pkm repotr modify.doc

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STUDY ON

PORTFOLIO MANAGEMENT

IN CONTEXT TO

Submitted in the partial fulfillment of Two Years Full

Time Masters of Business Administration degree, 2008-10

The Institute Of Certified Management Accountsof India, jaipur

ICMAI

Submitted to: Submitted By:

Mr. Kabool Chandra Mr. Ashish

Julaniya

Director MBA (Fin. &

Mktg.)


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The Institute of Certified Management

Session 2008-10

Accounts of India, Jaipur


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A COMPARATIVE ANALYSIS OF SECURITIES COMPANY WITH RELIGARESECURITIES LTD.

ON EQUITY

A summer training project report on training undertaken at

RELIGARE SECURITIES LTD.

The Institute Of Certified Management Accounts

of India, Jaipur

Submitted By:

PAWAN MAHESHWARIMBA IIIrd SemEnroll No- JU301140


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PREFACE

"Learning categories you and practicing is a learning specialization ". Learning isa prerequisite for behavior. Training is a process of learning a sequence ofprogrammed behavior .It is application of knowledge.

Theoretical and conceptual aspect taught in classrooms prove useful only whenthere is a projection in practical situation is analyzed and well understood, that iswhy practical orientation of management student is or must for generallycompetence to deal with issue at grassroots level .It is for this reason six to eight

weeks project training is described as a part of syllabus of Post GraduateDiploma in Business Management.

The financial market comprises of money market and capital marketand of the growth of any economy it is important that both of them work in co-ordination and people must aware of the functioning of both the markets. As thenew era of Indian economy just begin with the new liberalized policies andsigning of the GATT agreement huge investment by foreign participants in termof money and technology. A good sign for developing Indian economy.

Stock Exchange is essential pillar of private sector corporate economy .As thetopic of my study was. A COMPARATIVE ANALYSIS OF SECURITIESCOMPANY WITH RELIGARE SECURITIES LTD.(ON EQUITY) It was really awonderful opportunity to get insight in one of the most important aspect of stockexchange. The study covers working of stock exchange and also working ofbroking firms in Jaipur city. It shows various aspects, latest development &changes in working & facilities of broking firms in Jaipur city.I was fortunate enough to complete my summer training at Religare securities.

Besides provided me all together a new experience which would be of immense

help to me in my days to come.


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Acknowledgement

I am grateful to, Mr. Prashant sharma, Branch Manager, Rajapark, forproviding me with this opportunity to work on this project. Without his assistanceand continuous guidance this project would not have been completed. Myexperience from this project is indescribable and it has certainly broadened myknowledge arena by introducing me to the practical problems of the field whileperforming the market research survey.

I am thankful to Mr. Vishnu sharma for his inexhaustible support andcooperation during my summer training at Religare Securities Ltd. Jaipur.

I would like to extend my heartfelt thanks to all the Marketing managers and staffmembers of Religare without whose support I would not be able to make thisproject a success one.

I am indebted to my family and friends for providing such a support for myproject.Finally I would like to thank Almighty for giving me such an opportunity to workwith Religare Securities Ltd.

EXECUTIVE SUMMARY

The objective of the project was firstly, based on a methodological study, asit required to me to understand equity market. To execute the study I

preferred to study about securities market and all the participants in theequity market. Thus, the first part of the project was executed by learning thefollowing in detail:

1. Securities marketing in India2. About stock exchange3. Company profile4. About equity Market5. Participant in equity Market


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6. Services of Religare7. To do a comparative study of Religare product

With other market competitor.

After undergoing the training about the product and operational features I startedexploring the product and contacted the prospective customer by way oftelecalling, e-mails, corporate presentation, my primary aim was to give betteroptions to the prospective customers by offering them products specializedfeatures & its unique incomparable qualities in the services provided by Religaresecurities in share trading.

TABLE OF CONTENTS

S. No. Topic Page no.

1 Preface/Prelude 2

2 Acknowledgement 3

3 Executive Summary 4

4 Introduction to the Industry

4. 78-10

11-1213-15

1617-19202122

5 Introduction to the Organization5.1 Profile5.2 History5.3 Group companies5.4 Religare today

23-2425-2627-28

29


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5.5 Structure1 Securities Market in India4.2 About Stock Exchange4.3 Bombay Stock Exchange4.4 National Stock Exchange4.5 equity Market

4.6 SEBI4.7 ROLE OF DP4.8 NSDL4.9 CSDL5.6 Management5.7 Mission & vision5.8 Services5.9 Features5.10 Products5.11 SWOT analysis5.12 Trading & services

5.13 Religare edge

303132

33-3839-42

4344-4546-47

48

6 Research Methodology

6.1 Title of the Study6.2 Duration of the Project6.3 Objective of Study6.4 Type of Research6.5 Sample Size and method of

selecting sample6.6 Scope of Study6.7 Limitation of Study

4949495050

5151-52

7 Facts and Findings:-Competitors of Religare Securities Ltd:-

Indiabulls

Kotak Securities Ltd

HDFC Securities Ltd.

5 Paisa.com

53-66

8 Analysis and Interpretation 67-77

9 Conclusion 7810 Recommendation and Suggestions 79

11 Learnings 80

12 Appendix/ Annexures 81-83

13 Bibliography 84-85


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Introduction to the Industry

Securities Market in India- an overviewINTRODUCTION

The securities markets in India witnessed several policy initiatives since the year2000, which further refined the market micro-structure, modernized operations

and broadened investment choices for investors. The irregularities in thesecurities transactions in the last quarter of the previous financial year hastenedthe introduction and implementation of several reforms. While a JointParliamentary Committee was constituted to go into the irregularities andmanipulations in all their ramifications in all transactions relating to securities,decisions were taken to complete the process of demutualization andcorporatisation of stock exchanges to implement the decision to separateownership, management and operation of stock exchanges and to effectlegislative changes for investor protection, and to enhance the effectiveness ofSEBI as the capital market regulator.

Rolling settlement on T+5 bases was introduced in respect of most active 251securities from July 2, 2001 and in respect of balance securities from 31 st

December 2001. Rolling settlement on T+3 basis commenced for all listedsecurities from April 1, 2002 and subsequently on T+2 basis from 1, 2003. Alldeferral products such as carry forward were banned from July 2, 2002. Tradingin index options commenced in June 2001 and trading in options on individualsecurities commenced in July 2001. Futures contracts on individual stock werelaunched in November 2001. Futures and options contracts on 49 individualsecurities were made available from August 2003. Interest rate futures contractwas launched from June 2003. The year 2001-02 has also been quiet eventful


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for debt markets in India, with implementation of several important decisions likesetting up of a clearing corporation for government securities, a negotiateddealing system to facilitate transparent electronic bidding in auctions andsecondary market transactions on a real time basis and dematerialisation of debtinstruments.

About Stock Exchange

Stock Exchanges are an organised marketplace, either corporation or mutualorganisation, where members of the organisation gather to trade companystocks and other securities. The members may act either as agents for theircustomers, or as principals for their own accounts.

Stock exchanges also facilitate for the issue and redemption of securities andother financial instruments including the payment of income and dividends. Therecord keeping is central but trade is linked to such physical place becausemodern markets are computerised. The trade on an exchange is only bymembers and stock broker do have a seat on the exchange.

The stock exchanges are the exclusive centers for trading of securities. Theregulatory framework favors them heavily by almost banning trading of securitiesoutside exchanges. Till recently, they enjoyed territorial monopoly. Listing of

companies on the local exchange is mandatory to provide an opportunity toinvestors to invest in the securities of local companies. The companies wishingto list their securities must get listed on the regional (an exchange is consideredregional for the state/Union Territory where it is located) stock exchange nearestto their registered office. If they so wish, they can seek listing on otherexchanges also. In a vast country like India, investors long for convenience oftrading from a nearby place and take pride also in having stock exchanges intheir vicinity. Monopoly of the exchanges within their allocated area, regionalaspirations of the people and mandatory listing on the regional stock exchange


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resulted in multiplicity of exchanges. As a result, we have 24 exchanges (TheCapital Stock Exchange, the latest in the list, is yet to commence trading) in thecountry recognized over a period of time to enable investors across the lengthand breadth of the country to access the market.

Until recently, the area of operation/jurisdiction of an exchange was specified atthe time of its recognition, which in effect precluded competition among the

exchanges. These are called regional exchanges. However, the three newly setup exchanges (OTCEI, NSE and ICSE) were permitted to have nation widetrading since their inception. All other exchanges have now been allowed to setup trading terminals anywhere in the country. Many of them have alreadyexpanded trading operations to different parts of the country. The tradingplatforms of many exchanges are now accessible from a location. Further, withextensive use of information technology, the trading platforms of a fewexchanges are also accessible from anywhere through Internet and mobiledevices. This made a huge difference in a geographically vast country like India.It significantly expanded the reach of the exchange to the homes of ordinaryinvestors and assuaged the aspiration of the people to have exchanges in theirvicinity.

The issuers/investors now prefer to list/trade on exchanges providing nation-wide network rather than on regional exchanges. Consequently, territorial

jurisdiction of an exchange, opportunity to invest in securities of local companiesthrough listing on regional exchanges, and convenience of trading from a nearbyexchange lost relevance.The trading volumes on exchanges have been witnessing phenomenal growthfor last few years. Since the advent of screen based trading system in 1994-95,it has been growing by leaps and bounds and reported a total turnover of Rs. 33,13,338 crore in 2000-2001.It, however, declined to Rs. 24,79,990 crore during2002-2003 in view of alleged irregularities in stock market operations. Theintroduction of rolling settlement also contributed to decline as marketparticipants took some time to adjust to the new settlement regime. The growthof turnover has, however, not been uniform across exchanges. The increase in

turnover took place mostly at big exchanges and it was partly at the cost of smallexchanges that failed to keep pace with the changes. The business moved awayfrom small exchanges to big exchanges, which adopted technologically superiortrading and settlement systems. The huge liquidity and order depth of bigexchanges further diverted liquidity of other stock exchanges. As a result, 18small exchanges put together reported less than 0.01% of total turnover during2002-03, while two big exchanges accounted for over 98% of turnover. About adozen exchanges reported nil turnovers during 2001-02.


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NSE and BSE are the two major exchanges having nationwide operations. NSEoperated through 2800 VSATs (Very Small Aperture Terminals) in 358 cities atthe end of March 2003. The turnover in the CM segment of NSE from non-Mumbai locations accounted for over 86% of total turnover of other stockexchanges during 2002-03. It is observed that NSE now reports higher turnover

from its trading terminals in the home turf of most of the corresponding regional

exchanges indicating declining attractiveness of regional exchanges even forlocal company.

List of Stock Exchanges In India Bombay Stock

Exchange National Stock Exchange Regional Stock Exchangeso Ahmedabad Stock Exchangeo Bangalore Stock Exchangeo Bhubaneshwar Stock Exchangeo Calcutta Stock Exchangeo Cochin Stock Exchangeo Coimbatore Stock Exchangeo Delhi Stock Exchangeo Guwahati Stock Exchangeo Hyderabad Stock Exchangeo Jaipur Stock Exchangeo Ludhiana Stock Exchangeo Madhya Pradesh Stock Exchangeo Madras Stock Exchangeo Magadh Stock Exchangeo Mangalore Stock Exchangeo Meerut Stock Exchangeo OTC Exchange Of Indiao Pune Stock Exchangeo Saurashtra Kutch Stock Exchangeo Uttar Pradesh Stock Exchangeo Vadodara Stock Exchange

History of Stock Exchanges In India:

In 1860, the exchange flourished with 60 brokers. In fact the 'Share Mania' inIndia began when the American Civil War broke and the cotton supply from the
http://www.surfindia.com/finance/bombay-stock-exchange.htmlhttp://www.surfindia.com/finance/bombay-stock-exchange.htmlhttp://www.surfindia.com/finance/national-stock-exchange.htmlhttp://www.surfindia.com/finance/regional-stock-exchanges.htmlhttp://www.surfindia.com/finance/ahmedabad-stock-exchange.htmlhttp://www.surfindia.com/finance/bangalore-stock-exchange.htmlhttp://www.surfindia.com/finance/bhubaneshwar-stock-exchange.htmlhttp://www.surfindia.com/finance/calcutta-stock-exchange.htmlhttp://www.surfindia.com/finance/cochin-stock-exchange.htmlhttp://www.surfindia.com/finance/coimbatore-stock-exchange.htmlhttp://www.surfindia.com/finance/delhi-stock-exchange.htmlhttp://www.surfindia.com/finance/guwahati-stock-exchange.htmlhttp://www.surfindia.com/finance/hyderabad-stock-exchange.htmlhttp://www.surfindia.com/finance/jaipur-stock-exchange.htmlhttp://www.surfindia.com/finance/ludhiana-stock-exchange.htmlhttp://www.surfindia.com/finance/madhya-pradesh-stock-exchange.htmlhttp://www.surfindia.com/finance/madras-stock-exchange.htmlhttp://www.surfindia.com/finance/magadh-stock-exchange.htmlhttp://www.surfindia.com/finance/mangalore-stock-exchange.htmlhttp://www.surfindia.com/finance/meerut-stock-exchange.htmlhttp://www.surfindia.com/finance/otc-exchange-india.htmlhttp://www.surfindia.com/finance/pune-stock-exchange.htmlhttp://www.surfindia.com/finance/kutch-stock-exchange.htmlhttp://www.surfindia.com/finance/uttar-pradesh-stock-exchange.htmlhttp://www.surfindia.com/finance/vadodara-stock-exchange.htmlhttp://www.surfindia.com/finance/national-stock-exchange.htmlhttp://www.surfindia.com/finance/regional-stock-exchanges.htmlhttp://www.surfindia.com/finance/ahmedabad-stock-exchange.htmlhttp://www.surfindia.com/finance/bangalore-stock-exchange.htmlhttp://www.surfindia.com/finance/bhubaneshwar-stock-exchange.htmlhttp://www.surfindia.com/finance/calcutta-stock-exchange.htmlhttp://www.surfindia.com/finance/cochin-stock-exchange.htmlhttp://www.surfindia.com/finance/coimbatore-stock-exchange.htmlhttp://www.surfindia.com/finance/delhi-stock-exchange.htmlhttp://www.surfindia.com/finance/guwahati-stock-exchange.htmlhttp://www.surfindia.com/finance/hyderabad-stock-exchange.htmlhttp://www.surfindia.com/finance/jaipur-stock-exchange.htmlhttp://www.surfindia.com/finance/ludhiana-stock-exchange.htmlhttp://www.surfindia.com/finance/madhya-pradesh-stock-exchange.htmlhttp://www.surfindia.com/finance/madras-stock-exchange.htmlhttp://www.surfindia.com/finance/magadh-stock-exchange.htmlhttp://www.surfindia.com/finance/mangalore-stock-exchange.htmlhttp://www.surfindia.com/finance/meerut-stock-exchange.htmlhttp://www.surfindia.com/finance/otc-exchange-india.htmlhttp://www.surfindia.com/finance/pune-stock-exchange.htmlhttp://www.surfindia.com/finance/kutch-stock-exchange.htmlhttp://www.surfindia.com/finance/uttar-pradesh-stock-exchange.htmlhttp://www.surfindia.com/finance/vadodara-stock-exchange.htmlhttp://www.surfindia.com/finance/bombay-stock-exchange.htmlhttp://www.surfindia.com/finance/bombay-stock-exchange.htmlhttp://www.surfindia.com/finance/bombay-stock-exchange.html


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US to Europe stopped. Further the brokers increased to 250.

At the end of the war in 1874, the market found a place in a street (now calledDalal Street). In 1887, "Native Share and Stock Brokers' Association" wasestablished. In 1895, the exchange acquired a premise in the street which was

inaugurated in 1899.

Bombay Stock Exchange (BSE)

About the Bombay Stock Exchange :As the first stock exchange in India, the Bombay Stock Exchange is consideredto have played a very important role in the development of the country's capitalmarkets. The Bombay Stock Exchange is the largest of 22 exchanges in India,with over 6,000 listed companies. It is also the fifth largest exchange in theworld, with market capitalization of $466 billion.

The Bombay Stock Exchange uses the BSE Sensex, an index of 30 large,developed BSE stocks. This index gives a measure of the overall performanceof the Bombay Stock Exchange, and is closely followed around the world. Basedon the Sensex, the BSE equity market has grown significantly since 1990.

In addition to individual stocks, the BSE also has a market in derivatives, whichwas the first to be established in India. Listed derivatives on the exchangeinclude stock futures and options, index futures and options, and weekly options.

The Bombay Stock Exchange is also actively involved with the development ofthe retail debt market. The debt market in India is considered extremelyimportant, as the country continues to develop and depends on this type ofinvestment for growth. Until recently, the debt market in India was limited to awholesale market, with banks and financial institutions as the only participants.The Bombay Stock Exchange believes that a retail market will bring greatopportunities to individual investors through better diversification


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Bombay Stock Exchange Profile :

Address Phiroze Jeejeebhoy Towers, Dalal Street, Mumbai 400001

Telephone 91-22-22721233/4

Web Site www.bseindia.com

Trading Hours Monday - Friday, 9:55 am - 3:30 pm ISTHolidays Bakri-Id, Republic Day, Good Friday, Ambedkar Jayanti,

Independence Day, Ganesh Chaturthi, Dasera, Diwali (LaxmiPoojan), Diwali (Bhaubeej), Ramzan Id, Guru Nanak Jayanti.

Securities Stocks, bonds, derivatives

Trading System Electronic

History of the Bombay Stock Exchange :

The Bombay Stock Exchange is known as the oldest exchange in Asia. It traces itshistory to the 1850s, when stockbrokers would gather under banyan trees in front ofMumbai's Town Hall. The location of these meetings changed many times, as thenumber of brokers constantly increased. The group eventually moved to Dalal Streetin 1874 and in 1875 became an official organization known as 'The Native Share &Stock Brokers Association'. In 1956, the BSE became the first stock exchange to berecognized by the Indian Government under the Securities Contracts Regulation Act.

The Bombay Stock Exchange developed the BSE Sensex in 1986, giving the BSE ameans to measure overall performance of the exchange. In 2000 the BSE used thisindex to open its derivatives market, trading Sensex futures contracts. The

development of Sensex options along with equity derivatives followed in 2001 and2002, expanding the BSE's trading platform.

Historically an open-cry floor trading exchange, the Bombay Stock Exchangeswitched to an electronic trading system in 1995. It took the exchange only fifty daysto make this transition.
http://www.bseindia.com/http://www.bseindia.com/


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National Stock Exchange of India (NSE)

About the National Stock Exchange of India :

In the fast growing Indian financial market, there are 23 stock exchanges tradingsecurities. The National Stock Exchange of India (NSE) situated in Mumbai - is thelargest and most advanced exchange with 1016 companies listed and 726 tradingmembers.

The NSE is owned by the group of leading financial institutions such as Indian Bankor Life Insurance Corporation of India. However, in the totally de-mutualisedExchange, the ownership as well as the management does not have a right to tradeon the Exchange. Only qualified traders can be involved in the securities trading.

The NSE is one of the few exchanges in the world trading all types of securities on asingle platform, which is divided into three segments: Wholesale Debt Market (WDM),Capital Market (CM), and Futures & Options (F&O) Market. Each segment hasexperienced a significant growth throughout a few years of their launch. While theWDM segment has accumulated the annual growth of over 36% since its opening in

1994, the CM segment has increased by even 61% during the same period.

The National Stock Exchange of India has stringent requirements and criteria for thecompanies listed on the Exchange. Minimum capital requirements, project appraisal,and company's track record are just a few of the criteria. In addition, listed companiespay variable listing fees based on their corporate capital size.

The National Stock Exchange of India Ltd. provides its clients with a single, fullyelectronic trading platform that is operated through a VSAT network. Unlike mostworld exchanges, the NSE uses the satellite communication system that connectstraders from 345 Indian cities. The advanced technologies enable up to 6 million

trades to be operated daily on the NSE trading platform.


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National Stock Exchange of India Profile :

Address

National Stock Exchange of India Ltd.

Exchange Plaza,Plot no. C/1, G Block,Bandra-Kurla ComplexBandra (E)Mumbai - 400 051

Telephone (022) 26598100 8114

Web SiteClick here for the National Stock Exchange of India web site

Trading Hours 9.30 am - 4.30 pm.

Holidays Bakri Id (11 Jan), Republic Day (26 Jan), Moharram(9 Feb), Holi (15 Mar), Ram Navami (6 Apr),Mahavir Jayanti (11 Apr), Ambedkar Jayanti (14

Apr), Maharashtra Day (1 May), Independence Day(15 Aug), Gandhi Jayanti (2 Oct), Laxmi Puja (21Oct), Bhaubeej (24 Oct), Ramzan Id (25 Oct),Christmas (25 Dec)

Securities Equities, bonds, CPs, CDs, warrants, mutual fundsunits, ETFs, derivatives.

Trading System Fully automated screen based trading platform

NEATKey Staff S.B. Mathur - Chairman

Ravi Narain - Managing Director and CEO

History of the National Stock Exchange of India :

Capital market reforms in India and the launch of the Securities and Exchange Board
http://www.nseindia.com/http://www.nseindia.com/http://www.nseindia.com/http://www.nseindia.com/


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of India (SEBI) accelerated the incorporation of the second Indian stock exchangecalled the National Stock Exchange (NSE) in 1992. After a few years of operations,the NSE has become the largest stock exchange in India.

Three segments of the NSE trading platform were established one after another. TheWholesale Debt Market (WDM) commenced operations in June 1994 and the CapitalMarket (CM) segment was opened at the end of 1994. Finally, the Futures andOptions segment began operating in 2000. Today the NSE takes the 14th position inthe top 40 futures exchanges in the world.

In 1996, the National Stock Exchange of India launched S&P CNX Nifty and CNXJunior Indices that make up 100 most liquid stocks in India. CNX Nifty is a diversifiedindex of 50 stocks from 25 different economy sectors. The Indices are owned andmanaged by India Index Services and Products Ltd (IISL) that has a consulting andlicensing agreement with Standard & Poor's.

In 1998, the National Stock Exchange of India launched its web-site and was the firstexchange in India that started trading stock on the Internet in 2000. The NSE hasalso proved its leadership in the Indian financial market by gaining many awardssuch as 'Best IT Usage Award' by Computer Society in India (in 1996 and 1997) andCHIP Web Award by CHIP magazine (1999

What is equity Market?

In finance a share is a unit of account for various financial instruments includingstocks, mutual funds, limited partnerships, and REIT's. In British English, theusage of the word share alone to refer solely to stocks is so common that italmost replaces the word stock itself.


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In simple Words, a share or stock is a document issued by a company, whichentitles its holder to be one of the owners of the company. A share is issued by acompany or can be purchased from the stock market.

By owning a share you can earn a portion and selling shares you get capital

gain. So, your return is the dividend plus the capital gain. However, you also runa risk of making a capital loss if you have sold the share at a price below yourbuying price

How does one trade in shares?

Every transaction in the stock exchange is carried out through licensedmembers called brokers.

To trade in shares, you have to approach a broker However, since most stockexchange brokers deal in very high volumes, they generally do not entertainsmall investors. These brokers have a network of sub-brokers who provide themwith orders.

The general investors should identify a sub-broker for regular trading in sharesand palce his order for purchase and sale through the sub-broker. Thesub/broker will transmit the order to his broker who will then execute it. In equitymarket SEBI is actively participating without them equity market cant control soit necessary to know about SEBI.

SECURITY AND EXCHANGE BOARD OF INDIA(SEBI)

Major part of the liberalization process was the repeat of the capital issuesAct.1947, in May 1992with this Governments control over issues of capital,pricing of the issues fixing of premium and rates of interest on debentures etc.ceased, and the office which administered, the Act was abolished. The marketwas allowed to allocate resources to competing uses. However, to ensure


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effective regulation of the market, SEBI Act, 1992 was enacted to establish SEBIwith statuary powers for: -

Protecting the interest of investors in securities.

Promoting the development of the securities market, and

Regulating the securities market.

Its regulatory jurisdiction extends over corporate in the issuance of capital andtransfer of securities, in addition to all intermediaries and person associated withsecurities, market. SEBI can specify the matters to be discloser and thestandards of disclosure required for the protection of investors in respect ofissues; can issue directed to all intermediaries and other person associated withthe securities market in the interest of investors or of orderly development of thesecurities market; and can conduct enquiries, audits of all concerned andadjudicate offences under the Act. In short, it has been given necessary

autonomy and authority to regulate and develop an orderly securities market,such as brokers and sub-brokers, underwriters, merchant bankers to the issue,share transfer agents and registrars to the issue, are now required to registerwith SEBI and are governed by its regulations; capital adequacy and othernorms have been specified; a system of monitoring and inspecting theiroperations has been instituted to enforce compliance; and disciplinary actionsare being taken against intermediaries violating any regulation.

Function of SEBI

SEBI has been obligated to protect the interest of the investors in securities andto promote and development of and to regulate the securities market by suchmeasures as it think fit.

SEBI has power for:

Regulating the business in stock exchange and other securities market;


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Registering and regulating the working of stock brokers sub- brokers,share transfer agents, bankers to an issue, trustees of trust deeds,registers to an issue, merchant bankers, underwriters, portfolio manager,investment advisers and such other intermediaries who may beassociated with securities markets in any manners;

Registering and regulating the working of depositaries, participants,custodians of securities, foreign institutional investors, credit ratingagencies and such other intermediaries as SEBI may by notification,specify in this behalf;

Registering and regulating the working of venture capital funds andcollective investment schemes including mutual funds;

Promoting and regulating self-regulatory organizations;

Prohibiting fraudulent and unfair trade practices related to securitiesmarkets;

Promoting investors education and training of intermediaries securitiesmarkets;

Prohibiting insider trading in securities;

Regulating substantial acquisition of shares and take-over of companies;

Calling for information from, undertaking inspection, conducting inquiriesand audits of the stock exchanges, mutual and other persons associatedwith the securities market;

Performing such functions and exercising according to SecuritiesContracts (Regulation) Act, 1956, as may be delegated to it by theCentral Government;

Levying fees or other charges for carrying out the purpose of this section;

Conducting research for the above purpose.

Calling from or furnishing to any such agencies, as may be specified bySEBI, such information as may be considered necessary by it for theefficient discharge of its functions.

In equity market Depository participant is playing vital role so it is necessary toknow about role of Depository participant.


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ROLE OF DP (DEPOSITORY PARTICIPATION):-

A depository is an organization form to provide electronic depositoryfacilities for securities trade. Securities are then held in the electronic formthrough the medium of participants (DPs). The national SecuritiesDepository Limited (NSDL) is the first Depository in India. The function of

NSDL is regulated by the SEBI. The depository is not just another custodian. The depository can legally

transfer beneficial ownership. The main objective of depository is toreduce settlement risk by minimizing paperwork involved in trading,settling and transferring securities.

To utilize the services offered by a depository, you must open an accountwith the depository through a DP. The DPs are the link between theshareholders, the company and NSDL.


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Depending upon the DP. There may or may not be an opening accountfees towards transaction and custody.

Banks, financial institutions, custodians and stockbrokerscan becomeDPssubject to their meeting certain requirements prescribed by NSDL and

SEBI. NSDL publishes the list of DPs registered with them, from time totime.

The DP will provide you with a passbook or statement of accountperiodically inform you on your holdings.

You can even have a zero balance in your account.

If you loose your statement of account inform the DP and obtain aduplicate.

If holdings in the statement are incorrect, approach the DP forclarification.

If you receive an incorrect dividend amount, contact the company orregistrar.

NSDL and CSDL is main depository participant

NATIONAL SECURITIES DEPOSITORY LTD (NSDL)

In order to solve the problems associated with trading securities, NSE joinedhand with the Industrial Development Bank of India (IDBI) and the Unit Trustof India (UTI) to promote dematerizalition of securities.

NSDL, commenced operations in November 1996 and has sinceestablished a national infrastructure of international standard tohandle trading and settlement in dematerialized form and thuscompletely eliminated the risk to investors associated with fakepaper.


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CENTRAL DEPOSITORY SERVICES LTD

(CSDL)

The Kolkata Stock Exchange Association Limited, Bank Of India HDFC BankLimited CDSL is another Depository after NSDL. Its promoter are Bombay StockExchange,, Standard chartered Bank, State Bank of India Bank Of Baroda Union

Bank Of India, Bank Of Maharastra Centurion Bank etc.

As on 30 June 2001 CDSL has signed agreement with 3297 companies. Ofthese 3528 are available for Demat services. CDSL has 160 DPs offeringDepository services in 78 cities across 147 locations in the country

Salient features


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Salient features of CDSL, which are intend to benefit the ultimate investors, arebriefly narrated below:

CDSL choose the centralized Data Base Architecture with on line with on

line connectivity with the DPs who provide the services to the investors,because of the centralization, the cost of setting up Depositoryparticipants services is drastically low. CDSL have urged the DPs to passon the benefit of lower cost of set up to the investors,

CDSL on its part have kept its tariff as low as possible. It has virtually nilcharges under all major heads except against Transaction. CDSL mightadd that right from the stage of its conception. Its promoters, in the mainBSE, have taken a public stand that there shall be no custody charge onthe ground that are; 1. Investors, who otherwise keep their scripts athome, dont incur that charge and (2.) that they can get more investors

about Dematerialization and holding their securities in Book Entry Form.

Software offering to clear houses of the Stock Exchanges free of costpermits direct entry of transaction in the account of beneficial owner(investors), without through Brokers account. This facility is a safe guardagainst possible misdirection of clients securities, and it cut down timetaken for completion of transaction. It is found investor friendly system.

Introduction to the Organization

COMPANY PROFILE

Name

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

offers. The name is intended to unite and bring together the phenomenon of

money and wealth to co-exist and serve the interest of individuals and

institutions, alike.

Symbol


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The name is paired with the symbol of a four-leaf clover, a rare mutation of the

common three-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.

Each leaf of the four-leaf clover has a special meaning in the sphere 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 foundations 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. Toaccomplish 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


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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)

History of Religare Securities Ltd.

Religare Securities Limited, a Ranbaxy Promoter Group Company, was foundedby late Dr. Parvinder Singh (CMD Ranbaxy Laboratories Limited), with the visionof providing integrated financial care driven by the relationship of trust &confidence. To realize its vision the Religare group provides various financialservices which include broking (stocks & commodities), depository participantservices, portfolio management services, advisory on mutual fund investmentsand many more. Working on the philosophy of being Financial Care Partner,Religare unlike other traditional broking firms not only executes the trades for theclients but also provides them critical and timely investment advice.

The growing list of financial institutions with which Religare is empanelled as anapproved broker is a reflection of the high levels of service standard maintainedby the company. Religare is a truly professional financial service providermanaged by a team of highly skilled professionals who have proven track recordin their respective domains. Religare has the widest reach through its Regional,Zonal and Branch Offices spread across the length & breadth of the country.

Now a days Religare is driven by ethical and dynamic process for wealthcreation. Based on this, the company started its endeavour in the financialmarket.

Religare Enterprises Limited (A Ranbaxy Promoter Group Company) throughReligare Securities Limited, Religare Finvest Limited, Religare CommoditiesLimited and Religare Insurance Advisory Services Limited provides integratedfinancial solutions to its corporate, retail and wealth management clients. Today,we provide various financial services which include Investment Banking,Corporate Finance, Portfolio Management Services, Equity & CommodityBroking, Insurance and Mutual Funds. Plus, theres a lot more to come yourway.


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Religare is proud of being a truly professional financial service providermanaged by a highly skilled team, who have proven track record in theirrespective domains. Religare operations are managed by more than 1500 highlyskilled professionals who subscribe to Religare philosophy and are spreadacross its country wide branches.

Today, we have a growing network of 150 branches and more than 300business partners spread across 180 cities in India and a fully operationalinternational office at London. However, our target is to have 350 branches and1000

business partners in 300 cities of India and more than 7 International offices bythe end of 2006.

Unlike a traditional broking firm, Religare group works on the philosophy ofpartnering for wealth creation. We not only execute trades for our clients but alsoprovide them critical and timely investment advice. The growing list of financialinstitutions with which Religare is empanelled as an approved broker is areflection of the high level service standard maintained by the company.


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GROUP COMPANIES

Our Group Structure

Religare Enterprises Limited

Religare Securities Limited -

Equity Broking Portfolio Management Services Depository Online Investment Portal Institutional Equity Broking

Religare Fin vest Limited -

Lending and Distribution business

Religare Commodities Limited -

Commodity Business

Religare Insurance Broking Limited -

Life and Non Life Insurance Reinsurance


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Religare Capital Markets Limited -

Investment Banking

SEBI Registered Merchant Banker Acquisition in UK through an international arm

Religare Arts Initiative Limited -

Art Fund and other businesses of Art

Gallery to be launched soon

Religare Realty Limited -

Real Estate Management Company

Religare Venture Capital Private Limited -

Private Equity and Investment Manager

Religare Macquarie Wealth Management Limited -

50: 50 joint venture with Macquarie for wealth managementbusiness

Religare AEGON AMC -

50:50 Joint Venture between REL and Aegon for AssetManagement business in India.


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AEGON Religare Life Insurance -

Life Insurance Company, Joint Venture between REL, Aegon andBCCL for Life insurance business in India.

Religare Today

An ISO 9001:2000 Company

Member of National Stock Exchange (NSE) since November 1994, first depositbased member of BSE.

Depository Participant with

- National Securities Depository Limited (NSDL) since July 2000

- Central Depository Services (India) Limited (CDSL) since Feb 2003.

- SEBI Approved Portfolio Manager

Working on the Philosophy of being Financial Care Partner

Among the leading service provider in Capital Market In a span of less than fiveyears of its retail operations, RSL recorded a healthy growth rate both inbusiness volumes and profitability.

Religare is among the very few stock market intermediaries to having verysound based capital and healthy net worth.

Religare aims to have its footprint all across the country by the end of year sothat it may add value to the investing community in the country.


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COMPANY STRUCTURE

Board of Directors

Senior General Manager

Regional Manager

Area Managers

Branch Managers

Relationship Managers


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Assistant Relationship Manager

Trainees

Management

Religare team is led by a very eminent Board of Directors who provide policyguidance and work under the active leadership of its CEO & Managing Directorand support of its Central Guidance Team.

Board of Directors

Following is the chart of the Board of directors of Religare Securities Ltd.

Chairman : - Mr Harpal Singh

M.D&CEO : - Mr Sunil Godhwani

Director : - Mr Vinay Kumar Kaul

Director : - Mr Malvinder Mohan Singh

Director : - Mr Shivinder Mohan Singh


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Mission and Vision :-

Mission-

To be India's first Multinational providing complete financial services solutionacross the globe.

Vision-

Providing integrated financial care driven by the relationship of trust andconfidence.


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The Services:

The main services which are provided by Religare securities Ltd are as follows:-

1. Equity(Shares)

2. Mutual Funds

3. Derivatives(F&O)

4. Commodities

5. Portfolio Management Services(PMS)


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1. Equity (Shares)-

In simple Words, a share or stock is a document issued by a company, whichentitles its holder to be one of the owners of the company. A share is issued by acompany or can be purchased from the stock market

2. Mutual Fund-

Mutual Fund is a investment company that pools money from shareholders andinvests in a variety of securities, such as stocks, bonds and money marketinstruments. Most open-end mutual funds stand ready to buy back (redeem) itsshares at their current net asset value, which depends on the total market valueof the fund's investment portfolio at the time of redemption. Most open-endmutual funds continuously offer new shares to investors.

Also known as an open-end investment company, to differentiate it from aclosed-end investment company. Mutual funds invest pooled cash of manyinvestors to meet the fund's stated investment objective. Mutual funds standready to sell and redeem their sharesat any time at the fund's current net assetvalue: total fund assets divided by shares outstanding.

In Simple Words, Mutual fund is a mechanism for pooling the resources byissuing units to the investors and investing funds in securities in accordance withobjectives as disclosed in offer document.


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3. Derivative (F & O)-

Derivatives (Futures & Options) are ideal instruments to protect your portfolio

against risk. You can trade with index movements, hedge and leverage yourportfolio by limiting risk but keeping your upside unlimited.

4.Commodity-

Commodities as a word originated from the French word commdite meaningbenefit or profit. Rightly so! The continuously growing turnover whichcommodities market has seen is incredible, benefiting both producers andbuyers. These amazing results have transformed commodities as a mostsought-after asset class. And this has caught attention of the whole world.

Commodities market is particularly significant to our country as India isessentially a commodity based economy. Therefore, it should not be surprisingto see that Indian Commodities Market is also taking giant strides, growing at a

scorching pace and is well all poised to occupy its rightful place in the world.This has provided Indian investors with new emerging investment opportunitiesin the arena of commodities.

Commodity Derivatives trading in India is now done through the electronictrading platform of two popular exchanges NCDEX (National Commodity &Derivative Exchange Limited) and MCX (Multi Commodity Exchange). Thevarious
http://images.google.co.in/imgres?imgurl=http://www.phillipfutures.com.sg/products/images/commodity.jpg&imgrefurl=http://www.phillipfutures.com.sg/products/commodity.html&usg=__p7m2Vp3de1tNYN8C1nDk32qiSmg=&h=331&w=648&sz=85&hl=en&start=1&sig2=FrVXvvJEjQ58URw2ceBCxw&um=1&tbnid=olm3LWYQ7sqcrM:&tbnh=70&tbnw=137&prev=/images%3Fq%3Dpicture%2Bof%2BCommodity-%26hl%3Den%26sa%3DX%26um%3D1&ei=LQuWSru7L9OMkAWm4NyvDA


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commodities being traded on the exchanges include precious metals, crude oil,agro-commodities amongst others.

Religare Comdex Limited is a member of both the exchanges (MCX & NCDEX)that allows you to trade in all the commodities traded in both the exchanges.Presently, trading in commodities is restricted to futures contracts only.

5.Portfolio Management services (PMS)-

In PMS Religare take care of all type of investment of the client.

There are different type of product in which client can invest their money.

Products are as follows:-

1. Panther2. Leo3. Elephant4. Tortoise5. Caterpillar

Panther

The Panther portfolio aims to achieve higher returns by taking aggressivepositions across sectors and market capitalizations. It is suitable for the HighRisk High Return investor with a strategy to invest across sectors and takeadvantage of various market conditions.


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Tortoise

The Tortoise portfolio aims to achieve growth in the portfolio value over a periodof time by way of careful and judicious investment in fundamentally soundcompanies having good prospects. The scheme is suitable for the Medium RiskMedium Return investor with a strategy to invest in companies which haveconsistency in earnings, growth and financial performance.

Elephant

The Elephant portfolio aims to generate steady returns over a longer period by

investing in Securities selected only from BSE 100 and NSE 100 index. Thisplan is suitable for the Low Risk Low Return investor with a strategy to invest inblue chip companies, as these companies have steady performance and reduceliquidity risk in the market.

Caterpillar

The Caterpillar portfolio aims to achieve capital appreciation over a long periodof time by investing in a diversified portfolio. This scheme is suitable forinvestors with a high risk appetite. The investment strategy would be to invest inscrips which are poised to get a re-rating either because of change in business,

potential fancy for a particular sector in the coming years/months, businessdiversification leading to a better operating performance, stocks in their earlystages of an upturn or for those which are in sectors currently ignored by themarket.

Leo

Leo is aimed at retail customers and structured to provide medium to long-termcapital appreciation by investing in stocks across the market capitalizationrange. This scheme is a mix of moderate and aggressive investment strategies.Its aim is to have a balanced portfolio comprising selected investments from

both Tortoise and Panther. Exposure to Derivatives is taken within permissibleregulatory limits.


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Advantages of PMS:-

1. Customized Portfolio2. Transparency3. Benefit from tactical cash management4. High level of client interaction5. Cost efficient6. Hassle free operation7. Diversification across or within the asset class

8. SEBI regulated


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FEATURES OF RELIGARE

Religre.in is the most comprehensive website, which allows you to invest inshares, mutual funds, derivatives (Future and Option) and other financialproducts.

1. TRADING IN SHARES

Religare offers you various options while trading in shares

CASH TRADING

This is a delivery based trading system, which is generally done with theintention of taking delivery of shares

You can also do an intra settlement trading up to 2 times the fund availablewherein you take long buy / short sell position in stocks with the intention of

squaring off the position within the same day settle ment cycle.

MARGIN TRADING

Trough margin you can do an intra settlement trading up to 4 to 10 timesyour available funds, wherein you take long buy/ short sell position in stockwith the intention of squaring off the position within the same day settlementcycle Margin PLUS will give much higher leverage in your account against

your limits.

BTST

Buy Today Sell Tomorrow (BTST) is a facility that allows you to sell shareseven on 1st and 2nd day after the buy date, without waiting you have thereceipt of shares into your Demat account.


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CALL TRADE

CALL Trade allows you to call on a local number &trade on the telephonethrough our Customer Service Executive.

TRADING ON BSE/NSE:

Through Religare the share can be traded on NSE as well asBSE.

2. TRADE IN DERIVATIVES

FUTURE

Through Religare you can now trade in index and stock futures on the NSE. Infuture trading, you take buy/sell index contracts having a longer contract periodof up to 3 months.

Trading in Future is simple during course of contract life; the price moves infavor, you make profit.

Presently only selected stocks, which meet the criteria on liquidity and volume,have been enabled for future trading.

OPTION

An option is a contract, which gives the buyer the right to buy or sell shares at aspecific price, on or before a specific date. For this, the buyer has to pay to the


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seller some money, which is called premium. There is no obligation on the buyerto complete the transaction if the price is not favorable to him. To take the buy/sell position on index options you have to place certain %age of order value asmargin. With options trading, you can leverage on

Your trading limit by taking buy/sell positions much more than what you couldhave taken in cash segment.

The Buyer of a call option has the right but not obligation to purchase theunderlying Asset at the specific strike price by paying a premium where as theseller of the Call has the obligation of selling the Underlying Asset at the specificstrike price.

By paying lesser amount of premium, you can create position under OPTIONSand take advantage of more trading opportunities.

3. INVESTING IN MUTUAL FUND

Religare brings you the same convenience while investing in Mutual Funds ashassle free and less paperwork investing.

You can now invest in any mutual fund like standard charter MF, PrudentialICICI MF, Alliance MF, Franklin Templeton MF, Sunderam MF, Birla sun life;HDFC MF, Principal MF, etc are the mutual funds available for investment. Youcan invest in mutual funds without the hassles of identity proof. You need onsignature on the mutual fund .You also get on information of performance ofyour investment through online current NAV.


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PURCHASE:

You may invest / purchase prudential icici MF, JM MF, ALLIANCE MF,FRANKLINE TEMPLETON MF, SUNDARAM MF, BIRLA SUN LIFE MF, HDFCMF and STANDARD CHARTERED MF without hassles of identity proof.

Redemption:

When ever you required your money, you get it easily. For that purpose you puton signature on the redemption form. You get youre your money by on line orby physical process (cheque).

Systematic investment plan (SIP):

SIP allows you to invest a certain sum of money over a period of timeperiodically. Just fill in the investment amount, the period of investment and thefrequency of investing and submit Religare do the rest of your investmentautomatically for you.

Systematic withdrawal program:

This allows you to withdraw certain Sum of money over a period of timeperiodically.

4. IPOs

You can also invest in Initial Public Offerings (IPOs) and bonds online withoutgoing through the hassles of filling any application form paperwork.

Get in-depth analysis of new IPOs issues, which are about to hit the market andanalysis on these. IPOs calendar, recent IPOs listings, prospectus, and IPOs

analysis are the few of the features, which help you, keeps on top of the IPOmarkets.


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SWOT ANALYSIS OF RELIGARE

STRENGTHS

All three account demat, trading account and saving account areinterrelated (if saving account is in ICICI and HDFC Bank)

A very strong IT setup with huge investment to provide best standards

and effective systems for smooth functioning of operations

Flexibility and adaptability to the dynamic need of capital market.

Traders can also invest in Mutual Funds & RBI Bonds.

Low brokerage rate.

Products: Companys product line is quite flexible in the sense that thereis a product for every kind of investors. Also all the products cover all theloop holes of all the products offered by the other competitors like lowcost, user friendly online trading services etc

WEAKNESS

Slow connectivity.

Less number of branches in India

Do not have access on Regional Exchanges.

Competition from bank

Most of the banks due to good branding have the faith of the customers oftheir banking database. Also banks like HDFC Bank and ICICI Bank havethe advantage of linking the trading accounts of their customers to savingaccounts. This makes trading easier, and at the same time a traderwithdraws exactly as much money from his account as is needed to

complete the trade.


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OPPORTUNITIES

Already having a good market access through different products of

Religare Ltd.

Market share of company is increase rapidly.

Religare Securities Ltd is not so longer in the financial securities area butat present it has a very good response of investors.

THREATS:

New Competitors

o A lot of new competitors are trying to enter the market in this

bullish run to taste the flavor of this cherry. This is creating a lot ofcompetition for large players like Religare and it is creating littleconfusion in the minds of the customers about the servicesprovided by the broker. Also many banking firms are entering intothe market with huge investment. Competitors like icici, kotak,HDFC, 5-paisa etc. are posing a lot of threats to the company.

Other threats are: Sub broker, Supplier, Dealer


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For the fund transfer and withdraw, we have tie up with three banks ICICI BankHDFC Bank & AXIS Bank.If you are having bank account in one of them, you can transfer the funds andwithdraw the funds online same day.Settlement of trades follows T+2 transaction cycle.

Freedom from paperwork, trading facilities is completely online.SMS alerts on your mobile phones.Apart of that we have our dedicated team to look after your Portfolio, MutualFunds, and Commodities.

Document Photocopies Required:-(A) Two coloured Photographs (self signed).(B) For identification Proof- Voter ID Card/ Driving

License/ Passport/ PAN Card (Compulsory) any one.

(C) For residential proof:- Bank statement/ Voter ID Card/Ration Card/ Driving License/ Passport/ Telephone orElectricity Bill statement (any one)

(D) One cancelled cheque leaf (For MICR No. record)(E) Later Bank Statement/ Front page of passbook

(Showing Name, Address, A/c No.)(F)You can also deposit the initial margin money at thetime of opening of account.

The Religare EdgeThey serve us with a diligent, transparent & process driven approach andensure that our money gets the care it deserves.

No experts, only expertise.

They offer us the services of a Dedicated Relationship Manager who is at ourservice 24x7. For us, this means lower risk, higher dependability and unhindered


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continuity. Moreover, we are not limited by a particular individuals investmentstyle.

No hidden profits.

They ensure that a part of the broking at Religare Portfolio ManagementServices is through external broking houses. This means that our portfolio is notchurned needlessly. Using more broking firms gives access to a larger numberof reports and analysis, enabling them to make better, more informed decisions.Furthermore, our portfolio is customized to suit our investment objectives.

Daily disclosures.

Religare Portfolio Management Services gives daily updates on our investment.

We can pinpoint where our money is being invested, 24x7, instead of waiting tillthe end of the month to keep track.

No charge till we profit (For Profit Sharing Management Fees only)* .

they are so sure of their approach to Portfolio Management that they do notcharge us for their services, until our investments start showing profit.

Research Methodology

Research is a scientific and systematic search for pertinent information on aspecific topic. It is also said to be the pursuit of truth with the help of study,

observation, comparison and experiment.

Title of the Study

A COMPARATIVE ANALYSIS OF SECURITIES COMPANY WITH RELIGARESECURITIES LTD.

ON EQUITY


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Duration of the Project

45 days

Objective of Study

1. To understand the equity market

2. To understand the On-line trading system of Religare securities

3. To do a comparative study of Religare product with other marketcompetitors

4. To create awareness about Religare securities

5. Mapping up potential customers for Religare securities6. To conduct presentation in different corporate for bulk account &meetingwith individuals for single account.

Type of Research

Descriptive

Research Design

The research we took was Descriptive Research in nature as it dealt with

describing the market and buying behaviors of consumers.The success of the project depends on the soundness of the research design,which includes problem definition, specific method of data collection and analysisand time required for the project.

Sample Size and method of selecting sample


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Sample size: 100 Demat accountholders of 4 different brokingfirms.

Sampling : convenience

Data collection method

PRIMARY DATA- Primary data are collected through three method:-

Telephonic interview

Personal interview

Questionnaire method

SECONDARY DATA- Secondary data are collected by:

Website

Research books

Magazines and journals

Area under research study: Jaipur city

SCOPE OF STUDY

The main motive for which I have conducted research undergoing the

comparison of other securities institutions with the application of certainanalytical and statistical tools to make it universally applicable with all possible

efforts.

The study is useful to company in providing the understanding about the

investors perception to devise the suitable product/marketing strategies, which

would helps it in making their policies or strategies in order to attract them.


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Further. financial planner get advent to make portfolio according to response

given by respondents, which belong to different occupations, having different

income level, different age level or which instrument is mostly like by the

investors for investment. The study would further helpful for readers in

understanding about the various investment opportunities available in the

market.

LIMITATION OF STUDY

Lack of knowledge about share market-

Even in the current scenario people are not aware what is actually theshare market? Perception regarding share market varies from individual toindividual.

Less faith in the company-

Some people have less faith in the company and have the perception thatthe company is fake or they might face some problem regarding trading

and billings.Satisfied with the company in which they are currentlyworking.

Rigid and traditional structure.

People believe investing in Bank FDs and Post Office saving and arereluctant to invest in Share market. People like to secure money in terms oflending to the people on high interest they meant their amount is safe.

.

A limited time frame i.e. of just 8 weeks, due to which we were not able to

reach those destinations which we wish we would.


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we cannot say that the data taken for our study is fully adequate to get

the desired or accurate result.

FINDINGS AND SOLUTIONS

After conducting this research I found out some facts, which were hidden beforethis research. I found that there is a high competition among different broking

companies. Religare Securities is working as a successful company. It is servingits clients up to the best level and satisfying its clients by providing best servicescomparative to its competitors.

Its best key services or facilities are: -

Clients have their demat account and trading account both in religaresecurities.

It is providing urgent account number to its clients.

It is charging lowest AMC.


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It is very lenient in receiving different type of charges from its clients.

It serves its clients in late hours also.

It issues new delivery instruction book immediately.

It provides slip cancellation facility also to its clients.

It solves the problem related to delay in follow up of dematerializationprocess.

But it has to improve in some areas also where it is lacking behind from itscompetitors. As every organization has some Strengths and Weaknesses,Religare securities is also a party of that normal phenomenon. Its working uponits Weaknesses. Some of its weaknesses are: -

Documents required for an account opening are to unique and confusing.Voters ID or driving license should be taken both as identity proof as well

addresses proof.

Irregularity in providing SMS of every debit in account.

Irregularity in providing holding statement and transaction statements.

\Irregularity in providing details of failed and overdue transactions.

All these weaknesses are putting Religare securities behind in some areas fromits competitors but still Religare securities is working well. It is working on itsweak areas and trying to provide best services to its clients in these areas also.Its mainly online depository so the many client those only using offline they facemany difficulties.

If Religare sec. will overcome from these weaknesses than it will be one of thebest broking company in Jaipur. As it has realized its weaknesses and workingupon that so those people who are having their Demat account with Religaresec. are really benefited because they are having their account with suchorganization which is already providing good services to its clients and still

working hard to improve more so finally we can say that it is very feasible for aperson to have a demat account with RELIGARE SECURITIES.

RISK FACTOR


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Investments in securities are subject to market risks, which include pricefluctuation risks. There is no assurance or guarantee that the objectives of anyof the schemes will be achieved. The investments may not be suited to allcategories of investors.

The names of the scheme do not in any manner indicate their prospects or

returns. The performance in the equity schemes may be adversely affected bythe performance of individual companies, changes in the market place andindustry specific and macro economic factors.

The debt investments and other fixed income securities may be subject tointerest rate risk, liquidity risk, credit risk and reinvestment risk. Liquidity in theseinvestments may be affected by trading volumes, settlement periods andtransfer procedures.

Technology stocks and some of the investments in niche sectors run on the riskof volatility, high valuation, obsolescence and low liquidity.

The scheme may use derivatives instruments like index futures, stock futuresand options contracts, warrants, convertible securities, swap agreements or anyother derivative instruments for the purpose of hedging and portfolio balancing,as permitted under the regulations and guidelines. The use of a derivativerequires and understanding not only of underlying instruments but of thederivative itself. Derivatives require the maintenance of adequate controls tomonitor the transactions entered into, the ability to assess the risk that aderivative adds to the portfolio and the ability to forecast price or interest ratemovement correctly. Scheme using derivate/futures and options products (if any)

are affected by risks different from those associated with stock and bonds. Suchproducts and highly leverage instruments and their use requires a high degree ofskill, diligence and expertise. Small price movements in the underlying securitymay have a large impact on the value of derivatives/futures and options. Someof risks relate to mis-pricing or improper valuation of derivatives/futures andoptions and inability to.correlate the positions with underlying assets, rates andindices. Also the derivates/futures and options market is nascent in India In the

case of stock lending, risks relate to the default from counter parties with regardto security length and the corporate benefits accruing thereon, inadequacy ofcollateral and settlement risks. The portfolio manager is not responsible or liablefor any loss resulting from the operations of the schemes.The performance ofthe schemes may be affected by changes in government policies, general levelsof interest rates and risks associated with trading volumes liquidity andsettlement systems in equity and debt markets.The scheme may invest in non-publicly offered debt securities and unlisted equities. The may expose thescheme to liquidity risks.Engaging in securities lending is subject to risks relatedto fluctuations in collateral value/settlement/liquidity/counter party.


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Consult your financial advisor before investing.

Competitors of Religare Securities Ltd:-

The main competitors of Religare in the area of securities market are as follows:-

Indiabulls

5 Paisa.com

HDFC Securities Ltd.

Kotak Securities Ltd

.

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Reliability- It all starts here.

Investment services as individual as you are.

Indiabulls Financial Services Ltd. is a public company and listed on theNational Stock Exchange, Bombay Stock Exchange, Luxembourg StockExchange and London Stock Exchange. The company ranks at 82 nd position inthe list of most valuable companies in India has a market capitalization of approxUS $ 800 million. The consolidated net worth of the company is approx US $400 million.


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Three Engineers from IIT Delhi have promoted Indiabulls. The company strivesfor rapid growth in profits, leadership in the retail marketplace and better returnsto its shareholders.

Indiabulls, along with its subsidiary companies, offer consumer loans, brokerage

and depository services, personal loans, home loans and other financialproducts and services to the retail markets.

Our Retail Equity Business caters to the needs of individual Indian and NRIinvestors. Indiabulls offers broker assisted trade execution, automated onlineinvesting and access to all IPOs

Through various types of brokerage accounts, Indiabulls offers the purchase andsale of securities which includes Equity, Derivatives and CommoditiesInstrument listed on National Stock Exchange of India Ltd.(NSEIL), The StockExchange, Mumbai(BSE) and NCDEX.

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Live News and Alerts

Extensive Reports for Real-time Accounting


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Demat+Trading account opening charges-

For Offline A/c opening- 700/-

For Online A/c opening- 1450/-

(An Offline Demat A/c holder can not do online trading)

Brokerage-

For intraday trading- .05%

For Delivery trading- .50%

(Brokerage is negotiable and it based on the volume of client)

Exposure:-

For intraday trading - 5 10 timesFor delivery trading - 2 times

Funding:-

Interest rate is 24% per month for funding

Services:-

1. No SMS alert provide2. A trader can find out the information about share market only by to call

dealers3. Account opening time- One Weak

4. Online & offline trading facilities are different.\


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Kotak Securities Ltd.-

Kotak Securities Ltd. is India's leading stock broking house with a market shareof around 8%. Kotak Securities Ltd. has been the largest in IPO distribution.

Kotak Securities Ltd is also a depository participant with National SecuritiesDepository Limited (NSDL) and Central Depository Services Limited (CDSL),providing dual benefit services wherein the investors can use the brokerageservices of the company for executing the transactions and the depositoryservices for settling them.

Kotak Securities Limited manages assets over 2500 crores of Assets underManagement (AUM).

Pricing of Kotak :

Account Opening :Rs 500/-

Demat: Rs 22.5 p.m.

Initial Margin : Rs 5000/- (Compulsory)

Brokerage Slab wise :


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Higher the volume, lower the brokerage. Even older customers (on 0.25% &0.40%) have been moved to the slab wise structure.

For intraday trading- .05%

For Delivery trading- .50%

(Brokerage is negotiable and it based on the volume of client)

Exposure

Delivery :- 2 times

Intraday:- 4 times

HDFC Securities Ltd.-

Abut HDFC Securities Ltd

HDFCsec is a brand brought to you by HDFC Securities Ltd, which has beenpromoted by the HDFC Bank & HDFC with the objective of providing the diverse

customer base of the HDFC Group and other investors a capability to transact inthe Stock Exchanges & other financial market transactions.

Mission-

Our mission is to provide our customers with the most useful investmentguidance and investment-related services available in the country. We want tobecome a one-stop solution for all your investment needs, one that will help youget the most out of your money.

Products & Services

HDFC is a one of the leading online broking houses in India, with a dominantposition in both institutional and retail broking,

Online trading for Resident & Non Resident Indians.

Cash-n-Carry on both NSE and BSE.


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A branch network that is set to quickly grow in all-India coverage, soyoure never too far from customer service that will meet yourrequirements .State-of-the-art technology backing the safety features inall our transactions.

Online Account Type

HDFC Online Trading A/c: Plain Vanilla Account with focus on 3 in 1advantage.

Pricing of HDFC Account

A/c Opening : Rs 750/-

Demat : Nil, 1st year charges included in Account Opening

Initial Margin : Rs 5000/- for non HDFC Bank customers (AQB)

Brokerage :

Trading 0.15%* each side + ST

Delivery 0.50%** each side + ST

* Rs 25 Min Brokerage per transaction

** Rs 8 Min brokerage per transactio


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5 Paisa.com:-

5paisa Products and services

5paisa is the trade name of India Infoline Securities Private Limited (5paisa),member of National Stock Exchange and The Stock Exchange, Mumbai. 5paisais a wholly owned subsidiary of India Infoline Ltd, Indias leading and mostpopular finance and investment portal. 5paisa has emerged as one of leadingplayers in e-broking space in India. Our key product offerings are as follows:

Investor Terminal (IT)

Investor Terminal is recommended for infrequent investors, who fall into the"Buy and Hold" school of investing, made very popular by Warren Buffet - theOracle of Omaha. A typical retail investor is a busy corporate executive or abusinessmen who makes equity investments for long term and does not tradeeveryday. This product does not have intra-day tick by tick charts.

Trader Terminal (TT)

Trader Terminal is for the dedicated day traders, who churn their portfolio onminor movements in the market, sometimes several times a day.Their rapid and high volume trading requires a powerful interface for lightningfast order execution. They monitor marked to market positions on a minute-to-minute basis, with facilities for panic exit. They need all the analysis -fundamental and technical, market gossip, price and volume information andmuch more - all at one click.


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Pricing for Retail Clients

Investor TerminalAccount Opening : Rs 500/-Demat 1st Year : Rs 250/-Initial Margin : Rs 2500/-(Compulsory)Min Margin Retainable : 1000/-

Brokerage :Trading 0.10% each side + STDelivery 0.50% each side +ST

Pricing for HNI ClientsTrader Terminal

Account Opening : Rs500/-Demat 1st Year : Rs 250/-Initial Margin : Rs 5000/- (Compulsory)Min. Mrgin Retainable : Rs 1000/-

Brokerage :

Trading 0.10% each side +STDelivery 0.50% each side +ST(Negotiable to 0.50% each side & 0.25%)

Account Access ChargesMonthly Rs 800/- , adjustable against brokerageYearly Rs 8000/- , adjustable against brokerage


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DATA ANALYSIS & INTERPRETATION

Q.1 How many annual maintenance charges did you pay in your company?

Response.

Interpretation

This chart represents that Religare charge Rs.250 annually as annual

maintenance charges. India bulls also charge same amount. HDFC sec. chargeRs 300, kotak sec.charge Rs.325 and Indiainfoline charge Rs 350.

This data shows that religare securities or indiabulls charge less A.M.C incompare to other companies .


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2. When the respondents were asked about their occupation?

Occupation No. of RespondentsBusiness 40%

Profession 30%Service 10%Retired 5%Other 15%

BUSINESS

40%

PROFESSION

30%

SERVICE

10%

RETIRED

5%

OTHER

15%

0%

Sales


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3. When respondents were asked about RELIGARE SECURITIES LTD?

AWARNESS NO.OF RESPONDENTS

YES 65%

NO 35%

YES

65%

NO

35%

0% 0% 0%

Sales

Interpretation:

Out of 100 Respondents 65% were aware of RELIGARE SECURITIES LTD ,

35% were not aware of RELIGARE SECURITIES.


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4.When respondents were asked about instrument they would like toinvest in?

Instrument No. of RespondentsPost Office 15

Fixed deposits 20Equity/IPOs 30Mutual funds 20Other Real Estate 15

Total 100

INTERPRETATION :

Out of 100 people 15 were likely to invest in post office savings,20 were likely toinvest in Bank FDs,30 were in equity & IPOs ,20 were likely to invest in Mutualfunds, & 15 were in Real Estate.

5. When respondents were asked about their profile?


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Risk Profile No. Of Respondents

Low risk/Low return 20

Moderate risk /Moderate return 45

Higher risk/Higher return 35

HIGH RISK

35%

LOWER RISK

20%

MODERATE RISK

45%

0%

Sales

Interpretation:

Out of 100 Respondents 20 were likely to prefer low risk /low return profile ,45%

people were prefer Moderate risk/Moderate return,35% person were

likely High risk / High return profile.


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6. When Respondents were asked about there preference while selecting aBroking House?

Preferences Rank 1st Rank 2nd 3rd

Brokerage 40 35 25

Advisory service 35 50 15

Brand Name 25 15 60

Image 40 30 30

BROKERAGEADVISORY

BRAND NAMEIMAGE

40

35

25

40

35

50

15

30

25

15

60

30

Chart Title

RANK 1ST RANK2nd RANK3rd

Interpretation: The first preference is given to Advisory then to Brokerage &

Image.

Brand name is given the least preference by most of the people. This is the mainfactor why a lot of investors prefer small & independent brokers.

7.What is the account opening fee in your broking house?

Response.


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Interpretation

.RELIGARE

SECURITIES

KOTAK

SECURITIES

INDIABULLS

HDFC

SECURITIES

INDIA

INFOLINE

Account OpeningchargesOfflineOnline

Rs. 500/-Rs. 500/-

Rs.500 /-Rs.500 /-

Rs. 700/-Rs. 1450/-

Rs.500 /-Rs.750/-

Rs.500 /-Rs.700/-

As chart represents that Religare or kotak securities charge Rs. 500 on botha/c which is less in compare to other broking companies.

8. What is the brokerage rate for intraday or delivery based transaction?

Response.


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Interpretation

Religare kotak indiabulls hdfc sec.I.info.

Brokerages-Delivery/Intraday

.20

.02.50.05

.50

.05.50.15

.50

.05

This chart shows that religare securities charges minimum brokerage on deliveryas well intraday transactions. Religare sec.provides better services at minimumcost.

9. What is the rate of exposure provided on margin money for intraday &delivery based trading?

Response.


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Interpretation

COMPONENT RELIGARE

SECURITIES

KOTAK

SECURITIES

INDIABULLSHDFC

SECURITIES

INDIA

INFOLINE

ExposureDelivery/Intraday

4 times6 times

2 times4 times

2 times5 times

2 times4 times

2 times5 times

This graph shows that religare securities provides highest funding facilities ondelivery based trading as well as intraday day based trading that is 4times, 6times respectively in compare to other four broking companies.

COMPARISION ON THE BASIS OF SERVICES CHARGES


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Sr.no. COMPONENTS RELIGARE

SECURITIES

KOTAK

SECURITIES

INDIABULLS

HDFC

SECURITIES

INDIA

INFOLINE

1. Account OpeningchargesOfflineOnline

Rs. 500/-Rs. 500/-

Rs.500 /-Rs.500 /-

Rs. 700/-Rs. 1450/-

Rs.500 /-Rs.750/-

Rs.500 /-Rs.700/-

2. Brokerages-Delivery/Intraday

.20

.02.50.05

.50

.05.50.15

.50

.10

3. Annual MaintenanceCharges (AMC)

250/- 325/- 250/- 300/- 350

4. Margin Money Min. 5000 Min.5000 Min.10000 Min. 5000 Min. 2000

5. Trading SoftwareCharges 1800/-* 1800/-* nil 2000/-* 1500/-*

5. Commoditys a/copening Nil 350/- 500/- 200/- 200/-

6. BrokeragesCommodity-DeliveryIntraday

.20

.02.50.05

.50

.05.50.15

.50

.10

7. Corporate scheme Available(Free Demata/c with 500/-)

Available Available Nil Available

8. Interest on marginmoney

Nil Nil Nil Nil Nil


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Sr.no. COMPONENTS RELIGARE

SECURITIES

KOTAK

SECURITIES

INDIABULLS

HDFC

SECURITIES

INDIA

INFOLINE

9. Delivery SlipCharges

11/- Per scrip 12/- Perscrip

15/- Perscrip

20/- Per scrip 12/- Perscrip

10. DematerializationCharges

30/- Per ShareCertificate

30/- PerShareCertificate




11. Exposure

Delivery/Intraday 4 times6 times 2 times4 times 2 times5 times 2 times4 times 2 times5 times


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SUMMARY AND CONCLUSION

Overall Religare securities is providing good and healthy services to its clients injaipur city. As its head office is situated in its Jaipur branch so it is able to serveor offer those services to its clients, which its competitors cant provide.

It is having Online system here so it can open Demat account immediately at thetime of urgency, it can issue Delivery instruction Book immediately, it can solveaccount related grievances immediately which its competitors cant, Like andIndiabulls used to take 7 to 10 days minimum to open the Demat account, so itsaccountholders are usually benefited of having their account in Religare sec.,Jaipur.

There is almost nil possibility for a slip to be auctioned because these slips areusually punched on online software at the very same day, so it protects itsclients in many ways.

It also tries to satisfy its clients up to its best level. As it has very professionaland efficient working staff so it facilitate its clients in many ways. Its charges like

AMC and charges for following the debit instructions are very reasonable and

there is no hidden cost charged behind that.

So in many terms it is better than its competitors and provides as much servicesto clients as it can.It also provide security token which is not provide by any depository .this securitytoken secure user account . in security token the password to log in in account ischanged in every 32 seconds.


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Recommendation and Suggestions

Based on the market study, new clients and existing clients followingrecommendations can be given for more satisfaction of customers as well asmore sale of product.

Company should provide proper SMS facility regarding every debit and creditin the Demat account. Although it is providing this facility now also but it can

provide it in more efficient manner.

Company should make it sure that holdings and bills reach to the clientstimely, there should be no delay in this because affect the goodwill ofcompany in market.

Company should make clients aware regarding overdue and failedtransaction properly.

As Religare securities is having trust of clients and very efficient working staffso it should marketed itself in more attractive manner to gain more and moreclients as base.

During the period of research I got to know that facilities given to the tradingaccount holders indirectly affects the number of Demat accounts also, so thecompany should think to provide funding facility to its clients for delivery also.

Company should appoint relationship managers also for the welfare of theorganization.

Religar