CHAPTER – 1

INTRODUCTION

A broking house is an institution which acts as an intermediary between the individual investors and stock exchange.This institution help the investors to deal in various financial instruments like shares Mutual funds etc.

Broking house acts as supporters for investors to deal with terms like shares, Mutual funds, derivatives and future options etc.This institution help the investors to take proper financial decision at every stage the member broking house act as an agent to the customer.

Broking house use various types for handling their client and for maintaining their relations for long run.Nagpur not only the city of oranges but also a hidden market for investment opportunities.Nagpur is a hub of highest number millionaires in India which creates a huge scope for saving an ultimately for the investment.

This study of comparative analysis of various broking house will open the door of opportunity for investors of Nagpur to get better investment alternatives and to find the best sources of investment.

1

AIMS & OBJECTIVES
• • • • • • To study the competitiveness among various broking houses at Nagpur. To study responsiveness of one company to the changes in market. To know the customer satisfaction & strategies of them at the slowdown of an economy. To study various strategies used by different broking houses to survive in the market. To find good broking house for the investors to safeguard their interest. To identify market share of broking houses at Nagpur.

2

Chapter 2 INDUSTRY PROFILE
ABOUT SHARE MARKET
The market or place, where securities, viz. shares are exchange / traded or simply where buying and selling talks place, is called stock exchange or stock market.

History of Stock Exchange in India
In 1860, the exchange flourished with 60 brokers. In fact the 'Share Mania' in India began with the American Civil War broke and the cotton supply from the 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 called Dalal Street). In 1887, "Native Share and Stock Brokers' Association" was established. In 1895, the exchange acquired a premise in the street which was inaugurated in 1899. The Bombay Stock Exchange (BSE) is the largest Stock Exchange, in the country, where maximum transactions, in terms of money and shares take place. The other major stock exchanges are Calcutta, Madras and Delhi Stock Exchanges. Other one at Ahmedabad, Jaipur, Bangalore, Kanpur, Rajkot, Hyderabad, Cochin, Pune, Bhubaneshwar, Guwahti, Indore, Mangalore, Ludhiana, Patna, Saurashtra, Vadodara, Coimbatore, Meerut, and Surat.

3

) Market Value of Capital per Listed Cos. (Cr. Rs.) Capital per Listed Cos. Capital of Listed Cos. (4/2) (Lakh Rs.) Market value of Capital of Listed Cos.Indian Stock Exchange Growth: Stock Exchanges in India: 1946 7 1125 1506 270 971 1961 7 1203 2111 753 1292 1971 8 1599 2838 1812 2675 1975 8 1552 3230 2614 3273 1980 9 2265 3697 3973 6750 1985 14 4344 6174 9723 25302 1991 20 6229 8967 32041 110279 1995 22 8593 11784 59583 478121 No.) (5/2) Appreciated value of Capital per Listed Cos. The members may act either as agent for their customers or as principals for their own account.) 24 63 113 168 175 224 514 693 86 107 167 211 298 582 1770 5564 358 170 148 126 170 260 344 803 Stock exchange are an organized market place either corporation or mutual organization where members of organization gather to trade companies stock or other securities. (Cr. 4 . of Stock Issues of Listed Cos. of Listed Cos. of Stock Exchanges No. (Lakh Rs. Rs. No. ( Rs in Lac.

Surat Stock Exchange 5 .LIST OF STOCK EXCHANGES IN INDIA • • • ♦ ♦ ♦ ♦ ♦ ♦ ♦ ♦ ♦ ♦ ♦ ♦ ♦ ♦ ♦ ♦ ♦ ♦ ♦ Bombay Stock Exchange National Stock Exchange Regional Stock Exchange Ahmedabad Stock Exchange Jaipur Stock Exchange Bangalore Stock Exchange Kanpur Stock Exchange Rajkot Stock Exchange Hyderabad Stock Exchange Cochin Stock Exchange Pune Stock Exchange Bhubaneshwar Stock Exchange Guwahti Stock Exchange Indore Stock Exchange Mangalore Stock Exchange Ludhiana Stock Exchange Patna Stock Exchange Saurashtra Stock Exchange Vadodara Stock Exchange Coimbatore Stock Exchange Meerut Stock Exchange.

1956. The oldest market not only in the country. but also in Asia. but now it is a demutualised and corporative entity incorporated under the provisions of the Companies Act. BSE. 1956. In 1956. In the past and even now. SENSEX.Bombay Stock Exchange (BSE) A very common name for all traders in the stock market. Earlier it was an Association of Persons (AOP)." It was established in the year 1875 and became the first stock exchange in the country to be recognized by the government. pursuant to the BSE (Corporatisation and Demutualisation) Scheme. 6 . it plays a pivotal role in the development of the country's capital market. 2005 notified by the Securities and Exchange Board of India (SEBI). is also tracked worldwide. The early days of BSE was known as "The Native Share & Stock Brokers Association. This is recognized worldwide and its index. stands for Bombay Stock Exchange. BSE obtained a permanent recognition from the Government of India under the Securities Contracts (Regulation) Act.

First to have an exclusive facility for financial training • National Stock Exchange (NSE) The National Stock Exchange of India (NSE) was incorporated in November 1992 as a taxpaying company. Clearing & Settlement 'BSE On-Line Trading System (BOLT) has been awarded the globally recognized the Information Security Management System standard BS7799-2:2002. the same year. 7 .BSE Vision The vision of the Bombay Stock Exchange is to "Emerge as the premier Indian stock exchange by establishing global benchmarks. it commenced operations in the Wholesale Debt Market (WDM). 1956 in 1993 as a stock exchange. the Capital Market (Equities) segment commenced operations and the Derivatives segment in June 2000. It is recognized under Securities Contracts (Regulation) Act. In June 1994." BSE Facts • • • • • • First in India to introduce Equity Derivatives First in India to launch a Free Float Index First in India to launch US$ version of BSE Sensex First in India to launch Exchange Enabled Internet Trading Platform First in India to obtain ISO certification for Surveillance. In November.

The rest 21 are Regional Stock Exchanges (RSE). NSE can handle up to 1 million trades per day. List of Regional Stock Exchanges in India • • • • • • • • • • • • • • • • Ahmedabad Stock Exchange Bangalore Stock Exchange Bhubaneshwar Stock Exchange Calcutta Stock Exchange Cochin Stock Exchange Coimbatore Stock Exchange Delhi Stock Exchange Guwahati Stock Exchange Hyderabad Stock Exchange Jaipur Stock Exchange Ludhiana Stock Exchange Madhya Pradesh Stock Exchange Madras Stock Exchange Magadh Stock Exchange Mangalore Stock Exchange Meerut Stock Exchange 8 . Presently more than 9000 users are trading on the real time-online NSE application.network is the largest private wide area network in India and the first extended C.NSE Facts • It uses satellite communication technology to energize participation from around 400 cities in India. Among them two are national level stock exchanges namely Bombay Stock Exchange (BSE) and National Stock Exchange of India (NSE). It is one of the largest interactive VSAT based stock exchanges in the world.Band VSAT network in the world. • • • • Regional Stock Exchanges (RSE) There are 23 stock exchanges in India. The NSE.

Madras.• • • • OTC Exchange Of India Pune Stock Exchange Saurashtra Kutch Stock Exchange Uttar Pradesh Stock Exchange The Regional Stock Exchanges started clustering from the year 1894. 1980s was the turning point and many RSEs were incorporated. the second in the series. The latest is Coimbatore Stock Exchange and Meerut Stock Exchange. there were only few recognized RSEs in India namely Calcutta. Ahmedabad. During the early sixties. 9 . Hyderabad and Indore. when the first RSE. Calcutta Stock Exchange (CSE) came into existence. The number remained unchanged for the next two decades. Delhi. the Ahmedabad Stock Exchange (ASE) was established. In the year 1908.

These shares are frequently traded and command higher price earning multiples. A Company. on a stock exchange. with huge amount of capital. The SEBI. such shares can be bought and sold. GROUP "A" SHARES 2. The facility for carrying forward a transaction from one account period to another is available for these shares. Once the shares are listed. through prospectus. in stock exchange. from time to time. with regard to listing of securities. the are divided into two categories: 1. 10 .FUNCTIONING OF STOCK EXCHANGE: LISTING Listing of shares. for getting its shares listed. means. and equally a large scope for investment. One or more stock exchanges. issues guidelines and notifications. which intends to issue shares. shall have to apply to the detailed and elaborate procedure of getting the shares listed on a stock exchange is monitored by SEBI. Group "A" shares represent companies. GROUP "B" SHARES  GROUP "A" SHARES: Are referred to as “Cleaned Securities” or “specified shares".

TYPES OF TRANSACTIONS Similarly there are certain types of transactions. laid down by stock exchange. Transactions for special delivery The delivery and payment is affected within any time exceeding fourteen days following the date of the contact as may be stipulated when entering into the transaction. are cleared and settled through the clearing house. GROUP "B" SHARES: Are referred to as. likewise. Transaction for Hand delivery These transactions also referred to as the transaction for "the account". They are: Transactions for Spot delivery The delivery and payment is effected within the time or on the date stipulated when entering into the transaction or within fourteen days. which are allowed on the stock exchanges. whichever is shorter. 11 . its market price declines. when a share is shifted from Group "A" to Group "B". There are some criteria and guide lines. provided the same is permitted by the governing board or the president of the exchange. for shifting stocks from the non-specified list to the specified list. For these groups facility of carrying forward is not available. Non cleaned securities or non-specified shares. Whenever a share is moved from Group "B" to Group "A" its market price rises.

Postgraduate courses in economics and commerce are available in most universities in the country. Brokers now have all their operations computerized and employ qualified industry specialists to advice on buying and selling of stocks. accountants. Today's progressive brokers deal in billions rather than in millions. The capital markets are undergoing transformation. conducts the chartered accountancy course for the plus two level through the foundation course and directly for graduate 12 . It is the regulatory body in charge of the country's capital markets. Brokers or stock market professionals are now either playing host to foreign investment bankers. are dealing with big numbers and big buyers. who are looking for opportunities on the Indian stock market. capital market specialists. and investments and financial planners. financial analysts. or visiting fund managers abroad seeking investment here. today. Finance managers may be MBAs with specialization in finance from the reputed institutes of management or from the departments of business administration of the major universities. The Securities and Exchange Board of India (SEBI) has been empowered by an Act of Parliament to protect the rights of investors and ensure the promotion and regulation of the capital markets. Stock market houses are redefining themselves and the business of stock broking is highly visible today.economists. Stock broking business requires the services of specialists (in varied fields) . The Institute of Chartered Accountants of India (ICAI). New Delhi. finance managers.Indian stock exchanges.

Focus on customer-first-attitude. The company has in the last year placed 9. Motilal Oswal Securities Ltd. with just two people running the show. 1345 crore. commodities. He is a member of Institute of Chartered Accountants of India and started the business along with the co-promoter Mr. Motilal Oswal is the promoter of Motilal Oswal Securities Ltd. was founded in 1987 as a small sub-broking unit. Mr.45 billion). investment banking and venture capital.Chapter 3 Company Profile 1. (MOSt) is arguably one of the best brands among Indian Domestic broking houses enjoying an unmatched and unparallel brand recall. Financially sound. Motilal Oswal is well suited to handle all your wealth creation and wealth management needs. (MOST). With 1160 Business locations and more than 2.48% with two leading private equity investors New Vernon Private Equity Limited and Bessemer Venture Partners at post money company valuation of Rs. 00. Motilal Oswal Financial Services is a well diversified financial services group having businesses in securities. MOSt is spread across over 360 cities through over 1160 business locations 13 . 13. ethical and transparent business practices. respect for professionalism. Motilal Oswal Securities Ltd. Motilal Oswal Securities Ltd. with an excellent track record of consistent market growth in all key business segments. (Rs.000 investors in over 360 cities. Raamdeo Agarwal. research-based value investing and implementation of cutting-edge technology have enabled to blossom into an almost two thousand-member team.

This announcement has been prepared for publication in India and may not be released in the United States. 5 each at a premium (“Issue”) through a 100% book building process.982. Citigroup Global Markets India Pvt.Motilal Oswal Financial Services: MOFS is a global.24 million (US$11. diversified financial services group having businesses in Securities. With 1160 Business locations and more than 2. Motilal Oswal is well suited to handle all your wealth creation and wealth management needs. and any securities described in this announcement may not be offered or sold in the United States absent registration under the US Securities Act of 1933 or an exemption from registration.25 million). Commodities. Investment Banking and Venture Capital. respectively.000 investors in over 360 cities. To expand our financing activity. • Company Mission 14 . Ltd is the BRLM for the issue.95 million (US$61.710 equity shares of Rs. This announcement does not constitute an offer of securities for sale in any jurisdiction. 496.14 million) and Rs. and has filed a Draft Red Herring Prospectus with Securities and Exchange Board of India (SEBI). the company’s consolidated revenue and net profit was Rs.696. strengthen the balance sheet and to infuse funds into subsidiaries to support its growth plans. The Company is proposing this Issue in India. For the nine months ended December 31. subject to market conditions and other considerations. 2. we propose to enter the capital market with a public issue of 2. 2006. 00. including the United States.

CAs.from research & advice to trade execution & settlement. CFAs. Motilal Oswal (Chairman and Managing Director) Raamdeo Agrawal (Joint Managing Director) Navin Agrawal (Director) Mr. At MOSt we practice meritocracy and each of the team members is provided extensive training. ICWAs. Passion & Attitude: High energy and self motivated with a “Do It” attitude and entrepreneurial spirit. CSs. to bring you best products and services . Hitungshu Debnath (Director-Retail Business) 15 . recognized and rewarded in an apolitical environment.To be a well respected and preferred global financial services organization enabling wealth creation for all our customer. • Company Vision To become a well-respected global financial services company by assisting investors create wealth in stock market worldwide. Excellence in Execution: Time bound results within the framework of the company’s value system. Meritocracy: Performance gets differentiated. • Management Team: MOSt management team is regularly engaged in finding ways to improve operational efficiencies and customer satisfaction. Team Work: Attaining goals collectively and collaboratively. MBAs and IT professionals managing crucial functions. • Values Integrity: A company honoring commitment with highest ethical and business practices.

Ashutosh Maheshyar (CEO-MOIA) Mr. Vishal Tulsyan (CEO-MOVC) Product of the company • • • • • Equities &Derivatives (Future& Option) Portfolio Management Services Mutual Fund Commodities Demat Account Services of the Company • • • • Depository Services Advised based Services E-Broking Equities Research 16 .Mr.

Ltd. has been providing commodity trading facilities and related products and services since 2004. mutual funds. a US$100 mn. e-broking. (MOSt) is a leading research and advisory based stock broking house of India. with a dominant position in both institutional equities and retail wealth management. Motilal Oswal Securities Ltd. Motilal Oswal Venture Capital Advisors Private Limited has launched the India Business Excellence Fund (IBEF). Our services include equities. India focused Private Equity Fund.Motilal Oswal Financial Services consists of four companies: Motilal Oswal Investment Advisors Pvt. portfolio management. derivatives. is our Investment Banking arm with collective experience of over 100 years in investment banking/corporate banking and advisory services Motilal Oswal Commodities Broker (P) Ltd. IPO’s and depository services. commodities. 17 .

Awards and Achievement: • • • • • • Euro money Award (2005): Best Equities House In India Finance Asia Award (2005): Best Broker In India Asia Money (2004): Best Equity House in India Finance Asia Award (2004): India's Best Equity House Euro money (2004): Best Equity House in India Prime Ranking Award (2003-04): Largest Distributor of IPO’s 18 .

(24%) Old Mutual plc. is a joint venture between Kotak Mahindra Bank Ltd. OLD MUTUAL is one of the top ten fixed annuity businesses offering an array of specialist asset management skills through its 23 asset management businesses. Stock broking businesses in the UK. Kotak Securities Ltd.Kotak Mahindra Bank is the parent company of the group.2. In the USA. through Gerrard as one of the leading private client The OLD MUTUAL Group has the ability to cater for a variety of consumer segments and offers a comprehensive and innovative range of products for all income groups. 19 . Operations in the United Kingdom are focused on wealth management. (76%) and Old Mutual plc. OLD MUTUAL is the largest financial services business in South Africa. Kotak Group entered into the life insurance business in 2001.Is a worldClass international financial services company. asset management. Kotak Mahindra Old Mutual Life Insurance Ltd. The company’s US Life business recorded sales of $4 billion at the end of 2002. The company serves 4 million life insurance policyholders and employs over 13 000 South Africans in its local operations. It was established in South Africa before 160 years. through its life insurance. banking and general insurance operations. Kotak Group was established in 1985.

to MANAGEMENT MR.” financial decisions at every stage in life by offering them a wide range of innovative Different products. Name of executive voice chairman and managing director:-     Mr. UDAY KOTAK is the CEO of the company. Uday Kotak Mr.MISSION “At Kotak Securities. we aim to help customers take important make them financially independent. C Jairam Mr. Dipak Gupta 20 . Shivaji Dam Mr.

2. to stock broking. offering complete financial solutions that encompass every sphere of life. Kotak Group acquired the 40% stake in Kotak Mahindra Prime held by Ford Credit International (FCI) and FCI acquired the stake in Ford Credit Kotak Mahindra (FCKM) heldbyKotak Group. Harish Mahindra and Mr. In March 2006. the group caters to the financial needs of individuals and corporate. Anand Mahindra took a stake in 1986. Sidney A. representative offices and satellite offices across 216 cities and towns in India and offices in New York. This company was promoted by Mr. franchisees. to life insurance. Dubai and Mauritius.000 employees across its various businesses servicing around one million four hundred thousand customer accounts through a distribution network of branches. Mr. London. The group has a net worth of around Rs. In October 2005. From commercial banking.000 crore and employs around 6. Kotak Group has agreed to buy 25% stake held by Goldman Sachs in KMCC and KS subject to regulatory approvals. and that's when the company changed its name to Kotak Mahindra Finance Limited. Uday Kotak. Pinto and Kotak & Company.AREAS OF BUSINESS Kotak Mahindra one of India's leading financial institutions was born in 1985 as Kotak Capital Management Finance Limited. 21 . Industrialists Mr. to mutual funds. to investment banking. Kotak Mahindra is one of the India's leading financial institutions. A.

KMP has a retail distribution network comprising of 54 branches (including representative offices) covering about 100 locations in 17 states in the country and has a wide network of Direct Marketing Associates. Kotak Mahindra Prime Limited (KMPL) is a 100% subsidiary of Kotak Mahindra Group (Kotak Group) formed to finance all passenger vehicles. brokers and agencies supporting the distribution network and servicing around 113.000 customers 22 . The Company also offers Inventory funding to car dealers and has entered into strategic arrangement with various car manufacturers in India for being their preferred financier. 2005. The Company offers car financing in the form of loans for the entire range of passenger cars and multi utility vehicles. dealers and retail customers. The company is dedicated to financing and supporting automotive and automotive related manufacturers. As on March 31.KOTAK GROUP IS INVOLVED IN THE FOLLOWING AREAS OF BUSINESS:-  Kotak Mahindra Prime Ltd.

It is also the first Indian Investment Bank to be registered with the Securities & Futures Authority in the UK (through our wholly owned subsidiary) and the National Association of Securities and Dealers in the USA. Advisory Services and Fixed Income Securities and Principal Business. Kotak Investment Banking* (KIB) is India's premier Investment Bank. As a full service Investment Bank. Kotak Investment Banking (KIB) and Kotak Institutional Equities represent the securities business of the Kotak Mahindra Group ** (KI). Kotak Investment Baking’s core business areas include Equity Issuances. Kotak Investment Bank is a full service Investment Bank bringing to its clients the global reach and the local knowledge and skills of Kotak Mahindra. Kotak Mahindra Capital Company Ltd. 23 . which spans a wide variety of investors across the country. Mergers & Acquisitions. Its strength lies in understanding the clients' businesses backed by a strong research team and an extensive distribution network.

KOTAK SECURITIES – PROGRESS Journey to growth and success. 24 .

a private equity fund. Investment Banking division incorporated into a separate company . The launch of Matrix Information Services Limited marks the Group's entry into information distribution. Kotak 1996 Mahindra takes a significant stake in Ford Credit Kotak Mahindra Limited.1986 Kotak Mahindra Finance Limited starts the activity of Bill Discounting 1987 Kotak Mahindra Finance Limited enters the Lease and Hire Purchase market 1991 The Investment Banking Division is started. 1998 Enters the mutual fund market with the launch of Kotak Mahindra Asset Management Company. Kotak Mahindra ties up with Old Mutual plc. one of India's largest financial retail marketing networks. 2000 Commencement of private equity activity through setting up of Kotak Mahindra Venture Capital Fund. Buys Kotak Mahindra Prime 2005 (formerly known as Kotak Mahindra Primus Limited) and sells Ford credit Kotak Mahindra. KotakSecurities launches its on-line broking site(now www. converts to a commercial bank .the first Indian company to do so. 2001 Matrix sold to Friday Corporation Launches Insurance Services 2003 Kotak Mahindra Finance Ltd. Takes over FICOM. Kotak Group realigns joint venture in Ford Credit.com). for the Life Insurance business. Launches a real estate fund 25 . 1992 Enters the Funds Syndication sector Brokerage and Distribution businesses incorporated into a separate company 1995 Kotak Securities.Kotak Mahindra Prime Limited (formerly known as Kotak Mahindra Primus Limited).Kotak Mahindra Capital Company The Auto Finance Business is hived off into a separate company . 2004 Launches India Growth Fund.kotaksecurities. for financing Ford vehicles.

Kotak Securities Ltd. IPO’s and Mutual funds. corporate and Banks. 1997. (CDSL) provides dual benefit services wherein the investors can use the brokerage services of the Company for executing the transactions and the depository services for settling them. a Portfolio Manager and a team of equity. also an Approved Intermediary under the Securities Lending Scheme. subsidiary of Kotak Mahindra Bank Ltd.. trusts.. is one of India’s largest brokerage and distribution house. portfolio management. The Company has a full fledged research division involved in macro economic studies. 26 . Over the years Kotak Securities has been one of the leading investment service providers catering to the needs of various investor categories both institutional and non-institutional.MORE ABOUT COMPANY Kotak Securities Ltd. sectoral research and company specific equity research combined with a strong and well networked sales force which helps deliver current and up to date market information and news.. The Private client group (PCG) of the Company provides value added investment advisory services to high net worth individuals. Kotak Securities Ltd. NRI investors.. The investment product range offered by PCG covers equity investment and equity trading. facilitates clients to borrow and lend securities. Under the Portfolio Investment Scheme offered by the Company. equity derivatives. technical and derivatives analysts. Depository Participant with National Securities Depository Limited (NSDL) and Central Depository Services Ltd. the funds of the investors are managed by a highly competent team comprising of Equity Strategist.

KOTAK GROUP PRODUCTS AND SERVICES:• • • • • • • • • Bank Life Insurance Mutual Fund Car Finance Securities Institutional Equities Investment Banking Kotak Mahindra Intra International Kotak private Equity 27 .

HIERARCHY AT KOTAK SECURITIES (NAGPUR BRANCH) Branch manager Assistant BM Branch Operations In charge (BOE) Sales Manager Operation Executive Assistant SM Operations Advisor 28 .

5 lakh 5 .2 Crores 2 Crores .BROKERAGE STRUCTURE Delivery < 1lakh 1 .59% 0.36% 0.06% both sides 0.60 lakh 60 lakh .55% 0.23% 0.03% both sides Privilege A/C Gateway A/C 0.10 lakh 10 .27% 0.20 lakh 20 .05% both sides 0.18% Gateway A/C Privilege A/C 29 .5 Crores > 5 Crores 0.04% both sides 0.45% 0.2 crore > 2 crore Intraday brokerages < 25 lakhs 25 lakhs .

045% both sides 0.046% both sides 0.35 1.036% both sides 0.032% both sides Privilege A/C Gateway A/C Options Monthly Premium Volume Upto 4Lacs 4Lacs11Lacs 11Lacs20Lacs 20Lacs50Lacs < 50Lacs Minimum Intraday Settlement Brokerage Per Lot (Intraday) 100 100 100 80 70 Brokerage% Brokerage% 2.5.5 2.027% both sides 0.25 crores > 25 crores brokerages 0.5 2.3 1.5 2.Futures Intraday < 2 Crores 2 .07% both sides 0.023% both sides Settlement 0.073% both sides 0.046% both sides 0.09% both sides 0.6 Minimum Brokerage Per Lot (Settlement) 100 100 100 100 100 Privilege Gateway Kotak Group Products & Services: • Bank 30 .5 .8 1.3 2.10 crores 10 .5 crores 5.25 1.15 2.

India's best Equity House Prime Ranking Award (2003-04).Best Provider of Portfolio Management: Equities Euro money Award (2005)-Best Equities House In India Finance Asia Award (2005)-Best Broker In India Finance Asia Award (2004).Largest Distributor of IPO's 31 . 2007 & 2006 Best Performing Equity Broker in India – CNBC Financial Advisor Awards 2008 Avaya Customer Responsiveness Awards (2007 & 2006) in Financial Services Sector The Leading Equity House in India in Thomson Extel Surveys Awards for the year 2007 Euro money Award (2007 & 2006) .• • • • • • • • • Life Insurance Mutual Fund Car Finance Securities Institutional Equities Investment Banking Kotak Mahindra International Kotak Private Equity Kotak Realty Fund Our Accolades Includes:• • • • • • • • • Best Brokerage Firm in India by Asia money in 2008.

the company offers an online investment portal armed with a host of revolutionary features. Depository Participant with National Securities Depository Limited and Central Depository Services (I) Limited. The company currently handles sizeable volumes traded on NSE and in the realm of online trading and investments. Portfolio Management Services. The major activities and offerings of the company today are Equity Broking. International Advisory Fund Management Services. Religare Securities Ltd. To broaden the gamut of services offered to its investors.We have been the first in providing many products and services which have now become industry standards. • RSL is a member of the National Stock Exchange of India. Bombay Stock Exchange of India. and is a SEBI approved Portfolio Manager. it currently holds a reasonable share of the market. Religare Securities Limited (RSL).A systematic investing plan in Equities and Mutual funds Provision of margin against securities automatically against shares in your Demat account 3. Some of them are: • • • • • • Facility of Margin Finance to the customers Investing in IPO’s and Mutual Funds on the phone SMS alerts before execution of depository transactions Mobile application to track portfolios Auto Invest . Institutional Broking and Research Services. FII. 32 . a 100% subsidiary of Religare Enterprises Limited is a leading equity and securities firm in India. Depository Participant Services. • Religare has been constantly innovating in terms of product and services and to offer such incisive services to specific user segments it has also started the NRI.

Derivatives. Varity of fee structure to fulfill need of different type of investors. They provide intraday reports and historical charting. 4.HNI and Corporate Servicing groups. but also gives their valuable inputs to investment dealers. Religare retail network spreads across more than 900 locations across more than 300 cities and towns in India. Investment banking and institutional broking services. commodities. wealth advisory. People who wonder where Religare word came from. 2. • Religare has a very credible Research and Analysis division. 5. Religare gives interest on unutilized cash when investor is waiting to make next trade or online investment. commodities. Advantages of Religare 1. Religare Allow their investor to trade without having to worry about cash margin. 33 . 3. Mutual fund. Religare Securities Limited is a subsidiary company of Religare Enterprises Ltd and involve in equity related services include online trading at BSE and NSE. it's a Latin word meaning 'to bind together'. portfolio management services. IPO. Religare Enterprises Limited is Ranbaxy Laboratories Limited promoted financial product and service Provider Company. Wealth management and the Institutional spectrum. These groups take all the portfolio investment decisions depending upon a client’s risk / return parameter. insurance broking. Lifetime free DP account. It offers wide range of services including equities. Religare provide its service in three different segments including Retail. which not only caters to the need of our Institutional clientele. personal finance services. Investment banking and institutional broking services. Investor can get exposure (on cash segment) as high as 20 times for intraday trades.

Investor can trade and access their account information online and over the phone as well. In addition it also provides realtime streaming stock quotes and alerts. 2. R-ACE Lite (Advanced) It's the advanced account option for the investor with Religare. This account comes with a browser based online trading platform and no additional software installation needed. R-ACE Pro (Professional) 34 . 3. R-ACE (Basic) It's the basic online trading account provided by Religare. This trading account provides the entire feature of R-ACE (Basic) account. This trading platform is also browser based and no software installation is needed. This account also provides Lifetime free DP account with no annual maintenance charges.Type of Account 1.

R-ACE Pro Minimum margin of Rs. All account comes with free DP account. R-ACE Lite Account activation charges Rs. All the account comes with free annual maintenance charge.499/-.999/-. advanced hot-key functions for faster trading. 5. software which needs to install on your computer. 2. Minimum margin of Rs. Along with the features from above 2 accounts. Below are detail about fees and activation charges for each account: 1. This terminal directly connects the investor to stock market and having all industry standard Treading terminal features including technical charting (intra-day and EOD). futures & options calculator.As the name indicates this account is for high volume traders. Brokerage and Account opening fees: Religare offers three kinds of accounts as above. R-ACE Account activation charges Rs. As in basic and advance account.5000/. 3.5000/. 35 .required. 4. this account also comes with a Trading Terminal.299/-. trading is available online through internet and offline though phone. derivative chains. multiple watch list. Minimum margin of Rs.required Account activation charges Rs. 000/.required. .10.

1400). Delivery brokerage varies from 0. investor has to pay a fix amount in advance for Monthly (Rs 500/-).30% to 0.5%. 40. 2. Intraday brokerage varies from 0.000 of delivery based trading for zero brokerage. Half-yearly (Rs 2500) or Annual Subscription (Rs 4000).  Trump Account Trump account has two payment options. Trump Plus and Trump Super plan: 36 .Brokerage at Religare On the basis of volume and frequency of trading. Derivatives brokerage varies from 0. On the broader way they divided into three categories:  Classic Account 1. Quarterly (Rs. 3. 3.3% to 0. This one time payment enable account holder to trade for Rs.3% to 0.5%.00.50%. Religare provide different options for brokerages.000 intraday & derivative trading and Rs.  Freedom Account In this payment scheme.

025%. Brokerage on Delivery Trades of 0. ICICI DIRECT.1. This enables you to trade in shares without going through the hassles of tracking settlement cycles. research. They provide with an exclusive range of services under new "Active Trader Account" – giving a strategic & tactical Support and access to tools and resources that would need to develop and implement trading strategies. A multitude of resources like online quotes.25% and Brokerage on Intraday Trades & F&O Trades of 0.COM The ICICIdirect. 4. 2. Trump Plus has annual subscription fees of Rs 2. chasing your broker for cheques or Transfer Instructions etc.com comes with a unique 3-in-1 account which integrates your banking. you can verify orders and get order confirmations online. Brokerage on Delivery Trades of 0.500.000.15% and Brokerage on Intraday Trades & F&O Trades of 0.com.com Private offers a benefit of a trading platform that combines the best of both online and offline trading.015%. 15. Trump Super has annual subscription fees of Rs. • ICICI direct keeps track of the transactions and the settlement dates. writing cheques and Transfer Instructions For Debit (TIFD). news. fundamental database and detailed analysis is just a click away to help you make informed decisions. settlement dates. broking and Demat accounts. charts. • Since with ICICIDirect. writing cheques and Transfer Instructions. hence relieving you of the inconvenience of tracking stock exchange trading calendars. • ICICI direct. you can be assured that you have in fact placed an order at the price you 37 .

You could trade in shares through Cash. Research . 38 . you can manage your OWN demat and bank accounts when you trade through ICICIDirect.com in other financial instruments like Mutual Funds."One click trading capabilities allowing for quicker trade execution. faster and smarter.letting trade better. industries and companies. Thereby giving you CONTROL over your OWN trades. Margin or on Spot.com allows you with various options while trading in shares." Access to our customizable and multi featured trading platform "DIRECT LINK" featuring advanced technical tools. What's more. You could trade with market orders or during off-market hours by placing limit orders. Commodity Trading. ICICIDirect.com is the most comprehensive website. Futures and Options will also be launched soon. instead of transferring monies to a brokers' pool or towards deposits. analysis and charting facilities. which allows you to invest in Shares.Hassle free commodity trading using the same Login details as your equity trading account . you can also trade through ICICIDirect. What's more. And many more benefits . Mutual funds.com. • • ICICI direct offer a premium trading services such as: Specialized Inputs . Products and Services A product for every need: ICICIdirect.always wanted to but may not have been able to do so till now.We would provide you with independent market expertise and support through a dedicated Relationship Manager. • Wait a minute. Derivatives (Futures and Options) and other financial products. Simply put we offer you a product for every investment need of yours.Expert research reports on the economy.making it a 4-in-1 account. these reports also include Daily trading and Intra day calls on Equity and F&O. Direct Link.

1. Trading in shares: ICICIdirect.com offers you various options while trading in shares. Cash Trading : This is a delivery based trading system, which is generally done with the intention of taking delivery of shares or monies. Margin Trading : You can also do an intra-settlement trading upto 3 to 4 times your available funds, wherein you take long buy/ short sell positions in stocks with the intention of squaring off the position within the same day settlement cycle. MarginPLUS Trading : Through Margin PLUS you can do an intra-settlement trading upto 25 times your available funds, wherein you take long buy/ short sell positions in stocks with the intention of squaring off the position within the same day settlement cycle. Margin PLUS will give a much higher leverage in your account against your limits. Spot Trading : This facility can be used only for selling your demat stocks which are already existing in your demat account. When you are looking at an immediate liquidity option, 'Cash on Spot' may work the best for you, On selling shares through "cash on spot", money is credited to your bank a/c the same evening & not on the exchange payout date. This money can then be withdrawn from any of the ICICI Bank ATMs. BTST : Buy Today Sell Tomorrow (BTST) is a facility that allows you to sell shares even on 1st and 2nd day after the buy order date, without you having to wait for the receipt of shares into your demat account. CallN Trade® : CallN Trade® allows you to call on a local number in your city & trade on the telephone through our Customer Service Executives. This facility is currently available in over 11 major states across India. Trading on NSE/BSE : Through ICICIdirect.com, you can trade on NSE as well as BSE. Market Order : You could trade by placing market orders during market hours that allows you to trade at the best obtainable price in the market at the time of execution of the order. Limit Order : Allows you to place a buy/sell order at a price defined by you. The execution can happen at a price more favorable than the price, which is defined by you, limit orders can be placed by you during holidays & non market hours too. 39

TRADE IN DERIVATIVES: FUTURES
Through ICICIdirect.com, you can now trade in index and stock futures on the NSE. In futures trading, you take buy/sell positions in index or stock(s) contracts having a longer contract period of up to 3 months. Trading in FUTURES is simple! If, during the course of the contract life, the price moves in your favour (i.e. rises in case you have a buy position or falls in case you have a sell position), you make a profit. Presently only selected stocks, which meet the criteria on liquidity and volume, have been enabled for futures trading. Calculate Index and Know your Margin are tools to help you in calculating your margin requirements and also the index & stock price movements. The ICICIDIRECT UNIVERSITY on the HOME page is a comprehensive guide on futures and options trading.

OPTIONS
An option is a contract, which gives the buyer the right to buy or sell shares at a specific price, on or before a specific date. For this, the buyer has to pay to the seller some money, which is called premium. There is no obligation on the buyer to complete the transaction if the price is not favorable to him.

40

To take the buy/sell position on index/stock options, you have to place certain % of order value as margin. With options trading, you can leverage on your trading limit by taking buy/sell positions much more than what you could have taken in cash segment. The Buyer of a Call Option has the Right but not the Obligation to Purchase the Underlying Asset at the specified strike price by paying a premium whereas the Seller of the Call has the obligation of selling the Underlying Asset at the specified Strike price. The Buyer of a Put Option has the Right but not the Obligation to Sell the Underlying Asset at the specified strike price by paying a premium whereas the Seller of the Put has the obligation of Buying the Underlying Asset at the specified Strike price.

3. Investing in Mutual funds:
ICICIdirect.com brings you the same convenience while investing in Mutual funds also Hassle free and Paperless Investing. With the inclusion of Fidelity MF, you can now invest on-line in 19 mutual Funds through ICICIdirect.com. Prudential ICICI MF, JM MF, Alliance MF, Franklin Templeton MF, Sundaram MF, Birla Sun Life MF, HDFC MF, Principal MF, UTI MF,Reliance MF,Kotak MF,Tata MF,DSP Merrill Lynch MF, ING MF,CHOLA MF,Deutsche MF,HSBC MF and Standard Chartered MF are the Mutual Funds available for investment. You can invest in mutual funds without the hassles of filling application forms or any other paperwork. You need no signatures or proof of identity for investing. Once you place a request for investing in a particular fund, there are no manual processes involved. Your bank funds are automatically debited or credited while simultaneously crediting or debiting your unit holdings. You also get control over your investments with online order confirmations and order status tracking. Get to know the performance of your investments through online updatation of MF portfolio with current NAV.

ICICIdirect.com offers you various options while investing in Mutual Funds:

41

42 . You can switch your monies online from one scheme to another in the same fund family without any hassles.CHOLA MF.HSBC MF and Fidelity MF without the hassles of filling application forms. Franklin Templeton MF. Principal MF. HDFC MF. Redemption: In addition to giving hassle-free paperless redemption. ICICIdirect.ING MF. JM MF.Kotak MF.Standard Chartered MF .DSP Merrill lynch MF.Reliance MF. ICICIdirect. Switch: To suit your changing needs you may wish to shift monies between different schemes. The money will be credited to your bank account automatically 3 days after the order placement date.Deutsche MF.Purchase: You may invest/purchase Prudential ICICI MF.com will do the rest for you automatically investing periodically for you. Just fill in the investment amount. IPO’s and Bonds Online: You could also invest in Initial Public Offers (IPO’s) and Bonds online without going through the hassles of filling ANY application form/ paperwork. 4. Sundaram MF. Alliance MF. Transfer-in: You can convert your existing Mutual funds into electronic mode through a transfer-in request. Tata MF. You can redeem the mutual fund units through ICICIdirect.com.com offers faster liquidity. UTI MF . Systematic withdrawal plan: This allows you to withdraw a certain sum of money over a period of time periodically. Systematic Investment plans (SIP): SIP allows you to invest a certain sum of money over a period of time periodically. Birla Sun Life MF. the period of investment and the frequency of investing and submit.

com that shall help you make informed investment decisions. which is a tutorial on investments and My Research. Get a bird's eye view of over 5000 companies at a single click using Company Snapshot. Get daily share prices of all scrips. nifty futures and ADR prices of Indian scrips. You can get weekly snapshots also. Content Features: There are a host of features on ICICIdirect. Get a glimpse of the performance of various industry sectors through Industry Barometer. 5. try our Learning Centre. In case. Get breaking news from CNBC and Reuters.Get in-depth analyses of new IPO’s issues (Initial Public Offerings) which are about to hit the market and analysis on these. We provide you with the indices of major world markets. Get a snapshot of the latest developments in the markets through the day using Market Commentary. Track the movement of leading scrips within a sector across 12 sectors using Market@Desktop. Catch interviews. monthly and yearly high/lows etc through Market Watch. keep on top of the IPO markets. Catch a glimpse of News Headlines through our scrolling Direct News Headlines. Direct Technical Charts offer interactive charting with advanced indicators. that helps you to research a stock better. prospectus/offer documents. Market Barometer gives you in-depth information of the weightages of shares on Nifty and Sensex. recent IPO listings. Personal Finance: 43 . Glance through analyst recommendations using Multex Global Estimates. 6. you are not too comfortable with share trading. IPO calendar. Equip yourself with our barometers. which help you. reactions and comments from industry leaders with CEO Call. and IPO analysis are few of the features. Use Pick of the week which focuses on fundamental stocks with sound prospects.

25 Lakhs Less Than 10 Lakhs • • 0.0035% for NSE and 0. 44 . Address your trading queries on-line through "Easy Mail".375% Service Tax (ST). retirement. Get details of ICICI Centers. 5 Crores Rs.175% 0. 50 Lakhs to Rs. 50 Lakhs Rs. You can view and change your profile or password on-line through General Profile option.35% 0.0034% for BSE on turnover. Transaction Charges and Stamp Duty will be charge additionally.75% Nil Nil Nil Nil Nil Nil Nil 0. 25 Lakhs to Rs.275% 0.Use our Personal Finance section and get hold of tools that can help you plan your investments. Securities Transaction Tax (STT). tax etc.30% 0.15% 0.25% 0.2 Crores to 5 Crores Rs.125% 0. BROKERAGE CHARGES AT ICICIDIRECT.COM Total Eligible Turnover (Per calendar Quarter ) Brokerage Second Leg Of Trades Effective Brokerage on Intraday Square off Above Rs.45% 0. Transaction Charges will be charged @ 0.35% 0.55% 0. 1 Crores Rs. our sales and service offices.70% 0.225% 0. Customer Service Features: With 'ICICIdirect Customer Tools & Updates' you can trouble shoot all your problems online. 7. 10 Lakhs to Rs. Analyze your risk profile through the Risk Analyzer and get a suitable investment portfolio plan using Asset Allocator. 1 Crores to Rs 2 Crores Rs. across India through branch locator.

10 Crores to Rs.10 Crores to 20 Crores Rs. 10 Crores Less Than Rs. 20 Crores Brokerage (%) 0. i.15/- . Second leg of intra day square off transaction in cash will not be charged any brokerage.• • Stamp Duty will be charged at 0.035 0.05 Total Eligible Turnover per month Above Rs.03 0.002% on non delivery trades.01% on delivery trades and 0. 20 Crores Rs. 5 Crores to Rs. 20 Crores Rs.035 45 Brokerage on Second leg of Intraday square off (per lot) Rs.15/Rs. SPOT: The brokerage charged on trades done in Spot segment remains unchanged.03 0. 1% (Irrespective of the amount Margin & Margin Plus Total Eligible Turnover per month Brokerage (%)Above Rs.e.04 0. 5 Crores 0.

46 .Rs. 5 Crores to Rs. Secondary data For my project. the next step is together the requisite data. 5 Crores 0.com. Chapter 4 Research Methodology DATA COLLECTION After the research methodology. I decided on primary data collection method for observing working of company and approaching customers in the field.05 Rs. There are two types of data collection method – primary data and secondary data.04 0.15/- Declaration: ICICI Web Trade Ltd and its research team do not have any positions in any of the scrips recommended and which are currently displayed on the site Icicidirect. ICICI Web Trade Ltd also has an internal employee trading policy in place which restricts the team who analyze and gives information on various companies and investment opportunities.15/Rs. research problem in marketing has been identified and selected. to place orders on scrips which have been displayed as part of information to its customer. 10 Crores Less Than Rs. ICICI Web Trade Ltd does not do any deals for its own account except for testing and demonstration purposes.  Primary data. to know their interest in business with company in my project and creating database of business class people is Nagpur city for company. There are two types of data collection method use in my project report.

books. which enables the researchers to collect necessary information regarding the survey. • Sampling: Random sampling method is used to conduct survey and convenience sampling is followed for the survey. products. journals and daily newspapers for collecting information regarding project under study. • Sample size: The sample size for this survey is 50 out of total population This project concern with competition between various broking houses “Comparative study of various broking houses in Nagpur” In this project I have done a detailed study on strategies made by broking houses & various aspects related with customer services. • Source of information: The primary data is the source of information for the study. . Primary data is fresh data.I decided on Secondary data collection method was used by referring to various websites. And compare the Four Securities like • • • • Motilal Oswal Kotak Securities Religare Securities ICICI direct. • Measurement technique: To measure the degree of importance we need a questionnaire as technique. Questionnaire is a formalized set of questions for collecting information. competitive price structure etc. The questionnaire was administrated by means of a personal interview. 47 . magazines.

Chapter 5 Findings and Analysis ANALYSIS AND INTERPRETATION As we have done a survey of over 50 people through questionnaire.35 .30 .20 .25 .30 .00 1.25 .25 .25 .25 .15 .25 .25 .00 1.30 .10 .25 Total of Weights 1.00 1.00 Comparison Oswal Securities Securities direct .30 . we have analyze the entire collected data and from that we have got the finding which we have shown through the following table Criteria of Market Share General Image Broking Charges Product Depth Facility Motilal Kotak .00 1.25 .30 Religare .15 .30 48 ICICI .

1 0.35 0.25 0.2 0.Location Graph Analysis 1. s s S IC IC I D 0 ec u lO ri tie ot ila S ot ak M K 2. Market Share of various companies at Nagpur 0. General Image of various companies at Nagpur 49 R e lig ar e ir ec .05 e cu ri tie t.3 0. C o m sw al M arket Share .15 0.

C om lO sw al s ec ur iti e rit i e s a re o ti Broking Charges ir e c t. C o m Broking Charges w a l 0 ec u ot ila S S ar e ri ti R e lig e s IC IC ID 4. Broking Charges of various companies.1 0 .1 0.2 0 5 .G n ra Im g ee l ae 0 .1 0 5 .3 0 5 .4 0 5 .25 0.3 0.05 ire ct . R e lig 0.2 0.15 0. Product Depth of various companies K ot ak M 50 .0 0 G n ra Im g ee l ae s e c u ri t ie S IC IC I D lO s e cu la S o ta k M K 3.3 0 .2 0 .

2 0.C om rit ie s M otilal O al sw Kotak Securities R eligare Securities IC I D IC irect.05 0 sw al ec u lO Product D epth s S ec ur it i e ot ila S 5. Facilities Provides by various broking houses R e Facilities Location IC IC ID ot ak M K lig ar e ire ct .Product D epth 0.3 0.25 0.35 0.C om 51 .15 0.1 0.

 How to make strategies according to the environment.  How to interact with the clients.  How to deal with the client.  This project gives a lot of good contacts.  How to collect customer database.  How to maintain relationship with the persons and client. Is become a market leader at Nagpur Newly launched Religare is second leading player at Nagpur In Product line segment ICICI Direct is leader There is lots of potential in Nagpur for broking houses Benefits from this Project We learn a lot from this project it is beneficial in this manner that:  It shows a practical view of organization. 52 .Interpretation of the graphs From the above findings we found that:• • • • Kotak Securities ltd.  How to use those contact for the benefits of organization.

53 .

Local Channel. Awareness should be created among the people of Nagpur by the means of weekly investors meet. Broking house should come up with Products and Plans of higher safety rather than higher returns. 54 .e.SUGGESTIONS • • • • Broking houses should more focus on retaining their existing clients. Company need to give some advertisement on Newspaper as well as on Television i. seminars and workshops.

 Motilal Oswal is at the fourth position in the market.  Newly launched Religare is second leading player in Nagpur.CONCLUSION  From the analysis of four broking houses we came to know that.  ICICI Direct is on third position. 55 . Kotak is the best broking house in Nagpur among these four.

LIMITATIONS • Due to slowdown. Time limit was there. so they limiting their disclosure. broking houses are not getting responses. 56 . • Study was done after the fall of market when there was emotional disturbance in the mind of investors. • • Comparative study has done keeping in view only 5 criteria’s. the report has to be completed within a time.

ICRM Publication. www. Text Book on Financial Management.kotaksecurities.religaresecurities. Hyderabad.bseindia.com www.com www. the following references were made: - Books: 1. Text Book on Marketing Management.com www.BIBLIOGRAPHY References: To obtain more information regarding the present study.com www. 2. ICMR Publication.nseindia.com 57 .economist. survey and to substantiate it with theoretical proof.com. Hyderabad. Web sites : www.icicidirect.

MT .ABBREVIATIONS • • • • • BSE . 58 .National Stock Exchange RSE .Bombay Stock Exchange NSE .Management Thesis.Executive Training.Regional Stock Exchange ET .

What is pattern of your trading from below?    Intraday Delivery Futures & Options If any other please specify________________________________________ 4. Please take a few moments to complete the following questions. The information provided by you will help us to understand your needs and guide the broking houses accordingly.What are the types of investments you prefer? Equity Mutual Funds Insurance Fixed Deposits Commodities 59      . And we are committed to keep your information secret.ANNEXURE QUESTIONNAIRE This questionnaire is made for the “Study of various broking houses at Nagpur” through their client prospective. 1. Are you interested in trading? (Please tick) Yes No   2. quality and value for money. we request you to kindly complete this questionnaire seriously. In order to help us achieve this. What type of trading you prefer?   Online Offline 3. This activity will provide you the best possible service.

What is the purpose of your trading and why?  Regular  High  Tax Income Returns benefit  Speculation Give Reason: _________________________________________________________ _________________________________________________________ _________________________________________________________ _________________________________________________________ ___________________________ 7 .000 -50. Future& option If others please specify: _________________________________________________________ _____________________________________________ 5.How much amount would you like to invest in the security market? Rs.From the different broking houses at Nagpur.000 More than 50.C  Karvy .Mehta Give Reason: _________________________________________________________ 60 .000 6. which one will you prefer for your investment and why?  ICICI  Kotak direct securities Securities Oswal  Relligare  Motilal  Asit.10.

10% -0.50%  0. What should be the standard slab of brokerage?  0._________________________________________________________ _________________________________________________________ _________________________________________________________ ___________________________ 8.5% . What is the quality of service of your broking house? Good Very Good Satisfactory Not Satisfactory     61 . According to your expectation.10% 9.0.

Master your semester with Scribd & The New York Times

Special offer for students: Only $4.99/month.

Master your semester with Scribd & The New York Times

Cancel anytime.