchange as well as those only traded privately i.e. it is a market in which stocks are bought and sold.

GOVERNMENT SECURITIESGovernment securities (G-secs) are sovereign securities which are issued by the Reserve Bank of India on behalf of Government of India, in lieu of the Central Government's market borrowing programme. The term Government Securities includes: Central Government Securities. State Government Securities Treasury bills INSURANCE POLICIESAn insurance policy is primarily meant to protect the income of the familys bread earners. The idea is if any one or both die their dependents continue to live comfortably. The circle of life begins at birth follower by education, marriage and eventually after a lifetime of work we look forward to life of retirement. Insurance is a provision for the distribution of risks that is to say it is a financial provision against loss from unavoidable disasters. REAL ESTATEReal estate is a legal term that encompasses land along with improvements to the land, such as buildings, fences, wells and other site improvements that are fixed in location -- immovable. Real estate law is the body of regulations and legal codes which pertain to such matters under a particular jurisdiction and include things such as commercial and residential real property transactions. FIXED DEPOSITSMoney may be placed with a bank, merchant bank, building society or credit union for a fixed term at a fixed rate of interest which remains unchanged during the period of the deposit. Depositors may have to accept an interest penalty if they

break the deposit, ie, ask to take the money out before the agreed period has expired.

RESEARCH METHODOLOGY

RESEARCH METHODOLOGY
Marketing research plays an important role in the process of marketing. Starting with market component of the total marketing talks. It helps the firm to acquire a better understanding of the consumers, the competition and the marketing environment. Determine the sources of information : Primary Data :- Primary datas are those which are gathered specially for the project at hand, directly e.g. through questionnaires & interviews. Primary data sources include company salesman, middleman, consumers, buyers, trade associations executives & other businessman & even competitors. Secondary Data :- These are generally published sources, which have been collected originally for some other purpose. Source are internal company records, government publication, reports & publication, reports & journals, trade, professional and business associations publications & reports. Decide Research methods for collecting data :- If it is found that the secondary data cannot be of much use, collection of primary data become necessary. Three widely used methods of gathering primary data are A) Survey B) Observation C) Experimentation A) Survey Method :- In this method, information gathered directly from individual respondents, either through personal interviews or through mail questionnaires or telephone interviews.

B) Observation Method :- The research data are gathered through observing and recording their actions in a marketing situation. This technique is highly accurate. It is rather an expensive technique. C) Experimental Method :- This method involves carrying out a small scale trial solution to a problem, while at the same time, attempting to control all factors relevant to the problem. The main assumption here is that the test conditions are essentially the same as those that will be encountered later when conclusions derived from the experiment are applied to a broader marketing area. 1. RESEARCH PROBLEM Increase the awareness level of RELIGARE SECURITIES. Seek the general perception of consumer towards RELIGARE SECURITIES. To find the performance of RELIGARE SECURITIES vis--vis other Brands. To know the consumer psyche and their behavior towards RELIGARE SECURITIES. 2. RESEARCH OBJECTIVES & RELATED SUB OBJECTIVES To know the relationship of sales with the advertisement. To know awareness of people towards RELIGARE SECURITIES. To know which advertisement tool is mostly preferred by people. To know the preference of RELIGARE SECURITIES with comparison to Other competitive brands.

DATA COLLECTION AND INTERPRETATION

DATA PRESENTATION, ANALYSIS & INTERPRETATION 1) Preference of Investment: Financial Instruments Shares Mutual Funds Bonds Derivatives No. Of Investors (50) 37 8 4 1

Preference of Investment

7% 2% 16% 75%
Only shares Mutual funds Bonds Derivatives

Interpretation: This shows that although the mutual funds market is on the rise yet, the most favored investment continues to be in the Share Market. So, with a more transparent system, investment in the Stock Market can definitely be increased.

2) Awareness of online Share trading : YES 45 NO 5

Awareness Of Online Share Trading

No 9%

Yes 91%

Interpretation: With the increase in cyber education, the awareness towards online share trading has increased by leaps and bounds. This awareness is expected to increase further with the increase in Internet education.

3) Awareness of Religare as a Brand. YES 29 NO 21

AWARENESS OF RELIGARE AS A BRAND

43% 57%

YES NO

Interpretation: This pie chart shows that Religare has a reasonable amount of Brand awareness in terms of a premier Retail stock broking company. The company to increase its market share over its competitors should further leverage this brand image.

4) Awareness of the facilities provided by Religare : YES 42 NO 8

Awareness of Religare's facilities

17%
Yes

83%

No

Interpretation: Although there is sufficiently low brand equity among the target audience yet, it is to be noted that the customers are not aware of the facilities provided by the company meaning thereby, that, the company should concentrate more towards promotional tools and increase its focus on product awareness rather than brand awareness.

5) DEMAT Account Market : BROKING FIRMS Religare Securities ICICI Direct Kotak Securities India Bulls Others 6 15 4 12 13
Demat Account Market

INVESTORS

12% 26% 24% 31%

Religare ICICI Direct Kotak Securities IndiaBulls Others

7%

Interpretation: This shows that even with sufficiently high Brand Equity, Religare ranks only 3rd amongst the Demat account providers. This is probably because of two main reasons: 1. Lack of promotion and unfocussed approach towards Product awareness 2. Non transparent marketing policies of the company Hence, the company should crystallize its products and should indulge in aggressive marketing and promotion.

6) Satisfaction level among Customers with current Broker : YES 46 NO 4

Satisfaction level among Customers with current broker

Yes - 92%

No- 8%

Interpretation: This pie chart accentuates the fact that Strategic marketing, today, has gone beyond only meeting Sales targets and generating profit volumes. It shows that all the competitors are striving hard not only to woo the customers but also to make them Brand loyal by generating customer satisfaction.

7) How often do you trade: FREQUENCY OF TRADING Daily Weekly Monthly Yearly 5 13 26 6 NO. OF INVESTORS

Frequency of Trading
Daily- 9% Weekly- 27% Monthly-53% Yearly-11%

Interpretation: In spite of the huge returns that the share market promises, we see that there is still a dearth of active traders and investors. This is because of the non 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 requires efficient bureaucratic intervention on the part of the Government.

8) Percentage of earnings invested in Share Trading :

% of Earning Invested Up to 10 % Up to 25 % Up to 50 % Above 50 %

No. of Investors 35 9 4 2

Percentage of earnings invested in Share trading

Upto 10%--71% Upto 25%--19% Upto 50%-- 7% Above 50%--3%

Interpretation: This shows that people invest only upto 10% of their earnings in the stock market, again reiterating the volatile and non-transparent structure of the Indian stock market. Hence, effective and efficient steps should be undertaken to woo the customers to invest more in the lucrative stock market.

CONCLUSION

CONCLUSION In this research paper it was found that most of the people like to secure their future and for this they prefer to invest their savings in real estate, insurance policies and fixed deposits keeping in mind the factors like safety, regular income flow, and risk coverage. Generally as the work experience of the person increases the amount saved by him/her also starts increasing. In fact health also have a great influence on the savings of the person because as the health of the person gets worse the amount saved by him also start decreasing. Besides the above number of working members, number of dependents in a family, education level,region etc. all have an impact on the savings made by the person. The researcher found that the working of a broking firm is a very risky job because risk is involved in each and every activity of the business. The risk prevailing in the business is recognized therefore an efficient risk management department is essential in every broking firm. Capital Market is growing very fast, turnover wise as well as area of operation wise. The activities have reached through lengths and breadth of the country. All these necessitated in the introduction of latest technology in the form of advanced softwares. Broking business is a client-based business. The recent trend of voluminous increase in investors has also increased the risk involved in it. There is need of continuous up gradation of internal control measures Staff in a broking firm is continuous busy and due to which they are always under stress.

LIMITATION

LIMITATION One important limitation is that with this scale we can simply examine whether respondents are more or less favorable to a topic. But we cannot tell how more or less they are. There no basis for belief that the five positions indicated on the scale are equally spaced. The interval between strongly agree and agree may not be equal to the interval between agree and undecided. This means that Likert scale does not rise to a stature more than that of ordinal scale where as the designers of Thus tone scale claim the thus tone scale to be an interval scale. One further disadvantage is that often the total score of an individual respondent has little clear meaning since a given total score can be secured by a variety of answer patterns. It is unlikely that the respondent can validly react to a short statement on a printed form in the absence of real life qualifying situations moreover their remains a possibility that people may answer according to what they think that they should fell rather than how do they feel. This particular weakness of Likert-type scale is met by using a cumulative scale. In spite of all the limitations the Likert-type scales are regarded as the most useful in situation. Where in it is possible to compare the respondents score with the distribution of the scores from some well defined group. They are equally useful when we are concerned with a change or improvement in which case we can use the scales to measure the attitudes before and after the programmes of change or improvement in order to assess whether our efforts have had the desired effects.

BIBILIOGRSPHY

BIBLIOGRAPHY FINANCIAL SERVICES AND MARKETS Author: - Dr. Gurusamy RESEARCH METHODOLOGY METOHDS & TECHNIQUES Author: - C.R.Kothari PROJECT REPORT WRITING Author: - M.K.Rampal & S.L. Gupta www.religare.in www.bseindia.com www.nseindia.com www.google.co.in Dalal Street Various books of Equity Management.

QUESTIONNAIRE

QUESTIONNAIRE Q1. In which of these Financial Instruments do you invest into? Shares Mutual Funds Bonds Derivatives

Q2. Are you aware of online Share trading? Yes No

Q3. Heard about Religare? Yes No

Q4. Do you know about the facilities provided by Religare? Yes No

Q5. With which company do you have your DEMAT account? Religare ICICI Direct Kotak Mahindra India Bulls Others (please specify) __________

Q6. Are you currently satisfied with your Share trading company? Yes No

Q7. How often do you trade? Daily Weekly Monthly Yearly

Q8. What percentage of your earnings do you invest in share trading? Up to 10% Up to 25% Up to 50% Above 50%

Q9. Is broking firms are always risk free? Yes account? ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------Additional Information (optional) Name: Age: Phone No: Occupation: No Q10.What more facilities do you think you require with your DEMAT