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DISSERTATION

ON
TO STUDY THE SHARES AND EQUITY MARKET

SUBMITTED TO

SAVITRIBAI PHULE PUNE UNIVERSITY


IN PARTIAL FULFILLMENT OF 2 YEARS FULL TIME COURSE
MASTERS IN BUSINESS ADMINISTRATION (M.B.A)
SUBMITTED
BY
ASHWINI S GONEWAR

(BATCH 2013-15)

ARIHANT INSTITUTE OF BUSINESS MANAGEMENT,


PUNE - 21
1

ACKNOWLEDGEMENT
Success can never be attained without
proper guidance.
I wish to express my sincere gratitude & appreciation to
several individuals without whom this piece of work would
not have been materialized.
Above all I wish to thank & praise GOD, the most
gracious & merciful Lord for the moral & spiritual
encouragement & guidance I got during the study period.
My special thanks to the Director Dr. G.R. Shekapure
for giving me opportunity to learn in the esteemed
institute in MBA (FINANCE) and. A special thanks goes to
my project guide Prof. V K Punni who has given all his help
to complete drafting and writing the dissertation on
Human Resources.
Besides my guide, I would like to thank Mrs. Sayli Neve,
(Finance Executive), for giving their valuable time. Many
thanks to Sharekhan Pvt. Ltd- Pune for providing me with an
opportunity to display my talent as well as to learn and
display my knowledge.
I also thank all the staff members of Sharekhan Pvt. Ltd- " And all my
friends and family members who have helped me making this
Dissertation a success.

ASHWINI GONEWAR

EXECUTIVE SUMMARY

Online Trading is the act of placing buy/sell orders for financial securities
and/or currencies with the use of a brokerage's internet-based proprietary trading
platforms. The use of online trades has increased the number of discount brokerages
because internet trading allows many brokers to further cut costs and part of the
savings can be passed on to customers in the form of lower commissions. Another
benefit of online trading is the improvement in the speed of which transactions can
be executed and settled, because there is no need for paper-based documents to be
copied, filed and entered into an electronic format.

This Project Studies the Investment behaviour of the clients of Sharekhan providing
online trading platform. It is important for an investor o know all the options
available in the market to invest his money so that he can make maximum out of it.
Traditional Investment options such as Fixed Deposit, Recurring Deposit are getting
less focus today because of higher Inflation and other economic problems. Therefore
this project will help in understanding the investment behaviour of various
categories of investors in the field of equity trading through a broking firm.

INTRODUCTION

PROJECT TITLE:
A STUDY OF INVESTMENT BEHAVIOUR OF CLIENTS OF SHAREKHAN
TOWARDS SHARES & EQUITY MARKET

OBJECTIVES OF THE STUDY

To understand the investment behaviour of the clients of share khan towards


shares & equity markets.

To study the factors to be considered before buying shares through a broking


firm

To identify the present level of satisfaction of the investors with share khan

SCOPE OF THE STUDY

Globalization of the financial market has led to a manifold increase in


investment. New markets have been opened; new instruments have been
developed; and new services have been launched. Besides, a number of
opportunities and challenges have also been thrown open. Online share trading is
new to Equity market in India. Mainly two exchanges are involved in online
trading in India BSE & NSE.

COMPANY PROFILE

Share khan is an equities focused organization tracing its lineage to


SSKI, a veteran equities solutions company with over 8 decades of
experience in the Indian stock markets.
If you experience our language, presentation style, content or for
that matter, the online trading facility, you'll find a common thread;
one that helps you make informed decisions and simplifies
investing in stocks. The common thread of empowerment is what
Sharekhan is all about!
Sharekhan is also about focus. Sharekhan does not claim expertise in too many things.
Sharekhan's expertise lies in stocks and that's what he talks about with authority. So
when he says that investing in stocks should not be confused with trading in stocks or a
portfolio-based strategy is better than betting on a single horse, it is something that is
spoken with years of focused learning and experience in the stock markets. And these
beliefs are reflected in everything Sharekhan does for you!

To sum up, Sharekhan brings to you a user- friendly online trading facility, coupled with
a wealth of content that will help you stalk the right shares.
Those of you who feel comfortable dealing with a human being and would rather visit a
brick-and-mortar outlet than talk to a PC, you'd be glad to know that Sharekhan offers
you the facility to visit (or talk to) any of our share shops across the country. In fact
Sharekhan runs India's largest chain of share shops with over hundred outlets in more
than 80 cities! What's a share shop? How do you locate a share shop in your city?
To find the answers of these questions, you must visit Sharekhan. In other words
Sharekhan is a company that provides you an outstanding trading facility with a wide
variety of products and acts as an investment consultant to manage your portfolio and
secure a high rate of return on your investments in the securities market.
Basically, the company is a market leader in providing brokering services and has a top
turnover in trading and the high turnover makes it the no.1 in the market. The main
difference is the services that they provide to the investors who really need it. The
services are discussed in more detail in the marketing activities. The clients are managed
with a friendly corporate culture to give him more benefited investment ideas and
motivate him whenever he needs. The company is providing as many tips to the clients
(pre-market, online and post-market) for more and more trading ideas and the manager
helps each client to concentrate on a few scripts so that he can manage the profit/loss.
In short, Sharekhan is currently having a good position in the market with the highest no
of transactions and also the highest turnover (buying & selling) in India and a leader in
providing better services to the investors. Sharekhan, Indias leading stock broker is the
retail arm of SSKI, and offers you depository services and trade execution facilities for

equities, derivatives and commodities backed with investment advice tempered by


decades of broking experience. A research and analysis team is constantly working to
track performance and trends. Thats why Sharekhan has the trading products, which are
having one of the highest success rates in the industry. Sharekhan is having 240 share
shops in 110 cities; the largest chain of retail share shops in India is of Sharekhan.

BRAND NAME
The company as a whole in its offline business has named itself as SSKI
Securities Private Limited Sevaklal Sevantilal Kantilal Ishwarlal Securities Private
Limited. The company has preferred to name themselves under a blanket family name.
But in its online division started since 1997, the company preferred to name
itself as SHAREKHAN. The Brand name SHAREKHAN itself suggests the
business in which the company is dealing so that the customer could easily identify the
product or service category.

MISSION:
To educate and empower the individual investor to make better investment decisions
through quality advice and superior service.
VISION:
To be the best retail brokering Brand in the retail business of stock market.
ACHIEVEMENTS OF SHAREKHAN:
A wired company along with Reliance, Hll, Infosys, etc. by Business Today, January
2004 edition.
It was awarded Top Domestic Brokerage House four times by Euro and Asia money.
It was Winner of Best Financial Website award.
Indias most preferred brokers within 5 years. CNBC Awaaz customers Award
2005.

Sharekhan ltd. Provide different Product as follows

1. Equity and Derivative Trading on BSE and NSE.


2. Depository Services.
3. Online Trading.
4. IPO Services.
5. Commodities Trading on MCX and NSDEX.
6. Portfolio Management Services.

SERVICES PROVIDED BY SHAREKHAN

Online Services
Offline Services
Depository Services
Equity and Derivatives Trading
Fundamental Research
Technical Research
Portfolio Management
Commodities Trading
Dial-n-trade
Share shops
1. Online Services:

Mutual Funds

Commodity Futures

PMS

Technical PMS

Demat Services

Share shops

2. Offline Services:

Trading with the help of Dealer

Trading without credit

By calling to the Share shops

Credit facility (Only in Delivery-based)

T+2 facility

Special website for Offline Clients: www.mySharekhan.com

Physical contract notes

Types of Account

Classic A/c
Speed-trade
Classic A/c:

Features of Classic A/c:

Online trading account for investing in Equities and Derivatives


via Sharekhan.com.

Integration of: Online trading + Bank + Demat account.

Instant cash transfer facility against purchase & sale of shares.

Make IPO bookings.

You get Instant order and trade confirmations by e-mail

Streaming Quotes.

Personalized Market Scan with your own customized stock ticker.

Single screen interface for cash and derivatives

Speed-trade:

Features of Speed-trade:

Instant order Execution & Confirmation

Single screen trading terminal

Real-time streaming quotes, tic-by-tic charts

Market summary (most traded scrip, highest value and lots of other
relevant statistics)

Hot keys similar to a brokers terminal

Alerts and reminders

Back-up facility to place trades on Direct Phone lines

Single screen interface for cash and derivatives

Dial-n-trade:
Features of Dial-n-trade:

Two dedicated numbers for placing your orders with your cell phone or
landline. Toll free number: 1-800-22-7050. For people with difficulty in
accessing the toll-free number, we also have a Reliance number
30307600 which is charged at Rs. 1.50 per minute for STD calls.

Automatic funds transfer with phone banking (for Citibank and HDFC
bank customers).

Simple and Secure Interactive Voice Response based system for


authentication.

No waiting time. Enter your TPIN to be transferred to our tele brokers.

You also get the trusted, professional advice of our teleprocess.

After hours order placement facility between 8.00 am and 9.30 am


(timings to be extended soon.

THEROTICAL BACKGROUND

EQUITY SHARES
Shares represent ownership rights of their holders. Shareholders are owners of
the company. Shares can of two types:

Equity Shares

Preference Shares

Equity Shares are also known as ordinary shares.

Do not have fixed rate of dividend.

There is no legal obligation to pay dividends to equity shareholders.

STOCK MARKETS IN INDIA

Stock exchanges are the perfect type of market for securities whether of government
and semi-govt bodies or other public bodies as also for shares and debentures issued
by the joint-stock companies. In the stock market, purchases and sales of shares are
Affected in conditions of free competition. Government securities are traded outside the
Trading ring in the form of over the counter sales or purchase. The bargains that are

Struck in the trading ring by the members of the stock exchanges are at the fairest
Prices determined by the basic laws of supply and demand.

Definition of a stock exchange:

Stock exchange means any body or individuals whether incorporated or not,


Constituted for the purpose of assisting, regulating or controlling the business of buying,
Selling or dealing in securities. The securities include:
Shares of public company.
Government securities.
Bonds
History of Stock Exchanges:

The only stock exchanges operating in the 19th century were those of Mumbai
setupin 1875 and Ahmadabad set up in 1894. These were organized as voluntary
nonprofit- making associations of brokers to regulate and protect their interests. Before
the control on securities under the constitution in 1950, it was a state subject and the
Bombay securities contracts (control) act of 1925 used to regulate trading in securities.
Under this act, the Mumbai stock exchange was recognized in 1927 and Ahmadabad in
1937. During the war boom, a number of stock exchanges were organized. Soon after it
became a central subject, central legislation was proposed and a committee headed by
A.D.Gorwala went into the bill for securities regulation. On the basis of the committees
recommendations and public discussion, the securities contract (regulation) act became
law in 1956.

Functions of Stock Exchanges:

Stock exchanges provide liquidity to the listed companies. By giving quotations


tothe listed companies, they help trading and raise funds from the market. Over the
hundred and twenty years during which the stock exchanges have existed in thiscountry
and through their medium, the central and state government have raisedcrores of rupees
by floating public loans. Municipal corporations, trust and localbodies have obtained
from the public their financial requirements, and industry, tradeand commerce- the
backbone of the countrys economy-have secured capital ofcrores or rupees through the
issue of stocks, shares and debentures for financingtheir day-to-day activities, organizing
new ventures and completing projects ofexpansion, diversification and modernization.
By obtaining the listing and tradingfacilities, public investment is increased and
companies were able to raise morefunds. The quoted companies with wide public
interest have enjoyed some benefitsand assets valuation has become easier for tax and
other purposes.

ONLINE TRADING INDUSTRY INDIA

With an online trading account, you can buy and sell shares in an instant!
Anytime you like and from anywhere you like. You can choose the online trading
account that suits your trading habits and preference.

In online trading the orders are sent to the exchanges, the confirmation is immediately
conveyed through E-mail and the proceeds or shares are credited (or debited) to the bank
and demat accounts. Globally, trade every seconds trade that goes through in the stock
market is an online trade. We in India have a long way to go but we sure are catching up
a good speed.

Companies offer a fast online share dealing service using real time quotes, free
up to the minute advice, information and tips. Trades may be both in NSE & BSE. Some
online companies offer investment in mutual funds and IPOs online.

The Indian problem:

Some other structural aspects need to be kept in mind while analyzing the ebroking scenario in India. The breadth of participation in the stock market in India is
significantly lower as compared to western markets with only 12.1 million equity
owning households and three million depository accounts. Brokerage rates in India are
significantly lower than US rates, with Indian brokers charging commissions of 0.5% to
1.25% per trade. For any player, the pricing strategy for e-broking for the retail segment
is as follows: For the cash segment, the brokerage charged varies from 0.4% to 0.85%
based on the volume of trade done per quarter while for the margin segment; the
brokerage charged varies from 0.05% to 0.15% based on the volume of trade done per
quarter. The above charges are inclusive of depository charges and all the other statutory
charges.

VARIOUS STOCK EXCHANGES IN INDIA

Bombay Stock Exchange of India (BSE)


National Stock Exchange of India (NSE)

Indian Commodity Exchange (ICEX)

United Stock Exchange of India (USE)

Multi Commodity Exchange (MCX)

Over the Counter Exchange of India (OTCEI)

Inter-connected Stock Exchange of India (ISE)

Madras Stock Exchange (MSE)

Coimbatore Stock Exchange (CSX)

Ahmedabad Stock Exchange (ASE)

Bhubaneshwar Stock Exchange (BhSE)

Cochin Stock Exchange (CSE)

Hyderabad Stock Exchange (HSE)

Calcutta Stock Exchange (CSE)

Delhi Stock Exchange (DSE)

Bangalore Stock Exchange (BgSE)

Madhya Pradesh Stock Exchange, Indore

Jaipur Stock Exchange (JSE)

Magadh Stock Exchange, Patna

UP Stock Exchange (UPSE)

Vadodara Stock Exchange,Vadodara (VSE)

Guwahati Stock Exchange Ltd

Ludhiana Stock Exchange Association Ltd

Kanara Stock Exchange Ltd

Mangalore Stock Exchange Ltd

Pune Stock Exchange Ltd

Saurashtra Kutch Stock Exchange Ltd

Meerut Stock Exchange Ltd

Intrex Trade Exchange Ltd

United Stock Exchange of India

Mahurat trading

COMPETITORS OF SHAREKHAN LTD:

There are currently close to online brokerages in India with ICICI direct, HDFE
securities, Kotak Street, India Bulls and 5paisa,Motilal oswal being some major
competitors of Sharekhan . However, due to limited volumes, no online brokerage is

currently making money and a shakeout is imminent in the near future. The going to be
expected to get tougher with the advent capital account; convertibility, players such as
TD Water house have already entered the Indian market, while others such as Schwab
are expected shortly. On an average, Rs. 40 crores per day (Rs. 1300 crores per month)
is likely to be the threshold breakeven for online brokerages.

The National Stock Exchange of India Limited has genesis in the report of the
HighPowered Study Group on Establishment of New Stock Exchanges,
whichrecommended promotion of a National Stock Exchange by financial institutions
(FIs)to provide access to investors from all across the country on an equal footing.
Basedon the recommendations, NSE was promoted by leading Financial Institutions at
thebehest of the Government of India and was incorporated in November 1992 as ataxpaying company unlike other stock exchanges in the country. On its recognitionas a
stock exchange under the Securities Contracts (Regulation) Act, 1956 in April1993, NSE
commenced operations in the Wholesale Debt Market (WDM) segment
In June 1994. The Capital Market (Equities) segment commenced operations
inNovember 1994 and operations in Derivatives segment commenced in June 2000

NSE's mission is setting the agenda for change in the securities markets in India. The
NSE was set-up with the main objectives of:

Establishing a nation-wide trading facility for equities and debt instruments.


Ensuring equal access to investors all over the country through an
appropriatecommunication network.
Providing a fair, efficient and transparent securities market to investors
usingelectronic trading systems.
Enabling shorter settlement cycles and book entry settlements systems,
andMeeting the current international standards of securities markets.

The standards set by NSE in terms of market practices and technology, have
become industry benchmarks and are being emulated by other market participants.NSE
is more than a mere market facilitator. It's that force which is guiding theindustry
towards new horizons and greater opportunities.

BSE (Bombay stock exchange)


Bombay stock exchanges limited is the oldest stock exchange in Asia with a rich
heritage. Popularly known as The native share and shareholders association in 1875. It
is the first stock exchange in the country to obtain permanent recognition in 1956 from
the government of India under securities contracts (regulation) act, 1956. The exchanges
pivotal and pre-eminent role in the development of the Indian capital market is widely
recognized and its index, SENSEX, is tracked worldwide. Earlier an Association of
persons (AOP), the exchanges is now a de-mutualized and corporative entity
incorporated under the provisions of the companies act, 1956, pursuant to the BSE
(Corporation and Demutualization) scheme, 2005.

Notified by the Securities and Exchange Board of India


With demutualization, the trading rights and ownership rights have been de-linked
effectively addressing concerns regarding perceived and real conflicts of interest. The
exchange is professionally managed under the overall direction of the board of directors.

The board comprises eminent professionals, representatives of trading members and the
Managing directors of the exchange. The board is inclusive and is designed to before
from the participation of market intermediaries.
In terms of organization structure, the board formulates larger policy issues and
exercises overall control. The committees constituted by the board are broad based. The
day to day operations of the exchange are managed by the managing director and a
management team of professionals.
The exchange has a nationwide reach with a presence in 417 cities and towns of India.
The systems and processes of the exchange are designed to safeguard market integrity
and enhance transparency in operations. During the year 2004-05, the trading volumes
on the exchange showed robust growth.
The exchange provides an efficient and transparent market for trading in equity,
debt instruments and derivatives. The BSEs Online Trading System (BOLT) is a
proprietary system of the clearing and settlement functions of the exchange are ISO
9001:2000 certified.

SEBI (Securities and Exchange Board of India)

In 1998, the SEBI was established by the Government of India through an


executive resolution, and was subsequently upgraded as a fully autonomous body (a
statutory board) in the year 1992 with the passing of the SEBI act on 30th Jan 1992. In
place of Government control statutory and autonomous regulatory boards with defined
responsibilities, to cover both development and regulation of the market, and
independent powers have been set up. Paradoxically this is a positive outcome of the
securities scam of 1990-91.
The basic objectives of the board were identified as:
To promote the interests of investors in securities.
To promote the development of securities market.
To regulate the securities market and
For matters connected there with or incidental there to.

Since its inception SEBI has been working targeting the securities and is
attending to the fulfillment of its objectives with commendable zeal and dexterity. The
improvements in the securities markets like capitalizations requirements, margining,
establishments of clearing corporation etc. reduced the risk of credit and also reduced
the market.
SEBI has introduced the comprehensive regulatory measures prescribed norms, the
eligibility criteria, the code of obligations and the code of conduct for different
intermediaries like, bankers to issue, merchant bankers, brokers and sub-brokers,
registrars, portfolio managers, credit rating agencies, underwriters and others. It has

framed by-laws, risk identification and risk management systems for clearing houses of
stock exchanges, surveillance system etc. which has made dealing in securities both safe
And transparent to the end investors.
Another significant event is the approval of trading in stock indices (like S&P CNX
Nifty and Sensex) in 2000. A market index is a convenient and effective product because
of the following reasons:
It acts as a barometer for market behavior.
It is used to benchmark portfolio performance.
It is used in derivative instrument like index futures and index options.
It can be used for passive fund management as in case if index funds.

Two board approaches of SEBI is to integrate the securities market at the national
level, and also to diversify the trading products, so that there is an increase in number of
traders including banks, financial institutions, insurance companies, mutual funds,
primary dealers etc. to transact through the exchanges. In this context the introduction of
derivatives trading through Indian stock exchanges permitted by SEBI in 2000 AD is a
real landmark.
SEBI appointed the L.C. Gupta Committee in 1998 to recommend the regulatory
frameworks for derivatives trading and suggest by-laws for regulation and control of
trading and settlement of derivatives contracts. The board of SEBI in its meeting held on
May 11, 1198 accepted the recommendations of the committee and approved the phased
introduction of derivatives trading in India beginning with stock index futures. The

board also approved the Suggestive by-laws as recommended by the Dr. L.C. Gupta
Committee for regulation and control of trading and settlement of derivatives contracts.
SEBI then appointed the J. R. Verma Committee to recommend Risk Containment
Measures (RCM) in the Indian stock index futures market. The report was submitted in
November 1998.
However the Securities Contracts (Regulation) act, 1956 (SCRA) required amendment
to include derivatives in the definitions of securities to enable SEBI to introduce
trading in derivatives. The necessary amendment was then carried out by the
Government in 1999. The Securities law (Amendment) bill, 1999 was introduced. In
December 1999 the new framework was approved.
Derivatives have been accorded the status of Securities. The ban imposed on trading in
derivatives in 1969 under a notification issued by the central government was revoked.
Thereafter SEBI formulated the necessary regulations and intimated the stock exchanges
in the year 2000. The derivatives trading started in India at NSE in 2000 and BSE started
trading in the year 2001.

RESEARCH METHODOLOGY

Research design -

Descriptive research

Statistical tools -

Percentage method

Research instrument -

Questionnaire

Questionnaire -

Open ended and close ended

Contact method

- Survey
- Personal interview
- Online interview

Method of data Collection

- Primary data and Secondary data

Sampling method

- Non-probability sampling

Sampling type

- Area sampling

Sampling unit

- Consumers

Sampling size

- 50

Research Design

There are three types of research design. They are


Descriptive
Exploratory
Explanatory

In this research the research design adopted is Descriptive research design.

Descriptive Research Design

It is designed to describe something, such as demographic characteristics of consumers


who use the products. It deals with determining frequency with something occurs or how
two variables vary together. This study is also guided by an initial
Hypothesis.

Importance of Descriptive Study

During the analysis of characteristics of certain groups, for e.g. users of a product
with different age, sex, education etc.
To forecast the future trends, e.g. sales of a companys product in each of next
five years.
To study whether certain variables are associated, e.g. income and usage of a
product.

Questionnaire Design

Designing and implementing the questionnaire is one of the most interesting and
challenging tasks of conducting research. Questionnaire designing also becomes
important and necessary when he/she observes that unless the data discussion or
otherwise is noted down, is basic form will be distorted. The questionnaire is the

backbone for obtaining data during a personal interview, telephone survey, and mail
survey.
Meaning of Questionnaire

A questionnaire is a form prepared and distributed to secure response to certain


question. The term questionnaire refers to a self-administration process here by the
respondent himself/herself reads the questionnaire and records his/her answer assistance
of an interviewer.
Purpose of questionnaire is two fold
To collect information from the respondent who are scattered in a vast area.
To achieve success in collecting reliable and dependable data.

Determining Type of Question

After specifying the required data, the researcher must decide the type of
question required to be asked from the respondents to collect this data. He/she must
understand various existing types of question and decide which of these would suit the
most of his/her project situation. There are different types of questions they are as
follows:

Direct question Direct question are just what their name indicates e.g. Have you ever
purchased brand?

Indirect question Indirect refers to those whose responses are used to indicate or
suggest date about respondents other than the actual facts given in the answer. For e.g.
why you think most other people buy prefer SHAREKHAN ?

Open ended question Sometimes these question are called free answer questions the
respondent answer in his/her words, for e.g. and open ended question on a study on
Orange squashes can be asked as what suggestion do you make for improving orange
squashes? In this case no answer choice is given to the respondent and he/she may give
any answer he/she thinks.

Close ended question Such guests are also called fixed alternative questions. The
alternative questionnaire may take the form of dichotomous question multiple choice
question checklist and rating scales, such as ordinal scale nominal scale etc.
Question method of data collection is quite popular and consists of question printed or
typed in a form or set of forms. Care was taken in the main aspect as general form.
Question sequence, question formulation and wording, the study was associated with
both the question i.e., closed ended and open ended questions. Free responses were
invited from the respondents.

Types of Questionnaire

The study conducted by using structural and undisguised questionnaire. It comprises of


both open and closed ended questions. Questions are rather framed for the customer
attitude including the multiple choice and dichotomous questions.
The following are the contact method generally user for survey.
1. Mail survey
2. Telephone interview
3. Personal interview

Method of Data Collection


The task of collecting data being after a research problem has been defined and plan is
chalked and plan is chalked out. This study pertains to collect data from primary sources
primary data and from secondary sources secondary data.

Primary data

Primary data are that information which is collected, fresh and for the first time thus
happens to be original in character primary data can be collected in marketing by three
basic methods, viz., survey, observation and experiments.

Secondary data

On the other hand are those, which have already been passed through the statistical
process.

The secondary data are that information which is collected from internal sources
as well as external sources, Wizs from the company own the records and documents.

Secondary data was collected from the registers, manuals, information bulletins
maintained by the personnel department and other records, information collected in this
manner was immediately complied processed manually and a statistical structure was
given to the data to help interpretation of the statistical data.

Sampling Procedures
Sampling can be carried out fewer than two important methods, in order to obtain a
respective of the sample they are classified as:

1. Probability sampling
2. Non-probability sampling

Sampling Size
50 consumers are taken as samples.

FINDINGS

In the prevailing competitive environment existing in the share industry, the


market potential and promotional strategy is changing from time to time. So there is a
need to analyze the market efficiency and promotional strategy prevailing in the market
for the development of SHAREKHAN .

It is found from the study customer awareness toward SHAREKHAN in different


aspects are as follows:
1. AGE wise highest people come between the age of 40 50 i.e. 20.
Second highest 20 30 i.e. 18.

2. As SHAREKHAN deals with online shares, 47 of the customers


are aware of the online shares and 3 of the respondents are not
aware of online shares.

3. out of 50 respondents , 14 believe that shares offer an investment


policy , 12 people are believes that shares are earn quick profit /
gain , 10 are believe that it is a part of an investment , 14 people
are believes that shares are useful for easy liquidity.

4.

Maximum no. of customers got knowledge about SHAREKHAN


through Friends that is 24, next to that they come to know through
the Share Brokers that is 12 and rest of the customers through
online adv. and bankers.

5. Majority of the customers main objective is to invest in shares is


earn high returns that is 17 , easy liquidity around 8 , 10 of the
respondents invest because of the tax-saving rest to 15 capital
appreciation in long run. So overall result is people invest shares
only for earning high dividends and Capital appreciation for long
term .

6. Around 8 of the customers invest shares in the time gap within 3


months. 22 of the customers invest Monthly. It is the major in
numbers.

7. When we talk about risk taking, 11 people are take risk on the
depends on market, 10 people are take risk on a particular brand
only, 17 people are take risk for them cant say.

8. 15 of the customers feels slow operations, inaccessibility to the


service center and fund transfer facility and 7 very few customers
are dissatisfied for their delayed correspondence.

9.

The brokerage charges are highly Dissatisfied by 15 of the


customers, 7 says dissatisfied, 9 are moderate and 12 are satisfied.
Only 7 of the customers say highly satisfied so almost 70% of
them are Highly Dissatisfied with the brokerage charge.

10. 40 of the customers are satisfied with the BTST provided by the
company; only few customers that are 10 are not satisfied and
said no.

11. AMCs absence in the company is aware to all 50 of the


customers and not aware that is 0.

12. Companys TRADE TIGER software used for online transaction


is aware to 47 of the customers and only few, 3 are not aware.

CONCLUSION

Share trading as a whole is now considered as a specific sources of investment.


With the advent of new online based trading customers are very much satisfied. Share
trading industry has reviewed up its standards once again investment centers.

It can be explicitly noted from the project that the awareness level are high with
the present youngsters and the middle-aged group which can be observed as a positive
sign for the growth of the industry. The effectiveness of the other supporting instrument
like client relationship can be further improved so that the impact will be high.

It doesnt end at just opening the demat account but the actual implementation is
considered with the customer related services. The customer should be updated on recent

trends market news and the value of the investment that increases their satisfaction and
awareness and trust on the company.

RECOMMENDATIONS

From the analysis of the survey and personal observation of the customer towards
the awareness of the share and the share company SHAREKHAN. Lots of experience
gained from the survey. This will help the company to survive in the market and also
improvise their market potential in the current competitive environment. With this the
company should take immediate steps to improve the nature of the business.

From the survey: 1) Try to encourage people who come between the age group of 30 40. They are
very less in number.

2) Most of the customers got information about the company only through the
Friends. The company should take necessary steps to concentrate on the
advertisements. Through they are advertising online, it is necessary to advertise
in TV, radio, presses; only when they give these kinds of advertisements they
can get lots of customers. Also they have to go for boarding, which can be
viewed by everyone passing by.

3)

It was found that maximum no of customer is investing in shares after a time


gap of 3 months. The company should explain the benefits of intraday (buy
today and sell today) operations certain customers invest in shares with a long
term on capital apperceptions. The benefits of short term trading can be
explained to the customers so that they may be persuaded to go in for the same.

4) There is an unfavorable feedback from the customers about brokerage charges


as per transactions. . The company should take necessary steps to concentrate on
the Brokerage charges according to competitors.

5)

Many of the customers are not aware of my broker software. This usefulness
should be explained to them.

6) Customers with money to invest may be living in isolated areas with no proper
telephone or computer facility, the company may think of deputing relationship
managers to help the customers through proper guidance and by passing on
relevant information.

7) More number of customers is dissatisfied with slow operation and delay


operation of transaction, so it is advisable to take some steps for that.

BIBILIOGRAPHY

WEBSITES

www.sharekhan.com
www.economictimes.com
www.moneycontrol.com
www.bseindia.com
www.nseindia.com
www.sebi.gov.in
www.investors.com
www.investopedia.com

BOOKS

Professional Stock trading by Mark R. Conway


Better Stock Trading: Money and Risk Managementby Daryl Guppy
Business of Share Trading: From Starting Out to Cashing in with Tradingby
Leon Wilson