Investment of Rs 500000

8/7/2019 Investment of Rs 500000

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PRESENTATION ON INVESTMENT DESION MAKING

Presented To Presented By

Dr. Sunanda Mitra Ghosh Diljeet Singh

Ankur Dogra

MBA 2nd

Sem



� Investment is the application of money for

earning more money.

� Investment also means savings or savings

made through delayed consumption.

� According to economics, investment is theutilization of resources in order to increase

income or production output in the future.



We can take maximum return from the equity share

market ( High risk high return).

Completely safe and secure investment we can invest in

the Mutual funds.

Safest investments are usually found in the money

market and include such securities as Treasury bills.

We can take suitable return from the fixed deposits

schemes.

The securities listed above are ordered according to the

typical spectrum of increasing risk and, in turn, increasing

potential yield.



� Investment security is the first thing on

investor's mind that indirectly plays a significant

role selecting a plan to invest.

�When it comes to protected endowment, real

estate is always the favored choice for it involvesthe appreciation value of fixed asset in the

investment earnings.

Invest in Real estate



� When the stock marketfunctions adversely, investors

prefer to buy commodity stakes.

�

Commodity Futures is anagreement between the vender

and the purchaser.

� It involves buying a product in

the future at the existing value.� Investing in commodities future

secures the future of the investor.

Invest in Commodity Futures

Invest in Commodity Futures



� The investment idea offers greatmoney spinning prospects to invest in.

� To invest in stock market an investor

must have a demat bank account witha broker or any financial institution in

the capital market.

� Moreover, he must also have a

suitable understanding of the capitalmarket if he wants to yield greater

returns in stock market.



Protected market plan, Mutual Funds

are professionally administered joint

endowments that collects investments fromdifferent investors and

� Invests in bonds,

�

Capital market,� Stakes and other mortgages.



Invest in Short term deposits

Short term deposits are made

in bank saving accounts and are

the easiest kind of investment.

� Earnings are less as compared

to other endowments, but the

value of the investment will not

decline in short term plan as it is

warranted by the bank.

� The investor is entitled to

withdraw the amount at point of

the plan which makes them ideal

for short term investment.

For long term goals you can

invest in fixed term investments of

the Bank.

Invest in Direct investment

� Direct investment involves

investing in bonds, stakes, assets,

long and short term deposits and

are administered by professionals

who take care of the investment

decisions.

� While investing directly into

shares consider the tenure, risk

prospects, earnings,

diversification and liquidity.



Reliance Cash Flow Plan:

This investment plan provides double advantage of simple liquidity

through down payment of cash besides life assurance. The basic benefit of this

policy is the cash flow that it provides during the tenure of the policy. Otherdetails of the policy are mentioned as under:

� Minimum and maximum tenure of the policy is 7 years and 34 years

exclusively.

� Minimum sum assured - Rs 25,000

� Premium Payment mode: yearly, half yearly, monthly, quarterly

Tax Benefit: Maturity and death benefits are not valid under IT sec10(10D) and tax deduction on premium income of up to Rs 1,00,000

� An advantage to include two Riders namely: Total and Permanent

Disablement Rider and Critical Illness Rider & Accidental Death Benefit.



The investment plan produces long term savingsexpansion through endowments chiefly done in equity and equity

linked tools. Other details of the policy are mentioned as under:

� Face Value: Rs. 10 Rs/Unit

� Minimum Investment: Rs. 5000 (for new investors) and Rs.

100 for (current investors)

� Units valid under lock in period: 3% of exit load if the Units

are transferred between 1st and 2nd year, 1% of exit load if

units are

�

Transferred between 2nd and 3rd year and no exit loads if units are transferred after 3rd year.

ICICI Bank Fixed Deposit scheme This investment plans come

with an extensive range of term periods,



The investment plan offers impressive returns throughintermittent dividends or through fund growth by administering

the debt, equity and capital market portfolio. Other details of

the policy are mentioned as under:

Minimum Investment: Rs.25000

Exit Load of 1% if the amount is redeemed within 6 monthsand 0.5% of exit load if the amount is redeemed within 1

year.

Face Value: Rs. 10 Rs/Unit

Earnings are generated via voucher imbursements, paying

back of the concession on the debt tools, receipt of surplus

amount or trading of securities



The investment plan is beneficial ingenerating uninterrupted income via

endowments in portfolio entailing significantly

of floating rate debt/capital market plans.

Other details of the policy are mentioned as

under:

� Face Value: Rs. 100 Rs/Unit

�Minimum Investment: Rs. 5,000

� Entry Load: 2.25% for amount < 5 corers.

Nil, for amount > 5 corer.



Reliance Mutual Funds

HDFC

ABN Amro

AIG

Bank of Baroda

Canara BankBirla Sun Life

DSP Merrill Lynch

DBS Chola Mandalam AMC

Escorts Mutual

Deutsche Bank

ING

HSBC

ICICI PrudentialLIC

JP Morgan

Kodak Mahindra

Lotus India

JM FinancialMorgan Stanley

State Bank of India (SBI)

Sahara Mutual Funds

Sundaram BNP Paribas

Taurus Mutual Funds

TataUTI

Standard Chartered



In 2010, India's GDP Gross Domestic Product stood at $3.548

trillion, and was the fourth largest economy by volume.

The services sector, backed by the IT revolution, remained the biggest

contributor to the national GDP, with a contribution of 58.4%. The industry

sector contributed 24.1% and the agriculture sector contributed 17.5% to the

GDP.

The employment scenario was dominated by the services sector, creating

62.6% of the jobs for the 467 million workforce. The industry sector

contributed 25.8% to the GDP and employed 20% of the workforce. Theagriculture sector contributed 15.8% to the GDP and created 17.5% jobs

(India Labor Force). The unemployment rate remained around 10% in 2010.

However, rising inflation became a major concern, and measures to check it

are being implemented. In 2010, the rate of inflation was around 10.7%

(India Inflation Rate Change).



Hotel Industry in IndiaIndia Retail Industry

India Software Industry

Indian Manufacturing

Confederation of Indian

Industry

India Industry Sector

India IT Industry

Indian Banking Industry

Indian pharmaceuticalindustry

Indian Telecom Industry

Industries in India

Reliance Industries India

Cottage industry

India Basic Metals IndustryIndia Biscuits Industry

India Bus Industry

India Fertilizer Industry

India Handicraft IndustryIndia Heavy Chemical Industry

India Machinery Industry

India Metallurgical Industry

India Steel Industry

India Textile IndustryIndia Truck Industry

Logistics Industry



� There are number of industry in the india.We choose

the pharmaceutical industry because in this industry we

can get maximum return from over investment.

� The Indian Pharmaceutical Industry is expected to

undergo phenomenal change after 1 January 2005, there

are some top indian company in which we can invest.



� India·s largest pharmaceutical Company.

� It Is ranked amongst the top generic companies in world wide.

� the company was Incorporated in 1961 and went public in 1973.

� the company has a strong brand marketing team and the distribution network in

india.

� Figure of the company



Finding and conclusion were drawn from the financial and technical

analysis.

Share prices of Ranbaxy is



The Price of Equity ShareLaunched by the Ranbaxy

is RS489 and we invested

100000 in this scheme.



Quarter

Cash From Earnings Principal Capital

Investment on Capital Payment Balance

At 8% A.T.

0 0 0 -100000

1 22000 2000 20000 -80000

2 31600 1600 30000 -50000

3 41000 1000 40000 -10000

4 10200 200 10000 0

The yield on capital is 8% after tax. However, the yield on equity is higher.



Bank Duration (Days) Deposit (Rs) Rate (%) Compound

State Bank of India 365 - 554 300000 8.25 324750

State Bank of India 181 - 364 300000 7.75 321750

SBI

RS 300000 INVESTED IN SBI FOR 365 TO 554 DAY @

8.25% AND WE GOT RS 324750 AND ANOTHER SCHEME

OF SBI FOR 181 TO 364 DAYS @ 7.75 AND WE GOT RS

321750.



� Any individual (a single adult or two adults jointly) can open an account.

� Group Accounts, Institutional Accounts and Misc. account not permissible.

� Trust, Regimental Fund orWelfare Fund not permissible to invest.

� 1 Year, 2 Year, 3 Year and 5 Year Time Deposit can be opened.

� 2, 3 & 5 Year TD Accounts can be closed after one year at a discount.

� Rate of interest - 6.25%, 6.50%, 7.25%, 7.5% compounded quarterly for

1,2,3 &5 years TD account respectively



�

The annual amount in the postoffice Time Deposit Scheme is

7714

�In the Year of Maturity we get

38570



Tata steel launches its new

equity share of RS 610 and weinvested 100000 in this

scheme.



Quarter

Cash From Earnings Principal Capital

Investment on Capital Payment Balance

at 8% A.T.

0 0 0 -100000

1 22000 2000 20000 -80000

2 31600 1600 30000 -50000

3 41000 1000 40000 -10000

4 10200 200 10000 0

The yield on capital is 8% after tax. However, the yield on equity is higher.



Cash inflow from investment

Less investment in equity

Profit from investment in equity 4800

Investment of Rs 500000

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