SUM

MER INTERNSHIP REPORT ON

“FACTORS AFFECTING TRADING IN SHARES BY INVESTORS”

AT
GROWTH ARROW

Submitted To
Jiwaji University, Gwalior

For the partial fulfillment of the requirements for the award of

Master of Business Administration
2020 – 2022
Submitted By

Sneha Yadav

PRESTIGE INSTITUTE OF MANAGEMENT, GWALIOR

 DECLARATION

I hereby declare that the training report entitled, “Factor affecting trading in shares by investors”. “submitted by me to
Prestige Institute of Management, Gwalior in fulfillment of the requirement for the award of masters of Business Administration
is a record of my original work carried out by me under the guidance of Dr. Richa Banerjee I, further declare that the work
reported in this report has not been submitted, and will not be submitted, either in part or in full, for the award of any other
degree or diploma of this University or to any other institute or university.
Date:
Place:

Sneha Yadav
Mba2nd (E)
Roll no.57
Scholar no. 41110109555

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 CERTIFICATE FROM FACULTY GUIDE

This is to certify that Miss Sneha Yadav Student of Sneha Yadav MBA 2 nd semester program has completed her
summer training of 60 days from 15.04.2021 to 15.06.2021 and prepared this report entitled “factor affecting
trading in shares by investors “under my guidance.

her performance during the training was excellent.

Date:

(Signature of Faculty Guide…………………………….)

Dr. Richa Banerjee

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CERTIFICATE BY INDUSTRY

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5
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 ACKNOWLEDGEMENT

I would like to acknowledge and thank all the people involved for making the entire experience of the summer
internship so enriching.

I would firstly like to thank Growth Arrow India for allowing me to undergo Summer Internship Program. The entire
environment gave me a true picture of the corporate world.

I would also like to thank Mrs. Lavanya who left no stones unturned in helping me out. I am fortunate that I got such
an encouraging guide who continuously counsels me and shows me the right path every time I got struck. He has been
an ideal mentor and without his guidance, the journey wouldn’t have been smooth.

I also thank Dr. Richa Banerjee. She has guided me and encouraged me throughout this project. His inputs have
helped me gain clarity of thought and showed me the right direction. he has been a wonderful trainer, guide, and true
professional, with whose help I was able to perform well.

Last but not least I am thankful to everybody who has helped me directly or indirectly by contributing their valuable
time, energy, and knowledge to execute the project. Their support can’t be overlooked.

This internship has enriched me both professionally and personally and helped me become a better person. It has been
an experience of a lifetime.

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 Abstract

The Summer Internship Program plays an important role in self-development and learning and prepares one by
providing practical knowledge of the corporate world. As a part of the Sales and Marketing team, my internship at
Growth Arrow Pvt Ltd. involves many roles and responsibilities.
Activities Performed

1. Introduction of their organization.

2. Make Report on open high and open low strategy.
3. Shown us the recorded session. Practice of Candle Stick. Practice of RSI & Stochastic.
4. Told us about how to pick stock for intraday and 15 min trading strategy.
5. Practice of intraday trading strategy.

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 CONTENT
S No. Topic Page No.

01 Chapter 1 07
Introduction 09
1.1 About company 09
1.3 Vision 08
1.4 Service offered 09
1.5 Objective of company 11
02 Chapter 2 12
2.1 Pestle Analysis 12

03 Chapter 3 13
3.1Marketing strategies
04 Chapter 4 14
14
4.1 STP Model: Segmentation, Targeting and
Positioning

05 Chapter 5 16
Strength, weakness, opportunity and 16
threat.

06 Chapter 6 17
Introduction 17
6.1 What is stock market? 17
6.1.1 Types of stock market. 17
6.1.2 What is purpose of a stock market? 18
6.1.3 How the stock market works. 19

6.2 Function of a stock market. 20

6.3 People work in stock market. 21
7.Investment : meaning 21
8 .Capital 22
9. Trading in stock market. 22
10. What is Demate account? 23
11. Factor that affect stock market in India. 23
12. Advantages & Disadvantages of investing 26
in the share market.

07 Conclusion and suggestion 29

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08 References 30

09 Daily Report 31

10 Weekly Report 34

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 CHAPTER 1
INTRODUCTION
1.1ABOUT COMPANY

GROWTH ARROW SERVICES is an independent financial service domain, located in Bangalore, India. After
several years of experience, we are looking to update and strengthen our services. Developing a strong commitment of
clients and trainees in an easy manner plays an important role, to understand and learn in a better way. We develop
and implement the strategies that are proven and useful to many clients. Which stands innovative platform towards
wealth and prosperity?

1.2 Mission:

To impart the lessons we have learned, so our clients can get the highest quality services for all their financial related
issues.

1.3 Vision:

To share the distilled wisdom gained over many years, so our clients create wealth and prosperity.

COMPANY INFORMATION:
Industry: Financial /Advisory/Training Services
Corporate Office :48/2 , 2nd Floor , KC Das Building Church Street, St Marks Rd, Bengaluru, Karnataka
-560001
Business Activities: Advisory services, Stock market,
Investment planning and Training
Company contact info:
Website: https://www.thegrowtharrow.com/
E-mail:support@thegrowtharrow.com
Contact: 080-42118225

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1.4 SERVICES OFFERED

Financial Planning

We make strategies that match your financial goals and objectives of your financial resources. We plan and develop
your strategies with our investment research tools, that helps you to evaluate investment performance and market
circumstances to analyse your next idea can help you to achieve your financial goals. * Financial services, * Amplify
your idea generation with third party research, *Set your goals define your strategy, *Execute your plan monitor your
progress

Advisory Services
We provide professional finance by placing your funds in a right investment vehicles based on the investors future
goals. We take the time horizon and priorities into the consideration for safety of the investor as well as we care for
the liquidity and returns level. As known, proper investment planning will helps the investors to produce financial
rewards overtime Investor Guidance We will help you the will of your interest. * Do it for me * Advisor referral
services * Help me to it * Professional portfolio management * Do it myself Independent Investors.

Training Program:
Backed by research experts our training programs are delivered by real time mentors who has earned years of
experience and expertise in stock market training. We are known for practical investor education for market
participants would be equity investors and the public in general. We believe knowledge is divine, in order to acquire
more, spread more, *Settle on what you want to learn? * How do you want to learn? * When do you want to learn? A
keen knowledge is the most vital advantage an investor acquires, that is why we provide our clients with an
exceptional education experience using innovative interactive resources. We strive to help you make more informed
investment decisions & have some for while you learning.

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1.5 OBJECTIVE OF COMPANY
GROWTH ARROW SERVICES is an independent financial service domain, located in Bangalore, India. After
several years of experience, they are looking to update and strengthen their services. Developing a strong commitment
of clients and trainees in an easy manner plays an important role, to understand and learn in a better way. They
develop and implement the strategies that are proven and useful to many clients.
                          
 They have 1000+ clients throughout the world which stands the best testaments; Growth Arrow is an innovative
platform for educating and mentoring the theory towards wealth and prosperity.

Developing strong commitment towards new standard in financial services in better way. Which stands innovative
platform towards wealth and prosperity? Financial planning in stock market investments, stock market training,
Advisory services on trading, intraday, short term and long term, equity# futures #options# commodity# nifty # bank
nifty# Portfolio Managements Services.

Some key objectives of the company Growth Arrow are-

1. To identify and understand sales and marketing strategies for Growth Arrow Pvt Ltd.
2. To understand customer behavior
3. To generate lead
4. To create brand awareness.
5. To understand Digital Marketing techniques and use them for the company.
6. Carry out proper segmenting, targeting, and positioning strategies to generate leads and convert them.

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 CHAPTER 2

. 2.1 PESTEL ANALYSIS

Political Factors: No impact what so ever.

Economic Factors: The subscriptions are of a standard rate and can be afforded by the upper class easily. So, the
impact of economy on the purchasing power of the lower and the middle class is insignificant for the profit generation
for the company because not many purchasers are from that category.
Social Factors: The lifestyle of a person which is influenced by another person is the social factor which can be
accounted for the person whose interests are being evaluated. People who live in a urban or rural area will very rarely
avail such a service. So, a social stigma can exist where people might feel reluctant to go digital.
Technological Factors: This is the factor which can mean a favorable situation for a start-up which is selling
subscription for digital reading. As technology advances, people will shift more towards digitization, so there is
profitable market present in this aspect.
Environmental Factors: The start-up is rigorously favoring environmental factors because the company directly
promotes saving paper and simultaneously saving trees. Reading newspapers and magazines digitally can directly
reduce the demand of making paper and thus cutting of trees.
Legal Factors: Copyright laws should be factored in for when dealing with publishers.

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 CHAPTER 3

3.1MARKETING STRATEGIES

3.1.1 Financial Planning

We make strategies that match your financial goals and objectives of your financial resources. We plan and develop
your strategies with our investment research tools, that helps you to evaluate investment performance and market
circumstances to analyse your next idea can help you to achieve your financial goals. * Financial services, * Amplify
your idea generation with third party research, *Set your goals define your strategy, *Execute your plan monitor your
progress.

3.1.2 Advisory Services

We provide professional finance by placing your funds in a right investment vehicles based on the investors future
goals. We take the time horizon and priorities into the consideration for safety of the investor as well as we care for
the liquidity and returns level. As known, proper investment planning will helps the investors to produce financial
rewards overtime Investor Guidance We will help you the will of your interest. * Do it for me * Advisor referral
services * Help me to it * Professional portfolio management * Do it myself Independent Investors.

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 CHAPTER 4

4.1 STP Model: Segmentation, Targeting, and Positioning

STP marketing model is one of the strategic approaches used by businesses today to attract the right customers who
will be interested in buying the product or services. By using STP, we understand how an e-commerce business can
yield.
So, what are the Targeting Segmentations for the company?
GROWTH ARROW is one of the preeminent names in the FINANCE industry and provides all digital readers
unlimited accesses to a comprehensive collection of leading International and Indian magazines, books, and novels
from renowned authors and also provide a digital stand for trusted newspapers. As it is a digital e-reading platform,
therefore, it's pocket-friendly as pricing of the product has been determined by considering every class of the society.

Demographic Segmentation
1. AGE: 15-40 years
2. SEX: Unisex
3. ANNUAL INCOME: 3 Lakh per annum
4. EDUCATION: Educated
5. OCCUPATION: Service sector, education sector, and business working

Psychographic Segmentation

1. LIFESTYLE: Targeting customers who are into fashion and lifestyle, following new trends, or a healthy
lifestyle, and more. Moreover, Company has also been targeting students and employees who are into these
industries.
2. SOCIAL STATUS: The services target the customers who spend for social status with affordable price as in
one subscription anyone can have access to all the readings available on the website.
3. OPINIONS: People’s opinion makes the baseline, i.e. by determining its usefulness and importance. Like e.g.,
people have strong opinions on gender, environmental, cultural, social, political topics. Similarly, many people
opine that reading about these topics brings change not only in the society but reading various topic also
improves reading habits. Therefore, we are targeting those people who are into reading the above topics.

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 4. INTERESTS: Targeting customers whose shopping behavior is value-based and interest-based such as people
who love to be updated with the new trends or the people who have keen interests in fashion, IT, automobiles,
health, food, traveling, businesses, and more.

Behavioral Segmentation
1. USAGE BASED: Customers who are looking for all in one value and regularly read are being targeted.
Customers looking for multiple readings on various topics are also targeted for their reading satisfaction.
2. PRIORITIES: Targeting customers who prioritize reading books, novels, magazines and newspaper and
providing them with a value for money product.
3. PSYCHOLOGICAL INFLUENCES: Customers who follow celebrities, renowned authors and social
influencers are being targeted through promotional activities.
4. PURCHASING BEHAVIOUR: Targeting customers who are multiple buyers of various readings.

Geographic Segmentation

The services growth arrow is providing are beneficial for both rural and urban, but currently, we are targeting urban
areas more because of its wider reach and the customer’s reading preferences and lifestyle.

Positioning
Market positioning refers to the process of creating an image in the minds of the consumer about the product and
services.
The uniqueness of the service: One Subscription Many Advantages.
 Magazines, books, novels, newspapers, articles, blogs from every genre, be it business, political, lifestyle,
fashion, entertainment, automotive, cooking & food, comics, travel, sports, health, and fitness.
 Over 200 magazines, 100 books, and different newspapers
 Bloggers and writers can share their thoughts, knowledge, and experiences.
 Originality and Authenticity of the content.
 No need to Pay High Prices
 No need to carry the extra burden of your favorite reads.
 Feasible and Pocket Friendly
 Share with 4 family members.
 Believes in making good relation. Anytime support for any issue.

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 CHAPTER 5

STRENGTH, WEAKNESS, OPPORTUNITY, THREAT

STRENGTHS
 Strong system in India
 Satisfying the need of the customers
 Meeting up the customer necessity in time
 Innovation and innovative in notice section
 Quality in notice
 Global introduction with higher prizes and appreciation
 Efficient collaboration condition
 Expertise and experienced workforce

WEAKNESSES
 Market offer is constrained because of numerous contenders
 Geographic entrance is additionally restricted

OPPORTUNITIES
 Online promoting is another wellspring of income
 Adapting new methodologies for statistical surveying acquires more incomes.
 Decentralized basic leadership is useful as nearby advertising needs differ starting with one locale then onto
the next
 Entering in worldwide market to pull in worldwide customers

THREATS
 Increasing claims because of sheer carelessness in arrangement of promotions
 Recession may hit the business as cut is principally on showcasing spending plan of corporate
 Cut-throat rivalry offered by different players in the business
 Challenging firm rivalry from its rivals from both residential and worldwide levels
 Changes in the taste and inclinations of customers

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 CHAPTER 6
INTRODUCTION

“FACTOR AFFECTINFG TRADING IN SHARES BY INVESTORS”

6.1 What is a Stock Market?

Definition of Stock Market: 

As the name suggests, a stock market is a marketplace where buyers and sellers meet to trade i.e. buy and sell shares of
publicly listed companies. A stock market is fondly known as a share market, equity market or share bazaar. 

In simple terms, if Ram wants to sell 10 shares of Reliance Industries at Rs 1990/ share, he will place a sell order on the
stock exchange. The stock exchange will then find a buyer who wants to buy 10 shares of Reliance Industries at Rs 1990/
share. So, the stock market is a virtual market where the buyers and sellers meet to trade shares. 

6.1.1 The two types of stock markets are: 

 Primary markets
 Secondary markets

Primary market is a marketplace where companies raise capital for the very first time. The process of issuing shares to
the general public for the first time is known as an Initial Public Offering, or IPO.  

Once the shares are issued in the primary market, they are traded i.e. bought and sold in the secondary market via a stock
exchange. 

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 Stock exchanges are further divided as: 

 National stock exchanges 

 Regional stock exchanges. 

The Bombay Stock Exchange and National Stock Exchange are the only two national stock exchanges in India, with the
BSE being the oldest stock exchange in Asia. The BSE is also the 10th largest stock exchange in the world with a market
capitalisation of 2.1 Trillion Dollars. 

The movement of the market is mapped using the 2 primary indices, SENSEX and NIFTY. Sensex is the index used by the
BSE to gauge the movement of the 30 biggest Indian companies whereas NIFTY is the index used by the NSE to measure
the movement of the 50 largest companies in India. 

6.1.2 What is the Purpose of a Stock Market? 

The main purpose of a stock market is to facilitate the movement of funds (capital) from the savers (investors) to the
borrowers (companies). 

When companies require capital for growth and expansion, it can either raise this capital by taking a debt from
investors (debentures) and banks (bank loans) or it can issue equity shares to shareholders. 

Companies issue equity shares to the shareholders via the stock market. So, the primary purpose of a stock market is to
help companies raise capital for growth and expansion. The secondary purpose of a stock market is to help individual
investors (savers) participate in the growth and profits of the borrowing companies. 

Before we answer how a stock market works, it is important to understand the key participants of the stock markets. 

1. The investors/traders: These are individuals who buy and sell shares of publicly listed companies. 
2. Stock brokers: Stock brokers like Samco, act as an intermediary and all trades are entered onto the stock markets
through a trading platform provided by the stock brokers. 
3. Stock Exchanges: Stock exchanges like BSE and NSE are where trades are placed and order matching happens. 
4. SEBI: The Securities and Exchange Board of India, is the market regulator and is in charge of monitoring the
stockbrokers and stock exchanges to protect the interest of investors. 

They will have to compete against each other to attract buyers. The buyers will be spoiled for choice with low- or
optimum-pricing making it a fair market with price transparency. Even while shopping online, buyers compare prices
offered by different sellers on the same shopping portal or across different portals to get the best deals, forcing the
various online sellers to offer the best price.
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A stock market is a similar designated market for trading various kinds of securities in a controlled, secure and
managed environment. Since the stock market brings together hundreds of thousands of market participants who wish
to buy and sell shares, it ensures fair pricing practices and transparency in transactions. While earlier stock markets
used to issue and deal in paper-based physical share certificates, the modern day computer-aided stock markets
operate electronically.

6.1.3 How the Stock Market Works

Stock markets provide a secure and regulated environment where market participants can transact in shares and other
eligible financial instruments with confidence with zero- to low-operational risk. Operating under the defined rules as
stated by the regulator, the stock markets act as primary markets and as secondary markets.

As a primary market, the stock market allows companies to issue and sell their shares to the common public for the
first time through the process of initial public offerings (IPO). This activity helps companies raise necessary capital
from investors. It essentially means that a company divides itself into a number of shares (say, 20 million shares) and
sells a part of those shares (say, 5 million shares) to common public at a price (say, $10 per share).

To facilitate this process, a company needs a marketplace where these shares can be sold. This marketplace is
provided by the stock market. If everything goes as per the plans, the company will successfully sell the 5 million
shares at a price of $10 per share and collect $50 million worth of funds. Investors will get the company shares which
they can expect to hold for their preferred duration, in anticipation of rising in share price and any potential income in
the form of dividend payments. The stock exchange acts as a facilitator for this capital raising process and receives a
fee for its services from the company and its financial partners.

Following the first-time share issuance IPO exercise called the listing process, the stock exchange also serves as the
trading platform that facilitates regular buying and selling of the listed shares. This constitutes the secondary market.
The stock exchange earns a fee for every trade that occurs on its platform during the secondary market activity.

The stock exchange shoulders the responsibility of ensuring price transparency, liquidity, price discovery and fair
dealings in such trading activities. As almost all major stock markets across the globe now operate electronically, the
exchange maintains trading systems that efficiently manage the buy and sell orders from various market participants.
They perform the price matching function to facilitate trade execution at a price fair to both buyers and sellers.

A listed company may also offer new, additional shares through other offerings at a later stage, like through  rights
issue or through follow-on offers. They may even buyback or delist their shares. The stock exchange facilitates such
transactions.

The stock exchange often creates and maintains various market-level and sector-specific indicators, like the S&P 500
index or Nasdaq 100 index, which provide a measure to track the movement of the overall market. Other methods
include the Stochastic Oscillator and Stochastic Momentum Index.

The stock exchanges also maintain all company news, announcements, and financial reporting, which can be usually
accessed on their official websites. A stock exchange also supports various other corporate-level, transaction-related
activities. For instance, profitable companies may reward investors by paying dividends which usually comes from a
part of the company’s earnings. The exchange maintains all such information and may support its processing to a
certain extent. (For related reading, see "How Does the Stock Market Work?")

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6.2 Functions of a Stock Market
A stock market primarily serves the following functions:

Fair Dealing in Securities Transactions: Depending on the standard rules of demand and supply, the stock exchange
needs to ensure that all interested market participants have instant access to data for all buy and sell orders thereby
helping in the fair and transparent pricing of securities. Additionally, it should also perform efficient matching of
appropriate buy and sell orders.

Efficient Price Discovery: Stock markets need to support an efficient mechanism for price discovery, which refers to
the act of deciding the proper price of a security and is usually performed by assessing market supply and demand and
other factors associated with the transactions.

Say, a U.S.-based software company is trading at a price of $100 and has a market capitalization of $5 billion. A news
item comes in that the EU regulator has imposed a fine of $2 billion on the company which essentially means that 40
percent of the company’s value may be wiped out. While the stock market may have imposed a trading price range of
$90 and $110 on the company’s share price, it should efficiently change the permissible trading price limit to
accommodate for the possible changes in the share price; else shareholders may struggle to trade at a fair price.

Liquidity Maintenance: While getting the number of buyers and sellers for a particular financial security are out of
control for the stock market, it needs to ensure that whosoever is qualified and willing to trade gets instant access to
place orders which should get executed at the fair price.

Security and Validity of Transactions: While more participants are important for efficient working of a market, the
same market needs to ensure that all participants are verified and remain compliant with the necessary rules and
regulations, leaving no room for default by any of the parties. Additionally, it should ensure that all associated entities
operating in the market must also adhere to the rules, and work within the legal framework given by the regulator.

Support All Eligible Types of Participants: A marketplace is made by a variety of participants, which include,
investors, traders, speculators, and hedgers. All these participants operate in the stock market with different roles and
functions. For instance, an investor may buy stocks and hold them for long term span marketing many years, while a
trader may enter and exit a position within seconds. A market maker provides necessary liquidity in the market, while
a hedger may like to trade in derivatives for mitigating the risk involved in investments. The stock market should
ensure that all such participants are able to operate seamlessly fulfilling their desired roles to ensure the market
continues to operate efficiently.

Investor Protection: Along with wealthy and institutional investors, a very large number of small investors are also
served by the stock market for their small amount of investments. These investors may have limited financial
knowledge, and may not be fully aware of the pitfalls of investing in stocks and other listed instruments. The stock
exchange must implement necessary measures to offer the necessary protection to such investors to shield them from
financial loss and ensure customer trust.

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For instance, a stock exchange may categorize stocks in various segments depending on their risk profiles and allow
limited or no trading by common investors in high-risk stocks. Exchanges often impose restrictions to prevent
individuals with limited income and knowledge from getting into risky bets of derivatives.

Balanced Regulation: Listed companies are largely regulated and their dealings are monitored by market regulators,
like the Securities and Exchange Commission (SEC) of the U.S. Additionally, exchanges also mandate certain
requirements – like, timely filing of quarterly financial reports and instant reporting of any relevant developments - to
ensure all market participants become aware of corporate happenings. Failure to adhere to the regulations can lead to
suspension of trading by the exchanges and other disciplinary measures.

6.3 People works in stock market

There are many different players associated with the stock market, including stockbrokers, traders, stock
analysts, portfolio managers and investment bankers. Each has a unique role, but many of the roles are
intertwined and depend on each other to make the market run effectively.

1. STOCKBROKERS - Stockbrokers, also known as registered representatives in the U.S., are the licensed
professionals who buy and sell securities on behalf of investors. The brokers act as intermediaries between the
stock exchanges and the investors by buying and selling stocks on the investors' behalf.

2. INVESTMENT BANKERS- Investment bankers represent companies in various capacities, such as private
companies that want to go public via an IPO or companies that are involved in pending mergers and
acquisitions.

3. PORTFOLIO MANAGERS- Portfolio managers are professionals who invest portfolios, or collections
of securities, for clients. These managers get recommendations from analysts and make the buy or sell
decisions for the portfolio. Mutual fund companies, hedge funds, and pension plans use portfolio managers to
make decisions and set the investment strategies for the money they hold.

7. Investment: Meaning
Investment is the commitment of funds to one or more assets that will be held over some future time period. Investment
sometimes refers as investment process. Investment process is the process of decision making about parking our fund in
different investment avenues. Investment decision involves the process of selecting best alternative(s) with respect to risk
averseness and expected return of investor. Investment avenues we can mainly divide in to two parts: 1. Investment in for
of securities, which are marketable and 2. Non-securities form i.e. non-marketable.

Marketable Securities: Types

Following are marketable securities:

1. Equity shares: These are shares of company and can be traded in Secondary market. Investors get benefit by change in
price of share and dividend given by companies.

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Equity shares represent ownership capital. As an equity shareholder, a person has an ownership stake in the company. This
essentially means that the person has a residual interest in income and wealth of the company. These can be classified into
following broad categories as per stock market.

2. Bonds/Debentures: Bonds/Debentures are the instruments that are considered as a relatively safer investment avenues.
Bonds/Debentures are debt instrument issued by government or government authority, public sector, companies etc.

3. Money market instrument: By convention, the term “Money Market” refers to the market for Short-term requirement
and deployment of funds. Money market instruments are those instruments, which have a maturity period of less than one
year. These instruments are also issued by government, public sectors, companies etc for their short-term requirement of
finance.

4. Mutual Funds - A Mutual fund is a trust that pools together the savings of a number of investors who share a common
financial goal. The fund manager invests this pool of money in securities, ranging from shares, debentures to money
market instruments or in a mixture of equity and debt, depending upon the objective of the scheme. The different types of
schemes are: Balanced Funds, Index Funds, Sector Fund, and Equity Oriented Funds.

8. Capital Market

The capital market is market for financial assets which have a long or indefinite maturity. Generally, it deals with long
term securities which have a maturity period of above one year. Followings are the importance of capital market.

Followings are the importance of capital market.

1. It is important source for the productive use of the economy’s savings. It mobilizes the savings of the people for further
investment and thus avoids their wastage in unproductive uses.

2. It provides incentives to saving and facilitates capital formation by offering suitable rates of interest as the price of
capital.

3. It provides an avenue for investors, partially the household sector to invest in financial assets which are more productive
than physical assets.

4. It facilitates increase in production and productivity in the economy and thus, enhances the economic welfare of the
society. Thus, it facilitates “the movement of stream of command over capital to the point of highest yield” towards those
who can apply them productively and profitably to enhance the national income in the aggregate.

5. The operations of different institutions in the capital market induce economic growth. They give quantitative and
qualitative directions to the flow of funds and bring about rational income in the aggregate.

6. A healthy capital market consisting of expert intermediaries promotes stability.

9. Trading in stock market

The market regulators the securities and exchange board of India (SEBI) has made it compulsory to open Demate
account if you want to buy or sell the stock. A person wants to buy and sell the stock in stock market has to first place
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his/her order with a broker or can do themselves using online trading systems. The stock purchased will be sent to
your Demate account .this process called rolling settlement cycle.

10. What is demate account

A demate account is also known as dematerialization account. In other words, converting or dematerializing your
physical shares in the electronic format is known as holding a Demate Account. Demate Account is used to hold the
shares and securities of publicly traded companies in an electronic form. With a Demate account, you can hold a wide
variety of investments such as bonds, equity shares, government securities, mutual funds, and exchange traded funds.
Similar to a bank account, a Demate account is either credited or debited each time you buy or sell shares of a
company.

11. Factors that affect stock market in India

Theoretically, stock prices of a company should fluctuate based on a company’s performance only. But just like in
any other field, theories face, theories face an immense challenge in the real world of the stock market in field as well.
A company very good fundamental may seem to break all your invested money. short term without any logical reason
on the other hand a company with weak fundamentals can increased rapidly (for short-term).Although these extreme
situations happen rarely and are short-lived.Let’s see factors that affect the stock prices of a company in India.
.

1. Firm-related factors

Any change in the company attribute makes its stock prices volatile. Increased sales revenue, fall in the cost
of operations, product launch, repayment of debt, etc. increases future cash flows of the company. Investors
develop an optimistic outlook towards the company. Demand for shares of the company grows. Hence,
positive factors lead to a rise in stock prices. Negative factors constitute product failures, change in top
management, high employee turnover, high manufacturing cost, fall in sales revenue, etc. It adversely impacts
company’s productivity and future earnings. Investors abandon shares of the loss-making company. It results
in fall in the stock prices of the company.

2. Monetary Policy of RBI

RBI reviews its monetary policy every couple of months. Any increase/decrease in Repo and Reverse Repo rates changes the
stock prices. Under a hawkish stance, RBI raises the key policy rates. It reduces the liquidity in the banks. This makes
borrowing costlier for them. They, in turn, increase the lending rates. It makes borrowing more expensive for the business.

25
 The firm may face difficulties in servicing its existing debt obligations as well. Investors perceive it as an impediment in
expansionary activities of business. They start offloading the shares of the company which reduces its stock prices.
A reverse of this happens when RBI follows a dovish monetary policy. Banks tend to decrease the lending rates. This leads to
credit expansion. Investors perceive as a positive sign. Stock prices automatically start rising.

3. Exchange rate

The exchange rates of Indian Rupee keeps fluctuating vis-à-vis other currencies. When rupee hardens in
respect to other currencies, it sets a multidimensional chain reaction. It causes Indian goods to become
expensive in foreign markets. Companies drastically affected are the ones involved in overseas operations.
Companies dependent on exports experience a fall in demand for their goods abroad. Revenue from exports
decline, and stock prices of such companies in the home country fall. Importing companies, on it factor that
affect stock market in India.

4. Firm-related factors

Any change in the company attribute makes its stock prices volatile. Increased sales revenue, fall in the cost
of operations, product launch, repayment of debt, etc. increases future cash flows of the company. Investors
develop an optimistic outlook towards the company. Demand for shares of the company grows. Hence,
positive factors lead to a rise in stock prices. Negative factors constitute product failures, change in top
management, high employee turnover, and high manufacturing cost, fall in sales revenue, etc. It adversely
impacts company’s productivity and future earnings. Investors abandon shares of the loss-making company. It
results in fall in the stock prices of the company.

5. Monetary Policy of RBI

RBI reviews its monetary policy every couple of months. Any increase/decrease in Repo and Reverse Repo
rates changes the stock prices. Under a hawkish stance, RBI raises the key policy rates. It reduces the liquidity
in the banks. This makes borrowing costlier for them. They, in turn, increase the lending rates. It makes
borrowing more expensive for the business. The firm may face difficulties in servicing its existing debt
obligations as well. Investors perceive it as an impediment in expansionary activities of business. They start
offloading the shares of the company which reduces its stock prices.
A reverse of this happens when RBI follows a dovish monetary policy. Banks tend to decrease the lending
rates. This leads to credit expansion. Investors perceive as a positive sign. Stock prices automatically start
rising.

6. Exchange rate

The exchange rates of Indian Rupee keeps fluctuating vis-à-vis other currencies. When rupee hardens in
respect to other currencies, it sets a multidimensional chain reaction. It causes Indian goods to become in
It causes Indian goods to become expensive in foreign markets. Companies drastically affected are the once
Involved in overseas op[erations.companies dependent on exports experience a fall in demand for their
Goods abroad. Revenue from exports decline and stock prices of such companies in the home country fall.

26
 Importing companies, on the hand, are benefitted by hardening of the rupee. They need to shell out lesser on
. Imported goods which reduce the cost of operations. Imported goods which reduce the cost of operations.

7. Politics
Political events, especially during the prime ministerial elections, influence Indian stock markets
considerably. Before the elections, there’s tremendous volatility in the market. A rise or fall depends on
expectations of the voters from the government. A coalition outlook accompanies bear runs in stock prices. On
the contrary, full majority outlook makes the market bullish. During the recent PM elections, people pinned up
high hopes with Modi government. Markets rallied in the pre-election period which continued even after
Modi’s win. The agenda of political parties also affect the direction of stock prices. A development agenda
results in market exuberance. Conversely, an undefined and weak political manifesto makes the stock prices to
slide. Additionally, political instability, the imposition of embargo, war-like situation, and civil riots may
cause the stock prices to go southwards. Financial Factor A factor that is pertinent to a broad economy at the
regional or national level and affects a large population rather than a few select individuals, financial factors
such as inflation, savings and financial factor is pertinent to broad economy at the regional or national
level and affects a large population rather than a few select individuals, financial factors such as inflation,
savings and  investment are key indicators of economic performance and financial performance indicators of
listed companies are closely monitored by governments, businesses and consumers. The interplay or
relationship between various financial factors is the subject of a great deal of work in the field of Business
.Financial factors played a significant role in the growth of the economy as well as economic decision-making

7. Price rigging
The stock market is a money-driven Eco-system thus scammers are naturally attracted to it. They keep on
finding the inadequacy in the system for exploitation and their benefits. One of the biggest inadequacies was
the price-rigging. Harshad Mehra scam and then the ketan parekh scam displayed exploitation of this
vulnerability.

1. Global

incidents Any global incident which affects the cost of manufacturing, transportation, import- export of goods in
a country, affects the stock market. Any war-like situation (either on-ground or cold war) or end of this situation
also does the same thing.

2. Weather

Not only commodity market but the equity market is also fluctuated by a forecast of a good/bad weather like rain, high/low
temperature by the meteorological department. Exempli Gratia, a good rain means good crop leading to more income by farmers.
More income means more money to buy things necessary for a farmer. There may be a good time ahead for the tractor industry. A
colder winter this year may be a good time for the woolen clothes and heater industry.

27
12. Advantages & Disadvantages of Investing in the Share Market

There are plenty of investment options available today from shares, mutual funds to PPF, FDs/RDs etc but the
investment option which has provided the highest returns in the long term are Shares. 

But high returns come with high risk. Hence before you invest your hard earned money in the share market, you
should be aware of the advantages and disadvantages of share market investing. 

Typically, investors prefer to stay away from uncertainty and tend to panic when such situations arise. This panic then
breeds mistakes and in a volatile market, mistakes can be easily translated to losses. Therefore, investors need to
understand how to overcome the disadvantages of share market investing. 

Today, we will discuss the advantages and disadvantages of investing in the share market and how you can create
wealth using the stock market. 

12.1 Advantages of Share Market Investment

 Probability of high returns over the short-term

The biggest advantage of share market investment is that it has the potential to generate inflation-beating returns
within a short period of time as compared to other investment avenues like bank FDs, saving accounts etc.

 Ownership stake in the company.

When you buy shares of a public listed company, no matter how small your share size is, it gives you proportionate
control over the company. This ownership of shares will in turn grant you the voting rights and you will receive
dividends, bonus, etc. 

 High liquidity 
Unlike other investment avenues, shares do not have any lock-in period. Investors can buy and sell shares through the
stock exchanges within seconds.

 Your rights are well protected by SEBI

The stock market is regulated by the Securities and Exchange Board of India (SEBI). SEBI strictly monitors market
participants like brokers, sub-brokers, advisors and stock exchanges to safeguard the interest of the shareholders. 

28
  Tax benefits
o Long-term capital gains i.e. investments held for more than 12 months are taxed at 10% over Rs 1
Lakh only. 

o Short-term capital gains i.e. investments held for less than 12 months are taxed at 15% + 3% cess.

o Any capital loss can be offset or carried forward for up to eight financial years.

o
12.2 Disadvantages of Share Market Investment

 Volatility
Investments in the share market are considered risky since the markets are volatile and shares can fluctuate and even
hit lower circuits. 

 Risk
Risk is the possibility of an investor experiencing losses due to factors that affect the overall performance of the
financial markets. Risks are of two types:

1. Systematic risk 
Systematic risk tends to influence the overall market and it cannot be eliminated through diversification. 

Example: Natural calamities, political turmoil, terrorist attacks, etc.

2. Unsystematic risk
Unsystematic risk is unique to a specific industry or a company and it can be diversified.

3. Stockholders are paid last.

When a company is winded up, shareholders are the last one to get paid whereas bondholders and creditors of the
company get paid first. 

4. Emotional Roller Coaster

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The stock prices rise and fall frequently due to volatility. Many investors tend to buy a share at a high price out of
greed and sell at a low price out of fear. Hence, coffee- can investing is the best strategy to avoid roller coaster
investing.

30
CONCLUSION AND SUGGESTION

The search for investments that would allow investment portfolio diversification and would provide more insiders,
more insiders trading: Evidence from private-equity .A suggested approach to country selection in international
portfolio diver- sification. Factors that determine the reputation of private equity managers. The stock market is one of
the important capital turnover channels of the economy. The volatility of stock prices, in particular stock prices, is the
result of changes in the macro economy, investors and listed companies on HOSE. Therefore, it is important to
understand factors affecting stock price which plays an important role in effective market management. In today’s
scenario when all services are going to be online or in electronic form Sumpoorna Portfolio Ltd. Is creating awareness
of online trading so that the client can trade from anywhere from the World. Sumpoorna Portfolio Ltd. takes care of
client portfolio and whenever the value of his/her portfolio will decrease by 30% then that client is always informed
by his/her relationship Manager. Sumpoorna is a company that has helped in handling a vast amount of transactions
and this can be an efficient trading, delivering, settlement system with adequate protection to investors. The
introduction of on-line trading would influence the investors resulting in an increase in the business of the exchange.
Due to invention of online trading there has been greater benefit to the investors as they could sell / buy shares as and
when required and that to with online trading. The broker’s has a greater scope than compared to the earlier times
because of invention of online trading.

1.

31
REFERENCES

https://www.researchgate.net/publication/32441810

https://www.slideshare.net/MohitAgarwal312/affecting-stock-market-in-india

https://www.slideshare.net/sbhutada2/stock-market-25707887

https://www.researchgate.net/publication/256054588

https://www.indiainfoline.com/about-demat-account/

https://www.investopedia.com/terms/s/stockmarket.asp

https://www.slideshare.net/sbhutada2/stock-market-25707887

32
DAILY REPORT.

Sneha Yadav

M.B.A. 2 Semester E
2020-2022
Specialization: Equity Research Analyst.
Name of Summer Training Organization: Growth Arrow

Day Description of Work Remark

1. Introduction of their organization. It is very helpful for us to

know about their
organization.

2. Told us to open Demat A/C It helps us to gain deep

knowledge about shares.

3. I have open my Demat A/C It helps us to do trading.

4. Solve our query about Demat It helps us to know deeply

about what is Demat A/C.

5. Told us about traditional method.

6. Practice of traditional method.

7. Practice open high and open low strategy.

8. Make Report on open high and open low

strategy.

9. Told us what is pivot point.

10. Shown us the recorded session.

33
11. Practice of pivot point.

12. Asking about Demat A/C.

13. Told us about Candle Stick 1

14. Shown us the recorded session.

15. Practice of Candle Stick

16. Told us about Candle Stick 2

17. Shown us the recorded session.

18. Practice of Candle Stick

19. Told us about candle Stick 3

20. Shown us the recorded session.

21. Practice of Candle Stick

22. Told us about RSI. & Stochastic

23. Shown us the recorded session.

24. Practice of RSI & Stochastic.

25. Practice of RSI & Stochastic.

26. Told us about Moving Average.

27. Shown us the recorded session .

28. Practice of Moving Average.

29. Told us about of Bollinger bands.

30. Shown us the recorded session.

31. Practice of Bollinger bands.

32. Told us about Fibbo levels.

33. Shown us the recorded session.

34. Told us about how to pick stock for intraday
and 15 min trading strategy.
35. Shown us the recorded session.

36. Practice of intraday trading strategy.

37. Discussion.

38. Told us to Session 1 FX.

39. Shown us the recorded session.

40. Told us to Session FX demo competition

details.

41. Shown us the recorded session.

42. Told us to Session Query on FX Demo.

43. Shown us the recorded session.

44. Told us to Fundamentals.

45. Submit internship exit form.

Name of the Faculty Guide: Dr. Richa Banerjee

Signature of faculty Guide:

Remarks:
Weekly Report Format
Sneha Yadav

2nd semester E

Weekly report for 6 Weeks.

WEEK FROM TO DESCRIPTION OF WORK

1. 15-Apr-2021 22-Apr-2021 Study about basic of Demat account.

2. 23-Apr-2021 30-Apr-2021 Study about candle sticks, pivot point.

3. 01-May-2021 08-May-2021 Practice about Candle sticks 1, 2 ,3.

4. 09-May-2021 16-May-2021 Practice about RSI and Stochastic, Moving average.

5. 17-May-2021 24-May-2021 Study of Bollinger bands, Fibbo Levels, 15 Min.

Trading strategy.
6. 25-may-2021 01-June-2021 Study of FX Account, Fundamentals.

Thanks and Regards,

Sneha Yadav

MBA 2nd SEM E

Signature of Faculty Guide:

Remark:

Note: Student have to enclose this daily work report sheet with their summer training report at the time of
submission along with the signature of their Faculty Guide. Student will not be able to submit his/ her file to
the department without the signature of faculty guide.
STUDENT EVALUATION FORM FOR FACULTY GUIDE

Name of the Student: Sneha Yadav

Course: MBA (E) 2sem Specialization:

Finance
Batch: 2020-2022

Date and Day when student reported first time. Kindly give feedback for the following points

STUDENT EVALUATION FORM FOR FACULTY GUIDE

Name of the Student: Sneha Yadav

Course: MBA (E) 2sem

Specialization: Finance
Batch: 2020-2022

Date and Day when student reported first time. Kindly give feedback for the following points

1. Whether the student have reported before he/she proceeded for summer training.

a. YES

b. NO

2. Whether the Student get the approval for Topic of Summer Training.

a. YES

b. NO
 3. Kindly mark the performance of the student for following Parameters on a scale of 1 to 5

A. Regularity and Punctuality during training including reporting and submission of Weekly
work report
12345

B. Openness for Learning and Acceptability of task allotted1 2 3 4 5

C. Behavior1 2 3 4 5

Overall Remark on Student performance

………………………………………………………………………………………………… Date:

Date:
Dr. Richa Banerjee