SYNERGIES OF STOCK EXCHANGE AND

DEPOSITORIES
SUMMER TRAINNING PROJECT REPORT
Submitted to
Uttar Pradesh Technical University, Lucknow
In partial fulfillment of the requirements of the degree of
MASTER OF BUSINESS ADMINISTRATION
Prepared by Training supervisor
Swati Singh FAHAD REHMAN
MBA 3
rd
Semester Center Manager
Roll No. 0804070037 Reliance Money,
Varanasi


(200!"0#
Department of B!ine!! "#mini!tration
Technical education $ %esearch &nstitute
$o!t%gra#ate college, &ha'ipr (3300)*+.$.,

Certificate
This is t !erti"# that SWATI SINGH $%rs%in& MBA 3
rd
Semester
"rm this instit%te' has $re$ared the s%mmer trainin& $r(e!t re$rt entit)ed
SYNERGIES OF STOCK EXCHANGE AND DEPOSITORIES* in $artia)
"%)"i))ment " the re+%irements " the de&ree " Master " B%siness Administratin
"rm Uttar Pradesh Te!hni!a) Uni,ersit#' -%!.n/' "r the sessin 0112301415
This re$rt is 6ased n s%mmer trainin& $r(e!t re$rt %nderta.en 6#
S7ATI SINGH at Re)ian!e Mne# %nder the s%$er,isin " FAHAD REHAMAN
d%rin& the $erid " 8
th
J%ne t 34
st
A%&%st and "%)"i))s #%r re+%irement " re&%)atin
re)atin& t the nat%re and standard " MBA !%rse " U5P5 Te!hni!a) Uni,ersit#5
I re!mmend that this s%mmer trainin& $r(e!t re$rt ma# 6e sent "r
e,a)%atin5

RAHUL ANAND SINGH
Head
De!art"e#t Of $%&i#e&&Ad"i#i&trati'#



I' S/ati sin&h' here6# de!)are that this s%mmer trainin& $r(e!t re$rt entit)ed
9SYNERGIES OF STOCK EXCHANGE AND DEPOSITORIES* has 6een
$re$ared 6# me n the 6asis " s%mmer trainin& dne at Re)ian!e mne# %nder the
s%$er,isin " (R) FEHAD REH(AN)
This s%mmer trainin& $r(e!t re$rt is m# 6na "ide /r. and has nt 6een
s%6mitted in an# "rm t an# Uni,ersit# r Instit%tin "r the a/ard " an# de&ree r
di$)ma $rir t the %nder mentined date5 I 6ear the entire res$nsi6i)it# "
s%6missin " this $r(e!t re$rt5
*
&t
Se!te"+er ,--. S/ati Si#01
MBA 3
rd
Semester
De$artment " B%siness Administratin
Te!hni!a) Ed%!atin : Resear!h Instit%te
P5G5 C))e&e' Gha;i$%r
Dec2arati'#
INDEX OF CONTENTS
& ' ! Pre( ace)))))))))))))))))* *
& & ' ! +cknowl edgement ))))))))))* * * * * * * *
,-+PT.%! "
& nt roduct i on)))))))))))
+* & ndust r y pro( i l e ))))))*
/* ,ompany pro( i l e))))))* *
,-+PT.%! 2

%esearch probl em, 0b1 ect i ve and scope o( st udy)))* *
,-+PT.%! 2

%esearch 3et hodol ogy)))))))*
,-+PT.%! 4
+nal ysi s $ & nt erpret at i on)))))* *
,-+PT.%! 5
6i ndi ngs $ %ecommendat i ons))))*
,-+PT.%! 7
,oncl usi on $ Li mi t at i ons)))))))* *
$i+2i'0ra!134444444444444
A##e5%re) ) 444444444444
The im$rtan!e " an a!ademi! !%rse /%)d &ain ad,anta&e and a!!e$tan!e " the tr%e "rm
n)# thr%&h $ra!ti!a) e<$erien!e5 Hen!e' it is +%ite ne!essar# t $%t the theries int ta).5 It
is ri&id)# a!!e$ted that the ther# /idens ne=s thin.in& hri;ns ,i;5 Cn!e$ts " mar.etin&
$hi)s$hies' 6%t $ra!ti!e indi!ates the mdern mar.etin& and %sed in ,ariet# " settin&s "
$rd%!ts5
The attra!ti,e "eat%re " the M5B5A5 !%rse is that a)n& /ith ther# /e a)s &et t ha,e the
e<$s%re " the $ra!ti!a) en,irnment5 The t$i! "r m# dissertatin is> SYNERGIES OF
STOCK EXCHANGE AND DEPOSITORIES
Tradin& and sett)ement " se!%rities is the 6asi! "%n!tin " st!. e<!han&e sin!e the
ad,ent " !m$%ter and in"rmatin te!hn)&# in the st!. e<!han&e the /h)e
s!enari is !han&ed5 Intrd%!tin " demateria)isatin " shares and de$sitr#
ser,i!e has 6r%&ht a6%t a drasti! !han&e in the nat%re " st!. tradin&5

Trades dne at st!. e<!han&e are sett)ed 6# the !)earin& h%se? !)earin& !r$ratin
" a st!. e<!han&e thr%&h their !)earin& mem6ers @6r.ers and !%stdianA5 At
NSD- /e re!&ni;e the ,ita) r)e $)a#ed 6# the !)earin& mem6er in the
sett)ement $r!ess5 Hen!e' a !)earin& mem6er !an $en a s$e!ia) a!!%nt in the
de$sitr# s#stem "r the $%r$se " !)earin& trades dne n st!. e<!han&es5
The !)earin& a!!%nt ena6)es the !)earin& mem6er t re!ei,e se!%rities "rm its
!)ient=s "r de)i,er# t the !)earin& h%se? !)earin& !r$ratin as $a# Bin and t
distri6%te the $a#3 %t t its !)ients re!ei,ed "rm the !)earin& h%se? !)earin&
!r$ratin5
The "irst !ha$ter &i,es a 6rie" ,er,ie/ " CRe)ian!e Mne#=5 In this' in"rmatin is
$r,ided a6%t the Re)ian!e Mne#=s Missin' r&ani;atina) str%!t%re ' $rd%!ts
and ser,i!es5
PREFACE
The se!nd !ha$ter is dedi!ated t the Resear!h Pr6)em' it=s 6(e!ti,e' s!$e and
im$rtan!e " the Resear!h5
The Third Cha$ter is a s%mmar# " the ,ari%s resear!h methd)&ies %sed "r the
de,e)$ment " the $r(e!t5
Data Ana)#sis and inter$retatin " the s%r,e# !nd%!ted ,er a &r%$ " 4D1
in,estrs is $r,ided in !ha$ter "%r5 In this' ,ari%s &ra$hs and ta6)es are &i,en as
$er the resear!h5
Cha$ter "i,e dea)s /ith the "indin&s and re!mmendatins re)ated t the $r(e!t5
These "indin&s and re!mmendatins are 6ased n the data ana)#sis and inter$retatin
dne in the $re,i%s !ha$ter5
The !n!)%sin " the $r(e!t is $r,ided in Cha$ter Si< and this !ha$ter a)s dea)s
/ith the )imitatins " the st%d# and resear!h /r.5
Be"re I than. an#6d# "r the !m$i)atin " this /r. I /%)d )i.e t than.
A)mi&ht#
"r $r,idin& &%idan!e and me a)) the ne!essar# he)$5 It is &ra!e n)# that I ha,e
!m$)eted this /r.
An %nderstandin& " the st%d# )i.e this is ne,er the %t!me " the e""rts " an
indi,id%a)E rather it 6ears the im$rint " a n%m6er " indi,id%a)s /h dire!t)#
he)$ed me in !m$)etin& the $resent st%d#5 I /%)d 6een "ai)in& in m# d%t# i" I
d nt sa# a /rd " than.s t a)) thse /hse sin!ere ad,i!e made m# trainin&
$erid a rea) ed%!ati,e and $)eas%ra6)e ne5
First : "remst' I /%)d )i.e t e<$ress m# re&ard t Mr5 Rah%) Anand Sin&h
@H5O5D5 " M5B5A5A and Dr5 Neet% Sin&h' the trainin& : $)a!ement3in3!har&e' the
hnra6)e Readers " M5B5A5 De$artment "r this !nstant en!%ra&ement and
s%$$rt5 I /%)d a)s )i.e t e<$ress immense &ratit%de t/ards a)) the )e!t%res " m#
"a!%)t#' "r $r,idin& the in,a)%a6)e .n/)ed&e' &%idan!e and !$eratin e<tended
d%rin& $er%sa) " m# !%rse5
I am dee$)# inde6ted t Re)ian!e Mne# 'Varanasi "r ha,in& the "aith n me and
)ettin& me /r. n the trainin&5
I am a)s sin!ere)# than."%) t' Mr5Ashish Ti/are' Mr5 Siddharth Sin&h' Mrs5
Pri#an.a "r &i,in& me $$rt%nit# and res%r!e t /r. n the $r(e!t /r. and
&i,in& me s%$$rt /hene,er ne!essar#5
ACKNOWLEDGE(ENT


PART *
CHAPTER6 *
INTRODUCTION TO THE ORGANI7ATION
The Re)ian!e B Ani) Dhir%6hai Am6ani Gr%$ @ADAGA is amn& India=s t$ three
$ri,ate se!tr 6%siness h%ses n a)) ma(r "inan!ia) $arameters' /ith a mar.et
!a$ita)i;atin " Rs530D'111 !rres @USF 84 6i))inA' net assets in e<!ess "
Rs544D'111 !rres @USF 02 6i))inA' and net /rth t the t%ne " Rs5DD'111 !rres
@USF 4G 6i))inA5
Re2ia#ce ('#e3 is $rmted 6# Re)ian!e Ca$ita)E ne " IndiaHs )eadin& and "astest
&r/in& $ri,ate se!tr "inan!ia) ser,i!es !m$anies' ran.in& amn& the t$ 3 $ri,ate
se!tr "inan!ia) ser,i!es and 6an.in& !m$anies' in terms " net /rth5 Re)ian!e
Ca$ita) -td5 has interests in asset mana&ement' )i"e and &enera) ins%ran!e' $ri,ate
e+%it# and $r$rietar# in,estments' st!. 6r.in& and ther "inan!ia) ser,i!es5
Re)ian!e Ca$ita) is a $art " the Re)ian!e Ani) Dhir%6hai Am6ani Gr%$5
Th%s' Re)ian!e Mne# $r,ides a !m$rehensi,e $)at"rm' ""erin& an in,estment
a,en%e "r a /ide ran&e " asset !)asses5 Its endea,r is t !han&e the /a# India
transa!ts in "inan!ia) mar.et and a,ai)s "inan!ia) ser,i!es5 Re)ian!e Mne# ""ers a
sin&)e /ind/ "a!i)it#' ena6)in& #% t a!!ess amn&st thers' E+%ities' E+%it# and
Cmmdit# deri,ati,es' O""shre In,estments' IPO=s' M%t%a) F%nds' -i"e Ins%ran!e
and Genera) Ins%ran!e $rd%!ts' Mne# Trans"er' Mne# Chan&in& and Credit Cards5
C'"!a#3 Pr'fi2e
T 6%i)d a &)6a) enter$rise "r a)) %r sta.eh)ders' and
A &reat "%t%re "r %r !%ntr#'
T &i,e mi))ins " #%n& Indians the $/er t sha$e their destin#'
The means t rea)i;e their "%)) $tentia)I
T !reate and n%rt%re a /r)d3!)ass' hi&h $er"rman!e en,irnment aimed at
de)i&htin& %r !%stmers 6# $r,idin& end)ess "inan!ia) $rd%!ts in a)) $art " the
!%ntr#5
8i&i'#
(i&&i'#
Or0a#i&ati'#a2 Str%ct%re
Natina)
Head
Jna)
Head
Jna)
Head
Jna)
Head
Jna)
Head
Re&ina)
Head
Re&ina)
Head
Re&ina)
Head
C)%ster
Head
C)%ster
Head
Centre
Mana&er
Centre
Mana&er
BDEs
BDEs BDEs BDEs BDEs
Re&ina)
Head
Natina) -e,e) > Natina) Head
Jna) -e,e) > Jna) Head
Re&ina) -e,e) > Re&ina) head
Di,isina) )e,e) > C)%ster Head
Bran!h -e,e) > Center Mana&er
Area -e,e) > B%siness De,e)$ment E<e!%ti,es : Free)an!ers
Ad9a#ta0e& ""ered 6# Re)ian!e mne# ,er ther !m$anies>
Cst E""e!ti,e
Cn,enien!e
Se!%rit#
Sin&)e 7ind/ "r M%)ti$)e Prd%!ts
3 in 4 Inte&rated A!!ess
Demat A!!%nt /ith Re)ian!e Ca$ita)
Other Ser,i!es )i.e resear!h' )i,e ne/s "rm Re%ter and D/
Jnes et!5

PRODUCT OFFERING
*) Tradi#0 P'rta2 @/ith a)mst ne&)i&i6)e 6r.era&eA
E+%it# Br.in&
Cmmdit# Br.in&
Deri,ati,es @ F%t%res : O$tins A
O""shre In,estments @Cntra!t Fr Di""eren!esA
D3Mat A!!%nt5
,) Fi#a#cia2 Pr'd%ct&
M%t%a) F%nds
-i"e Ins%ran!e
o ULIP plan
o Term Plan
o Money Back Plan
Genera) Ins%ran!e
Vehicle/Motor Insurance
Health Insurance
House insurance
IPO=s
NFOs
:) 8a2%e;Added Ser9ice&
Retirement P)annin&
Finan!ia) P)annin&
Ta< Sa,in&
Chi)dren F%t%re P)annin&
<) Credit Card&
=) G'2d c'i#& retai2i#0
TRADING PORTAL
On)ine tradin& re"ers t 6%#in& and se))in& " the shares ? st!.s ? !ntra!ts ? 6nds
/ith the %se " internet5 In this shares are nt iss%ed in $h#si!a) "rm rather the# are
trans"erred in the demateria)i;ed "rm in the Demat a!!%nt dire!t)#5
Re)ian!e Mne# /%)d ""er the 6r.era&e ser,i!es a!rss K11 !ities in!)%din& De)hi
and M%m6ai thr%&h mre than 3'111 %t)ets5
In,estrs /%)d need t $a# 6r.era&e at the rate " Rs 4D $er assisted trade @"rm
Re)ian!eHs Fran!hisee r !a)) !enterA and !an trade "ree %sin& n)ine tradin& $rta)
@"i<ed "ee " RsD11 "r de)i,er# trades %$ t Rs D )a.h and ? r nn3de)i,er# trades %$
t Rs D )a.h' /ith ,a)idit# $erid " ne #earA' the !m$an# said5
DE(AT ACCOUNT
In India' a De"at acc'%#t' the a66re,iatin "r de"ateria2i>e acc'%#t' is a t#$e "
6an.in& a!!%nt /hi!h demateria)i;es $a$er 6ased $h#si!a) st!. shares5 The
demateria)i;ed a!!%nt is %sed t a,id h)din& $h#si!a) shares> the shares are 6%&ht
and s)d thr%&h a 6r.er5 This a!!%nt is $$%)ar in India5 The Sec%ritie& a#d
E5c1a#0e $'ard 'f I#dia ?SE$I@ mandates a Demat a!!%nt "r share tradin& and
"r $enin& a DEMAT a!!%nt a Permanent A!!%nt N%m6er @PANA is a)s
mandatr#5
W1at are t1e +e#efit& 'f '!e#i#0 a De"at acc'%#tA
Demat a!!%nt has 6e!me a ne!essit# "r a)) !ate&ries " in,estrs "r the "))/in&
reasns? 6ene"its>
SEBI has made it !m$%)sr# "r trades in a)mst a)) s!ri$=s t 6e sett)ed in
Demat mde5 A)th%&h' trades %$ t D11 shares !an 6e sett)ed in $h#si!a)
"rm' $h#si!a) sett)ement is ,irt%a))# nt ta.in& $)a!e "r the a$$rehensin "
6ad de)i,er# n a!!%nt " mismat!h " si&nat%res' "r&er# " si&nat%res "a.e
!erti"i!ates' et!5
It is a sa"e and !n,enient /a# t h)d se!%rities !m$ared t h)din&
se!%rities in $h#si!a) "rm55
N stam$ d%t# is )e,ied n trans"er " se!%rities he)d in Demat "rm5
Instantane%s trans"er " se!%rities enhan!es )i+%idit#5
It e)iminates de)a#s' the"ts' inter!e$tins and s%6se+%ent mis%se "
!erti"i!ates5
Chan&e " name' address' re&istratin " $/er " attrne#' de)etin "
de!easedHs name' et!5 3 !an 6e e""e!ted a!rss !m$anies 6# ne sin&)e
instr%!tin t the DP5
Ea!h share is a mar.et )t "r the $%r$se " transa!tins B s n dd )t
$r6)em5
An# n%m6er " se!%rities !an 6e trans"erred?de)i,ered /ith ne de)i,er# rder5
There"re' $a$er/r. and si&nin& " m%)ti$)e trans"er "rms is dne a/a# /ith5 It
"a!i)itates ta.in& ad,an!es a&ainst se!%rities n )/ mar&in?)/ interest5

C1a22e#0e& f'r t1e c'"!a#3
H'/ Re2ia#ce ('#e3 Sc'red O9er Ot1er&A
*) T/' Wa3 A%t1e#ticati'#6 Re)ian!e ""ers its !%stmers /ith a t.en @an
e)e!trni! &ad&etA that &enerates a $ass/rd' /hi!h are a third )e,e) " se!%rit# in
additin t the !%stmer )& in and a $ass/rd $r,ided5 The $ass/rd &enerated 6#
the t.en is ,a)id n)# "r a $erid " 30 se!nds5 I" the /e6 $a&e e<$ires' "r the
"resh )&in' a ne/ $ass/rd &enerated 6# the t.en has t 6e .e#ed in 6# the
!%stmer5
,) L'/e&t $r'Bera0e6
:) U&er frie#d23 &'ft/are6 The $rta) ""ered is ,er# eas# t %nderstand and %se5
<) F're5 a#d 'ff&1're i#9e&t"e#t6 Re)ian!e $r,ides the ""shre "a!i)it# /hi!h n
ther AMC is $r,idin& in the mar.et5
=) $etter re&earc1 a#d #e/&6 Re)ian!e ""ers ne/s "rm the DO7 JONES and
REUTERS5
See.in& t 6rin& share tradin& !)ser t !ns%mers (%st )i.e ATMs' Re)ian!e Ca$ita)Hs
st!. 6r.era&e arm Re)ian!e Mne# )a%n!hed Internet tradin& ser,i!es thr%&h /e63
ena6)ed retai) .is.s5
DEPOSITORY
The Term De$sitr# re"ers t the instit%tina) "rame/r. "r h)din& se!%rities in
e)e!trni! "rm in the same /a# as 6an. h)ds mne#5 It !arries %t the transa!tin "
se!%rities 6# means " 6. entr# /ith%t an# $h#si!a) m,ement " se!%rities5 The
de$sitr# 6ased sett)ement s#stem is a)s !a))ed 6. entr# trans"er sett)ement
Th%&h de$sitries h)d se!%rities n 6eha)" " the rea) /ners' it is nt anther t#$e
" !%stdian5 This is 6e!a%se a de$sitr# !an )e&a))# trans"er 6ene"i!ia) /nershi$'
/hi!h a !%stdian !annt5 The main 6(e!ti,e " de$sitr# is t minimi;e the $a$er
/r. in,),ed /ith the /nershi$ tradin& and trans"er " se!%rities 5At $resent there
are t/ de$sitries in India >
Natina) Se!%rities De$sitr# -imited
Centra) De$sitr# Ser,i!es -imited
/ene(its o( 8epository System
In the de$sitr# s#stem' the /nershi$ and trans"er " se!%rities ta.es $)a!e 6#
means " e)e!trni! 6. entries5 At the %tset' this s#stem rids the !a$ita) mar.et "
the dan&ers re)ated t hand)in& " $a$er5 NSD- $r,ides n%mer%s dire!t and indire!t
6ene"its )i.e>
E2i"i#ati'# 'f +ad de2i9erie& In the de$sitr# en,irnment' n!e h)din&s
" an in,estr are demateria)ised' the +%estin " 6ad de)i,er# des nt arise
i5e5 the# !annt 6e he)d L%nder 6(e!tinL5 In the $h#si!a) en,irnment' 6%#er
/as re+%ired t ta.e the ris. " trans"er and "a!e %n!ertaint# " the +%a)it# "
assets $%r!hased5 In a de$sitr# en,irnment &d mne# !ertain)# 6e&ets
&d +%a)it# " assets5
E2i"i#ati'# 'f a22 ri&B& a&&'ciated /it1 !13&ica2 certificate&3 Dea)in& in
$h#si!a) se!%rities ha,e ass!iated se!%rit# ris.s " the"t " st!.s5
N' &ta"! d%t3 "r trans"er " an# .ind " se!%rities in the de$sitr#5
I""ediate tra#&fer a#d re0i&trati'# 'f &ec%ritie& 3 In the de$sitr#
en,irnment' n!e the se!%rities are !redited t the in,estrs a!!%nt n $a#
%t' he 6e!mes the )e&a) /ner " the se!%rities5
Fa&ter di&+%r&e"e#t 'f #'# ca&1 c'r!'rate +e#efit& 2iBe ri01t& +'#%&
etc) 3 NSD- $r,ides "r dire!t !redit " nn !ash !r$rate entit)ements t an
in,estrs a!!%nt' there6# ens%rin& "aster dis6%rsement and a,idin& ris. "
)ss " !erti"i!ates in transit5
Red%cti'# i# +r'Bera0e +3 "a#3 +r'Ber& f'r tradi#0 i# de"ateria2i&ed
&ec%ritie& Br.ers $r,ide this 6ene"it t in,estrs as dea)in& in
demateria)ised se!%rities red%!es their 6a!. ""i!e !st " hand)in& $a$er and
a)s e)iminates the ris. " 6ein& the intrd%!in& 6r.er5
Red%cti'# i# 1a#d2i#0 'f 1%0e 9'2%"e& 'f !a!er
Peri'dic &tat%& re!'rt& t in,estrs n their h)din&s and transa!tins'
)eadin& t 6etter !ntr)s5
E2i"i#ati'# 'f !r'+2e"& re2ated t' c1a#0e 'f addre&& 'f i#9e&t'r 3 In !ase
" !han&e " address' in,estrs are sa,ed "rm %nder&in& the entire !han&e
$r!ed%re /ith ea!h !m$an# r re&istrar
E2i"i#ati'# 'f !r'+2e"& re2ated t' tra#&"i&&i'# 'f de"at &1are& 3 In !ase
" demateria)ised h)din&s' the $r!ess " transmissin is mre !n,enient as
the transmissin "rma)ities "r a)) se!%rities he)d in a demat a!!%nt !an 6e
!m$)eted 6# s%6mittin& d!%ments t the DP /hereas' in !ase " $h#si!a)
se!%rities the s%r,i,in& (int h)der@sA?)e&a) heirs?nminee has t !rres$nd
inde$endent)# /ith ea!h !m$an# in /hi!h shares are he)d5
E2i"i#ati'# 'f !r'+2e"& re2ated t' &e22i#0 &ec%ritie& '# +e1a2f 'f a "i#'r 3
A nat%ra) &%ardian is nt re+%ired t ta.e !%rt a$$r,a) "r se))in& demats
se!%rities n 6eha)" " a minr5
Ea&e i# !'rtf'2i' "'#it'ri#0 sin!e statement " a!!%nt &i,es a !ns)idated
$sitin " in,estments in a)) instr%ments5
STOCK EXCHANGE
A &t'cB e5c1a#0e r +'%r&e is a !r$ratin r m%t%a) r&ani;atin /hi!h $r,ides
"a!i)ities "r st!. 6r.ers and traders' t trade !m$an# st!.s and ther se!%rities5
St!. e<!han&es a)s $r,ide "a!i)ities "r the iss%e and redem$tin " se!%rities' as
/e)) as' ther "inan!ia) instr%ments and !a$ita) e,ents in!)%din& the $a#ment "
in!me and di,idends5
The se!%rities traded n a st!. e<!han&e in!)%de> shares iss%ed 6# !m$anies' %nit
tr%sts and ther $)ed in,estment $rd%!ts and 6nds5 T 6e a6)e t trade a se!%rit#
n a !ertain st!. e<!han&e' it has t 6e listed there5
T1e R'2e 'f t1e St'cB E5c1a#0e
Rai&i#0 Ca!ita2 f'r $%&i#e&&e&
The St!. E<!han&e $r,ides !m$anies /ith the "a!i)it# t raise !a$ita) "r
e<$ansin thr%&h se))in& shares t the in,estin& $%6)i!5
('+i2i>i#0 Sa9i#0& f'r I#9e&t"e#t
7hen $e$)e dra/ their sa,in&s and in,est in shares' it )eads t a mre ratina)
a))!atin " res%r!es 6e!a%se "%nds' /hi!h !%)d ha,e 6een !ns%med' r .e$t in
id)e de$sits /ith 6an.s' are m6i)i;ed and redire!ted t $rmte 6%siness a!ti,it# 5
Faci2itate C'"!a#3 Gr'/t1
Cm$anies ,ie/ a!+%isitins as an $$rt%nit# t e<$and $rd%!t )ines' in!rease
distri6%tin !hanne)s' hed&e a&ainst ,)ati)it#' in!rease its mar.et share' r a!+%ire
ther ne!essar# 6%siness assets5
Redi&tri+%ti'# 'f Wea2t1
B# &i,in& a /ide s$e!tr%m " $e$)e a !han!e t 6%# shares and there"re 6e!me
$art3/ners @shareh)dersA " $r"ita6)e enter$rises' the st!. mar.et he)$s t red%!e
)ar&e in!me ine+%a)ities5
C'r!'rate G'9er#a#ce
B# ha,in& a /ide and ,aried s!$e " /ners' !m$anies &enera))# tend t im$r,e
n their mana&ement standards and e""i!ien!# in rder t satis"# the demands " these
shareh)ders and the mre strin&ent r%)es "r $%6)i! !r$ratins 6# $%6)i! st!.
e<!han&es and the &,ernment5
Create& I#9e&t"e#t O!!'rt%#itie& f'r S"a22 I#9e&t'r&
As $$sed t ther 6%sinesses that re+%ire h%&e !a$ita) %t)a#' in,estin& in shares is
$en t 6th the )ar&e and sma)) st!. in,estrs 6e!a%se a $ersn 6%#s the n%m6er "
shares the# !an a""rd5
G'9er#"e#t Rai&e& Ca!ita2 f'r De9e2'!"e#t Pr'Cect&
The G,ernment and e,en )!a) a%thrities )i.e m%ni!i$a)ities ma# de!ide t 6rr/
mne# in rder t "inan!e h%&e in"rastr%!t%re $r(e!ts s%!h as se/era&e and /ater
treatment /r.s r h%sin& estates 6# se))in& anther !ate&r# " se!%rities .n/n as
6nds5
$ar'"eter 'f t1e Ec'#'"3
At the St!. E<!han&e' share $ri!es rise and "a)) de$endin&' )ar&e)#' n mar.et5 Share
$ri!es tend t rise r remain sta6)e /hen !m$anies and the e!nm# in &enera) sh/
si&ns " sta6i)it#
PROCEDURE FOR DEALING AT STOCK EXCHANGE
The 6%#in& and se))in& at st!. e<!han&e is nt a))/ed t %tsiders5The# ha,e t
a$$ra!h 6r.ers /ha are the mem6ers " the e<!han&e and dea)in&s !an n)# 6e
thr%&h them 5 The "irst thin& t 6e dne is t se)e!t 6r.er thr%&h /hm the
$%r!hase r sa)e is t 6e made5 A"ter se)e!tin& the 6r.er the !)ient $)a!es an rder "r
$%r!hase r sa)e " se!%rities5 The 6r.er enters the rder thr%&h his PC' /hi!h r%n
%nder /ind/s NT and send si&na) t the sate))ite ,ia VSAT @ ,er# sma)) a$ert%re
termina)A mdem5 The si&na) is dire!ted t main"rame !m$%ter at NSE ,ia VSAT at
NSE ""i!e5 A messa&e re)atin& t the rder a!ti,it# is 6rad!ast t the res$e!ti,e
mem6er5 This !an 6e sh/n /ith the he)$ " the dia&ram
Trade Detai2&
F%#d& Sec%ritie&
De2i9ered De2i9ered
NSE
NSCCL ?Nati'#a2
Sec%ritie& C2eari#0
C'r!'rati'# Ltd@

E5ec%te T1e Order

Se22er ?I#9e&t'r@
$%3er
?I#9e&t'r@
$ROKER
A+'%t NSDL
A)th%&h India had a ,i6rant !a$ita) mar.et' /hi!h is mre than a !ent%r# )d' the
$a$er36ased sett)ement " trades !a%sed s%6stantia) $r6)ems )i.e 6ad de)i,er# and
de)a#ed trans"er " tit)e ti)) re!ent)#5 The ena!tment " De$sitries A!t in A%&%st
422M $a,ed the /a# "r esta6)ishment " NSD-' the "irst de$sitr# in India5 This
de$sitr# $rmted 6# instit%tins " natina) stat%re res$nsi6)e "r e!nmi!
de,e)$ment " the !%ntr# has sin!e esta6)ished a natina) in"rastr%!t%re "
internatina) standard that hand)es mst " the sett)ement " se!%rities in
demateria)ised "rm in Indian !a$ita) mar.et5
Promoters 9 Shareholders
NSD- is $rmted 6# Ind%stria) De,e)$ment Ban. " India @IDBIA 3 the )ar&est
de,e)$ment 6an. " India' Unit Tr%st " India @UTIA 3 the )ar&est m%t%a) "%nd in
India and Natina) St!. E<!han&e @NSEA 3 the )ar&est st!. e<!han&e in India5 Sme
" the $rminent 6an.s in the !%ntr# ha,e ta.en a sta.e in NSD-5
Promoters
Ind%stria) De,e)$ment Ban. " India
Unit Tr%st " India
Natina) St!. E<!han&e
0ther Shareholders
State Ban. " India
Orienta) Ban. " Cmmer!e
Citi6an. NA
Standard Chartered Ban.
HDFC Ban. -imited
The Hn& Nn& and Shan&hai Ban.in& Cr$ratin -imited
De%ts!he Ban.
Dena Ban.
Canara Ban.
8epository System ! /usiness Partners
NSD- !arries %t its a!ti,ities thr%&h ,ari%s "%n!tinaries !a))ed LB%siness
PartnersL /h in!)%de De$sitr# Parti!i$ants @DPsA' Iss%in& !m$anies and their
Re&istrars and Share Trans"er A&ents' C)earin& !r$ratins? C)earin& H%ses "
St!. E<!han&es5
8epository Participant (8P#
The in,estr 6tains De$sitr# Ser,i!es thr%&h a DP " NSD-5 A DP !an 6e a
6an.' "inan!ia) instit%tin' a !%stdian' a 6r.er' r an# entit# e)i&i6)e as $er SEBI
@De$sitries and Parti!i$antsA Re&%)atins' 422M5
J%st as ne $ens a 6an. a!!%nt in rder t a,ai) " the ser,i!es " a 6an.' an
in,estr $ens a de$sitr# a!!%nt /ith a DP in rder t a,ai) " de$sitr#
"a!i)ities5
&ssuing ,ompanies9 their %egistrar $ Trans(er +gents'
Se!%rities iss%ed 6# iss%ers /h ha,e entered int an a&reement /ith NSD- !an 6e
demateria)ised in the NSD- de$sitr#5 As $er this a&reement' iss%er a&rees t ,eri"#
the !erti"i!ates s%6mitted "r demateria)isatin 6e"re the# are demateria)ised and t
maintain e)e!trni! !nne!ti,it# /ith NSD-5
,learing ,orporation 9 -ouse'
The !)earin& !r$ratins?h%ses " st!. e<!han&es a)s ha,e t 6e e)e!trni!a))#
)in.ed t the de$sitr# in rder t "a!i)itate the sett)ement " the trades dne n the
st!. e<!han&es "r demateria)ised shares5
5
The "))/in& st!. e<!han&es ha,e )in.ed %$ /ith NSD- t "a!i)itate tradin& and
sett)ement " demateria)ised se!%rities>
Madras St!. E<!han&e -td5 @MSEA
Natina) St!. E<!han&e " India -td5 @NSEA
Inter3!nne!ted St!. E<!han&e " India -td5 @ISEA
OTC E<!han&e " India @OTCEIA
The Ca)!%tta St!. E<!han&e Ass!iatin -td5 @CSEA
The De)hi St!. E<!han&e Ass!iatin -td5 @DSEA
The St!. E<!han&e' M%m6ai @BSEA
D'i#i#0 NSDL
NSD- !arries %t its a!ti,ities thr%&h ser,i!e $r,iders )i.e De$sitr# Parti!i$ants
@DPsA' Iss%in& !m$anies and their Re&istrars and Share Trans"er A&ents' C)earin&
!r$ratins? C)earin& H%ses " St!. E<!han&es5 These entities are !a))ed 6%siness
$artners in NSD- termin)&#5
D'i#i#0 NSDL a& De!'&it'r3 Partici!a#t
NSD- de$sitr# rea!hes its ser,i!es t in,estrs thr%&h mar.et intermediaries
!a))ed De$sitr# Parti!i$ants @DPA' /h as $er SEBI re&%)atins !%)d 6e
r&ani;atins in,),ed in the 6%siness " $r,idin& "inan!ia) ser,i!es )i.e 6an.s'
6r.ers' !%stdians' "inan!ia) instit%tins' et!5
LIST OF DOCU(ENTS6
). -etter " intent !%m Master Creatin Frm @MCFA 5
05 A%dited Ba)an!e Sheet "r )ast t/ #ears 3 Certi"ied t 6e tr%e !$ies5
35 Certi"ied tr%e !$# " Memrand%m : Arti!)es " Ass!iatin5
G5 Cn"irmatin )etters "rm res$e!ti,e st!. e<!han&es re&ardin& )istin& @I"
!m$an# is )istedA5 Se!retaria) A%dit Re$rt "r )atest +%arter end 3 I" !m$an#
is )isted5
D5 B. ,a)%e !erti"i!ate @I" !m$an# is %n)istedA5
-. Underta.in& "rm !5 @I" !m$an# is $ri,ate )imitedA5
K5 I" !m$an# had 6een iss%ed e+%it# shares a"ter )atest 6a)an!e sheet in that !ase
!m$an# has t $r,ide %s !erti"ied t 6e tr%e !$# " "rm n505
85 Jinin& "ees "r Un)isted !m$anies is Rs501111?3 @R%$ees T/ent# th%sand
n)#A $)%s ser,i!e ta< at 4150O :
D'i#i#0 NSDL a& Re0i&trar a#d Tra#&fer A0e#t
The !ntr) n !reatin and e<tin&%ishin& se!%rities in demat "rm in NSD-
de$sitr# s#stem is /ith iss%ers5 Se!%rities in demat !an 6e !reated in t/ di""erent
/a#s5 !n"irmin& remateria)isatin re+%ests re!ei,ed i5e5 !n,ertin& demat "rm
se!%rities int $h#si!a) !erti"i!ate "rm5 The se!nd methd is 6# de6it !r$rate
a!tin5 Under this methd iss%er re)eases instr%!tins t NSD- t de6it e)i&i6)e
6ene"i!ia) /ners /ith se!%rities as $er their entit)ements5
D'i#i#0 NSDL a& a C2eari#0 C'r!'rati'# E H'%&e
An# st!. e<!han&e desirin& t "a!i)itate sett)ement in demat shares sh%)d ha,e a
!)earin& !r$ratin?h%se /ith a "%))# $eratina) sett)ement &%arantee me!hanism5
The sett)ement &%arantee me!hanism sh%)d ha,e 6een a$$r,ed 6# SEBI
Ad"i&&i'# Criteria>
A !)earin& !r$ratin r a !)earin& h%se " st!. e<!han&e sha)) 6e admitted as a
User n the De$sitr# n)# i">
The De$sitr# is satis"ied that the !)earin& !r$ratin r a !)earin& h%se "
a st!. e<!han&e $erates in s%!h a manner that it ens%res $a#ment a&ainst
de)i,er# r &%arantees sett)ementE
In the $inin " the De$sitr#' the !)earin& !r$ratin r a !)earin& h%se
" a st!. e<!han&e has the $eratina) !a$a6i)it# t $r,ide the ser,i!es
re)atin& t !)earin& and sett)ement " transa!tins re)atin& t the se!%rities
admitted t the De$sitr# t the he)d in demateria)ised "rmE
The !)earin& !r$ratin r a !)earin& h%se " a st!. e<!han&e %nderta.es t
!3$erate at a)) times t redress the &rie,an!es " C)ients and the Parti!i$ant
in res$e!t " its $eratin in re)atin t the De$sitr#E
The !)earin& !r$ratin r a !)earin& h%se " a st!. e<!han&e has ade+%ate
hard/are and s"t/are s#stems t intera!t /ith the De$sitr# as s$e!i"ied in the
B%siness R%)es5
Pr'ced%re f'r C'i#i#0 NSDL &3&te"& &!ecificati'# a#d i#9e&t"e#t& a#d e5!e#&e&
t' +e i#c%rred +3 a c2eari#0 c'r!'rati'#E1'%&e i& &a"e a& t1at 'f De!'&it'r3
Partici!a#t)
D'i#i#0 NSDL a& a# I#9e&t'r
The Indian !a$ita) mar.et has /itnessed an %n$re!edented &r/th in the $ast "e/
#ears' /hi!h /as made $ssi6)e 6# the mderni;atin in the tradin& and sett)ement
s#stems5 A%tmatin " the tradin& me!hanism has &i,en %s a tradin& s#stem
!m$ara6)e /ith the 6est in the /r)d5 The esta6)ishment " a sett)ement &%arantee
me!hanism rem,ed the !%nter3$art# ris. in st!. e<!han&es5
Th%&h the ad,ent " a%tmated tradin& 6r%&ht /ith it se,era) ass!iated 6ene"its
s%!h as trans$aren!# in tradin& and e+%a) $$rt%nit# "r mar.et $)a#ers a)) ,er the
!%ntr#E the $r6)ems re)ated t sett)ement " trades s%!h as hi&h instan!es " 6ad
de)i,eries and )n& sett)ement !#!)es ha,e !ntin%ed5
The intrd%!tin " s!ri$ )ess h)din& and transa!tin " se!%rities $r,ides ,ari%s
6ene"its t in,estrs ,i;5
E)iminatin " 6ad de)i,eries s%!h as si&nat%re mismat!hes' in,a)id trans"er
deeds' et!5
E)iminatin " a)) ris.s ass!iated /ith $h#si!a) !erti"i!ates' s%!h as )ss' the"t'
m%ti)atin' et!5
Red%!tin in hand)in& " h%&e ,)%mes " $a$er5
7ai,er " stam$ d%t# "r trans"er " e+%it# : de6t instr%ments and %nits "
m%t%a) "%nds in de$sitr#5
Immediate trans"er and re&istratin " se!%rities5
Pa# in : $a# %t " se!%rities : "%nds is n the same da# "r s!ri$ )ess trades5
Faster sett)ement !#!)es5
Faster dis6%rsement " !r$rate 6ene"its )i.e ri&hts' 6n%s' et!5
Red%!tin in 6r.era&e "r trades dne in demateria)ised se!%rities5
Peridi! stat%s re$rts t in,estrs n their h)din&s and transa!tins' )eadin&
t 6etter !ntr)s5
Cn,enient nminatin "a!i)it#5
Cn,enien!e in e""e!tin& !han&e in address5
A)) these )ead t s%6stantia) red%!tin in transa!tin !sts in demateria)ised se!%rities
as !m$ared t $h#si!a) se!%rities5
Acc'%#t O!e#i#0
In rder t a,ai) " de$sitr# "a!i)ities' an in,estr has t $en a 6ene"i!iar# a!!%nt
/ith a de$sitr# $arti!i$ant " his !hi!e5 This is simi)ar t $enin& a 6an. a!!%nt
t %se the 6an.in& ser,i!es5
The a!!%nt h)der is !a))ed H6ene"i!ia) /nerH in a de$sitr# s#stem and the a!!%nt
is .n/n as H6ene"i!iar# a!!%ntH5
Feat%re& 'f $e#eficiar3 Acc'%#t
N minim%m 6a)an!e is re+%ired t 6e retained in a 6ene"i!iar# a!!%nt5
An in,estr !an !)se a 6ene"i!iar# a!!%nt /ith ne DP and $en an a!!%nt
/ith anther DP5
T demateria)i;e e<istin& $h#si!a) h)din&s' the 6ene"i!iar# a!!%nt m%st 6e $ened
in the same /nershi$ $attern in /hi!h the se!%rities are he)d in the $h#si!a) "rm
e5&5' i" ne !erti"i!ate is in indi,id%a) name and anther !erti"i!ate is (int)# he)d 6# P
: Q' t/ di""erent a!!%nts sh%)d 6e $ened5 H/e,er' in !ase " (int h)ders'
se!%rities !an 6e demateria)ised in the same a!!%nt e,en th%&h share !erti"i!ates are
in di""erent se+%en!e " names e5&5' shares he)d in (int names " P : Q !an a)s 6e
demateria)ised in an a!!%nt $ened in the names " Q : P as /e)) 6# s%6mittin& an
additina) "rm @Trans$sitin FrmA a)n& /ith Demat Re+%est Frm t the
DP5H/e,er' shares he)d (int)# 6# P : Q !annt 6e demateria)ised in an a!!%nt
$ened in the name " n)# P r n)# Q r an# !m6inatin " a (int a!!%nt /ith
three names i5e5' P' Q and
Pr'ced%re
In,estr /i)) !hse a DP "r the $%r$ses " $enin& 6ene"i!iar# a!!%nt5
The !hi!e " the in,estr ma# 6e 6ased n !n,enien!e' !m"rt' ser,i!es
""ered' !st r an# ther reasn5
The in,estr /i)) 6tain the re)e,ant a!!%nt $enin& "rm "rm the !hsen
DP5
Fr the $%r$se " ,eri"i!atin' in,estr has t s%6mit the "))/in& d!%ments a)n&
/ith the $res!ri6ed a!!%nt $enin& "rm5
Pr''f 'f Ide#tit3?POI@ 6
Pass$rt' Vter ID Card
Dri,in& -i!ense
PAN Card /ith $ht&ra$h
MAPIN Card
Ide#tit3 cardEd'c%"e#t /it1 a!!2ica#tF& P1't' i&&%ed +36
Centra)?State G,ernment and its De$artments
Stat%tr#?Re&%)atr# A%thrities
P%6)i! Se!tr Underta.in&s
S!hed%)ed Cmmer!ia) Ban.s
P%6)i! Finan!ia) Instit%tins
C))e&es a""i)iated t Uni,ersities @this !an 6e treated as ,a)id n)# ti)) the time
the a$$)i!ant is a st%dentA
Pr"essina) Bdies s%!h as ICAI' IC7AI' ICSI' Bar C%n!i) et!5' t their
mem6ersE and
Credit !ards?De6it !ards iss%ed 6# Ban.s5
Pr''f 'f Addre&& ?POA@6
Ratin Card
Pass$rt
Vter ID Card
Dri,in& -i!ense
Ban. Pass6.
Veri"ied !$ies " E)e!tri!it# 6i))s @nt mre than t/ mnths )dA? Residen!e
Te)e$hne 6i))s @nt mre than t/ mnths )dA? -ea,e and -i!ense a&reement
? A&reement "r sa)e5
Se)"3de!)aratin 6# Hi&h C%rt : S%$reme C%rt (%d&es' &i,in& the ne/
address in res$e!t " their /n a!!%nts5
Ide#tit3 cardEd'c%"e#t /it1 addre&& i&&%ed +3
Centra)?State G,ernment and its De$artments
Stat%tr#?Re&%)atr# A%thrities
P%6)i! Se!tr Underta.in&s
S!hed%)ed Cmmer!ia) Ban.s
P%6)i! Finan!ia) Instit%tins
C))e&es a""i)iated t Uni,ersities @t1i& ca# +e treated a& 9a2id '#23 ti22 t1e
ti"e t1e a!!2ica#t i& a &t%de#tA
Pr"essina) Bdies s%!h as ICAI' IC7AI' ICSI' Bar C%n!i) et!5' t their
Mem6ersE
Pa&&!'rt;&i>e !1't'0ra!1
C'!3 'f PAN card a2'#0 /it1 'ri0i#a2 PAN card f'r 9erificati'#
In !ase " (int h)din&s' POI and POA d!%ments a)n& /ith PAN !ard m%st 6e
s%6mitted in res$e!t " a)) a!!%nt h)ders5 Ori&ina) d!%ments m%st 6e ta.en t the
DP "r ,eri"i!atin5
.he D$ will al!o pro/i#e a copy of the D$%Client agreement.
A!!%nt $enin& "rm re+%ire the a$$)i!ants t &i,e the "))/in& detai)s>
(a) Name(s) of account holder(s) -The in,estr sh%)d ens%re that the name is
identi!a) t that /hi!h a$$ears n the !erti"i!ate@sA t 6e demateria)i;ed
(b) Mailing and communication address) - The ,era!it# " the a$$)i!antHs address is
determined thr%&h the d!%ments s%6mitted "r ,eri"i!atin )i.e ratin !ard'
$ass$rt' ,ter ID' PAN !ard' dri,in& )i!ense' 6an. $ass6.' et!
(c) Details of guardian in case account holder is a minor -On)# a &%ardian !an $en
a de$sitr# a!!%nt "r a minr5
(d) Foreign Address and RBI approval details for NRI FII or !"B accounts -Fr
"rei&n36ased a$$)i!ants )i.e NRIs' F))s' OCBs' et!5' the a$$)i!ant m%st "%rnish
ri&ina) r attested !$ies " the $/er " attrne# and the a$$r,a) )etter "rm RBI
$ermittin& them t in,est' as the !ase ma# 6e
(e) Details of ban# account -Detai)s " 6an. a!!%nt " the a!!%nt h)der' in!)%din&
the nine di&it !de n%m6er " the 6an. and 6ran!h a$$earin& n the MICR !he+%es
iss%ed 6# the 6an. ha,e t 6e "i))ed in the a$$)i!atin "rm5 Cm$anies %se this
in"rmatin "r $rintin& them n di,idend?interest /arrants et!5
(f) Nomination declaration - A 6ene"i!ia) /ner !an ma.e a nminatin " his
a!!%nt in "a,r " an# $ersn 6# "i)in& the nminatin "rm /ith his DP5
(g) $tanding Instruction - a "a!i)it# " standin& instr%!tin is $r,ided t the
in,estrs "r re!ei,in& se!%rities t the !redit " their a!!%nts /ith%t &i,in& a
se$arate re!ei$t instr%!tin5
Preca%ti'#&6
Cr$rate in,estrs t en!)se Memrand%m " Ass!iatin?Tr%st deed?Bard
res)%tin "r the a%thri;ed si&natries a)n& /ith the a!!%nt $enin& "rm5
Detai)s /ith res$e!t t the 6an. a!!%nt detai)s " an in,estr m%st 6e
indi!ated in the s$a!e $r,ided "r the same in the a!!%nt $enin& "rm5
I" an in,estr is interested in a,ai)in& the "a!i)it# " standin& instr%!tins "r
!redits t his a!!%nt' then s%!h instr%!tins ma# 6e &i,en t the DP5
D'i#i#0 NSDL a& a $r'Ber
Mem6ers " the st!. e<!han&es are an im$rtant )in. 6et/een in,estrs and the
!)earin&h%se in the de$sitr# s#stem
/asic Services
Under the $r,isins " the De$sitries A!t' NSD- $r,ides ,ari%s ser,i!es t
in,estrs and ther $arti!i$ants in the !a$ita) mar.et )i.e' !)earin& mem6ers' st!.
e<!han&es' 6an.s and iss%ers " se!%rities5
8ematerialisation
Demateria)isatin is the $r!ess 6# /hi!h a !)ient !an &et $h#si!a) !erti"i!ates
!n,erted int e)e!trni! 6a)an!es5
An in,estr intendin& t demateria)i;e its se!%rities needs t ha,e an a!!%nt /ith a
DP5 The !)ient has t de"a!e and s%rrender the !erti"i!ates re&istered in its name t the
DP5 A"ter intimatin& NSD- e)e!trni!a))#' the DP sends the se!%rities t the
s!n!erned Iss%er? R:T a&ent5 NSD- in t%rn in"rms the Iss%er? R:T a&ent
e)e!trni!a))#' %sin& NSD- De$sitr# s#stem' a6%t the re+%est "r
demateria)isatin5 I" the Iss%er? R:T a&ent "inds the !erti"i!ates in rder' it re&isters
NSD- as the h)der " the se!%rities @the in,estr /i)) 6e the 6ene"i!ia) /nerA and
!mm%ni!ates t NSD- the !n"irmatin " re+%est e)e!trni!a))#5 On re!ei,in& s%!h
!n"irmatin' NSD- !redits the se!%rities in the de$sitr# a!!%nt " the In,estr
/ith the DP5
6eatures'
H)din&s in n)# thse se!%rities that are admitted "r demateria)isatin 6#
NSD- !an 6e demateria)ised5
On)# thse h)din&s that are re&istered in the name " the a!!%nt h)der !an
6e demateria)ised5
Names " the h)ders " the se!%rities sh%)d mat!h /ith the names &i,en "r
the demat a!!%nt5
either P "irst and Q se!nd r Q "irst and P se!nd5 Se$arate a!!%nts need
nt 6e $ened t demat ea!h share !erti"i!ate5 I" shares are in the name
!m6inatins " P and Q' it !annt 6e demateria)ised int the a!!%nt " either
P r Q a)ne5
Che!. the demat $er"rman!e " the !m$anies /hse shares are t 6e &i,en
"r demateria)isatin5
A !)ient ma#' in the nrma) !%rse' re!ei,e demat !n"irmatin in a6%t 31
da#s "rm the date " s%6missin " demat re+%est t the DP5
There are s$e!ia) $r!esses "r Se!%rities iss%ed 6# G,ernment " India and
sim%)tane%s transmissin and demat5
Procedure'
The !)ient @re&istered /nerA /i)) s%6mit a re+%est t the DP in the
Demateria)isatin Re+%est Frm "r demateria)isatin' a)n& /ith the
!erti"i!ates " se!%rities t 6e demateria)ised5 Be"re s%6missin' the !)ient has
t de"a!e the !erti"i!ates 6# /ritin& LSURRENDERED FOR
DEMATERIA-ISATIONL5
The DP /i)) ,eri"# that the "rm is d%)# "i))ed in and the n%m6er "
!erti"i!ates' n%m6er " se!%rities and the se!%rit# t#$e @e+%it#' de6ent%re et!5A
are as &i,en in the DRF5
The DP /i)) s!r%tini;e the "rm and the !erti"i!ates5 This s!r%tin# in,),es the
"))/in&>
Veri"i!atin " C)ientHs si&nat%re n the demateria)isatin re+%est /ith
the s$e!imen si&nat%re @the si&nat%re n the a!!%nt $enin& "rmA5 I"
the si&nat%re di""ers' the DP sh%)d ens%re the identit# " the !)ient5
Cm$are the names n DRF and !erti"i!ates /ith the !)ient a!!%nt5
Paid %$ stat%s
ISIN @Internatina) Se!%rities Identi"i!atin N%m6erA
-!. 3 in stat%s
Distin!ti,e n%m6ers
In !ase the se!%rities are nt in rder the# are ret%rned t the !)ient and
a!.n/)ed&ment is 6tained5 The DP /i)) re(e!t the re+%est and ret%rn the
DRF and !erti"i!ates in !ase>
A sin&)e DRF is %sed t demateria)i;e se!%rities " mre than ne
!m$an#5
The !erti"i!ates are m%ti)ated' r the# are de"a!ed in s%!h a /a# that
the materia) in"rmatin is nt reada6)e5 It ma# ad,ise the !)ient t
send the !erti"i!ates t the Iss%er? R:T a&ent and &et ne/ se!%rities
iss%ed in )ie% there"5
5
The DRN s &enerated is entered in the s$a!e $r,ided "r the $%r$se in the
demateria)isatin re+%est "rm5
A $ersn ther than the $ersn /h entered the data is e<$e!ted t ,eri"#
detai)s re!rded "r the DRN5 The re+%est is then re)eased 6# the DP' /hi!h is
"r/arded e)e!trni!a))# t DM @DM 3 De$sitr# Md%)e' NSD-Hs s"t/are
s#stemA 6# DPM5
The DM "r/ards the re+%est t the Iss%er? R:T a&ent e)e!trni!a))#5
The DP /i)) "i)) the re)e,ant $rtin ,i;5' the a%thri;atin $rtin " the
demat re+%est "rm5
The DP /i)) $%n!h the !erti"i!ates n the !m$an# name s that it des nt
destr# an# materia) in"rmatin n the !erti"i!ate5
The DP /i)) then dis$at!h the !erti"i!ates a)n& /ith the re+%est "rm and a
!,erin& )etter t the Iss%er? R:T a&ent5
The Iss%er? R:T a&ent !n"irms a!!e$tan!e " the re+%est "r
demateria)isatin in his s#stem DPM @SHRA and the same /i)) 6e "r/arded t
the DM' i" the re+%est is "%nd in rder5
The DM /i)) e)e!trni!a))# a%thri;e the !reatin " a$$r$riate !redit
6a)an!es in the !)ientHs a!!%nt5
The DPM /i)) !redit the !)ientHs a!!%nt a%tmati!a))#5
The DP m%st in"rm the !)ient " the !han&es in the !)ientHs a!!%nt "))/in&
the !n"irmatin " the re+%est5
Precautions'
H)din&s in thse se!%rities that ha,e nt #et 6een admitted "r
demateria)isatin 6# NSD- !annt 6e demateria)ised5 -ist " se!%rities
admitted "r demateria)isatin sh%)d 6e ,eri"ied 6e"re de"a!in& the
se!%rities5
H)din&s in street name !annt 6e demateria)ised5
The !m6inatin " names " h)ders as $rinted n the $h#si!a) !erti"i!ate
sh%)d 6e identi!a) /ith the names initiatin& the demateria)isatin re+%est5
Se$arate demateria)isatin re+%ests /i)) ha,e t 6e "i))ed "r )!.ed3in and "ree
h)din&s5
Se$arate demateria)isatin re+%ests /i)) ha,e t 6e "i))ed "r h)din&s )!.ed3
in "r di""erent reasns5
Se$arate demateria)isatin re+%ests /i)) ha,e t 6e "i))ed "r "%))# $aid %$ and
$art)# $aid3%$ h)din&s5
Se$arate demateria)isatin re+%ests /i)) ha,e t 6e "i))ed "r h)din&s in the
di""erent ISINs " a !m$an#5
%ematerialisation
Remateria)isatin is the $r!ess 6# /hi!h a !)ient !an &et his e)e!trni! h)din&s
!n,erted int $h#si!a) !erti"i!ates5 The !)ient has t s%6mit the remateria)isatin
re+%est t the DP /ith /hm he has an a!!%nt
6eatures'
A !)ient !an remateria)i;e his demateria)ised h)din&s at an# $int " time5
The remateria)isatin $r!ess is !m$)eted /ithin 31 da#s5
The se!%rities sent "r remateria)isatin !annt 6e traded5
P%0,.8U%.
The !)ient /i)) s%6mit a re+%est t the DP "r remateria)isatin " h)din&s in
its a!!%nt5
On re!ei$t " the re+%est "rm' the DP /i)) ,eri"# that the "rm is d%)# "i))ed in
and iss%e t the !)ient' an a!.n/)ed&ement s)i$' si&ned and stam$ed5
The DP /i)) ,eri"# the si&nat%re " the !)ient as n the "rm /ith the s$e!imen
a,ai)a6)e in its re!rds5
I" the si&nat%res are di""erent the DP /i)) ens%re the identit# " the !)ient5
I" the "rm is in rder the DP /i)) enter the re+%est detai)s in its DPM
@s"t/are $r,ided 6# NSD- t the DPA5
Precautions'
The !)ient has t mentin the )t t#$e in the remateria)isatin re+%est "rm5
Se!%rities sent "r remateria)isatin !annt 6e traded5
Be"re initiatin& a remateria)isatin re+%est in a se!%rit# the !)ient m%st ens%re that he
has s%""i!ient "ree 6a)an!es in that se!%rit# in his de$sitr# a!!%nt5
ROLE OF NSDL IN SETTLE(ENT PROCESS
Sett)ement is !nd%!ted 6# st!. e<!han&es thr%&h their res$e!ti,e !)earin& h%se?
!)earin& !r$ratin5 NSD- $r,ides the ne!essar# in"rastr%!t%re t h)d se!%rities in
an e)e!trni! "rm and t trans"er them 6et/een a!!%nts in a de$sitr#5 C)earin&
6an.s a$$inted 6# the st!. e<!han&e "a!i)itates sett)ement " "%nds5
OPENING A CLEARING ACCOUNT
C2eari#0 "e"+er acc'%#t6 Mem6er 6r.ers " thse st!. e<!han&es /hi!h ha,e
esta6)ished e)e!trni! !nne!ti,it# /ith NSD- need t $en a !)earin& mem6er
a!!%nt' /ith a DP " his !hi!e' t !)ear and sett)e trades in the demat "rm5
Feat%re&
The !)earin& mem6er a!!%nt has three $arts>
P''2 acc'%#t6 Shares are re!ei,ed "rm se))in& !)ients in the $)
a!!%nt5 Trans"er t 6%#in& !)ients is a)s dne "rm the $) a!!%nt5
De2i9er3 acc'%#t6 Shares re!ei,ed "rm se))in& !)ients are m,ed
"rm the $) a!!%nt t the !)earin& !r$ratin? h%se thr%&h the
de)i,er# a!!%nt5
Recei!t acc'%#t6 Shares are re!ei,ed in the $) a!!%nt "rm the
!)earin& !r$ratin? h%se thr%&h the re!ei$t a!!%nt5
Pr'ced%re f'r O!e#i#0 C2eari#0 (e"+er Acc'%#t
The !)earin& mem6er /i)) !hse a DP "r the $%r$ses " $enin& !)earin&
mem6er a!!%nt5 The !hi!e ma# 6e 6ased n !n,enien!e' !m"rt' ser,i!es
""ered' !st r an# ther reasn5
The !)earin& mem6er /i)) a$$ra!h the DP " his !hi!e and 6tain the
re)e,ant a!!%nt $enin& "rm5
The DP /i)) s$e!i"# the )ist " d!%ments re&ardin& re"eren!es that need t 6e
s%6mitted a)n& /ith the a!!%nt $enin& "rm5 The DP /i)) a)s $r,ide a
!$# " the DP3C)ient a&reement5
The !)earin& mem6er /i)) s%6mit t his DP the d%)# "i))ed in a!!%nt $enin&
"rm : DP3!)ient a&reement a)n& /ith d!%ments re&ardin& re"eren!es
s$e!i"ied 6# the DP5
The C)earin& Mem6er /i)) a)s s%6mit a )etter "rm the !)earin& !r$ratin?
h%se re&ardin& a))tment " CM3Id t the !)earin& mem6er5
The DP /i)) ,eri"# /hether the a!!%nt $enin& "rm has 6een d%)# "i))ed in
r nt5 He /i)) a)s ,eri"# the s%6mitted d!%ments5
I" the a$$)i!atin "rm and d!%ments are in rder' then the DP /i)) a!!e$t
them and &i,e an a!.n/)ed&ement s)i$ d%)# si&ned and stam$ed t the
!)earin& mem6er5 The DP /i)) e<e!%te the a&reement and &i,e a !$# " it t
the !)earin& mem6er5
A"ter !m$)etin " a)) d!%mentatin' the DP /i)) in+%ire in the 6%siness
$artner @BPA Master in the DPM @s"t/are $r,ided 6# NSD- t the DPA
s#stem' /hether the !)earin& mem6er is a)read# a BP and has $ened a
!)earin& mem6er a!!%nt /ith sme ther DP5
A"ter the DP is satis"ied that the !)earin& mem6er desnHt ha,e CM a!!%nt
/ith an# ther DP' it /i)) send a !$# " the a!!%nt $enin& "rm' !$# " a
)etter "rm the !)earin& !r$ratin re&ardin& a))tment " CM3Id and a
!,erin& )etter @se$arate "r di""erent st!. e<!han&esA5
NSD- /i)) !mm%ni!ate an Id "r the !)earin& mem6er !a))ed CM3BP3Id t
the DP " the a$$)i!ant3!)earin& mem6er5
The DP /i)) &i,e a !$# " the re$rt )istin& the !)ient detai)s !a$t%red in the
DPM data6ase t the !)earin& mem6er5 The re$rt /i)) 6e &enerated 6# the
DPM and /i)) !ntain the "))/in& detai)s>
C)earin& Mem6er name
CM3BP3Id
C)ient Id
Date " $enin& " a!!%nt in the DPM s#stem5
The DP /i)) a)s in"rm NSD- the a6,e detai)s immediate)# a"ter the
a!!%nt is $ened in the DPM s#stem5
Pr'ced%re f'r S1ifti#0 C2eari#0 (e"+er Acc'%#t
The !)earin& mem6er ma# !)se an e<istin& !)earin& a!!%nt /ith ne DP and $en a
ne/ !)earin& a!!%nt /ith anther DP5
5 Pr'ced%re6
The !)earin& mem6er /i)) s%6mit the a$$)i!atin "r !)sin& the
!)earin& a!!%nt t the )d DP in d%$)i!ate5
The )d DP /i)) ,eri"# that the a$$)i!atin "r !)sin& the
!)earin& a!!%nt is d%)# "i))ed and i" in rder iss%e an a!.n/)ed&ement t the
!)earin& mem6er n the d%$)i!ate !$#5
The !)earin& mem6er /i)) s%6mit the "))/in& d!%ments t
the ne/ DP
A$$)i!atin "r $enin& a !)earin& a!!%nt
-etter "rm !)earin& !r$ratin re&ardin& a))tment " CM3Id5
A$$)i!atin "r shi"tin& " !)earin& a!!%nt in the $res!ri6ed "rmat
A!.n/)ed&ement !$# " the a$$)i!atin "r !)s%re " the a!!%nt
"rm the )d DP5
The ne/ DP /i)) ,eri"# that the a$$)i!atin "r $enin& the a!!%nt s%$$rted
6# the a6,e3mentined d!%ments is d%)# "i))ed5
I" the a$$)i!atin is in rder' the ne/ DP /i)) e<e!%te the a&reement and &i,e
a !$# " it t the !)earin& mem6er5
The ne/ DP /i)) "r/ard the !$# " the a!!%nt $enin& "rm a)n& /ith the
a6,e3mentined d!%ments t NSD-5
NSD- /i)) a))t the !)earin& mem6er a ne/ CM3BP Id5
The ne/ DP /i)) $en the !)earin& mem6er a!!%nt a"ter the ne/ CM3BP3Id
is d/n)aded t its DPM and intimate NSD-5
The ne/ DP /i)) ,eri"# that the a$$)i!atin "r $enin& the a!!%nt s%$$rted
6# the a6,e3mentined d!%ments is d%)# "i))ed5
Preca%ti'#&
A C)earin& Mem6er !an $en n)# ne !)earin& mem6er a!!%nt $er
e<!han&e' /hi!h $r,ides demat tradin&5
A)n& /ith d%)# "i))ed in a!!%nt $enin& "rm : DP3!)ient a&reement the
!)earin& mem6er /i)) a)s s%6mit a )etter "rm the !)earin& !r$ratin? h%se
re&ardin& a))tment " CM3Id t the !)earin& mem6er5
The !)earin& mem6er sh%)d ens%re that the "))/in& detai)s are mentined in
the a!!%nt $enin& "rm>
C)earin& !r$ratin? !)earin& h%se Id
St!. E<!han&e !)earin& !de @&i,en 6# St!. E<!han&eA
SEBI Re&istratin N%m6er @&i,en 6# SEBIA
Trade Name @name in /hi!h tradin& "irm is re&isteredA
The !)earin& mem6er has t indi!ate /hether he /ishes t a,ai) " the
Lstandin& instr%!tinL "a!i)it# "r re!ei,in& !redit " se!%rities "rm the !)ientsH
a!!%nts5
O8ER8IEW OF TRADING CLEARING AND SETTLE(ENT SYSTE(S AT
EXCHANGES; A DEPOSITORY PERSPECTI8E
Demateria)i;ed se!%rities !an 6e traded at a)) st!. e<!han&es !nne!ted at NSD-5
Tradin& !an 6e dne in ,ari%s /ind/s " st!. e<!han&es5 A st!. e<!han&e ma#
ha,e se$arate /ind/s
Ph#si!a) @A!!%nt PeridA
R))in&
A%!tin Ph#si!a)
A%!tin R))in&
A se$arate mar.et t#$e is a))tted in the de$sitr# "r ea!h " the a6,e /ind/ t
"a!i)itate the sett)ement " 6)i&atin in ea!h /ind/ se$arate)#5 the "))/in& t/
mar.et t#$es are s%ed >
Cm$an# O6(e!tin
Bad De)i,er#
Fr ea!h mar.et t#$e' the st!. e<!han&e /i)) ha,e ,ari%s sett)ements5 Hen!e' there
is a need t identi"# ea!h sett)ement /ithin a mar.et t#$e se$arate)#
Fr e5&5
Natina) st!. e<!han&e has 0D1 r))in& sett)ement in a #ear5 In rder t se&re&ate
ea!h sett)ement' it identi"ies them 6# a se$arate n%m6er5 Sa#' the 4D0
nd
sett)ement "
the #ear 0111is dented as 01114D0,5

STRUCTURE OF CLEARING ACCOUNT
The !)earin& a!!%nt is identi"ied in the de$sitr# s#stem 6# its CM3BP3ID5 The
interna) str%!t%re " the !)earin& a!!%nt !nsists " three $arts t "a!i)itate eas# 6.
.ee$in&5
Arra#0e"e#t 'f c2eari#0 acc'%#t
P) A!!%nt
De)i,er# A!!%nt
Re!ei$t A!!%nt
P''2 Acc'%#t6
It has t/ r)es t $)a# in !)earin& " se!%rities' ,i;5 6e"re $a# in' the se))in& !)ient "
the !)earin& mem6er trans"ers se!%rities "rm his !)ient a!!%nt t the !)earin&
a!!%nt5
De2i9er3 Acc'%#t6
The Se!%rities $a#3 in' the se!%rities m,e "rm the $) a!!%nt t the de)i,er#
a!!%nt5 This m,ement /i)) 6e a%tmati! i" the !)earin& mem6er has &i,en s%!h an
%nderta.in& t its !)earin& h%se? !)earin& !r$ratin
Recei!t Acc'%#t6
On $a#%t da#' the !)earin& h%se? !)earin& !r$ratin trans"ers se!%rities t the $)
a!!%nt @t the e<tent " net re!ei$tA thr%&h the re!ei$t a!!%nt
(ARKET TYPE AND SETTLE(ENT NU($ER
A !)earin& a!!%nt !an 6e 6r.en int !m$artments and s%6 !m$artments5 Ea!h
!m$artment !an 6e !a))ed as mar.et t#$e and ea!h s%6 !m$artment !an 6e !a))ed as
sett)ement n%m6er5
Sett2e"e#t Ca2e#dar
Sett)ement !a)endar is de!ided 6# the st!. e<!han&e5 It !ntains detai)s "r ea!h
mar.et t#$e and sett)ement n%m6er5

NSDL Dead2i#e
The $a#3in time de!ided 6# the st!. e<!han&es "r ea!h sett)ement is the NSD-
Dead)ine time5
3arket Trans(ers
Tradin& in demateria)ised se!%rities is +%ite simi)ar t tradin& in $h#si!a) se!%rities5
6eatures'
De)i,er# " se!%rities t r "rm a !)earin& mem6er are !a))ed LMar.et TradesL in the
de$sitr# s#stem
Procedure in ,ase o( 3arket Trans(er
In the dia&ram' the se))in& !)ient and !)earin& mem6er4 ha,e their res$e!ti,e a!!%nts
/ith DP4 and the 6%#in& !)ient and !)earin& mem6er0 ha,e their res$e!ti,e a!!%nts
/ith DP05 DP4' DP0 and the C)earin& Cr$ratin? C)earin& H%se ha,e n )ine
e)e!trni! !nne!ti,it# /ith NSD-5 The "))/in& $ara&ra$hs' e<$)ain the ")/ "
se!%rities t e""e!t sett)ement " a mar.et trade>
Ste!;*> 3 Se))er &i,es de)i,er# instr%!tin t DP4 t de6it his a!!%nt and trans"er
se!%rities t LC)earin& Mem6er4 P) A?!L /ith DP4
Ste!;,> 3 Se!%rities are trans"erred "rm LSe))in& C)ient A?!L t LC)earin& Mem6er4
P) A?!L /ith DP45
Ste!;:> 3 C)earin& Mem6er4 &i,es de)i,er# t CC instr%!tin t DP4 t de6it his
LC)earin& Mem6er4 P) A?!L and !redit his LC)earin& Mem6er4 De)i,er# A?!L5
Ste!;<> 3 Se!%rities )ie in the LC)earin& Mem6er4 De)i,er# A?!L ti)) sett)ement da#5
Ste!;=> 3 At the time " $a#%t se!%rities are trans"erred "rm the C)earin&
Cr$ratin? C)earin& H%se t LC)earin& Mem6er0 Re!ei$t A?!L /ith DP05 N !redit
instr%!tin is needed 6e!a%se this trans"er is a%tmati!5
Ste!;G> 3 Se!%rities are trans"erred "rm LC)earin& Mem6er0 Re!ei$t A?!L t
LC)earin& Mem6er 0 P) A?!L5 Re!ei$t a!!%nt " !)earin& mem6ers is $%re)# a
transit a!!%nt "r maintainin& a%dit trai)5
Ste!;H> 3 C)earin& Mem6er0 &i,es a de)i,er# instr%!tin t DP0 t de6it his LC)earin&
Mem6er 0 P) A?!L and !redit LB%#in& C)ient A?!L /ith DP0
Ste!;I> 3 Se!%rities are trans"erred t LB%#in& C)ient A?!L "rm LC)earin& Mem6er0
P) A?!L /ith DP0
Precautions'
Fr a trans"er " se!%rities t 6e e""e!ted "rm ne a!!%nt t anther' detai)s
mentined in the Lde)i,er#L and Lre!ei$tL instr%!tins need t mat!h5 In,estrs
need t 6e es$e!ia))# !are"%) /ith res$e!t t the Le<e!%tin dateL mentined in
the t/ "rms
In,estrs need t 6e !are"%) /ith res$e!t t the $a#3in dead)ine5
7hi)e the se))in& !)ient "i))s the de)i,er# "rm' he m%st ta.e !are t
Stri.e "" the $rtin "r HFr O""3Mar.et Trades @Re!ei,er Detai)sAH
and "i)) %$ a)) ther detai)s !m$)ete)#
Ens%re that n)# de)i,er# instr%!tin "rm &i,en 6# the DP ha,in& the
$re3$rinted Seria) n5 Is %sed5 D nt %se the "rm 6e)n&in& t anther
!)ient55
Ens%re that his C)ient ID and DPHs HDP IDH is a,ai)a6)e n the "rm5
This /%)d 6e $rinted?stam$ed 6# his DP5
7rites the CM3BP3ID' name " the !)earin& mem6er' mar.et t#$e and
sett)ement n%m6er as &i,en 6# the !)earin& mem6er in the $rtin HFr
Mar.et Trades @Re!ei,er Detai)sAH5
7rite the ISIN " the se!%rit#' /hi!h is t 6e trans"erred5 This ISIN
/i)) 6e a,ai)a6)e in the statement " a!!%nt re!ei,ed "rm the DP
&i,in& detai)s " the se!%rit# h)din&5
7rite the se!%rit# name as it a$$ears in the statement " a!!%nt5
7rite the +%antit# 6th in "i&%res and /rds5

Procedure (or &nter Settlement Trans(ers
In a !)earin& a!!%nt' the se!%rities are a)/a#s .e$t in a 6%!.et " s$e!i"i! mar.et
t#$e and sett)ement n%m6er5
Procedure'
Ste!;*> 3 C)earin& Mem6er &i,es Linter sett)ement instr%!tinL t his DP5 The
instr%!tin sh%)d !)ear)# indi!ate the mar.et t#$e : sett)ement n5 Frm /hi!h the
se!%rities are t 6e m,ed and the mar.et t#$e : sett)ement n5
Ste!;,> 3 The DP /i)) ens%re that the instr%!tin s)i$ is !m$)ete : the si&nat%re "
the CM is ,a)id5
Ste!;:> 3 The DP /i)) e<e!%te the instr%!tin : se!%rities /i)) 6e m,ed /ithin the
$) a?! " the CM as $er the instr%!tin5
Procedure (or ,3 Pool To ,3 Pool Trans(ers'
A C)earin& Mem6er !an trans"er se!%rities "rm its a!!%nt t an# ther C)earin&
Mem6erHs a!!%nt " an# st!. e<!han&e !nne!ted t NSD-5
Ste!;*> 3 C)earin& Mem6er &i,es LCM P) t CM P) De)i,er# Instr%!tinL t his
DP t de6it its P) a!!%nt and !redit the P) a!!%nt " anther C)earin& Mem6er
Ste!;,> 3 The DP /i)) ens%re that the instr%!tin s)i$ is !m$)ete : the si&nat%re "
the CM is ,a)id5
Ste!;:> 3 The DP /i)) e<e!%te the instr%!tins " the C)earin& Mem6er t de6it?!redit
the P) a!!%nt " the C)earin& Mem6er5
0(( ! 3arket Trans(ers
Tradin& in demateria)ised se!%rities is +%ite simi)ar t tradin& in $h#si!a) se!%rities5
The ma(r di""eren!e is that at the time " sett)ement' instead " de)i,er#?re!ei$t "
se!%rities in the $h#si!a) "rm' the same is a""e!ted thr%&h a!!%nt trans"ers5
6eatures'
Trades' /hi!h are nt sett)ed thr%&h the C)earin& Cr$ratin? C)earin& H%se " an
e<!han&e' are !)assi"ied as LO"" Mar.et TradesL5
Procedure in case o( an 0((!3arket Trans(er &nvolving Two ,lients'
The se))in& !)ient /i)) ha,e t &i,e a de)i,er# instr%!tin t his DP t trans"er
se!%rities "rm his de$sitr# a!!%nt t the 6%#in& !)ientHs de$sitr#
a!!%nt
The detai)s in the Lde)i,er#L and Lre!ei$tL instr%!tins m%st mat!h e)se the
trans"er /i)) nt ta.e $)a!e5
The $a#ment as$e!t is hand)ed %tside the NSD- en,irnment 6et/een the
se))in& and 6%#in& !)ients5
&nter!8epository Trans(ers
Trans"er " se!%rities "rm an a!!%nt in ne de$sitr# t an a!!%nt in anther
de$sitr# is termed as an inter3de$sitr# trans"er5 This "a!i)it# is +%ite simi)ar t the
a!!%nt trans"ers /ithin NSD-5
It !an 6e dne n)# "r se!%rities that are a,ai)a6)e "r demateria)isatin n
6th the de$sitries5
The a!!%nt in NSD- !an 6e either a !)earin& a!!%nt r a 6ene"i!iar#
a!!%nt5
Fr de6itin& the !)earin& a!!%nt r the 6ene"i!ia) a!!%nt /ith NSD-' the
"rm "r LInter3de$sitr# de)i,er# instr%!tinL is re+%ired t 6e s%6mitted 6#
the !)earin& mem6er?6ene"i!ia) /ner t its DP5
As 6th the de$sitries are !nne!ted t ea!h anther' the 6at!hes t e""e!t
inter 3 de$sitr# trans"ers are $resent)# e<!han&ed n ea!h /r.in& da#5
Bth the de$sitries in"rm the Iss%er?Re&istrar : Trans"er A&ent a6%t the
trans"er and it amends its re!rds a!!rdin&)#5
G,ernment se!%rities !annt 6e trans"erred "rm ne de$sitr# t anther
%sin& this "a!i)it#5
AUTO(ATION $Y A CLEARING (E($ER
5
T3!ica223 t1e +acB;'ffice &3&te"& 'f a c2eari#0 "e"+er are a%t'"ated /1ic1
red%ce& err'r& c'&t !er tra#&acti'# a#d t1%& !r'9idi#0 "%c1
#eeded &afet3 a#d c'#9e#ie#ce i# &ett2e"e#t !r'ce&&i#0)
45 The !m$%ter $rint%t @en!)s%reA sh%)d !ntain a)) the detai)s as s$e!i"ied in
the de)i,er# instr%!tin "rm5
05 7rds LDetai)s as $er RRRRRRR @tta)A n%m6er " $a&es atta!hedL sh%)d 6e
/ritten n the de)i,er# instr%!tin "rm5
35 The $re3$rinted seria) n%m6er " the de)i,er# instr%!tin "rm sh%)d 6e
mentined n e,er# $a&e " the en!)s%re5
G5 E,er# $a&e " the en!)s%re and the de)i,er# instr%!tin "rm sh%)d 6e si&ned
and stam$ed 6# the a%thri;ed si&natries
The !)earin& mem6er ma# a)s &i,e the instr%!tins in an e)e!trni! "rm in additin
t the hard !$#' i" the DP is /i))in& t a!!e$t the same
Hi#t& f'r a%t'"ati'#
45 C)earin& Mem6er !an ma$ the tradi#0 !)ient !de /ith the demat a!!%nt
n%m6er @,ia' DP ID : C)ient IDA " its !)ient in its 6a!.3""i!e
05 Tra!.in& " the re!rd date?6. !)s%re " ea!h se!%rit# !an 6e dne t &i,e
an a)ert t m,e thse se!%rities t the 6ene"i!ia) /ner a!!%nts5
+utomatic 8elivery 0ut &nstructions (+uto 80s#
The res$e!ti,e C)earin& Cr$ratins 6ased n the net de)i,er# 6)i&atins " its
C)earin& Mem6ers !an &enerate de)i,er#3%t instr%!tins "r m,in& se!%rities "rm
CM P) A!!%nt t CM De)i,er# A!!%nt a%tmati!a))#5
:on Pari!Passu shares or multiple &S&:s % .he "to D0! will 1e generate#
only for the main 2S2N.
In !ase IDO is &i,en a"ter &eneratin " A%t DO' C)earin& Mem6ers /i))
ha,e t ens%re that the A%t DO is "irst !an!e)ed 6e"re e<e!%tin " the IDO5
F%rther' a De)i,er#3%t Instr%!tin "rm "r the 6a)an!e +%antit# sh%)d a)s
6e &i,en t the Parti!i$ant5
!A S1ifti#0 'f C( P''2 Acc'%#t fr'" '#e Partici!a#t t' a#'t1er Partici!a#t
3 A%t DOs /i)) 6e &enerated n)# in res$e!t " ne CM P) A!!%nt i5e5' the
CM P) A!!%nt that is desi&nated "r re!ei,in& Pa#%t as " the date "
&eneratin " A%t DOs5
C)earin& Mem6ers /i)) 6e re+%ired t &i,e Inter3sett)ement Instr%!tins t the
Parti!i$ants "r se!%rities )#in& in anther sett)ement as %s%a)5
Parti!i$ants !an &enerate se$arate re$rts "rm the DPM 6th "r A%t DOs and
man%a) DOs5
CHARGES
NSD- ad$ts a t/3tier !har&e str%!t%re5 NSD- des nt dire!t)# !har&e the !)earin&
mem6ers5 NSD- !har&es its DPs and the DPs !har&es t the !)earin& mem6ers5
CORPORATE $ENEFITS
Ba)an!es )#in& in the !)earin& a!!%nts are nt e)i&i6)e "r !r$rate 6ene"its as these
are n)# transit 6a)an!es and nt 6ene"i!iar# $sitins5 Re!ent)#' as $er SEBIHs $ress
re)ease dated Ma# 03' 0111' it /as de!ided that the !r$rate a!tins s%!h as di,idend
$a#ment and the 6n%s shares in res$e!t " 6a)an!es in the !)earin& a!!%nt /hi!h
remain %tstandin& n the re!rd date m%st 6e !redited t the 6an.?!)earin& a!!%nt
" the !)earin& mem6er and the !)earin& mem6er m%st !redit the am%nt t his !)ients5
C2ai"i#0 c'r!'rate +e#efit& f'r &ec%ritie& 23i#0 i# c2eari#0 acc'%#t
I" sme se!%rities remain in the !)earin& a!!%nt as n the re!rd date?6. !)s%re'
the !r$rate 6ene"its n these se!%rities ma# either 6e de)a#ed r )st5
Pr'ced%re f'r c2ai"i#0 c'r!'rate +e#efit&
C)earin& mem6er m%st trans"er the se!%rities t the 6ene"i!ia) /ner a!!%nt5
C)earin& mem6er m%st /rite t NSD- &i,in& detai)s in!)%din& CM3BP3ID'
re!rd date?6. !)s%re' ISIN' +%antit#' and a !$# " the transa!tin
statement re")e!tin& the a6,e transa!tin5
In s%!h a !ase' an inter3&ett2e"e#t trans"er "rm !%m36ene"it &ett2e"e#t t e<3
6ene"it &ett2e"e#t sh%)d 6e a,ided5
NSD- /i)) tra!. the m,ement " se!%rities and a!!rdin&)# determine the
Bene"i!ia) /nershi$ " s%!h se!%rit#5
C2ai"i#0 c'r!'rate +e#efit& f'r !re !a3;i# 'f &ec%ritie&
Smetimes se!%rities ma# remain in the !)earin& a!!%nt at the time " re!rd
date?6. !)s%re' i" the !)earin& mem6er des a $re $a#3in " se!%rities5
TRADING AND SETTLE(ENT
Tradi#0 A#d Sett2e"e#t At NSE
A6%t Us
The Natina) St!. E<!han&e @NSEA is IndiaHs )eadin& st!. e<!han&e !,erin&
,ari%s !ities and t/ns a!rss the !%ntr#5 NSE /as set %$ 6# )eadin& instit%tins t
$r,ide a mdern' "%))# a%tmated s!reen36ased tradin& s#stem /ith natina) rea!h5
O%r Gr'%!
NSCCL
IISL
NSE)IT
Tradi#0
NSE intrd%!ed "r the "irst time in India' "%))# a%tmated s!reen 6ased tradin&5 It
%ses a mdern' "%))# !m$%teri;ed tradin& s#stem desi&ned t ""er in,estrs a!rss
the )en&th and 6readth " the !%ntr# a sa"e and eas# /a# t in,est5
(arBet Ti"i#0&
Tradin& n the e+%ities se&ment ta.es $)a!e n a)) da#s " the /ee. @e<!e$t Sat%rda#s
and S%nda#s and h)ida#s de!)ared 6# the E<!han&e in ad,an!eA5 (arBet Se0"e#t&
The E<!han&e $erates the "))/in& s%63se&ments in the E+%ities se&ment>
R))in& Sett)ement
-imited Ph#si!a) Mar.et
Instit%tina) Se&ment
Trade "r Trade Se&ment
R'22i#0 Sett2e"e#t
In a r))in& sett)ement' ea!h tradin& da# is !nsidered as a tradin& $erid and trades
e<e!%ted d%rin& the da# are sett)ed 6ased n the net 6)i&atins "r the da#5
Li"ited P13&ica2 (arBet
P%rs%ant t the dire!ti,e " SEBI t $r,ide an e<it r%te "r sma)) in,estrs h)din&
$h#si!a) shares in se!%rities mandated "r !m$%)sr# demateria)ised sett)ement' the
E<!han&e has $r,ided a "a!i)it# "r s%!h tradin& in $h#si!a) shares nt e<!eedin&
D11 shares5
I#&tit%ti'#a2 Se0"e#t
The Reser,e Ban. " India had ,ide a $ress re)ease n O!t6er 04' 4222' !)ari"ied that
inter3"rei&n3instit%tina)3in,estr @inter3FIIA transa!tins d nt re+%ire $rir
a$$r,a) r $st3"a!t !n"irmatin " the Reser,e Ban. " India' sin!e s%!h
transa!tins d nt a""e!t the $er!enta&e " ,era)) FII h)din&s in Indian !m$anies5
Trade f'r Trade Se0"e#t
Tradin& in this se&ment is a,ai)a6)e n)# "r the se!%rities
7hi!h ha,e nt esta6)ished !nne!ti,it# /ith 6th the de$sitries as $er
SEBI dire!ti,e5 The )ist " these se!%rities is nti"ied 6# SEBI "rm time t
time5
On a!!%nt " s%r,ei))an!e a!tin
Sec%ritie& A9ai2a+2e f'r Tradi#0
The Ca$ita) Mar.et @E+%itiesA se&ment " NSE "a!i)itates tradin& in the "))/in&
instr%ments>
A) S1are&
E+%it# Shares
Pre"eren!e Shares
$) De+e#t%re&
Part)# Cn,erti6)e De6ent%res
F%))# Cn,erti6)e De6ent%res
Nn Cn,erti6)e De6ent%res
7arrants ? C%$ns ? Se!%red Premi%m Ntes? ther H#6rids
Bnds
C) U#it& 'f (%t%a2 F%#d&
Tradi#0 S3&te"
NSE $erates n the HNatina) E<!han&e "r A%tmated Tradin&H @NEATA s#stem' a
"%))# a%tmated s!reen 6ased tradin& s#stem' /hi!h ad$ts the $rin!i$)e " an rder
dri,en mar.et5 NSE !ns!i%s)# $ted in "a,r " an rder dri,en s#stem as $$sed
t a +%te dri,en s#stem5 This has he)$ed red%!e (66in& s$reads nt n)# n NSE 6%t
in ther e<!han&es as /e))' th%s red%!in& transa!tin !sts5
Mar.et T#$es
Order B.s
Order Mat!hin& R%)es
Order Cnditins
Tradi#0 S3&te" ; (arBet T3!e&
The NEAT s#stem has "%r t#$es " mar.et5 The# are>
N'r"a2 (arBet
A)) rders that are " re&%)ar )t si;e r m%)ti$)es there" are traded in the Nrma)
Mar.et5 Fr shares that are traded in the !m$%)sr# demateria)ised mde the mar.et
)t " these shares is ne5
5
Odd L't (arBet
A)) rders /hse rder si;e is )ess than the re&%)ar )t si;e are traded in the dd3)t
mar.et5 An rder is !a))ed an dd )t rder i" the rder si;e is )ess than re&%)ar )t si;e5
A%cti'# (arBet
In the A%!tin Mar.et' the E<!han&e n 6eha)" " tradin& mem6ers "r sett)ement
re)ated reasns initiate=s a%!tins5 There are 3 $arti!i$ants in this mar.et5
Initiatr 3 the $art# /h initiates the a%!tin $r!ess is !a))ed an initiatr
Cm$etitr 3 the $art# /h enters rders n the same side as " the initiatr
S)i!itr 3 the $art# /h enters rders n the $$site side as " the initiatr
S!'t (arBet
S$t rders are simi)ar t the nrma) mar.et rders e<!e$t that s$t rders ha,e
di""erent sett)ement $erids ,is3S3,is nrma) mar.et5 These rders d nt ha,e an#
s$e!ia) terms attri6%tes atta!hed t them5 C%rrent)# the S$t Mar.et is nt in %se5
Tradi#0 S3&te" ; Order (atc1i#0 R%2e&
The 6est 6%# rder is mat!hed /ith the 6est se)) rder5 An rder ma# mat!h $artia))#
/ith anther rder res%)tin& in m%)ti$)e trades5 Fr rder mat!hin&' the 6est 6%# rder
is the ne /ith the hi&hest $ri!e and the 6est se)) rder is the ne /ith the )/est
$ri!e5
Tradi#0 S3&te" ; Order C'#diti'#&
A Tradin& Mem6er !an enter ,ari%s t#$es " rders de$endin& %$n his?her
re+%irements5 These !nditins are 6rad)# !)assi"ied int three !ate&ries> time
re)ated !nditins' $ri!e3re)ated !nditins and +%antit# re)ated !nditins5
Ti"e C'#diti'#&
DAQ 3 A Da# rder' as the name s%&&ests' is an rder' /hi!h is ,a)id "r the da# n
/hi!h it is entered5 I" the rder is nt mat!hed d%rin& the da#' the rder &ets !an!e))ed
a%tmati!a))# at the end " the tradin& da#5
GTC 3 A Gd Ti)) Can!e))ed @GTCA rder is an rder that remains in the s#stem %nti)
the Tradin& Mem6er !an!e)s it5 It /i)) there"re 6e a6)e t s$an tradin& da#s i" it des
nt &et mat!hed5
GTD 3 A Gd Ti)) Da#s?Date @GTDA rder a))/s the Tradin& Mem6er t s$e!i"# the
da#s?date %$ t /hi!h the rder sh%)d sta# in the s#stem5
IOC 3 An Immediate r Can!e) @IOCA rder a))/s a Tradin& Mem6er t 6%# r se)) a
se!%rit# as sn as the rder is re)eased int the mar.et' "ai)in& /hi!h the rder /i))
6e rem,ed "rm the mar.et55
Price C'#diti'#&
-imit Pri!e?Order B An rder that a))/s the $ri!e t 6e s$e!i"ied /hi)e enterin& the
rder int the s#stem5
Mar.et Pri!e?Order B An rder t 6%# r se)) se!%rities at the 6est $ri!e 6taina6)e at
the time " enterin& the rder5
St$ -ss @S-A Pri!e?Order B The ne that a))/s the Tradin& Mem6er t $)a!e an
rder' /hi!h &ets a!ti,ated n)# /hen the mar.et $ri!e " the re)e,ant se!%rit#
rea!hes r !rsses a thresh)d $ri!e5
A se)) rder in the St$ -ss 6. &ets tri&&ered /hen the )ast traded $ri!e in the
nrma) mar.et rea!hes r "a))s 6e)/ the tri&&er $ri!e " the rder5
J%a#tit3 C'#diti'#&
Dis!)sed T%antit# @DTA3 An rder /ith a DT !nditin a))/s the Tradin& Mem6er
t dis!)se n)# a $art " the rder +%antit# t the mar.et5 Fr e<am$)e' an rder "
4111 /ith a dis!)sed +%antit# !nditin " 011 /i)) mean that 011 is dis$)a#ed t the
mar.et at a time5
MF 3 Minim%m Fi)) @MFA rders a))/ the Tradin& Mem6er t s$e!i"# the minim%m
+%antit# 6# /hi!h an rder sh%)d 6e "i))ed5 Fr e<am$)e' an rder " 4111 %nits /ith
minim%m "i)) 011 /i)) re+%ire that ea!h trade 6e "r at )east 011 %nits5 In ther /rds
there /i)) 6e a ma<im%m " D trades " 011 ea!h r a sin&)e trade " 41115 The
E<!han&e ma# )a# d/n nrms " MF "rm time t time5
AON 3 A)) r Nne rders a))/ a Tradin& Mem6er t im$se the !nditin that n)#
the "%)) rder sh%)d 6e mat!hed a&ainst5
Nte> C%rrent)#' AON and MF rders are nt a,ai)a6)e n the s#stem as $er SEBI
dire!ti,es5
Trader W'rB&tati'#
The trader /r.statin is the termina) "rm /hi!h the mem6er a!!esses the tradin&
s#stem5 Ea!h trader has a %ni+%e identi"i!atin 6# /a# " Tradin& Mem6er ID and
User ID thr%&h /hi!h he is a6)e t )& n t the s#stem "r tradin& r in+%ir#
$%r$ses5
The Trader 7r.statin s!reen " the Tradin& Mem6er is di,ided int se,era) ma(r
/ind/s>
Tit)e Bar
T) Bar
Ti!.er 7ind/
Mar.et 7at!h 7ind/
On )ine Inde< and Inde< In+%ir#
In+%ir# 7ind/
Sna$ T%te
Order?Trade 7ind/
S#stems Messa&e 7ind/
S%$$)ementar# Men%
C2eari#0 K Sett2e"e#t ?EL%itie&@
NSCC- !arries %t !)earin& and sett)ement "%n!tins as $er the sett)ement !#!)es "
di""erent s%63se&ments in the E+%ities se&ment5
The !)earin& "%n!tin " the !)earin& !r$ratin is desi&ned t /r. %t aA /hat
!%nter $arties /e and 6A /hat !%nter $arties are d%e t re!ei,e n the sett)ement
date5 Sett)ement is a t/ /a# $r!ess' /hi!h in,),es )e&a) trans"er " tit)e t' "%nds
and se!%rities r ther assets n the sett)ement date5
C2eari#0
C)earin& is the $r!ess " determinatin " 6)i&atins' a"ter /hi!h the 6)i&atins are
dis!har&ed 6# sett)ement5
NSCC- has t/ !ate&ries " !)earin& mem6ers> tradin& mem6ers and !%stdians5
The tradin& mem6ers !an $ass n its 6)i&atin t the !%stdians i" the !%stdian
!n"irms the same t NSCC-5
C2eared a#d #'#;c2eared dea2&
NSCC- !arries %t the !)earin& and sett)ement " trades e<e!%ted in the "))/in&
s%63se&ments " the E+%ities se&ment>
45 A)) trades e<e!%ted in the B. entr# ? R))in& se&ment5
05 A)) trades e<e!%ted in the -imited Ph#si!a) Mar.et se&ment5
C2eari#0 (ec1a#i&"
Trades in r))in& se&ment are !)eared and sett)ed n a netted 6asis5 Tradin& and
sett)ement $erids are s$e!i"ied 6# the E<!han&e ? C)earin& Cr$ratin "rm time t
time5 Dea)s e<e!%ted d%rin& a $arti!%)ar tradin& $erid are netted at the end " that
tradin& $erid and sett)ement 6)i&atins "r that sett)ement $erid are !m$%ted5 A
m%)ti)atera) nettin& $r!ed%re is ad$ted t determine the net sett)ement 6)i&atins5
Sett2e"e#t C3c2e
At the end " ea!h tradin& da#' !n!)%ded r )!.ed3in trades are re!ei,ed "rm NSE
6# NSCC-5 NSCC- determines the !%m%)ati,e 6)i&atins " ea!h mem6er and
e)e!trni!a))# trans"ers the data t C)earin& Mem6ers @CMsA5 A)) trades !n!)%ded
d%rin& a $arti!%)ar tradin& $erid are sett)ed t&ether5
A%cti'#&
Ea!h CM /%)d !mm%ni!ate t NSCC- n the $a#3in da# the se!%rities that the CM
/%)d 6e de)i,erin& and thse that the CM is %na6)e t de)i,er5 NSCC- identi"ies
shrt de)i,eries and !nd%!ts a 6%#in&3in a%!tin n the da# a"ter the $a#%t da#
thr%&h the NSE tradin& s#stem5
The CM is de6ited 6# an am%nt e+%i,a)ent t the se!%rities nt de)i,ered and ,a)%ed
at a ,a)%atin $ri!e @the !)sin& $ri!e as ann%n!ed 6# NSE n the da# $re,i%s t the
da# " the ,a)%atinA5 I" the 6%#3in a%!tin $ri!e is mre than the ,a)%atin $ri!e' the
CM is re+%ired t ma.e &d the di""eren!e5
$ad De2i9erie& ?i# ca&e 'f !13&ica2 &ett2e"e#t@
Bad de)i,eries @de)i,eries /hi!h are $rima "a!ie de"e!ti,eA are re+%ired t 6e re$rted
t the !)earin&h%se /ithin t/ da#s "rm the re!ei$t " d!%ments5 The de)i,erin&
mem6er is re+%ired t re!ti"# these /ithin t/ da#s5 Un3re!ti"ied 6ad de)i,eries are
assi&ned t a%!tin n the ne<t da#5
C'"!a#3 O+Cecti'#& ?i# ca&e 'f !13&ica2 &ett2e"e#t@
Cm$an# 6(e!tins arise /hen' n )d&ment " the se!%rities /ith the
!m$an#?Share Trans"er A&ent @STAA "r trans"er' /hi!h are ret%rned d%e t
si&nat%re mismat!h r "r an# ther reasn "r /hi!h the trans"er " se!%rit# !annt
6e e""e!ted5
Sett)ement !#!)es "r the ,ari%s s%63se&ments>
R))in& Sett)ement
-imited Ph#si!a) Mar.et Se&ment
Instit%tina) Se&ment
Sett2e"e#t C3c2e
R'22i#0 Sett2e"e#t
In a r))in& sett)ement' ea!h tradin& da# is !nsidered as a tradin& $erid and trades
e<e!%ted d%rin& the da# are sett)ed 6ased n the net 6)i&atins "r the da#5
At NSE' trades in r))in& sett)ement are sett)ed n a TU0 6asis i5e5 n the 0nd /r.in&
da#5 Fr arri,in& at the sett)ement da# a)) inter,enin& h)ida#s' /hi!h in!)%de 6an.
h)ida#s' NSE h)ida#s' Sat%rda#s and S%nda#s are e<!)%ded5 T#$i!a))# trades ta.in&
$)a!e n Mnda# are sett)ed n 7ednesda#' T%esda#Hs trades sett)ed n Th%rsda# and
s n5
A ta6%)ar re$resentatin " the sett)ement !#!)e "r r))in& sett)ement is &i,en 6e)/>
A!ti,it# Da#
Tradin& R))in& Sett)ement Tradin& T
C)earin& C%stdia) Cn"irmatin TU4 /r.in& da#s
De)i,er# Generatin TU4 /r.in& da#s
Sett)ement Se!%rities and F%nds $a# in TU0 /r.in& da#s
Se!%rities and F%nds $a# %t TU0 /r.in& da#s
Va)%atin De6it TU0 /r.in& da#s
Pst Sett)ement A%!tin TU3 /r.in& da#s
Bad De)i,er# Re$rtin& TUG /r.in& da#s
A%!tin sett)ement TUD /r.in& da#s
Re!ti"ied 6ad de)i,er# $a#3in and $a#3%t TUM /r.in& da#s
Re36ad de)i,er# re$rtin& and $i!.%$ TU8 /r.in& da#s

C)se %t " re36ad de)i,er# and "%nds $a#3in
: $a#3%t
TU2 /r.in& da#s
Sett2e"e#t C3c2e
Li"ited P13&ica2 (arBet Se0"e#t
Sett)ement "r trades is dne n a trade3"r3trade 6asis and de)i,er# 6)i&atins arise
%t " ea!h trade5 The sett)ement !#!)e "r this se&ment is same as "r the r))in&
sett)ement ,i;>
A!ti,it# Da#
Tradin& R))in& Sett)ement Tradin& T
C)earin& C%stdia) Cn"irmatin TU4 /r.in& da#s
De)i,er# Generatin TU4 /r.in& da#s
Sett)ement Se!%rities and F%nds $a# in TU0 /r.in& da#s
Se!%rities and F%nds $a# %t TU0 /r.in& da#s
Pst Sett)ement Assi&nin& " shrta&es "r !)se %t TU3 /r.in& da#s
Re$rtin& and $i!.3%$ " 6ad de)i,er# TUG /r.in& da#s
C)se %t " shrta&es TUD /r.in& da#s
Re$)a!ement " 6ad de)i,er# TUM /r.in& da#s
Re$rtin& " re36ad and $i!.3%$ TU8 /r.in& da#s
C)se %t " re36ad de)i,er# TU2 /r.in& da#s
Sett2e"e#t C3c2e
I#&tit%ti'#a2 Se0"e#t
Dea)s e<e!%ted in this se&ment are !)eared n a TU0 r))in& 6asis5 Sett)ement "r a))
trades is dne n a trade3"r3trade 6asis and de)i,er# 6)i&atin arises %t " ea!h
tradeThe sett)ement !#!)e "r this se&ment is sh/n 6e)/>
A!ti,it# Da#
Tradin& R))in& Sett)ement Tradin& T
C)earin& C%stdia) Cn"irmatin TU4 /r.in& da#s
De)i,er# Generatin TU4 /r.in& da#s
Sett)ement Se!%rities and F%nds $a# in TU0 /r.in& da#s
Se!%rities and F%nds $a# %t TU0 /r.in& da#s
Va)%atin De6it TU4 /r.in& da#s
Pst Sett)ement C)se %t TU0 /r.in& da#s
Tradin& in this mar.et se&ment is a,ai)a6)e "r Hinstit%tina) in,estrsH n)#5 In rder
t ens%re that the ,era)) FII )imits are nt ,i)ated' se))in& in this se&ment is
restri!ted t FII !)ients5 B%#in& is restri!ted t FII and FI !)ients5 Mem6ers are
re+%ired t enter the !%stdian $arti!i$ant !de at the time " rder entr# and t
ens%re that the se))in&?6%#in& restri!tins are stri!t)# adhered t5
Mem6ers are nt a))/ed the "a!i)it# " trade /areh%sin& "r this se&ment and
a!!rdin&)# mem6ers are nt re+%ired t mar. the rders "r NCIT and /areh%sin&5
I" an# rders are mar.ed "r the C)earin& Cr$ratin sha)) rem,e NCIT and ? r
/areh%sin& the same5 Shrta&es' i" an#' are !m$%)sri)# !)sed3%t at 01O ,er the
a!t%a) trade $ri!e5
Sec%ritie& Sett2e"e#t
The se!%rities 6)i&atins " mem6ers are d/n)aded t mem6ers ? !%stdians 6#
NSCC- a"ter the tradin& $erid is ,er5 The mem6ers ? !%stdians de)i,er the
se!%rities t the C)earin& H%se n the $a#3in da# in !ase " $h#si!a) sett)ement and
ma.e a,ai)a6)e the re+%ired se!%rities in the $) a!!%nts /ith the de$sitr#
$arti!i$ants in !ase " demateria)ised se!%rities5 Mem6ers are re+%ired t $en
a!!%nts /ith de$sitr# $arti!i$ants " 6th the de$sitries' NSD- and CDS-5
In !ase " demateria)ised sett)ement' the de)i,erin& mem6er sh%)d ha,e !)ear
6a)an!es " se!%rities in his de)i,er# a!!%nt /ithin his CM !)earin& a!!%nt /ith the
de$sitr# n r 6e"re 41>11 a5m5 n the $a#3in da#5 The de$sitr# /%)d de6it the
de)i,erin& mem6ers a!!%nt n r a"ter 41>11 a5m5 The de$sitr# /%)d !redit the
re!ei,in& mem6ersH re!ei$t a!!%nt /ithin his CM !)earin& a!!%nt /ith the
de$sitr# n r a"ter 0>31 $5m5 n the $a#%t da#5
P%rs%ant t SEBI dire!ti,e @,ide its !ir!%)ar SMDRP?P)i!#?Cir31D?0114 dated
Fe6r%ar# 4' 0114A NSCC- has intrd%!ed a sett)ement s#stem "r dire!t de)i,er# "
se!%rities t the in,estr=s a!!%nts /ith e""e!t "rm A$ri) 0' 01145
F%#d& Sett2e"e#t
NSCC- has em$ane))ed 40 !)earin& 6an.s name)# Canara Ban.' HDFC Ban.'
Ind%sInd Ban.' ICICI Ban.' UTI Ban.' Ban. " India' IDBI Ban.' Hn& Nn& :
Shan&hai Ban.in& Cr$ratin -td5' Standard Chartered Ban.' Nta. Mahindra
Ban.' Unin Ban. " India and State Ban. " India5
F%#d& Sett2e"e#t
C2eari#0 Acc'%#t E,er# C)earin& Mem6er is re+%ired t maintain and $erate a
!)earin& a!!%nt /ith an# ne " the em$ane))ed !)earin& 6an.s at the desi&nated
!)earin& 6an. 6ran!hes5
C)earin& Mem6ers are re+%ired t a%thri;e the C)earin& Ban. t a!!ess their !)earin&
a!!%nt "r de6itin& and !reditin& their a!!%nts' re$rtin& " 6a)an!es and ther
in"rmatin as ma# 6e re+%ired 6# NSCC- "rm time t time as $er the s$e!i"ied
"rmat5
A C)earin& mem6er !an de$sit "%nds int this a!!%nt in an# "rm' 6%t !an /ithdra/
"%nds "rm this a!!%nt n)# in se)"3name5
F%#d& Sett2e"e#t
Mem6ers are in"rmed " their "%nds 6)i&atin "r ,ari%s sett)ements thr%&h the
dai)# !)earin& data d/n)ad5 The dai)# "%nds statement &i,es date3/ise detai)s "
ea!h de6it? !redit transa!tin in the mem6er=s !)earin& a!!%nt /hereas the s%mmar#
statement s%mmari;es the same in"rmatin "r a +%i!. re"eren!e5
The mem6ers /ith a "%nds $a#3in 6)i&atin are re+%ired t ha,e !)ear "%nds in their
a!!%nt n r 6e"re 41531 a5m5 n the sett)ement da#5 The $a#%t " "%nds is !redited
t the !)earin& a!!%nt " the mem6ers n r a"ter 4531 $5m5 n the sett)ement da#5
F%#d& S1'rta0e&
Mem6ers are re+%ired t ens%re that ade+%ate "%nds are a,ai)a6)e in the !)earin&
a!!%nt t/ards a)) 6)i&atins' n the s!hed%)ed date and time5 Tradin& and?r
!)earin& "a!i)it# " mem6ers "ai)in& t "%)"i)) their "%nds 6)i&atins in a)) mar.ets
in!)%din& the ,a)%atin de6it raised n a!!%nt " se!%rities shrta&es t C)earin&
Cr$ratin sha)) 6e /ithdra/n5 F%rther' se!%rities $a#%t' d%e t s%!h !)earin&
mem6er sha)) a)s 6e /ithhe)d5 The a6,e $r,isins sha)) a$$)# i" net !%m%)ati,e
"%nd shrta&e "r a mem6er is>
45 E+%a) t r &reater than Rs5 Fi,e @DA )a.hs at the end " $a#3in5
05 E+%a) t r &reater than Rs5 T/ @0A )a.hs "r si< @MA r mre !!asins in the )ast
three @3A mnths n an# &i,en da#

A$art "rm the a6,e' the mem6er /i)) 6e re+%ired t $a# a $ena) !har&e n the
am%nt %tstandin& at the end " the da#' ti)) the am%nt is re!,ered5 F%rther' "r
e,er# !ase " nn3"%)"i))ment " "%nds $a#3in 6)i&atins' $ena)t# $ints are )e,ied n
mem6ers5
S1'rta0e& Ha#d2i#0
On the se!%rities $a#3in da#' NSCC- identi"ies shrt de)i,eries and the res$e!ti,e
!)earin& mem6er is de6ited 6# an am%nt e+%i,a)ent t the se!%rities nt de)i,ered 6#
him and ,a)%ed at a ,a)%atin $ri!e5 This is !a))ed a ,a)%atin de6it5 A ,a)%atin de6it
is a)s !nd%!ted "r 6ad de)i,er# 6# !)earin& mem6ers5
TRADING AND SETTLE(ENT AT $SE
INTRODUCTION
Bm6a# St!. E<!han&e -imited is the )dest st!. e<!han&e in Asia /ith a ri!h
herita&e5 P$%)ar)# .n/n as LBSEL' it /as esta6)ished as LThe Nati,e Share : St!.
Br.ers Ass!iatinL in 48KD5 It is the "irst st!. e<!han&e in the !%ntr# t 6tain
$ermanent re!&nitin in 42DM "rm the G,ernment " India %nder the Se!%rities
Cntra!ts @Re&%)atinA A!t' 42DM5The E<!han&eHs $i,ta) and $re3eminent r)e in the
de,e)$ment " the Indian !a$ita) mar.et is /ide)# re!&ni;ed and its inde<' SENSE'
is tra!.ed /r)d/ide5 Ear)ier an Ass!iatin " Persns @AOPA' the E<!han&e is n/
a dem%t%a)ised and !r$ratised entit# in!r$rated %nder the $r,isins " the
Cm$anies A!t' 42DM' $%rs%ant t the BSE @Cr$ratisatin and Dem%t%a)isatinA
S!heme' 011D nti"ied 6# the Se!%rities and E<!han&e Bard " India @SEBIA5
The E<!han&e has a natin3/ide rea!h /ith a $resen!e in G4K !ities and t/ns "
India5 The s#stems and $r!esses " the E<!han&e are desi&ned t sa"e&%ard mar.et
inte&rit# and enhan!e trans$aren!# in $eratins5 D%rin& the #ear 011G3011D' the
tradin& ,)%mes n the E<!han&e sh/ed r6%st &r/th5
TRADING AND SETTLE(ENT
TRADING
-isted Se!%rities
Permitted Se!%rities
Ti!. Si;e
Cm$%tatin " !)sin& $ri!e " s!ri$s in the Cash Se&ment
Cm$%)sr# R))in& Se&ment @CRSA
SETTLE(ENT
Pa#3in and Pa#3%t "r HAH' HB4H' HB0H' CT=' CS=' CTS=' HCH' LFL' LGL : HJH &r%$
" se!%rities
Demat $a#3in
A%t de)i,er# "a!i)it#
Pa#3in " se!%rities in $h#si!a) "rm
F%nds Pa#3in
Se!%rities Pa#3%t
F%nds Pa#%t
Pena)t# Nrms
Br.ers Cntin&en!# F%nd
SHORTAGES
AUCTIONS
Se)"3A%!tin
C)se3%t
$ASKET TRADING SYSTE(
TRADING
Tradin& n the BO-T S#stem is !nd%!ted "rm Mnda# t Frida# 6et/een 2>DD a5m5
and 3>31 $5m5 The s!ri$ traded n the E<!han&e ha,e 6een !)assi"ied int HAH' HB4H'
HB0H'HTH' CSH' CTSH CF='HGH and HJH &r%$s5
The 9S* Gr%$ re$resents s!ri$=s "rmin& $art " the 9 BSE3Indne<t* se&ment5 The
9TS* Gr%$ !nsists " s!ri$ in the 9 BSE3Indne<t* se&ment /hi!h are sett)ed n a
trade t trade 6asis as a s%r,ei))an!e meas%re5
Tradin& in G,t5 Se!%rities "r retai) in,estrs is dne %nder LGL &r%$5
The E<!han&e a)s $r,ides a "a!i)it# t the mar.et $arti!i$ants "r n3)ine tradin& "
dd3)t se!%rities in $h#si!a) "rm in HAH' HB4H' HB0H CTH'HSH' CTSH and HJH &r%$s and
Ri&hts ren%n!iatins in a)) the &r%$s " s!ri$ in the E+%it# Se&ment5
7ith e""e!t "rm De!em6er 34' 0114' tradin& in a)) se!%rities )isted in e+%it# se&ment
" the E<!han&e ta.es $)a!e in ne mar.et se&ment' ,i;5' Cm$%)sr# R))in&
Sett)ement Se&ment @CRSA5
This "a!i)it# " se))in& $h#si!a) shares in !m$%)sr# demat s!ri$ is !a))ed an E<it
R%te S!heme5 This "a!i)it# !an a)s 6e %sed 6# sma)) in,estrs "r se))in& %$ t D11
shares in $h#si!a) "rm in res$e!t " s!ri$ " !m$anies /here trades are re+%ired t
6e !m$%)sri)# sett)ed 6# a)) in,estrs in demat mde5
Li&ted Sec%ritie&6
The se!%rities " !m$anies' /hi!h ha,e si&ned -istin& A&reement /ith the
E<!han&e' are traded at the E<!han&e as L-isted Se!%ritiesL5 Barin& a "e/ s!ri$=s' a))
s!ri$=s traded in the E+%it# Se&ment at the E<!han&e "a)) in this !ate&r#5
Per"itted Sec%ritie&6
T "a!i)itate the mar.et $arti!i$ants t trade in se!%rities " the !m$anies' /hi!h are
a!ti,e)# traded at ther Re&ina) St!. E<!han&es 6%t are nt )isted n the E<!han&e'
the E<!han&e has in A$ri) 0110 de!ided t $ermit tradin& in s%!h se!%rities as L
Permitted Se!%ritiesL $r,ided the# meet the re)e,ant nrms s$e!i"ied 6# the
E<!han&e5
TicB Si>e6
Ti!. si;e is the minim%m di""eren!e in rates 6et/een t/ rders n the same side i5e5'
6%#s r se))s' entered n the s#stem "r $arti!%)ar s!ri$5 Tradin& in s!ri$=s )isted n
the E<!han&e is dne /ith the ti!. si;e " D $aise5
C'"!%tati'# 'f c2'&i#0 !rice 'f &cri! i# t1e Ca&1 Se0"e#t6
The !)sin& $ri!e " s!ri$=s is !m$%ted 6# the E<!han&e n the 6asis " /ei&hted
a,era&e $ri!e " a)) trades e<e!%ted d%rin& the )ast 31 min%tes " the !ntin%%s
tradin& sessin5
C'"!%2&'r3 R'22i#0 Sett2e"e#t ?CRS@ Se0"e#t6
As $er the dire!ti,e 6# SEBI' a)) transa!tins in a)) &r%$s " se!%rities in the E+%it#
Se&ment and Fi<ed In!me se!%rities )isted n the E<!han&e are re+%ired t 6e sett)ed
n TU0 6asis /5e5"5 Frm A$ri) 4' 01135
Under r))in& sett)ements' the trades dne n a $arti!%)ar da# are sett)ed a"ter a &i,en
n%m6er " 6%siness da#s5 A TU0 sett)ement !#!)e means that the "ina) sett)ement "
transa!tins dne n T' i5e5' trade da# 6# e<!han&e " mnies and se!%rities 6et/een
the 6%#ers and se))ers res$e!ti,e)# ta.es $)a!e n se!nd 6%siness da# @e<!)%din&
Sat%rda#s' S%nda#s' 6an. and E<!han&e tradin& h)ida#sA a"ter the trade da#5
The transa!tins in se!%rities " !m$anies /hi!h ha,e made arran&ements "r
demateria)i;atin " their se!%rities are sett)ed n)# in demat mde n TU0 n net
6asis' i5e5' 6%# and se)) $sitins " a mem6er36r.er in the same s!ri$ are netted and
the net +%antit# and ,a)%e is re+%ired t 6e sett)ed5
The E<!han&e has intrd%!ed a ne/ se&ment named 9BSE Indne<t* /5e5"5 Jan%ar# K'
011D5 9S* &r%$ !nsists " s!ri$=s "rm 9B4* : 9B0* &r%$ n BSE and !m$anies
e<!)%si,e)# )isted n re&ina) st!. e<!han&es ha,in& !a$ita) " 3 !rres t 31 !rres5
A)) trades in this se&ment are dne thr%&h BO-T s#stem %nder S &r%$5
The transa!tins in HFH &r%$ se!%rities re$resentin& LFi<ed In!me Se!%ritiesL and L
GL &r%$ re$resentin& G,t5 Se!%rities "r retai) in,estrs are a)s sett)ed at the
E<!han&e n TU0 6asis
The "))/in& ta6)e s%mmari;es the ste$s in the tradin& and sett)ement !#!)e "r
s!ri$=s %nder CRS>
DAQ ACTI8ITY
T V Tradin& n BO-T and dai)# d/n)adin& " statements
sh/in& detai)s " transa!tins and mar&ins at the end "
ea!h tradin& da#5
V D/n)adin& " $r,isina) se!%rities and "%nds
6)i&atin statements 6# mem6er36r.ers5
V MA?KAW entr# 6# the mem6er36r.ers? !n"irmatin 6# the
!%stdians5
TU4 V Cn"irmatin " MA?KA data 6# the C%stdians %$ t 44>11
a5m5 D/n)adin& " "ina) se!%rities and "%nds 6)i&atin
statements 6# mem6ers5
TU0 V Pa#3in " "%nds and se!%rities 6# 44>11 a5m5 and $a#%t "
"%nds and se!%rities 6# 4>31 $5m5 The mem6er36r.ers are
re+%ired t s%6mit the $a#3in instr%!tins "r "%nds and
se!%rities t 6an.s and de$sitries res$e!ti,e)# 6# 41> 31
a5m5
TU3 V A%!tin n BO-T at 44511 a5m5
TUG V A%!tin $a#3in and $a#%t " "%nds and se!%rities 6#
40>11 nn and 4>31 $5m5 res$e!ti,e)#5
Th%s' the $a#3in and $a#%t " "%nds and se!%rities ta.es $)a!es n the se!nd
6%siness da# @i5e5' e<!)%din& Sat%rda#' S%nda#s and 6an. : E<!han&e tradin&
h)ida#sA " the da# " the e<e!%tin " the trade5
a5 Statements &i,in& detai)s " the dai)# transa!tins entered int 6# the
mem6ers5
65 Statements &i,in& detai)s " mar&ins $a#a6)e 6# the mem6er36r.ers in
res$e!t " the trades e<e!%ted 6# them5
!5 Statements " se!%rities and "%nd 6)i&atin5
d5 De)i,er#?Re!ei,e rders "r de)i,er# ?re!ei$t " se!%rities5
The De)i,er# Order?Re!ei,e Order $r,ides in"rmatin )i.e the s!ri$ and +%antit# "
se!%rities t 6e de)i,ered?re!ei,ed 6# the mem6ers thr%&h the C)earin& H%se5 The
Mne# Statement $r,ides s!ri$ /ise?item /ise detai)s " $a#ments?re!ei$ts "
mnies 6# the mem6ers in the sett)ement5 The mem6ers in their 6a!. ""i!e' as stated
ear)ier' !an d/n)ad the De)i,er#?Re!ei,e Orders and Mne# Statement
Sett2e"e#t
Pa3;i# a#d Pa3;'%t f'r FAF F$*F F$,F MTN MSN MTSN FCF OFO OGO K F7F 0r'%! 'f
&ec%ritie&
The trades dne n BO-T?E<!han&e 6# the mem6ers in a)) the se!%rities in CRS are
n/ sett)ed n the E<!han&e 6# $a#ment " mnies and de)i,er# " se!%rities n TU0
6asis5 A)) de)i,eries " se!%rities are re+%ired t 6e r%ted thr%&h the C)earin&
H%se5
The Pa#3in ?Pa#3%t " "%nds 6ased n the mne# statement and that " se!%rities
6ased n De)i,er# Order? Re!ei,e Order iss%ed 6# the E<!han&e are sett)ed n TU0
da#5
De"at !a3;i#6
The mem6ers !an e""e!t $a#3in " demat se!%rities t the C)earin& H%se thr%&h
either " the De$sitries i5e5 the Natina) Se!%rities De$sitr# -td5 @NSD-A r
Centra) De$sitr# Ser,i!es @IA -td5 @CDS-A5 The mem6ers are re+%ired t &i,e
instr%!tins t their res$e!ti,e De$sitr# Parti!i$ants @DPsA s$e!i"#in& detai)s s%!h
as sett)ement n5' e""e!ti,e $a#3in date' +%antit#' et!5
A%t' de2i9er3 faci2it36
Instead " iss%in& De)i,er# instr%!tins "r their se!%rities de)i,er# 6)i&atins in
demat mde in ,ari%s s!ri$=s in a sett)ement ?a%!tin' a "a!i)it# has 6een made
a,ai)a6)e t the mem6ers " a%tmati!a))# &eneratin& De)i,er# instr%!tins n their
6eha)" "rm their CM P) a!!%nts maintained /ith NSD- and CM Prin!i$a)
A!!%nts maintained /ith CDS-5 a,ai)a6)e "r C)earin& Mem6er @CMA P) a!!%nts
and Prin!i$a) a!!%nts maintained 6# the mem6ers /ith the res$e!ti,e de$sitries
Pa3;i# 'f &ec%ritie& i# !13&ica2 f'r"6
In !ase " de)i,er# " se!%rities in $h#si!a) "rm' the mem6ers ha,e t de)i,er the
se!%rities t the C)earin& Hse in s$e!ia) !)sed $%!hes a)n& /ith the re)e,ant
detai)s )i.e distin!ti,e n%m6ers' s!ri$ !de' +%antit#' et!5' n a ")$$#5
F%#d& Pa3;i#6
The 6an. a!!%nts " mem6ers maintained /ith the !)earin& 6an.s' ,i;5' Ban. "
India' HDFC Ban. -td5' Orienta) Ban. " Cmmer!e5' Standard Chartered Ban.'
Cent%rin Ban. -td5' UTI Ban. -td5' ICICI Ban.' Ind%sInd Ban. -td5' Unin Ban. "
India and Hn& Nn& Shan&hai Ban.in& Cr$ratin -td5 are dire!t)# de6ited thr%&h
!m$%teri;ed $stin& "r their "%nds sett)ement 6)i&atins5
Sec%ritie& Pa3'%t6
In !ase " demat se!%ritiesE the C)earin& H%se in the P)?Prin!i$a) A!!%nts " the
mem6er36r.ers !redits the same5 The E<!han&e has a)s $r,ided a "a!i)it# t the
mem6er36r.ers "r trans"er " $a#%t se!%rities dire!t)# t the !)ientsH 6ene"i!iar#
/ner a!!%nts /ith%t r%tin& the same thr%&h their P)?Prin!i$a) a!!%nts in
NSD-? CDS-5
In !ase " $h#si!a) se!%rities' the Re!ei,in& Mem6ers are re+%ired t !))e!t the same
"rm the C)earin& H%se n the $a#%t da#5
F%#d& Pa3'%t6
The 6an. a!!%nts " the mem6ers ha,in& $a#3%t " "%nds are !redited 6# the
C)earin& H%se /ith the C)earin& Ban.s n the $a#3in da# itse)"
In !ase' i" a mem6er36r.er "ai)s t de)i,er the se!%rities' then the ,a)%e " shares
de)i,ered shrt is re!,ered "rm him at the standard?!)sin& rate " the s!ri$=s n the
tradin& da#5
S1'rta0e
The C)earin& H%se arri,es at the shrta&es in de)i,er# " ,ari%s s!ri$=s 6# mem6ers
n the 6asis " their de)i,er# 6)i&atins and a!t%a) de)i,er#5
The mem6ers !an d/n)ad the statement " shrta&es in de)i,er# " s!ri$=s in A' B4'
B0' T' S' TS' J' F' Odd3)t : G &r%$ s!ri$=s n TU0 da#' i5e5' Pa#3in da#5 A"ter
d/n)adin& the shrta&e detai)s' the mem6ers are e<$e!ted t ,eri"# the same and
re$rt dis!re$an!#' i" an#' t the C)earin& H%se immediate)#5
AUCTION
An A%!tin Tender Nti!e is iss%ed 6# the E<!han&e t the mem6ers in"rmin& them
a6%t the names " the s!ri$=s shrt r nt de)i,ered' +%antit# s)ated "r a%!tin and
the date and time " the a%!tin sessin n the BO-T5 The a%!tin "r the %nde)i,ered
+%antities is !nd%!ted n TU3 da# 6et/een 44>11 a5m5 and 40 nn "r a)) the s!ri$=s
%nder Cm$%)sr# R))in& Sett)ements e<!e$t thse in LJL &r%$ and s!ri$=s n
Ltrade t tradeL 6asis /hi!h are dire!t)# !)sed3%t5 i5e5' TUG5 Pa#%t " a%!tin shares
and "%nds is a)s dne n the same da#' i5e5' TUG5
Se2f; A%cti'#
As has 6een dis!%ssed in the ear)ier $ara&ra$hs' the De)i,er# and Re!ei,e Orders are
iss%ed 6# the E<!han&e t the mem6ers a"ter nettin& "" their $%r!hase and se))
transa!tins in s!ri$=s /here nettin& " $%r!hase and se)) $sitins is $ermitted5 It is
)i.e)# in sme !asesE a se))in& !)ient has "ai)ed t de)i,er the shares s)d in a
sett)ement t a mem6er36r.er5 H/e,er' this did nt res%)t in "ai)%re " the mem6er3
6r.er t de)i,er the shares t the C)earin& H%se as there /as a $%r!hase transa!tin
" his sme ther 6%#in& !)ient in the same s!ri$ and the same /as netted "" "r the
$%r$se " sett)ement5
CLOSE;OUT
C)se B%t is e""e!ted "r !ases /hen n ""er "r $arti!%)ar s!ri$ is re!ei,ed in an
a%!tin r /hen mem6ers /h ""er the s!ri$=s in a%!tin' "ai) t de)i,er the same r
shrta&es $ertainin& t thse &r%$s " se!%rities "r /hi!h a%!tins are nt
!nd%!ted5 The !)se%t rates "r di""erent se&ments are as %nder
MAN M$*N M$,N NSN a#d MFN 0r'%!
The !)se%t rate is hi&her " the "))/in& rates>
aA The hi&hest rate " the s!ri$ "rm the tradin& da# t the da# $rir t the da# n
/hi!h the a%!tin is !nd%!ted "r the res$e!ti,e sett)ement5
6A 01O a6,e the !)sin& rate as n the da# $rir t the da# " a%!tin?!)se %t "
the res$e!ti,e sett)ement5
Odd L't T TS a#d 7 0r'%! a#d !ata/at '+Cecti'#&
The !)se3%t rate is hi&her " the "))/in& rates>
aA The hi&hest rate " the s!ri$ "rm the da# " tradin& t the da# $rir t the da# "
a%!tin " the res$e!ti,e sett)ementsE
6A 41O a6,e the !)sin& rate as n the da# $rir t the da# " a%!tin? !)se %t "
the res$e!ti,e sett)ement5
In !ase " shrta&es in LGL &r%$' the shrta&es are !)sed %t at Jer C%$n Qie)d
C%r,e @JCQCA $)%s a DO $ena)t#5
$ASKET TRADING SYSTE(
The E<!han&e has !mmen!ed tradin& in the Deri,ati,es Se&ment /ith e""e!t "rm
J%ne 2' 0111 t ena6)e the in,estrs t' inter3a)ia' hed&e their ris.s5 Initia))#' the
"a!i)it# " tradin& in the Deri,ati,es Se&ment /as !n"ined t Inde< F%t%res5
7ith a ,ie/ t $r,ide in,estrs the "a!i)it# " !reatin& Sense< )in.ed $rt")is and
a)s t !reate a )in.a&e " mar.et $ri!es " the %nder)#in& se!%rities " Sense< in the
Cash Se&ment and F%t%res n Sense<5
The Bas.et Tradin& S#stem' th%s' meets the need " in,estrs and a)s im$r,es the
de$th in !ash and "%t%res mar.ets5
The "a!i)it# " Bas.et Tradin& has 6een intrd%!ed 6# the E<!han&e /5e5"5 A%&%st 4G'
01115
The trades e<e!%ted %nder the Bas.et Tradin& S#stem n BO-T are s%6(e!t t intra3
da# tradin& and &rss e<$s%re )imits a,ai)a6)e t the mem6ers5 The VaR' MTM
mar&ins et!' as are a$$)i!a6)e t nrma) trades in the Cash Se&ment' are a)s
re!,ered "rm the mem6ers5
PART ,
CH APTERP,
RESEARCH PRO$LE(
O$DECTI8E
SCOPE
AND I(PORTANCE
RESEARCH PRO$LE(
T as!ertain the in,estrs $re"eren!e a!!rdin& t the "a!i)ities $r,ided 6#
de$sitries $arti!i$ants5
O$DECTI8ES
T as!ertain the $r"i)e " the in,estrs
T "ind the reasns "r in,estin& in shares
T E<amine the $re"eren!e " in,estment in di""erent se&ments )i.e 6an.
De$sits' PPF' IPO' M%t%a) F%nd' Ins%ran!e and a)i.e5
T see. the reasns " the !riteria " in,estment5
I"!'rta#ce 'f t1e &t%d3
The $%r$se " this st%d# is t 6tain in"rmatin a6%t the !m$an# /hi!h he)$ t
identi"i!atin " the $r6)em and t determine the iss%e dimensin and ma&nit%de t
en%merate and e,a)%ate the a)ternati,e s)%tin t se)e!t the ri&ht !%rse " a!tin t
"))/ the $%r$se " the st%d# a)s t $r,ide in"rmatin t "a!i)itate the
identi"i!atin " an $$rt%nit# r $r6)em sit%atin are en!%ntered
SCOPE OF THE STUDY
Resear!her has 6een !nd%!ted in the Varanasi re&in )i.e Rath#atra' -an.a' Na6ir
Cha%ra' -ah%ra Beer' Gda%)i#a' D%r&a N%nd'5 The st%d# /i)) he)$ t .n/ the
mar.et share and /i)) a)s he)$s the !reatin& : $r,idin& hi&h +%a)it# ser,i!es /hi!h
in!rease the 6rand )#a)t#5
The resear!her /i)) a)s he)$ in im$r,in& mar.etin& sa)es $rmtin and ne/
strate&# " the !m$an#5 Use"%) "r resear!her "r "%t%re resear!h "r &atin& insi&ht
a6%t the t$i!5
CHAPTERP:
RESEARCH (ETHODOLOGY
(ETHODOLOGY
Resear!h is a !mmn )an&%a&e re"ers t a sear!h " .n/)ed&e5 Resear!h is
s!ienti"i! : s#stemati! sear!h "r $ertinent in"rmatin n a s$e!i"i! t$i!' in"e!t
resear!h is an art " s!ienti"i! in,esti&atin5 Resear!h Methd)&# is a s!ienti"i! /a#
t s),e resear!h $r6)em5 It ma# 6e %nderstd as a s!ien!e " st%d#in& h/ resear!h
is din& s!ienti"i!a))#5 In it /e st%d# ,ari%s ste$s that are &enera))# ad$ted 6#
resear!hers in st%d#in& their resear!h $r6)em5 It is ne!essar# "r resear!hers t .n/
nt n)# .n/ resear!h methd te!hni+%es 6%t a)s te!hn)&#5
The s!$e " Resear!h Methd)&# is /ider than that " resear!h methds5
The resear!h $r6)em !nsists " series " !)se)# re)ated a!ti,ities5 At times' the "irst
ste$ determines the nati,e " the )ast ste$ t 6e %nderta.en5 7h# a resear!h has 6een
de"ined' /hat data has 6een !))e!ted and /hat a $arti!%)ar methds ha,e 6een
ad$ted and a hst " simi)ar ther +%estins are %s%a))# ans/ered /hen /e ta). "
resear!h methd)&# !n!ernin& a resear!h $r6)em r st%d#5 The $r(e!t is a st%d#
/here "!%s is n the "))/in& $ints>
RESEARCH DESIGN
A resear!h desi&n is de"ined' as the s$e!i"i!atin " methds and
$r!ed%res "r a!+%irin& the In"rmatin needed5 It is a $)ant r r&ani;in&
"rame/r. "r din& the st%d# and !))e!tin& the data5 Desi&nin& a resear!h $)an
re+%ires de!isins a)) the data s%r!es' resear!h a$$ra!hes' Resear!h instr%ments'
sam$)in& $)an and !nta!t methds5
Resear!h desi&n is main)# " "))/in& t#$es> 3
45 E<$)ratr# resear!h5
05 Des!ri$ti,e st%dies
EPP-ORATORQ RESEARCH
The ma(r $%r$ses " e<$)ratr# st%dies are the identi"i!atin "
$r6)ems' the mre $re!ise Frm%)atin " $r6)ems and the "rm%)atins " ne/
a)ternati,e !%rses " a!tin5 The desi&n " e<$)ratr# st%dies is !hara!teri;ed 6# a
&reat am%nt " ")e<i6i)it# and ad3h! ,era!it#5
DESCRIPTIVE STUDIES
Des!ri$ti,e resear!h in !ntrast t e<$)ratr# resear!h is mar.ed 6# the
$rir "rm%)atin " s$e!i"i! resear!h T%estins5 The in,esti&atr a)read# .n/s a
s%6stantia) am%nt a6%t the resear!h $r6)em5 Perha$s as a Res%)t " an e<$)ratr#
st%d#' 6e"re the $r(e!t is initiated5 Des!ri$ti,e resear!h is a)s !hara!teri;ed 6# a
Pre$)anned and str%!t%red desi&n5
$@ DATA COLLECTION (ETHOD
PRI(ARY SECONDARY

Dire!t $ersna) Inter,ie/
Indire!t $ersna) Inter,ie/
In"rmatin "rm !rres$ndents G,t5 $%6)i!atin
Mai)ed +%estinnaire Re$rt Cmmittees :
Cmmissins
T%estin "i))ed 6# en%meratrs5 Pri,ate P%6)i!atin
Resear!h Instit%te
PRI(ARY DATA
These data are !))e!ted "irst time as ri&ina) data5 The data is re!rded
as 6ser,ed r en!%ntered5 Essentia))# the# are ra/ materia)s5 The# ma# 6e
!m6ined' tta)ed 6%t the# ha,e nt e<tensi,e)# 6een statisti!a))# $r!essed5
Fr e<am$)e' data 6tained 6# the $e$)es5
$%"!NDAR& DA'A
S%r!es " Se!ndar# Data
F))/in& are the main s%r!es " se!ndar# data>
45 Officia2 P%+2icati'#&> P%6)i!atins " the RELIANCE (ONEY )
05 P%+2icati'#& Re2ati#0 t' Trade> P%6)i!atins " the trade ass!iatins' st!.
e<!han&e' trade %nin et!5
35 D'%r#a2E Ne/&!a!er& etc5> Sme ne/s$a$ers? J%rna)s !))e!t and $%6)ish
their /n data' e5&5 Indian J%rna) " e!nmi!s' e!nmist' E!nmi! Times5
Published Sources
Un$%6)ished
S%r!es
G5 U#!%+2i&1ed Data> Data ma# 6e 6tained "rm se,era) !m$anies'
r&ani;atins' /r.in& in the same areas5
Peri'd 'f St%d3>
This st%d# has 6een !arried %t "r a ma<im%m $erid " K /ee.s5
Area 'f &t%d3>
The st%d# is e<!)%si,e)# dne in the area " mar.etin&5 It is a $r!ess
re+%irin& !are' s$histi!atin' e<$erien!e' 6%siness (%d&ment' and ima&inatin
"r /hi!h there !an 6e n me!hani!a) s%6stit%tes5
Sa"!2i#0 De&i0#>
The !n,enien!e sam$)in& is dne 6e!a%se an# $r6a6i)it# sam$)in&
$r!ed%re /%)d re+%ire detai)ed in"rmatin a6%t the %ni,erse' /hi!h is nt
easi)# a,ai)a6)e "%rther' it 6ein& an e<$)ratr# resear!h5
Sa"!2e Pr'ced%re>
In this st%d# 9(%d&menta) sam$)in& $r!ed%re is %sed5 J%d&menta)
sam$)in& is $re"erred 6e!a%se " sme )imitatin and the !m$)e<it# " the
randm sam$)in&5 Area sam$)in& is %sed in !m6inatin /ith !n,enien!e
sam$)in& s as t !))e!t the data "rm di""erent re&ins " the !it# and t
in!rease re)ia6i)it#5
Sa"!2i#0 Si>e>
The sam$)in& si;e " the st%d# is 4D1 res$ndents5
(et1'd 'f t1e Sa"!2i#06
Pr'+a+i2it3 Sa"!2i#0
It is a)s .n/n as randm sam$)in&5 Here' e,er# item " the %ni,erse
has an e+%a) !han!e r $r6a6i)it# " 6ein& !hsen "r sam$)e5
Si"!2e Ra#d'" Sa"!2i#0
A sim$)e randm sam$)e &i,es eac1 mem6er " the $$%)atin an
eL%a2 !han!e " 6ein& !hsen5 It is #'t a ha$ha;ard sam$)e as sme $e$)e
thin.X One /a# " a!hie,in& a sim$)e randm sam$)e is t n%m6er ea!h
e)ement in the sam$)in& "rame @e5&5 &i,e e,er#ne n the E)e!tra) re&ister a
n%m6erA and then %se randm n%m6ers t se)e!t the re+%ired sam$)e5
Randm n%m6ers !an 6e 6tained %sin& #%r !a)!%)atr' a s$readsheet'
$rinted ta6)es " randm n%m6ers' r 6# the mre traditina) methds "
dra/in& s)i$s " $a$er "rm a hat' tssin& !ins r r))in& di!e5
S3&te"atic Ra#d'" Sa"!2i#0
This is randm sam$)in& /ith a s#stemX Frm the sam$)in& "rame' a
startin& $int is !hsen at randm' and therea"ter at re&%)ar inter,a)s5
Stratified Ra#d'" Sa"!2i#0
7ith strati"ied randm sam$)in&' the $$%)atin is "irst di,ided int a
n%m6er " $arts r HstrataH a!!rdin& t sme !hara!teristi!' !hsen t 6e
re)ated t the ma(r ,aria6)es 6ein& st%died5 Fr this s%r,e#' the ,aria6)e "
interest is the !iti;enHs attit%de t the rede,e)$ment s!heme' and the
strati"i!atin "a!tr /i)) 6e the ,a)%es " the res$ndentsH hmes5 This "a!tr
/as !hsen 6e!a%se it seems reasna6)e t s%$$se that it /i)) 6e re)ated t
$e$)eHs attit%des
%.S.+%,- 3.T-080L0;<
The a$$ra!h t the resear!h is !nsidered in this !ha$ter' "rm
the thereti!a) %nder$innin& t the !))e!t in and ana) #sis " the data5
It 6e&ins /ith the e<tent " the resear!h t $r,ide the s$e!i"i!
&%ide)ines " st%d#i n&5 The ne<t $art is !n!erned /ith the methd "
the resear!h that re"ers t the data !))e!tin and ana) #;in& /hi!h is
%sed in the resear!h5
3.T-08S
P%&3+%< 8+T+'
Date !))e!tin "r this resear!h /as dne $rimari ) # thr%&h
"i))in& %$ " +%estinnaire5 The sam$)e "r the resear!h in!)%din&
di""erent indi,id%a)s " ,ari%s a&e &r%$s and ha,in& di""erent
$r"essins and +%a)i"i!atins5 Data /as !))e!ted thr%&h the
inter,ie/ " indi,id%a)s5 The +%estinnaire /as !ntainin& +%estins
re&ardin& the $ersna) detai)s " indi,id%a)s and then sme )i&ht
+%estins re&ardin& their $rimar# .n/)ed&e re)ated t $ri,ate 6r.in&
!m$anies
S.,0:8+%< 8+T+'
A )ar&e am%nt " se!ndar# data has 6een !))e!ted "rm se!ndar#
s%r!es5 Sme " the s%r!es are>3
Re$rts n In,est ment Se!tr " India5
Arti!)es "rm Ne/s$a$ers and ma&a;ines5
Vari%s /e6 sites " the 6r.in& !m$anies and re)ated sites5
8+T+ +:+L<S&S'
There are sme "eat%res " ana)#;i n& data that need t 6e 6rne
in mind /hen !hsin& the methd "r ana) #;in& the resear!h5 The
+%estinnaires /ere $re$ared t e<$)re the $s#!h)&# " indi,id%a)s
a6%t 6ein& ass!iated /ith Re)ian!e M%t%a) F%nd Cns%)tants and t
he)$ the !m$an# &r/ 6# in!reasin& its sa)es5 Instead " testin& a
h#$thesis' a +%a)itati,e ana) #st ma# demnstrat e e,iden!e sh/in&
that a ther#' &enera)i;in&' r inter$retatin is $)a%si6)e5
SA(PLE SI7E 6;
Vari%s areas " Varanasi /ere !,ered in rder t "i)) the
+%estinnaire5 I intera!ted /ith 411 indi,id%a)s in rder t .n/ a6%t
their interest " 6ein& in,estr " m%t%a) "%nd5
S+3PL. ,03P0S&T&0:'
Q%th
E<e!%ti,es
Ser,i!eman
B%siness $ersns
RESEARCH DESIGN 6
A resear!h desi&n $r,ides the "rame/r. t 6e %sed as a &%ide
in !))e!tin& and ana) #;in& data5
DATA ANALYSIS6;
A"ter !))e!tin " data' the ana) #sis " it /as dne thr%&h ,ari%s
&ra$hs>3
Pie Dia&ram
Bar Dia&ram
A!!rdin& t the data !))e!ted thr%&h s%r,e# /ith the he)$ "
+%estinnaire' the 6rea. %$ /ith res$e!t t in!me " indi,id%a)s is as
"))/s>
CHAPTERP<
DATA ANALYSIS
K
INTERPRETATION
DATA ANALYSIS AND INTERPRETATION
*) A0e Of T1e I#9e&t'r&
A0e N') Of I#9e&t'r&
Bet/een 01331 8G
Bet/een 313G1 32
Bet/een G13D1 4D
Bet/een D13M1 2
M1 and A6,e 3

Sample 0( "50 &nvestors
3-4
(-4
)04
-4
(4
Between (0%30
Between 30%40
Between 40%30
Between 30%-0
-0 an# "1o/e
ANALYSIS6;
The sam$)e is "4D1 in,estrs are in!)%ded and the a&e " in,estrs are 6et/een 013
31 are 8G ' 313G1 are 32'G13D1 are 4D'D13M1 are2 and M1 t a6,e are 35
INTERPRETATION6; Frm the a6,e it is "%nd that the mst a&e &r%$ are
6et/een 013315
,)Ge#der Of T1e I#9e&t'r&
Ge#der N' 'f i#9e&t'r&
Ma)e 41D
Fema)e GD
Sample o( "50 &nvestors
704
304
Male
5emale
ANALYSIS6;
It is !)ear# ,isi6)e "rm the a6,e data that mre than K1O in,estrs are ma)e and
31O are "ema)e5
INTERPRETATION6;It is "%nd that the ma<im%m in,estrs are ma)e as
!m$ared /ith "ema)e5
:) W1at Perce#ta0e Of i#c'"e D' T1e I#9e&t'r& Sa9eA
Sa9i#0 N' Of I#9e&t'r&
3 to)04 48
)0 to )34 48
)3 to (04 30
(0 to 304 (4
Sample 0( "50&nvestors
3(4
3(4
(04
)-4
3 to)04
)0 to )34
)3 to (04
(0 to 304
ANALYSIS6;
The a6,e &ra$h sh/ that near a6%t G8 in,estrs are sa,e their $er!enta&e "
in!me 30O 'G8 in,estrs are 30O' 31 in,estrs are 01O and 0G are 4MO5
INTERPRETATION6; The ma<im%m $er!enta&e " sa,in&s in,estrs sa,e are D
t 41O and 41 t 4DO "rm their in!me5
<) At t1e "'"e#t i#9e&ted "3 "'#e3 i#
I#9e&t"e#t N' 'f i#9e&t'r&
Ban6 5i7e# Depo!it! 48
2$0S 3-
Mtal 5n#! 34
0ther! )(
Sample 0( "50 &nvestors
3(4
(44
3-4
84
Ban6 5i7e#
Depo!it!
2$0S
Mtal 5n#!
0ther!
ANALYSIS6
It is !)ear)# sh/n 6# the data that 30O in,esstrs in,ested their mne# in 6an. "i<ed
de$sit 0GO in IPOS' 3MO in m%t%a) "%nd and 8O are in,ested in ther $)a!es5
INTERPRETATION6It is "%nd that ma<im%m " in,estrs $re"er t in,est
their mne# in m%t%a) "%nd 'the $re"eren!es is "%nd t 6e mre "r m%t%a) "%nd as
!m$ared /ith ther mde " in,estment5
=) W1at I& T1e Criteria W1i2e (aBi#0 Y'%r I#9e&t"e#t Deci&i'# A
Criteria
N' Of
I#9e&t'r&
8i9i#ity 30
Safety 48
Retrn 34
.ime $erio# )8
Sample 0( "50 &nvestors
(04
3(4
3-4
)(4
8i9i#ity
Safety
Retrn
.ime $erio#
ANALYSIS6
It sh/s that 30O in,estrs are in,ested mne# "r sa"et# '01O "r )i+%idit#' 3MO are
"r ret%rn and40O "r time $erid5 S mst " a)) are in,ested "r &d ret%rn5
INTERPRETATION6 It is "%nd that mst " in,estrs are in,estin& "r a &d
ret%rn5
G) A/are#e&& A"'#0 I#9e&t'r& A+'%t De"at Ser9ice&A
8emat Services :o o( &nvestors
"ware )3(
Not "ware )8
Sample 0( "50&nvestors
884
)(4
"ware
Not "ware
ANALYSIS6
The a6,e &ra$h sh/ that near a6%t 88O are a/are and 40O are %na/are "r d3mat
ser,i!es5
INTERPRETATION6On s%r,e# it is "%nd that ma<im%m " $e$)e are a/are
a6%t the D3Mat a!!%nt5
H) DO Y'% Ha9e A De"at Acc'%#tA
8emat +ccount :o 0( &nvestors
:e! )08
No 4(
.otal )30
Sample 0( "50 &nvestors
7(4
(84
:e!
No
ANALYSIS6
In The Sam$)e S%r,e# 418 /ere ha,in& a Demat a!!%nt and G0 /ere nt
Ha,in& a demat a!!%nt5
INTERPRETATION6Amn& the in,estrs /h are a/are a6%t D3Mat a!!%nt
am<im%m " them are ha,in& their D3Mat a!!%nt in an# 6r.in& "irm5
I) I# W1ic1 DP Y'% Are Ha9i#0 Y'%r De"at Acc'%#tA
:ame 0( 8P :o 0( &nvestors
RE-IANCE MONEQ (4
;"R<: )3
"N"ND R".=2 >
2C2C2 ()
=D5C >
0.=?RS 30
.otal )08
No 0f 2n/e!tor!
R?82"NC?
M0N?:
;"R<:
"N"ND R".=2
2C2C2
=D5C
0.=?RS
ANALYSIS In this s%r,e# 418 in,estrs are added and in it 0G in,estrs ha,e
demat a!!%nt in Re)ian!e Mne#' 4D ha,e in ;"R<: '42 in "N"ND R".=2' 04 in
2C2C2'2 in =D5C and
31 in thers5
INTERPRETATION6 t "%nd that the in,estrs= $re"eren!e t ha,e DP in
Re)ian!e Mne# is "%nd t 6e ma<im%m5
.) H'/ d' i#9e&t'r rate t1e &er9ice& !r'9ided +3 3'%r DPA
%ating :o o( investors
?7cellent (4
<ery goo# 4(
&oo# ()
Sati!factory ()
Total "0=
Sample 0( "0= &nvestors
((4
404
)>4
)>4
?7cellent
<ery goo#
&oo#
Sati!factory
ANALYSIS
In it 418 in,estrs are in!)%ded and the# are rated their de$sitries 5In it G1 O rated
,er# &d ' 00O e<!e))ent and 42O said &d and 42O are said satis"a!tr#5 These
in,estrs are "rm di""erent de$sitr# $arti!i$ants>
INTERPRETATION6The ma<im%m" in,estrs are satis"# and rate the
ser,i!es ,er# &d "r the ser,i!es $r,ided 6# their res$e!ti,e DP5
%ating
%.L&+:,.
30:.< >+%?< +:+:8 %+T-& &,&,& -86, 0T-.%S T0T+L
?7cellent ( ( 3 )0 ( 3 (4
<ery goo# 8 3 ( 3 3 )> 4(
&oo# 8 4 ( ) ( 4 ()
Sati!factory - 4 ( 3 ( ( ()
T0T+L 24 "5 2" 20 "0=
%.L&+:,. 30:.<@ Sample 0( 24 ,ustomersA
84
344
334
(34
?7cellent
<ery goo#
&oo#
Sati!factory
ANALYSIS 6
The sam$)e si;e is 0G in %.L&+:,. 30:.< and 334 c!tomer! of reliance money are
!ai# that !er/ice of Reliance money i! goo# 344 !ai# /ery goo#,(34 !ai# !ati!factory an#
84 !ai# e7cellent.
INTERPRETATION6The in,estrs /h $re"er Re)ian!e Mne#' a)s sh/ a
&d res$nse "r the ser,i!es " Re)ian!e Mne# and rated ,er# &d 6# man# "
ma<im%m5
>+%?< @ Sample 0( "5 ,ustomersA
)34
334
(74
(74
?7cellent
<ery goo#
&oo#
Sati!factory
+nand %athi@ Sample 0( ,ustomersA
344
((4
((4
((4
?7cellent
<ery goo#
&oo#
Sati!factory
&,&,& @ Sample 0( 2" ,ustomersA
474
(44
34
(44
?7cellent
<ery goo#
&oo#
Sati!factory
-86, @ Sample 0( ,ustomersA
((4
344
((4
((4
?7cellent
<ery goo#
&oo#
Sati!factory
0T-.%S@ Sample 0( 20 ,ustomersA
)74
-34
)34
74
?7cellent
<ery goo#
&oo#
Sati!factory
*-) W1at D' Y'% Fee2 I& T1e ('&t I"!'rta#t $e#efit& Fr'" T1e Ear2ier
P13&ica2 Sett2e"e#t Of Trade& T' T1e Ne/er E2ectr'#ic ('deA
/ene(its
:o 0(
&nvestors
5a!ter Settlement Cycle 37
Re#ction 2n $aper @or6 30
Minimi'ation 0f Ri!6 3)
?a!y "##re!! +p#ation )(
.otal )30
Sample o( "50 &nvestors
384
(04
344
84
5a!ter Settlement
Cycle
Re#ction 2n
$aper@or6
Minimi!ation 0f
Ri!6
?a!y "##re!!
+p#ation
A#a23&i&
The a6,e &ra$h sh/s that 38 O " the in,estrs sa# that ne/er e)e!trni! mde has
res%)ted in "aster sett)ement !#!)e "r 6%siness tradin&5
01 O in,estrs admit that this ne/er e)e!trni! mde has res%)ted in red%!tin in
$a$er mde5
3GO in,estrs are a&reed n the "a!t that this 6%siness mde minimi;es the ,ari%s
ris.s5
8O in,estrs admit "r eas# address %$datin5
I#ter!retati'# 6Ma<im%m " in,estrs "ee) that mst im$rtant 6ene"its "rm the
ear)ier $h#si!a) sett)ement " Trades t the ne/er e)e!trni! mde is that " fa!ter
!ettlement cycle.
%.L&+:,. 30:.< @ Sample 0( 24 ,ustomersA
4-4
(>4
)74
84
5a!ter Settlement
Cycle
Re#ction 2n
$aper@or6
Minimi!ation 0f Ri!6
?a!y "##re!!
+p#ation
A#a23&i& 6
The a6,e &ra$h sh/s that GM O " the in,estrs " Re)ian!e Mne# sa# that ne/er
e)e!trni! mde has res%)ted in "aster sett)ement !#!)e "r 6%siness tradin&5
02 O in,estrs admit that this ne/er e)e!trni! mde has res%)ted in red%!tin in
$a$er mde5
4KO in,estrs are a&reed n the "a!t that this 6%siness mde minimi;es the ,ari%s
ris.s5
8O in,estrs admit "r eas# address %$datin5
I#ter!retati'# 6
Frm a6,e it is "%nd that ma<im%m " the in,estrs " Re)ian!e Mne# sa# that
ne/er e)e!trni! mde has res%)ted in "aster sett)ement !#!)e "r 6%siness tradin&5
**)D' Y'% T1i#B DP Acc'%#t He2! Y'% T' Recei9e C'r!'rate Acti'#&A
,orporate +ctions :o 0( &nvestors
:e! )40
No )0
Total "50
Sample 0( "50 &nvestors
>34
74
:e!
No
ANALYSIS 6
The a6,e &ra$h sh/s that 23O in,estrs a&ree that DP a!!%nt he)$s in re!ei,in&
!r$rate a!tins and KO disa&ree t the same5
INTERPRETATION6
Frm a6,e it is "%nd that ma<im%m " in,estrs a&ree that DP a!!%nt he)$ them
t re!ei,e !r$rate a!tins 5
*,) Y'% Prefer T' Ha9e a De"at Acc'%#t Wit1 a DP W1ic1 I& Pr'9idi#0
Tradi#0 Faci2itie& Or W1ic1 I& N't Pr'9idi#0 Tradi#0 Faci2itie&A
Trading 6acilities :o 0( &nvestors
$ro/i#ing )(0
Not $ro/i#ing 30
Total "50
Sample 0( "50 &nvestors
804
(04
$ro/i#ing
Not $ro/i#ing
ANALYSIS 6
The a6,e &ra$h sh/s that 81O in,estrs "a!i)itate that DP /hi!h $r,ide tradin&
"a!i)it#'01O "a!i)itate nt $r,ide tradin& "a!i)itate5
INTERPRETATION
It "%nd that ma<im%m " in,estrs $re"er t ha,e a demat a!!%nt /ith a DP' /hi!h
is $r,idin& Tradin& "a!i)ities5
*:) W1at D' Y'% Fee2 A+'%t T1e C%&t'"er Ser9ice& Of RELIANCE (ONEYA
%ating
:o 0(
&nvestors
<ery &oo# 33
&oo# 7(
Sati!factory ()
Total "27
Sample 0( "27 &nvestors
(-4
374
)74
<ery &oo#
&oo#
Sati!factory
ANALYSIS 6
The sam$)e sh/n here is " 40M in,estrs /h are ha,in& there demat a!!%nt in
Other DPs r d nt ha,e a demat a!!%nt and the remainin& 0G in,estrs are the
C%stmers " RE-IANCE MONEQ and their ratin&s has 6een sh/n in the a6,e
!harts
INTERPRETATION6
Frm the s%r,e# it is "%nd that the ma<im%m " !%stmers " Re)ian!e Mne# rate
the ser,i!es &d $r,ided t them 6# the !m$an#5
CHAPTER;=
FINDINGS
RECO((ENDATIONS
FINDINGS
The resear!h te!hni+%e' /hi!h ad$ted /as ,er# ri&r%s and e,er# intri!ate detai)s
/ere ta.en int !nsideratin ri&ht "rm ma.in& the +%estinnaire' t "indin& the .ind
" $e$)e t 6e inter,ie/ed5 The "))/in& ma(r as$e!ts /ere ta.en int a!!%nt>
Se&re&atin a!rss the di""erent !ate&ries5
Se&re&atin 6# )!atin s as t ena6)e a 6etter $)anned e""rt5
Prir a$$intment ,er $hne 6e"re a!t%a) ,isits in rder t red%!e
$r$ensit# " %ns%!!ess"%) ,isits5
Sam$)e si;es " 4D1 in,estrs /ere ta.en /hi!h /ere s$read ,er
,ari%s se&ments5
Data /as !))e!ted thr%&h the +%estinnaire and inter,ie/s5
Data /as $r!essed "r "%rther ana)#sis5
C))e!ted data /as ana)#;ed and ta6%)ated5 The ta6%)ated data /as "r
deri,in& in"eren!es and 6tainin& !n!)%sins t "%)"i)) the 6(e!ti,e "
$r(e!t5
The +%a)itati,e ana)#sis /as dne and the !n!)%sins /ere dra/n5
The re!mmendatins in rder t in!rease the 6%#in& 6eha,ir " the
m%t%a) "%nds in,estrs are &i,en5
RECO((ENDATIONS
*@ ; There sh%)d 6e "!%s n ad,ertisements thr%&h T5V5 r ther
E)e!trni! Media5
,@ ; Ma.e %se " internet 6an.in& "r in!reasin& sa)es' and a)s "r
$rmtin5
:@ ; T identi"# re&ins /here $rmtins are re+%ired5
<@ ; I" !har&es !an=t 6e red%!ed 6e!a%se " !sts in,),ed' ma.e the
ser,i!es !%stmi;ed' s that ser,i!es are $r,ided t n)# thse
!%stmers /h are /i))in& t $a# the $ri!e "r ser,i!es the# are &ettin&
and )et the ther !%stmers en(# !sts 6ene"its /ith%t &ettin&
ser,i!es5
=@ P Re)ian!e mne# sh%)d tr# t rea!h in sma)) !ities' t/ns and
,i))a&es s it !an !,er r%ra) !%stmers as /e)) as %r6an !%stmers5
CHAPTER6G
O$SER8ATION AND CONCLUSIONS
LI(ITATION OF THE STUDY
O$SER8ATION AND CONCLUSIONS
The $e$)e /h /ere a6,e the a6,e the a&e " D1/anted t 6e n tr%)# sa"e
$sitin and did nt /ant t in,est in the ris.# ,ent%res
In the sam$)e s%r,e# !nd%!ted mst " the $e$)e )ie 6et/een the a&e " 013
31
Mst " the in,estrs /ere a6)e t sa,e the mne# in the rati 6et/een D
t4DO
Mst " the in,estrs ha,e in,ested in sme s!hemes r the ther in /hi!h
6an. de$sits /ere the mst $re"erred amn& the se,era) s!hemes5
The in,estrs /ere mre !m"rta6)e /ith the in,estment /hi!h had &d
ret%rn "))/ed 6# sa"et# /ith )i+%idit# and time $erid
Mst " the $e$)e /ere ha,in& a demat a!!%nt and /ere a/are a6%t the
demat ser,i!es
In the sam$)e s%r,e# 00O " the $e$)e /ere ha,in& there demat a!!%nt in
RE-IANCE MONEQ "))/ed 6# ICICI @42OA NARVQ @4GOA ANAND
RATHI @8 OA HDFC @8OA5 Other DPs in!)%de MOTI-A- OS7A-
SECURITIES' IDBI' RE-IGARE' RR TRADERS' SPF- SECUITIES e5t5!
Pe$)e /ere satis"ied /ith the ser,i!es $r,ided 6# their res$e!ti,e DPs
In,estrs s%""ered )t " $r6)ems in the $h#si!a) sett)ement " trades s%!h as
)n&er sett)ement !#!)e' ris. e5t5!5 The ne/er e)e!trni! mde " sett)ements
s),ed their $r6)em t a &reat e<tent
In the $resent sit%atin in,estrs $re"er t ha,e a demat a!!%nt /ith a DP
/hi!h is $r,idin& tradin& "a!i)ities
On)# 3MO " the $e$)e in the s%r,e# /ere a/are " the "a!t that RE-IANCE
MONEQ is &in& t start 6r.in& ser,i!es ,er# sn5 E,en 43O "
RE-IANCE MONEQ !%stmers /ere nt a/are " this "a!t5
LI(ITATION OF THE STUDY
*@ The ma(r di""i!%)t# /as " )an&%a&e $r6)em 5 As +%estinnaire /as in En&)ish'
s $e$)e /ere nt interested in "i))in& it5
,@ Fe/ $e$)e did nt ha,e the time t "i)) %$ r ans/er a)) the +%estins5
:@ Pe$)e /ere nt &i,in& e<a!# in"rmatin )i.e their in!me ' a&e et!5
<@ Fe/ /ere nt res$ndin& as /e e<$e!t "rm them and the# /ere rea!tin& as
s%r,e# is !nd%!ted
"r "a)se $%r$se5
$I$LIOGRAPHY
ANNEXURES
$I$LIOGRAPHY
B.s
45 NCFM=s De$sitr# md%)e
05 NCFM=s Ca$ita) Mar.et Dea)er Md%)e
35 Finan!ia) Instit%tins And Mar.ets3 Shashi N G%$ta
7e6 Sites>
45 ///5 G&)e5!m
,) ///)#&d2)c'"
:) ///)#&ei#dia)c'"s
<) ///)+&ei#dia)c'"
=) ///)&e+i'#2i#e)c'"
ANNEXURES
The .ind " T%estinnaire' /hi!h /as ")ated "r resear!h $%r$se' is &i,en as
"))/s>
SNAPSHOT OF THE TUESTIONNAIRE F-OATED TO THE INVESTORS
45 NAME
AGE 3 01331Y Z 313G1 Y Z G13D1 Y Z D13M1 Y Z ABOVE M1 Y Z
GENDER3 MA-E Y Z FEMA-E Y Z
OCCUPATION3 BUSINESS YZ SERVICE YZ PROFESSION YZ

05 7hat Per!enta&e O" Q%r In!me D Q% Sa,e[
Y Z D t 41O Y Z 41 t 4DO Y Z 4D t 01O Y Z 01 t 31O
35 7here D Q% In,est Q%r Sa,in&s[
Y Z Ban. De$sits Y Z IPO Y Z M%t%a) F%nds Y Z Others @ P)ease S$e!i"#A
G5 7hat Is Q%r Criteria 7hi)e Ma.in& Q%r In,estment De!isin[
Y Z -i+%idit# Y Z Sa"et# Y Z Ret%rn Y Z Time Perid Y Z
D5 Are Q% A/are O" Demat Ser,i!es[
Y Z Qes Y Z N
M5 D Q% Ha,e a Demat A!!%nt[
Y Z Qes Y Z N
K5 In 7hi!h DP Q% are Ha,in& Q%r demat A!!%nt[
Y Z RE-IANCE MONEQ Y Z NARVQ Y Z ANAND RATHI Y Z ICICI Y Z
HDFC Y Z OTHERS
85 H/ D Q% Rate The Ser,i!es Pr,ided B# Q%r DP[
Y Z E<!e))ent Y Z V5Gd Y Z Gd Y Z Satis"a!tr#
25 7hat D Q% Fee) Is The Mst Im$rtant Bene"its Frm The Ear)ier Ph#si!a)
Sett)ement O" Trades T The Ne/er E)e!trni! Mde[
Y Z Faster Sett)ement C#!)e
Y Z Red%!tin In Pa$er 7r.
Y Z Minimi;atin O" Ris.
Y Z Eas# Address U$datin
415 D Q% Thin. D$ A!!%nt He)$ Q% T Re!ei,e Cr$rate A!tins [
Y Z Qes Y Z N
445 Q% Pre"er T ha,e a Demat A!!%nt 7ith a DP 7hi!h Is
Y Z Pr,idin& Tradin& Fa!i)ities
Y Z Nt Pr,idin& Tradin& Fa!i)ities
405 7hat D Q% Fee) A6%t The C%stmer Ser,i!es O" RE-IANCE MONEQ[
Y Z V5Gd Y Z Gd Y Z Satis"a!tr#