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........ To Find Jobs in Banks Submit Resume Now................. 8 1........ ......... 19 3.............................6 1........... .........................5 Current Scenario...........................................1 Importance Of NBFC‘s.................2 Role of NBFC‘s......................................... 19 3............................... .. .............. 14 2........................................................com/Orkut Jobs in SBI....................... .............. ....... 5 1...................2 Regulations of NBFC‘s... .....google.................................................................................. .16 2........... MonsterIndia........... ...............................................com A Comparative Study Of NBFC in India2010 ALLIANCE BUSINESS SCHOOL 1 Table of Contents EXECUTIVE SUMMARY.... ........................5 Field Work Plan........................Our courses are rated amongst Top 3 Finance courses by IndiaToday www.. 19 3................................................. ..........................................................2 Objective. 11 1........................... ................................... ........................................................ ....................1 Types Of NBFC‘s............................. 12 CHAPTER-2 Literature review.............................. 19 3.. .................................... ....................3 SCOPE OF THE STUDY...... .. .......4..15 2............................................................ ............................................ ..................................................................................................... ........ .......... 3 CHAPTER-1 INTRODUCTION......................................................................2 SECONDARY DATA.................. 19 3. .................. 21 ..................... ......... .......... ........... 20 CHAPTER-4MAJOR PLAYERS AND SELECTED COMPANY FOR STUDY................ ........org Sign Up For Orkut Now Join Communities of Your Interest........ 19 3..................... ................. ........ .................................. ...... Try out Cool Games & Apps and More! www......................................................................4..... ................ ..3 Guidelines for new deposits....................................................................................................... ..............................1 RESEARCH DESIGN........... ...... ............................... ...................................... 18 3...3 On Global Crisis............................................. ....1 PRIMARY DATA............................................................................................................................ 17 CHAPTER-3RESEARCH METHODOLOGY. ........................ 4 1.icofp...4 Responsibilities.............................................................. .............................. ........................................................................................... ......... ...............4 data collection...............

................1..... ............3.... ............................ ... ....2................. 48 4............................2 Indian Housing Finance scenario.....4 Financial Performance. ................4 Macro Economic Analysis..........................................5 Financial Performance...2 Reliance Capital:.......4..... ........... .................... ........................................................ ........ ............... 57 4.....5 Macro Economic Analysis...................... 56 4..................1....................3 LIC Housing Finance........ ....1... 28 4... ........................3 Financial Performance. 65 5................................. 56 4....................................................3 Shriram Transport Finance........... 47 4..................... 24 4.............. . .......... ................................................ .................. ..........2 Infrastructure Development Finance..................... .............. .... ..... 33 4............... 38 4...............1 Indian Economy:........... 49 4........2 Reliance Capital................................................................................................................. 39 4.........................................3.......2............. ......................................................4.............. ............................. .. 26 4................................................................................1 Top 5 Banks and NBFCs with highest profitability....... 67 5............... ..................... 68 CHAPTER-6 Porter’s five forces.......................................5 Macro Economic Analysis........................................2......................... .............................................. ..1......................................2 COMMERCIAL VEHICLE INDUSTRY OVERVIEW...........3........ 38 4..............................2...........................1........... .......................... ..................4idfc....................4 SWOTANALYSIS........... 47 A Comparative Study Of NBFC in India2010 ALLIANCE BUSINESS SCHOOL 2 4............................ 25 4.. ....4...4.................... ......................3 Shriram transport finance.................................................... 63 CHAPTER-5 INDIAN BANKS V/S NBFC’S..... 41 4.... .. 44 4....... 59 4...................... 52 4............................................................................................................................... .............................................................................. .......................... ............................................1 LIC HOUSING FINANCe............................................................................... .................................................................1 ECONOMIC OVERVIEW........4........3.............. ............................3 Financial Performance.................3................ ......... ................................... .......... 24 4.... ......................... ................. 47 4.......................................................................................... ....... .................... ................... ............................................ ................................1 Global Financial and Economic Crisis...3 Banking versus NBFC regulatory arbitrage in India.. ...........................................1 Housing Finance Industry.................

........... ............. insurance business..... the importance attached to the sector is often transcending into misplaced exuberance...............1...3 Asset Quality... There are almost 13000 registered NBFC’s in India............................................. 79 8............................ The major players of each field 1) Housing Finance Industry: LIC Housing Finance....................................................... along with an identification of real capabilities are essential to ensure that the equilibrium between price paid and value realized is reached to the extent possible....................................... ................. NBFC fulfills the financial gap by providing loan at a lower rate of interest..... . .......................... ... ........... The industry is not tightly regulated as there are many regulatory bodies...2 Cost of Funding.................. India is sure to witness the re-opening of the NBFC horror story albeit with a new chapter on the erosion of NBFC investment values affecting investors across categories .............................. In the absence of this......1.................................... However......... ...............1.. 80 8..... 74 7............................ chit business but does not include any institution whose principal .................. 75 7..... . can never substitute dispassionate business analytics..... It is encouraging that the NBFC sector‘s importance is finally being acknowledged across FS market constituents as well as the regulator.................................... 75 7.. It was found that at even at the time of the economic slowdown NBFC was more profitable............Sharp fall during the crisis.... .......................... 2) Infrastructure Finance Industry: IDFC 3) Asset Financing: Shriram Transport Finance 4) Composite: Reliance Capital The study also compared the Indian Banks v/s NBFC...................... Over simplified and vague drivers for NBFC valuations such as strategic fit and customer base.............. hire-purchase.................... ............. 70 CHAPTER-7 FINDINGS & MANAGERIAL IMPLICATIONS............................................ .....................1 findings......................... there was an important need to study the NBFC as the industry plays an important role in the financial Services market of INDIA....................... acquisition of shares/stock/bonds/debentures/securities issued by Government or local authority or other securities of like marketable nature.. leasing............................ .. 1956 and is engaged in the business of loans and advances.. The study is aimed to provide an holistic view of the NBFC Industry............ Hence................... ............. A rational assessment of the intrinsic values of NBFCs factoring issues such as past performance....................... 77 7... 80 REFERENCES....2 Conclusion... ................................ structural weaknesses of the sector (for instance funding disadvantages). A Comparative Study Of NBFC in India2010 ALLIANCE BUSINESS SCHOOL 4 CHAPTER-1 A Comparative Study Of NBFC in India2010 ALLIANCE BUSINESS SCHOOL INTRODUCTION 5 A Non-Banking Financial Company (NBFC) is a company registered under the Companies Act....... ......................... .......................... ...1 Recommendation:.............. Porters Five forces was also used to analyse the industry and to find the competitiveness in the industry............1 Disbursements ... ......................... 82 A Comparative Study Of NBFC in India2010 ALLIANCE BUSINESS SCHOOL 3 EXECUTIVE SUMMARY The study presents a comparative study of NBFC’s in India.. .................................... 77 CHAPTER-8 RECOMMENDATIONS AND CONCUSION............

1956 and desirous of commencing business of non-banking financial institution as defined under Section 45 I(a) of the RBI Act. to the concerned Regional Office.1 TYPES OF NBFC’S Originally.rbi.business is that of agriculture activity.do (the applicant companies do not need to log on to the COSMOS application and hence user ids for these companies are not required). NBFCs are doing functions akin to that of banks. 2006 the above NBFCs registered with RBI have been reclassified as (i) Asset Finance Company (AFC) (ii) Investment Company (IC) (iii) Loan Company (LC) A Comparative Study Of NBFC in India2010 ALLIANCE BUSINESS SCHOOL In terms of Section 45-IA of the RBI INTRODUCTION 6 1.in/COSMOS/rbilogin. Venture Capital Fund/Merchant Banking companies/Stock broking companies registered with SEBI. The company may note to indicate the name of the correct Regional Office in the field C-8 of the Annx-Identification Particulars worksheet of the Excel application form. 1. 1956. NBFC or SC/RC) from the above website. 1934 should have a minimum net owned fund of Rs 25 lakh (raised to Rs 200 lakh w. sale/purchase/construction of immovable property. NBFCs registered with RBI were classified as: (i)equipment leasing company. 1999). (ii) an NBFC is not a part of the payment and settlement system and as such an NBFC cannot issue cheques drawn on itself. The company is required to submit its applicationonline by accessing RBI‘s secured website https://secweb. However. . The company can then download suitable application form (i. A window showing the Excel application forms available for download would be displayed. The company would then get a Company Application Reference Number for the CoR application filed on-line. (ii) hire-purchase company. certain categories of NBFCs which are regulated by other regulators are exempted from the requirement of registration with RBI viz.org. or lending in any manner is also a non-banking financial company (Residuary non-banking company). The Bank would issue Certificate of Registration after satisfying itself that the conditions as enumerated in Section 45-IA of the RBI Act. the company has to submit the hard copy of the application form (indicating the Company Application Reference Number of its on-line application). key in the data and upload the application form. however there are a few differences: (i)an NBFC cannot accept demand deposits. A non-banking institution which is a company and which has its principal business of receiving deposits under any scheme or arrangement or any other manner. it is mandatory that every NBFC should be registered with RBI to commence or carry on any business of non-banking financial institution as defined in clause (a) of Section 45 I of the RBI Act. (iii) loan company. 1982 or Housing Finance Companies regulated by National Housing Bank.e. Chit companies as defined in clause (b) of Section 2 of the Chit Funds Act. 1934 are satisfied.e. along with the supporting documents. The company has to click on CLICK for Company Registration on the login page.2 REGULATIONS OF NBFC’S Act. Thereafter. (iv) investment company. Nidhi companies as notified under Section 620A of the Companies Act.f April 21. A company incorporated under the Companies Act. The company can then check the status of the application based on the acknowledgement number. Insurance Company holding a valid Certificate of Registration issued by IRDA. with effect from December 6. industrial activity. 1934. 1934. to obviate dual regulation. and (iii) deposit insurance facility of Deposit Insurance and Credit Guarantee Corporation is not available for NBFC depositors unlike in case of banks. However.

maintain is a ceiling on acceptance NOF/Capital to Risk Assets can accept public deposits reserves. Effective from April 24. NBFCs cannot offer gifts/incentives or any other additional benefit to the depositors. issued by the Bank. A Comparative Study Of NBFC in India2010 ALLIANCE BUSINESS SCHOOL INTRODUCTION 9 Accordingly. The deposits with NBFCs are not insured. The NBFCs are allowed to accept/renew public deposits for a minimum period of 12 months and maximum period of 60 months. Typically easy means of establishing identity would be documents such as .5 times of NOF *AFC=Asset Finance Company ** LC/IC = Loan company/Investment Company As has been notified on June 17. (i) to ensure customer identification and verifying his identity and residential address. They cannot accept deposits repayable on demand. An NBFC maintaining required Ratio (CRAR) and complying with the prudential norms as follows: Category of NBFC having minimum NOF of Rs 200 lakhs Ceiling on public deposit AFC* maintaining CRAR of 15% without credit rating AFC with CRAR of 12% and having minimum investment grade credit rating 1.3 GUIDELINES FOR NEW DEPOSITS Customer identification: 'Know The Customer' (KYC) should be the key guiding principle for identification of an individual / corporate customer (depositor or borrower). there of Public Deposits. the existing NRI deposits can be renewed. NBFCs cannot offer interest rates higher than the ceiling rate prescribed by RBI from time to time. The interest may be paid or compounded at rests not shorter than monthly rests. The present ceiling is 12. the having minimum investment grade credit rating Equal to NOF maximum rate of interest an NBFC can offer is 12.A Comparative Study Of NBFC in India2010 ALLIANCE BUSINESS SCHOOL INTRODUCTION 7 All NBFCs are not entitled to accept public deposits. However. NBFCs authorised to accept/hold public deposits besides having minimum stipulated Net Owned Fund (NOF) should also comply with the Directions such as investing part of the funds in liquid assets.5 times of NOF or Rs 10 crore whichever is less 4 times of NOF LC/IC** with CRAR of 15% and having minimum investment grade credit rating 1. The repayment of deposits by NBFCs is not guaranteed by RBI. Only those NBFCs holding a valid Certificate of Registration with authorisation to accept Public Deposits can accept/hold public deposits. rating etc.5 per cent per annum. NBFCs cannot accept deposits from NRIs except deposits by debit to NRO account of NRI provided such amount does not represent inward remittance or transfer from NRE/FCNR (B) account. Yes. The interest may be paid or compounded at rests not shorter than monthly rests.5 times of NOF A Comparative Study Of NBFC in India2010 ALLIANCE BUSINESS SCHOOL INTRODUCTION 8 LCs/ICs with CRAR of 15% and Presently. the KYC framework should have two-fold objective. including beneficial owner is done based on disclosures by customers themselves. NBFCs (except certain AFCs) should have minimum investment grade credit rating. and (ii) to monitor transactions of a suspicious nature. Certain mandatory disclosures are to be made about the company in the Application Form issued by the company soliciting deposits. 2008 the ceiling on level of public deposits for NBFCs accepting deposits but not having minimum Net Owned Fund of Rs 200 lakh is revised as under: Category of NBFC having NOF more than Rs 25 lakh but less than Rs 200 lakh Revised Ceiling on public deposits AFCs maintaining CRAR of 15% without credit rating and Equal to NOF AFCs with CRAR of 12% and having minimum investment grade credit rating 1. NBFCs should ensure that the identity of the customer.5%. 2004. The NBFCs are allowed to accept/renew public deposits for a minimum period of 12 months and maximum period of 60 months. 1. They cannot accept deposits repayable on demand.

Monthly return on exposure to capital market by companies having . The records of all such transactions should be retained for at least ten years after the transaction has taken place and should be available for perusal and scrutiny by audit functionaries as well as regulators and law enforcement authorities. when demanded. they should keep record of these transactions in a separate register maintained at branch. as well as at Registered Office. ration card. wherever transactions of Rs 10 lakh (Rs 1 million) and above are undertaken. However. Internal audit/inspection Internal auditors must specifically scrutinise and comment on the effectiveness of the measures taken by branches / offices of NBFC in adoption of KYC norms and steps towards prevention of money laundering. v. Audited balance sheet of each financial year and an audited profit and loss account in respect of that year as passed in the annual general meeting together with a copy of the report of the Board of Directors and a copy of the report and the notes on accounts furnished by its Auditors. ii. Verification through such documents should be in addition to the introduction by a person known to the NBFC. Ceiling and monitoring of cash transactions NBFCs would normally not have large cash withdrawals and deposits.money laundering measures.4 RESPONSIBILITIES The NBFCs accepting public deposits should furnish to RBI i. as and when required. Election Commission's identity card. NBFCs may take suitable steps to impart training to their operational staff on anti. driving licence. at the branch as well as at registered office. Training of staff and management It is important that all the operating and management staff is made fully aware of the implications and understand the need for strict adherence to KYC norms. A Comparative Study Of NBFC in India2010 ALLIANCE BUSINESS SCHOOL INTRODUCTION 10 Internal control systems Duties and responsibilities should be explicitly allocated among the staff for ensuring that policies and procedures are managed effectively and that there is full commitment and compliance to an effective KYC programme in respect of both existing and prospective customers/clients. firms and other bodies. passport. A Comparative Study Of NBFC in India2010 ALLIANCE BUSINESS SCHOOL INTRODUCTION 11 1. Procedures for existing customers In respect of existing customers. Certificate from the Auditors that the company is in a position to repay the deposits as and when the claims arise. vii. Statutory Annual Return on deposits . 2004.Permanent Account Number (PAN).NBS 1. et cetera and other reliable documents in respect of companies. NBFCs should ensure that gaps and missing information in compliance of KYC guidelines on customer identification procedure is filled up and completed before June 30. Quarterly Return on liquid assets. Half-yearly ALM Returns by companies having public deposits of Rs. Such information should be made available to regulatory and investigating authorities. iii. vi. Specific cases of violation should be immediately brought to the notice of head / controlling / registered office. et cetera in case of individuals and registration certificate. Early computerisation of branch/office reporting will facilitate prompt generation of such reports and monitoring. 20 crore and above or with assets of Rs. iv. partnership deed/agreement. Guidelines and monitoring procedures The board of directors of NBFCs should formulate policies and procedures to operationalise the guidelines and put in place an effective monitoring system to ensure compliance by their branches. Record keeping NBFCs should prepare and maintain proper documentation on their customer relationships and cash transactions of Rs 10 lakh and above. 100 crore and above irrespective of the size of deposits . Half-yearly Return on prudential norms.

FM Pranab Mukherjee‘s Budget proposal on Friday was the first step towards the same. For example. The financial services industry believes the Budget proposal was a reflection of the same. in . A select group of officials from top NBFCs. the FM had announced that RBI is considering giving additional banking licences to private sector players. So.‘‘ said a industry source. the government has again started the process of allowing the better-managed nonbanking finance companies (NBFCs) to graduate to full-fledged banks. in order to adopt universal banking. anti money laundering. risk management. banks have to invest large funds in fixed assets and information technology primarily to facilitate financial inclusion. The reasons for this are manifold. process. which. Also. which must be increased to Rs 300 crore within 3 years of conversion into a bank. RBI places restrictions on commercial banks in their lending operations. But. Further. This leaves the banks with Rs 70 to lend. A Comparative Study Of NBFC in India2010 ALLIANCE BUSINESS SCHOOL INTRODUCTION 13 n the last Union Budget. The second step will be enacted on Tuesday morning. It was also expected that RBI would give new licences to private players very soon. The announcement set the financial markets on fire with a lot of conjecturing as to who would be the lucky few. 50 crore and above. to present a case for select NBFCs to be converted into full-fledged banks. This was ostensibly to further financial inclusion and also to improve the size and sophistication of the Indian banking system. Many NBFCs would definitely find this as restrictive to say the least. the banking secretary in the finance ministry.public deposits of Rs. the trade body for NBFCs in India.5 CURRENT SCENARIO Nearly 11 years after the last of the two banking licences were issued by RBI to private sector entities. the operating expenses will be substantially higher. NBFCs seeking a banking licence should have a minimum paid-up capital of Rs 200 crore. 40% has to be statutorily lent towards the priority sector as defined by RBI. A copy of the Credit Rating obtained once a year along with one of the Half-yearly Returns on prudential norms as at (v) above. Out of this. Neither is RBI in a hurry to issue fresh licences nor are many NBFCs keen to get into commercial banking. sources said. the staff needs to be multi-skilled in banking functions. A Comparative Study Of NBFC in India2010 ALLIANCE BUSINESS SCHOOL INTRODUCTION 12 1. FIDC office bearers could not be contacted during the extended weekend. These huge capital expenditures increase the payback period for the investments made. As per the guidelines of 2001. RBI rules are stringent for commercial banks as they are the visible face of the Indian financial system and commercial banks are primarily the custodians of public money. and viii.‘‘ said the source. banking-as-a-business model is far more people-. The access to low-cost current account and savings accounts and the ability to offer all financial products under one roof were cited as major attractions for NBFCs to rush to seek banking licences. The finance minister is convinced that there is a huge need for low-cost financing at the semi-urban and rural areas in India. Out of Rs 100 taken in as deposits. This leaves banks with approximately Rs 42 to lend at their own discretion. under the aegis of the Finance Industry Development Council (FIDC). approximately Rs 30 has to be set apart as statutory requirements towards CRR and SLR. About 12-15 NBFCs and corporate houses having presence in the financial sector are expected to join the race to float a bank. etc.and product-driven than a simple NBFC model. are meeting R Gopalan. In the finance ministry things are moving in the right direction and the banking secretary‘s meeting proves the same. an analysis reveals a different picture. including NBFCs.

as well as discuss the validity of each of these factors. would reduce the profitability of operations. and customise their services and charges more according to the needs of the clients. shareholders. ronically. By employing innovative marketing strategies and devising tailor-made products. a degree of caution needs to be instilled within potential investors in NBFCs. higher rights require the specific approval of. their flexible structures allow them to unbundle services provided by banks and market the components on a competitive basis. NBFCs attract public attention only during times of crisis. loans.convertible debentures.. banking industry and financial sector has gone through many reforms. and borrowings by issue of non. NBFCs perform a significant and important role in our financial system.. which A Comparative Study Of NBFC in India2010 ALLIANCE BUSINESS SCHOOL Literature review 16 were delivered on economically and socially usurious terms. there are restrictions on ownership and voting rights. assume greater risks. This understanding is imperative to enable a better judgment of the intrinsic worth of NBFCs. have contributed to the proliferation of NBFCs. mop up public savings and command large resources as reflected in the growth of their deposits from public. who need to clearly understand the true drivers of value for finance companies.turn. directors and their companies. Also. The distinction between banks and non-banks has been gradually getting blurred since both the segments of the financial system engage themselves in many similar types of activities. Little attention has been paid to the silent but effective manner in which NBFCs have spread their operations across the country.1 IMPORTANCE OFNBFC’S According to RBI Non Banking Finance Companies (NBFCs) is a constituent of the institutional structure of the organized financial system in India. NBFCs in India have become prominent in a wide range of activities like hire-purchase finance. According to KPMG survery The Indian Non Banking Finance Company (NBFC) sector has often been relegated to the shadows. We are aware that due to liberalization and globalisation. etc. The role of NBFCs as effective financial intermediaries has been well recognised as they have inherent ability to take quicker decisions. NBFCs are once again in the spotlight for their perceived strengths and capabilities rather than their problems. While this re-rating ought to bring cheer to a much maligned sector. equipment lease finance. NBFCs have also been able to build up a clientele base among the depositors. in recent times. Banks. At present. Current stipulations cap voting rights at 10%. as actual . While these features. The activities of non-banking financial companies (NBFCs) in India have undergone qualitative changes over the years through functional specialisation. NBFCs have provided financial solutions to sections of society who hitherto were at the mercy of unorganized players for credit and savings products. etc. as compared to the banks. insurance companies and capital market players take centre stage and invariably. in most discussions on the Indian Financial Services (FS) industry. investments. This article proceeds to illustrate the key factors responsible for the strong re-rating of the NBFC sector. In the present economic environment it is very difficult to cater need of society by Banks alone so role of Non Banking Finance Companies and Micro Finance Companies become indispensable. They facilitate the process of channelising of public savings and provide better return to the depositors. A Comparative Study Of NBFC in India2010 ALLIANCE BUSINESS SCHOOL Literature review 14 Chapter-2 A Comparative Study Of NBFC in India2010 ALLIANCE BUSINESS SCHOOL Literature review 15 2.

efficient financial system that spreads risks and provides a sound base for economic growth and prosperity. their quick decision-making ability. the NBFC sector is as financially sound as it has ever been. amounting to less than 8 percent of the total.To an extent. balanced. this is strictly not A Comparative Study Of NBFC in India2010 ALLIANCE BUSINESS SCHOOL Literature review 17 accurate. A majority of active NBFCs reported capital adequacy ratios exceeding 12 percent 2. Taking the Reserve Bank of India‘s (RBI) definition of reporting NBFCs‘ as a proxy for non-dormant players. 2. The segment consisting of Non-Banking Financial Companies (NBFCs). NBFIs play a range of roles that complement banks. The support provided by the Reserve Bank of India (RBI) highlighted the explicit acceptance of the systemic importance of the sector. While all the NBFCs were affected. were fragmented across 439 NBFCs. The crucial role of Non Banking Finance Institutions (NBFIs) in broadening access to financial services.7 percent of the total assets of all NBFCs in 2005-2006. they have influenced the direction of savings and investment. Asset-liability maturity (ALM) profiles. from both the macroeconomic perspective and the structure of the Indian financial system. customer orientation and prompt provision of services. such as equipment leasing/hire purchase finance. liquidity and funding costs due to the global economic slowdown & its impact on the domestic economy.drivers of value. the sector is now more robust due to the lessons learned by NBFCs from this crisis. type of assets financed and origination / collection models followed were the primary differentiators within NBFCs. Status Note on NBFCs NBFIs can add to economic strength to the extent they enhance the resilience of the financial system to economic shocks. Today. A Comparative Study Of NBFC in India2010 ALLIANCE BUSINESS SCHOOL RESEARCH METHODOLOGY 18 CHAPTER-3 A Comparative Study Of NBFC in India2010 ALLIANCE BUSINESS SCHOOL RESEARCH METHODOLOGY 19 3. tightening of lending norms coupled with closing down of many of the unsecured loan segments. have made great strides in recent years and are meeting the diverse financial needs of the economy. FY10 was marked by re-aligning of the liability profiles.1 RESEARCH DESIGN Since the research is for industry analysis and it is structured for ¡   ¡   . the impact varied according to the structural features of each NBFC. a mere 24 NBFCs held 92.2 ROLE OF NBFC’S According to EPW Research Foundation (EPWRFThe Indian economy is going through a period of rapid financial liberalisation . A well developed and properly regulated NBFI sector is thus an important component of broad. etc. Further. leaving the fittest few to dominate the landscape. However profits are at the same time expected to be much more stable & less susceptible. The balance assets. Thus. at present. The main advantages of these companies lie in their ability to lower transactions costs of their operations. the role of NBFCs has become increasingly important. the intermediation is being conducted by a wide range of financial institution through a plethora of customer friendly financial products. loan and investment companies. this can be attributed to the very problems affecting the sector which have resulted in the purging of several players.3 ON GLOBAL CRISIS According to CARE: NBFC sector faced significant stresses on asset quality. While NBFIs are sometimes seen as akin to banks in terms of the products and services offered. In addition to this consolidation. Today. Profitability is expected to be lower than historical levels due to conservative ALM management. as more often. higher provisioning and avoidance of high yielding unsecured loan segments. In this process. On a structural basis. The resultant capital formation is important for our economic growth and development. and enhancing competition and diversification of the financial sector has been well recognized. NBFCs in general are well-capitalized with strong parent support.

These data collection types include the following: 1. NBFC‘sand Internet. Report Cancel This is a private document. A Comparative Study Of NBFC in India2010 ALLIANCE BUSINESS SCHOOL MAJOR PLAYERS AND SELECTED COMPANY FOR STUDY 21 MAJOR PLAYERS AND SELECTED COMPANY FOR STUDY Ads by Google Finance&Accounting Degree Study Finance and Accounting in UK Masters Degree.4. 2010 and ending on 1st June. Info and Rating Reads:5. books and internet websites.037Uploaded:07/13/2010Category:Uncategorized.LSBF.com/Orkut Final Report on NBFCDownload this Document for FreePrintMobileCollectionsReport DocumentReport this document? Please tell us reason(s) for reporting this document Spam or junk Porn adult content Hateful or offensive If you are the copyright owner of this document and want to report it. The study was completed within the time frame of 60 days(2 months) starting from 1st April.Rated:Copyright:Attribution Non-commercial . research articles.2 OBJECTIVE The confined objectives of the present study are: To analyze the market of NBFC‘s in India To study the financials of NBFC‘s 3. Primary data 2.5 FIELD WORK PLAN The study was conducted in New Delhi (NCR and Bangalore visiting different institutions and analyzing the different NBFC‘swo rk. 2010.org. Secondary data Both the secondary and primary data collection methods were used in the study.3 SCOPE OF THE STUDY The study was limited to the Financial Service market of India which included NBFC‘s mainly from the .4.4 DATA COLLECTION There are two methods of data collection that can be considered when collecting data for research purpose. The target group of the study were theNBFC ‘s 3. annual reports etc whose details and references has been given in Chapter.NBFC‘S. The source of the secondary data was British Library. A Comparative Study Of NBFC in India2010 ALLIANCE BUSINESS SCHOOL RESEARCH METHODOLOGY 20 Secondary data was the main source in formulating the constructs of A comparative study of NBFC‘s in India 3. 3.google.uk/Finance Top Finance Courses-India Our courses are rated amongst Top 3 Finance courses by IndiaToday www. Full Visa Support www. please follow these directions to submit a copyright infringement notice.icofp.1 PRIMARY DATA The primary data required for this study was collected by visiting the financial services and analysing the information provided by them.2 and in References . 3. The research uses secondary data for analysIs and interpretation.org Sign Up For Orkut Now Join Communities of Your Interest.2 SECONDARY DATA The secondary data for the research was collected from journals. Try out Cool Games & Apps and More! www. 3.

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