PRESENTATION ON SUMMER TRAINING

AT PHOENIX ADVISORS

TOPIC:- INVESTOR’S BEHAVIOUR A SURVEY REGARDING

STOCK MARKET
SUBMITTED TO :- SUBMITTED BY :-
UNIVERSITY SCHOOL OF MANAGEMENT YASHIKA SHARMA
KURUKSHETRA UNIVERSITY MBA-B (FINAL)
ROLL NO:- 46
COMPANY PROFILE
 COMPANY PROFILE

 Phoenix financial advisors company is fall in the category finance consultants in Delhi.
 This eminent establishment acts as a one-stop destination servicing customers both local and
firm other parts of Delhi.
 In the new future, this business aims to expand its line of products and services and cater to a
larger client base
 Our strength lies in the strong domain knowledge in investment consultancy and the delivery of
sustainable value to clients with support from cutting-edge technology platform,.
 We focuses on providing financial planning and to premium clients.
 Dedicated team - we work in a team concept to provide quality, effective and timely service to
our clients.
VISION

“To achieve and sustain market leadership, it shall aim for complete customer satisfaction, by combining its human and
technological resources, to provide world class quality services”.

MISSION

"Our mission is to be leading and preferred service provider to our customers abd we aim to achieve this leadership
position by building an Innovative, enterprising and technology driven organization which will set the highest standards of
service and business ethics".

VALUES

 Integrity
 Commitment
 Passion
 Seamlessness
 Speed
RESEARCH METHODOLOGY
OBJECTIVES OF THE STUDY:-

(a) To understand the behaviour of the Investors.

(b) To study the fluctuations in Indian Stock Market.
(c) To study the Impact of Foreign Institutional Investors on Stock Market.
(d) To assess major factors that affects stock price in stock market globally.
 
 SAMPLING PROCEDURE AND DESIGN

 This report is based on primary as well secondary data, however primary data collection was given
more importance
 The study consists of analysis about Investors Behaviour regarding stock market.
 For the purpose of the study 100 Investors were picked up at random.

METHODS OF DATA COLLECTION

 The mode of collecting primary data is questionnaire mode

 sources of secondary data are various books, newspapers & websites etc.

 The methodology adopted includes :-

Questionnaire
Random sample survey of customers
TECHNIQUE OF DATA ANALYSIS
 For the survey a sample size of 100 investors was taken.
 The questionnaire was designed in such manner that it is self-explanatory.
 The questionnaire consisted of 15 questions.
 Summated Rating or Likert Scale technique is also used.
 The source of data is the various articles, data reports and the records of the company.
 After going through the both data and matching the provided figures, I analyzed it.
 Then a task of tabulating the whole data, editing the whole data and finally analyzing the data was

done to come out with certain conclusion.

TOOLS USED FOR PRESENTATION

1. Bar diagram

2. Tabular presentation
SCOPE OF THE STUDY:-
(a) The study helps in understanding about the functioning of stock exchanges.
(b) The study helps in understanding the significance of Indian Capital Market.
(c) The study helps in understanding the reasons for fluctuations that comes in Indian Stock Market.
(d) The study helps in analyzing the impact of FIIs on Indian Stock Market.
(e) The study helps in understanding various factors that affects the share prices on stock exchange.
(f) The study also helps in knowing various constituents and participants of Indian Capital Market.
(g)The study helps in increasing the knowledge about primary and secondary market.
 
 
LIMITATION OF THE STUDY:-
Though the resources seem sufficient enough to achieve high standard for this research, still I foresee
the following limitation in the study:

(a) The stock market is very vast and it is not possible to cover each and every corner of stock market.
(b) The major demerit of the study is the availability of time for the research. But then also I have tried
my level best to show a glimpse of my research in tune with the objectives.
(c) A period of 6 weeks is not enough to understand such an extensive study.
 
 CHAPTER-5

STUDY OF TOPIC
 Investors Behavior:-

 Individual investments behaviour is concerned with choices about purchases of small amounts of
securities for his or her own account. Investment decisions are often supported by decision tools. It is
assumed that information structure and the factors in the market systematically influence individuals’
investment decisions as well as market outcomes.

 Investment decisions are made by investors and investment managers. Investors commonly perform
investment analysis by making use of fundamental analysis, technical analysis and judgment.

 This different behaviour in the individual investors is caused by various factors which compromise the
investor rationality.
Theories of Investors’ Behaviour

 Regret-Theory

 Theory of Mental Accounting

 Loss-Aversion-Theory

 Over/Under Reacting Theory

 Theory of Overconfidence
 Chapter 5
ANALYSIS AND INTEPRETATION
 (1)What is your profile in capital market?

OPTIONS NO.OF RESPONSES

Investors 66
Broker 20
Professional 04
Others 10

INTERPRETATION:
The investor’s perceptions matters a lot in the capital market fluctuations, thus investors have
been considered in the top priority for taking response and make an analysis of the study .
 
 (2) What is the purpose of investment in Capital Market?

Purpose of Investment
OPTION NO. OF RESPONSES
45
40 Long Term Gains 20
35 Short Term Gains 10
30
Regular 40
25
20 40 All 30
15 30
10 20
5 10
0
Long Term Gains Short Term Gains Regular All

Purpose of Investment

INTERPRETATION:
Subsequent to the Union Budget announcement on no change of Securities transaction tax and the capital gains
tax, 40% of respondents find regular investment in the stocks a handy method to evade taxes. Next to that 30%
of the respondents earn their living by investing wisely in the stocks.
 
 (3) In which segment you have larger turnover?

Segment of larger turnover

45
40
OPTIONS NUMBER OF RESPONSES
35
30
Capital Market Segment 40
25 F&O Segment 10
20 40 Equal in both 30
15 30 Can’t Say 20
10 20
5 10
0
Capital Market F&O Segment Equal in both Can’t Say
Segment

Segment of larger turnover

INTERPRETATION:
Out of 50 people, about 40% people say that they invest in Capital Market Segment. This helps them in
gaining more long term, short term, and regular returns on their investments.
 (4) How often do you trade in Capital Market?

Trade in capital market

45
40
40 40
35
OPTIONS NUMBER OF RESPONSES
30
25 Daily 20
20 Weekly 40
20 20
15
Monthly 40
10
Yearly 20
5
0
Daily Weekly Monthly Yearly

Trade in capital market

INTERPRETATION: As per the study, most of the investors trade in capital market on weekly and
monthly basis.
 (5) What is the amount of money you are investing?

Amount of money for Investing

60
50 52
OPTIONS NUMBER OF RESPONSES
40
Up to 2 Lac 52
30
30 2 Lac to 5 Lac 30
20
5 Lac to 10 Lac 10
10
10 10 Lac and above 08
8
0
Up to 2 Lac 2 Lac to 5 Lac 5 Lac to 10 Lac 10 Lac and
above

Amount of money for Investing

INTERPRETATION: Most of the people invest upto 2 lac rupees in Indian Stock Market. There are lots of
factors responsible for this, which cause fluctuations in Indian Stock Market.
 
 (6) What is your monthly family income?

Monthly Family Income

60 OPTIONS NUMBER OF RESPONSES
50 54 ≤30,000 20

40 30,001 to 50,000 54
50,001 to 1,00,000 18
30
1,00,000 and above 08
20
20 18
10
8
0
≤30,000 30,001 to 50,000 50,001 to 1,00,000 1,00,000 and above

Monthly Family Income

INTERPRETATION: As per the study, the families earning income in between 30,001 to
50,000 invest more in Indian Stock market.
 (7) Would you prefer to invest the part of your saving in Stock Market?

Prefer to Investment of Savings

60
OPTIONS NUMBER OF RESPONSES
50
50 Strongly agree 10
40
Agree 50
30
Neutral 14
20
Disagree 10
10 14 16
10 10 Strongly Disagree 16
0
Strongly agree Agree Neutral Disagree Strongly
Disagree

Prefer to Investment of Savings

INTERPRETATION: From the above data, I analyze that most of the people prefer to invest in capital
market in order to get more returns on their investments
 (8) Does knowledge about stocks influences your decision to invest in stock market ?
 
Decision influence by Stock Knowledge
60
OPTIONS NO.OF
50 52
RESPONSES
40
Strongly agree 52
30 34
Agree 34
20
Neutral 0
10
0
10 Disagree 10
4
0
Strongly agree Agree Neutral Disagree Strongly Strongly Disagree 04
Disagree

Decision influence by Stock Knowledge

INTERPRETATION: Most of the people feel that knowledge about stocks influences their decision
while investing in Indian Stock Market
 
 (9) Economic stability is an important consideration while investing in Stock Market?

Importance of Stability
40
35 38
36
30 OPTIONS NO.OF RESPONSES
25 Strongly agree 36
20 Agree 38
15
Neutral 04
10 12
10 Disagree 10
5
4 Strongly Disagree 12
0
Strongly agree Agree Neutral Disagree Strongly
Disagree

Importance of Stability

INTERPRETATION:
Economic Stability is an important factor that the investors takes into consideration while investing in
Stock Market. Because of this factor, fluctuations come in the Stock Market time to time.
 
 (10) Does safety of investments play a crucial role while investing in Stock Market?

Role of Safety is Crucial

80
OPTIONS NO.OF
70 72
60 RESPONSES
50 Strongly agree 72
40
Agree 18
30
Neutral 0
20
10 18 Disagree 04
0
0 4 6 Strongly Disagree 06
Strongly agree Agree Neutral Disagree Strongly
Disagree

Role of Safety is Crucial

INTERPRETATION:
Safety of investment is very much crucial for most of the people while investing their money in Stock Market.
 
(11) Return on Investments in stocks is an important consideration while deciding whether to
invest or not?
Number of Responses
80
70 74
OPTIONS NO.OF RESPONSES
60
Strongly agree 74
50
Agree 20
40
Neutral 0
30
Disagree 02
20
20 Strongly Disagree 04
10
0
0 2 4
Strongly agree Agree Neutral Disagree Strongly
Disagree

Number of Responses

INTERPRETATION:
As per the study, 74% of the population feels that Return on Investments in stocks is an important consideration
while deciding whether to invest or not in Indian Capital Market.
(12) Government policies affect your decision to invest in Stock Market at different
times?
Number of Responses
35
30
30 OPTIONS NO.OF RESPONSES
25 26
Strongly agree 30
20
15 Agree 26
16
14 14 Neutral 14
10
5 Disagree 14

0 Strongly Disagree 16
Strongly agree Agree Neutral Disagree Strongly
Disagree

Number of Responses

INTERPRETATION:
Return on Investments stocks is an important consideration while deciding whether to invest or not
government Policies are one of the factors that affects the Capital Market Fluctuations. It also affects
the FIIs in Indian Stock Market.
 (13) Does budget plays an important role while deciding which stock to invest in?

Number of Responses
40
35 38
30
OPTIONS NO.OF RESPONSES
32
Strongly agree 38
25
Agree 32
20
Neutral 14
15
14 Disagree 06
10
10 Strongly Disagree 10
5 6
0
Strongly agree Agree Neutral Disagree Strongly
Disagree

Number of Responses

INTERPRETATION:
Yes, budget plays an important role while deciding which stock to invest in Stock
Market for the investors.
(14) Does GDP of the country affect your decision to invest?

Number of Responses
45
40 OPTIONS NO.OF
40
35 RESPONSES
30 Strongly agree 40
25
Agree 12
20
Neutral 14
15 16
10 14 14 Disagree 14
12
5 Strongly Disagree 16
0
Strongly agree Agree Neutral Disagree Strongly
Disagree

Number of Responses

INTERPRETATION:
As per the study, GDP of the country affects the decisions of investors while investing in stock
market.
 (15) Does your friends or relatives dealing in stocks influences you to invest?

Number of Responses
80
70 74 OPTIONS NO.OF RESPONSES
60
Strongly agree 74
50
40 Agree 16
30
Neutral 0
20
10 16 Disagree 08
0 8
0 2 Strongly Disagree 02
Strongly agree Agree Neutral Disagree Strongly
Disagree

Number of Responses

INTERPRETATION:
As per the study, friendly and relatives dealing in stocks influences investors decisions while
investing in stock market.
MAJOR FINDINGS AND CONCLUSIONS
 The investor’s perceptions matters a lot in the capital market fluctuations.
 Out of 50 people, about 40% people say that they invest in capital market segment. This
helps them in gaining more long term, short term, and regular returns on their
Investments.
 As per the study, most of the investors trade in capital market on weekly and monthly
basis.
 Most of the people invest upto 2 lac rupees in Indian stock market. There are lots of
factors responsible for this, which cause fluctuations in Indian stock market
 As per the study, the families earning income in between 30,000 to 50,000 invest more in
Indian stock market.
 As per the study, the families earning income in between 30,000 to 50,000 invest more in Indian stock
market.
 From the above data, i analyze that most of the people prefer to invest in capital market inn order to get
more returns on their investments.
 Most of the people feel that knowledge about stocks influences their decision while Investing in Indian
stock market.
 Economic stability is an important factor that the investors takes into consideration While investing in
stock market. Because of this factor, fluctuations come in the stock Market time to time.
 As per the study, 74% of the population feels that return on investments in stocks is an important
consideration while deciding whether to invest or not in Indian capital market.
 As per the study, GDP of the country affects the decisions of investors while investing in stock market.
SUGGESTIONS
What You Must Not Do:-
 Don't panic
 Don't make huge investments
 Don't chase performance
 Don't ignore Expenses

What We Must DO :-
 Get rid of the junk
 Diversity
 Believe in your investment
 Stick to your strategy