demat account
TRANSCRIPT
DEMAT ACCOUNT
Project report submitted towards Partial fulfilment
of
PGDM
Academic Session
[2009-2011]
UNDER THE GUIDANCE OF
Mr.Abhishek manchanda
Sales Manager
Edelweiss Broking Limited
Submitted by:
Name – Anurag Sharma
Roll No:-FC09125
CERTIFICATE
1
“DEMAT ACCOUNT”
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This is to certify that the project work done on “DEMAT ACCOUNT” is an original work
carried out by Mr.Anurag Sharma under my supervision and guidance. The project report is
submitted towards the partial fulfillment of two – year, full time Post Graduate Diploma in
Management.
This work has not been submitted anywhere else for any other degree/diploma. The work
was carried out from03/05/2010 to 02/06/2010 in Edelweiss Capital.
Abhishek Manchanda Anurag Sharma Roll No.FC09125
Date:01/07/2010
CERTIFICATE
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This is to certify that the project work done on “DEMAT ACCOUNT” is an original work
carried out by Mr.Anurag Sharma under my supervision and guidance. The project report is
submitted towards the partial fulfillment of two – year, full time Post Graduate Diploma in
Management.
This work has not been submitted anywhere else for any other degree/diploma. The work was
carried out from03/05/2010 to 30/06/2010 in Edelweiss Capital.
Arnab Ghosh Sheena Manchanda
Date:01/07/2010
Anurag Sharma
FC09125
ACKNOWLEDGEMENT3
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This formal piece of acknowledgement may be sufficient to express the feelings of gratitude
people who have helped me in successfully completing my Final Project Report.
I am grateful to Mr.Abhishek Manchanda Sales manager of “EDELWEISS BROKING
LIMITED” for giving me a chance to do my Final Project Report on “DEMAT
ACCOUNT” which required extensive study of various investment measures.
I feel,I shall always remain indebted to Ms.Sheena Manchanda(Assistant Professor in
JIMS) without whom it is being impossible to complete my project report. He gave his kind
supervision, guidance, timely support and all other kind of help required in each and every
moment of need.
I am deeply indebted to my dear parents, friends whose blessings and inspirations have
brought me up to this stage of my career.
(Anurag Sharma)
FC09125
STUDENT DECLARATION
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I ‘Anurag Sharma’ hereby declare that In Final Project Report on “Demat Account ” which
is submitted in partial fulfilment of the requirements of PGDM at JIMS(jagan institute of
management and studies) is my original work and not submitted for the award of any other
degree, diploma, fellowship or other similar titles.
Anurag Sharma
PREFACE
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The successful completion of this project was a unique experience for me because by visiting
many place and interacting various person, I achieved a better knowledge about sales. The
experience which I gained by doing this project was essential at this turning point of my
career this project is being submitted which content detailed analysis of the research under
taken by me.
The research provides an opportunity to the student to devote his/her skills knowledge and
competencies required during the technical session.
The research is on the topic “Edelweiss Broking Demat Account”
EXECUTIVE SUMMARY
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Training and development is the essential job of human resources department of every
organization. It is necessary to help employees in dealing with the changes caused by the
changing business environment.
I, Anurag Sharma had done my project in EDELWEISS BROKING LTD. which is a leading
company in finance industry. The main objective of my project was to “Demat Account”.
The training design included departments, and their training needs, month of training,
sequence of training and methods of training. A proper matrix was formed differently for
each level highlighting the requirements to be trained.
It also includes different skills workshop including the contents, objectives of the skills
imparted to the employees. Most important in training process are the ice breakers and games
which help the trainees in feeling relaxed and refreshed.
Each level in organization was considered as separate entity and training procedure for them
was also different.
TABLE OF CONTENTS FOR PROJECT REPORT
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Introduction 9
SWOT Analysis 14
Discussion on Training 16
Demat Account of Edelweiss 20
Need for the study 30
Competitors 31
Objective 36
Research Methodology 37
Data Analysis and Interpretation 40
Observation and Finding 50
Limitation 51
Suggestion 51
Summary and Conclusion 52
Bibliography 53
ANNEXURE (contains questionnaire) 54
INTRODUCTION
EDELWEISS GROUP started its journey in Mumbai in the year 1995, by two IIM
graduates, Mr. Rashesh Shah and Mr. Venkat Ramaswami.
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“Ideas create, values protect”
is the slogan and depict the mission statement of Edelweiss group.
“Our Reputation and Image is more important than any financial reward. Reputation is
hard to build and even harder to rebuild. Reputation will be impacted by our ability to
think for our clients, maintain confidentiality and by our adherence to our value system.”
Mr. Rashesh Shah
Mr. Venkat Ramaswami
The Logo: Edelweiss, a rare flower found in Switzerland. A graphic flower that
represents ideas! Around it, the protective arms of the letter ‘E’:
Edelweiss believes ideas create wealth, but values protect it.
It is the practice of this core thought that has led to Edelweiss becoming one of the
leading financial services company in India.
Its current businesses include:
Investment Banking,
Securities Broking, and
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Investment Management.
Edelweiss also provides a wide range of services to:
Corporations,
Institutional Investors and
High Net-Worth Individuals.
Headquarter based in Mumbai, India.
KEY PEOPLE: Chairman & Founder: Mr. Rashesh Shah (IIM Graduate 1995 batch) and
Venkat Ramaswami.
Designated director: Naresh Kothari.
Directors: Rashesh Shah, Venkat Ramaswami and Hiralal Chopra.
Type of industry: investment banking, brokerage and asset management firm.
Total market capitalization: About Rs. 13,000 cr.
Total number of employees: 645
Edelweiss was previously into niche marketing only, dealing with the High Net Worth
Individuals (HNWI) clients only. Looking at the current market scenario, company is
targeting the Retail Segment with its new Online Trading Portal.
The company sights the need for entering into the retail segment by seeing the
saturation of the niche market and the exploration of the areas which was left untouched by
the organization. The idea behind this is to Reposition the company from niche marketer to
mass marketer. The brand repositioning of the company is done in order to withstand the
current market scenario (Global Economic Crisis).
The product or the service that the company has come up with is the Prepaid Broking
Plan for both the retail as well as HNI customers. Basically every broking firm offers
dematerialization and the trading account with some charges associated to it and the main
source of income is the brokerage that is collected on every transaction made by the
customer, which is a continues source of income. 10
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The prepaid account is like mobile cash card which has to be recharge first and then
can be used for a year. The client has to pay the brokerage in advance which will be deducted
on every transaction. The client can recharge the account as the balance gets over before the
validity expires.
PRODUCTS AND SERVICES
Investment Banking
Institutional investment
Asset management
Wealth management
Private client brokerage
Insurance brokerage
Wholesale financing
Investment Banking:
An Investment Bank is a financial institution that deals with raising capital, trading
in securities and managing corporate mergers and acquisitions. Investment banks profit
from companies and governments by raising money through issuing and selling securities
in the capital markets (both equity, bond) and insuring bonds (selling credit default
swaps), as well as providing advice on transactions such as mergers and acquisitions.
At Edelweiss Securities Ltd, Investment Banking business is dedicated to providing corporations, entrepreneurs and investors, the highest quality independent financial advice and transaction execution.
Institutional Investment:
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Institutional investors are organizations which pool large sums of money and invest
those sums in companies. They include banks, insurance companies, retirement or pension
funds, hedge funds and mutual funds. Their role in the economy is to act as highly
specialized investors on behalf of others.
Asset Management or Investment management:
Investment management is the professional management of various securities (shares,
bonds etc.) and assets (e.g., real estate), to meet specified investment goals for the benefit
of the investors. Investors may be institutions (insurance companies, pension funds,
corporations etc.) or private investors (both directly via investment contracts and more
commonly via collective investment schemes e.g. mutual funds or Exchange Traded Funds)
Private client brokerage:
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The Private Client
Services Group (PCG) at
Edelweiss is focused on
providing products, strategies
and services to High Net worth
Individuals and Corporate
Clients. It has geographic
reach through Branches, Channel Partners & Investment Consultants in over 19 locations
in India. The PCG team has highly trained equity professionals, who act as clients Equity
Advisor. Its ESL Equity Advisor proactively helps you take informed investment
decisions and build a healthy portfolio.
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SWOT ANALYSIS
Strength:-
Co-operative and Experienced Branch Managers Good Database Reliance Brand Low pricing
Weakness:-
Inexperienced Staff Low awareness due to lack of advertisement. Lack of loyal clientage Developing product.
Opportunity:-
Untapped Market Increased spending power Changing Mindset of Customers Unpredictable Sensex
Threat:-
Reach Stiff competition from existing players in the market Better products
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WHAT DOES EDELWEISS BROKING LTD. OFFERS
1. Personalized Service
Company believes in providing personalized service and individual attention to each
client to ensure that we understand their goals and help them achieve it.
2. Professional Advice
Company offers expert advice on equity and debt portfolios with an objective to
provide consistent long-term return while taking calculated market risks. Companies
approach helps clients build a proper mix of products, and not concentrate on just one
individual product. Hence, serving long-term objectives in the best way.
3. Long-term Relationship
Company believes that long-term vision is the only means to steady wealth creation.
However to achieve this one also needs to take advantage of short-term market
opportunities while not losing sight of long-term objectives. Hence it partners all its
clients in realizing their long-term vision.
4. Access to Research Reports
Company provides the clients with access to the expert opinion of economists and
analysts.
5. Transparency and Confidentiality
Companies clients receive regular portfolio statements from relationship managers via
email.
DISCUSSION ON TRAINING
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Student’s work profile (role and responsibilities)
I worked there with EDELWEISS BROKING LTD. with a profile of sales trainee. This
profile offers me to understand the need of customer and provide them the best deal possible
with maximization of the profit, both for the company as well as for the customer.
The most important aspect for the role of trainee is trust. So far fulfilment of the
targets one needs to:
Capitalize on the old and loyal clientele which can be building slowly by advising
people in the best possible way.
Generating new leads through various activities.
Generation of leads
Since I was new in the field so I had to start from scratch and generate new leads to
sustain in the market.
Cold calling is one of the trusted ways of getting to the customers without meeting them.
Although the rate of conversion remained very less, for cold calling the quality and accent
remains a very important criterion. This activity gives me mixed result. I often got success
and generated many leads through it but it also landed me in awkward position where the
customer were in different mood and made us hear words for which a marketer should be
always prepared to hear. Corporate calls always remained more difficult to crack with respect
to retail sector.
The corporate were the most difficult and most temping to get the business from. It
took me one day to crack Hi-tech Gears.
At EDELWEISS BROKING LTD. after getting the product knowledge in the first week at
the branch I was also allotted distributor to work with. In the initial phase I was accompanied
by more experienced staff. After I became known to the market and procedure I started
attending calls alone only.
After the third week my performance also improved and I was able to get close to the targets,
though it looked difficult to achieve in the beginning. To get awareness of the every product I
attended diversified calls. This helped me to implement cross selling to get better results.
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LIMITATIONS:
1. Cold Calling
• Voice and accent plays a major role.
• The right time to call a customer cannot be decided, as the customer may in a
different mood at the time of calling.
• Time consuming
• Less success rate
2. Corporate
• Time consuming
• Contacts with higher authorities play a major role
Description of live experience
I was supposed to use the database provided by the company to make cold calls or by directly
meeting people to get new leads.
While making cold calls, we need to have:
• Good Communication Skills (Voice quality is clear and articulate)
• Persistent and able to bounce back from rejection
• Good organizational skills.
• Ability to project a telephone personality (Enthusiasm, friendliness)
• Flexibility: can adapt to different types of clients and new situations.
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Using a good database is very essential.
“Eighty percent of our business comes from 20 percent of our customers" is a frequent
statement at any sales convention. There's hardly a sales executive who is not aware of the
80/20 rule”.
While talking to customers, I analyze their needs. Whether they want to go for investment
purpose or insurance or both. Suggest them the plan that best suits them. If they agree to it
then either we send across the agents to close the deal or close it themselves.
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Problems faced while selling products:
• Customer dissatisfied with the services.
• People fear that Edelweiss Broking Being a Private company and a new entrant may
be able to sustain or not.
• Past experience, word of mouth.
• Misguidance by agents.
• People do not want insurance products.
• Lack of knowledge and less awareness about demat account.
• People risk appetite is very low, so they are afraid of mutual fund as well.
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“Ideas create, values protect”
EDELWEISS DEMAT ACCOUNTS
Overview of Demat Account
Demat account allows you to buy, sell and transact shares without the endless paperwork and
delays. It is also safe, secure and convenient.
In India, a demat account, the abbreviation for dematerialized account, is a type of banking
account which dematerializes paper-based physical stock shares. The dematerialized account
is used to avoid holding physical shares: the shares are bought and sold through a stock
broker.
This account is popular in India. The Securities and Exchange Board of India (SEBI)
mandates a Demat account for share trading above 500 shares. As of April 2006, it became
mandatory that any person holding a Demat account should possess a Permanent Account
Number (PAN), and the deadline for submission of PAN details to the depository lapsed on
January 2007.
Is a demat account a must?
Now a day, practically all trades have to be settled in dematerialized form. Although the
market regulator, the Securities and Exchange Board of India (SEBI), has allowed trades of
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up to 500 shares to be settled in physical form, nobody wants physical shares any more. So a
demat account is a must for trading and investing.
Why Demat?The demat account reduces brokerage charges, makes pledging/hypothecation of shares
easier, enables quick ownership of securities on settlement resulting in increased liquidity,
avoids confusion in the ownership title of securities, and provides easy receipt of public issue
allotments.
It also helps you avoid bad deliveries caused by signature mismatch, postal delays and loss of
certificates in transit. Further, it eliminates risks associated with forgery, counterfeiting and
loss due to fire, theft or mutilation. Demat account holders can also avoid stamp duty (as
against 0.5 per cent payable on physical shares), avoid filling up of transfer deeds, and obtain
quick receipt of such benefits as stock splits and bonuses.
Steps involved in opening a demat accountFirst an investor has to approach a DP and fill up an account opening form. The account
opening form must be supported by copies of any one of the approved documents to serve as
proof of identity (POI) and proof of address (POA) as specified by SEBI. Besides, production
of PAN card in original at the time of opening of account has been made mandatory effective
fromApril01,2006.All applicants should carry original documents for verification by an
authorized official of the depository participant, under his signature.
Further, the investor has to sign an agreement with DP in a depository prescribed standard
format, which details rights and duties of investor and DP. DP should provide the investor
with a copy of the agreement and schedule of charges for their future reference. The DP will
open the account in the system and give an account number, which is also called BO ID
(Beneficiary Owner Identification number).
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The DP may revise the charges by giving 30 days notice in advance. SEBI has rationalized
the cost structure for dematerialization by removing account opening charges, transaction
charges for credit of securities, and custody charges vide circular dated January 28, 2005.
Further, SEBI has vide circular dated November 09, 2005 advised that with effect from
January 09, 2006, no charges shall be levied by a depository on DP and consequently, by a
DP on a Beneficiary Owner (BO) when a BO transfers all the securities lying in his account
to another branch of the same DP or to another DP of the same depository or another
depository, provided the BO Account/s at transferee DP and at transferor DP are one and the
same, i.e. identical in all respects.
In case the BO Account at transferor DP is a joint account, the BO Account at transferee DP
should also be a joint account in the same sequence of ownership.
Rights
1. You can open more than one depository account in the same name with single DP/
multiple DPs.
2. No minimum balance is required to be maintained in a depository account.
3. You can give a onetime standing instruction to your DP to receive all the credits coming
to your depository account automatically.
Procedure
1. Fill account opening form (available with your DP).
2. Give your DP the duly filled account opening form with introduction documents as may
be required.
3. Sign agreement with DP (agreement will state rights & obligations of both parties). The
agreement will contain the fee structure of your DP. Your DP would give you a copy of
this signed agreement for your record.
4. DP would give you Client Id no. (Account no.) Once your depository account is opened.
This Client Id no. along with your DP Id no. Forms a unique combination. Both these
nos. should be quoted in all your future correspondence with DP/NSDL / Issuing
Company/their registrar & transfer (R&T) agent.
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5. Your DP would give you pre-printed instruction slips for depository services viz.,
dematerialization, delivery instruction for trades, etc..Preserve these carefully.
6. Your DP would give you a list of deadlines for giving instructions for various depository
activities viz., transfer for effecting sale, purchase etc.. If not, check with the DP.
Required Documents
The extent of documentation required to open a demat Account may vary according to your
relationship with the institution. If you plan to open a demat account with a bank, a savings
account holder has an edge over the non-account holder. In fact, banks usually offer
additional incentives to customers who open a demat account with them.
Along with the application form, your photographs (with co-applicants) and proof of
identity/residence/date of birth have to be submitted. The DPs also ask for a DP-client
agreement to be executed on non-judicial stamp paper. Here is a broad list (you won’t need
all of them though):
PAN card
A canceled check,
Voter’s ID
Passport
Ration card
Driver’s license
Photo credit card
Employee ID card
Bank attestation
IT returns
Electricity/ Landline phone bill
While they only ask for photocopies of the documents, they will need the originals for
verification. You will have to submit a passport size photograph on which you sign across.
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Procedure
1. Fill account opening form (available with your DP).
2. Give your DP the duly filled account opening form with introduction documents as may
be required.
3. Sign agreement with DP (agreement will state rights & obligations of both parties). The
agreement will contain the fee structure of your DP. Your DP would give you a copy of
this signed agreement for your record.
4. DP would give you Client Id no. (Account no.) once your depository account is opened.
This Client Id no. along with your DP Id no. forms a unique combination. Both these
nos. should be quoted in all your future correspondence with DP/NSDL / Issuing
Company/their registrar & transfer (R&T) agent.
5. Your DP would give you pre-printed instruction slips for depository services viz.,
dematerialization, delivery instruction for trades, etc..Preserve these carefully.
6. Your DP would give you a list of deadlines for giving instructions for various depository
activities viz., transfer for effecting sale, purchase,etc.. If not, check with the DP.
Edelweiss Demat Account Services
Edelweiss Broking – Transacting and investing simplified. Get ready to change the way you
transact and invest in financial products and services. Whether you wish to transact in equity,
equity & derivatives, IPO’s offshore investments or prefer to invest in mutual funds, life &
general insurance products or avail money transfer and money changing services, you can do
it all through Edelweiss. Simply open a Edelweiss account and enjoy the convenience of
handling all your key financial transactions through this one window.
Benefits of having Edelweiss account.
• It’s cost effective
You pay comparatively lower transaction fees. As an Introductory offer, we invite you to pay
a flat fee of just Rs. 750/- and transact through Edelweiss.
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• Its offers single –
Through Edelweiss associates, you can transact in equity, equity and derivatives, offshore
investments mutual funds, IPO’s life insurance, general insurance, money transfer, money
changing and credit cards, amongst others.
• Its convenient
You can access Edelweiss services through
•The internet
•Transaction kiosks
•The phone (call & transact)
•Our all – India network of associates on an assisted trade.
It provide you value- added services at www.edelweiss.in you get
• Reliable research, including views of external experts with an enviable track record
• Live news updates from Reuters and Dow Jones
• CEO’s / expert views on the economy and financial markets
• Tools that help you plan your investments, tax, retirement, etc. in the personal finance
section
• Risk Analyzer for analysis of your risk profile
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• Asset allocators to build an appropriate investment portfolio
• Innovative use of technology for facilitating
The benefits:-
Benefits of Demat Account
• A safe and convenient way to hold securities;
• Immediate transfer of securities;
• No stamp duty on transfer of securities;
• Elimination of risks associated with physical certificates such as bad delivery, fake
securities, delays, thefts etc.;
• Reduction in paperwork involved in transfer of securities;
• Reduction in transaction cost;
• No odd lot problem, even one share can be sold;
• Nomination facility;
• Change in address recorded with DP gets registered with all companies in which investor
holds securities electronically eliminating the need to correspond with each of them
separately;
• Transmission of securities is done by DP eliminating Correspondence with companies;
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• Automatic credit into demat account of shares, arising out of
bonus/split/consolidation/merger etc.
• Holding investments in equity and debt instruments in a single account.
Benefit For Investors
Demat account has become a necessity for all categories of investors for the following
reasons/ benefits:
SEBI has made it compulsory for trades in almost all scrip’s to be settled in Demat
mode. Although, trades up to 500 shares can be settled in physical form, physical
settlement is virtually not taking place for
the apprehension of bad delivery on
Account of mismatch of signatures, forgery of signatures, fake certificates,
etc.
It is a safe and convenient way to hold securities compared to holding securities in
physical form..
No stamp duty is levied on transfer of securities held in Demat form.
Instantaneous transfer of securities enhances liquidity.
It eliminates delays, thefts, interceptions and subsequent misuse of certificates.
Change of name, address, registration of power of attorney, deletion of deceased's
name, etc. - can be affected across companies by one single instruction to the DP.
Each share is a market lot for the purpose of transactions - so no odd lot problem.
Any number of securities can be transferred/delivered with one delivery order.
Therefore, paperwork and signing of multiple transfer forms is done away with. It
facilitates taking advances against securities on low margin/low interest.
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Points To Remember
1. You may choose your DP based on your evaluation of their reputation, service
standards, charges, other conveniences, etc.
2. Open depository account with the same holding pattern as there on existing physical
securities. You will need to open separate accounts for every different combination of
holding pattern. Eg.: If 100 securities of company ABC & 200 securities of company
PQR are registered in the name of X as first holder & Y as second holder, one account in
name of X as first holder & Y as second holder is sufficient. Whereas, if 100 securities
of company ABC are registered in the name of X as first holder & Y as second holder &
200 securities of company PQR are registered in the name of Y as first holder & X as
second holder, you will need to open two accounts, one in the name of X as first holder
& Y as second holder and the second in the name of Y as first holder and X as second
holder.
3. Account opening procedure should typically take 2-5 days.
4. In case of holdings of a partnership firm, the account should be opened in the name of
the partner(s).
5. In case of holdings of a HUF, the account should be opened in the name of the Karta.
6. In case of a minor, the depository account should be opened in the name of the minor
and the guardian’s name should be mentioned. The guardian will sign as signatory on
behalf of the minor. For selling the securities of the minor, a court order should be
obtained.
7. In case of any difficulties, contact your DP.
8. Only securities admitted by NSDL can be dematerialized. The list is available with your
DP.
9. Only securities registered in the name of the account holder can be dematerialized.
10. Dematerialization is normally completed within 15 days after the share certificates have
reached the issuer/their R&T Agent. Thus it may take you a month from the date you
hand over shares, to receive demat credit.
11. Dematerialization would be done only when the issuer / their R&T Agent is satisfied of
genuineness of securities & ownership status
12. All the joint holders should sign the DRF.
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13. The pattern of holding in the DRF should match the pattern of holding on the share
certificate & the pattern in which account is opened.
14. Demat requests with name(s) not matching exactly with the name(s) appearing on the
certificates merely on account of initials not being spelt out fully or put after or prior to
the surname, would be processed, provided the signature(s) of the client(s) on the DRF
tallies with the specimen signature(s) available with the issuer/ their R & T agent.
15. If the signature in the DRF does not match with the signature available with the issuer/
their R & T agent, the issuer/ their R & T agent may at the time of demat confirmation,
ask for additional documentation (like bank attestation/ notarization, etc.) to prove that
the certificate belongs to the person who forwarded the DRF.
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NEED OF THE STUDY
The need of the study arises because of the reason that a trainee must understand the
company, its achievements and tasks, products and services and also to collect information
about its competitors, its products and services offered. So that, after understanding and
collecting information about the organization and its competitors, a trainee will be able to
work well for the organization.
From the study I have learned very much, about the company as well as the strategy of the
customers, which helps me a lot at my working days.
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COMPETITORS
HDFC BANK is one of the leading Depository Participant (DP) in the country with over 8
Lac demat accounts.
HDFC Bank Demat services offers you a secure and convenient way to keep track of your
securities and investments, over a period of time, without the hassle of handling physical
documents that get mutilated or lost in transit.
HDFC BANK is Depository participant both with National Securities Depositories Limited
(NSDL) and Central Depository Services Limited (CDSL).
Features & Benefits
As opposed to the earlier form of dealing in physical certificates with delays in transaction,
holding and trading in Demat form has the following benefits:
Settlement of Securities traded on the exchanges as well as off market transactions.
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Shorter settlements thereby enhancing liquidity.
Pledging of Securities.
Electronic credit in public issue.
Auto Credit of Rights / Bonus / Public Issues /
Dividend credit through ECS.
Auto Credit of Public Issue refunds to the bank account.
No stamp duty on transfer of securities held in demat form.
No concept of Market Lots.
Change of address, Signature, Dividend Mandate, registration of power of attorney,
transmission etc. can be effected across companies held in demat form by a single instruction
to the Depository Participant (DP).
Holding / Transaction details through Internet / email.
In case you need any more information or have any queries , feedback & complaints , you
may please mail us at [email protected]
Secured & easy transaction processing
HDFC Bank Ltd provides convenient facility called 'SPEED-e' (Internet based transaction)
whereby account holder can submit delivery instructions electronically through SPEED-e
website (https://speede.nsdl.com). SPEED-e offers secured means of transaction processing
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eliminating preparation of instruction slips and submission of the same across the counter to
the depository participant. The 'IDEAS' facility helps in viewing the current transactions and
balances (holdings) of Demat account on Internet on real time basis.
Disclaimer:
Whatever have been stated above are in the good interest of the
Investor / Demat Applicants / holders to provide a brief picture about the
depository system. You are requested go through the guidelines of the
depositories before taking any further action. For detailed guidelines, you
are requested to approach your nearest HDFC Bank branch. HDFC Bank
will not be responsible for any misunderstanding / act based on the above.
Also HDFC Bank might ask for additional information / documentation than
what has been stated above to process your application / instruction.
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ICICI DIRECT
ICICI Direct (or ICICIDirect.com) is stock trading company of ICICI Bank. Along with stock
trading and trading in derivatives in BSE and NSE, it also provides facility to invest in IPOs,
Mutual Funds and Bonds.
Trading is available in BSE and NSE
ICICI Direct offers 3 different online trading platforms to its customers Type of
Account
1. Share Trading Account
Share Trading Account by ICICI Direct is primarily for buying and selling of stocks in BSE
and NSE.
This account allows Cash Trading, Margin Trading,
Margin PLUS Trading, Spot Trading, Buy Today Sell
Tomorrow and Call and Trade on phone.
ICICIDirect.com website is the primary trading platform for this trading account. They also
provide installable application terminal based application for high volume trader.
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2. Wise Investment Account
1. Online Mutual funds investment allows investor to invest on-line in around 19 Mutual
Fund companies. ICICI Direct offers various options while investing in Mutual Funds
like Purchase Mutual Fund, Redemption and switch between different schemes,
Systematic Investment plans, Systematic withdrawal plan and transferring existing
Mutual Funds in to electronic mode. This account also provides facility to invest in
Government of India Bonds and ICICI Bank Tax Saving Bonds.
2. Active Trader account gives more personalized investment options to the investors. It
allows investor to use online and offline stock trading. It also provides with
independent market expertise and support through a dedicated Relationship Manager
from ICICI.
Active Trader also provides commodity trading.
Brokerage and fees
Account opening fees : Rs 750/- (One time nonrefundable)
Brokerage: ICICIDirect.com brokerage varies on volume of trade and inclusive of demat
transaction charges, service taxes and courier charges for contract notes. It ranges from 0.1%
to 0.15% for margin trades, 0.2% to 0.425% for squared off trades and 0.4% to 0.85% on
delivery based trades.
Disadvantages of ICICI Direct
1. Getting access to ICICIDirect.com website during market session can
be frustrating.
2. Brokerage rates are too high
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OBJECTIVE
To find the market potential and market penetration of Edelweiss broking product
offerings in Delhi,Gurgaon,Noida and local area nearby them.
To collect the real time information about preference level of customers using Demat
account and their inclination towards various other brokerage firms e.g.
India bulls, Share khan, India in foline, Religare, Alan- kit, Unicon.
To expand the market penetration of Edelweiss broking ltd.
To provide pricing strategy of competitors to fight cut throat competition.
To increase the product awareness of Edelweiss broking as single window shop for
investment solutions.
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RESEARCH METHODOLOGY
INTRODUCTION
Research Methodology refers to search of knowledge .one can also define research
methodology as a scientific and systematic search for required information on a specific
topic.
The word research methodology comes from the word “advance learner ‘s dictionary
meaning of research as a careful investigation or inquiry especially through research for new
facts in my branch of knowledge for example some author have define research methodology
as systematized effort to gain new knowledge.
TYPES OF RESEARCH
ANALYTICAL RESEARCH:-
It has to used facts or information already available and analyze these to make a critical
evaluation of material.
SAMPLE SIZE:
Considering the constraints it was decided to conduct the study based on sample size of
100 people in specific age groups.
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METHODS OF DATA COLLECTION
In the project work Primary data secondary data (both) sources of data has been used .
1. Primary data collection:
In dealing with real life problem it is often found that data at hand are inadequate, and hence,
it becomes necessary to collect data that is appropriate. There are several ways of collecting
the appropriate data which differ considerably in context of money costs, time and other
resources at the disposal of the researcher.
Primary data can be collected either through experiment or
through survey.
The data collection for this study was done in the following manner:
Through personal interviews:-
A rigid procedure was followed and we were seeking answers to many pre-conceived
questions through personal interviews.
Through questionnaire:-
Information to find out the investment potential and goal was found out through
questionnaires.
Through Tele-Calling:-
Information was also taken through telephone calls.
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2. Secondary sources of data:
In the secondary sources of data is used. (Internet , mazazine ,books, journals)
TOOLS OF ANALYSIS
In the project work quantitative technique & percentage
method are has been used.
RESEARCH DESIGN
For the proper analysis of data simple quantitative technique such as percentage were used. It
help in marketing more accurate generalization From the data available .The data which was
collected from a sample of population was assumed to be representing entire population was
interested .Demographic factor like age, income and educational background was used for the
classification purpose .
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DATA ANALYSIS AND INTERPRETATION
Q1. In which of these Financial Instruments do you invest into?
Financial Instrument Percentage of respondentMutual Fund 75%
Bond 16%
Online trading 7%
Derivative 2%
Result of Preference of Investment
Interpretation:
This shows that although the mutual funds market is on the rise yet,
the most favoured investment continues to be in the Share Market. So, with a more
transparent system, investment in the Stock Market can definitely be increased.
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Q2. Are you aware of online Share trading?
Aware of online share trading Percentage of respondentYes 72%No 28%
Result of awareness of online trading
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.41
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Q3. Heard about Edelweiss Broking Ltd.?
Awareness of Edelweiss Broking Ltd
Percentage of respondent
Yes 48%No 52%
Interpretation: This pie-chart shows that Edelweiss has a reasonable amount of Brand
awareness in terms of a premier Retail stock broking company. This brand image should be
further leveraged by the company to increase its market share over its competitors.
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48%
52%
Result of Awareness of Edelweiss broking Ltd.
yesno
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Q4. Do you know about the facilities provided by Edelweiss Broking Ltd.?
Awareness of Edelweiss BrokingServices
Percentage of respondent
Yes 36%No 64%
Interpretation:
Although there is sufficiently high 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.
Q .5 Which bank is Broking house is available everywhere?
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36%
64%
Awareness of Edelweiss Broking Facilities
yesNo
DEMAT ACCOUNT
Company Name Percentage of respondent
Edelweiss 15
ICICI 20
HDFC 15
Edelweiss ICICI HDFC02468101214161820
Interpretation:-
30% have respondent of Edelweiss Broking Ltd, 30% have respondent of
HDFC, 40% have respondent of ICICI.
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Q.6 Which banking Demat account offered you a large no. of services?
Company Name Percentage of respondent
Edelweiss Broking Ltd. 22
HDFC 10
ICICI 18
Edelweiss HDFC ICICI0
5
10
15
20
25
INTERPRETATION:
44% have respondent of Edelweiss Broking Ltd, 20% have respondent of HDFC, 36% have respondent of ICICI.
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Q.7 Which broking house provide you a better email facility?
Company Name Percentage of respondent
Edelweiss 15
HDFC 13
ICICI 22
Edelweiss HDFC ICICI0
5
10
15
20
25
INTERPRETATION: 30% have respondent of Edelweiss Broking Ltd., 26% have
respondent of HDFC, 44% have respondent of ICICI
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Q.8 Which company provide a less BROKARAGE rate ?
Company Name Percentage of respondent
Edelweiss 22
HDFC 11
ICICI 17
Edelweiss HDFC ICICI0
5
10
15
20
25
INTERPRETATION: 44% have respondent of Edelweiss broking ltd., 22% have
respondent of HDFC, 34% have respondent of ICICI.
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Q. 9 Which company provide you a large number of product and services?
Company Name Percentage of respondent
Edelweiss 22
HDFC 10
ICICI 18
Edelweiss HDFC ICICI0
5
10
15
20
25
INTERPRETATION:- 44% have respondent of Edelweiss Broking Ltd., 20% have
respondent of HDFC, 36% have respondent of ICICI.
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Represent a pie chart
41%
31%
28%
USER OF DEMAT ACCOUNTEdelweiss ICICI HDFC
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OBSERVATION
To study the sales and distribution management and improve the Customer
Acquisition Process by analyzing the consumer behavior, response and
mindset towards the product and services the company offers.
1. Preference of Investment:Consumers want to invest 75% in Mutual funds, 16% in Bonds, 7% in online trading and 2% in Derivatives.
2. Awareness on Online Share Trading
72% consumers are aware of online share trading and 28% consumers are not aware of online share trading.
3. Awareness of Edelweiss Broking48% consumers are know about Edelweiss Broking and 52% consumers are not know about Edelweiss Broking.
4. Awareness about facilities provided by Edelweiss Broking:36% consumers are aware about the facilities provided by Edelweiss Broking and 64% consumers are not know about the facilities provided by Edelweiss Broking.
5. Availability of Bank30% have respondent of Edelweiss Broking Ltd, 30% have respondent of HDFC, 40% have respondent of ICICI.
6. Which banking Demat account offered you a large no. of services?4% have respondent of Edelweiss Broking Ltd., 20% have respondent of HDFC, 36% have respondent of ICICI.
7. Better email facility provided by bank30% have respondent of Edelweiss Broking Ltd., 26% have respondent of HDFC, 44% have respondent of ICICI.
8. Provide a less BROKARAGE rate44% have respondent of Edelweiss Broking Ltd., 22% have respondent of HDFC, 34% have respondent of ICICI.
9. Provide a large no. of Products and services44% have respondent of Edelweiss Broking Ltd., 20% have respondent of HDFC, 36% have respondent of ICICI.
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LIMITATION
The time constraint was one of the major problems.
The study is limited to the different schemes available under the Demat
account selected.
The lack of information sources for the analysis part.
Geographical locations.
Extreme variability in MARKET.
SUGGESTION
1. The Brand image of Edelweiss Broking Ltd. is good in market but
according to customer satisfaction the company has to provide the better
service. And also change the Market strategy.
2. They should focus on print and electronic media advertisements to make
more people aware about them.
3. They should provide proper guidance to their customers about demat.
4. They should provide should offers and facilities to their customers to
increase their attractiveness about demat.
5. For opening an account they require lots of signatures in a kit, which
should be reduced.
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SUMMARY AND CONCLUSION
SUMMARY OF LEARNINGS EXPERIENCE
• To get initial success in this field is very difficult. Although the business generation
becomes easier with time as we serve more people who then get added up in the loyal
clientele. Thus time and service are two most factors to get in this field.
• Also the corporate remains a very important segment which gets business in bulk but
retail cannot be ignored which makes your business ticking.
• Customer remains in the pivotal position.
CONCLUSION
Edelweiss Demat Account is better than other Demat account. Edelweiss Broking Ltd. have
good return of investment. A good brand is always welcomed over here people are aware of
quality so they go for ready to spend bucks of money.
At last all conclusion be concluded by that Edelweiss Broking Ltd. is still growing industry in
India
Edelweiss Broking Ltd. account have less brokerage rate .
It provide a security with the use of special type of key .
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BIBLIOGRAPHY
Websites:
www.edelweiss.in
www.hdfc.com
www.icicidirect.com
www.demataccount.com
www.google.com
Reference books:
1. FINANCIAL INSTITUTIONS AND MARKETS 2.INVESTMENT MANAGEMENT
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ANNEXURE
MARKET RESEARCH QUESTIONNAIRE
PLEASE TICK MARK THE APPROPRIATE CHOICES
DEMOGRAPHIC
NAME: …………………………………………………………………………………….
Address ……………………………………………………………………………………
Phone no: …………………………………………………………………………………..
Types of business: …………………………………………………………………………………..
Gender
a. Maleb. Female
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Your annual income?
a. 0-4,00,000b. 4,00,001-8,00,000c. 8,00,001-12,00,000d. 12,00,001-15,00,000
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 Edelweiss Broking Ltd.?
Yes No
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Q4. Do you know about the facilities provided by Edelweiss Broking Ltd.?
Yes No
Q5. With which company do you have your DEMAT account?
Edelweiss Broking ICICI Direct HDFC
Others (please specify)
Q6. Which bank is easily available everywhere?
Edelweiss broking Ltd. HDFC ICICI
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Q7. Which banking Demat account offered you a large no. of services?
Edelweiss broking Ltd. HDFC ICICI
Q8. Which bank provides you a better email facility?
Edelweiss broking Ltd. HDFC ICICI
Q9. Which companies provide a less BROKARAGE rate?
Edelweiss broking Ltd. HDFC ICICI
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Q10. Which company provide you a large number of product and services?
Edelweiss broking Ltd. HDFC ICICI
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