Different Modes of Investment of FSIBL

LETTER OF TRANSMITAL
18th September, 2019

To,
Dr. Rajib Chakraborty,
Chairman,
Department of Business Administration,
Port City International University.

Subject : Submission of Internship report.

Dear Sir,

With due respect, I would like to notify you that it is a great pleasure for me to submit my
internship report on “Different Modes of Investment of First Security Islami Bank
Limited(FSIBL)-A Study on Rahattarpul Branch, Chittagong”. This internship opportunity
has helped me to learn and gather vast knowledge about how the banking industry operates. I
have tried my best to incorporate as much reliable data as possible and given a lot of efforts
to accomplish the report. I am very much indebted to you for providing guidance during the
preparation of the report. I have thoroughly enjoyed preparing this report as a requirement of
the internship report of “Bachelor of Business Administration (BBA)”.

I will be highly encouraged if you receive my report and grateful to you for your relentless
guidance which helped for completion of my report. Thank you for your kind and helpful
cooperation in directing me as to how to prepare this report.

Respectfully,

--------------------------
Md. Sazzad Hossain,
ID: BBA 00805546.
Major : Finance
Department of Business Administration
Port City International University.

Port City International University ii

Different Modes of Investment of FSIBL

CERTIFICATE OF SUPERVISOR

The report titled “Performance analysis of different modes of investment of First Security
Islami Bank Limited (FSIBL)” is submitted as partial requirement of BBA program. This
report has been prepared by, ID: BBA 00805546, Major in Finance, BBA program at Port
City International University, under my supervision and guidance. This report is approved
and accepted.

I am pleased to state that Md. Sazzad Hossain worked hard in preparing this report and he has
been able to present a good report. The data and findings presented in the report seem to be
authentic.

I wish her every success in life.

Best regards.

--------------------------
Dr. Rajib Chakraborty,
Chairman,
Department of Business Administration,
Port City International University.

Port City International University iii

Different Modes of Investment of FSIBL

STUDENT DECLARETION

I am Md. Sazzad Hossain, hereby state that the presented report of internship titled “Different
modes of investment of the First Security Islami Bank Limited (FSIBL)”, is exclusively
prepared and updated by me after completion of three months’ work in First Security Islami
Bank Limited, (Rahattarpul Branch, Chittagong). I solemnly confirm that the report is
entirely prepared for my academic requirement not for any other purposes.

The entire work has been planned and carried out by me under the supervision of Dr. Rajib
Chakraborty, Chairman of Business Administration, Port City International University.

--------------------------
Md. Sazzad Hossain,
ID: BBA 00805546.
Major : Finance
Department of Business Administration
Port City International University.

Port City International University iv

Different Modes of Investment of FSIBL

ACKNOWLEDGEMENT

At first I honestly acknowledge my heartiest gratitude to the almighty, the most gracious, the
benevolent and the merciful Allah who has given me the opportunity and strength to
complete this great task within the desired time.

At the very outset of submitting the internship report, I wish to express my sincere gratitude
to my honorable supervisor, Dr. Rajib Chakraborty, Chairman, Department of Business
Administration, Port City International University, for his able guidance, continuous
encouragement, valuable comments and suggestion and generous help during the report
generation work. His unlimited patience and special care have been of immense benefit to me
in completion of this work.

I am also so much grateful to Md. Nazim Uddin, AVP and Manager of First Security Islami
Bank Limited, Rahattarpul branch, Chittagong, Nadira Begum, Operation Manager, Md.
Mizanur Raaman, Senior Officer and all the employee of First Security Islamic Bank
Limited, Rahattarpul branch, Chittagong.

Last of all, grateful acknowledgement to the authority of First Security Islami Bank Limited
for giving me the opportunity to complete my internship in their reputed bank.

I have prepared this report on the basis of our knowledge and understanding of the program. I
have tried to make it precise and concise as well as informative.

As a final point, I take responsibility for any deficiency that might have crept in the report.

Port City International University v

Different Modes of Investment of FSIBL

EXECUTIVE SUMMARY

As a part of BBA program, it is required to have internship program with an organization for
three months. Therefore, I have completed my internship with FSIBL, Rahattarpul branch,
Chittagong and prepared the report on “Different modes of investment of the First
Security Islami Bank Limited’’. During the internship period, I have tried my best to get
knowledge about their overall banking operation with special emphasis on the investment
performance.

Investment is the main part of bank as the greatest share of total revenue of the bank is
generated from it and risk is centralized in it. The investment policy of FSIBL is to invest on
the basis of profit-loss sharing system in accordance with the tents and principles of Islamic
Shariah.

The main objective of the study is to analyze the modes of investment performance of FSIBL,
Rahattarpul branch, Chittagong. For collecting the data, both primary and secondary sources
have been used to ensure that the information compiled in the report is accurate.

The investment department of FSIBL, Rahattarpul branch, Road branch is running efficiently
where Bai-Murabaha is the main investment mode of the branch, deposit collection of the
branch is in fluctuating trend Rahattarpul road branch invests highly in trading and
manufacturing sector and profit on investment in Rahattarpul branch is increasing gradually.
In light of findings, some recommendations are also given in this report. FSIBL may follow
these suggestions to provide better service to the customers. To sum up, this report has
aspired to attain conclusion. First Security Islami Bank Limited is a Shariah based Islamic
bank in nature. It is now progressing rapidly in the country’s banking sector. FSIBL is
facilitating all banking services to its clients to contribute in sustainable economic growth as
well as moral, material development of human beings.

Port City International University vi

Different Modes of Investment of FSIBL

Table of Contents

Serial Contents Page

no. No.

1 Letter of Transmittal II
2 Certificate of Supervisor III
3 Student Declaration IV
4 Acknowledgement V
5 Executive Summary VI

Chapter 1
Background of the study
1.1 Introduction 2
1.2 Origin of the Study 3
1.3 Objectives of the Study 3
1.4 Scope of the Study 4
1.5 Methodology of the Study 4
1.6 Sampling 5
1.7 Sampling Elements 6
1.8 Limitation of the Study 6

Chapter 2
Review of Literature
2.1 Introduction 8
2.2 Literature Review 8

Port City International University vii

Different Modes of Investment of FSIBL

Chapter 3
Overview of Bank
3.1 History 12
3.2 Vision 12
3.3 Mission 12
3.4 Strategies 12
3.5 SWOT Analysis of FSIBL 13
3.6 Objectives 15
3.7 Special Features of FSIBL 15
3.8 Corporate Information 16
3.9 Branches of FSIBL 17
3.10 Product and Services of FSIBL 17

Chapter 4
Different Investment Moods of FSIBL
4.1 Investment Activities of FSIBL 22
4.2 Objectives Principles of Investment 22
4.3 Sources of Fund 22
4.4 Main Mechanism and moods of Islamic bank 25
4.5 Different types of Investment Made by FSIBL 31
4.6 Bai-Muraabaha Post Import 33
4.7 SME Investment 33
4.8 Quard Investment 34
4.9 Agricultural Investment 35
4.10 HPSM Consumer Investment 36
4.11 Loan and Advance in FSIBL 37

Port City International University viii

Different Modes of Investment of FSIBL

Chapter 5
Data Analysis of FSIBL
5.1 About ATM Service 40
5.2 About Retail Banking 44
5.3 About Local Ambience 47
5.4 About Remittance 51
5.5 About Grievance Handling 53

Chapter 6
Finding, Recommendation and conclusion
6.1 Recommendation 56
6.2 Conclusion 57
6.3 Reference 58

Port City International University ix