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PROJECT REPORT ON “EQUITY ANALYSIS ON BANKING SECTOR” AT

“BONANZA PORTFOLIO.LTD”
Submitted to department of Business Administration, JNTU University in the Practical fulfillment of the Requirement for the Award of Degree in

MASTER’S OF BUSINESS ADMINISTRATION.
(In Finance) Submitted to

Jawaharlal Nehru University
Hyderabad – 500072

By

MOHD AZHARUDDIN
HALL TICKET NO: (09J61E0043) MEDAK COLLEGE OF ENGINEERING & TECHNOLOGY (Affiliated to JNTU University) Kukatpally, Hyderabad.

2009-2011
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DECLERATION

I hereby declare that the entitled “EQUITY ANALYSIS ON BANKING SECTOR” Is an Original work done by me and has been submitted to the department Of Business Management, JNTU university in the Partial fulfillment for The Award of the Master of Business Administration degree. This report has not yet submitted anywhere else for the purpose of award of any degree or diploma or certificates.

DATE:

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PLACE: (MOHD AZHARUDDIN)

ACKNOWLEDGEMENT
I owe a great many thanks to a great many people who helped and supported me during the writing of this book. I express my thanks to Mr. SVS RAMAKRISHNA RAJU the Principal of, MEDAK COLLEGE OF ENGINEERING & TECHNOLOGY for extending his support. My deepest thanks to LECTURER, MRS MEHRAZ, the Guide of the project for guiding and correcting various documents of mine with attention and care. He has taken pain to go through the project and make necessary correction as and when needed. My deep sense of gratitude to Mr. Mujeeb Ansari, Manager of Sapient Consultancy Services for his support and guidance. Thanks and appreciation to the helpful people at sapphire securities ltd, for their support. I would also thank my Institution and my faculty members without whom this project would have been a distant reality. I also extend my heartfelt thanks to my family and well wishers.

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no TITLES PAGE NO 1 INTRODUCTION 05 2 LITERATURE REVIEW 13 3 COMPANY’S PROFILE 24 4 INDUSTRY’S PROFILE 29 5 DATA ANALYSIS & INTREPRTATION 40 4 .(MOHD AZHARUDDIN) CONTENTS S.

6 FINDINGS OF THE STUDY 57 7 SUGESSTIONS & CONCLUSION’S 60 8 BIBILOGRAPHY 85 5 .

Equity Analysis on Banking Sector 6 .

Introduction of Equity Analysis

The most theoretically sound stock valuation method, called income valuation or the discounted cash flow (DCF) method, involves discounting of the profits (dividends, earnings, or cash flows) the stock will bring to the stockholder in the foreseeable future, and a final value on disposal. The discounted rate normally includes a risk premium which is commonly based on the capital asset pricing model. In July 2010, a Delaware court ruled on appropriate inputs to use in discounted cash flow analysis in a dispute between shareholders and a company over the proper fair value of the stock. In this case the shareholders' model provided value of $139 per share and the company's model provided $89 per share. Contested inputs included the terminal growth rate, the equity risk premium, and beta. Stocks have two types of valuations. One is a value created using some type of cash flow, sales or fundamental earnings analysis. The other value is dictated by how much an investor is willing to pay for a particular share of stock and by how much other investors are willing to sell a stock for (in other words, by supply and demand). Both of these values change over time as investors change the way they analyze stocks and as they become more or less confident in the future of stocks.

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The fundamental valuation is the valuation that people use to justify stock prices. The most common example of this type of valuation methodology is P/E ratio, which stands for Price to Earnings Ratio. This form of valuation is based on historic ratios and statistics and aims to assign value to a stock based on measurable attributes. This form of valuation is typically what drives long-term stock prices.

The other way stocks are valued is based on supply and demand. The more people that want to buy the stock, the higher its price will be. And conversely, the more people that want to sell the stock, the lower the price will be. This form of valuation is very hard to understand or predict, and it often drives the short-term stock market trends.

In short, there are many different ways to value stocks. The key is to take each approach into account while formulating an overall opinion of the stock. Look at each valuation technique and ask yourself why the stock is valued this way. If it is lower or higher than other similar stocks, then try to determine why. And remember, a great company is not always a great investment.

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Objectives of the Study.
The primary objective of equity research is to analyze the earnings persistence. Some key aspects that affect the earnings persistence can be summarized as follows:
 The stability of the equity under consideration.  The predictability of the value of the given equity under the given

characteristics.
 The variability of the given equity, given the various variance factors.  The general market trend influencing the market value of the given equity.  The earnings management.  And the accounting methods in use.

Two ways in which you can facilitate the assessment of the earnings persistence are by either recasting the income statement or adjusting the same.
 To analyze the financial performance.  To analyze the stock price movements traded in NSC  To calculate return and risk.  To suggest the strategies to improve financial performance.

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the difference between the fair market value and unpaid mortgage balance on a home Private equity. the value of an ownership interest in property. 10 . stock in a privately held company Equity in income of affiliates.Scope of the Study. Equity may refer to: Equity (finance). an accounting term referring to the consolidated or unconsolidated ownership in affiliate companies. Home equity. the generic term for common equity securities are called stock. including shareholders' equity in a business Stock.

it is referred to as venture capital investing and is generally understood to be higher risk than investment in listed going-concern situations. negative equity exists. SHAREHOLDER’S EQUITY: When the owners are shareholders. the interest can be called shareholders' equity. shareholders' funds. equity is the residual claim or interest of the most junior class of investors in assets. It may also refer to the acquisition of equity (ownership) participation in a private (unlisted) company or a startup company.EQUITY INVESTMENT: An equity investment generally refers to the buying and holding of shares of stock on a stock market by individuals and firms in anticipation of income from dividends and capital gains. When the investment is in infant companies. EQUITY FINANCE: In accounting and finance. after all liabilities are paid. as the value of the stock rises. If valuations placed on assets do not exceed liabilities. 11 . If all shareholders are in one and the same class. shareholders' capital or similar terms) represents the remaining interest in assets of a company. Shareholders' equity (or stockholders' equity. the accounting remains the same. However. This complicates both analysis for stock valuation and accounting. they share equally in ownership equity from all perspectives. spread among individual shareholders of common or preferred stock. In an accounting context. shareholders may allow different priority ranking among themselves by the use of share classes and options. and it is ownership equity spread out among shareholders.

this is the realm of Technical Analysis 12 . profits and future prospects. So what we really want to know is Analyzing past stock prices can provide some insight into future movements. This can be considered as it’s intrinsic or Fair Value based on its future earnings and return on investment. In a stable economic and business environment applying Fundamental Analysis should provide a solid pricing mechanism however all businesses operate in dynamic environments and future earnings are never guaranteed. Stock valuations. Thus.Market value of shares: In the stock market. which are often much higher. This results in varying estimates of earnings. The rate of return component of Fundamental Analysis is also variable and is influenced by the return from alternative investments and the perceived risk of the stock investment. are based on other considerations related to the business' operating cash flow. However the actual price of a stock is determined by the stock market and the stock market is driven by human emotion. market price per share does not correspond to the equity per share calculated in the accounting statements. Dynamic business environments result in less reliable earnings estimates and a greater possible range of future earnings. As risk increases the required rate of return increases to compensate for the risk. This approach is used by most traditional investment analysts and is the basis of their stock performance recommendations. STOCK PRICE ANALYSIS Fundamental Analysis determines intrinsic stock prices by projecting future earnings and then applying an acceptable return on investment to calculate the stock price. there is little or no correlation between the equity seen in financial statements and the stock valuation of the business. some factors are derived from the accounting statements. Fundamental Analysis essentially tells us what price a stock should be.

The Fair Value price (fundamental) and a variance from the Fair Value due to dynamic environments and human emotion. It does not consider the fundamentals of the stock. Achieving the best possible return for our investment requires both an appreciation of the fundamental Fair Value of a stock and the future variance indicated by technical analysis. At any point in time actual stock prices consist of two components. or economic environment as the influence of these factors is deemed to be already reflected in the stock price. To help us do this there is an extensive range of stock pricing software and "stock experts" available.Technical Analysis or Charting applies statistical techniques to historical stock prices and volumes to identify likely future stock price movements. The more volatile the environment and emotion the greater the variance. and follow their recommendations. The problem with using an expert or a system developed by an expert is how we can judge their expertise. This results in cyclic boom (bull) and bust (bear) markets. 13 . All we need do is buy their software or subscribe to their research newsletters. This can provide valuable indicators and insight into future stock price movements that cannot be identified using Fundamental Analysis. Perhaps the best way is to gain as much knowledge as possible ourselves so we have the ability to make informed decisions. the business. Because Technical Analysis is based on actual past stock price data (which was influenced by human emotion) it incorporates a component of human emotion in its calculations.

14 . Earnings per Share (EPS).1.

be sure to look at the historical and forward ratios. Specifically you want to find out what range the P/E has traded in so that you can determine if the current P/E is high or low versus its historical average. In other words. You should also look at the historical trends of the P/E by viewing a chart of its historical P/E over the last several years (you can find on most finance sites like Yahoo Finance). To compute this figure. the P/E is 20 times. The most important thing to look for in the EPS figure is the overall quality of earnings. and to see if they are an underachiever or an overachiever. use the net income that excludes any one-time gains or losses and excludes any non-cash expenses like stock options or amortization of goodwill. if the stock is trading at $10 and the EPS is $ 0.EPS is the total net income of the company divided by the number of shares outstanding. the price to earnings ratio. or for the previous year. Historical P/Es are computed by taking the current price divided by the sum of the EPS for the last four quarters. 3. Make sure the company is not trying to manipulate their EPS numbers to make it look like they are more profitable. For example. have they consistently beaten expectations or are they constantly restating and lowering their forecasts? The EPS number that most analysts use is the pro forma EPS. To get a good feeling of what P/E multiple a stock trades at. or P/E. take the stock price and divide it by the annual EPS figure. Price to Earnings (P/E). Also. look at the growth in EPS over the past several quarters / years to understand how volatile their EPS is.50. 2. Then divide this number by the number of fully diluted shares outstanding. Return on Invested Capital (ROIC). 15 . Now that you have several EPS figures (historical and forecasts). you'll be able to look at the most common valuation technique used by analysts. To compute this number.

This valuation technique measures how much money the company makes each year per dollar of invested capital. RESISTANCE:- 16 . is the value of all of the company's stock. it is likely to continue dropping until it finds another support level. To measure it. To get a more complete picture. However. This means the price is more likely to "bounce" off this level rather than break through it. Remember. The ratio is expressed as a percent and you should look for a percent that approximates the level of growth that you expect. Market Cap. you'll want to look at the Enterprise Value. multiply the current stock price by the fully diluted shares outstanding. the market cap is only the value of the stock. this ratio measures the investment return that management is able to get for its capital. Invested Capital is the amount of money invested in the company by both stockholders and debtors. In its simplest definition. 4. The higher the number. which is short for Market Capitalization. by an amount exceeding some noise. once the price has passed this level. SUPPORT:A support level is a price level where the price tends to find support as it is going down. Market Cap. the better the return. SUPPORT & RESISTANCE Support and resistance is a concept in technical analysis that the movement of the price of a security will tend to stop and reverse at certain predetermined price levels.

is to buy a stock at support and sell at resistance. However. It is where the price tends to find resistance as it is going up. If a stock price is moving between support and resistance levels. then a basic investment strategy commonly used by traders. once the price has passed this level. This means the price is more likely to "bounce" off this level rather than break through it. it is likely that it will continue rising until it finds another resistance level. then short at resistance and cover the short at support as per the following example: 17 . and vice versa. by an amount exceeding some noise. USING SUPPORT & RESISTANCE LEVELS:This is an example of support switching roles with resistance.A resistance level is the opposite of a support level.

In this example the early signs that the stock was coming out of a downtrend was when it started to form support at $30.48 and then started to form higher highs and higher lows signaling a change from negative to positive trending 18 .

PRIMERY MARKET TRENDS:A primary trend has broad support throughout the entire market (most sectors) and lasts for a year or more. respectively. varying over time. These trends are classified as secular trends for long time frames. It is a win-win situation for the investors. The terms bull market and bear market describe upward and downward market trends. It is a transition from high investor optimism to widespread investor fear and pessimism.MARKET TREND Statues of the two symbolic beasts of finance. and can be used to describe either the market as a whole or specific sectors and securities. a framework which characterizes market trends as a predictable price response of the market at levels of price support and price resistance. A bullish trend in the stock market often begins before the general economy shows clear signs of recovery. the bear and the bull. BEAR MARKET A bear market is a general decline in the stock market over a period of time. A market trend is a putative tendency of a financial market to move in a particular direction over time. primary trends for medium time frames. and increased investing in anticipation of future price increases (capital gains). in front of the Frankfurt Stock Exchange. Traders identify market trends using technical analysis. 19 . BULL MARKET A bull market is associated with increasing investor confidence. and secondary trends lasting short times.

with the opening price at the top and the closing price at the bottom. If the security closed lower than it opened.Technical Analysis: 1: Japanese candlestick chart: Japanese candlestick chart is a style of bar-chart used primarily to describe price movements of a security. The wick illustrates the highest and lowest traded prices of a security during the time interval represented. or currency over time. derivative. The body illustrates the opening and closing trades. and an upper and a lower shadow (wick): the area between the open and the close is called the real body. If the security closed higher than it opened. price excursions above and below the real body are called shadows. the body is black. They appear superficially similar to error bars. but are unrelated. with the opening price at the bottom of the body and the closing price at the top. It is most often used in technical analysis of equity and currency price patterns. 20 . A candlestick need not have either a body or a wick. It is a combination of a line-chart and a bar-chart. in that each bar represents the range of price movement over a given time interval. the body is white or unfilled. Candlesticks are usually composed of the body (black or white).

when the bar is white and high relative to other time periods. it means buyers are very bullish. modern candlestick charts (especially those displayed digitally) often replace the black or white of the candlestick body with colors such as red (for a lower closing) and blue or green (for a higher closing). or close (whichever is lowest) 21 . and options trading. or close (whichever is highest) Low = minimum of low. Picture of candlestick: USE OF CANDLESTICK CHARTS Candlestick charts are a visual aid for decision making in stock. open. For example. The opposite is true for a black bar. Heikin-Ashi candlesticks: Heikin-Ashi (Japanese for 'average bar') candlesticks are a weighted version of candlesticks calculated with the following formula:     Open = (open of previous bar+close of previous bar)/2 Close = (open+high+low+close)/4 High = maximum of high.To better highlight price movements. forex. open. commodity.

momentum. the MACD line illustrates changes in the trend of a stock. whereas the same period on a standard chart might show a long body with little or no wick. This difference is charted over time. as an indicator overlaid on a regular chart. Exponential moving averages highlight recent changes in a stock's price. or candlestick). The divergence between the two is shown as a histogram or bar graph. Heikin-Ashi may be used to chart the price (instead of line. an analyst can chart subtle shifts in the stock's trend. By comparing EMAs of different periods. alongside a moving average of the difference. Depending on the software or user preference. and duration of a trend in a stock's price. a long wick shows more strength. direction. or an as indicator plotted on a separate window 2: MACD (Moving Average Convergence/Divergence): MACD is a technical analysis indicator created by Gerald Appel in the late 1970s. Then by comparing that difference to an average.It is used to spot changes in the strength. 22 . Unlike with regular candlesticks. The MACD is a computation of the difference between two exponential moving averages (EMAs) of closing prices. bar.Heikin-Ashi candlesticks must be used with caution with regards to the price as the body doesn't necessarily sync up with the actual open/close.

Tick marks project from each side of the line indicating the opening price (e. The bars may be shown in different hues depending on whether prices rose or fell in that period. 3: An open-high-low-close chart (Also OHLC chart or simply bar chart) is a type of chart typically used to illustrate movements in the price of an instrument over time.g. Values are calculated from the price of the stock in the main part of the graph. The indicator shows a blue line. a red line. Each vertical line on the chart shows the price range (the highest and lowest prices) over one unit of time. for a daily bar chart this would be the starting price for that day) on the left. Which can be explained as follows? 23 . and the closing price for that time period on the right. and a histogram or bar chart which calculates the difference between the two lines. one day or one hour.The graph above shows a stock with a MACD indicator underneath it.g. e.

which displays information as a series of data points connected by straight line segments. moving average. A line chart is often used to visualize a trend in data over intervals of time – a time series – thus the line is often drawn chronologically. and produce a more pronounced lag in the smoothed sequence. It is an extension of a scatter graph. A small value of k will have less of a smoothing effect and be more responsive to recent changes in the data. It is a basic type of chart common in many fields.THE SIMPLE MOVING AVERAGE: Intuitively. LINE CHART: A line chart or line graph is a type of graph. or unweighted. The smoothed statistic st is then just the mean of the last k observations: Where the choice of an integer k > 1 is arbitrary. the simplest way to smooth a time series is to calculate a simple. One disadvantage of this technique is that it cannot be used on the first k −1 terms of the time series. while a larger k will have a greater smoothing effect. and is created by connecting a series of points that represent individual measurements with line segments. 24 .

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He started his career as a CA in 1987 and soon after he embodied several prominent committees on settlement issues (COSI). He was formerly with the Modi’s & Oswal’s . Shivkumar Goel Being the Founder Director of Bonanza. A CA & CS with more than 30 years of experience. Formerly. a policy generating body at the NSE of India Ltd and Dispute Resolution Committee (DRC) of National Stock Exchange Clearing Corporation Limited (NSCCL). He is currently a functional member with Association of National Exchanges Members of India Mr. Mr. Mr. Delhi.leading manufacturing companies 27 . Mr. S. Mr.R. S K Goel Has been Bonanza’s Founder Director and a prominent CA for more than 35 years now.K.Meet the masterminds behind the success of Bonanza --The Directors who are leading the gigantic force. Verma Advisory committee for the development of the derivatives market in India. With an experience of 25 years in the finance business. he has been handling IT & risk initiatives since inception. Shivkumar Goel had also spearheaded the IT committee of the DELHI Stock Exchange. He represents NSEIL for the SEBI constituted Dr. Mr. Goel has been mainly heading Bonanza’s Northern and Eastern zone. he recently was nominated as the executive committee member of Depository Participants Association of India. Goel has also been appointed as the director of the OTC Exchange of India. S P Goel The Founder Director of Bonanza who has been instrumental in chartering critical and strategic initiatives. designated as the CEO of SRF Finance Limited. J.

Mr. Vishnu Kumar Agarwal The Founder Director of Bonanza with over 30 years of experience. Top Equity Broking House in terms of branch expansion for 2008*. Real Estate Investments and Initiatives for all the group companies of Bonanza. 28 . he has undertaken audits for leading banks across India. Compliance and DP. Anand Prakash Goel Has been playing a pivotal role as Bonanza’s Founder Director by resourcefully managing Taxation. Vishnu has proficiently taken charge of Administration. of offices for 2009-2010*. 6th in terms of Trading terminals in for two consecutive years 2007. Mr. Milestones: 4 th Largest in terms of no. A qualified CA with more than 30 years of experience in his stride. Mr.2008*. 9th in terms of Sub Brokers for 2007*.

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currencies and derivatives. 31 . bonds. cheques. It is through financial markets and institutions that the financial system of an economy works. bills. granting of loan by term lending institutions. issue of equity shares. purchase of debentures. bank deposits. Hence financial markets are pervasive in nature since financial transactions are themselves very pervasive throughout the economic system. In a nutshell. Financial markets refer to the institutional arrangements for dealing in financial assets and credit instruments of different types such as currency.FINANCIAL MARKETS: Finance is the pre-requisite for modern business and financial institutions play a vital role in the economic system. Wherever a financial transaction takes place. financial markets are the credit markets catering to the various needs of the individuals. For instance. costs and fees and market forces determining the prices of securities that trade. basic regulations on trading. Financial market is a broad term describing any marketplace where buyers and sellers participate in the trade of assets such as equities. there is no specific place or location to indicate a financial market. sale of shares and so on. it is deemed to have taken place in the financial market. equities. firms and institutions by facilitating buying and selling of financial assets. bonds. They are typically defined by having transparent pricing. deposit of money into a bank. Generally. etc. claims and services.

CLASSIFICATION OF FINANCIAL MARKET: 32 .

The market. therefore. 2. Securing the foreign capital and know-how to fill up deficit in the required resources for economic growth at a faster rate. The best example could be Initial Public Offering (IPO) where a firm offers shares to the public for the first time. Hence it is also called as New Issue Market. it consists of a series of channels through which the savings of the community are made available for industrial and commercial enterprises and public authorities. The major functions performed by a capital market are: 1. Mobilization of financial resources on a nation-wide scale. As a whole. it deals with raising of fresh capital by companies either for cash or for consideration other than cash. 33 . Capital market consists of primary market and secondary market. 3. makes available a new block of securities for public subscription. by directing the same to projects yielding highest yield or to the projects needed to promote balanced economic development. In other words. it deals with long term securities which have a period of above one year. Generally. Primary market: Primary market is a market for new issues or new financial claims.Capital Market: The capital market is a market for financial assets which have a long or indefinite maturity. It basically deals with those securities which are issued to the public for the first time. Effective allocation of the mobilized financial resources. In the widest sense. capital market facilitates raising of capital.

which are derived from other forms of assets. Money market securities are generally very safe investments which return relatively low interest rate that is most appropriate for temporary cash storage or short term time needs. 34 . securities which have already passed through new issue market are traded in this market. commercial bills market. acceptance market. financial instruments like futures contracts or options. A derivative is a security whose price is dependent upon or derived from one or more underlying assets. Derivatives Market The derivatives market is the financial market for derivatives. commodities. highly liquid debt securities. Its value is determined by fluctuations in the underlying asset.Secondary market: Secondary market is a market where existing securities are traded. currencies. Money Market Money markets are the markets for short-term. such securities are quoted in the stock exchange and it provides a continuous and regular market for buying and selling of securities. It consists of a number of sub-markets which collectively constitute the money market namely call money market. interest rates and market indexes. bonds. The important financial derivatives are the following. The most common underlying assets include stocks. This market consists of all stock exchanges recognized by the government of India. and Treasury bill market. The derivative itself is merely a contract between two or more parties. Generally. In other words.

Hard commodities are typically natural resources that must be mined or extracted (gold. soybeans.) 35 .Futures: Future contract is very similar to a forward contract in all respects excepting. Commodities Market: It is a physical or virtual marketplace for buying. Call options give the option to buy at certain price. oil. but not the obligation. rubber. coffee. wheat. The fact that it is completely a standardized one. so the buyer would want the stock to go up. Commodities are split into two types: hard and soft commodities. to buy (call) or sell (put) a security or other financial asset at an agreedupon price (the strike price) during a certain period of time or on a specific date (exercise date).). etc. selling and trading raw or primary products. pork. The contract offers the buyer the right. so the buyer would want the stock to go down. Put options give the option to sell at a certain price. For investors' purposes there are currently about 50 major commodity markets worldwide that facilitate investment trade in nearly 100 primary commodities. whereas soft commodities are agricultural products or livestock (corn. Options: A financial derivative that represents a contract sold by one party (Option writer) to another party (option holder). sugar. etc. It is nothing but a standardized forward Contract which is legally enforceable and always traded on an organized exchange.

Ahmadabad and Kolkata were established as early as the 19th century. 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. 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). Ahmadabad and Kolkata apart from Madras. including Mumbai.INDIAN FINANCIAL MARKETS: India Financial market 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. which were dominated by the state controlled public sector resulting in stagnation of the economy right up to the early 1990’s. Delhi. 36 . 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. Kanpur. Bangalore and Pune. 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. By the early 1960s the total number of securities exchanges in India rose to eight. However the stock markets in India remained stagnant due to stringent controls on the market economy that allowed only a handful of monopolies to dominate their respective sectors. The corporate sector wasn't allowed into many industry segments.

As per the Securities Contracts Regulation Act. regulating and controlling business in buying.STOCK EXCHANGES IN INDIA: Stock Exchanges are an organized market place. or as principals for their own accounts. The trade on an exchange is only by members and stock broker do have a seat on the exchange. The record keeping is central but trade is linked to such physical place because modern markets are computerized. 37 . established for the purpose of assisting. Stock exchanges facilitate for the issue and redemption of securities and other financial instruments including the payment of income and dividends. organization or body of individuals whether incorporated or not. where members of the organization gather to trade company stocks or other securities. The members may act either as agents for their customers. selling and dealing in securities. either corporation or mutual organization. 1956 a stock exchange is an association.

38 .BOMBAY STOCK EXCHANGE A very common name for all traders in the stock market. BSE obtained a permanent recognition from the Government of India under the Securities Contracts (Regulation) Act. is also tracked worldwide. Earlier it was an Association of Persons (AOP). stands for Bombay Stock Exchange. BSE Vision The vision of the Bombay Stock Exchange is to Emerge as the premier Indian Stock Exchange by establishing global benchmarks. In 1956. In the early days. BSE was known as "The Native Share & Stock Brokers Association. but now it is a demutualised and corporatized entity incorporated under the provisions of the Companies Act. SENSEX. 1956. This is recognized worldwide and its index. BSE. It is the oldest market not only in the country. In the past and even now. pursuant to the BSE (Corporatization and Demutualization) Scheme. 1956. 2005 notified by the Securities and Exchange Board of India (SEBI)." It was established in the year 1875 and became the first stock exchange in the country to be recognized by the government. but also in Asia. it plays a pivotal role in the development of the country's capital market.

It comprises of eminent professionals. 1956 in April 1993. Based on the recommendations. representatives of Trading Members and the Managing Director. NSE commenced operations in the Wholesale Debt Market (WDM) segment in June 1994. The day. NSE was promoted by leading Financial Institutions at the behest of the Government of India and was incorporated in November 1992 as a tax.paying company unlike other stock Exchange in the Country.today operations of BSE are managed by the Managing Director and its school of professional as a management team. The Board is an inclusive one and is shaped to benefit from the market intermediaries participation.BSE Management Bombay Stock Exchange is managed professionally by Board of Directors. which recommended promotion of a National Stock Exchange by financial institutions (FI’s) to provide access to investors from all across the country on an equal Footing. The Capital Market (Equities) segment commenced operations in November 1994 and operations in Derivatives segment commenced in June 2000. 39 . On its recognition as a stock exchange under the Securities Contracts (Regulation) Act. NATIONAL STOCK EXCHANGE OF INDIA LIMITED The National Stock Exchange of India Limited has genesis in the report of the High Powered Study Group on Establishment of New Stock Exchanges. The Board exercises complete control and formulates larger policy issues.

Band VSAT network in the world. we are constantly working towards creating a more transparent.network is the largest private wide area network in India and the first extended C. • Presently more than 9000 users are trading on the real time-online NSE Application. • NSE can handle up to 1 million trades per day. NSE is one of the largest exchanges in the world and still forging ahead. • It is one of the largest interactive VSAT based stock exchanges in the world. 40 .NSE Facts: • It uses satellite communication technology to energize participation from around 400 cities in India. • The NSE. At NSE. Today. vibrant and innovative capital market.

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Maharashtra.State Bank of India State Bank of India Type Public NSE: SBIN BSE: 500112 LSE: SBID Banking Financial services 1 July 1955 Mumbai. India Pratip Chaudhuri (Chairman) Investment Banking Consumer Banking Commercial Banking Retail Banking Private Banking Asset Management Pensions Mortgages Industry Founded Headquarters Key people Products 42 .

299 (2010) Statebankofindia.668 billion (2010) $322. It also has around 130 branches overseas. The bank traces its ancestry to British India. Bank of Calcutta and Bank of Bombay to form Imperial Bank of India.Credit Cards Revenue Operating income Profit Total assets Total equity Employees Website $29.com State Bank of India is the largest Indian banking and financial services company (by turnover and total assets) with its headquarters in Mumbai. which in turn became State Bank of India. through the Imperial Bank of India. With an asset base of $352 billion and $285 billion in deposits. It is state-owned.507 billion (2010) $2. The State Bank Group. India. and renamed it the State Bank of India. with the Reserve Bank of India taking a 60% stake. the government took over the stake held by the Reserve Bank of India.728 billion (2010) $5. Bank of Madras merged into the other two presidency banks. including products aimed at non-resident Indians (NRIs). SBI provides a range of banking products through its vast network of branches in India and overseas. it is a regional banking behemoth and is one of the largest financial 43 . The government of India nationalized the Imperial Bank of India in 1955.077 billion (2010) $19. has the largest banking branch network in India. In 2008.000 branches. with over 16. making it the oldest commercial bank in the Indian Subcontinent. to the founding in 1806 of the Bank of Calcutta.048 billion (2010) 200.

It has a market share among Indian commercial banks of about 20% in deposits and loans. • State Bank of India 44 . Also SBI is the only bank featured in the coveted "top 10 brands of India" list in an annual survey conducted by Brand Finance and The Economic Times in 2010. The State Bank of India is the largest of the Big Four banks of India. along with ICICI Bank. Punjab National Bank and HDFC Bank.institution in the world. The State Bank of India is the 29th most reputed company in the world according to Forbes.

828.217.53.57 83.01 7.44.82 2.336.116.988.07 2.112.70.042.534.95 79.065.30 60.43 8.72 3.521.157.417.139.82 5. loans & 35.35.95 -33.85 Notes: Book value of unquoted investments Market value of quoted investments - 45 .713.819.32 Miscellaneous expenses not written Total 2.88 1.32 634.312.751.22 2.85.86.13 5.17.362.314.44 234.697.061.690.24 Net current assets Current assets.79 Loan funds Secured loans Unsecured loans Total 8.19 526.41 3.749.673.94 4.10.23 7.04.979.92 5.790.32.538.96 1.831.17 provisions Total net current assets -45.26 526.84 advances Less : current liabilities & 80.020.88 57.00.401.385.50 1.849.06 6.48 1.129.65 4.26 55.62.403.117.964.80 1.27 44.424.60 4.073.046.66.63 7.94 -72.91 2.70 1.73 4.827.75.436.Balance sheet Mar ' 10 Mar ' 09 Mar ' 08 Mar ' 07 Mar ' 06 Sources of funds Owner's fund Equity share capital Share application money Preference share capital Reserves & surplus 634.30 30.03 2.09 3.03 25.292.47 48.26 141.148.27 -34.06.90 10.82 631.31 22.80.403.06 8.223.676.84 4.945.89.501.07.14 Uses of funds Fixed assets Gross block Less : revaluation reserve Less : accumulated depreciation Net block Capital work-in-progress Investments 11.37.574.30 -38.65 8.18 263.772.76 37.42.49.13 8.953.27 1.11 295.30 27.35 5.117.88 65.929.733.380.

80 6314.567.366.740.78 6348.954.29.437.67.48 3.Contingent liabilities Number of equity sharesoutstanding (Lacs) Mar ' 10 Mar ' 09 Mar ' 08 Mar ' 07 Mar ' 06 5.99 State Bank of India Profit loss account Mar ' 10 Mar ' 09 Mar ' 08 Mar ' 07 Mar ' 06 Income 46 .29.96.83 6348.73 2.99 5262.41 7.49.52 8.70 5262.

13 -32.18 6.90 7.20 3.841.008.123.962.65 1.029.66 736.32 7.82 736.649.08 4.77 2.436.932.39 9.15 894.404.05 251.54 14.032.48 9.76 56.864.529.29 24.23 6.08 23.98 602.929.774.915.250.46 4.31 7.406.024.52 13.821.499.159.18 4.82 20.Operating income Mar ' 10 Mar ' 09 Mar ' 08 Mar ' 07 Mar ' 06 85.66 763.67 9.98 5.38 11.541.51 9.909.98 6.73 -10.57 6.47 4.99 7.33 1.625.566.184.39 729.38 5.360.65 9.578.46 -2.82 236.121.44 11.66 7.718.94 3.180.06 11.361.729.754.23 8.785.176.869.01 1.679.36 6.124.14 679.729.57 37.205.65 4.94 10.55 43.541.23 88.38 2.747.05 9.904.95 11.48 42.970.29 932.166.61 3.566.413.143.499.35 17.322.78 14.85 Expenses Material consumed Manufacturing expenses Personnel expenses Selling expenses Adminstrative expenses Expenses capitalized Cost of sales Operating profit Other recurring income Adjusted PBDIT Financial expenses Depreciation Other write offs Adjusted PBT Tax charges Adjusted PAT Non recurring items Other non cash adjustments Reported net profit Earnigs before appropriation Equity dividend Preference dividend Dividend tax Retained earnings ICICI Bank ICICI Bank Limited Type Public 47 .62 6.166.407.051.29 31.45 14.94 9.629.65 15.35 1.628.782.52 12.929.76 248.31 4.25 8.736.71 7.12 4.115.57 12.604.34 7.03 165.911.12 3.357.860.166.46 1.04 224.880.929.121.980.87 7.13 1.23 173.22 103.36 74.083.11 47.04 12.26 901.008.15 1.69 15.20 11.87 125.58 8.43 109.

N. Kamath (Chairman) Chanda Kochhar (MD & CEO) Mr. Kannan (CFO) Finance and insurance Retail Banking Commercial Banking Mortgages Credit Cards Private Banking Asset Management Investment Banking $3.Traded as NSE: ICICIBANK BSE: 532174 NYSE: IBN NASDAQ: IBN Banking Financial services 1994 (promoted by ICICI) Mumbai.493 billion (2011) $12.451 billion (2011) $1. India K. Maharashtra.136 billion (2011) Industry Founded Headquarters Key people Products Revenue Profit Total assets Total equity 48 .134 billion (2011) $89. S.V.

ICICI Bank's shares are listed on the stock exchanges at BSE.Employees Website 74. Russia and the UK (the subsidiary through which the HiSAVE savings brand is operated).21 crore on a 1. ICICI Bank now has wholly owned subsidiaries. (These data are dynamic. Malaysia. life and non-life insurance.15% rise in net profit to 1.102 ATMs in India and presence in 19 countries. including an offshore unit in Mumbai. the United Arab Emirates and USA. Kolkata and Vadodara (formerly Baroda) .31 crore in Q2 September 2008 over Q2 September 2007. The bank's CASA ratio increased to 30% in 2008 from 25% in 2007. branches in Belgium.com ICICI Bank Limited is a major banking and financial services company based in Mumbai. as well as some 24 million customers (at the end of July 2007). an advisory branch in Dubai. venture capital and asset management.014. ICICI Bank offers a wide range of banking products and financial services to corporate and retail customers through a variety of delivery channels and specialization subsidiaries and affiliates in the areas of investment banking. The Bank is expanding in overseas markets and has the largest international balance sheet among Indian banks. It is the second largest bank in India and the largest private sector bank in India by market capitalization. Indonesia. and representative offices in Bangladesh.29% increase in total income to 9. the Bank is targeting the NRI (Non-Resident Indian) population in particular. Hong Kong and Sri Lanka.) ICICI Bank is also the largest issuer of credit cards in India.529 branches (as on 31 March 2010) and about 6. its ADRs trade on the New York Stock Exchange (NYSE). 49 . branches and representatives offices in 19 countries.056 (2010) ICICIBank. South Africa. ICICI reported a 1. Thailand. Overseas. The bank also has a network of 2.712. China. offshore banking units in Bahrain and Singapore. NSE. This includes wholly owned subsidiaries in Canada.

413.29 350. ICICI Bank Ltd. Balance sheet Mar ' 11 Mar ' 10 Mar ' 09 Mar ' 08 Mar ' 07 Sources of funds Owner's fund Equity share capital Share application money Preference share capital Reserves & surplus 1. along with State Bank of India.151.112.00 48.89 50.73 1.ICICI Bank is one of the Big Four banks of India.29 53.68 350.00 45.34 350.82 0.92 50 .357.00 23.114.82 1.419.503. Punjab National Bank and HDFC Bank.53 899.48 1.938.113.

62 -14.41 29.12 3.744.84 2.69 3.96 2.03.43 7.45 11132.228.68.036.38.60 2.41 11517.64 Net current assets Current assets.251.676.84 7.54 97.96 1.431.602.642.443.01.546.298.91 1.91.634.85 38.63 4.31.18 43.173.72 11148.80 1.71 3.108.19 2.67 51 .33.114.77 42.107.80.06 14.11 6.34.20.25.51.53.129.765.99.114.771.51 11126.03.746.18.997.14 4.Mar ' 11 Mar ' 10 Mar ' 09 Mar ' 08 Mar ' 07 Loan funds Secured loans Unsecured loans Total 2.496.11 2.05 -9.35 15.895.87 8992.257.62 80.363.42 189.384.21 7.058.801.05 2. loans & 27.62 4.15 Notes: Book value of unquoted investments Market value of quoted investments Contingent liabilities Number of equity sharesoutstanding (Lacs) - 9.230.20 8.09 7.016.02.510.31 1.82 2.90 3.05 2.923.638.56 2.00 2.693.797.901.30.28 1.40.694.501.06 advances Less : current liabilities & 15.38 23.23 34.927.55.84 31.45 Uses of funds Fixed assets Gross block Less : revaluation reserve Less : accumulated depreciation Net block Capital work-in-progress Investments 9.78 - 1.43 provisions Total net current assets 11.11.44.892.497.375.212.644.362.601.26 3.347.37 Miscellaneous expenses not written Total 1.685.56 -11.551.630.26 2.34 91.66 1.670.074.47 4.986.454.

30 1.741.925.82 8.250.447.79 236.42 9.971.946.36 38.440.21 7.90 1.28 7.ICICI Bank Ltd.93 305.32 4.13 2.380.475.39 39.60 1.92 28.616.00 8.69 32.63 10.72 7.85 3.70 669.457.276.75 1.116.706.63 6.750.82 1.909.91 2.305.54 5.07 5.031.49 5.467.793.078.552.747. Profit loss account Mar ' 11 Mar ' 10 Mar ' 09 Mar ' 08 Mar ' 07 Income Operating income 32.602.56 Expenses Material consumed Manufacturing expenses Personnel expenses Selling expenses Adminstrative expenses Expenses capitalized Cost of sales Operating profit 52 .816.369.407.69 10.79 4.

33 1.332.10 6.58 1.818.857.60 578.25 5.740.890.227.24 16.62 4.Other recurring income Adjusted PBDIT Financial expenses Depreciation Other write offs Adjusted PBT Tax charges Adjusted PAT Non recurring items Other non cash adjustments Reported net profit Earnigs before appropriation Equity dividend Preference dividend Dividend tax Retained earnings Mar ' 11 Mar ' 10 Mar ' 09 Mar ' 08 Mar ' 07 7.337.194.17 7.39 HDFC Bank HDFC Bank Limited Type Public BSE: 500180 NSE: HDFCBANK NYSE: HDB NASDAQ: HDB Banking Financial services August 1994 Traded as Industry Founded 53 .110.28 164.63 2.93 23.55 4.957.024.67 153.73 3.484.15 17.834.349.47 3.98 3.35 544.66 1.17 134.725.58 1.51 65.78 -10.17 202.388.44 619.592.609.157.778.78 1.613.26 305.58 5.52 17.612.73 16.73 5.17 -0.557.22 8.50 562.08 3.64 65.00 3.95 1.42 -17.149.600.193.110.772.21 4.36 330.98 5.73 984.354.87 5.61 115.51 1.58 309.224.04 151.95 1.131.798.611.50 678.757.21 149.665.57 22.102.70 901.12 2.21 3.55 5.738.51 -12.63 4.07 3.830.156.00 41.092.403.63 6.22 -2.995.358.43 4.08 5.59 6.66 5.

725 branches and over 5.com Products Revenue Profit Total assets Total equity Employees Website HDFC Bank Limited is a major Indian financial services company based in India.1% from the previous fiscal. after the Reserve Bank of India allowed establishing private sector banks. For the fiscal year 2010-11.000 ATMs. in 780 cities in India.263.670 billion (2010) $6. As of 30 September 2008 the bank had total assets of Rs.39 billion) in 2010-11. the bank has reported net profit of 3. up 33. 54 . and all branches of the bank are linked on an online real-time basis.1006. Total annual earnings of the bank increased by 20.64 million).30 crore (US$871. India Worldwide Aditya Puri (MD) Finance and insurance Investment Banking Commercial Banking Retail Banking Private Banking Asset Management Mortgages Credit Cards $4. The Bank was promoted by the Housing Development Finance Corporation.926.787 billion (2010) 51.476 billion (2010) $545 million (2010) $53. HDFC Bank has 1.37% reaching at 24.Headquarters Area served Key people Mumbai. a premier housing finance company (set up in 1977) of India. incorporated in August 1994.888 (2010) HDFCBank.82 billion.4 crore (US$5.

607.88.67 30. along with State Bank of India.41 1.89 966.386.585.55 2.54 1.37 4.67.31 1.393.73 58.965.00.63 2.926.38 400.76 Loan funds Secured loans Unsecured loans Total 2.768.33.297.It is one of the Big Four banks of India.404.65 70.170.956.60 68.43 354.90 1.09 Uses of funds Fixed assets Gross block Less : revaluation reserve Less : accumulated depreciation Net block Capital work-in-progress Investments 5.706.04 457.83 74.23 24.175.707.249.817.929.064.56 950.914.80 Net current assets 55 .16 2.58 1.39 6.86 1.586.74 21.57.99 1.92 14.80 319.142. Balance sheet Mar ' 11 Mar ' 10 Mar ' 09 Mar ' 08 Mar ' 07 Sources of funds Owner's fund Equity share capital Share application money Preference share capital Reserves & surplus 465.864.43 11.44 1.81 58.917.211.12.113.731.122.56 2.811.67 1.244.97 2.073.94 2.08.42.75 425. HDFC Bank Ltd.226.13 49.62 3.93 1.564.265. ICICI Bank and Punjab National Bank.21 3.

94 Mar ' 09 6.43 4253.550.402.029.928.660.91 Mar ' 07 3.447.69 16.37 4.356.45 21.391.338.176.992.720.23 Mar ' 10 5.363.78 Miscellaneous expenses not written Total 58.83 22.86 provisions Total net current assets -14.90 56 .88.689.160.61 4652.15 20.708.09.605.533.33 3193. loans & 14.87.63 44.26 4577.79 -16.601.84 3544.955.65 46.431.069.82 Notes: Book value of unquoted investments Market value of quoted investments Contingent liabilities Number of equity sharesoutstanding (Lacs) - 5.539.22 -10.Mar ' 11 Current assets.08 advances Less : current liabilities & 28.62 Mar ' 08 4.083.93 5.49 38.14.79 2.98 4.13 -14.48 13.615.99.79 -12.

39 4.15 301.887.12 4.99 2.403.10 359.73 43.35 1.68 4.29 91.10 2.547.96 2.928.930.881.238.70 -0.803.87 8.18 83.88 1.12 3.568.53 2.92 2.77 4.354.96 7.73 2.86 74.836.82 -2.944.663.460.41 -2.486.519.00 .179.56 3.33 549.892.22 -0.393.05 -0.054.60 19.83 102.77 1.75 8.936.142.12 223.289.301.04 158.29 1.44 17.552.35 4.863.958.20 108.68 4.818.09 2.340.309.72 4.70 1.923.06 1.34 2.05 690.927.19 -0.91 3.240.50 -1.60 241.17 7.23 57 Expenses Material consumed Manufacturing expenses Personnel expenses Selling expenses Adminstrative expenses Expenses capitalised Cost of sales Operating profit Other recurring income Adjusted PBDIT Financial expenses Depreciation Other write offs Adjusted PBT Tax charges Adjusted PAT Non recurring items Other non cash adjustments Reported net profit Earnigs before appropriation Equity dividend Preference dividend Dividend tax 2.06 2.92 1.72 12.583.62 124.86 6.244.30 394.59 2.589.90 1.55 767.75 4.57 38.846.79 3.98 425.38 72.HDFC Bank Ltd.27 51.02 4.97 1.575.08 497.371.41 8.93 2.590.02 -0.76 19.421.855.596.456.12 271.48 3.86 3.20 776.45 219.141.73 7.74 3.385.911.303.65 3.04 3.95 7.77 6.48 0.395.35 114.786. Profit loss account Mar ' 11 Mar ' 10 Mar ' 09 Mar ' 08 Mar ' 07 Income Operating income 24.770.72 3.95 4.247.32 2.752.10 497.947.522.57 9.

321.81 4.762.169.40 5.68 2.55 58 .Retained earnings Mar ' 11 Mar ' 10 Mar ' 09 Mar ' 08 Mar ' 07 7.564.31 3.334.

Tata’s dividend has fallen drastically while Maruti stick to below 5 per share. TATA’s sales have declined whereas Maruti and Mahindra have maintained the same upward positive trend.10 per share this year. the following findings have been given: • The three companies were performing well till 2008 with a positive trend in the Earnings per share. Maruti Suzuki and Mahindra and Mahindra. TATA has Witnessed a steep fall in the year 2009. But there was a downward trend in 2009. there were fluctuations during the period 2005.5 per share in 2008 to rs. Mahindra has made a slight reduction from rs. 59 . Tata Motors.11.FINDINGS: From the data analysis and interpretations of the ratios of three companies’ viz. the dividends per share have declined in all the three companies. • In case of dividend per share.2009. The Sales growth looks positive but in the year 2009. Due to recession. • The sales trend has been upward and positive in case of all the three companies. • The return on investment has been fluctuating since 2005 and the year 2009 witnessed low returns in case of all the companies amongst which TATA has the least rate of return. Especially.

TATA and Mahindra have increased their payout ratio in which Mahindra shows a higher payout ratio. increase in consumer demand. technology development. globalization. • The three companies have witnessed a low price earnings ratio in 2008 compared to the previous years. foreign investments are few of the opportunities which the industry has to explore for developing the economy. • Maruti had a stable dividend payout ratio since 2005. Mahindra has the highest ROI in 2009. TATA has the highest P/E ratio in 2009 which indicates that it is overvalued and Mahindra’s P/E ratio is the lowest in 2009 which indicates that it is undervalued and there is a scope for growth in the future.Compared to the three companies. But the ratio increased in 2009 in three companies. Increase in income level. By analyzing the current trend of Indian Economy and Automobile Industry I have found that being a developing economy there is lot of scope for growth and this industry still has to cross many levels so there are huge opportunities to invest in and this is being proved as more and more foreign companies are setting up there ventures in India. 60 .

61 .

Interest rates on the bank loans above Rs. Classification of assets. maintaining international standards in accounting practices. Fixing prudential Norms : In order to induce professionalism in its operations. 2 Lakhs. etc. Similarly. provisions for bad debts. the RBI fixed prudential norms for commercial banks.5% to current minimum of 25% level.SUGGESTIONS Reduced CRR and SLR : The Cash Reserve Ratio (CRR) and Statutory Liquidity Ratio (SLR) are gradually reduced during the economic reforms period in India. Introduction of CRAR : 62 . Banks now enjoy freedom of fixing the lower and upper limit of interest on deposits. the SLR Is also reduced from early 38. Deregulation of Interest Rate : During the economics reforms period. By Law in India the CRR remains between 3-15% of the Net Demand and Time Liabilities. Interest rate slabs are reduced from Rs. It is reduced from the earlier high level of 15% plus incremental CRR of 10% to current 4% level. This has left more loanable funds with commercial banks. It helped banks in reducing and restructuring Non-performing assets (NPAs). interest rates of commercial banks were deregulated. It includes recognition of income sources. These measures have resulted in more freedom to commercial banks in interest rate regime. solving the liquidity problem.2 lakhs are full decontrolled.20 Lakhs to just Rs.

UTI Bank have given a big challenge to the public sector banks leading to a greater degree of competition. mutual funds. insurance. more computerization and some other relevant measures adopted by the government. Banks such as ICICI Bank.Capital to Risk Weighted Asset Ratio (CRAR) was introduced in 1992. It has happened due to the reduced Non-performing loans. Many of the banks have stared new services and new products. the productivity and efficiency of many commercial banks has improved. venture capital. increased use of technology. If a bank satisfies the CAR then it gets freedom in opening new branches. Operational Autonomy : During the reforms period commercial banks enjoyed the operational freedom. Improved Profitability and Efficiency : During the reform period. HDFC Bank. during the economic reforms period. closing down existing branches and they get liberal lending norms. New Generation Banks : During the reforms period many new generation banks have successfully emerged on the financial horizon. 63 . Banking Diversification : The Indian banking sector was well diversified. It resulted in an improvement in the capital position of commercial banks. Some of them have established subsidiaries in merchant banking. upgrading the extension counters. etc which has led to diversified sources of income of them. all most all the banks in India has reached the Capital Adequacy Ratio (CAR) above the statutory level of 9%.

wealth 64 . In the current decade. Knowledge and Discipline are very crucial for investment. CONCLUSION: The Banking sector in India has always been one of the most preferred avenues of employment. • Planning.5 million jobs.7. consumer finance. and to provide over 1. Today. • Disciplined investment during market volatility helps attains profits. As per the McKinsey report ‘India Banking 2010’. It is projected that the sector has the potential to account for over 7. the banking sector index has grown at a compounded annual rate of over 51 per cent since the year 2001. • Set the purpose for investment.7 per cent of GDP with over Rs.500 billion in market cap. this has emerged as a resurgent sector in the Indian economy.Investment rules: • Invest for long term in equity markets • Align your thought process with the business cycle of the company. • Long term goals should be the objective of equity investment. banks have diversified their activities and are getting into new products and services that include opportunities in credit cards. as compared to a 27 per cent growth in the market index during the same period.

setting up offices in foreign countries. most of the leading Indian banks are going global. 65 . Further. stock broking services. etc. investment banking. life and general insurance. pension fund regulation. mutual funds. custodian services. by themselves or through their subsidiaries. private equity.management.

com www.com Newspaper: ♦ Economic Times ♦ Business Standard ♦ Financial Chronicle Text Books: ♦ Financial Markets and Services -Gordon and Natarajan.wikipedia.com www. Himalaya Publications.com www.yahoofinance.com www.Hdfc bank.Websites: www.moneycontrol.com www.bseindia. K Sharma. 66 .statebankofindia.com www.Icici bank .nseindia. ♦ Financial Management -Shashi K Gupta and R. Kalyani Publications.com www.

• CNBC TV18 – “The Informed Investor” supported by SEBI and presented by NSE. 67 .