Professional Documents
Culture Documents
Here a study has been undertaken at INDIA BULLS assessing the satisfaction
levels of the clients of Indiabulls.
The need for this research is to emphasis the expectations of clients of Indiabulls
and how the company is performing in contrast to the expectations and able to
provide satisfaction.
Just to put things in perspective, India has 330 million bank accounts. The mutual
fund industry has 30 million unique folios. Unfortunately, in the broking industry,
the number of people with Demat accounts has continued to stagnate at 5.85
million in the last 10-12 years, which is worrisome. Every industry in India has
grown over the last 10 years except this one. Whatever retail participation exists is
coming from bigger cities such as Mumbai and Delhi. The services have not
reached bottom-of-the-pyramid towns.
So, this study becomes even more important to help India bulls know the
satisfaction level of their customers. It will also help India bulls to focus on what
aspects they lag behind so that they can provide a better service to their customers
and satisfy them.
The study begins by taking a look at the development of capital markets and stock
broking industry in India. Then a study of the company profile is done. For
understanding customer satisfaction level and their expectation a survey of 100
clients of Indiabulls is done using random sampling. The survey reveals that the
overall customer satisfaction level is above average. The study concludes with
some recommendations.
MONEY MARKET
The Money Market refers to the market where borrowers and lenders exchange short-term funds
to solve their liquidity needs.
CAPITAL MARKET
The Capital Market is a market for financial investments that are direct or indirect Claims to
capital.
SECURITIES MARKET
It refers to the markets for those financial instruments/claims/obligations that are commonly and
readily transferable by sale. It has two inter-dependent and inseparable segments, the new issues
(primary) market and the stock (secondary) market.
A stock market, or equity market, is a private or public market for the trading of company stock
and derivatives at an agreed price; these are securities listed on a stock exchange as well as those
only traded privately. The size of the world stock market is estimated at about $36.6 trillion US
at the beginning of October 2008.
FOREX MARKET
The foreign exchange market (currency, forex, or FX) market is where currency Trading takes
place. It is where banks and other official institutions facilitate the buying and selling of foreign
currencies. The FX market is one of the largest and most liquid financial markets in the world,
and includes trading between large banks, central banks, currency speculators, corporations,
governments, and other institutions
DERIVATIVE MARKET
Derivatives are financial contracts, or financial instruments, whose values are de- rived from the
value of something else (known as the underlying). The underlying on which a derivative is
based can be an asset (e.g., commodities, equities (stocks), residential mortgages, commercial
real estate, loans, bonds), an index (e.g., interest rates, exchange rates, stock market indices,
consumer price index (CPI) see inflation derivatives), or other items (e.g., weather conditions, or
other derivatives). Credit derivatives are based on loans, bonds or other forms of credit
Derivative is a product whose value is derived from the value of one or more basic variables.
Underlying Asset can be Equity, Forex, commodity or any other asset.
FORWARDS:
A forward contract is a customized contract between two entities, where settlement takes place
on a specific date in the future at today’s pre-agreed price.
A future is a contract to buy or sell an underlying asset at a specified future date, at a specified
price. These contracts are traded and settled on exchanges. Future contracts can be on individual
scrip’s or indices.
OPTIONS:
An options agreement is a contract in which the writer of the option grants the buyer of the
option the right to purchase from or sell to the writer a designated instrument at a specific price
within a specified period of time.
To know the customers’ expectations on Investment Products and services offered by India bulls.
The main purpose of the study is to know the expectations of thosecustomers who invested in
India bulls and the satisfaction levels of customer with the services provided by the Indiabulls
Asset Management Company
This study was conducted at MG Road, Bangalore branch of Indiabulls. The survey was done
during August and September 2010.
2.5 METHODOLOGY:
A survey was conducted to understand the level of customer satisfaction at India bulls M.G Road
branch Bangalore.
The study required data to be collected from both primary and secondary sources. Primary data
was collected from the survey.
In this research, the universe taken is the customers visiting the Indiabulls, M.G Road branch.
Primary Data: In order to collect data a structured questionnaire is prepared. The questionnaire
is designed to elicit customers’ ratings of various products and services offered by the company.
Secondary Data: The secondary data was obtained from the following sources:
I. Company Brochures
II. Company Website
2.6 LIMITATIONS:
A. As the data was collected through questionnaire, there are chances of biased information
provided by the respondent.
C. The survey was limited only to Bangalore. Hence its outcomes may not be applicable to
other geographical areas.
D. The study was conducted between Aug- Sept 2010. Its outcomes mat not be applicable
for other time periods.
Chapter 1 deals with the Indian Financial System. A Financial system is a set of institutional
arrangements through which financial surpluses are mobilized from the units generating surplus
income and transferring them to the others in need of them. The activities which include
production, distribution, exchange and holding of financial assets/instruments of different kinds
by financial institutions, banks and other intermediaries of the market.
Chapter 2 deals with the Title of the Problem, Objectives and Scope of the study, methodology
and limitations of the study. Under methodology, we use Primary Data – Questionnaire,
Interviews etc., and Secondary data – Internet search engines, company literature etc.,
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Chapter 3 deals with the Indian Brokerage Industry – its inception, indian and world scenario.
The Indian broking industry is one of the oldest trading industries that have been around even
before the establishment of the BSE in 1875.
Chapter 4 deals with the company profile of INDIA BULLS – its incorporation, angel investors,
products and services, competitors and SWOT Analysis.
Execution only:
In this service the broker only carries out the trading according to the direction of the investor.
This is the basic and the most commonly used service of the brokers.
Advisory dealing:
In this service the broker not only performs the buying and selling instructions of the client but
also advises the investor about which stock to buy and which stock to sell.
Discretionary dealing:
This is the most comprehensive service that a broker provides. In this case the broker has the
discretionary power to take the investment decisions on behalf of the investor.
The first publicly issued security can be traced back to the fourteenth century in Venice where
the government made the first known issue of bonds. Merchants and landowners as investments
purchased these government securities. The need for stock exchanges developed out of early
trading activities in agricultural and other commodities. In and around 1750s in England, traders
in the shares of early companies would commonly meet in Jonathans Coffee House to trade
shares and make business deals. Early share bids and offers were written on the Coffee House
walls and the trading process was highly unregulated, with insider trading forming the basis for
most investment decisions. By 1773, Trading Clubs had formed, and in 1801 a group of traders
3. NASDAQ 9. STRAITS
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
The securities market has essentially three categories of participants, viz., the issuer of securities,
the investors in the securities and the intermediaries. The issuers are the borrowers or deficit
savers, who issue securities to raise funds. The investors, who are surplus savers, deploy their
savings by subscribing to these securities. The intermediaries are the agents who match the needs
of users and suppliers of funds for a commission. These intermediaries function to help both the
issuers and investors to achieve their respective goals. There are large variety and number of
intermediaries providing various services in the Indian securities market.
As per SEBI (Securities and Exchange Board of India.) regulations, only registered members can
operate in the stock market. One can trade by executing a deal only through a registered broker
of a recognized Stock Exchange or through a SEBI- registered sub-broker. The financials and
investment industry is a highly competitive in nature with almost well established firms
diversifying and entering into this industry. As of today there are Over 2000 brokers, 10000 sub
brokers and 1 core investors. It is highly Competitive with entry of new aggressive players.
Retail broking is highly fragmented industry with falling brokerages value added services and
online trading.
✔ Indiabulls
✔ ICICI Direct
✔ Angel Broking
✔ Can Money
✔ Geojit
✔ HDFC Securities
✔ Kotak Securities
✔ Reliance Monthly
✔ Religare
✔ Share Khan
C h 4
Securities limited is a premier brokerage house in India on the fast growth track.
Indiabulls Securities Limited is part of the Indiabulls group of companies. Indiabulls group is
Today Indiabulls Securities limited is India’s leading capital markets company with All-India
Presence and an extensive client base. Indiabulls Securities is the first and only brokerage house
in India to be assigned the highest rating BQ – 1 by CRISIL. Indiabulls Securities Ltd is listed on
NSE, BSE & Luxembourg stock exchange., the National Securities Depository Ltd and Central
Depository Services (India) Limited.
To help the clients better Indiabulls Securities limited has located their offices in major towns,
and placed highly qualified and experienced financial experts to man them. A team of dynamic
finance professionals with decades of experience leads them. These professionals share a
common vision not only to transform the company into a highly professional organization, but
also make their clients earn the maximum from their hard-earned money.
Vision:
Securities Limited
AREA OF OPERATION-
Functional structures are perhaps the most common organizational model used by companies;
alternatives include matrix arrangements or business unit teams.
Our Company may be unable to use the proceeds of the Issue for the intended purpose, due to
unplanned acquisitions, unplanned capital expenditure requirements, unforeseen losses or
potential legal liabilities. The failure to use the proceeds for the intended purposes will be
harmful to us and would hamper our growth potential in the existing businesses. Our Company
does not have a proven track record in handling businesses that it may enter through the
acquisition route or otherwise and hence the success of new businesses in the overall growth
strategy of our Company cannot be predicted.
SALES DEVELOPMENT
Responsible for making sure that customer is happy
PURCHASE DEPARTMENT
Responsible for doing all the shopping of business
Establish and maintain an excellent Supplier relationship.
Manages stock.
FINANCE DEPARTMENT
Responsible for managing all the finance of the company.
Pay bills on behalf of Organization.
Works closely with HR department so the wages can be paid to employees.
Advertisement Department
Bring a product or service to tension and attention of potential and current customers.
Aims at profits as the advertising department generates resources for the company or institution.
Power Indiabulls:
It is the advanced online trading platform from Indiabulls Securities Limited. PIB provides the
best in the class internet trading features and delivers a seamless and rich online trading
experience for its users. PIB comes with a whole host of online features for the internet trading
users ranging from real-time stock prices, to live trading reports, charting, News Room. PIB
provides an integrated online trading platform for the internet trading community to invest in
equity, F&O, Online IPOs and base their decision on sound fundamental research and technical
analysis. It also provides various kinds of trading reports, each developed to cater to internet
trading users’ distinct needs.
PIB is the internet based stock trading application, which provides you an unparalleled edge to
trade in Indian stock markets. Here are some of the compelling reasons, why you should
subscribe for Power Indiabulls (PIB)
V. Technical Analysis
VII.Customizable Alerts
VIII.Extensive Reports
With Indiabulls Signature account you will always remain on top of your investments. It
provides you the platform to trade in Equity and Derivatives. With an unmatched service and
nationwide presence, the Indiabulls Signature account comes bundled with a variety of exclusive
features.
1. Ease of trading – With Indiabulls Signature account you have the flexibility to place
your orders either by logging on the website, calling at the branch or walking in the branch.
2. Dedicated Service Branch and Relationship Manager: You can get in touch with your
Relationship Manager and Service Branch for all your trading related requirements.
3. Power Indiabulls (PIB): You can trade smarter and faster using the Power Indiabulls
application. Access the broad spectrum of sophisticated trading tools and get an edge in the stock
markets.
4. Online Payment Gateways: Use our online payment gateways facility and get instant
credit in your Trading Account. We currently provide online gateway payment facility with five
major banks – HDFC, ICICI, AXIS, CITI and IDBI.
5. IPOs – Indiabulls provides you the flexibility to apply in ongoing IPOs through either
online or offline channels. For applying online, you do not need to fill tedious forms and write
cheques. You can apply conveniently in IPOs from the comfort of your home / office through
our Website/PIB. For applying offline, you can contact your Relationship Manager/ Service
Branch.
6. Portfolio Tracker: You can track your investments online through our portfolio tracker
functionality. You can conveniently track the daily movement, notional / booked profits and
losses in your portfolio.
8. News Room: The News Room provides real-time news from stock-markets, corporate
sector, economy and other segments that have a bearing on the market sentiment.
9. Market Statistics: This functionality facilitates tracking the market trend by providing
you real time data on top gainers, top losers, volume toppers and most volatile stocks.
11. Electronic Contract Notes on Email: This facility enables you to get digitally signed
Electronic Contract Notes on email within 24 hours of executing trades in your Trading Account.
12. Introducing Intraday Futures: Intraday Futures Product enables you to take intraday
positions in various future contracts at lower margins. These positions have to be necessarily
squared-off at the day end.
13. Security Token: Security Token, the new age security tool to make your trading
experience totally secure by using two factor authentication mechanism.
14. Comprehensive Reports: Track your financials and portfolio efficiently through various
reports like Ledger Statements, Account Summary, Net Portfolio Report, Daily Transaction
Report, Daily Transaction report etc.
Depository Services:
Indiabulls is a depository participant with the National Securities Depository Limited and
Central Depository Services (India) Limited for trading and settlement of dematerialised
shares. Indiabulls performs clearing services for all securities transactions through its
accounts. We offer depository services to create a seamless transaction platform – execute
trades through Indiabulls Securities and settle these transactions through the Indiabulls
Depository Services. Indiabulls Depository Services is part of our value added services for
our clients that create multiple interfaces with the client and provide for a solution that takes
care of all your needs.
2. CDSL
in Indian Capital Markets. We, at Indiabulls, provide NRI clients a fast and secure trading
platform which would perfectly cater to NRI's Trading requirements. To start trading through
Indiabulls , the following simple steps need to be followed:
1. Opening of Online NRI Trading and NRI Demat account with Indiabulls: Get in
touch with your nearest Indiabulls service branch (Branch Locator) to complete all the
Trading and Demat account opening formalities.
2. Opening of a NRI PIS account with Axis bank: A NRI is required to open a PIS
account (Portfolio Investment Scheme) with a designated bank in India.
3. Documentation required: The following proofs need to be submitted along with the
Trading and Demat account opening forms:
○ Copy of passport (copy of the pages containing the Name, address and
photographs)
○ Valid & self-attested Proof of Identity and Proof of Address (Indian and Foreign).
You can initiate trading in Currency derivatives Segment by following a simple registration
procedure. Indiabulls also offers you the convenience of Online Trading in Currency Derivatives.
For registration in CDS and availing Online Trading facility, please contact your Service
Branch / Relationship Manager.
Equity Analysis :
Indiabulls Equity Analysis complements its equity broking and advisory services with high
quality comprehensive report which can be accessed online. Research report assess the potential
strength and investment risk by doing in-depth and exhaustive analysis of operational and
financial performance of company, Peer group analysis, present Industry scenario using
4. Peer Analysis
6. Industry Scenario
7. Expansion plan
Now you have the convenience at your fingertip. You can quickly and seamlessly apply to the
latest public offerings with just a few clicks. Indiabulls Securities Ltd. offers IPO Online facility
to its registered trading customers at absolutely no cost.
To use the IPO Online feature, you need to fulfill the following criteria :
1. You must be registered for internet trading with Indiabulls Securities Ltd.
4. You must have access to Net Banking facility with those banks with which Indiabulls is
providing Payment Gateways. Currently, we are providing payment gateways for ICICI, IDBI
and HDFC Banks.
Group of Companies:
Indiabulls Securities Limited is a big player financial market that has put the
brokerage business on fast growth track over the years. They are providing through
Indiabulls
• Equity Research
• Commodities
• Internet Trading
• Business loan
• Home loan
• Insurance distribution
Indiabulls group is leading financial services and Real estate player with a pan
India presence is India’s leading capital Markets Company with All-India Presence
and an extensive client base. Indiabulls Securities possesses state of the art trading
platform, best broking practices and is the pioneer in trading product innovations,
indiabulls is providing:
• Commercial
• Residential
• Sezs
• Organized Retails
• Indiabulls Marts
Indiabulls Power:
• Other Project
• ICICI Direct
• Share khan
COMPETITOR ANALYSIS
On the basis of brokerage charges:
There are the two type of the transaction:-
1. Intra-day based.
2. Delivery based.
2 Brokerage comparison
Comment:- According to the graph HDFC securities charge maximum brokerage as compare
to others whereas India Infoline Ltd. charge only 0.20 paisa on maximum investment.
Sharekhan ltd:- There is no ACCOUNT OPENING CHARGES but require margin money
of Rs 5000 for trading purposes.
ICICI direct:- A one-time charge of Rs. 750 at the time of account opening will be charged.
You may later upgrade your Invest account to an ICICI direct.com share trading account when
you desire to trade in equity.
India Infoline:- There is a nominal charge of Rs. 500 only towards stamp duty, legal and
processing fees for opening the account. This includes the registration and account opening
charges. Bank and Depository Participant (DP) account opening charges, if applicable, are
payable separately.
KARVY consultants ltd:- Account Opening Charges are Rs.452 But now SEBI banned on
opening of new demat account of Karvy.
Indiabulls:- Account opening charges are Rs. 900. There is no AMC and no margin money is
required.
Comment:- IndiaBulls charge maximum account opening charges but there are no account
maintenance charges for the same and it is a lifetime account whereas other brokers do have
account maintainance.
Forward trading mechanism with rolling settlement has brought about transparency. India has a
vibrant capital market comprising 23 stock exchanges with over 9000 listed companies. Market
capitalization of stocks traded on the Indian bourse touched an all time high of USD 292 billion
The Mumbai stock exchange being the second largest in the world after the NYSE, continues to
be the premier exchange in the country with an increase in market capitalization from USD 40
billion in 1990-91 to over USD 250 billion in 2003. The stock exchange has about 5,600 listed
companies and an average daily volume of approximately USD 1 billion. The combined market
capitalization of over 5000 companies listed on BSE was estimated to be INR 17 lakh crore in
May/ 2005/12.
India has one of the lowest transaction costs based on screen based transactions, paperless
trading and a T+2 settlements cycle. Many new instruments have been introduced in the markets,
including index futures, index options, derivative, options and futures in select stocks. The
volumes in derivatives trading have been increasing across the National Stock Exchange and
Mumbai Stock Exchange.
OBJECTIVES
1. .
To know the strength,weakness, Opportunity and Threat to Indiabulls
2. To study the financial services provided by Indiabulls.
SWOT MATRIX:
ENVIRONMENTAL SCAN
INTERNAL EXTERNAL
ANALASIS ANALASIS
STRENGTH OPPURTUNITES
WEAKNESS
THREAT
Strengths of Indiabulls:
Weakness of Indiabulls:
1)It should have its own mutual funds as Indiabulls is providing
advises in mutual fund.
2)It should provide tips via SMS.
3)There should be a separate set of staff working in fields and
trading on behalf of their clients:
OPPURTUNITIES TO INDIABULLS:
Financial services like banking
1)Market expansion i.e. opening branches at untapped areas
2)Indiabulls is registered with Luxembourg stock exchange and so can
target other
stock exchanges.
3)ATM facility should be provided for easy withdrawals.
4)The Capital market in the last few years has turned out to be one of
the favorable
avenues for the retail investors
5)Scope of online trading on BSE.
6)Indiabulls has tied up with other third party companies to sell their
products. Due to the high client base of Indiabulls
Companies like Share khan, ICICI Direct, Kotak, and Private Brokers are
major threats to Indiabulls.
1)Banks with demat facility jockeying for position.
2)Local brokers capable of charging lower brokerage.
3)Industry competitors vying for the same target segment.
4)Changes in SEBI guidelines & other tax implications.
5)Government Regulations.
LIMITATION:
1) Most of people don’t know about the Share Market.
2) Mostly people believe in saving a\c, fixed deposits etc. they
don’t want bear any risk. They want safety and security of their money.
3) Lack of data because of the Company certain constraint of data
sharing.
4) Lack of co-operation from the employees of the Company
because of their busy schedule.
5) To understand the concept of Share Market is a very tough job.
6) Time constraint play important role. Nobody is having so much
time to spend on people
YEARS OF NO.
ASSOCIATION CUSTOMER PERCENTAGE
Less than 5 year 19 19
5 to 10 year 57 57
More than 10
year 24 24
Total 100 100
Analysis: The above table shows that 57% customers are associated with
Indiabulls more than 10 year and 57% are associated between 5 to 10 year and rest
of customer are associated between 0 to5 year.
Interpretation: The above chart shows clearly that most of the customer of India
bulls 5 to 10 years old in trading permanently.
Analysis:
Interpretation:
The above chart shows clearly that most of the customer of India bulls feel that
products and services is very good.
Table-5
Analysis:
The above table shows that 21% customers rated as delivery on time as
expectations is Excellent,63% rate as Good,15% rate as Satisfactory, and 1%
customers rate as poor.
Interpretation:
It is found from the above analysis that the delivery on time performance and
commitment about the same has been able to satisfy most of the customer as they
found it to be good.
Interpretation:
The above chart shows clearly that most of the customers of India bulls feels that
company competitiveness in terms of total cost is really good .
Table-7
Analysis:
The above table shows that 7% customers rated the technical support as
Excellent,34% rated as Good,19% rated as Satisfactory, and 40% customers rated
as poor.
Interpretation:
According to most of the customers the technical support provided by Indiabulls is
rely poor and need improvement.
Table showing customer rating of the products and services, Which gives
maximum valule addition to them :
Table showing customers rating of products and services which gave lest value
addition to them :
Analysis:
The above table shows that 37% customers are not happy with relationship
manager facility 49% wants to improve loan facility, and other 14 % want to
improve delivery, exposes and intraday facility etc.
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.
Interpretation:
The above chart shows clearly that most of the customer of India bulls feels the
need to improve RM facility, loan, and exposes etc.
No. of
Response Respondents Percentage
YES 77 77
NO 19 19
Don’t Know 4 4
Total 100 100
Table-10