A Project Report

A PROJECT REPORT

ON

Competitor’s Analysis of Stock Broking Firms

(With Reference to Angel Broking Ltd.)

Submitted in partial fulfillment of the

requirement for the award of the

Degree of

BACHELOR OF BUSINESS ADMINISTRATION

Submitted to

M.D.S University, Ajmer

Under the supervision of Submitted by

Amit Garg (Branch Head) Taresh Jain

Shubhra Jain (Faculty) BBA (Final Year)

Yr. (2007-10)

Aryabhatta International College of Technical Education

(Ajmer)

www.angeltrade.com [ 1 ]

Acknowledgement

It is almost inevitable to incur indebtedness to all who

generously helped by sharing their invaluable time and rich

experience with me, without which this project would have never

been accomplished.

No task can be achieved alone, particularly while attempting to

finish a project of such magnitude. It took many very special people

to facilitate it and support it. Hence, I would like to acknowledge all

of their valuable support and convey my humble gratitude to them.

First of all I thank the Indian marketers and advertisers who

have without fail produced, Surrogate Ads which we so often debate

about. At least they gave me a topic to work on and even realize the

issue of surrogate ads which I did not notice till now.

I would like to acknowledge my sincere gratitude to

Mr.Amit Garg (Branch Manager, Angel Broking Ltd. Ajmer

Branch) for sharing his valuable ideas, constructive criticism

and motivation, which were the guiding light during the

entire tenure of this work.

Thank you all for supporting me in making this projects a reality.


Date: (Taresh Jain)

Preface

Share trading in India is undergoing a transition and

consolidation phase witnessed never before. The competition is

likely to become so severe after the entry of many players, retaining

a customer is most difficult practice for any service provider.

Though India has a very big untapped market but the players

will not flourish unless they change the way the customers are being

served. Given the awareness level of today customers every player

has to treat with care and make the customer feel that he is the

king. Number of Online Share trader in India has crossed the line.

More and more customers are coming under this umbrella and

many of the existing one are changing pavilion. So customer

retention and satisfaction is now more important as it was never

before. Players keep coming with new schemes in order to attract

new customers and retain the existing one. This is being

supplemented with increased advertising and brand building efforts.

Success of any organization depends upon its being proactive. An


often quoted marketing adage is to manage a business well is to

manage its future and to manage its future is to manage

information.”

To give the student of management a feel of real world situation

they are being sent to any organization where they work on a

prescribed problem or a topic and come out with various

conclusions and suggestions.

I am very lucky as I got an opportunity to work with “angel

broking” LTD. which is showing phenomenal growth and success

in its Sector.

My topic of study was “Studying the working process of

angel broking LTD.”

This project is an effort to do a depth study and analysis of

various known and unknown reasons for customer satisfaction and

retention. “To err is human” and I am not an exception, valuable

comments are always welcomed since it will motivate to work with

greater zeal and efficiency in the future.


Executive Summary

The summer internship at “Angel Broking” undertaken by us has given us an

exposure into the investment scenario in India. The project that we were involved

with while working at “Angel Broking” includes advisory services i.e. educating the

existing and potential investors about stock market as an alternative source to

investment. This involves catering to the queries of the investors about the concept of

stock market, the various options that an investor can invest his money into, funds

management of investors.

Analyzing the investors’ behaviour includes understanding the concerns a person

has towards Stock Market, his stages in life and wealth cycle, the effect of the

investments made by the peer groups, effect of the profession he/she is in, education


qualification, impiortance of tax benefits, the most preferred saving tool etc. and this

all is analyzed with the help of a schedule prepared.

Through the systematic investment plan invest a specific amount for a continuous

period, at regular intervals. By doing this, the investor get the advantage of rupee cost

averaging which means that by investing the same amount at regular intervals, the

average cost per unit remains lower than the average market price.

CONTENTS

S.NO. TOPIC NAME PAGE NO.

1. INDUSTRY OVDERVIEW :

A Brief History of stock exchange

Online Trading process.

2. COMPANY PROFILE :

Introduction and history

Mission

Shareholding pattern

Management team

Services


Products

Portfolio mgmt. services

Research

Depository services

Brokerage

Other features

Awards

SW0T Analysis

Procedure of client acquisition

3. COMPETITOR’S ANALYSIS :

ICICI Direct.com

Indiabulls.com

Analysis

4. RESEARCH METHODOLOGY :

Objectives of study

Research methodology

Data sources

Analysis

Significance of the study

Managerial usefulness of the study

Limitations of the project

Scope of the study

5. FINDING, CONCLUSION AND

RECOMMENDATION :

Conclusion

Recommendation

6. BIBLIOGRAPHY


CHAPTER -1INDUSTRY OVERVIEW

A BRIEF HISTORY OF STOCK EXCHANGES :-

Do you know that the world's foremost market place

“New York Stock Exchange” (NYSE), started its trading

under a tree (now known as 68 Wall Street) over 200 years

ago? Similarly, India's premier stock exchange Bombay

Stock Exchange (BSE) can also trace back its origin to as

far as 125 years when it started as a voluntary non-profit

making association.

You hear about it any time it reaches a new high or

a new low, and you also hear about it daily in statements like 'The BSE Sensitive

Index rose 5% today'. Obviously, stocks and stock markets are important. Stocks of

public limited companies are bought and sold at a stock exchange. But what really are


stock exchanges? Known also as News on the stock market appears in different media

every day. The stock market or bourse, a stock exchange is an organized market place

for securities (like stocks, bonds, options) featured by the centralization of supply and

demand for the transaction of orders by member brokers, for institutional and

individual investors. The exchange makes buying and selling easy. For example, you

don't have to actually go to a stock exchange, say, BSE - you can contact a broker,

who does business with the BSE, and he or she will buy or sell your stock on your

behalf. All stock exchanges perform similar functions with respect to the listing,

trading, and clearing of securities, differing only in their administrative machinery for

handling these functions. Most stock exchanges are auction markets, in which prices

are determined by competitive bidding. Trading may occur on a continuous auction

basis, may involve brokers buying from and selling to dealers

in certain types of stock, or it may be conducted through specialists dealing in

a particular stock.

But where did it all start? The need for stock exchanges developed out of early

trading activities in agricultural and other commodities. During the middle Ages,

traders found it easier to use credit that required supporting documentation of drafts,

notes and bills of exchange. The history of the earliest stock exchange, the French

stock exchange, may be traced back to 12th century when transactions occurred in

commercial bills of exchange.

The first stock exchange in India, Bombay Stock Exchange was established in

1875 as 'The Native Share and Stockbrokers Association' and has evolved over the

years into its present status as the premier stock exchange in the country. It may be

noted that BSE is the oldest stock exchange in Asia, even older than the Tokyo Stock

Exchange, which was founded in 1878. The country's second stock exchange was

established in Ahmedabad in 1894, followed by the Calcutta Stock Exchange (CSE).


http://www.tse.or.jp/english/index.shtml

http://www.tse.or.jp/english/index.shtml

http://www.bseindia.com/about/abintrobse/introd.asp

http://www.ulearntoday.com/magazine/physics_article1.jsp?FILE=stockglossary#1






http://www.thebizpapertoday.com/tbtstock/?

CSE can also trace its origin back to 19th century. From a get together under a 'Neem

Tree' way back in the 1830s, the CSE was formally established in May 1908.

India's other major stock exchange National Stock Exchange (NSE), promoted by

leading financial institutions, was established in April 1993. Over the years, several

stock exchanges have been established in the major cities of India. There are now 23

recognized stock exchanges — Mumbai (BSE, NSE and OTC), Calcutta, Delhi,

Chennai, Ahmedabad, Bangalore, Bhubaneswar, Coimbatore, Guwahati, Hyderabad,

Jaipur, Kochi, Kanpur, Ludhiana, Mangalore, Patna, Pune, Rajkot, Vadodara, Indore

and Meerut. Today, most of the global stock exchanges have become highly efficient,

computerized organizations. Computerized networks also made it possible to connect

to each other and have fostered the growth of an open, global securities market.

Realizing there is untapped market of investors who want to be able to execute

their own trades when it suits them, brokers have taken their trading rooms to the

Internet. Known as online brokers, they allow you to buy and sell shares via Internet.

Online Trading is a service offered on the Internet for purchase and sale of shares.

In the real world, you place orders on your stockbroker either verbally (personally or

telephonically) or in a written form (fax). In Online Trading, you will access a

stockbroker's website through your internet-enabled PC and place orders through the

broker's internet-based trading engine. These orders are routed to the Stock Exchange

without manual intervention and executed thereon in a matter of a few seconds.

There are 2 types of online trading service: discount brokers and full service

online broker. Discount online brokers allow you to trade via Internet at reduced rates.

Some provide quality research, other don’t. Full service online brokerage is linked to

existing brokerages. These brokers allow their clients to place online orders with the

option of talking/ chatting to brokers if advice is needed. Brokerage rates here are

higher. Indiainfoline.com, ICICIDirect.Com, IndiaBulls.Com,


http://www.nseindia.com/us/usindex.htm

AngelBroking.com, Sharekhan.Com, HDFCSecurities.Com is

some of the online broking sites in India.

ONLINE TRADING PROCESS :-

The various transactions involved in online trading can be shown from the point of

view of the

Client

Broker

Stock Exchange.


Online trading process


CHAPTER-2COMPANY PROFILE

INTRODUCTION AND HISTORY :-

“Angel Broking” is the retail broking arm of SSKI, an organization with more

than eight decades of trust & credibility in the stock market. It is India's leading retail

financial Services Company with We have over 250 share shops across 115 cities in

India. While our size and strong balance sheet allow us to provide you with varied

products and services at very attractive prices, our over 750 Client Relationship

Managers are dedicated to serving your unique needs. Angel Broking is lead by a

highly regarded management team that has invested crores of rupees into a world

class Infrastructure that provides our clients with real-time service & 24/7 access to

all information and products. Our flagship Angel Broking Professional Network

offers real-time prices, detailed data and news, intelligent analytics, and electronic

trading capabilities, right at your fingertips. This powerful technology complemented

by our knowledgeable and customer focused Relationship Managers. We are creating

a world of Smart Investor. Angel Broking offers a full range of financial services and

products ranging from Equities to Derivatives enhance your wealth and hence,

achieve your financial goals. Angel Broking' Client Relationship Managers are

available to you to help with your financial planning and investment needs. To

provide the highest possible quality of service, Angel Broking provides full access

to all our products and services through multi-channels.


SHAREKHAN MISSION:-ss

………to educate & empower the individual investor to

Make better investment decisions through

QUALITY ADVICE

INNOVATIVE PRODUCTS and

SUPERIOR SERVICE.

S H A R E K H A N

S H A R E H O L D I N G

P A T T E R N :

Citi Ventures Capital & Other Private Equity Firms : 81%

IDFC : 9%

E M P L O Y E E S

: 1 0 %

S H A R E K H A N M A N A G E M E N T

T E A M :

T a r u n S h a h C E O

J a i d e e p A r o r a

D i r e c t o r - P r o d u c t s &

T e c h n o l o g y

S h a n k a r V a i l a y a


D i r e c t o r - O p e r a t i o n s

SHAREKHAN SERVICES :

S H A R E K H A N P R O D U C T S :

O n l i n e S e r v i c e s t o S u i t

y o u r N e e d s !

With a Sharekhan online trading account, you can buy and sell shares in an

instant! Anytime you like and from anywhere you like!


You can choose the online trading account that suits your trading habits and

preferences - the Classic Account for most investors and Speedtrade for active day

traders. Your Classic Account also comes with Dial- n -Trade completely free,

which is an exclusive service for trading shares by using your telephone.

FEATURES OF SPEED TRADE :

That enable you to trade effortlessly:

Instant order Execution & Confirmation

Single screen trading terminal

Real-time streaming quotes, tic-by-tic charts

Market summary (most traded scrip, highest value and lots of other relevant

statistics)


http://sharekhan.com/DialnTrade/

http://sharekhan.com/SpeedTrade/

http://sharekhan.com/ClassicAccount/

Hot keys similar to a brokers terminal

Alerts and reminders

Back-up facility to place trades on Direct Phone lines

Single screen interface for cash and derivatives

FEATURES OF CLASSIC ACCOUNT:

That enable you to invest effortlessly:

Online trading account for investing in Equities and Derivatives via

sharekhan.com

Integration of: Online trading + Bank + Demat account

Instant cash transfer facility against purchase & sale of shares

Make IPO bookings


http://sharekhan.com/Images/Services/services_speedtrade_screen1.jpg

http://sharekhan.com/Images/Services/services_speedtrade_screen2.jpg

You get Instant order and trade confirmations by e-mail

Streaming Quotes

Personalised Market Scan with your own customized stock ticker!

Single screen interface for cash and derivatives

Your very own Portfolio Tracker!

S Y S T E M R E Q U I R E M E N T S :

You'll need access to a computer which has at least the following

configuration:

Pentium 3 PC, Minimum 128 MB RAM

Windows 2000/XP

Internet Connection

Internet Explorer 6.0

Java enabled in IE Trade in Equity by using your phone!

Free with your Sharekhan Classic Account, the Dial-n-Trade service enables

you to place orders for buying and selling shares through your telephone.


http://sharekhan.com/ClassicAccount/

All you have to do is dial any one of our two dedicated numbers (1-800-22-

7050 or 30307600), enter your TPIN number (which is provided at the time of

opening your account) and on authentication you'll be directed to a tele broker who

will buy and sell shares for you.

FEATURES OF DIAL-N-TRADE :

That enable you to trade effortlessly:

TWO dedicated numbers for placing your orders with your cellphone or

landline. Toll free number: 1-800-22-7050. For people with difficulty in

accessing the toll-free number, we also have a Reliance number 30307600

which is charged at Rs. 1.50 per minute for STD calls.

Automtic funds tranfer with phone banking (for Citibank and HDFC bank

customers)

Simple and Secure Interactive Voice Response based system for

authentication

No waiting time. Enter your TPIN to be transferred to our telebrokers

You also get the trusted, professional advice of our telebrokers

After hours order placement facility between 8.00 am and 9.30 am (timings to

be extended soon)

S H A R E K H A N P O R T F O L I O

M A N A G E M E N T S E R V I C E S :

PMS Pro-Prime

Product Offerings :

The Balanced Scheme:

Ideal for investors looking at steady and superior returns with low to


medium risk appetite. This portfolio consists of a blend of quality blue-chip

and growth stocks ensuring a balanced portfolio with relat vely medium risk

profile. The portfolio will mostly have large capitalization stocks based on

sectors & themes who have medium to long term growth potential.

Product Details :

Reporting: Online access to portfolio holdings, quarterly reporting of portfolio

holdings/transactions

Charges: 2.5% per annum AMC charged every quarter, 0.5% brokerage 20%

profit sharing after 15% hurdle is crossed-chargeable at the end of the fiscal

year.

Profit withdrawal in multiples of 25000 after lock in period.

PMS Pro-Tech:

Protech uses the knowledge of technical analysis and the power of derivatives market

to identify trading opportunities in the market. The Protech line of products are

designed around various risk/reward/volitality profiles for different kinds of

investment needs..

Protech is based on:

Long Short strategies

Focus on absolute

returns

Timing the market


Product Details:

Minimum Investment: Rs 10 lakhs

Lock in: 6 months

AMC fees:0%

Reporting: Monthly reporting of transactions, brokerage 0.05% for

derivatives, 20% profit sharing on booked profits on quaterly basis.

Profit withdrawal in multiples of 25000 after lock in period.

S H A R E K H A N R E S E A R C H :

S h a r e k h a n tigers dig meaty Stock Ideas out of the heart

of the market and bring them to you. Their skill at identifying their prey--Stock

Ideas--while keeping your taste for investment in mind is reflected in the depth of

their research and the performance of the ideas. The Market Strategy reports, on the

other hand, identify the hunting-ground for Stock Ideas, i.e. sectors and stock groups

that are ripe for performance, discuss the state of the economy and its impact on the

stock market as well as advise you on dealing with the impact of socio-political issues

on the market.

Building and maintaining your ideal portfolio demands objective, dependable

information. S h a r e k h a n Equity Analysis helps satisfy that

need by rating stocks based on carefully selected, fact-based measures. And because

S h a r e k h a n is not focused on investment banking, it doesn't

have the same conflicts of interest as traditional brokerage firms. This objectivity is

only one important difference in our ratings.


TYPE OF CATEGORIES :

RESEARCH:

Research home

Fundamental research

Stock ideas

Trading products.

All the above Research Products help the clients in making profits.


A S H A R E K H A N OUTLET OFFERS THE FOLLOWING

SERVICES :

Online BSE and NSE executions ( through BOLT and NEAT terminals).

Free access to investment advice from SHAREKHAN research team.

Daily research reports and market review ( High Noon, Eagle Eye).

Pre- market report (morning cuppa).

Daily trading calls based on technical analysis.

Cool trading products ( Daring Derivatives, trading ring and market strategy).

Personalized advice.

Live market information.

Depository services: Demat and Remat transactions.

Internet based trading terminal: speed trade and trade tiger.

Portfolio management services.

Offline and online Mutual Fund Distribution.

Online and offline IPO bidding and also IPO funding.

Derivatives trading ( future and option).

S H A R E K H A N DEPOSITORY SERVICES:

Dematerialization and trading in the demat mode is the safer and faster

alternative to the physical existence of securities. Demat as a parallel solution offers

freedom from delays, thefts, forgeries, settlement risks and paper work. This system

works through depository participants (DPs) who offer demat services and the

securities are held in the electronic form for the investor directly by Depository.


Sharekhan Depository Services offers dematerialisation services to individual and

corporate investors. We have a team of professionals and the latest technological

expertise dedicated exclusively to our demat department, apart from a national

network of franchisee, making our services quick, convenient and efficient.

At Sharekhan, our commitment is to provide a complete demat solution which

is simple, safe and secure.

DEMATERIALISATION :

Dematerialisation is the process by which a client can get physical certificates

converted into electronic balances maintained in his account with the DP.

FEATURES:

Holdings in only those securities that are admitted for dematerialisation by

National Securities Depository Ltd (NSDL) can be dematerialised.

Structure of holding in the securities should match with the account structure

of the depository account. Now shares in different order of names can also be

dematted.

If the shares are in the name of X and Y, the same cannot be dematerialised

into the account of either X or Y alone. However if the shares are in the name

of X first and Y second, and the account is in the name of Y first and X

second, then these shares can be dematerialised in this account.

Only those holdings that are registered in the name of the account holder can

be dematerialised. Physical shares which have not been transferred and are


still there with a transfer deed cannot be dematted. Only a few companies have

been given the permission to offer Transfer-cum-Demat. The list of these

companies can be viewed here.

REMATERIALISATION:

Rematerialisation is the process by which a client can get his electronic

holdings converted into physical certificates. The client has to submit the

rematerialisation request to the DP with whom he has an account along with a Remat

request form. The physical shares will be posted by the company directly to the

clients.

TRADES :

For all sales made by clients, the shares will have to be given to the broker, so

that the Pay In can be made by the broker to the stock exchange concerned. For that

it's essential that the shares be transferred to the account of the broker well before the

deadline date. You must confirm with your broker the settlement date and settlement

number and then submit your instructions to your DP. Also it's important to give the

instructions to your DP as early as possible.

PLEDGE:

Pledge enables you to obtain loans against your dematerialised shares. So you

get liquidity without having to sell your shares. A highly simplified procedure may be

availed of for pledging of securities in the electronic mode. The pledged securities

continue to be reflected in the DP account of the clients (pledgor) but the concerned


securities are "blocked" and cannot be used for any transactions. As and when the

pledge is to be removed, based on confirmations received from both the pledgor and

the pledgee, the blocked securities will be released to "Free Balance" of the account

holder. A very big advantage of using pledges in the electronic mode is that the

securities continue to be in your account and therefore all benefits--viz Dividend,

Bonus and Rights--accrue to the holder, i.e. you and not the bank (pledgee).

CORPORATE BENEFITS:

Corporate benefits are benefits given by a company to its investors. These may

be either monetary benefits like dividend, interest etc or non-monetary benefits like

bonus, rights etc. NSDL facilitates distribution of corporate benefits. It's important to

mention your correct MICR No and attach copy of the cheque leaf with your account

opening form. NSDL is planning to distribute all cash corporate benefits to bank

accounts directly

BROKERAGE:

Following schemes are available for trading Account:

Prepaid Scheme A Rs 2000/- per Annum

Scheme Type A

Table A Table B Brokerage Rate

(for AMC Scheme Account)

Brokerage Rate

(for non AMC Scheme Account)

AMC AMC Rs. 2,000 pa Nil


Account opening

Charges (one time)

Speed Trade A/c Rs.

1,000

Classic Account Rs. 750

Offline Account

Speed Trade Account Rs.

1,000


Offline Account

Percentage Min. Paisa Percentage Min. Paisa

Cash Segment

Trading

First Leg 0.07% 05p 0.10% 10

Second Leg 0.07% 05p 0.10% 10

Delivery

Delivery Brokerage 0.40% 10p 0.50% 50

Other charges Cash segment (Trading and Delivery)

Stamp Duty Y Y Y Y

Turnover Tax Y Y Y Y

Service tax Y Y Y Y

Default Brokerage

Futures & Options Segment

First Leg 0.07% 01p 0.10% 10

Second Leg (same day) 0.02% 01p 0.0% 00

Next day 0.07% 01p 0.10% 10

Other charges F&O Segment

Stamp Duty Y Y Y Y


Service tax Y Y Y Y

Default Brokerage


Prepaid Scheme Rs 6000/- per Annum

Scheme Type B

Table A Table B Brokerage Rate

(for AMC Scheme Account)

Brokerage Rate

(for non AMC Scheme Account)

AMC AMC Rs. 6,000 pa Nil

Account opening

Charges (one time)

Speed Trade A/c Rs.

1,000


Offline Account

Speed Trade Account Rs. 1,000


Offline Account

Percentage Min. Paisa Percentage Min. Paisa

Cash Segment

Trading

First Leg 0.05% 05p 0.10% 10

Second Leg 0.05% 05p 0.10% 10

Delivery

Delivery Brokerage 0.25% 10p 0.50% 50

Other charges Cash segment (Trading and Delivery)

Stamp Duty Y Y Y Y


Service tax Y Y Y Y

Default Brokerage

Futures & Options Segment

First Leg 0.05% 01p 0.10% 10


Second Leg (same day) 0.02% 01p 0.0% 0

Next day 0.05% 01p 0.10% 10

Other charges F&O Segment

Stamp Duty Y Y Y Y


Service tax Y Y Y Y

Default Brokerage

Along with these above schemes many other competitive schemes are

available for customers depending on there volume of trading.

Following schemes are available for Deemat Account:


OTHER FEATURES:-

1. Angel Broking First step Program:-

What is:-

In the complex world of investing in shares in India, interested beginners

didn't have any place they could start out from. This is why Angel Broking

started the First Step program - to assist and guide new investors when they

take their first steps into the world of investing in shares. This program is

explicitly designed for beginners. You will not feel unintelligent when asking

questions like "Who owns the Stock Market?" or "What is a stock-split?" since

Angel Broking people are trained to assist those taking their first step in the

market.

Consist of:-

The Angel Broking First Step program is a special, never-been-done-

before program created by Angel Broking for new investors to the stock


market. Despite being a beginner with a small amount to invest, they will still

be able to benefit from Angel Broking experience, technology-based tools and

research. In fact, Angel Broking have created special versions of all of these

for clients - clear and simple information tools for there understanding,

demonstrations to help them get started and research re-written in easier

language. See how Angel Broking friendly assistance empowers them to

become a 'Stock Market ka Sher'.

2. Angel Broking Valueline :-

A monthly investment report based on fundamental research with

Stock ideas, Stock Updates, Earning Guide, Stock Recos, Mutual Fund Guide ,

Market Outlook, Sector Updates

Angel Broking Award :-

Angel Broking was the proud recipient of the CNBC Awaaz Award for

the being the most preferred stock broking company in India! (July 2007)

Swot Analysis :-


http://www.alexandriamarketing.com/graphics/copy%20of%20SWOT.gif%00%E5%A1%B9%EF%92%81%E1%B4%BB%E4%A1%BF%E2%B2%AF%E5%B6%82%E8%97%84%E6%8C%A7%00%00%EA%AE%A5

A SWOT analysis focuses on the internal and external environments,

examining strengths and weaknesses in the internal environment and

opportunities and threats in the external environment.

PROCEDURE OF CLIENT ACQUISITION:-

In the first phase we are given training and we are explained about different

things of market about Angel Broking Ltd, its introduction, products and


STRENGTH

Service

Distribution network

Marketing

Products

WEAKNESS

Customer Satisfaction

Branding

Competition from Banks

OPPORTUNITIES

Ever increasing market

Improving technology

Unfulfilled needs of

customers.

Education level

THREATS

New competitors

Technology based

business

services offered by Angel Broking Ltd. We have been trained by their well

experienced Staff.

After that we are trained to cope up with the customers, through there well

experienced Sales Executives.

They provide us leads and we make calls. Three types of leads are provided to

us :-

People who registers themselves on Angel Broking website willing to be

client of Sharekhan and want to know about its product.

People who have Demat account already with any another broker.

(competitors Data)

People who are totally unknown to this market.

Then after that we have to provide details of product and convince them.

People who have already Demat account, we have to convince them by giving

information about Sharekhan services & benefits.

And people who are unknown to share market, we tell them about Angel

Broking first step program for fresher.

Then we have to visit them and get the formed filled from them.

We collect all-important documents from client.

PROCEDURE FOR OPENING A DP ACCOUNT WITH SHAREKHAN :-

You can open a Depository Participant (DP) account, either through a

Sharekhan branch or through a Sharekhan Franchisee center.


There is no fee for opening DP accounts with Sharekhan. However a nominal

deposit (refundable) is charged towards services which will be adjusted

against all future billings.

All investors have to submit their proof of identity and proof of address along

with the prescribed account opening form.

IN DP ACCOUNT OPENING FORM :-

1. Minor details like name of the branch, name of the client & address and other

details of the client required to be mentioned in the form and Agreement.

2. Signatures are required on all pages of the agreement.

3. All the details (Name & address of the client) must be filled.

4. Name, Address & signature of the witness are compulsory. (Please note that 1

witness is required to sign on behalf of the client)

5. Please note that if the signature on the form & the proof provided differs, the

form will be liable for rejection. In such cases the client has to get his

signatures verified by the banker.

6. Nominee details must be supported by 2 witnesses (Name, Address &

signature).

7. Minor accounts, HUF accounts, Corporate accounts, and Accounts having 3

holders cannot have nominees in a DP account.

8. Please note that joint accounts cannot be opened in case Minor accounts and

HUF accounts.

9. Incase of any corrections on the application form & agreement holders have to

counter sign at place of the correction.


ACCOUNT OPENING REQUIREMENTS UNDER VARIOUS HEADS :-

(i) Proof of Identity (Any one of the following) :-

1. Photocopy of Valid Passport (Page containing the date of expiry also to be

attached)

2. Photocopy of Voters Identity card.

3. Photocopy of Valid Driving License (Page containing the date of expiry also

to be attached).

4. Photocopy of Pan card

5. Photocopy of MAPIN card

6. Identity card/document with applicant’s Photo, issued by

a) Central/State Government and its Departments,

b) Statutory/Regulatory Authorities,

c) Public Sector Undertakings,

d) Scheduled Commercial Banks,

e) Public Financial Institutions,

f) Professional Bodies such as ICAI, ICWAI, ICSI, Bar Council etc., to their

Members; and

g) Credit cards/Debit cards issued by Banks.

(ii) Proof of Address (Any one of the following) - (Provided the entire address

written on the form matches with the proof):-

1. Photocopy of Ration card.


attached). (Copy of expiry date also to be submitted)



4. Photocopy of Valid Driving License (Page containing the date of expiry also

to be attached). (Copy of expiry date also to be submitted)

5. Photocopy of Telephone or Electricity bill. (Government entity only & should

not be more than 3 months old)

6. Photocopy of Leave-License / Purchase Agreement.


8. Photocopy of Bank Passbook or latest Bank statement.

9. Self-declaration by High Court & Supreme Court judges, giving the new

address in respect of their own accounts.

10. Identity card/document with address, issued by

a) Central/State Government and its Departments,

b) Statutory/Regulatory Authorities,

c) Public Sector Undertakings,

d) Scheduled Commercial Banks,

e) Public Financial Institutions and

f) Professional Bodies such as ICAI, ICWAI, Bar Council etc., to their

Members.

(iii) Photocopy of cheque leaf of bank account number mentioned on the form to

verify the Bank MICR No.

(iv) Latest photograph signed by the client.

FOR H.U.F ACCOUNT OPENING REQUIREMENTS :-


1. Signed Photograph of the Karta is required.

2. Proof of Identity of the Karta

3. Pan card of HUF

4. Proof of Address

5. Photocopy of cheque leaf of bank account number mentioned on the form to

verify the Bank MICR No.

6. HUF Stamp is required wherever the client signs on the agreement.

7. Letter from the Karta operating the Demat account with the two witnesses of

coparceners.

8. No joint names & nominees allowed for HUF accounts.

FOR MINOR ACCOUNT OPENING REQUIREMENTS :-

The account opened in the name of the minor cannot have second and third

holders. Further there can be no nominee for minor account. The Guardian has to sign

on behalf of the Minor.

1. Birth Certificate of the Minor.

2. Guardian’s Proof of Address.

3. Guardian’s Proof of Identity.

4. Photograph of the Minor & Guardian.

5. Photocopy of cheque leaf

FOR N.R.I. (NON RESIDENT INDIAN) CLIENT :-

1. Latest photograph signed by the client.



attached)

3. Proof of Local Address

4. Proof of Foreign Address

5. Photocopy of cheque leaf of bank account number (NRE or NRO) mentioned

on the form to verify the Bank MICR No.

FOR PARTNERSHIP FIRM :-

The account cannot be opened in the name of a partnership firm.

It has to be opened in the name of the partners, as an individual account.

Maintaining dairy of clients and contacting them at regular basis. To get

feedback from them about Sharekhan services.


CHAPTER - 3COMPETITOR’S ANALYSIS

ICICIDIRECT.COM

PRODUCTS AND SERVICES :-

A product for every need: ICICIdirect.com is the most comprehensive website,

which allows you to invest in Shares, Mutual funds, Derivatives (Futures and

Options) and other financial products. Simply they offer you a product for every

investment need of yours.

ICICI Web Trade Limited (IWTL) maintains ICICIdirect.com. IWTL is an

Affiliate of ICICI Bank Limited and the Website is owned by ICICI Bank

Limited


ICICIDIRECT.COM

TRADING IN SHARES

TRADING IN Derivative

MUTUAL FUNDS

IPO AND BOND ONLINE

PERSONAL FINANCE

1. TRADING IN SHARES :-

ICICIdirect.com offers you various options while trading in shares.

Cash Trading :- This is a delivery based trading system, which is generally

done with the intention of taking delivery of shares.

Margin Trading :- You can also do an intra-settlement trading up to 3 to 4

times your available funds, wherein you take long buy/ short sell positions in

stocks with the intention of squaring off the position within the same day

settlement cycle. (ONLY for intraday)

Margin PLUS Trading :- Through Margin PLUS you can do an intra-

settlement trading up to 25 times your available funds, wherein you take long

buy/ short sell positions in stocks with the intention of squaring off the

position within the same day settlement cycle. Margin PLUS will give a much

higher leverage in your account against your limits.

Spot Trading :- When you are looking at an immediate liquidity option, 'Cash

on Spot' may work the best for you, On selling shares through "cash on spot",

money is credited to your bank a/c the same evening & not on the exchange

payout date. This money can then be withdrawn from any of the ICICIBank

ATMs.


BTST :- Buy Today Sell Tomorrow (BTST) is a facility that allows you to

sell shares even on 1st and 2nd day after the buy order date, without you having

to wait for the receipt of shares into your demat account.

Call n Trade® :- Call n Trade® allows you to call on a local number in your

city & trade on the telephone through our Customer Service Executives. This

facility is currently available in over 11 major states across India.

Trading on NSE/BSE :- Through ICICIdirect.com, you can trade on NSE as

well as BSE.

2. TRADE IN DERIVATIVES :-

Future :-

Through ICICIdirect.com, you can now trade in index and stock futures on the

NSE. In futures trading, you take buy/sell positions in index or stock(s) contracts

having a longer contract period of up to 3 months.

Presently only selected stocks, which meet the criteria on liquidity and

volume, have been enabled for futures trading.

Calculate Index and Know your Margin are tools to help you in calculating

your margin requirements and also the index & stock price movements.

Option :-

To take the buy/sell position on index/stock options, you have to place certain

% of order value as margin. With options trading, you can leverage on your trading

limit by taking buy/sell positions much more than what you could have taken in cash

segment.


3. IPOs AND BONDS ONLINE :-

You could also invest in Initial Public Offers (IPOs) and Bonds online without

going through the hassles of filling ANY application form/ paperwork.

Get in-depth analyses of new IPOs issues (Initial Public Offerings), which are

about to hit the market and analysis on these. IPO calendar, recent IPO listings,

prospectus/offer documents, and IPO analysis are few of the features, which help you,

keep on top of the IPO markets.

4. CUSTOMER SERVICE FEATURES :-

With 'ICICIdirect Customer Tools & Updates' you can trouble shoot all your

problems online.

The ICICI direct Advantages :-

A Unique 3-in-1 account that gives you:

Convenience :-

The 3-in-1 accounts integrate your banking, broking and demat accounts. This

enables you to trade in shares without going through the hassles of tracking settlement

cycles, writing cheques and Transfer Instructions, chasing your broker for cheques or

Transfer Instructions etc.

Speed :-

You can now get the latest quotes of scrips on ICICIdirect.com and place an

order almost instantly.

Control :-


You can be assured that you have in fact placed an order at the price you

always wanted to, but may not have been able to do so till now. Thereby giving you

control over your own trades.

Independence :-

Instead of transferring monies to a broker's pool or towards deposits, you can

manage your own demat and bank accounts when you trade through ICICIdirect.com.

Trust :-

ICICIdirect.com comes to you from ICICI, the organization trusted by

millions of Indians

We can trade into NSE, BSE, Derivatives, Mutual funds, Personal Finance,

IPO’s online.

Margin plus trading is provided in which customer can buy share up to 25

times of its margin

ICICI DIRECT.COM :-

A/C opening charges : Rs. 750

AMC : Rs 500

Brokerage : 0.03%

Delivery : 0.75%

Intraday : 0.07%

(Exclusive of service tax for 12.24% & Service Transaction Tax)


DEAL CLINCHERS VS ICICIDIRECT.COM :-

1. Brokerage is 0.75 %( Delivery) and 0.07 %( Intraday).

2. Margin of RS 5000/- is necessary to maintain in ICICIBank A/C.

3. BTST facility is provided only on 127 scrips.

4. While watching applet, only one-company rates can be seen and we have to

refresh it again and again to update the rates.

5. Limited toll free numbers are provided, on 21st call RS 20/- are charged.

6. Compulsion to have bank a/c with ICICIBANK and your saving A/C is

attached with ICICI trading A/C. ICICIDIRECT has authority to debit your

saving A/C directly without customer informing about this.

7. Demat transaction charges are included in brokerage.

8. Research reports are provided at RS 450/-p.a.

9. Poor online Interface:

Slow website interface with no real-time quotes creates dissatisfaction among

high frequency traders.

10. Margin trading restriction :-

The margin trading system is available up to 2:45 p.m. with outstanding net

positions under margin segment automatically squared off at any time between

2:45 – 3:30 p.m. Thus no control of square off price.

11.


Morning Trades Issue :-

Being one of the websites with largest no. of after hour orders which are

pushed 1st thing in the morning, creates a choking of orders to the exchange,

causes delay of confirmations for new order placed during the early morning

trades.

12. Only Intraday Margin exposure :-

The margin exposure of 3 or 4 times is only provided for

intraday.

INDIABULLS.COM :-

India bulls India’s leading retail financial services company with 300 locations

spread across 110 cities. While size and strong balance sheet allow it to provide you

with varied products and services at very attractive prices, it’s over 4400 Client

Relationship Managers are dedicated to serving your unique needs. India bulls are

lead by a highly regarded management team that has invested crores of rupees into a

world class Infrastructure that provides our clients with real-time service & 24/7

accesses to all information and products. India bulls Professional Network TM offers

real-time prices, detailed data and news, intelligent analytics, and electronic trading

capabilities, right at your fingertips. This powerful technology is complemented by

knowledgeable and customer focused Relationship Managers. It is creating a world of

Smart Investor.

India bulls offer a full range of financial services and products ranging from

Equities to Insurance to enhance your wealth and hence, achieve your financial goals.


India bulls' Client Relationship Managers are available to you to help with

your financial planning and investment needs. To provide the highest possible quality

of service, India bulls provide full access to all our products and services through

multi-channels.

Charge Head

Charges

Account with POA Account without POA

Stamp Paper Charges Rs.200/- Rs.100/-

AMC Nil Rs.250/-

Custody Charges Nil Nil

Transaction Charges Buy (Market / Off-

Market) Transfers

Nil Nil

Transaction Charges Sell (Market / Off-

Market) Transfers

Rs. 17/- per

Transaction

Rs. 17/- per

Transaction

Nil Rs.20/- per

instruction.

Pledge Creation / Confirmation /

Closure/Invocation

Rs.25/- per

Transaction

Rs.25/- per

Transaction

D'MAT Rs.1 per certificate

(max Rs.250 /-) +

Rs.25 courier

charges

Rs.2 per certificate

(max Rs.250 /-)+

Rs.25 courier charges

D'MAT Rejections Rs.20 per rejection

+ Rs.25 courier

Rs.20 per rejection +

Rs.25 courier


Re'mat Charges Rs.15 request or

0.02% whichever is

higher.

Rs.15 request or 0.02

% whichever is

higher.

Delivery Instruction Book Nil Rs.10/-

No charges for first

book.

Fax Indemnity (Optional) N.A. Actual

RESEARCH REPORTS :-

Scheme Facilities

1. W e b B a s e d - 1 -

M o n t h -

R s . 1 0 0 :

This allows you to view and print reports

for ONE MONTH through our website.

2. W e b B a s e d - 3 -

M o n t h -

R s . 2 7 0 :


for a full QUARTER through our

website.

3. W e b B a s e d - 1 -

Y e a r -

R s . 1 0 0 0 :


for ONE YEAR through our website.

4. P r i n t R e p o r t -

1 - M o n t h -

R s . 3 5 0 :


for ONE MONTH through our website

plus you can get 10 REPORTS

PRINTED AND DELIVERED to your

doorstep on request.


3 - M o n t h -


for a full QUARTER through our


R s . 9 5 0 : website plus you can get 10 REPORTS


doorstep on request EACH MONTH.


1 - Y e a r -

R s . 3 5 0 0 :


for ONE YEAR through our website

plus you can get 10 REPORTS


doorstep on request EACH MONTH.

ADVANTAGES OF INDIABULLS :-

1. No annual maintenance charges for Demat account.

2. Listed company and aggressive in brand promotion.

3. Control — Stay on top of your investments with convenient access to your

account online or by phone.

4. Confidence — Support your investing decisions with premium in-depth

research - India bulls Equity Analysis. TM

5. Value — Enjoy competitive commissions and get the service and support you

need at a fair price.

6. Priority Service — Enjoy priority telephone access that gives you direct access

to your Relationship Manager.

7. Premium Research — Benefit from full access to India bulls Equity Analysis

TM, our objective, fact-based approach to rating stocks.

8. Online Accounting — Stay on the top of your investments with a snapshot of

your Account Statements. Get access to Portfolio statement and access to

digital contract notes


http://www.indiabulls.com/new_layout/equity_analysis.htm



DEAL CLINCHERS Vs INDIABULLS :-

1. Research reports are paid at RS 100 p.m.

2. SMS alert service is not provided.

3. IPO online is not there. It is offline.

4. RS 500/- is blocked by system as margin.

5. POA for Clients DMAT:

All shares held by client trading with IB are moved to IB Pool Account and

the same is shown as a reflection in client DP account. Charges are levied to

move shares from IB pool Account to client DP account

6. Annual maintenance charges are charged, if power of attorney is signed.

7. Margin Funding hoax:

The interest on funding starts on leveraged delivery trades from T+1 day itself

@21% p.a. on a daily basis

8. The role of Relationship Manager:

Each RM is looked upon as a revenue generator and he gets a % on business

generated from client. This can lead to over leveraged (Interest) & high

frequency (Brokerage) trading, which may not be in the best interest of the

client.

ANALYSIS :-


COMPETITORS COMPARISON :-

SHAREKHAN

. COM

ICICIDIRECT

. COM

INDIABULLS

A/C

OPENING

CHARGES

750/- (web based

online), 1000/- (software

based online), 460/-

(offline)

750/-(waive off if

trading is more than

Rs. 1 lakh)

1000(offline &

web based)

1750(software)

DEMAT A/C

CHARGES

FREE (1ST YEAR)

AND 300/-P.A.

FROM

2ND YEAR

ONWARDS

FREE FOR 1ST YEAR

AND 500/- P.A.

FROM 2ND YEAR

ONWARDS

NO AMC

TYPE OF A/C 3(off line, fast trade &

speed trade)

Web based Web based&

software

TRADING

THROUGH

WEBSITE OR

SOFT-WARE

BOTH WEBSITE BOTH

NSE/BSE/

DERIVA-

TIVES/

ARBIT-

RAGE/

NSE/BSE/

DERIVATIVES/

COMMODITIES/IPO’

S/ MUTUAL FUNDS/

INSUARANCE

NSE/BSE/

MUTUAL

FUNDS/

Derivatives

NSE/BSE

DERIVATIVES


MUTUAL

FUNDS

SOFT-WARE

CHARGES

500/-P.M.

(NEGOTIABLE

ON BROKERAGE)

N.A. N.A.

DAIL-N-

TRADE

UNLIMITED On 21st

call Rs 20/-

per call(P.M.)

RM NUMBER

PROVIDED

FOR

TRADING

DEMAT

TRANSAC-

TION

CHARGES

NIL (THROUGH

SHAREKHAN)

INCLUDING

IN

BROKERAG(Rs35)

RS. 17/-

PER

TRANSACTION

(ON SELLING)

TIE UP

WITH

BANKS

NINE BANKS

(DETAILS ARE

GIVEN EARLIER ON

PROJECT)

ICICIBANK ONLY

(COMPULSORY)

HDFC BANK,

BUY TODAY

SELL

TOMOR-

ROW

YES YES BUT

ONLY ON

127 SCRIPS

OF NSE

YES

SMS ALERTS YES YES YES

MINIMUM

MARGIN

EXPO-SURE

4 TO 8 TIMES 4 TIMES 4 TIMES

ONWARDS

MINIMUM

MARGIN

Nil 5000/- 500 BLOCKED

BY THE SYSTEM

Volume

requirement

Nil Nil NIL


BROKE-

RAGE

.04%(INTRA)

.4%

(DELIVERY)

.07% (INTRA-DAY)

.75%

(DELIVERY)

.04%(INTRA)

.4%

(DELIVERY)

CHAPTER - 4

RESEARCH METHODOLOGY

OBJECTIVES OF THE STUDY :-

The objective of my Project is to gain knowledge about how an organization

works and in particular setup of a stock broking house.

PRIMARY OBJECTIVES OF THE PROJECT ARE :-

1. To learn about company routine working

2. To learn the marketing techniques that are used to acquire a client.

SECONDARY OBJECTIVE :-


1. To study the “ANGEL BROKING” competitors strengths and weaknesses.

RESEARCH METHODOLOGY :-

Research Methodology – “Systemised Method to gain knowledge”. The

technique deployed to analyze and interpret the data for the purpose of hitting the

target objective plays a crucial role. The effective research technique has a significant

contribution for effective objective achievement. Throughout this project, a

combination of secondary and primary research was undertaken to ANGEL

BROKING LTD.

DATA SOURCES :-

Primary Data,

Secondary Data

PRIMARY DATA :-

Primary data is a data that is collected for the first time in the processing of the

analysis.

The researchers have adopted the contact through telephone for the purpose of

collecting Primary data. The researchers discuss with Team Manager and employees

of the company to get information about competitors of SHAREKHAN.com.

SECONDARY DATA :-

Under Secondary sources, we tapped information from internal & external

sources. We made use of Internet (such as search engine www.google.com,


http://www.google.com/

www.icicidirect.com, www.indiabulls.com and miscellaneous sources (such as

brochures, pamphlets, library) under external sources.

ANALYSIS :-

To make our research project most effective in a given time period of two

months surveyed the information of the competitors. We undertook both Explorative

as well as Conclusive Research Design. The data has been collected from both

Primaries as well as Secondary sources and we also did the fieldwork for which

utmost care has been taken to keep project unbiased from personal opinion.

SIGNIFICANCE OF THE STUDY :-

Every research is conducted to fulfill certain objective and these objectives in

turn fulfill some purpose. BBA curricular is designed to give more practical exposes

to the student so that he can make use of theoretical knowledge in the real life

situation, with this thrust dissertation study has been included which provides

opportunity to research to gain practical insight of the market. This hand on

experience helps him in identifying the critical factor of consumer buying behavior.

This rich experience will be great help in researcher’s future endeavors and it also

solves the purpose for the partial fulfillment of BBA curriculum.

I sincerely believe that road to improvement is never- ending and one always

learns from a new experience. This project is a step towards gaining knowledge about

real world and putting the theory of practice. I shall look forward to and gratefully

acknowledge all suggestion on this small step I have taken.


http://www.indiabulls.com/

http://www.icicidirect.com/

The report consists of a step–wise efforts towards meeting the objectives of

the study. It covers the step-wise collection of data collection and the representation

of the data together with the analysis. It also includes some suggestions put forward

hoping it would help the company achieve its vision.

MANAGERIAL USEFULNESS OF THE STUDY :-

The marketing department can use this study to enhance their marketing

strategies for better sales. This report helps marketing department in taking decision

to what change in distribution channels and what should be done so that marketing

problem could be sorted out and how to sell their range of product in the competitive

market.

The very essence of every project related to marketing is providing a view to

management for chalk out the organization. So that they can maintain a viable fit

between the organization objective, skill and resources and its changing market

opportunities. Also give proper shape to the company business target profit and

growth. It provides a feedback to the organization about their sales, sales schemes and

what impact dose it has on the retailers and consumer. Every market research proves

useful suggestion to the organization. Marketing research helps the firm in every

component of the total marketing task. It helps the firm acquire a better understating

of the buyer, the competition and marketing environment. It also aids the formulation

of the marketing mix, product, distribution and pricing needs marketing research

support. It also in taking the information of competitor’s strategies and their impact on

the buyer. The study revels may fact that have come up during the project and these


facts can either be used as opportunities in exploring and expending the business as

well as can be used as safeguard against threats by the competitors to prepare an

effective marketing strategy. Every market research proves usefulness to the

organization. Marketing research helps the firm in every component of the total

marketing task. Its helps the firm acquire a better understanding of the consumer, the

competition and the marketing environment. It also aids he formulation of marketing

mix, decision on each element of marketing mix, product, distribution and promotion

and pricing etc need the support of marketing research.

LIMITATIONS OF THE PROJECT :-

Services of competitors :- We cannot give proper comment on competitor’s

services till we use it. But I try to collect as accurate information as possible.

As we all know services are intangible and we cannot predict its quality, it is a

thing to feel not to see.

No proper assurance of right information :- The main data sources are

websites, telephonic information and offices visit.

The data on websites might be possible, not get updated.

The marketing person might be possible, is not through with all

concepts to which I contacted.

Sometimes, they try to hide information.


Lack of awareness of Stock market :- Since the area is not known before it

takes lot of time in convincing people to start investing in shares primarily in

IPO’s.

Mostly people comfortable with traditional brokers :- As people are doing

trading from their respective brokers, they are quite comfortable to trade via

phone.

Lack of Techno Savvy people and poor Internet penetration :- Since most of

the people are quite experienced and also they are not techno savvy. Also

Internet penetration is poor in India.

Some respondents are unwilling to talk :- Some respondents either do not have

time or willing does not respond, as they are quite annoyed with the phone

call.

Inaccurate Leads :- Sometimes leads are provided which had error in it which

varies from only 5 digit phone number to wrong phone number

Misleading concepts :- Some people think that Shares are too risky and just

another name of gamble but they don’t know it’s not at all that risky for long

investors.

SCOPE OF THE STUDY :-

These are some of the following scope of the study :-

1. The present study can be extended to assess the present marketing condition of

stock market.

2. The study can be used to design a proper product, price, place & promotional

strategy for stock market.


3. From the present study we can know the market share of different by-products

and accordingly formulated strategy to enhance it.

4. The result of marketing success of different by-product can be interpreted to

assess the rate of employee’s satisfaction in that department (marketing).

5. This study can be applied to find out an effective distribution channel to

enhance the sale of by-product of “ANGEL BROKING”.

CHAPTER - 5FINDING, CONCLUSION & RECOMMANDATIONS

On surveying various people who are involved in share trading both as trader

as well as investor, we found that brokerage is the most important factor on which

people select / opt a broking house, followed by image , convenience in trading ,

customer service, features, tips & suggestion & AMC.


MOST IMPORTANT FACTOR WHILE SELECTING A BROKING HOUSE

AMC

TIPS & SUGGESTION

FEATURES

CUSTOMER SERVICE

CONVINIENCE(INTRADE)

IMAGE

BROKERAGE

FA

CT

OR

S

What is interesting to note is the weighted contribution of these factors

towards decision making. Although brokerage leads the pack it has only 19%

contribution, and is closely followed by broking houses’ image with 18% and

convenience in trade with 16%. AMC & tips & suggestions having only 10%

contribution each towards decision making end up the pack.

PIE CHART DEPECTING MOST IMPORTANT FACTOR IN SELECTING A BROKING HOUSE

19%

16%

12%

15%

10%10%18%

AMC TIPS & SUGGESTION

CUSTOMER SERVICE FEATURES

CONVINIENCE(IN TRADE) BROKERAGE

IMAGE


On surveying SHAREKHAN Customer why they opted for same, we got to

know it was because of image SHAREKHAN carries in the market, followed by its

competitive brokerage, convenience in trade, features, customer service, tips and

suggestions, and AMC.

REASON FOR SELECTING SHAREKHAN

AMC

TIPS & SUGGESTION

CUSTOMER SERVICE

FEATURES

CONVINIENCE(IN TRADE)

BROKERAGE

IMAGE

FA

CT

OR

Angel Broking Continuous increases its growth percentage as shown in the

Graph & becomes one of the India’s Topmost Online Trading Service Provider.

CONCLUSION :-

In online trading “ANGEL BROKING” have mainly competition with

icicidirect.com, HDFCsec.com, 5Paisa.com India bulls. “ANGEL BROKING” comes at

no. 2 retail broker. It has an advantage of being in this industry for more than 8

decades. It has launched its website in 2000 and were among the first player in the

online share trading. The “ANGEL BROKING” has decided to spend its advertisement

budget through four media i.e. Television, Print, Web and Outlets. Mr. Boman Irani

was the first brand ambassador for “ANGEL BROKING” on television media. From the

above analysis we can point out some points:


1. SHAREKHAN account opening charges are little higher than other

competitors. SHAREKHAN is less flexible to cut down its account opening

charges on the other side; some of the brokers are offering free account

opening to High Net Worth customers.

2. The charges of Demat account are reasonable at 300 p.a. but India bulls is

offering pool account with no Annual Maintenance charges.

3. SHAREKHAN provides trading in NSE, BSE and Derivatives. It also

launched online Mutual Funds & Online IPO Bidding. Arbitrage facility is not

available to customers.

4. SHAREKHAN is the only one that does not have any Demat transaction

charges either on buying or selling.

5. Unlimited toll free calls service is provided to customer in

SHAREKHAN.com.

6. SHAREKHAN accept offline payment from other banks also but

icicidirect.com, HDFCsec.com clients have compulsion to open an online

account.

7. IPO Online service is better provided in SHAREKHAN as compared to others.

8. SHAREKHAN is only broker in which no margin needs to keep.

9. SHAREKHAN research reports come in client e-mail at free of cost around 5-

6 times in a day. But some brokers charged for it and some provide it only at

once in a day, while it is paid in Indiabulls, icicidirect.com and 5paisa.com.

10. In brokerage, 5paisa.com have an edge on others with lowest brokerage .25%

on delivery and .05% on intraday

To sum up, we can say that computerization and automation are not to be

avoided. Technology has been able to make the stock markets accessible to every


individual. It has also led to positive developments in terms of reduced costs and

fewer errors. But, as some experiences have indicated, IT cannot be applied as a

panacea for all problems. Regulation and knowledge dissemination are still important.

The use of technology should be preceded by a detailed study and assessment of all

other alternatives. The key to successful use to technology is the appreciation of its

constraints.

RECOMMENDATION :

We suggest following measures, which SHAREKHAN could take so as to

take on heavy competition from INDIABULLS and ICICIDIRECT.COM

1. To identify regions where promotions are required. SHAREKHAN lacks

visibility in northern region where as it is a well known name in western

region. Even then, its promotional campaign focuses on western region where

as northern region is still waiting for promotional campaigns.

2. Try to reduce cost, so that benefits can be passed on to customers. Senior

managers at SHAREKHAN keep on telling that it is difficult to reduce cost,

because of services we provide. But the fact is, India being a price sensitive

market, people at times go for monetary benefits rather than for long term non-

monetary benefits.

3. If charges can’t be reduced because of costs involved, make the services

customized, so that services are provided to only those customers who are

willing to pay the price for services they are getting and let the other

customers enjoy costs benefits without getting services.


4. Concept of margin funding should be introduced, as more and more people are

asking for it.

BIBLIOGRAPHY

BOOKS:

Kotler Philip, Marketing Management: 13th Edition, 2006, Prentice

Hall of India Ltd., New Delhi.

MAGAZINE :

Business World

News Papers


WEBSITES

www.angeltrade.com

www.sharekhan.com

www.icicidirect.com

www.indiabulls.com

www.5paisa.com

www.google.com


http://www.google.com/

http://www.5paisa.com/

http://www.indiabulls.com/

http://www.icicidirect.com/

http://www.sharekhan.com/

http://www.angeltrade.com/

A Project Report

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Transcript of A Project Report