A

SUMMER PROJECT REPORT

ON
PORTFOLIO MANAGEMENT SERVICES






SUMBITTED TO
LAXMI INSTITUTE OF MANAGEMENT, SARIGAM

AFFILIATED TO
GUJARAT TECHNOLOGICAL UNIVERSITY
AS A PARTIAL FULFILLMENT OF DEGREE OF MASTERS OF
BUSINESS ADMINISTRATION


DECLARATION
I hereby declare that this Summer Internship Project Report entitled POTFOLIO
MANAGEMENT SERVICES in SHRI SALASAR INVESTMENTS
submitted in partial fulfillment of requirement of Post Graduation Diploma in
Management (PGDM) to the Laxmi Institute of Management, Sarigam (LIMS) is
based on primary and secondary data founded by me in various department ,books
,magazines and websites .
This is an original piece of work and has not been submitted to any other
institution or university for any purpose.

Signature
Name
Roll No.
Date






Executive Summary

Investing is both Arts and Science. Every Individual has their own specific financial need and
expectation based on their risk taking capabilities, whereas some needs and expectation are
universal. Therefore, we find that the scenario of the Stock Market is changing day by day hours
by hours and minute by minute. The evaluation of financial planning has been increased through
decades, which can be best seen in customers. Now a days investments have become very
important part of income saving.

In order to keep the Investor safe from market fluctuation and make them profitable, Portfolio
Management Services (PMS) is fast gaining Investment Option for the High Networth Individual
(HNI). There is growing competition between brokerage firms in post reform India. For investor
it is always difficult to decide which brokerage firm to choose.
The research design is analytical in nature. A questionnaire was prepared and distributed to
Investors. The investors profile is based on the results of a questionnaire that the Investors
completed. The Sample consists of 50 investors from brokers premises. The target customers
were Investors who are trading in the stock market.

In order to identify the effectiveness of Angel Broking PMS services this Research is carried
throughout the area of Umbergaon. At the time of investing money everyone look for the Risk
factor involve in the Investment option. The Report is prepared on the basis of Research work
done through the different Research Mythology the data is collected from both the source
Primary sources which consist of Questionnaire and secondary data is collected from different
sources such as Company website, Magazine and other sources.
In this project I have shown the details of financial planning as well as wealth management so as
to understand about the customers needs and wants with respect to market and how a clients
portfolio can be designed and what factors a portfolio manager must consider for designing a
portfolio.

Preface
Share trading in India is undergoing a transition and consolidation phase witnessed never
before. The competition is likely to become so severe after the entry of many players, retaining a
customer is most difficult practice for any service provider.
Though India has a very big untapped market but the players will not flourish unless they
change the way the customers are being served. Given the awareness level of today customers
every player has to treat with care and make the customer feel that he is the king. Number of
Online Share trader in India has crossed the line. More and more customers are coming under
this umbrella and many of the existing one are changing pavilion. So customer retention and
satisfaction is now more important as it was never before. Players keep coming with new
schemes in order to attract new customers and retain the existing one. This is being
supplemented with increased advertising and brand building efforts. Success of any organization
depends upon its being proactive. An often quoted marketing adage is to manage a business well
is to manage its future and to manage its future is to manage information.
To give the student of management a feel of real world situation they are being sent to any
organization where they work on a prescribed problem or a topic and come out with various
conclusions and suggestions.
I am very lucky as I got an opportunity to work with angel broking LTD. which is
showing phenomenal growth and success in its Sector.
My topic of study was Studying the working process of
angel broking LTD.
This project is an effort to do a depth study and analysis of various known and unknown
reasons for customer satisfaction and retention. To err is human and I am not an exception,
valuable comments are always welcomed since it will motivate to work with greater zeal and
efficiency in the future.



Index















List of Tables















List Of Graphs
















Industry Overview
A BRIEF HISTORY OF STOCK EXCHANGES :-

Do you know that the world's foremost market
place New York Stock Exchange (NYSE), started its
trading under a tree (now known as 68 Wall Street) over
200 years ago? Similarly, India's premier stock exchange
Bombay Stock Exchange (BSE) can also trace back its
origin to as far as 125 years when it started as a voluntary
non-profit making association.
You hear about it any time it reaches a new high or
a new low, and you also hear about it daily in statements
like 'The BSE Sensitive Index rose 5% today'. Obviously,
stocks and stock markets are important. Stocks of public limited companies are bought and sold
at a stock exchange. But what really are stock exchanges? Known also as News on the stock
market appears in different media every day. The stock market or bourse, a stock exchange is an
organized market place for securities (like stocks, bonds, options) featured by the centralization
of supply and demand for the transaction of orders by member brokers, for institutional and
individual investors. The exchange makes buying and selling easy. For example, you don't have
to actually go to a stock exchange, say, BSE - you can contact a broker, who does business with
the BSE, and he or she will buy or sell your stock on your behalf. All stock exchanges perform
similar functions with respect to the listing, trading, and clearing of securities, differing only in
their administrative machinery for handling these functions. Most stock exchanges are auction
markets, in which prices are determined by competitive bidding. Trading may occur on a
continuous auction basis, may involve brokers buying from and selling to dealers.
In certain types of stock or it may be conducted through specialists dealing in a particular
stock.
But where did it all start? The need for stock exchanges developed out of early trading
activities in agricultural and other commodities. During the middle Ages, traders found it easier
to use credit that required supporting documentation of drafts, notes and bills of exchange. The
history of the earliest stock exchange, the French stock exchange, may be traced back to 12th
century when transactions occurred in commercial bills of exchange.
The first stock exchange in India, Bombay Stock Exchange was established in 1875 as
'The Native Share and Stockbrokers Association' and has evolved over the years into its present
status as the premier stock exchange in the country. It may be noted that BSE is the oldest stock
exchange in Asia, even older than the Tokyo Stock Exchange, which was founded in 1878. The
country's second stock exchange was established in Ahmedabad in 1894, followed by the
Calcutta Stock Exchange (CSE). CSE can also trace its origin back to 19th century. From a get
together under a 'Neem Tree' way back in the 1830s, the CSE was formally established in May
1908.
India's other major stock exchange National Stock Exchange (NSE), promoted by leading
financial institutions, was established in April 1993. Over the years, several stock exchanges
have been established in the major cities of India. There are now 23 recognized stock exchanges
Mumbai (BSE, NSE and OTC), Calcutta, Delhi, Chennai, Ahmedabad, Bangalore,
Bhubaneswar, Coimbatore, Guwahati, Hyderabad, Jaipur, Kochi, Kanpur, Ludhiana, Mangalore,
Patna, Pune, Rajkot, Vadodara, Indore and Meerut. Today, most of the global stock exchanges
have become highly efficient, computerized organizations. Computerized networks also made it
possible to connect to each other and have fostered the growth of an open, global securities
market.
Realizing there is untapped market of investors who want to be able to execute their own
trades when it suits them, brokers have taken their trading rooms to the Internet. Known as
online brokers, they allow you to buy and sell shares via Internet.
Online Trading is a service offered on the Internet for purchase and sale of shares. In the real
world, you place orders on your stockbroker either verbally (personally or telephonically) or in a
written form (fax). In Online Trading, you will access a stockbroker's website through your
internet-enabled PC and place orders through the broker's internet-based trading engine. These
orders are routed to the Stock Exchange without manual intervention and executed thereon in a
matter of a few seconds.
There are 2 types of online trading service: discount brokers and full service online broker.
Discount online brokers allow you to trade via Internet at reduced rates. Some provide quality
research, other dont. Full service online brokerage is linked to existing brokerages. These
brokers allow their clients to place online orders with the option of talking/ chatting to brokers if
advice is needed. Brokerage rates here are higher. ODIN and NEET is the online broking sites
in India.

ONLINE TRADING PROCESS:-
The various transactions involved in online trading can be shown from the point of view of the
Client
Broker
Stock Exchange.


Online trading process





The client is intimated about the settlement either through the demat account or via
e-mail
The exchange receives moneyand completes the settlement
The broker makes the payment either directly or via client 's bank account or pays through his own account
and recover it later from the client
The exchange accepts the orderafter checking the share limit for the day.
The broker accepts and executes the order and places it with the exchanges.
The Places an order via the net by logging on to his broker's site.
The emergence of stock market can be traced back to 1830. In Bombay, business passed in the
shares of banks like the commercial bank, the chartered mercantile bank, the chartered bank, the
oriental bank and the old bank of Bombay and shares of cotton presses. In Calcutta, Englishman
reported the quotations of 4%, 5%, and 6% loans of East India Company as well as the shares of
the bank of Bengal in 1836. This list was a further broadened in 1839 when the Calcutta
newspaper printed the quotations of banks like union bank and Agra bank. It also quoted the
prices of business ventures like the Bengal bonded warehouse, the Docking Company and the
storm tug company.

Between 1840 and 1850, only half a dozen brokers existed for the limited business. But during
the share mania of 1860-65, the number of brokers increased considerably. By 1860, the number
of brokers was about 60 and during the exciting period of the American Civil war, their number
increased to about 200 to 250. The end of American Civil war brought disillusionment and many

Failures and the brokers decreased in number and prosperity. It was in those troublesome times
between 1868 and 1875 that brokers organized an informal association and finally as recited in
the Indenture constituting the Articles of Association of the Exchange.

On or about 9th day of July,1875, a few native brokers doing brokerage business in shares and
stocks resolved upon forming in Bombay an association for protecting the character, status and
interest of native share and stock brokers and providing a hall or building for the use of the
Members of such association.

As a meeting held in the broker Hall on the 5th day of February, 1887, it was resolved to
execute a formal deal of association and to constitute the first managing committee and to
appoint the first trustees. Accordingly, the Articles of Association of the Exchange and the Stock
Exchange was formally established in Bombay on 3rd day of December, 1887. The Association
is now known as The Stock Exchange.

The entrance fee for new member was Re.1 and there were 318 members on the list, when the
exchange was constituted. The numbers of members increased to 333 in 1896, 362 in 1916and
478 in 1920 and the entrance fee was raised to Rs.5 in 1877, Rs.1000 in 1896, Rs.2500 in 1916
and Rs. 48,000 in 1920. At present there are 23 recognized stock exchanges with about 6000
stock brokers. Organization structure of stock exchange varies.

14 stock exchanges are organized as public limited companies, 6 as companies limited by
guarantee and 3 are non-profit voluntary organization. Of the total of 23, only 9 stock exchanges
have been permanent recognition. Others have to seek recognition on annual basis.
These exchange do not work of its own, rather, these are run by some persons and with the help
of some persons and institution. All these are down as functionaries on stock exchange. These
are:

i. Stockbrokers
ii. Sub-broker
iii. Market makers
iv. Portfolio consultants etc.

1. Stockbrokers:
Stock brokers are the members of stock exchanges. These are the persons
who buy, sell or deal in securities. A certificate of registration from SEBI is mandatory to act as
a broker. SEBI can impose certain conditions while granting the certificate of registrations. It is
obligatory for the person to abide by the rules, regulations and the buy-law. Stock brokers are
commission broker, floor broker, arbitrageur etc.

Detail of Registered Brokers
Total no. of registered brokers as on
31.03.13
Total no. of sub-broker as on 31.03.13

9000 24,000



2. Sub-broker:
A sub-broker acts as agent of stock broker. He is not a member of a stock
exchange. He assists the investors in buying, selling or dealing in securities through stockbroker.
The broker and sub-broker should enter into an agreement in which obligations of both should be
specified. Sub-broker must be registered SEBI for a dealing in securities. For getting registered
with SEBI, he must fulfill certain rules and regulation.

3. Market Makers:
Market maker is a designated specialist in the specified securities. They
make both bid and offer at the same time. A market maker has to abide by bye-laws, rules
regulations of the concerned stock exchange. He is exempt from the margin requirements. As per
the listing requirements, a company where the paid-up capital is Rs. 3 Crore but not more than
Rs. 5 core and having a commercial operation for less than 2 years should appoint a market
maker at the time of issue of securities.

4. Portfolio Consultants:
A combination of securities such as stocks, bonds and money market
instruments is collectively called as portfolio. Whereas the portfolio consultants are the persons,
firms or companies who advise, direct or undertake the management or administration of
securities or funds on behalf of their clients.

Traditionally stock trading is done through stock brokers, personally or through telephones.
As number of people trading in stock market increase enormously in last few years, some issues
like location constrains, busy phone lines, miss communication etc start growing in stock broker
offices. Information technology (Stock Market Software) helps stock brokers in solving these
problems with Online Stock Trading.

Online Stock Market Trading is an internet based stock trading facility. Investor can trade shares
through a website without any manual intervention from Stock Broker.
There are two different type of trading environments available for online equity trading.

1. Installable software based Stock Trading Terminals
This trading environment requires software to be installed on investors computer. This software
is provided by the stock broker. This software requires high speed internet connection. These
kind of trading terminals are used by high volume intraday equity traders.

2.Web (Internet) based trading application
This kind of trading environment doesn't require any additional software installation. They are
like other internet websites which investor can access from around the world through normal
internet connection.

Stock exchanges are like market places, where stockbrokers buy and sell securities for
individuals or institutions. As per the SCRA (Securities Contracts Regulation Act) 1956, the
definition of securities includes shares, bonds, stocks, debentures, government securities,
derivatives of securities, units of collective investment scheme (CIS) etc. The securities market
has two interdependent segments: the primary and secondary market.

The primary market is the channel for creation of new securities issued by public limited
companies or by government agencies. New securities issued in the primary market are traded in
the secondary market.

The secondary market operates through the over-the-counter (OTC) market and the exchange
trade market.





Organization Overview
Shri Salasar Investments is an investment advisory and portfolio management firm
situated in Umbergaon. It is also providing trading services as a sub-broker of Angel
Broking Limited. It is owned by Mr. Vikas Nawadhar, who established this firm in May
2007 with a seed capital of Rs. 3 Lakhs only.
It started with 3 clients in May 2007 and presently it has grown to 120 clients.
It started trading in equity in Jan 2008 and derivatives in Aug 2008. It was the first firm
in Umbergaon to start commodity trading in Sep 2008.
It is operating on VSAT trading platforms for real time updates on markets and live
trading in major equity, derivative and commodity exchanges.
It provides a wide range of investment and portfolio services to its clients in equity,
derivative and commodity segments.
The firm values the long term relationship and strives towards enhancing the wealth of
the investor by adopting the approach of putting the customer interest first. It also helps
the clients to execute the trade, manage and monitor their risk on a continuous basis.
With deep understanding of financial and commodity markets, it provides the clients
expert domain knowledge over diverse range of investment products and markets.
It caters to all the investment management needs of the clients under one roof with the
support of the latest IT enabled platforms and 8 years of rich experience.



Main players within the ????

INTRODUCTION OF ANGEL BROKING

Angel Broking tryst with excellence in customer relations began more than 20 years
ago. Angel Group has emerged as one of the top 3 retail broking houses in India and
incorporated in 1987. Today, Angel has emerged as a premium Indian stock-broking and wealth
management house, with an absolute focus on retail business and a commitment to provide "Real
Value for Money" to all its clients.

Angel Broking is the retail broking arm of SSKI, an organization with more than eight decades
of trust & credibility in the stock market. It is India's leading retail financial Services Company
with We have over 250 share shops across 115 cities in India. While our size and strong balance
sheet allow us to provide you with varied products and services at very attractive prices, our over
750 Client Relationship Managers are dedicated to serving your unique needs. Angel Broking is
lead by a highly regarded management team that has invested crores of rupees into a world class
Infrastructure that provides our clients with real-time service & 24/7 access to all information
and products. Our flagship Angel Broking Professional Network offers real-time prices,
detailed data and news, intelligent analytics, and electronic trading capabilities, right at your
fingertips. This powerful technology complemented by our knowledgeable and customer focused
Relationship Managers. We are creating a world of Smart Investor. Angel Broking offers a full
range of financial services and products ranging from Equities to Derivatives enhance your
wealth and hence, achieve your financial goals. Angel Broking' Client Relationship Managers
are available to you to help with your financial planning and investment needs. To provide the
highest possible quality of service, Angel Broking provides full access to all our products and
services through multi-channels.
In a shot span of 22 years since inception, the Angel Group has emerged as one of the top five
retail stock broking houses in India, having membership of BSE, NSE and the two leading
Commodity Exchanges in the country i.e. NCDEX & MCX. Angel Broking is also registered as
a Depository Participant with CDSL.
The group is promoted by Mr. Dinesh Thakkar, who started this business as a sub-broker in
1987 with a team of 3. Today the angel group is managed by a team of 1937 direct employees
and has a nationwide network comprising of 21 Regional hubs, 124 branches and 6810 sub
brokers & business associates. Angel is 100% focused on retail stock broking business unlike
any other larger national broking house. The group currently services more than 5.9 thousand
retail clients.
Angel habitually generates value added features without the cost burden being passed on to
the clients as they strongly believe that better understanding of clients needs and wants is their
top priority. Their e-broking facility is one such effort, which gives the client a platform to
access state of the art trading facility at the click of a button.
Angel has always strived for delivering customer delight and developing strong long term
bonds with its clients as well as channel partners. Angel thrives on a vision to introduce new and
innovative products and services constantly. Moreover, Angel has been among the pioneers to
introduce the latest technological innovations and integrate them efficiently within its business.
It has memberships on BSE, NSE and the leading commodity exchanges in India NCDEX &
MCX. Angel is also registered as a depository participant with CDSL.
Angel Group Companies
Angel Broking Ltd.
Member on the BSE and Depository Participant with
CDSL
Angel Capital & Debt Market Ltd.
Membership on the NSE Cash and Futures & Options
Segment
Angel Commodities Broking Ltd. Member on the NCDEX & MCX
Angel Securities Ltd. Member on the BSE



Incorporated :1997
BSE Membership :1997
NSE membership :1998
Member of NCDEX and MCX
Depository Participants with CDSL


Angels presence :-

Nation- wide network of 21 regional hubs
Presence 124 cities
6800 + sub brokers & business associates
5.9 lakh +








Milestones
Awarded with 'Broking House with Largest Distribution Network' and 'Best Retail
Broking House' at Dun & Bred street Equity Broking Awards 2009
August, 2008 Crossed 500000 trading accounts
November, 2007 Major Volume Driver for 2007
December, 2006 Created 2500 business associates
October, 2006 Major Volume Driver award for 2006
September, 2006 Launched Mutual Fund and IPO business
July, 2006 Launched the PMS function
October, 2005 Major Volume Driver award for 2005
September, 2004 Launched Online Trading Platform
April, 2004 Initiated Commodities Broking division
April, 2003 First published research report
November, 2002 Angels first investor seminar
March, 2002 Developed web-enabled back office software
November, 1998 Angel Capital and Debt Market Ltd. Incorporated
December, 1997 Angel Broking Ltd. Incorporated









ANGELS VISION
To provide best value for money to investors through innovative products, trading / investments
strategies, state of art technology and personalized service.

ANGELMISSION
To have complete harmony between quality in process and continuous improvement to decline
exceptional service that will delight our customer and client.

ANGELS BUSINESS PHILOSOPHY
Ethical practices and transparency in all our dealings customer interest above our own always
deliver what are promise effective cost management.










OUR ORGANIZATIONAL STRUCTURE










CSO (Central
Support
Office)
Regional Office
Branches &
Franchise
Branches
Angel Clients
Branches &
Franchise
Branches
Business
Associates
Angel Clients
Branches &
Franchise
Branches
Regional Office Regional Office
Products of Angel Broking
1. Online Trading 8. Personal loans
2. Commodities 9. Quality assurance
3. DP Services
4. PMS (Portfolio Management Services)
5. Insurance
6. IPO Advisory
7. Mutual Fund

Online- Trading

Specially designed for the net savvy traders and investors who prefer operating from
their home or office through the internet. The investor can access state of the art Technology
with three different e-broking products and voila trading on BSE, NSE, F & O, MCX and
NCDEX.

ANGEL DIET
Application based product for Traders.
Application based ideal for traders.
Multiple exchanges on single screen
Online fund transfer facility
User friendly & simple navigation
BSC, NSC, F&O, MCX & NCDEX

ANGEL ANYWHERE
Application based product for Traders with Charts.
Application-based platform for day traders
Intra-day/historical charts with various indicators
Online fund transfer facility
BSC, NSC, Cash & Derivatives

ANGELTRADE
Browser based product for Active Investors.
Browser based for investor
No installation required
Advantage of mobility
Trading as simple as internet surfing
BSC, NSC, F&O, MCX & NCDEX
ANGEL INVESTOR
User-friendly browser for investors
Easy online trading platform
Works in proxy and firewall system set up
Integrated Back office: Access account information anytime, anywhere
Streaming quotes
Refresh static rates when required
Multiple exchanges on single screen
Online fund transfer facility

Investment Advisory Services

To derive optimum returns from equity as an asset class requires professional guidance and
advice. Professional assistance will always be beneficial in wealth creation. Investment decisions
without expert advice would be like treating ailment without the help of a doctor.
Expert Advice: Their expert investment advisors are based at various branches across India
to provide assistance in designing and monitoring portfolios.
Timely Entry & Exit: Their advisors will regularly monitor customers investments and
guide customers to book timely profits. They will also guide them in adopting switching
techniques from one stock to another during various market conditions.
De-Risking Portfolio: A diversified portfolio of stocks is always better than concentration in
a single stock. Based on their research, They diversify the portfolio in growth oriented
sectors and stocks to minimize the risk and optimize the returns.
Commodities
A commodity is a basic good representing a monetary value. Commodities are most often
used as inputs in the production of other goods or services. With the advent of new online
exchange, commodities can now be traded in futures markets. When they are traded on an
exchange, Commodities must also meet specified minimum standards known as basic grade.
Types of Commodities
Precious Metals : Gold and Silver
Base Metals : Copper, Zinc , Steel and Aluminum
Energy : Crude Oil, Brent Crude and Natural Gas
Pulses : Chana , Urad and Tur
Spices : Black Pepper, Jeera, Turmeric , Red Chili
Others : Guar Complex, Soy Complex, Wheat and Sugar

Benefits at Angel

Three different online products tailored for traders & investors.
Single Screen customized market-watch for MCX / NCDEX with BSE / NSE.
Streaming Quotes and real time Rates. Intra-day trading calls.
Research on 25 Agro Commodities, Precious and Base Metals, Energy products and
Polymers.
An array of daily, weekly and special research reports.
Highly skilled analysts with professional industry experience.
Active relationship management desk.
Seminars, workshops and investment camps for investors
Depositary Participant Services
Angel Broking Ltd. is a DP services provider though CDSL. We offer depository services to
create a seamless transaction platform to execute trades through Angel group of companies and
settle these transactions through Angel Depository services.
Wide branch coverage
Personalized/attentive services of trained a dedicated staff
Centralized billing & accounting
Acceptance & execution of instruction on fax
Daily statement of transaction & holdings statement on e-mail
No charges for extra transaction statement & holdings statement




Portfolio Management Services

Successful investing in Capital Markets demands ever more time and expertise. Investment
Management is an art and a science in itself. Portfolio Management Services (PMS) is one such
service that is fast gaining eminence as an investment avenue of choice for High Net worth
Investors (HNI). PMS is a sophisticated investment vehicle that offers a range of specialized
investment strategies to capitalize on opportunities in the market. The Portfolio Management
Service combined with competent fund management, dedicated research and technology, ensures
a rewarding experience for its clients.
Angel PMS brings with it years of experience, expertise, research and the backing of India's
leading stock broking house. At Angel, experienced portfolio management is the difference. It
will advise you on a suitable product based on factors such as your investment horizon, return
expectations and risk tolerance.

DEPARTMENT STUDY
PRODUCT & SERVICE DETAILS AND PORTFOLIO

REPORTS :

Market Outlook at 9:15 a.m.
Technical Report at 6:00 p.m.
Derivative Analysis Report at 9:15 a.m.

FUNDAMENTAL RESEARCH SERVICES:


The Sunday Weekly Report :
This weekly report is the ace of all reports. It offers a comprehensive market
overview and likely trends in the week ahead. It also presents few top picks based on an
in-depth analysis of technical and fundamental factors. It gives short term and long term
outlook on these scrips, their price targets and trading strategies. Another unique feature
of this report is that it provides an updated view of about 70 prominent stocks on an
ongoing basis.

The Industry Watch :
This report provides an in-depth analysis of specific industries which are likely to
outperform others in the economy. It analyzes their strengths and weaknesses and
ascertains their future outlook. The final view is arrived at after thorough interaction
with industry experts. Also comparative performances of various companies in the sector
are evaluated and top picks are recommended.

Stock Analysis :
Angels stock research has performed very well over the past few years and the
Angel Model Portfolio has consistently outperformed the benchmark indices. The
fundamentals of select scrip are thoroughly analyzed and an actionable advice is provided
along with investment rationale for each scrip.

Flash News :
Key developments and significant news announcements that are likely to have an
impact on markets / scrip are flashed live on trading terminals. Flash news keeps the
market participants updated on an online basis and helps them to reshuffle on their
holdings.


TECHNICAL RESEARCH SERVICE :

Nifty Tracker :
Nifty Futures is the most traded instrument with highest volumes in F & O and
excellent liquidity. The team tracks the Nifty Future and generates calls based on
unique trading system which is a result of their focused research over the past few
years. The objective is to generate positive returns for traders who are looking for a
high risk / high reward product.

Online Chart :
An online forum to help clients, specifically day traders in judging the directions
of the market and stocks which are in the limelight.

Intraday Calls :
For day traders, Angel provides intra-day calls with entry, exit and stop loss levels
during market hours. These calls are flashed on their terminals. Their analysts
continuously track the calls and provide recommendations according to the market
movements.

Position Calls :
Angels Position Trading Calls are based on thorough analysis of the price
movement in select scrips. These calls are for a 10-15 day time span with stop loss and
target levels. These calls are flashed on their terminals during market hours.


Derivative Strategies :
Their analysts take view on the Nifty and select stocks based on the derivatives
data and technical tools. Suitable Derivative Strategies are devised, which are flashed
on their terminals and published in their reports.


Futures Calls :
A customized product for HNIs to help them trade with leveraged position;
wherein clients are advised on the stocks with entry, exit and stop loss level for short
term benefits. Over and above this, financial status of the calls is monitored at all times.

INVESTMENT ADVISORY DESK:

At Angel, they have a dedicated Investment Advisory Desk :-
To help manage clients equity portfolio and create wealth
To help client understand their risk profile and define investment goals realistically
To minimize clients risk and maximize their returns
To help client decide what to buy / sell and when to buy / sell
To help clients understand macro-economic trends and sectoral / company developments
To help client restructure their portfolio based on sound research






Theoretical Review of the Study
The field of investment traditionally divided into security analysis and portfolio management.
The heart of security analysis is valuation of financial assets. Value in turn is the function of risk
and return. These two concepts are in the study of investment .Investment can be defined the
commitment of funds to one or more assets that will be held over for some future time period.
In today fast growing world many opportunities are available, so in order to move with changes
and grab the best opportunities in the field of investments a professional fund manager is
necessary.
Therefore, in the present scenario the Portfolio Management Services (PMS) is fast gaining
importance as an investment alternative for the High Networth Investors.
Portfolio Management Services (PMS) is an investment portfolio in stocks, fixed income, debt,
cash, structured products and other individual securities, managed by a professional money
manager that can potentially be tailored to meet specific investment objectives.
When you invest in PMS, you own individual securities unlike a mutual fund investor, who owns
units of the entire fund. You have the freedom and flexibility to tailor your portfolio to address
personal preferences and financial goals. Although portfolio managers may oversee hundreds of
portfolio, your account may be unique.
Investment Management Solution in PMS can be provided in the following ways:
i. Discretionary
ii. Non Discretionary
iii. Advisory
Discretionary: Under these services, the choice as well as the timings of the investment
decisions rest solely with the Portfolio Manager.
Non Discretionary: Under these services, the portfolio manager only suggests the investment
ideas. The choice as well as the timings of the investment decisions rest solely with the Investor.
However the execution of trade is done by the portfolio manager.
Advisory: Under these services, the portfolio manager only suggests the investment ideas.
The choice as well as the execution of the investment decisions rest solely with the Investor.
Rule 2, clause (d) of the SEBI (portfolio managers) Rules, 1993 defines the term Portfolio as
total holding of securities belonging to any person.
As a matter of fact, portfolio is combination of assets the outcomes of which cannot be defined
with certainty new assets could be physical assets, real estates, land, building, gold etc. or
financial assets like stocks, equity, debenture, deposits etc.
Portfolio management refers to managing efficiently the investment in the securities held by
professional for others.
Merchant banker and the portfolio management with a view to ensure maximum return by such
investment with minimum risk of loss of return on the money invested in securities held by them
for their clients. The aim Portfolio management is to achieve the maximum return from a
portfolio, which has been delegated to be managed by manger or financial institution.
There are lots of organization in the market on the lookout for the people like you who need their
portfolios managed for them .They have trained and skilled talent will work on your money to
make it do more for you.
Therefore, if any investors still insist on managing their own portfolio, then ensure you build
discipline into their investment. Work out their strategy and stand by it.

MYTHS ABOUT PMS
There are two most common myths found about Portfolio Management Services (PMS) which
we found among most of the Investors. They are as follows.
Myth No. 1: PMS and Mutual Fund are Similar as the investment option

As in the Finance Basket both the PMS and Mutual Fund are used for minimizing risk and
maximize the profit of the Investors. The objectives are similar as in both the product but they
are different from each other in certain aspects. They are as follows.
Management Side
In PMS, its ongoing personalized access to professional money management services. Whereas,
in Mutual fund gives personalize access to money.
Customization
In PMS, Portfolio can be tailored to address each investor's specific needs. Whereas in Mutual
Fund Portfolio structured to meet the fund's stated investment objectives.
Ownership
In PMS, Investors directly own the individual securities in their portfolio, allowing for tax
management flexibility, whereas in Mutual Fund Shareholders own shares of the fund and cannot
influence buy and sell decisions or control their exposure to incurring tax liabilities.
Liquidity
In PMS, managers may hold cash; they are not required to hold cash to meet redemptions,
whereas, Mutual funds generally hold some cash to meet redemptions.
Minimums
PMS generally gives higher minimum investments than mutual funds. Generally, minimum
ranges from: Rs. 1 Crore + for Equity Options Rs. 5 Crore + for Fixed Income Options Rs. 20
Lacs + for Structured Products, whereas in Mutual Fund Provide ongoing, personalized access to
professional money management services.


Flexibility
PMS is generally more flexible than mutual funds. The Portfolio Manager may move to 100%
cash if it required. The Portfolio Manager may take his own time in building up the portfolio.
The Portfolio Manager can also manage a portfolio with disproportionate allocation to select
compelling opportunities whereas, in Mutual Fund comparatively less flexible.

Myth No. 2: PMS is more Risk free than other Financial Instrument

In Financial Market Risk factor is common in all the financial products, but yes it is true that
Risk Factor vary from each other due to its nature. All investments involve a certain amount of
risk, including the possible erosion of the principal amount invested, which varies depending on
the security selected. For example, investments in small and mid-sized companies tend to
involve more risk than investments in larger companies.














Need of PMS

As in the current scenario the effectiveness of PMS is required. As the PMS gives investors
periodically review their asset allocation across different assets as the portfolio can get skewed
over a period of time. This can be largely due to appreciation / depreciation in the value of the
investments.

As the financial goals are diverse, the investment choices also need to be different to meet those
needs. No single investment is likely to meet all the needs, so one should keep some money in
bank deposits and / liquid funds to meet any urgent need for cash and keep the balance in other
investment products/ schemes that would maximize the return and minimize the risk. Investment
allocation can also change depending on ones risk-return profile.




Objective of PMS
There are the following objective which is full filled by Portfolio Management Services.
1. Safety Of Fund: -
The investment should be preserved, not be lost, and should remain in the returnable
position in cash or kind.

2. Marketability: -
The investment made in securities should be marketable that means, the securities must
be listed and traded in stock exchange so as to avoid difficulty in their encashment.

3. Liquidity: -
The portfolio must consist of such securities, which could be en-cashed without any
difficulty or involvement of time to meet urgent need for funds. Marketability ensures
liquidity to the portfolio.

4. Reasonable return: -
The investment should earn a reasonable return to upkeep the declining value of
money and be compatible with opportunity cost of the money in terms of current income
in the form of interest or dividend.

5. Appreciation in Capital: -
The money invested in portfolio should grow and result into capital gains.

6. Tax planning: -
Efficient portfolio management is concerned with composite tax planning covering
income tax, capital gain tax, wealth tax and gift tax.

7. Minimize risk: -
Risk avoidance and minimization of risk are important objective of portfolio
management. Portfolio managers achieve these objectives by effective investment
planning and periodical review of market, situation and economic environment affecting
the financial market.


PORTFOLIO CONSTRUCTION

The Portfolio Construction of Rational investors wish to maximize the returns on their funds for
a given level of risk. All investments possess varying degrees of risk. Returns come in the form
of income, such as interest or dividends, or through growth in capital values (i.e. capital gains).

The portfolio construction process can be broadly characterized as comprising the following
steps:

1. Setting objectives.

The first step in building a portfolio is to determine the main objectives of the fund given the
constraints (i.e. tax and liquidity requirements) that may apply. Each investor has different
objectives, time horizons and attitude towards risk. Pension funds have long-term obligations
and, as a result, invest for the long term. Their objective may be to maximize total returns in
excess of the inflation rate. A charity might wish to generate the highest level of income whilst
maintaining the value of its capital received from bequests. An individual may have certain
liabilities and wish to match them at a future date. Assessing a clients risk tolerance can be
difficult. The concepts of efficient portfolios and diversification must also be considered when
setting up the investment objectives.

2. Defining Policy.

Once the objectives have been set, a suitable investment policy must be established. The standard
procedure is for the money manager to ask clients to select their preferred mix of assets, for
example equities and bonds, to provide an idea of the normal mix desired. Clients are then asked
to specify limits or maximum and minimum amounts they will allow to be invested in the
different assets available. The main asset classes are cash, equities, gilts/bonds and other debt
instruments, derivatives, property and overseas assets. Alternative investments, such as private
equity, are also growing in popularity, and will be discussed in a later chapter. Attaining the
optimal asset mix over time is one of the key factors of successful investing.

3. Applying portfolio strategy.

At either end of the portfolio management spectrum of strategies are active and passive
strategies. An active strategy involves predicting trends and changing expectations about the
likely future performance of the various asset classes and actively dealing in and out of
investments to seek a better performance. For example, if the manager expects interest rates to
rise, bond prices are likely to fall and so bonds should be sold, unless this expectation is already
factored into bond prices. At this stage, the active fund manager should also determine the style
of the portfolio. For example, will the fund invest primarily in companies with large market
capitalizations, in shares of companies expected to generate high growth rates, or in companies
whose valuations are low? A passive strategy usually involves buying securities to match a
preselected market index. Alternatively, a portfolio can be set up to match the investors choice
of tailor-made index. Passive strategies rely on diversification to reduce risk. Outperformance
versus the chosen index is not expected. This strategy requires minimum input from the portfolio
manager. In practice, many active funds are managed somewhere between the active and passive
extremes, the core holdings of the fund being passively managed and the balance being actively
managed.

4. Asset selections.

Once the strategy is decided, the fund manager must select individual assets in which to invest.
Usually a systematic procedure known as an investment process is established, which sets
guidelines or criteria for asset selection. Active strategies require that the fund managers apply
analytical skills and judgment for asset selection in order to identify undervalued assets and to
try to generate superior performance.



5. Performance assessments.

In order to assess the success of the fund manager, the performance of the fund is periodically
measured against a pre-agreed benchmark perhaps a suitable stock exchange index or against a
group of similar portfolios (peer group comparison). The portfolio construction process is
continuously iterative, reflecting changes internally and externally. For example, expected
movements in exchange rates may make overseas investment more attractive, leading to changes
in asset allocation. Or, if many large-scale investors simultaneously decide to switch from
passive to more active strategies, pressure will be put on the fund managers to offer more active
funds. Poor performance of a fund may lead to modifications in individual asset holdings or, as
an extreme measure; the manager of the fund may be changed altogether.





Steps to Stock Selection Process



















Types of assets

The structure of a portfolio will depend ultimately on the investors objectives and on the asset
selection decision reached. The portfolio structure takes into account a range of factors,
including the investors time horizon, attitude to risk, liquidity requirements, tax position and
availability of investments. The main asset classes are cash, bonds and other fixed income
securities, equities, derivatives, property and overseas assets.

Cash and cash instruments

Cash can be invested over any desired period, to generate interest income, in a range of highly
liquid or easily redeemable instruments, from simple bank deposits, negotiable certificates of
deposits, commercial paper (short term corporate debt) and Treasury bills (short term
government debt) to money market funds, which actively manage cash resources across a range
of domestic and foreign markets. Cash is normally held over the short term pending use
elsewhere (perhaps for paying claims by a non-life insurance company or for paying pensions),
but may be held over the longer term as well. Returns on cash are driven by the general demand
for funds in an economy, interest rates, and the expected rate of inflation. A portfolio will
normally maintain at least a small proportion of its funds in cash in order to take advantage of
buying opportunities.

Bonds

Bonds are debt instruments on which the issuer (the borrower) agrees to make interest payments
at periodic intervals over the life of the bond this can be for two to thirty years or, sometimes,
in perpetuity. Interest payments can be fixed or variable, the latter being linked to prevailing
levels of interest rates. Bond markets are international and have grown rapidly over recent years.
The bond markets are highly liquid, with many issuers of similar standing, including
governments (sovereigns) and state-guaranteed organizations. Corporate bonds are bonds that are
issued by companies. To assist investors and to help in the efficient pricing of bond issues, many
bond issues are given ratings by specialist agencies such as Standard & Poors and Moodys. The
highest investment grade is AAA, going all the way down to D, which is graded as in default.
Depending on expected movements in future interest rates, the capital values of bonds fluctuate
daily, providing investors with the potential for capital gains or losses. Future interest rates are
driven by the likely demand/ supply of money in an economy, future inflation rates, political
events and interest rates elsewhere in world markets. Investors with short-term horizons and
liquidity requirements may choose to invest in bonds because of their relatively higher return
than cash and their prospects for possible capital appreciation. Long-term investors, such as
pension funds, may acquire bonds for the higher income and may hold them until redemption
for perhaps seven or fifteen years. Because of the greater risk, long bonds (over ten years to
maturity) tend to be more volatile in price than medium- and short-term bonds, and have a higher
yield.

Equities

Equity consists of shares in a company representing the capital originally provided by
shareholders. An ordinary shareholder owns a proportional share of the company and an ordinary
share carries the residual risk and rewards after all liabilities and costs have been paid. Ordinary
shares carry the right to receive income in the form of dividends (once declared out of
distributable profits) and any residual claim on the companys assets once its liabilities have been
paid in full. Preference shares are another type of share capital. They differ from ordinary shares
in that the dividend on a preference share is usually fixed at some amount and does not change.
Also, preference shares usually do not carry voting rights and, in the event of firm failure,
preference shareholders are paid before ordinary shareholders. Returns from investing in equities
are generated in the form of dividend income and capital gain arising from the ultimate sale of
the shares. The level of dividends may vary from year to year, reflecting the changing
profitability of a company. Similarly, the market price of a share will change from day to day to
reflect all relevant available information. Although not guaranteed, equity prices generally rise
over time, reflecting general economic growth, and have been found over the long term to
generate growing levels of income in excess of the rate of inflation. Granted, there may be
periods of time, even years, when equity prices trend downwards usually during recessionary
times. The overall long-term prospect, however, for capital appreciation makes equities an
attractive investment proposition for major institutional investors.

Derivatives

Derivative instruments are financial assets that are derived from existing primary assets as
opposed to being issued by a company or government entity. The two most popular derivatives
are futures and options. The extent to which a fund may incorporate derivatives products in the
fund will be specified in the fund rules and, depending on the type of fund established for the
client and depending on the client, may not be allowable at all.

A futures contract is an agreement in the form of a standardized contract between two
counterparties to exchange an asset at a fixed price and date in the future. The underlying asset of
the futures contract can be a commodity or a financial security. Each contract specifies the type
and amount of the asset to be exchanged, and where it is to be delivered (usually one of a few
approved locations for that particular asset). Futures contracts can be set up for the delivery of
cocoa, steel, oil or coffee. Likewise, financial futures contracts can specify the delivery of
foreign currency or a range of government bonds. The buyer of a futures contract takes a long
position, and will make a profit if the value of the contract rises after the purchase. The seller of
the futures contract takes a short position and will, in turn, make a profit if the price of the
futures contract falls. When the futures contract expires, the seller of the contract is required to
deliver the underlying asset to the buyer of the contract. Regarding financial futures contracts,
however, in the vast majority of cases no physical delivery of the underlying asset takes place as
many contracts are cash settled or closed out with the offsetting position before the expiry date.

An option contract is an agreement that gives the owner the right, but not obligation, to buy or
sell (depending on the type of option) a certain asset for a specified period of time. A call option
gives the holder the right to buy the asset. A put option gives the holder the right to sell the asset.
European options can be exercised only on the options expiry date. US options can be exercised
at any time before the contracts maturity date. Option contracts on stocks or stock indices are
particularly popular. Buying an option involves paying a premium; selling an option involves
receiving the premium. Options have the potential for large gains or losses, and are considered to
be high-risk instruments. Sometimes, however, option contracts are used to reduce risk. For
example, fund managers can use a call option to reduce risk when they own an asset. Only very
specific funds are allowed to hold options.



Property

Property investment can be made either directly by buying properties, or indirectly by buying
shares in listed property companies. Only major institutional investors with long-term time
horizons and no liquidity pressures tend to make direct property investments. These institutions
purchase freehold and leasehold properties as part of a property portfolio held for the long term,
perhaps twenty or more years. Property sectors of interest would include prime, quality, well-
located commercial office and shop properties, modern industrial warehouses and estates, hotels,
farmland and woodland. Returns are generated from annual rents and any capital gains on
realization. These investments are often highly illiquid.












SWOT Analysis :-






A SWOT analysis focuses on the internal and external environments, examining strengths
and weaknesses in the internal environment and opportunities and threats in the external
environment.

















STRENGTH
Service
Distribution network
Marketing
Products
WEAKNESS
Customer Satisfaction
Branding
Competition from Banks
OPPORTUNITIES
Ever increasing market
Improving technology
Unfulfilled needs of
customers.
Education level
THREATS
New competitors
Technology based
business
PROCEDURE OF CLIENT ACQUISITION :-
In the first phase we are given training and we are explained about different things of
market about Angel Broking Ltd, its introduction, products and services offered by Angel
Broking Ltd. We have been trained by their well experienced Staff.
After that we are trained to cope up with the customers, through there well experienced
Sales Executives.
They provide us leads and we make calls. Three types of leads are provided to us :-
People who registers themselves on Angel Broking website willing to be client of
Angel broking and want to know about its product.
People who have Demat account already with any another broker. (competitors Data)
People who are totally unknown to this market.
Then after that we have to provide details of product and convince them. People who
have already demat account; we have to convince them by giving information about
Angel Broking services & benefits.
And people who are unknown to share market, we tell them about Angel Broking first
step program for fresher.
Then we have to visit them and get the formed filled from them.
We collect all-important documents from client.
PROCEDURE FOR OPENING A DP ACCOUNT WITH ANGEL BROKING :-
You can open a Depository Participant (DP) account, either through an Angel Broking
branch or through an Angel Broking Franchisee center.
There is no fee for opening DP accounts with Angel Broking. However a nominal deposit
(refundable) is charged towards services which will be adjusted against all future billings.
All investors have to submit their proof of identity and proof of address along with the
prescribed account opening form.




IN DP ACCOUNT OPENING FORM :-
1. Minor details like name of the branch, name of the client & address and other details of
the client required to be mentioned in the form and Agreement.
2. Signatures are required on all pages of the agreement.
3. All the details (Name & address of the client) must be filled.
4. Name, Address & signature of the witness are compulsory. (Please note that 1 witness is
required to sign on behalf of the client)
5. Please note that if the signature on the form & the proof provided differs, the form will be
liable for rejection. In such cases the client has to get his signatures verified by the
banker.
6. Nominee details must be supported by 2 witnesses (Name, Address & signature).
7. Minor accounts, HUF accounts, Corporate accounts, and Accounts having 3 holders
cannot have nominees in a DP account.
8. Please note that joint accounts cannot be opened in case Minor accounts and HUF
accounts.
9. In case of any corrections on the application form & agreement holders have to counter
sign at place of the correction.

ACCOUNT OPENING REQUIREMENTS UNDER VARIOUS HEADS :-
(i) Proof of Identity (Any one of the following) :-
1. Photocopy of Valid Passport (Page containing the date of expiry also to be attached)
2. Photocopy of Voters Identity card.
3. Photocopy of Valid Driving License (Page containing the date of expiry also to be
attached).
4. Photocopy of Pan card
5. Photocopy of MAPIN card
6. Identity card/document with applicants Photo, issued by
a) Central/State Government and its Departments,
b) Statutory/Regulatory Authorities,
c) Public Sector Undertakings,
d) Scheduled Commercial Banks,
e) Public Financial Institutions,
f) Professional Bodies such as ICAI, ICWAI, ICSI, Bar Council etc., to their Members;
and
g) Credit cards/Debit cards issued by Banks.
(ii) Proof of Address (Any one of the following) - (Provided the entire address written
on the form matches with the proof):-
1. Photocopy of Ration card.
2. Photocopy of Valid Passport (Page containing the date of expiry also to be attached).
(Copy of expiry date also to be submitted)
3. Photocopy of Voters Identity card.
4. Photocopy of Valid Driving License (Page containing the date of expiry also to be
attached). (Copy of expiry date also to be submitted)
5. Photocopy of Telephone or Electricity bill. (Government entity only & should not be
more than 3 months old)
6. Photocopy of Leave-License / Purchase Agreement.
7. Photocopy of Voters Identity card.
8. Photocopy of Bank Passbook or latest Bank statement.
9. Self-declaration by High Court & Supreme Court judges, giving the new address in
respect of their own accounts.
10. Identity card/document with address, issued by
a) Central/State Government and its Departments,
b) Statutory/Regulatory Authorities,
c) Public Sector Undertakings,
d) Scheduled Commercial Banks,
e) Public Financial Institutions and
f) Professional Bodies such as ICAI, ICWAI, Bar Council etc., to their Members.
(iii) Photocopy of cheque leaf of bank account number mentioned on the form to verify the
Bank MICR No.
(iv) Latest photograph signed by the client.
FOR H.U.F ACCOUNT OPENING REQUIREMENTS :-
1. Signed Photograph of the Karta is required.
2. Proof of Identity of the Karta
3. Pan card of HUF
4. Proof of Address
5. Photocopy of cheque leaf of bank account number mentioned on the form to verify the
Bank MICR No.
6. HUF Stamp is required wherever the client signs on the agreement.
7. Letter from the Karta operating the Demat account with the two witnesses of coparceners.
8. No joint names & nominees allowed for HUF accounts.

FOR MINOR ACCOUNT OPENING REQUIREMENTS :-
The account opened in the name of the minor cannot have second and third holders.
Further there can be no nominee for minor account. The Guardian has to sign on behalf of the
Minor.
1. Birth Certificate of the Minor.
2. Guardians Proof of Address.
3. Guardians Proof of Identity.
4. Photograph of the Minor & Guardian.
5. Photocopy of cheque leaf
FOR N.R.I. (NON RESIDENT INDIAN) CLIENT :-
1. Latest photograph signed by the client.
2. Photocopy of Valid Passport (Page containing the date of expiry also to be attached)
3. Proof of Local Address
4. Proof of Foreign Address
5. Photocopy of cheque leaf of bank account number (NRE or NRO) mentioned on the form
to verify the Bank MICR No.

FOR PARTNERSHIP FIRM :-
The account cannot be opened in the name of a partnership firm. It has to be opened in the
name of the partners, as an individual account. Maintaining dairy of clients and contacting them
at regular basis. To get feedback from them about Angel Broking services.

Competitors Analysis

ICICIDIRECT.COM
PRODUCTS AND SERVICES :-
A product for every need: ICICIdirect.com is the most comprehensive website, which allows
you to invest in Shares, Mutual funds, Derivatives (Futures and Options) and other financial
products. Simply they offer you a product for every investment need of yours.
ICICI Web Trade Limited (IWTL) maintains ICICIdirect.com. IWTL is an affiliate of ICICI
Bank Limited and the Website is owned by ICICI Bank Limited.










1. TRADING IN SHARES :-
ICICIDIRECT.COM
TRADING IN
SHARES
TRADING IN
Derivative
MUTUAL
FUNDS
IPO AND
BOND
ONLINE
PERSONAL
FINANCE

ICICIdirect.com offers you various options while trading in shares:-
Cash Trading :- This is a delivery based trading system, which is generally done with the
intention of taking delivery of shares.
Margin Trading :- You can also do an intra-settlement trading up to 3 to 4 times your
available funds, wherein you take long buy/ short sell positions in stocks with the
intention of squaring off the position within the same day settlement cycle. (ONLY for
intraday)
Margin PLUS Trading :- Through Margin PLUS you can do an intra-settlement trading
up to 25 times your available funds, wherein you take long buy/ short sell positions in
stocks with the intention of squaring off the position within the same day settlement
cycle. Margin PLUS will give a much higher leverage in your account against your
limits.
Spot Trading :- When you are looking at an immediate liquidity option, 'Cash on Spot'
may work the best for you, On selling shares through "cash on spot", money is credited to
your bank a/c the same evening & not on the exchange payout date. This money can then
be withdrawn from any of the ICICIBank ATMs.
BTST :- Buy Today Sell Tomorrow (BTST) is a facility that allows you to sell shares
even on 1
st
and 2
nd
day after the buy order date, without you having to wait for the receipt
of shares into your demat account.
Call n Trade :- Call n Trade allows you to call on a local number in your city & trade
on the telephone through our Customer Service Executives. This facility is currently
available in over 11 major states across India.
Trading on NSE/BSE :- Through ICICIdirect.com, you can trade on NSE as well as
BSE.


2. TRADE IN DERIVATIVES :-
Future :-
Through ICICIdirect.com, you can now trade in index and stock futures on the NSE. In
futures trading, you take buy/sell positions in index or stock(s) contracts having a longer contract
period of up to 3 months.
Presently only selected stocks, which meet the criteria on liquidity and volume, have
been enabled for futures trading.
Calculate Index and Know your Margin are tools to help you in calculating your margin
requirements and also the index & stock price movements.
Option :-
To take the buy/sell position on index/stock options, you have to place certain % of order
value as margin. With options trading, you can leverage on your trading limit by taking buy/sell
positions much more than what you could have taken in cash segment.
3. IPOs AND BONDS ONLINE :-

You could also invest in Initial Public Offers (IPOs) and Bonds online without going
through the hassles of filling ANY application form/ paperwork.
Get in-depth analyses of new IPOs issues (Initial Public Offerings), which are about to hit
the market and analysis on these. IPO calendar, recent IPO listings, prospectus/offer documents,
and IPO analysis are few of the features, which help you, keep on top of the IPO markets.
4. CUSTOMER SERVICE FEATURES :-

With 'ICICIdirect Customer Tools & Updates' you can trouble shoot all your problems
online.
The ICICI direct Advantages :-
A Unique 3-in-1 account that gives you:
Convenience :-
The 3-in-1 accounts integrate your banking, broking and demat accounts. This enables
you to trade in shares without going through the hassles of tracking settlement cycles, writing
cheques and Transfer Instructions, chasing your broker for cheques or Transfer Instructions etc.
Speed :-
You can now get the latest quotes of scrip on ICICIdirect.com and place an order almost
instantly.
Control :-
You can be assured that you have in fact placed an order at the price you always wanted
to, but may not have been able to do so till now. Thereby giving you control over your own
trades.
Independence :-
Instead of transferring monies to a broker's pool or towards deposits, you can manage
your own demat and bank accounts when you trade through ICICIdirect.com.
Trust :-
ICICIdirect.com comes to you from ICICI, the organization trusted by millions of
Indians
We can trade into NSE, BSE, Derivatives, Mutual funds, Personal Finance, IPOs online.
Margin plus trading is provided in which customer can buy share up to 25 times of its
margin














INDIABULLS.COM :-
India bulls Indias leading retail financial services company with 300 locations spread
across 110 cities. While size and strong balance sheet allow it to provide you with varied
products and services at very attractive prices, its over 4400 Client Relationship Managers are
dedicated to serving your unique needs. India bulls are lead by a highly regarded management
team that has invested crores of rupees into a world class Infrastructure that provides our clients
with real-time service & 24/7 accesses to all information and products. India bulls Professional
Network
TM
offers real-time prices, detailed data and news, intelligent analytics, and electronic
trading capabilities, right at your fingertips. This powerful technology is complemented by
knowledgeable and customer focused Relationship Managers. It is creating a world of Smart
Investor.
India bulls offer a full range of financial services and products ranging from Equities to
Insurance to enhance your wealth and hence, achieve your financial goals.
India bulls' Client Relationship Managers are available to you to help with your financial
planning and investment needs. To provide the highest possible quality of service, India bulls
provide full access to all our products and services through multi-channels.

INDIABULLS :


Charge Head
Charges
Account with POA Account without POA

Stamp Paper Charges Rs.200/- Rs.100/-
AMC Nil Rs.250/-
Custody Charges Nil Nil
Transaction Charges Buy (Market / Off-
Market) Transfers
Nil Nil
Transaction Charges Sell (Market / Off-
Market) Transfers
Rs. 17/- per
Transaction
Rs. 17/- per Transaction
Nil Rs.20/- per instruction.
Pledge Creation / Confirmation /
Closure/Invocation
Rs.25/- per
Transaction
Rs.25/- per Transaction
D'MAT Rs.1 per certificate
(max Rs.250 /-) +
Rs.25 courier
charges
Rs.2 per certificate (max
Rs.250 /-)+ Rs.25 courier
charges
D'MAT Rejections Rs.20 per rejection
+ Rs.25 courier
Rs.20 per rejection +
Rs.25 courier
Re'mat Charges Rs.15 request or
0.02% whichever is
higher.
Rs.15 request or 0.02 %
whichever is higher.
Delivery Instruction Book Nil Rs.10/-
No charges for first book.
Fax Indemnity (Optional) N.A. Actual





COMPETITORS COMPARISON :-

ANGEL BROKING ICICIDIRECT
. COM
INDIABULLS
A/C
OPENING
CHARGES
750/- (web based
online), 1000/- (software
based online), 460/-
(offline)
750/-(waive off if
trading is more than
Rs. 1 lakh)
1000(offline &
web based)
1750(software)
DEMAT A/C
CHARGES
FREE (1
ST
YEAR)
AND 300/-P.A.
FROM
2
ND
YEAR
ONWARDS
FREE FOR 1
ST
YEAR
AND 500/- P.A.
FROM 2
ND
YEAR
ONWARDS
NO AMC
TYPE OF
A/C
3(off line, fast trade &
speed trade)
Web based Web based&
software
TRADING
THROUGH
WEBSITE
OR SOFT-
WARE
BOTH WEBSITE BOTH
NSE/BSE/
DERIVA-
TIVES/
ARBIT-
NSE/BSE/
DERIVATIVES/

COMMODITIES/IPOS
NSE/BSE/
MUTUAL
FUNDS/
NSE/BSE
DERIVATIVES
RAGE/
MUTUAL
FUNDS
/ MUTUAL FUNDS/
INSUARANCE
Derivatives
SOFT-
WARE
CHARGES
500/-P.M.
(NEGOTIABLE
ON BROKERAGE)
N.A. N.A.
DAIL-N-
TRADE
UNLIMITED On 21
st
call Rs 20/-
per call(P.M.)
RM NUMBER
PROVIDED
FOR
TRADING
DEMAT
TRANSAC-
TION
CHARGES
NIL (THROUGH
ANGEL BROKING)
INCLUDING
IN
BROKERAG(Rs35)
RS. 17/-
PER
TRANSACTION
(ON SELLING)
TIE UP
WITH
BANKS
NINE BANKS
(DETAILS ARE
GIVEN EARLIER ON
PROJECT)
ICICIBANK ONLY
(COMPULSORY)
HDFC BANK,



BUY TODAY
SELL
TOMOR-
ROW
YES YES BUT
ONLY ON
127 SCRIPS
YES
OF NSE
SMS
ALERTS
YES YES YES
MINIMUM
MARGIN
EXPO-SURE
4 TO 8 TIMES 4 TIMES 4 TIMES
ONWARDS
MINIMUM
MARGIN
Nil 5000/- 500 BLOCKED
BY THE SYSTEM
Volume
requirement
Nil Nil NIL
BROKE-
RAGE
.04%(INTRA)
.4%
(DELIVERY)
.07% (INTRA-DAY)
.75%
(DELIVERY)
.04%(INTRA)
.4%
(DELIVERY)












Types of portfolio management











Process













Types of Portfolios

The different types of Portfolio which is carried by any Fund Manager to maximize profit and
minimize losses are different as per their objectives .They are as follows.

Aggressive Portfolio:

Objective: Growth. This strategy might be appropriate for investors who seek High growth and
who can tolerate wide fluctuations in market values, over the short term.



Growth Portfolio:

Objective: Growth. This strategy might be appropriate for investors who have a preference for
growth and who can withstand significant fluctuations in market value.






Balanced Portfolio:

Objective: Capital appreciation and income. This strategy might be appropriate for investors
who want the potential for capital appreciation and some growth, and who can withstand
moderate fluctuations in market values





Conservative Portfolio:

Objective: Income and capital appreciation. This strategy may be appropriate for investors who
want to preserve their capital and minimize fluctuations in market value.









TECHNOQUES OF PORTFOLIO MANAGEMENT

Various types of portfolio require different techniques to be adopted to achieve the desired
objectives. Some of the techniques followed in India by portfolio managers are summarized
below.

(1). Equity portfolio-
Equity portfolio is affected by internal and external factors:

(a) Internal factors
Pertain to the inner working of the particular company of which equity shares are held. These
factors generally include:

(1) Market value of shares
(2) Book value of shares
(3) Price earnings ratio (P/E ratio)
(4) Dividend payout ratio

(b) External factors

(1) Government policies
(2) Norms prescribed by institutions
(3) Business environment
(4) Trade cycles

(2). Equity stock analysis

The basic objective behind the analysis is to determine the probable future value of the shares
of the concerned company. It is carried out primarily fewer than two ways. :

(a) Earnings per share
(b) Price earnings ratio

(A) Trend of earning: -

A higher price-earnings ratio discount expected profit growth. Conversely, a downward
trend in earning results in a low price-earnings ratio to discount anticipated decrease in
profits, price and dividend. Rising EPS causes appreciation in price of shares, which
benefits investors in lower tax brackets? Such investors have not pay tax or to give lower
rate tax on capital gains.
Many institutional investor like stability and growth and support high EPS.

Growth of EPS is diluted when a company finances internally its expansion program
and offers new stock.
EPS increase rapidly and result in higher P/E ratio when a company finances its
expansion program from internal sources and borrowings without offering new stock.

(B) Quality of reported earning: -

Quality of reported earnings affects P/E ratio. The factors that affect the quality of reported
earnings are as under:

Depreciation allowances: -
Larger (Non Cash) deduction for depreciation provides more funds to company to
finance profitable expansion schemes internally. This builds up future earning power of
company.

Research and development outlets: -
There is higher P/E ratio for a company, which carries R&D programs. R&D
enhances profit earning strength of the company through increased future sales.


Inventory and other non-recurring type of profit: -
Low cost inventory may be sold at higher price due to inflationary conditions among
profit but such profit may not always occur and hence low P/E ratio.

(C) Dividend policy: -
Dividend policy is significant in affecting P/E ratio. With higher dividend ratio, equity price goes
up and thus raises P/E ratio. Dividend rates are raised to push in share prices up. Dividend cover
is calculated to find out the time the dividend is protected, In terms of earnings. It is calculated as
under:
Dividend Cover = EPS / Dividend per Share

(D) Investors demand: -
Demand from institutional investors for equity also enhances the P/E ratio.

(3) Quality of management: -

Investors decide about the ability and caliber of management and hold and dispose of equity
academy. P/E ratio is more where a company is managed by reputed entrepreneurs with good
past records of management performance.


























RESEARCH METHODOLOGY

OBJECTIVE OF THE PROJECT
Each research study has its own specific purpose. It is like to discover to Question through the
application of scientific procedure. But the main aim of our research to find out the truth that is
hidden and which has not been discovered as yet. Our research study has two objectives:-
OBJECTIVES
To know the concept of Portfolio Management.
To know about the schemes offered by the different insurance companies, new IPOs,
Mutual Funds.
To know in depth about Insurance, Mutual Funds, Stock, Bonds etc.

To know about the awareness towards stock brokers and share market.

To study about the competitive position of Angel Broking Ltd in Competitive Market.

To study about the effectiveness & efficiency of Angel Broking Ltd in relation to its
competitors

To study about whether people are satisfied with Angel Broking Services &
Management System or not.

To study about the difficulties faced by persons while Trading in Angel Broking

To study about the need of improvement in existing Trading system.







Scope of the Study
The study of the Portfolio Management Services is helpful in the following areas.
In today's complex financial environment, investors have unique needs which are derived
from their risk appetite and financial goals. But regardless of this, every investor seeks to
maximize his returns on investments without capital erosion. Portfolio Management
Services (PMS) recognize this, and manage the investments professionally to achieve
specific investment objectives, and not to forget, relieving the investors from the day to
day hassles which investment require.

It is offers professional management of equity investment of the investor with an aim to
deliver consistent return with an eye on risk.
Identify the key Stock in each portfolio.
To look out for new prospective customers who are willing to invest in PMS.
To find out the Angel Broking, PMS services effectiveness in the current situation.
It also covers the scenario of the Investment Philosophy of a Fund Manager.


RESEARCH DESISGN OF THE STUDY
This report is based on primary as well secondary data, however primary data collection was
given more importance since it is overhearing factor in attitude studies. One of the most
important users of research methodology is that it helps in identifying the problem, collecting,
analyzing the required information data and providing an alternative solution to the problem .It
also helps in collecting the vital information that is required by the top management to assist
them for the better decision making both day to day decision and critical ones.

The study consists of analysis about Investors Perception about the Portfolio Management
Services offered by Angel Broking Limited. For the purpose of the study 100 customers were
picked up at random and their views solicited on different parameters.

The methodology adopted includes

Questionnaire
Random sample survey of customers
Discussions with the concerned

SOURCES OF DATA

Primary data: Questionnaire

Secondary data: Published materials of Angel Broking Limited. Such as periodicals,
journals, news papers, and website.

Duration of Study

The Study was carried out for the period of Two months from 1
st
June to 31
st
July 2014.




SAMPLING PLAN

Sampling:

Since Angel Broking Limited has many segments I selected Portfolio Management Services
(PMS) segment as per my profile to do market research. 100% coverage was difficult within the
limited period of time. Hence sampling survey method was adopted for the purpose of the study.


Population:
(Universe) customers & non consumers of Angel Broking limited.

Sampling size:

A sample of Fifty was chosen for the purpose of the study. Sample consisted of Investor as based
on their Income and Profession as well as Educational Background.


Sampling Methods:

Probability sampling requires complete knowledge about all sampling units in the universe. Due
to time constraint non-probability sampling was chosen for the study.

Sampling procedure:
From large number of customers & non consumers sample lot were randomly picked up by me.




Field Study:

Directly approached respondents by the following strategies

Tele-calling
Personal Visits
Clients References
Promotional Activities
Database provided by the Angel Broking Limited.