Project Report

On
A Study of Satisfaction Level of Equity Sub-Broker
At

“MOTILAL OSWAL FINANCIAL SERVIVE LTD”

Submitted in partial fulfilment of requirement

the award of the degree of

Bachelor of Business Administration (B.B.A) General

TO

GURU GOBIND SINGH INDRAPRASTHA UNIVERSITY, DELHI

Under the Guidance of Submitted by

Mrs. PREETI VATS DIMPY YADAV
BBA VI SEM
00796701718

Session 2020-2021

Kamal institute of higher education and advanced technology

(Affiliated to Guru Gobind Singh Indraprastha University)
K-1, Ext. Mohan Garden, New Delhi-110059
 KAMAL INSTITUTE OF HIGHER EDUCATION AND
ADVANCE TECHNOLOGY
(Affiliated to Guru Gobind Singh Indraprastha University)
K-1 Extension, Mohan Garden, New Delhi-110059

To Whom It May Concern

I DIMPY YADAV, Enrollment No. 00796701718 from BBA VI SEM of
Kamal Institute of Higher Education and Advance Technology, Delhi hereby
declare that the Project Report (BBA312) entitled “A STUDY OF
SATISFACTION LEVEL OF EQUITY SUB-BROKER” at MOTILAL
OSWAL FINANCIAL SERVICE LTD _ is an original work and the same has
not been submitted to any other Institute for the award of any degree. A
presentation of the Project Report was made on _______________________
and the suggestions as approved by the faculty were duly incorporated.

Date: Signature of the Student

CERTIFICATE OF COMPLETION
This is to certified that the Project Report submitted in partial fulfillment of
Bachelor of Business Administration (BBA) to be awarded by G.G.S.I.P.
University, Delhi by DIMPY YADAV, Enrolment No. 00796701718 has been
completed under my guidance and is Satisfactory.

Date: Signature of the Guide

MRS. PREETI VATS
 EXECUTIVE SUMMARY

As a part of our study, I did my project in “Motilal Oswal Securities Ltd.”.

Basically, MOSL is in the broking industry providing a varied products and services
to their clients. MOSL is one of the leading broking firms at National level.
The project work on “A STUDY OF SATISFACTION LEVEL OF EQUITY SUB-
BROKERS”- wherein I found the possibilities for MOSL’s business expansion via
Franchisee in DELHI city. For which I have done my practical study on sub-brokers
survey in DELHI city.
MOSL, I also engaged myself in the work of searching for franchisee prospect.
I found out address of various franchisees from NSE sub-brokers list and from the
lead given by the visited sub-brokers themselves.
After finding out the address of franchisee, my starting point of research was visit them
and took detailed information from them.
I survey 50 sub-brokers and questioned them relating to the products & services
provided by their brokers, departments with their present brokers, business
development supports provided and required by them for their business development
and other personal information.
I also visited some of the leading regional brokers to make my selves more aware of
the market scenario. I also discussed this with our research guides (the assistant branch
manager and Business acquisition manager) and with also other staff of the branch.
From the data collected through questionnaire, I have found out the various
marketing strategies, possibilities that MOSL can use for acquiring business in the
future; in the other uncovered regions of DELHI.
I have found that MOSL is enjoying good reported place in the market through its
varied products and services, various department desk, its unique business models.
 TABLE OF CONTENTS

S.No. Topic Page

No.
I Certificate
II Acknowledgment
III Executive Summary
Chapter 1 Introduction 1
1.1 Industry profile 4
1.1.1 Over the counter exchange of India 7
1.1.2 National Stock Exchange of India 7
1.1.3 Division of Share Market 8
1.1.4 Major Players in the broking Industry 11
1.2 Company Profile 12
1.2.1 Introduction 13
1.2.2 MOSL Four Companies 14
1.2.3 Organization Structure 15
1.2.4 Values 16
1.2.5 Management Team 17

1.2.6 Trading Department 22

1.2.7 H.R Department 22
1.2.8 Awards & Accolades 24
1.2.9 Services By MOSL 25
1.3 Product Profile 26
1.3.1 Products & Services 27
1.3.2 New Offering 34
 1.3.3 Stoke Market Review 36

1.4 Theoretical Aspects of Business 38

1.4.1 Percentage of Sub-broker in Each region 39
1.4.2 Business Model 40
Chapter 3 Research Methodology 45
2.1 Statement of Problem 46
2.2 Hypothesis 46
2.3 Objectives of Study 47
2.4 Utility of the Study 48

2.5 Research Design 48

2.6 Sample Design 49
2.7 Source of Data 49
2.8 Limitation of the Study 49

Chapter 5 Data Analysis & Interpretation 50

Chapter 3 Findings & Recommendation 68

Chapter 6 Conclusion 80
Bibliography 82
Appendices 84
 CHAPTER 1
INTRODUCTION
INTRODUCTION

 Motilal Oswal Securities Ltd. (MOSL) was founded in 1987 as a small sub-
broking unit, with just two people running the show. Focus on customer-first-
attitude, ethical and transparent business practices, respect for
professionalism, research-based value investing and implementation of
cutting-edge technology has enabled us to blossom into an over 1600 member
team.
 Today Motilal Oswal has a well-diversified financial services firm offering a
range of financial products and services such as Wealth Management,
Broking & Distribution, Commodity Broking, Portfolio Management
Services, Institutional Equities, Private Equity, Investment Banking Services
and Principal Strategies.
 It has a diversified client base that includes retail customers (including High
Net worth Individuals), mutual funds, foreign institutional investors, financial
institutions and corporate clients. It’s headquartered in Mumbai and as of
March 31st, 2011, had a network spread over 611 cities and towns comprising
1,644 Business Locations operated by our Business Partners and us. As at
March 31st, 2011, MOSL had 709,041 registered customers
 MOSL is one of the best companies among Indian domestic broking houses
enjoying an unmatched and unparalleled brand recall. Motilal Oswal
Securities Ltd. Is financially sound and have an excellent track record of
consistent market growth in all key business segments.

 Company is committed to give their customers the best services and holding
to their core values which always place their client's interests first. These
values are reflected in their business principles, which emphasize integrity,
commitment to excellence, innovation and teamwork

 MOSL provide the solid research to their clients. As a part of project concern we are
studying the business models and for the growth of business which is the tools being used
and required by the sub-brokers
 So, this project aspires to know the competent market leaders, behavior of the
individual client. This also helps us to know the preferences of the Sub-
brokers to choose the main brokers so that they can provide good services
according to the sub- brokers requirements to make more and more sub-
brokers, individual client and other HNI clients.
1.1 Industry Profile

 Introduction:

 The Indian financial services industry has experienced significant growth in the
last few years. The Indian financial markets have considerably broadened and
deepened due to various financial market reforms undertaken by the regulators.
Introduction of innovative and diverse financial instruments and entry of large
domestic players and sophisticated international players have triggered this
growth.
 None banking financial services sector, such as equities, derivatives and
commodities brokerage, residential mortgage and insurance services, where new
innovative products and expanding delivery channels have helped these sectors
achieve high growth rates. Retail segment has grown multi-fold due to
Regulatory reforms, diverse asset instruments, changing demographic profile,
soft real interest rates and enhanced foreign participation (FIIs).
 Finance and investment industry is playing a vital role for the development of the
economy. Financial market in India is one of the oldest in the world and is
considered to be the fastest growing and best among all the markets of the
emerging economies. The history of Indian capital markets dates back 200 years
toward the end of the 18th century when India was under the rule of the East
India Company. The development of the capital market in India concentrated
around Mumbai where no less than 200 to 250 securities brokers were active
during the second half of the 19th century.
 The financial market in India today is more developed than many other sectors
because it was organized long before with the securities exchanges of Mumbai,
Ahmedabad and Kolkata were established as early as the 19th century. By the
early 1960s the total number of securities exchanges in India rose to eight,
including Mumbai, Ahmedabad and Kolkata apart from Madras, Kanpur, Delhi,
Bangalore and Pune. Today there are 21 regional securities exchanges in India in
addition to the centralized NSE (National Stock Exchange) and OTCEI (Over the
Counter Exchange of India).
 The international financial market over the world has grown very fast in the
recent years. The private capital market is consistently improving since 1997.
The buoyant capital flows among the nation's boundaries have raised the existing
strength of the financial market domestically as well as internationally.

 Trading Pattern of the Indian Stock Market

 Trading in Indian stock exchanges is limited to listed securities of public limited

companies. They are broadly divided into two categories, namely, specified
securities (forward list) and non-specified securities (cash list). Equity shares of
dividend paying, growth-oriented companies with a paid-up capital of at least
Rs.50 million and a market capitalization of at least Rs.100 million and having
more than 20,000 shareholders are, normally, put in the specified group and the
balance in non-specified group.

Two types of transactions can be carried out on the Indian stock exchanges:

 Spot delivery transactions "for delivery and payment within the time or on the
date Stipulated when entering into the contract which shall not be more than 14
days following the date of the contract": and

 Forward transactions "delivery and payment can be extended by further period of

 14 days each so that the overall period does not exceed 90 days from the date of
the contract". The latter is permitted only in the case of specified shares. The
brokers who carry over the outstanding pay carry over charges (can tango or
backwardation) which are usually determined by the rates of interest prevailing.

 A member broker in an Indian stock exchange can act as an agent, buy and sell
securities for his clients on a commission basis and also can act as a trader or
dealer as a principal, buy and sell securities on his own account and risk, in
contrast with the practice prevailing on New York and London Stock Exchanges,
where a member can act as a jobber or a broker only.
 The nature of trading on Indian Stock Exchanges are that of age old conventional
style of face-to-face trading with bids and offers being made by open outcry.
However, there is a great amount of effort to modernize the Indian stock
exchanges in the very recent times.

1.1.1 Over The Counter Exchange of India (OTCEI)

 The traditional trading mechanism prevailed in the Indian stock markets gave
way to many functional inefficiencies, such as, absence of liquidity, lack
of transparency, unduly long settlement periods and benami transactions, which
affected the small investors to a great extent. To provide improved services to
investors, the country's first ring less, scrip less, electronic stock exchange - OTCEI -
was created in 1992 by country's premier financial institutions - Unit Trust of India,
Industrial Credit and Investment Corporation of India, Industrial Development Bank
of India, SBI Capital Markets, Industrial Finance Corporation of India, General
Insurance Corporation and its subsidiaries and Can Bank Financial Services.

 Trading at OTCEI is done over the centers spread across the country.
Securities traded on the OTCEI are classified into: Listed Securities,
Permitted Securities, Initiated debentures.

 OTC has a unique feature of trading compared to other traditional exchanges.

That is, certificates of listed securities and initiated debentures are not
traded at OTC. The original certificate will be safely with the custodian. But, a
counter receipt is generated out at the counter which substitutes the share certificate
and is used for all transactions.
1.1.2 National Stock Exchange (NSE)
 With the liberalization of the Indian economy, it was found inevitable to
lift the Indian stock market trading system on par with the international
standards. On the basis of the recommendations of high powered
Pherwani Committee, the National Stock Exchange was incorporated in
1992 by Industrial Development Bank of India, Industrial Credit and
Investment Corporation of India, Industrial Finance Corporation of India,
all Insurance Corporations, selected commercial banks and others.

Trading at NSE can be classified under two broad categories:

1) Wholesale debt market 2) Capital market.

 Wholesale debt market operations are similar to money market operations

- institutions and corporate bodies enter into high value transactions in
financial instruments such as government securities, treasury bills, public sector
unit bonds, commercial paper, certificate of deposit, etc.

There are two kinds of players in NSE:

1) Trading members and
2) Participants.

 Recognized members of NSE are called trading members who trade on

behalf of themselves and their clients. Participants include trading
members and large players like banks who take direct settlement
responsibility.

 Trading at NSE takes place through a fully automated screen-based

trading mechanism which adopts the principle of an order-driven market.
Trading members can stay at their offices and execute the trading,
since they are linked through a communication network. The prices at
which the buyer and seller are willing to transact will appear on the
screen. When the prices match the transaction will be completed and a
confirmation slip will be printed at the office of the trading member.