Presented By Krutika [02] Vinayak [03] Nadeem [07] Ahmed [09] Kiran [10]

INTRODUCTION DEFINITION ORIGION OF MERCHANT BANKING GROWTH OF MERCHANT BANKING IMPORTANCE AND NEED OF MERCHANT BANKING IN INDIA

REGISTRATION OF MERCHANT BANKING

PROCEDURE OF GETTING REGISTRATION

Failing to pay Registration fees

Cancellation of certificate

 RESPONSIBILITIES OF MERCHANT BANKER SUBMISSION OF DOCUMENTS

Issue size including premium and intended retention oversubscription Fee per document

Up to Rs.5 crore

Rs 10,000

Rs 5 crore- Rs 10 crore

Rs 15,000

Rs 50 crore- Rs 50 corer

Rs 25,000

Rs 10 crore- Rs 100 corer

Rs 50,000

Rs 100 crore- Rs 500 corer

Rs 2,50,000

More than Rs 500 corer

Rs 5,00,000

ORGANIZATIONAL SET UP OF MERCHANT BANKERS IN INDIA Institutional base Banker base Broker base Private base

SCOPE OF MERCHANT BANKING SERVICES IN INDIA

Project Counseling Loan Syndication Management Of Capital Issues Dealing In Secondary Market Mutual Funds Portfolio Management Underwriters Mergers / Amalgamations

 Project counseling

Loan syndication

Management of capital issue

Pre-issue management Post- issue management

Mutual Funds
Benefits of investing in mutual funds
1. Professional management of investments 2. Low cost of investments 3. Diversification 4. Convenient record keeping & administration 5. Various types of schemes 6. Flexibility 7. Scope of good return 8. Enables in investing in high stocks 9. Easy liquidity 10. Tax benefits 11. Provides transparency 12. Regulated by SEBI

 PORTFOLIO MANAGER

UNDERWRITERS

MERGERS/AMALGAMATION

QUALITIES OF A GOOD MERCHANT BANKER

1. 2. 3. 4. 5. 6. Leadership Aggressive action Co-operation and friendliness Contacts Attitude towards problem saving Inquisitiveness for acquiring new skills, information and knowledge

DEVELOPMENT STAGES OF MERCHANT BANKING FIRMS

Unit
1. Stages in development of merchant banking Start up Organizational setup Principal financing source Own investment

Very loose organization, founders and associates involved in the management

Emerging formal organization, founders, or professional manager in management

2.

Early Growth

Individual investment
Firms investment with banks backing in terms of loan

3.

Accelerating growth

Formal organization with professional, manager or founder

4.

Sustaining growth

Complex organization with professional manager Multilayer complex management organization

Corporate finance from bank plus equity funds from public

5.

Maturity

Matching finance available from all possible sources

ENVIRONMENTAL FACTORS AFFECTING MERCHANT BANKING SERVICES

General Economic Conditions

Technology Scientific Innovations

Legal Aspect Law & Regulations

Demand for Services

The Merchant Bankers - Open for Entry-

CONCLUSION

THANK YOU