project on demat account

8/2/2019 Project on Demat Account

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PROJECT REPORT ON

Demat Account

Submitted to IIBM in the partial fulfillment of the requirement

for degree of

Master of e-Business Management(Finance)

By: -

Name Raju GoyalInternational Institute of e-Business Management

Roll Number 2008/MeBA/07/098

MOHALI

Year -2009

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Acknowledgement

It was a great opportunity for me to work with Angel Broking Ltd., pioneers in the field ofFinance Industry. I am extremely grateful to all those who have shared their expertise andknowledge with me and without whom the completion of this project would have been virtuallyimpossible.

Firstly, I would like to thank our Company Guide Mr. Aditya Parmar, Training Manager who hasbeen a constant source of inspiration for me during the completion of this project. He gave meinvaluable inputs during my endeavor to complete this project.

I am also extremely grateful to Mr. Aditya Parmar, Training Manager, to have given me thisopportunity to work with him and gain valuable insights.

I am indebted to all staff of Angel Broking Ltd for their valuable support and cooperation duringthe entire tenure of this project. Not to forget, all those who have kept my spirits surging andhelped delivering my best.

I thank my faculty guide Mr./Ms. Harbajan Singh who helped me out at every critical situationthat I faced in my project and gave me his valuable advice to solve problems.

I want to give my special thanks to all members of IIeBM, for providing me opportunity to workon this project with this great organization.

At last I would like to thank all the respondents met in the preparation, who gave their valuabletime to provide us required information and their honest support to complete our project in time.

RAJU GOYALROLL NO. -2008/MeBA/07/ 098

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CERTIFICATE OF COMPLETION

This is certify that the Final Project report entitled Demat Account submitted Summer

training report of the requirement for the degree of MeBA, is a work carried out by RAJU

GOYAL, Roll No. 2008/MeBA/07/098 under my supervision and guidance.

Project Guide:

(_______________________)

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DECLARATION

To

The Director,International Institute of e-Business Management,Phase-1,Mohali.

Respected Sir,

I hereby declare that the Summer Training Report, which is entitled Demat Account , is

compiled and submitted by me is my original frame work. The Procedure in the report is based

on the Standards provided in ISO 9001. I have not copied the data from any previous report.

However, my Project Guide Respected Mr. Aditya Parmar helped me at various points while

preparing this report.

MR. RAJU GOYAL

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EXECUTIVE SUMMARY

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, RAJU GOYAL had done my project in ANGEL 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.

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TABLE OF CONTENTS FOR PROJECT

REPORT

Introduction 8

Company Profile 9

SWOT Analysis 18

Discussion on Training 20

Demat Account of Angel Broking 25

Buying and Selling 34

Need for the study 38

Competitors 39

Objective 43

Research Methodology 44

Data Analysis and Interpretation 47

Observation and Finding 57

Limitation 59Suggestion 60

Summary and Conclusion 61

Bibliography 62

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ANNEXURE (contains questionnaire) 63

Introduction

Angel Broking's tryst with excellence in customer relations began in 1987. Today,Angel has emerged as one of the most respected Stock-Broking and WealthManagement Companies in India. With its unique retail-focused stock trading

business model, Angel is committed to providing Real Value for Money to all its

clients.

The Angel Group is a member of the Bombay Stock Exchange (BSE), NationalStock Exchange (NSE) and the two leading Commodity Exchanges in the country:

NCDEX & MCX. Angel is also registered as a Depository Participant with CDSL.FSWA is into FINANCIAL PLANNING which involves selling of financial

products like D-mat account, corporate FDs, mutual funds and insurance.

Angel Broking ltd Transacting and investing simplified. Get ready to change theway you transact and invest in financial products and services. Whether you wish

to transact in equity, equity & commodity derivatives, prefer to invest in mutualfunds, life & general insurance products or avail money transfer and moneychanging services, you can do it all through reliance money. Simply open a Angeldemat account and enjoy the convenience of handling all your key financial

transactions through this one window.

In my project I explain in brief about the company, about financial planning, aboutDemat Account, and almost all the things that I have learned so that others can alsoread and learn from my experience.

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COMPANY PROFILE

Angel Broking House Limited

COMPANY BACKGROUNDPhilosophy of the Company

Angel broking ltd. already has a presence in India through company Law,incorporated on December, 1997. It offers world-class financial planning and awide range of wealth management products to mass affluent and affluent customersegments. Angel Broking limited provides a complete range of financial productsand services that include equity broking (internet based online trading as well asoffline trading), financial planning, insurance, investment products, equityresearch, demat account and more.

Angel Broking Limited is one of the leading and professionally managed stock

broking firm involved in quality services and research. Angel Broking Limited is a

corporate member of The Stock Exchange, Mumbai.

The membership of the company with The Stock Exchange Mumbai was originally

in the name of Mukesh R. Gandhi, which was eventually turned into a corporate

membership in the name of Angel Broking Limited.

Angel Broking Limited is managed by Mr. Dinesh Thakkar and he is wellsupported by Mr. Mukesh Gandhi, a fifteen years veteran in the market.

The group is well supported by a professional and qualified research team andefficient operations and back office team, which comprises of highly dedicated andqualified individuals. Angel has an in-house, state of art research department.

Angel believes in reaching out to the customer at the farthest end rather than byreaching out to them. The company in its endeavour to give its client the best hasopened up several branches all over Mumbai, which are efficiently integrated withthe Head Office.

Angel Broking Limited is primarily into retail stock broking, with a customer baseof retail investors, which has been increasing at a compounded growth rate of

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100% every year. The company has huge network sub-brokers in Mumbai andother places outside Mumbai, registered with SEBI, who act as Chanel partners forthe company. The company presently has total staff strength of around 150employees who are spread accordingly across the head office and all the branches.

Angel has empowered its physical presence throughout India through variousstrategies which it has been adopting efficiently and effectively over a period oftime, like opening up of branches at various places, tie-ups with various agenciesand sales agents, buy-outs of smaller regional outfits and appointment of sub-

brokers and franchisees. Moreover Angel has been tapping and including high net-worth and self-employed individuals it its vast array of clients.

Angel has always strived in the direction of delivering ultimate client satisfaction

and developing stronger bonds with its customers and chose partners. Angel has avision to introduce new and innovative products and services regularly. MoreoverAngel has been one among the pioneers to introduce the latest technologicalinnovations and integrate it efficiently within its business.

Mission:

To create long term value by empowering individual investors through

superior financial services supported by culture based on highest level ofteamwork, efficiency and integrity.

VISION:

To provide best value for money to investors through innovative products.

Trading/Investments Strategies

State of the art technology and personalized service.

Customer Promise

They are passionate about their customers' success and promise to deliverexceptional service with every meeting, interaction and dealing. They strive to

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2008

November,2007

Major Volume Driver for 2007

March,2007

Crossed 200000 trading accounts

December,2006

Created 2500 business associates

October,2006

Major Volume Driver award for 2006

September

, 2006

Launched Mutual Fund and IPO

businessJuly, 2006 Launched the PMS function

March,2006

Crossed 100000 trading accounts

October,2005

Major Volume Driver award for 2005

September

, 2004Launched Online Trading Platform

April, 2004 Initiated Commodities Broking division

April, 2003 First published research report

November,2002

Angels first investor seminar

March,2002

Developed web-enabled back officesoftware

November,1998

Angel Capital and Debt Market Ltd.Incorporated

December,1997

Angel Broking Ltd. incorporated

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Angel Broking House

Board of DirectorMr. Dinesh Thakkar Founder Chairman & Managing Director

The Angel Group of Companies was brought to life by Mr. Dinesh Thakkar. Heventured into stock trading with an intention to raise capital for his own independent enterprise.However, he recognised the opportunity offered by the stock market to serve individualinvestors. Thus Indias first retail-focused stock-broking house was established in 1987. Under

his leadership, Angel became the first broking house to embrace new technology for faster, moreeffective and affordable services to retail investors.

Mr. Thakkar is valued for his understanding of the economy and the stock-market. The print andelectronic media often seek his views on the market trend as well as investment strategies.

Mr. Lalit Thakkar Director Research

Mr. Lalit Thakkar is the motivating force behind Angels highly acclaimedResearch team. Hes been a part of the senior management team since the AngelGroups inception. His technical and fundamental outlook has provided impetusto Angels market research team. Research-based & personalized advisory

services are Angels forte, and Mr. Lalit Thakkar has undoubtedly been the brain behind it.

When it comes to analyzing the market, Mr. Lalit Thakkar is truly a genius. His hands-onexperience and fundamental knowledge of the market can predict the market trend early. Hisviews on the market trend are often quoted in the print and electronic media.

Mr. Amit Majumdar Chief Strategy Officer

A chartered Accountant by qualification, Mr. Amit Majumdar is a key member ofAngels strategic decision-making process. He has been with the group sinceAugust 2004. He has handled several functions of the group like finance andoperations, to name a few. He has rich experience in finance, investment banking,

treasury, consultancy and advisory services.

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Mr. Majumdar has led many successful initiatives for the group. Before joining the Angel Group,Mr. Majumdar has been associated with Rabo India Finance, Ambit Corporate Finance and Ernst& Young.

Mr. Rajiv Phadke Executive Director HR & Corp.communications

Mr. Rajiv Phadke has actively contributed to the Groups growth over the lastfour years. Holding a major in Finance, Mr. Rajiv Phadke is a strategic thinkerwith expertise in the field of corporate planning, international marketing,financial services, brand-building, HRD and quality management.

With over 32 years of experience, Mr. Phadke has successfully led SBUs and financialcompanies from concept to commissioning. His career horizon spans Motilal Oswal Securities,

Times Guaranty Financials, Nagarjuna Securities and Tata Exports Ltd. He is also a well-knownspeaker in the HR and business development circuit and his views are featured on variouselectronic media as well.

Mr. Vinay Agrawal Executive Director Equity Broking

Mr. Vinay Agrawal leads the Equity Broking business at Angel, whichcomprises Business Development, Operations, Product Development and E-broking initiative. He is actively involved in exploring new ways to adopt

technology for business enhancement.

A Chartered Accountant by qualification, Mr. Agrawal began his career with the Angel Group asFinance and Operations Consultant, and since then hes quickly climbed up the corporate ladder.

Mr. Nikhil Daxini Executive Director - Sales and Marketing

With an MBA in finance, Mr. Nikhil Daxini has been instrumental in introducingthe concept of professional marketing of broking services at Angel. His area offocus is Business Development, Risk Management and Operations.

Mr. Daxini has immense experience in the marketing of financial products and services. He hasbeen associated with HDFC Bank Ltd. in the past.

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Mr. Hitungshu Debnath Executive Director - Distribution &Wealth Management

A marketing professional and a British Chevening scholar from the LondonSchool of Economics, Mr. Hitungshu Debnath leads the Distribution andWealth Management business at the Angel Group. It includes the distribution ofInsurance, mutual funds, IPOs, personal loans and other wealth management

products.

Mr. Debnath has over 18 years of industry experience. He has been associated with TimesGuaranty Financial Ltd., Fortress Financial Services Ltd., Alliance Capital Asset Managementand HDFC Asset Management Ltd. in the past.

Mr. Mudit Kulshreshtha Executive Director - BusinessIntelligence & Analytics

Mr. Mudit Kulshreshtha heads the advance analytics and strategic businessintelligence division at Angel. With a Bachelors degree in Engineering and PhD in Economics,Mr. Mudit Kulshreshtha has more than 12 years experience in the field of strategy and business

consulting.

He has been associated with reputed consulting firms like Deloitte Consulting India, Ernst andYoung, Arthur Andersen and WNS Global. He has advised several big clients in the U.S. andU.K. He is also a known speaker at public seminars and conferences organized by CII,NASSCOM, Indian School of Business and IIT.

Mr. Santanu Syam Executive Director - Operations

Mr. Syam brings with him over 18 years of experience in the field ofTransaction Banking, Wholesale Banking, Treasury Banking, ConsumerBanking and CBS. He started his career with ANZ Grind lays Bank and he wasalso associated with Standard Chartered Bank in India as Director Transactional

Banking.

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Mr. Syam followed up his Engineering degree with an MBA. He has also attended Banking &Technology seminars organized by SCB Singapore, BSE India & Euro Finance.

Mr. Ketan Shah Associate Director - Information Technology

IT is a strategic function at Angel. And Mr. Ketan Shah is involvedin the designing of Angels IT policies and Strategies. Mr. Shah leads all IT-relatedactivities from planning and budgeting to implementation and maintenance.

Mr. Shah has over 18 years of industry experience. He has been involved in various

aspects of Business Operations in his previous assignments.

Ms. Pinky Kothari Associate Director - Sales AndMarketing

Ms. Pinky Kothari is responsible for development and expansion ofthe Angel Groups business in Southern India. She started her career at Angel asBusiness Development Executive. She was then appointed the head of Surat Branchand the South Gujarat region, before assuming the role of Associate Director.

A qualified Company Secretary and an MBA in Finance, Ms. Kothari has vastexperience in business development in the financial services industry.

Mr. Naveen Mathur Associate Director Commodities Business

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A CFA of 1997, Mr. Mathur holds a Post Graduation degree inFinancial Management and Business Finance. He brings with him over 14 years ofexperience in the financial markets

He had been associated with Religare Commodities, Karvy Consultants and with BLBLtd in the past. He has been involved in several management activities, treasuryoperations, corporate and strategic planning, and research activities in Futures andOptions markets in his past assignments.

Mr. Mathur is a regular speaker on all the prominent financial news channels.

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 ANGEL BROKING LTD. OFFERS

1. Personalized Service

Company believes in providing personalized service and individualattention to each client to ensure that we understand their goals andhelp them achieve it.

2. Professional Advice

Company offers expert advice on equity and debt portfolios withan objective to provide consistent long-term return while takingcalculated market risks. Companies approach helps clients build a

proper mix of products, and not concentrate on just one individualproduct. Hence, serving long-term objectives in the best way.

3. Long-term RelationshipCompany believes that long-term vision is the only means tosteady wealth creation. However to achieve this one also needs totake advantage of short-term market opportunities while not losingsight of long-term objectives. Hence it partners all its clients inrealizing their long-term vision.

4. Access to Research Reports

Company provides the clients with access to the expert opinion ofeconomists and analysts.

5. Transparency and Confidentiality

Companies clients receive regular portfolio statements fromrelationship managers via email.

DISCUSSION ON TRAINING

Students work profile(role and responsibilities)

I worked there with ANGEL 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.

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The most important aspect for the role of trainee is trust. So far fulfillment of the

targets one needs to:

Capitalize on the old and loyal clientage 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 give 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 one day to crack Hi-tech Gears.

At ANGEL 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.

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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.

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)

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Flexibility: can adapt to different types of clients and new situations.

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 Angel 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.

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People risk appetite is very low, so they are afraid of mutual fund as well.

Success is a journey, not adestination

ANGEL DEMAT ACCOUNTS

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Overview of Demat AccountDemat 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 fordematerialized account, is a typeof banking account which dematerializes paper-based physical stockshares. 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 April2006, it became mandatory that any person holding a demat account should

possess a Permanent Account Number(PAN),and the deadline for submission ofPAN 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 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 inincreased 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

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http://en.wikipedia.org/wiki/Shareshttp://en.wikipedia.org/wiki/Stock_brokerhttp://en.wikipedia.org/wiki/Indiahttp://en.wikipedia.org/wiki/Securities_and_Exchange_Board_of_Indiahttp://en.wikipedia.org/wiki/Permanent_Account_Numberhttp://en.wikipedia.org/wiki/Stock_brokerhttp://en.wikipedia.org/wiki/Indiahttp://en.wikipedia.org/wiki/Securities_and_Exchange_Board_of_Indiahttp://en.wikipedia.org/wiki/Permanent_Account_Numberhttp://en.wikipedia.org/wiki/Shares


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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.

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 wont need all of them though):

PAN card

A canceled check,

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Voters ID

Passport

Ration card

Drivers 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 originalsfor verification. You will have to submit a passport size photograph on which you

sign across.

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 bothparties). 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 servicesviz., 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.

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Angel Demat Account ServicesAngel 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 & commodity derivatives, IPOs offshore investmentsor prefer to invest in mutual funds, life & general insurance products or avail

money transfer and money changing services, you can do it all through Angel.

Simply open a Angel account and enjoy the convenience of handling all your key

financial transactions through this one window.

Benefits of having an Angel account.

Its cost effectiveYou pay comparatively lower transaction fees. As an Introductoryoffer, we invite you to pay a flat fee of just Rs. 750/- and transactthrough Angel.

Its offers single Through Angels associates, you can transact in equity, equityand commodities derivatives, offshore investments mutual funds,IPOs life insurance, general insurance, money transfer, moneychanging and credit cards, amongst others.

Its convenientYou can access Angels services throughThe internetTransaction kiosksThe phone (call & transact)Our all India network of associates on an assisted trade.

Its Safe your account is safeguarded with a uniquesecurity number that changes every 32 seconds. This numberworks as a dynamics password to keep your account extra safe.

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It provide you value- added services atwww.angelbroking.com, you get Reliable research, including views of external experts with anenviable track record Live news updates from Reuters and Dow Jones CEOs / 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 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 asbad 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 allcompanies in which investor holds securities electronicallyeliminating the need to correspond with each of them separately; Transmission of securities is done by DP eliminatingCorrespondence with companies; Automatic credit into demat account of shares, arising out of

bonus/split/consolidation/merger etc. Holding investments in equity and debt instruments in a singleaccount.

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Demat account has become a necessity for all categories ofinvestors for the following reasons/ benefits: SEBI has made it compulsory for trades in almost all scrips tobe settled in Demat mode. Although, trades up to 500 shares canbe settled in physical form, physical settlement is virtually nottaking place forthe apprehension of bad delivery on account of mismatch of signatures, forgery of signatures, fakecertificates,etc. It is a safe and convenient way to hold securities compared toholding 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 subsequentmisuse of certificates. Change of name, address, registration of power of attorney,deletion of deceased's name, etc. - can be affected acrosscompanies by one single instruction to the DP. Each share is a market lot for the purpose of transactions - sono odd lot problem.

Any number of securities can be transferred/delivered with onedelivery order. Therefore, paperwork and signing of multipletransfer forms is done away with. It facilitates taking advancesagainst securities on low margin/low interest.

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

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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 holderand 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 theminor and the guardians 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.

13.The pattern of holding in the DRF should match the pattern of holding on theshare 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

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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.

16.In case there is any problem in processing the DRF, contact your DP and if he

cannot resolve the problem you may contact NSDL.

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Buying and Selling of Dematerialization

INTRODUCTION

The procedure for buying and selling dematerialized securities is similar to the

procedure for buying and selling physical securities. The difference lies in the

process of delivery (in case of sale) and receipt (in case of purchase) of securities.

In case of purchase:-

The broker will receive the securities in his account on the payout day

The broker will give instruction to its DP to debit his account and credit

investors account

Investor will give Receipt Instruction to DP for receiving credit by filling

appropriate form. However one can give standing instruction for credit in to

ones accounts that will obviate the need of giving Receipt Instruction every

time.

In case of sale:-

The investor will give delivery instruction to DP to debit his account and credit the

brokers account. Such instruction should reach the DPs office at least 24 hours

before the pay-in as otherwise DP will accept the instruction only at the investors

risk.

Rights

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1. Dematerialized securities can be traded on those stock exchanges connected to

NSDL. At present, NSE, BSE, CSE, DSE, LSE, BGSE, OTCEI, MSE, ISE &

ASE are connected to NSDL. At these stock exchanges, two segments would

be available to trade in dematerialized securities :

Unified (erstwhile physical) segment - In this segment delivery

obligation can be met by delivering dematerialized or physical securities at

the option of the seller. However, for a select list of securities prescribed

by SEBI, securities cannot be delivered in physical form in the unified

segment, of stock exchanges connected to NSDL. This list presently

covers 160 securities. This list has been expanded to cover a total of 200

securities with effect from January 17, 2000. Over a period, this list would

cover all actively traded securities.

Exclusive demat segment - In this segment delivery obligation can be

met by delivering dematerialized securities only. Physical securities

cannot be delivered in the exclusive demat segment.

2. ProcedureTrading in dematerialized securities is done through your broker just like

trading in physical securities. After your broker executes the trade, your DP

will help to deliver shares to your broker (in case you sell) on the basis of valid

instruction given by you to your DP and receive shares from your broker (in

case you buy) on basis of valid instruction given by your broker to his DP.

Buy dematerialized securities

1. You purchase securities in any of the stock exchanges connected to NSDL

through a broker of your choice and make payment to your broker. Make sure

you tell your broker you want only demat shares.

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5. You receive payment from the broker for the sale in the same manner you

would receive payment for a sale in the physical mode.

Points To Remember1. Trading continues to be through brokers. In case of any problem in execution

of trade, contact your broker and if he fails to resolve the problem you may

contact the stock exchange.

2. When you buy securities through the stock exchange, your brokers clearing

account is credited to the extent of the securities purchased, on receipt of

instruction from clearing corporation/ clearing house of the stock exchange.Your depository account is credited only when your broker gives a delivery

instruction to his DP. Securities are not directly credited to your account by the

clearing corporation/ clearing house of the stock exchange. In case your broker

does not give a delivery instruction, contact him or concerned stock exchange

or SEBI. If your depository account is not credited, in spite of your broker

giving valid instruction to his DP, contact the DP and if he fails to resolve the

same you may contact NSDL.

3. When you sell securities, you have to give a delivery instruction to your DP to

transfer the securities to your brokers clearing account. They are not

automatically debited from your account by NSDL or by the clearing

corporation/ clearing house of the stock exchange. In case the DP defaults in

executing your instruction, the DP is liable to compensate you for the loss

incurred, provided your instruction was inorder and has been submitted to the DP at least 24 hours i.e. one working day

prior to the pay-in date or before the deadline prescribed by DP. In case the DP

fails to resolve your problem, you can contact NSDL.

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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 towork 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) inthe country with over 8 Lac demat accounts.

HDFC Bank Demat services offers you a secure and convenientway to keep track of your securities and investments, over aperiod of time, without the hassle of handling physical documentsthat get mutilated or lost in transit.

HDFC BANK is Depository participant both with National SecuritiesDepositories Limited (NSDL) and Central Depository ServicesLimited (CDSL).

Features & Benefits

As opposed to the earlier form of dealing in physical certificateswith delays in transaction, holding and trading in Demat form has

the following benefits:

Settlement of Securities traded on the exchanges as well as offmarket transactions.

Shorter settlements thereby enhancing liquidity.Pledging of Securities.Electronic credit in public issue.

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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 ofpower of attorney, transmission etc. can be effected acrosscompanies held in demat form by a single instruction to theDepository 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 [email protected]

Secured & easy transaction processing

HDFC Bank Ltd provides convenient facility called 'SPEED-e'(Internet based transaction) whereby account holder can submitdelivery instructions electronically through SPEED-e website(https://speede.nsdl.com). SPEED-e offers secured means oftransaction processing eliminating preparation of instruction slipsand submission of the same across the counter to the depositoryparticipant. The 'IDEAS' facility helps in viewing the currenttransactions and balances (holdings) of Demat account onInternet on real time basis.

Disclaimer:

Whatever have been stated above are in the good interest of theInvestor / Demat Applicants / holders to provide a brief pictureabout the depository system. You are requested go through theguidelines of the depositories before taking any further action. Fordetailed guidelines, you are requested to approach your nearestHDFC Bank branch. HDFC Bank will not be responsible for anymisunderstanding / act based on the above. Also HDFC Bank

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might ask for additional information / documentation than whathas been stated above to process your application / instruction.

ICICI DIRECT

ICICI Direct (or ICICIDirect.com) is stock trading company of ICICIBank. Along with stock trading and trading in derivatives in BSEand NSE, it also provides facility to invest in IPOs, Mutual Fundsand Bonds.

Trading is available in BSE and NSE

ICICI Direct offers 3 different online trading platforms toits customersType of Account

1. Share Trading AccountShare Trading Account by ICICI Direct is primarily for buying andselling of stocks in BSE and NSE.

This account allows Cash Trading, Margin Trading,

Margin PLUS Trading, Spot Trading, Buy Today SellTomorrow and Call and Trade on phone.

ICICIDirect.com website is the primary trading platform for thistrading account. They also provide installable application terminalbased 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 offersvarious options while investing in Mutual Funds like PurchaseMutual Fund, Redemption and switch between differentschemes, Systematic Investment plans, Systematicwithdrawal plan and transferring existing Mutual Funds in toelectronic mode. This account also provides facility to investin Government of India Bonds and ICICI Bank Tax SavingBonds.

2. Active Trader account gives more personalized investmentoptions to the investors. It allows investor to use online andoffline stock trading. It also provides with independentmarket expertise and support through a dedicatedRelationship Manager from ICICI.

Active Trader also provides commodity

trading.

Brokerage and fees

Account opening fees :Rs 750/- (One timenonrefundable)

Brokerage:ICICIDirect.com brokerage varies on volume oftrade and inclusive of demat transaction charges, servicetaxes and courier charges for contract notes. It ranges from0.1% to 0.15% for margin trades, 0.2% to 0.425% for squaredoff trades and 0.4% to 0.85% on delivery based trades.

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Disadvantages of ICICI Direct

1. Getting access to ICICIDirect.com website duringmarket session can be frustrating.

OBJECTIVE

To find the market potential and market penetration of

angel broking product offerings in Panchkula, Zirkpur,

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 infoline, Religare, Alan- kit,

Unicon.

To expand the market penetration of Angel broking ltd.

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To provide pricing strategy of competitors to fight cut

throat competition.

To increase the product awareness of Angel broking as

single window shop for investment solutions.

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.

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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.

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.

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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.

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

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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 .

DATA ANALYSIS ANDINTERPRETATION

Q1. In which of these Financial Instruments do you investinto?

Financial Instrument Percentage of respondentMutual Fund 75%Bond 16%Online trading 7%Derivative 2%

Result of Preference ofInvestment

Interpretation:This shows that although the mutual funds market is on the

rise yet, the most favored investment continues to be in the Share Market. So, with

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a more transparent system, investment in the Stock Market can definitely be

increased.

Q2. Are you aware of online Share trading?

Aware of online share trading Percentage of respondent

Yes 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.

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Q3. Heard about Angel Broking?

Awareness of Angel Broking Percentage of respondent

Yes 48%No 52%

Interpretation:

This pie-chart shows that reliance money 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.

Q4. Do you know about the facilities provided by AngelBroking?

Awareness of Angel BrokingServices

Percentage of respondent

Yes 36%No 64%

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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 easily available everywhere?

Company Name Percentage of respondent

Angel 15

ICICI 20

HDFC 15

Interpretation:-30% have respondent of Angel Broking Ltd, 30%

have respondent of HDFC, 40% have respondent of ICICI.

Q.6 Which banking Demat account offered you a large no.of services?

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Angel Broking 22

HDFC 10

ICICI 18

INTERPRETATION:44% have respondent of Angel Broking Ltd, 20% have

respondent of HDFC, 36% have respondent of ICICI.

Q.7 Which bank provide you a better email facility?


Angel Broking 15

HDFC 13

ICICI 22

INTERPRETATION:

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30% have respondent of Angel Broking Ltd.,26% have respondent of HDFC, 44% have respondent of ICICI.

Q.8 Which company provide a less BROKARAGE rate ?


Angel Broking 22

HDFC 11

ICICI 17

INTERPRTETATION:44% have respondent of Angel broking

ltd., 22% have respondent of HDFC, 34% have respondentof ICICI.Q. 9 Which company provide you a large number of productand services?

Company Name Percentage of respondentAngel Broking 22

HDFC 10

ICICI 18

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INTERPRETATION:-44% have respondent of Angel Broking

Ltd., 20% have respondent of HDFC, 36% have respondentof ICICI.

Represent a pie chart

OBSERVATION

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To study the sales and distribution management andimprove the Customer Acquisition Process by analyzingthe consumer behavior, response and mindset towardsthe 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 Angel Broking

48% consumers are know about Angel Broking and 52%

consumers are not know about Angel Broking.

4. Awareness about facilities provided by Angel

Broking:

36% consumers are aware about the facilities provided

by Angel Broking and 64% consumers are not know

about the facilities provided by Angel Broking.

5. Availability of Bank30% have respondent of Angel Broking Ltd, 30% have


6. Which banking Demat account offered you a large

no. of services?

4% have respondent of Angel Broking Ltd., 20% haverespondent of HDFC, 36% have respondent of ICICI.

7. Better email facility provided by bank30% have respondent of Angel Broking Ltd., 26% have


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8. Provide a less BROKARAGE rate

44% have respondent of Angel Broking Ltd., 22% have


9. Provide a large no. of Products and services44% have respondent of Angel Broking Ltd., 20% have


LIMITATION

The time constraint was one of the major problems.

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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

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1. The Brand image of Angel 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.

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

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up in the loyal clientage. 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.

CONCLUSIONAngel Demat Account is better than other Demat account. Angel 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 Angel Broking Ltd. is still growing

industry in India

Angel Broking Ltd. account have less brokerage rate .

It provide a security with the use of special type of key .

BIBLIOGRAPHY

Websites:

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www.angelbroking.comwww.hdfc.com

www.icicidirect.comwww.demataccount.comwww.google.com

Reference books:

1. FINANCIAL INSTITUTIONS AND MARKETS2.INVESTMENT MANAGEMENT

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http://www.angelbroking.com/http://www.hdfc.com/http://www.icicidirect.com/http://www.demataccount.com/http://www.google.com/http://www.angelbroking.com/http://www.hdfc.com/http://www.icicidirect.com/http://www.demataccount.com/http://www.google.com/


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ANNEXURE

MARKET RESEARCH QUESTIONNAIREPLEASE TICK MARK THE APPROPRIATE

CHOICES

DEMOGRAPHIC

NAME:.

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Address

Phone no:

..

Types of business:..

Gender

a. Male

b. Female

Your annual income?

a. 0-4,00,000

b. 4,00,001-8,00,000

c. 8,00,001-12,00,000

d. 12,00,001-15,00,000

QUESTIONNAIRE

Q1. In which of these Financial Instruments do you investinto?

Shares Mutual Funds BondsDerivativesQ2. Are you aware of online Share trading?

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Yes No

Q3. Heard about Angel Broking?

Yes No

Q4. Do you know about the facilities provided by AngelBroking?

Yes No

Q5. With which company do you have your DEMATaccount?

Angel Broking ICICI Direct HDFC

Others (please specify)

Q6. Which bank is easily available everywhere? Angel broking HDFC ICICI

Q7. Which banking Demat account offered you a large no. ofservices? Angel broking

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HDFC ICICI

Q8. Which bank provides you a better email facility?

Angel broking HDFC ICICI

Q9. Which companies provide a less BROKARAGE rate? Angel broking HDFC ICICI

Q10. Which company provide you a large number of

product and services? Angel broking HDFC ICICI