SUBMITTED TO: -JIWAJI UNIVERSITYGWALIOR (MP.)

SUBMITTED BY: -BHOOPENDRA PATHAKM.B.A. (III SEM)

DECLARATION

I Bhoopendra pathak declare that the Project Report entitled “DMAT SERVICE IN

KCL “with special reference to “ Karvy Consultant LTD”. And its competitive funds are

submitted by me in the partial fulfillment of Master of Business of Administration from

Maharana Pratap College of Technology Gwalior.

I further declare that all the information, facts & figures furnished in this project Report

are based on my intensive research findings.

Bhoopendra Pathak

M.B.A.III sem.

M.P.C.T. Gwalior

ACKNOWLEDGEMENT

I take this opportunity to express my gratitude to Mr. NITIN TEMAK (Brach Manager)

for assigning this important project to me.

I am very grateful to Mr.Avnish sir, Mr. Jitu sir, Mr. Sandeep sir, and I am also

thankful to Mr. Kanik karkhur sir and staff member of KCL for their valuable

suggestions in the execution of project work.

Finally, I would like to express my sincere Thanks to Mr. N.C. JAIN (H.O.D. of MPCT

M.B.A. Dept.) who gave me a proper guidance & support to complete my project.

I would like to thanks to Mr. Umesh Sharma Sir, Mr. Sourab Goyal Sir, Trilok sir,

and I am also thankful to Miss Gunjan Tiwari Madam and all faculty of M.B.A. Dept for his

guidance given during the project.

Lastly, I am grateful to all the respondents who helped me by providing the information

& giving their valuable time.

Bhoopendra Pathak

M.B.A.III sem

M.P.C.T. Gwalior

PREFACE

Education becomes more meaningful when its theoretical

aspects are combined with the practical experiences .This provides an

opportunity to the student to improve there understanding of the studies.

Master of business administration of finance is course which

combines with theory and its application as its contents of study in the

field of management as a part of this course every aspirant has to go

undergo AT LEAST FIVE WEEKS “Summer Training” in organization of

repute the purpose of this training is to expose the student of

management to real business situation and to provide insight in to the

various functions carried out with in the organization.

I am fortunate enough to gat the opportunity of my “Summer

Training” in the “KARVY CONSULTANTS LTD.”.

CONTENT

About Karvy consultants ltd.

Company profile.

Organization

Karvy group.

Quality policy of the karvy.

Strategy of the company.

Developments activities.

Achievements.

Karvy security ltd.

Demat account overview

Demat services of karvy.

Research Methodology.

Types of Research

Sources of data.

Tools used.

Objectives of the project.

Significance of project.

Limitation of the project.

Data collection.

Customer satisfaction

Findings

Conclusion

Recommendation.

Bibliography

COMPANY PROFILE

The four chartered accountants founded Karvy Consultants Limited

in 1982. A group of Hyderabad based practicing Chartered Accountants

started Karvy taxation services initially. Later, it forayed in to the register

and share transfer activities and subsequently into financial services. All

along Karvy’s strong work ethics and professional background leveraged

with information technology enabled it to deliver quality to the individual.

A decade of commitments, professional integrity and vision helped

Karvy achieve a leadership position in its field when it handled the largest

number of issue ever handled in the history of the Indian Stock market in a

year. Therefore, Karvy made in roads into a host of capital market services

corporate and retail, which proved to be a sound business synergy. Today

Karvy has access to million of shareholder, beside companies, banks,

financial institution and regulatory agencies. Over the past one and half

decade, Karvy has involved as a veritable link between industries, finance

and people. In January 1998, Karvy became the first Depository

participants in Andhra Pradesh. As ISO: 9002 Company,

Karvy ranks among the top player in almost all the fields it operates.

Karvy Computershare Limited is India’s largest Registrar and Transfer

Agent with a client base of nearly 500 blue chip corporate, managing over

2 crore accounts. Karvy Stock Brokers Limited, member of National Stock

Exchange of India and the Bombay Stock Exchange, ranks among the top

5 stock brokers in India. With over 6, 00,000 active accounts, it ranks

among the top 5 Depositary Participant in India, registered with NSDL and

CDSL. Karvy Comtrade, Member of NCDEX and MCX ranks among the top

3 commodity brokers in the country. Karvy Insurance Brokers is registered

as a Broker with IRDA and ranks among the top 5 insurance agent in the

country. Registered with AMFI as a corporate Agent, Karvy is also among

the top Mutual Fund mobilize with over Rs. 5,000 crores under

management. Karvy Realty Services, which started in 2006, has quickly

established itself as a broker who adds value, in the realty sector. Karvy

Global offers niche off shoring services to clients in the US. Karvy has 575

offices over 375 locations across India and overseas at Dubai and New

York. Over 9,000 highly qualified people staff Karvy.

ORGANISATION

Karvy was started by a group of five chartered accountants in 1979.

The partners decided to offer, other than the audit services, value added

services like corporate advisory services to their clients. The first firm in

the group, Karvy Consultants Limited was incorporated on 23rd July, 1983.

In a very short period, it became the largest Registrar and Transfer Agent

in India. This business was spun off to form a separate joint venture with

Computer share of Australia, in 2005. Karvy’s foray into stock broking

began with marketing IPO’s, in 1993. Within a few years, Karvy began

topping the IPO procurement league tables and it has consistently

maintained its position among the top 5. Karvy was among the first few

members of National Stock Exchange, in 1994 and became a member of

The Stock Exchange, Mumbai in 2001. Dematerialization of shares

gathered pace in mid-90s and Karvy was in the forefront educating

investors on the advantages of dematerializing their shares. Today Karvy

is among the top 5 Depositary Participant in India.

While the registry business is a 50:50 Joint Venture with Computer

share of Australia, we have equity participation by ICICI Ventures Limited

and Barings Asia Limited, in Karvy Stock Broking Limited. Karvy has

always believed in adding value to services it offers to clients. A top-notch

research team based in Mumbai and Hyderabad supports its employees to

advise clients on their investment needs. With the information overload

today, Karvy’s team of analysts help investors make the right calls, be it

equities, mf, insurance. On a typical working day Karvy:

* Has more than 25,000 investors visiting our 575 offices

* Publishes / broadcasts at least 50 buy / sell calls

* Attends to 10,000+ telephone calls

* Mails 25,000 envelopes, containing Annual Reports,

Dividend cheques/ advises, allotment / refund advises

* Executes 150,000+ trades on NSE / BSE

* Executes 50,000 debit / credit in the depositary accounts

* Advises 3,000+ clients on the investments in mutual funds

First ISO - 9001: 2000 Certified Registrar in India

KARVY GROUP

Karvy group comprises the following:-

KARVY CONSULTANTS LIMITED –

As the flagship company of the Karvy Group, Karvy Consultant

Limited has always remained at the helm of organization affairs,

pioneering business policies, works ethic and channels of progress. Karvy

as a leader in the registry business now transferred this business into a

join venture with Computer share Limited of Australia, the world’s largest

registrar. Today, we service over 6 lacks customer accounts in this

business spread across over 250 cities/towns in India and are ranked

amongst the largest Depository Participant in the country, Deal in Register

and investment services. We are rated as India's "Most Admired Registrar"

for overall excellence in volume management, quality processes and

technology driven services. Our services include Initial Public Offers (IPO’s)

processing, share holder servicing, effecting corporate actions, investor

information services and host of technology enabled services to facilitate

efficient and effective service delivery.

KARVY STOCK BROKING LIMITED –

They offer trading on a vast platform – National Stock Exchange,

Bombay Stock Exchange and Hyderabad Stock Exchange. Information is

given as a constant feedback to our customers, through daily reports

delivered thrice Daily- The Pre- session Report, where market scenario for

the day is predicated, the Mid- session Report, times to arrive during lunch

break, where the market forecast for the rest of the day is given and the

Post- session Report, the final report for the day, where the market and

the report itself is reviewed. To add to this repository of information, we

publish a monthly magazine “Karvy------ The Finapolis” Which analyzes the

latest stock market trends and takes a close look at the various

investment options, and product available in the market while a weekly

report, called “Karvy Bazaar Baatein” keeps you more informed on the

immediate trends in the stock market. In addition, our specific industry

reports give comprehensive information on various industries. Beside this,

we also offer special portfolio analysis packages that provide daily

technical advice on scrip’s for successful portfolio management and

provide customized advisory services to help you make the right financial

moves that are specifically suited to your portfolio.

The institutional broking arm of KARVY Stock Broking offers corporate

houses and institutions dealing capabilities on India leading stock

exchanges (NSE and BSE) in the cash and derivatives segments. This unit

has devised a process driven approach to address the needs of

institutional investors who have unique and specialized investment needs.

The institutional broking services desk is a specialized business unit

at KARVY that operates out of Mumbai, the financial capital of India and is

staffed with best-of-industry equity market professionals and highly skilled

dealers. KARVY also supports institutional traders through their

institutional sales and research teams with information and insightful

reports on stocks, sectors and industry verticals. KARVY’s institutional

broking clientele include some major domestic Mutual Funds, Insurance

Companies, Banks and FII’s in India.

KARVY INVESTORY SERVICES LIMITED –

Karvy Investor Services Limited, a SEBI registered Merchant Banker is

a 100% subsidiary of Karvy Consultants Limited and is among the top 10

merchant Bankers in India today. The parent Company i.e. Karvy

Consultants Limited was founded by a group of professionals in 1982 and

today it has evolved as integrated financial services company of repute,

offering various financial services to suit every requirement/need of our

customers. By virtue of its access to millions of Indian Shareholders, in

addition to companies, banks and financial institutions, Karvy has in the

process built up a positive reputation with regulatory authorities and other

government agencies. Our emphasis on the quality of the services, we

offer, has been instrumental in helping us to attain the leadership in the

financial services sector.

We have a track record of handling 70 public/rights issues as

Merchant Bankers. During the last two years we have handled the share

buyback issues of TTK LIG Limited, Sirpur Paper Mills Limited,

Bhagyanagar Metals Limited, A V Thomas Group-Nelliampathy Tea and

Produce Company Limited, Chordia Food Products Limited, Heritage Foods

(India) Limited, Titanor Components Ltd, Punjab Communications Limited,

etc. to name a few.

We have also handled/are handling the Rights/Public issues of

Dhanalakshmi Bank, Dhandapani Finance, Moschip, Karur Vysya Bank, Lux

Hosiery Industries Ltd, Sah Petroleums Limited, Paradyne InfoTech

Limited, Yash Papers Limited, SPL Industries Limited, Provogue (I) Limited,

Tulip IT Services Limited, Gati Limited as lead managers to name a few.

We have also been appointed as advisor to some of the GOI

disinvestments. We have actively marketed bond issues of corporations

from the States of Maharashtra, Karnataka & Gujarat and debt issues of all

the Financial Institutions like IDBI, ICICI, IFCI, REC, PFC, SIDBI, etc.

As an Investment Banker, Karvy provides;

• Management of Capital Issues

• Management of Buybacks, Takeovers and Delisting offers

• Private Placement of Debt and Equity

• Mergers and Amalgamations, • Loan Syndication

KARVY COMMODITIES BROKING PRIVATE LIMITED-

Focused on taking commodities trading to new dimensions of

reliability and profitability. We have made commodities trading, an

essentially age-old practice, into a sophisticated and scientific investment

option.

Here we enable trade in all goods and products of agricultural and

mineral origin that include lucrative commodities like gold and silver and

popular items like oil, pulses and cotton through a well-systematized

trading platform. Our technological and infrastructural strengths and

especially our street-smart skills make us an ideal broker.

Our service matrix is holistic with a gamut of advantages, the first

and foremost being our legacy of human resources, technology and

infrastructure that comes from being part of the Karvy Group.

Our wide national network, spanning the length and breadth of India,

further supports these advantages. Regular trading workshops and

seminars are conducted to hone trading strategies to perfection. Every

move made is a calculated one, based on reliable research that is

converted into valuable information through daily, weekly and monthly

newsletters, calls and intraday alerts. Further, personalized service is

provided here by a dedicated team committed to giving hassle-free

service while the brokerage rates offered are extremely competitive. Our

commitment to excel in this sector stems from the immense importance

those commodities broking has to a cross-section of investors, farmers,

exporters, importers, manufacturers and the Government of India itself.

Visit us at www.karvycomtrade.com

KARVY MUTUAL FUND SERVICES

Investment is the stepping stone to achieving one's financial dreams.

Mutual funds offer an opportune way to long-term wealth creation.

However, with more and more funds flooding the market, the task of

selecting the most suitable scheme gets even more complicated. Mutual

Fund Advisory Service at Karvy guides you through this maze and ensures

that your investments are backed by our quality research. We, at Karvy

help you to reach your goals by offering:

* Products of 33 AMCs

* Research reports (existing funds & NFOs; strategy reports etc.)

* Customized mutual fund portfolios

* Portfolio revision (depending on changing market outlook and

evolving trends)

* Access to online consolidated portfolio statement

IPO INTRODUCTION PVT LTD

An Initial Public Offer (IPO) is a means of collecting money from the

public by a company for the first time in the market to fund its projects. In

return, the company gives the share to the investors in the company.

In an IPO, the Lead managers decide the price of the issue. In a book

building offer, the syndicate members decide the indicative price range

and the investors decide the price of the issue through a tender method.

A draft prospectus provides the information on the financials of the

company, promoters, background, tentative issue price etc. It is filed by

the Lead Managers with the Securities & Exchange Board of India (SEBI) to

provide issue details. Overview of the draft prospectus can be seen on

www.sebi.gov.in (SEBI's web site click here). The final prospectus is

printed after obtaining the clearance from SEBI and the Registrar of

Companies (ROC).

KARVY FIXED INCOME SECURITYIES & TRADING (K-FIST)

It was started in December 2002 with a roll out from 7 dedicated

centers of Karvy. The Retail Debt Market division which is centralized at

the HO in Hyderabad provides fixed income products to its clients and is

primarily a fund based activity. The deal sizes vary from Rs.10,000 to Rs.5

cores.

Products - Central Government securities, State Development Loans,

State Guaranteed bonds, Public Sector Undertaking Bonds, Financial

Institution Bonds, and Bank bonds of SLR/Non-SLR category, both taxable

and tax-free.

Target clients - Provident Fund Trusts, Educational & Religious trusts,

charitable trusts, and Co-operative banks, Regional Rural Banks,

Corporate, and High Net worth Individuals Standard Operating Procedures

- Based on the specific needs of the prospects Quotes of all categories of

bonds are sent. The selection of instrument is done and post negotiation

(if any) the settlement date is finalized. Contract notes are exchanged and

written confirmations are obtained before initiating the trade settlement.

On the agreed settlement date, the funds and securities are exchanged

between the parties. Primarily all the trades are in the electronic mode

only. The Wholesale Debt Market division is centralized at Mumbai and is a

voice based order matching activity which is fee based. The deal size is a

minimum of Rs.5 cr. And the reporting is done on the NSE.

Products - Central Government securities, State Development Loans,

State Guaranteed bonds, Public Sector Undertaking Bonds, Financial

Institution Bonds, and Bank bonds of SLR/Non-SLR category, both taxable

and tax-free.

Target clients - Co-operative banks, commercial banks, Corporate,

Financial Institutions, Insurance companies and Asset Management

Companies.

Standard Operating Procedures - The dealers generate 2-way quotes

during the trading hours and match the institutional buyers and sellers.

The deal contract notes are generated and exchanged between the 2

parties. The fees are collected by raising debit notes on a monthly basis.

KARVY REALITY (INDIA) LIMITED –

(KRIL) is promoted by the KARVY Group, India’s largest integrated

financial services group. The group carries forward its legacy of trust and

excellence in investor and customer services delivered with a passion for

services and the highest level of quality that align with global standards.

KRIL is engaged in the business of real estate and property services.

* Buying/ selling/ renting of properties

* Identifying valuable investments opportunities in the real estate

sector

* Facilitating financial support for real estate and investments in

properties

* Real estate portfolio advisory services.

KRIL is your personal real estate advisor guiding and hand holding

you through real estate transactions and offering valuable investment

opportunities.

Building on the KARVY brand as a leading industry benchmark for

world class customer servicing and quality standards, KRIL brings to

investors a reputation of reliability, dependability and honesty. Our

understanding of the needs and preferences of our clients and our teams

of qualified realty professionals help us to establish fruitful relationships

with buyers and sellers of properties alike.

A single stop shop for realty services offering:

* Transacting Options: Choose to buy, sell or rent properties

(residential and commercial)

* Investing Options: Give your investments a good opportunity with

properties marketed by KRIL.

* Financing Options: Get unmatched deals for financing your

investment

* Research Options: We undertake valuation and feasibility studies,

area analysis and customized analysis on behalf of clients.

KRIL has ongoing relations with builders and developers across the

country which will help you place your investments in the most genuine

properties for a good value appreciation at the right place and at the right

price. KRIL is committed to the guiding principles of quality, timely service

delivery, fair pricing, transparency and integrity.

KARVY INSURANCE BROKING PRIVATE LIMITED –

At Karvy Insurance Broking (P) Ltd. we provide both life and non-life

insurance products to retail individuals, high net-worth clients and

corporate. With the opening up of the insurance sector and with a large

number of private players in the business, we are in a position to provide

tailor made policies for different segments of customers. In our journey to

emerge as a personal finance advisor, we will be better positioned to

leverage our relationships with the product providers and place the

requirements of our customers appropriately with the product providers.

With Indian markets seeing a sea change, both in terms of investment

pattern and attitude of investors, insurance is no more seen as only a tax

saving product but also as an investment product. By setting up a

separate entity, we would be positioned to provide the best of the

products available in this business to our customers.

Our wide national network, spanning the length and breadth of India,

further supports these advantages. Further, personalized service is

provided here by a dedicated team committed in giving hassle-free

service to the clients.

KARVY PORTFOLIO MANAGEMENT SERVICE LIMITED –

KARVY is a premier integrated financial services provider, and ranked

among the top five in the country in all its business segments. KARVY

owes its success to its professionally managed team of experts, who have

been chosen from some of the most reputed institutions and firms across

India.

In today's intricate and volatile market your investment requires

constant monitoring and attention. The demand made on your time and

energy by other business may not leave you with capacity to attend to

your personal portfolio with the degree of care you deem appropriate. We

at KARVY understand your situation and offer PMS services taking the

same level of care and attention you would devote to monitoring your

portfolio.

Green Wallet is an Endeavour specially designed by Karvy to enhance

the wealth of a niche segment of investors. This service primarily meant

for HNIs (High Net worth Individuals) offers customers a wide range of

schemes. These unique schemes seek to achieve higher returns through

broad based participation in equity markets. This is achieved by creating a

diversified equity portfolio of small, medium and large capitalized

companies.

KARVY DEPOSITORY SERVICES LIMITED –

Stock Broking Limited provides depository services to investors as a

Depository Participant with the National Securities Depository Limited

(NSDL) and Central Depository Services (India) Limited (CDSL). The

Depository system in India links Issuers, National level Depositories,

Depository Participants and Clearing Houses / Clearing Corporation of

Stock Exchanges. Our demat services are accessible through any of our

network of over 575 branches / investor service centers located in over

375 cities and towns across the country.

Our demat services business has the distinction of having all its

operations ISO 9001: 2000 certified with state-of-the-art technology and

operations capabilities. Our demat services has innovated over time and

we provide online access to account statements and transaction alerts

through SMS to its clients.

KARVY’s Demat services offer you a secure, convenient and paperless

way to keep track of your investments in shares and other security

instruments over time, without the hassle of handling paper based

transcripts.

We provide the following services:

* Dematerialization of Shares

* Dematerialization of Shares

* Transfer of Shares

* Pledging of Shares

* Electronic Custodial Services

* Maintenance of Beneficial Holdings

* Electronic Credit against Corporate Actions

QUALITY POLICY OF THE COMPANY:-

To achieve and retain leadership, Karvy shall aim for complete

customer satisfaction, by combining its human and technological

resources, to provide superior quality financial service, in the process,

Karvy will strive to exceed customer’s expectation.

Quality Objectives:-

As per the quality policy, Karvy we’ll:

Build-in-house processes that will insure transparent and

harmonious relationship with its clients and investor to provide high

quality of services.

Establish a partner relationship with its investors service agent and

vendors that will help in keeping up it commitments to the customers.

Provide high quality of work life for all its employees and equip

them with adequate knowledge and skills so as to respond to customer’s

needs.

Continue to uphold the values of honesty and integrity and strive to

establish unparalleled standard and business ethics.

Use state-of-the art information technology in developing new and

innovative financial products and services to meet the changing needs of

investors and clients.

Strive to be a reliable source of value-edit products and services

and constantly guide the individuals and institutions in making judicious

choices of same.

Strive to keep all stakeholders (share holders, clients, investors,

employees, suppliers and regulatory authorities) proud and satisfy.

STRATEGY OF THE COMPANY:-

Karvy believes that the foremost ingredient for success in the has been

the co-operation ability to continuously evolve both organizational

structure and product offerings, thereby remaining on the cutting financial

services.

Karvy believes that three capitals viz., financial, human and technology,

would drive the financials services sector in the future and draw the

boundaries for achieving leadership.

Karvy believes that customized solutions are now the key drivers for

market share and profit margins.

DEVELOPMENT ACTIVITIES:-

Karvy has sought to broaden the scope of its activities by examining all

sectors of the economy and by introduction new concepts, new

instruments and in some cases new institution to response to perceived

needs. In this regards, karvy developmental activities have encompassed

such diverse areas as financial investment, insurance, depository

participant’s services, skill development activities etc.

It has also been a pioneer in setting up PAN. TAN services, and also

setting up specialized institution in certain key sections.

1. TIN facilitation centre.

2. Stock broking centre.

3. Financial centre.

4. Banking centre.

5. Registrar of the issues.

A separate department is present with the sole intent of providing

financial services to various charitable, educational and social

welfare organizations.

ACHIEVEMENTS:-

Largest mobilize of funds as per PRIME DATABASE.

First ISO- 9002 certified Registrar in India.

A category- 1- Merchant banker.

A category- 1- Registrar to public issues.

Ranked as “the most admired Registrar” by MARG

Handled the largest –ever public issue-IDBI.

Handled over 500 public issues as Registrars.

Handling the reliance account, this accounts for nearly 10 million

account holders.

First depository participants in Andhra Pradesh.

Major issues managed as arrangers:

o Kerala state Electricity Board.

o Power Finance Corporation.

o A.P. water resources development corporation

o A.P. state electricity board.

o Haldia petrochemicals Ltd.

Major issues managed as co-managers.

o Indus land Bank Ltd.

o ICICI Bonds-March97.

o ICICI Bonds-dec.97.

o ICICI safety Bonds-April 98, July98, Oct.98, Dec.98, Jan.99.

o The Jammu & Kashmir BankLtd.

Major issues handled and registrar to issues.

o IDBI equity

o Morgan Stanley mutual fund

o Bank of Baroda

o Bank of Punjab Ltd.

o Corporation Bank.

o Indus land Bank Ltd.

o Jammu & Kashmir Bank Ltd.

o Housing and Urban development corporation (HODCO) Ltd.

o Madras Refineries Ltd.

o BPL Ltd.

o Birla 3M Ltd.

o Essar shipping Ltd.

o Essar stels Ltd.

o Hindustan Petroleum Corporation Ltd.

o Infosys technologies Ltd.

o Jindal Vijay Nagar Steels Ltd.

o Nagarjun fertilizers and chemicals Ltd.

o Rajshree Polyfil LTD.

KARVY SECURITIES LTD

Karvy has secured over Rs. 500 crore in the following debt issues

Andhra Pradesh Road Development Corporation Ltd.

ICICI Bonds ( Private placement )

ICICI Bonds-96.

ICICI Bonds- 97-I

ICICI Bonds-97-II.

ICICI Safety Bond-March 98.

ICICI Bond 96.

IDBI Flexi Bond-I

IDBI Flexi Bond –II

IDBI Flexi Bonds –III

Kerala state electricity Board.

Krishna Bhgya Jala Nigam Ltd.

Power Finance Corporation Ltd.

Andhra Pradesh Water Resources Development Corporation

Andhra Pradesh state Electricity Board.

OVERVIEW OF DEMAT ACCOUNT

DEMAT ACCOUNT:-

Demat account is very much similar to saving current account of a bank,

with the only difference being that it deals with securities in electronics

form and not money .’’A demat account is just polite farewell to paperwork

and a warm welcome to greater efficiency and for that matter, security. A

Dmat account a unique, capital-market-investor-oriented

Benefits of the Demat account:-

No loss of share certificates.

No delay in transfer of shares.

No possibility of forgery on various document dealing to bad

deliveries, legal disputes.

No possibility of theft of share certificates.

No prevalence of fake certificates in the markets

No mutilation or loss of share certificates in transit.

You can also receive your bonuses and rights into your depository

account as a direct credit, thus eliminating risk of loss in transit.

You can also expect a lower interest charge for loan taken against

demat shares as compared to interest for loan against physical

shares .this could result in a saving of about 0.25% to 1.5% some banks

have already announced this .

RBI has increased the limit of loans against dematerialized

securities as collateral to rs.2 mn per borers as against Rs.1 mn per borers

in case of loans against physical securities.

RBI has also reduce the minimum margin to 25% for loans

dematerialized securities as against 50% for loans against physical

securities

DEMAT SERVICES OF KARVY

DEMATERIALISATION

Dematerialisation is a process in which you can convert physical

share certificates into electronic shares. Shares should have been

transferred in your name / joint names before sending it for

dematerialisation.

You have the option to hold shares either in the physical OR in the

dematerialized form. This is as per the Depositories Act, 1996.However,

when you buy shares you may receive delivery in the demat form as per

the option of the seller.

REMETRIALISATION:

It 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. The DP

enters the request in its system which blocks the client’s holdings to that

extent automatically. The Issuer / R& T agent then prints the certificates,  

dispatches the same to the client and simultaneously electronically

confirms the acceptance of the request to NSDL. Thereafter, the client’s

blocked balances are debited.

PLEDGE:

To deposit personal property as security for a personal loan of money. If

the loan is not repaid when due, the personal property pledged shall be

forfeit to the lender. A client (pledged) having a beneficiary account with a

Depository Participant can pledge securities in electronic form against loan

/ credit facilities extended by a pledge, which too has a beneficiary

account with a Depository Participant.

HOW TO OPEN KARVY DEMAT ACCOUNT

Step 1. Account opening forms are available at all karvy centers fill up

the account opening form and submit the same with some formalities. If

your shares are held in joint names, the account should be opened in the

same order of names.

Step 2. An account number will be allotted to you which have to be

quoted in all your future demat related correspondence with Karvy.

Step 3. Submit a dematerialization request form (DRF) for the conversion

of the shares certificates into electronic form.

Step 4. After the necessary verification has been done by the registrar/

company, an appropriate entry is made into your demat account.

FORMALITIES THAT ARE REQUIRED TO BE COMPLETED TO OPEN A

ACCOUNT:-

To open a Depository Account, you have to submit the

duly filled in Account Opening form along with the following documents:

Residential Proof - Copy of Ration Card, Passport, Driving License,

Telephone Bill, Electricity Bill or Rental Agreement

Photo Identity Proof - Copy of Driving License, Passport or Ration

Card

Why to open a demat account with karvy?

Karvy is India’s premier financial institution. It was setup in1982

and today has and first depository participants ,no.1 registrar and ISO

9002 company in India .And also has many achievement with over 10 lakh

investors having entrusted to keep stock there. Moreover, you have the

convenience of operating you demat account from any of the karvy

centers spreading across 46 cities in India

Online Demat service in karvy: -

Karvy provide facility to online demat services

Karvy’s electronic Custodial Services are:

Convert your physical holding into electronic holding (which is

called "dematerialisation" of securities)

Keep custody of your holdings in electronic form.

Transfer the shares in the electronic form from one account to

another.

Facilitate pledge of your electronic securities.

Give electronic credit of new share allotments such as public issues,

bonus, rights etc.

Convert your electronic holding into physical holding (which is

called "rematerialisatoin of securities.

Buying and selling of shares by karvy’s Demat account:

After you open an account with karvy, you can buy and sell shares in

electronic form .in order to sell shares in the demat mode you need to

provides your depository with the number of shares sold by you.

When you share in the depository mode, you must, similarly provide

the depository with the details so that shares purchased will be credited to

your account. It is advisable to give a standing instruction at the time of

account opening to automatically receive the credit to your demat

account.

The debit or credit to your account is affected immediately after the

se

Benefit by selling demats shares:-

Brokers have no fear of bad delivery while selling demat shares. Due to

this, they offer lower brokerage to you.As bad deliveries are eliminated

shares is not returned due to objections, resulting in saving of costs and

follow up.

Why should I buy shares in the demat form”:-

The single biggest reason over buying shares in the physical form is that

demat shares credited to your account within 2 to 3 days after the end of

the settlement. This is unlike the average 30 to 40 days taken in receiving

back physical shares from the R&T Agent and sometimes with

objections.Further; possibility of loss or theft of the certificates is

eliminated. This is in addition to the 0.50% stamp duty savings, which

works out to Rs.50 for transfer of shares worth of Rs.1ttlement...

By demat account you can get following facilities:-

Transaction statement: you can view transaction in your account

for a period of 15 days. Various options are available in transaction

statement when you want.

Status of request: you can also get status of your transactions by

status or Requests.

Personal details: provides your various client related information

like client name, client address, joint holders name, account type, bank

account details for a give client id.

Customer ledger: all your financial transactions pertaining to your

demat account like Bills, Payments, waivers etc. are available in customer

ledger.

How will I know that karvy has updated my account after each

transaction?

Karvy will provide you a statement account periodically.

DRF

In order to get your shares converted from the physical to the electronic

form, you have to submit your certificates alongwith a request form asking

for the conversion. This request form is called a DRF or a Demat Request

Form.

DEPOSITORY SERVICE CHARGES FOR RESIDENTS RETAIL CUSTOMERS AND CORPORATE:

S no. Charge Head Standard

Charges

Frequent/

Sub-brokers

1. A/c opening. Rs. 100 Rs.100

2. Annual service charge. Rs.300 RS.1250

3. Custody Fee( an A/c with ISINs

will be assume to have one

ISIN)

Rs.2.25 per ISINs

per quarter

RS.2.25 per

ISIN per

quarter

4. Agreement stamp paper As per respective

state Act

As per

respective

state Act

5. Buy- Market and Off-market

(%of transaction value of each

ISIN)-maximum rs. 500/- for

debt instrument.

0.02 %( Min. Rs.

20)

Nil

Sell –market and off – market

(%of transaction value of each

IsIN)-Max Rs. 500 for debt

instrument

……………………

…..0.04%( Min

Rs.10 ) for each

instruction

………………...

0.02% (Min

Rs. 5 ) for

each

instruction

6. Rejection / fails. Rs. 20 Rs 10

7.Extra charges for processing of

TIFDs Submitted late (%of

transaction value )

* On the execution date

(accepted at clients risk )

Rs.10per IsIN / R. 10 per ISIN

8. For each request form. Rs. 35 Rs. 35

9. Extra for each certificate. Rs. 2 Rs.2

10. Dematerialization. Rs.20 Rs.20

11. Closure of account. Nil Nil

12. Pledge creation / closure/

confirmation/ invocation (%Of

value for each ISIN in each

request).

o.o2 % ( Min

Rs.20)

0.02% (Min

Rs. 20)

13. Addition account statement. Rs.20 Rs.20

NSDL CHARGES ARE CHARGEABLE EXTRA AT ACTUAL .PRESENT NSDL

CHARGES ARE:

Sell-Market and Of - Market Rs. 8/-per debit instruction nil for

commercial paper and short term debt

instruments.

Remat Rs. 10/-per certificate

Pledge Creation Rs.25/-per instruction

Custody Fee( on the basis of

ISINs in the account on the last

Saturday of each month)

Rs. 1/-per ISINs

The value of shares and charges and calculated as per NSDL

formula and rates.

There will be a charge of Rs.100/-for dishonor of any cheque . The

depository services are liable to discontinuation if Karvy is unable to

recover charges from the customer, for any reason whatsoever. There will

be a charge of Rs. 100/- resumption of services in such cases.

Any service, which is not mentioned above, will be charge

separately as per the rates applicable from time to time.

Karvy reserves the right to revise the tariff structure from time to

time with a notice of 30 days. The notice may be given by ordinary post or

by an advertisement in a national daily.

RESEARCH METHODOLOGY

The main objective of a research is to find out the truth which is hidden

and which has not been discovered. According to advance learner’s

dictionary of current English the definition of research is:-

“A careful investigation or enquiry especially through search for new facts

in any branch of knowledge”

1. Marketing research :-

Marketing managers often commission formal marketing studies of

specific problems and opportunities. They may request a market survey, a

product preference test, or an advertising evaluation.

Marketing research is the function which links the consumers, customers

and public to the marketer though information- used to identified and

define marketing opportunities and problems, generate ad evaluate

marketing actions :- monitor marketing performance and improve

understanding of marketing as a process.

Effective marketing research includes five steps, which should be kept in

mind to conduct a marketing research in a perfect manner.

a. Define the problem and research objective.

b. Develop the research plan.

c. Collect the information.

d. Present the findings.

Types of research

The customer research was carried out in two phases:

a. An exploratory research was carried out to know what customer looks

for in financial company and whether customers are satisfied or not with

there products

b. the other was a diagnostic study to identify the factors responsible for

satisfactions or dissatisfaction of customer .

SOURCES OF DATA

The data needed data this study has been collected from two main

sources :-

1. Primary sources.

2. Secondary sources.

Primary data has been collected through wall –structured Tele

marketing, campaigning, direct interview method.

Secondary data has helped in collecting information regarding history of

the company, division of the company etc. of market position of other

financial companies

TOOLS USED

Whatever we design of research study it is necessary to

collect relevant data. theus it is useful to consider methods of collecting

data and the quality of information produced,

a. Questionnaires:- It is the basic methods of collecting data in

marketing research . Questionnaires are the basis method of collecting

data in marketing research. Questionnaires are distinguished by the facts

that asking question to people who have the desired information collects

data. When questioning researches collects data ask questions. They keep

track of the objects or actions in which they are interested. Sometimes

individual makes the observation on the other occasions mechanical

devices note and record the desired information.

In this study the data was collected by means of questioning since the

method of observation is also used for checking the awareness regarding

the financial products.

The questionnaires were filled by using tested personal interviews.

b. Contact methods:- to get information contacts is necessary it can

be either by telephone or by personal contacts. I prefer personal interview

method to get the necessary information from the people. The data was

collected through personal interview by asking the questions.

c. Telemarketing:- To get information I also use this method by

calling them through telephone in their homes, offices, institutions etc.

and made them aware from the demate and the financial product.

OBJECTIVES OF THE PROJECT

1. To know the opinion of the consumer regarding the demate and

financial product.

2. To know what consumer look for while denmating their shares.

3. To know the satisfaction/dissatisfaction level of consumers towards

the financial companies.

4. To know the factors responsible for the satisfaction/dissatisfaction

of the consumers

5. To know the potential market of the karvy.

SIGNIFICANCE

This area demands maximum benefits at minimum cost. An

investor as to decide in this electronic trading environment where he is

sake with his share holding and where we can get best service at

minimum cost. So my study is about whether the consumer is satisfied

with all these services that he is getting from different depository

participant in Morena and Gwalior

Consumer satisfaction can be defined as more that expected that is

one get more what he is expecting. So an investor finds himself satisfy

when he get services at there home and in the because share market is

the moist volatile market.

LIMITATION

Due to short time I was not able cover all area.

Not financially support given by the company.

Due to lack of awareness and interest on the part of respondents

created problem in the collection.

DATA COLLECTION:

I collect the data through questionnaire, which is fill up by the people of

the Morena and Gwl. City. the purpose of data collection is know the

satisfaction of customer towards the Demat services in Gwalior .The

questionnaire is fill up the 75people.

In data collection I asked the some question about the satisfaction of

customer toward the demat services.

DATA ANALYSIS

I have analyzed the data in following manner using following satisfaction

and dissatisfaction grounds:-

1. Choosing criteria.

2. Dissatisfaction ground.

3. Rating among companies.

4. No of a/c opened in Morena.

SAMPLING APROACH

There are basically two approaches to sampling:-

a. Probability Sampling.

b. The sampling for the Customer’s Survey was selected by random

sampling. Random number was generated for selecting the sample. A

sample size of 50 customer’s survey.

c. Description of the coverage.

I have covered the local area of Morena.

CUSTOMER SATISFACTION

1. Name 2. Gender

3. Occupation

4. Age

Yes No

60% 40%

60%

40%

0%

10%

20%

30%

40%

50%

60%

70%

Yes No

Series1

B) Do you know about the demat account ?

Yes No

40% 60%

40%

60%

0%

10%

20%

30%

40%

50%

60%

70%

yes No

Series1

(C) Why do You invest in share market?

90%

10%

00%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Profile ForGeneral

Investment

Other (TaxSavings)

Series1

D) What do you think Demat account is safe?

Yes No Can’t say

Profile For general investment

Other(tax saving)

90% 10% ---

40% 20% 40%

40%

20%

40%

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

yes No can't say

Series1

D) Why you choose Karvy Demat service?

Good will Charges Service Safety

25% 30% 20% 25%

25%30%

20%25%

0%5%

10%15%20%25%30%35%

Series1

E) What type of Karvy Demat service?

Highly satisfy Satisfy Dissatisfy

60% 30% 10%

60%

30%

10%

0%

10%

20%

30%

40%

50%

60%

70%

highlysatisfy

satisfy Dissatisfy

Series1

F) Reason for Dissatisfaction:-

Charge Less Awareness

Lack of Trading

Recently

5% 20% 70% 5%

5%

20%

70%

5%

0%

10%

20%

30%

40%

50%

60%

70%

80%

Charge

s

Less

awar

eness

Lack

of T

radin

g

Recently

Series1

Comparative study of Demate Account investment (occupational investment)

OCCUPATION INVESTMENMT

Service group 45%

Business group 40%

Other 15%

Comparative study Demat account awareness*(Age group)

Age group Awareness

20-30 year 20%

30-40year 40%

More than 40 year 40%

FINDINGS

1. People are interested in share market by but they are not much

aware about the share market procedure.

2. The money problem with share market a big problem

3. Trading problem is also a big problem.

4. Other group people like agricultural are not aware and interested in

share market.

RECOMMENDATIONS

The detail study of the project idea to the following recommendation:-

1. The company should come up with some good strategies to create

awareness among people regarding the financially Demat.

2. The company as soon as possible should try to convert itself into a

bank so that many people come in contract and joint with company.

3. They should try to provide some extra services to their customers.

4. The company should concentrate more on after sales services.

CONCLUSION

Concerning my project title “CONSUMER SATISFACTISFACTION

REGARDING DEMAT SERVICES IN MORENA” the survey conducted by

me as I found that the consumer satisfactions the only way for the success

of any organization in the present time. And I came to the following

conclusion which is as follows –

1. Response was very good from the customer regarding financial

product because in this time every one wants more return on less

investment and in case of demat they want true time to open the demat

( like at the time of issues ).

2. Karvy gaining good response in the demat field by providing good

services.

3. I concluded by this that research that services and returns got more

importance than goodwill.

4. In the last six month it has opened the maximum number of Demat

account at the time of new public issues than any other companies.

5. I also conclude that many financial services at one place is the

another reason of its popularity .

BIBLIOGRAPHY

Books:

1. Sharma D.D. Marketing Research, 3rd Edition, Publication Sultan

Chand & Son Publication.

2. Kothari C.R. Research Mythology, 3rd Edition, New age Publication.

3. Kotler Philip Marketing Management, millennium Edition, Prentice

Hall inc. Publication.

4. Kanuk & Shiftmen, Consumer Behaviour, 4th Edition, Tata Mc Graw

Hill Publcation.

Websites:-

www.karvy.com

www.nsdl .com

Magazines:

Business world.

News paper

Business line.