Revised Kotak Securities Ltd1

7/21/2019 Revised Kotak Securities Ltd1

http://slidepdf.com/reader/full/revised-kotak-securities-ltd1 1/33

SUBMITTED BY:

Name: RACHIT KAKKAR

MBA-IB (2014-2016)

ENROLLMENT No: A1020141!1

INDUSTRY "UIDE : #ACULTY "UIDE:

MR$ SHANTANU SIN"H MR$ NITIN "AR"

TERRITORY HEAD AIBS

KOTAK SECURITIES LTD

AIBS

AUU%

1

& COM%ARATI'E ANALYSIS O# KOTAK SECURITIES ITH

OTHER STOCK BROKIN" #IRM

AND

STUDY O# CONSUMER BEHA'IOR TOARDS STOCK MARKET



TABLE O# CONTENTS

S$*o %a+,./a+ %ae *o$

1 E3e./,e /mma+5 !

2 O7e.,e 6

8 Reea+.9 Me,9ooo5 ;

4 I*/,+5 %+o<e =

! Com>a*5 %+o<e 10

6 Com>e,,o+ 1;

; Com>a+a,e A*a5 O< 'a+o/ S,o.? B+o?* #+m 1

Da,a A*a5 80

= SOT A*a5 8=

10 #** 40

11 Re.omme*a,o* @ S/e,o* 41

12 Co*./o* 42

18 Bo+a>95 48

14 A**e3/+e 44

2



INTRODUCTION

“Investment is that the employment of funds on assets with aim of earning returns/income or

capital appreciation. The term investment refers to the commitment of funds at the moment timein anticipate of some positive rate of come back in future course of your time. Completely

different instruments square measure out there to speculate for investor’s like equity shares

debentures/ bonds mutual funds etc. The capitalist will get data regarding their investment from

institution monetary markets media etc. This study tries to review investment behavior of

individual capitalist available market of !epublic of India. In past investment was restricted to

property gold and schemes of banks however currently wide investment opportunities square

measure receptive the investors consistent with their wants. the speed of come back and risk

related to the investment play vital role decide the investment. so it"s necessary to understand the

investor’s preference concerning that specific investment instrument he needs to speculate and

why#$

“% e&change may be a place wherever long run capital is raised by the business and commerce

government and native authorities and its considered capital market. 'tock e&changes square

measure a part of the capital market that provides a marketplace for the shares and loan that

represent the capital once it"s been raised. %n e&change may be a place wherever the securities

square measure oversubscribed associated purchased at an in agreement value. Indian e&change

is that the oldest e&change incorporated in ()*+. The name of the primary share commercialism

association in !epublic of India was ,ative 'hare and 'tock -roker %ssociation that later came

to be referred to as urban center stock market.$

“There is growing competition between brokerage companies in post reform !epublic of India.

or investors it’s continuously troublesome to come to a decision that brokerage companies to

settle on.$

“Therefore the most purpose of this study is to understand the comparative analysis of kotak

securities with alternative stock broking companies with relation to account gap charges %C

charges brokerage rate 0amp1 inclusion of services and to seek out out or study

investors/consumers preference for numerous investments significantly equities. % survey is

conducted to gather information concerning the study. The study additionally aims to seek out

3



the factors touching the investment behavior of individual investors like their reason for

investment period of investment most popular securities etc$

RESEARCH METHODOLO"Y

“The research conducted was e&ploratory and as well as conclusive in nature and the database

was gathered through primary and secondary sources in order to fulfill the ob2ectives.

The Collection of primary information observing the market trends analysis of real time

interaction with short term and long term investors.$

&De.+>,e Reea+.9 De* was used which clearly indicates that the study is all about a

certain characteristic of individuals 3investors4 towards investment in stock market.$

SAM%LIN" DESI"N

TY%E O# SAM%LIN"

!%,56 '%78I,9

SAM%LIN" TECHNIUES:

C6,:;,I;,C; '%78I,9

SAM%LE SIE: +<

METHODOLO"Y

“=uestionnaire method is adopted to collect the feedback. % set of structured questionnaire was

prepared to collect the feedback from customers. I visited the location in person to collect thefeedback and have interactions with the respondents for getting their views that may otherwise

not be reflected in the questionnaire. The 5ata was collected from customers to know their

perception on the investment through >otak securities. 'econdary data was collected for

comparative analysis.$

4



DATA COLECTION

• 'et of 'tructured questionnaire for the customer

• ?ournals

• @ebsites

•

,ewspapers

%RIMARY SOURCE:

“The data required for this stage was regarding the detailed study of the consumer behavior

towards stock market. The data have been collected in the form of structured questionnaire that

was prepared.$

The above questions were really helpful in the conclusion part of the study. 'ome consumers

were very cooperative but some didn’t even bother to give a look. 6verall the study was a

success far as primary source was concerned.$

SECONDARY SOURCE:

’The secondary data was collected with the help of various books bank 2ournals websites

brochures and employees of the >otak securities.

LIMITATIONS O# THE STUDY

(. The survey is conducted in only one city 35elhiA,C!4

B. There might be errors in the e&pression of opinion of respondents due to their personal bias.

.

OBECTI'ES

5



The ob2ective of the study is briefly discussed belowA

A To make comparative analysis/study to know the different companies account opening charges

%C charges 0 inclusion of services.

A To know the prescribed brokerage rates collected by brokerage companies.

A To study the consumer trading behavior

ATo know the strength and weaknesses of >otak securities.

ATo find out ways and means to improve the services of >otak securities.

6



ACTI'ATION BROKERA"E OTHER CHAR"ES AND SER'ICES O# 'ARIOUS

STOCK BROKIN" COM%ANIES

CRITERIA KOTAK SECURITIES LTD

5emat %/c opening charges ,I8

Trading %/c opening charges !s. *+<

%ccount maintenance charges 3%C4 irst year free !s. D<</yr

-rokerage

IntradayA <.<+EF

5eliveryA <.+EF

3inimum brokerage4A !s. B(

Trading argin facility

IntradayA *A) times

5eliveryAGA+ times

rate of interest B<F /annum

ode of trading 6nline. offline

Call and trade facility irst B< calls free afterwards !s. B( per call

'oftware installation charge 3>eat 7ro H4 ,I8

utures brokerage <.<+EF

6ptions trade brokerage !s. (<< per lot

5ematerialiation !s.+</A per request and !s.J/A per certificate

!ematerialiation !s.(+ per request K ,5'8 charges

'ources http//www.kotak.com/sites/default/files/downloadAforms/generalLtariffL(.pdf

http//www.chittorgarh.com/stockbroker/kotakAsecurities/(B/

7

http://www.kotak.com/sites/default/files/download-forms/general_tariff_1.pdf

http://www.kotak.com/sites/default/files/download-forms/general_tariff_1.pdf



CRITERIA ICICI DIRECT


Trading %/c opeing charges !s. E*+

%ccount maintenance charges 3%C4 irst year free !s. D<</ annum 3!s +<< for

customers receiving eAmail statements4

-rokerage

IntradayA <.J*+F

5eliveryA <.*+F

3inimum brokerage4A !s. J+


GA+ times of available funds

rate of interest () F /annum


Call and trade facility irst B< calls free afterwards !s. B+ per call

'oftware installation charge 3trade racer4 ,I8

utures brokerage <.<+<F

6ptions trade brokerage !s. E+ per lot

5ematerialiation !s.+</A per request and !s.J/A per certificate

!ematerialiation !s B+ for every hundred securities or partthereof sub2ect to ma&imum fee of !s

J<<<<< or

a flat fee of !s B+ per certificate whichever ishigher.

'ources http//www.icicibank.com/managedAassets/docs/personal/demat/,'58ArateAcard.pdf

http//www.chittorgarh.com/stockbroker/icicidirect/(/

8

http://www.icicibank.com/managed-assets/docs/personal/demat/NSDL-rate-card.pdf

http://www.icicibank.com/managed-assets/docs/personal/demat/NSDL-rate-card.pdf



CRITERIA HD#C SECURITIES


Trading %/c opening charges !s. EEE

%ccount maintenance charges 3%C4

ree first year

8evel (A !s.*+<3less than (< t&ns48evel BA !s. +<<3b/w (< to B+ t&ns4

8evel JA !s. J<<3greater than B+ t&ns4

-rokerage

IntradayA <.(<F

5eliveryA <.+<F

3inimum brokerage4A !s. B+


5epends upon available funds



Call and trade facility A

'oftware installation charge 3subscription

charge4

3-8I,> 4!s. JEEE/ annum


6ptions trade brokerage !s. (<< per lot

5ematerialiation !s.+/A per certificate K !s. J+/A per request

!ematerialiation !s.J</A per request K actuals Currently a4 !s.

(</A for every hundred securities or partthereof1 or b4 a flat fee of !s. (</A per

certificate whichever is higher

9



CRITERIA SBI CA% SECURITIES


Trading %/c opening charges !s. )+<


ree first year !s J+< holding less than +<k

!s. (<< if holding b/w !s. +<k to B lac!s. J+< if holding greater than !s. B lac

-rokerageIntradayA <.<*+F5eliveryA <.+<F


) times of the available funds

rate of interest (B.+ F /annum


Call and trade facility A


charge4

'-I smart &press 3,I84


6ptions trade brokerage

!s. (<< per lot 35elivery4

!s. +< per lot 3Intraday4

5ematerialiation !s.+/A per certificate K !s. J+/A per request

!ematerialiation !s. J+ K !s.(< for every (<< shares or partthereof or a flat fee of !s.(< per certificate

whichever is higher

10



CRITERIA S9a+eK9a*


Trading %/c opening charges !s. *+<


ree first year !s G<< afterwards

-rokerage

IntradayA <.(<F

5eliveryA <.+<F

inimum brokerageA!s.(D


) times of the available funds



Call and trade facility ,I8


charge4

Trade tiger 3,I84

utures brokerage <.(<F

6ptions brokerage

!s (<</A per lot or B.+F on premium 3which

ever is higher4

5ematerialiation !s.J/A per Certificate or !s.(+/A per request

whichever is higher.

!ematerialiation !s.B+/A 7er certificate or <.(B F of the value of the securities requested for !ematerialisation

whichever is higher.

11



CRITERIA Rea+e e./+,e ,


Trading %/c opening charges !s. +<<


ree first year !s J<< afterwards3 5igitally statements4

!s. G<< afterwards3 7hysical statements4

-rokerage

IntradayA <.<+F

5eliveryA <.+<F



rate of interest B(F /annum


Call and trade facility !s. (</A would be levied per offline e&ecuted

order with a ma&imum of !s.+</A per day in a

particular segment.


charge4

65I, 5I;T 3,I84

utures brokerage <.+<F


!s *</A per lot

5ematerialiation !s.B/A per Certificate

!ematerialiation !s B</A per request K ,'58 Charges

12



CRITERIA IDBI Ca>,a


Trading %/c opening charges !s. *<<


!s. J+<3I5-IA'- Customers4!s. B+<<3,6, I5-IA'- Customers4

-rokerage

IntradayA <.<)F

5eliveryA <.+<F



rate of interest BBF /annum


Call and trade facility ,I8


charge4

7ower pro 3;H;4 !s.B<<< /annum

utures brokerage <.<)F


!s. (<</A per lot

5ematerialiation !s.+/A per Certificate

rematerialiation !s B</A per transaction

13



SOT ANALYSIS O# KOTAK SECURITES LTD

Conversation with industry guide employees and team members of kotak securities and on the basis of research study and my own work e&perience in kotak securities as an intern below

mentioned points are the '@6T analysis of >otak securities ltd.

STREN"THS

• The biggest strength is the tag of >otak being one of the largest groups in the finance sector.

• 7rovide wide range of inAdepth equity research reports and recommendations covering

specific scrips companies sectors.

• %ggressiveness of the sales department in selling products.

• The company has e&pertise and e&perience in managing big business.

• ;ffective and wider distribution network.

• It has a wide network of more than ((+) branches franchisees representative offices and

satellite offices across J+B cities in India and offices in ,ew Mork 8ondon 5ubai

auritius and 'ingapore.• 7rocess over +<<<<< trades a day which is much higher than some of the renowned

international brokers.

• 7roduct designed for every area of personal.

• The company en2oys a very high brand loyalty and recall value among its customers.

• The company has a presence in all metros as well as in the most of the ma2or cities in the

country.

EAKNESS

• 8ess presence in the rural and semiAurban segment.

• 8ack in creating followAups.

14



• 8ack of corporate agents.

• 8ack of client services and promotional activities.

O%%ORTUNITIES

• There is continuous growth in this sector.

• 7eople have started turning towards the organiation as they know that facilities are much

better than the others.

• arket is fully vacant to capture.

• -ranch e&pansion to more rural areas.

THREATS

• Competition in the sector is increasing in the entry of lots of private giants with the

collaboration of foreign giants.

• 'elling attitude for the company always has to be maintained in order to compete with

other companies.

• %s other organiations like ICICI direct sharekhan N5C securities etc are there in the

city so is a little bit difficult for them to capture the market.

•

arket scenario is changing dayAbyAday i.e. market is fluctuating therefore this makes investors hard toinvest

15



DATA ANALYSIS

6n the basis of research survey using questionnaire with an ob2ective to study the factors

affecting the trading behavior of the investors towards stock market the following observations

were made

O* ,9e a o< Demo+a>9.

I*,e+>+e,a,o*:

@hen respondents were given set of questionnaire and through the response got most

people fall in the age group of B<AJ< years which is G)F followed by J<AG< yrs of age

group i.e GG F.

I*e,o+ ,+a* e9ao+

16



I*,e+>+e,a,o*:

Through the above data I conclude that most people around JDF prefer to invest in

shares/equities followed by insurance plan and real estate.

#a.,o+ a<<e.,* .o*/me+ ,+a* e9ao+

17



I*,e+>+e,a,o*:

%s we see the above data the factor which most attracts the people to invest in stock

market is high return i.e GBF followed by high liquidity and diversified portfolio.

Co*/me+ >+e<e+e*.e F9e *e,* * a+o/ e./+,e

I*,e+>+e,a,o*:

18



%ccording to the above data most consumers like to trade in equities i.e DBF followed by

mutual funds.

I*e,o+ ,+a* e9ao+ ,oFa+ .om>a*5 >+o<e

I*,e+>+e,a,o*:

%ccording to the survey EDF people said company profile matters while investing probably

because a strong brand image of a company is presumed to be successful in its future endeavors

and consumer feels that their money is safe and will get high returns.

Im>o+,a*, e+.e >a+ame,e+ ,9a, .o*/me+ oo? <o+ * a* *,e+mea+5 <+m

19



I*,e+>+e,a,o*:

or most customers !esearch report and recommendations is the key parameter that they look in

intermediary firm followed by low brokerage charges and other services like call trade facility

margin trading mobile app trading software after market open facility etc.

I*e,o+ ,+a* >/+>oe

20



I*,e+>+e,a,o*:

%ccording to the above data around G< F of people do trading to generate a specified sum of

money for a specific goal in life.

I*e,o+ ,+a* >+e<e+e*.e

21



I*,e+>+e,a,o*:

6n the basis of research most people like to trade in delivery basis which is )BF and

trading preference for intraday and future 0 options it’s very small.

Co*/me+ +eao* <o+ *o, *e,* * ,o.? ma+?e,

I*,e+>+e,a,o*:

%ccording to the data collected the ma2or reason for not investing in stock market is due

to volatility and high risk of the stock market which is +BF followed by reasons such as

need assistance and need more knowledge.

I*e,o+ >+e<e++e moe o< *e,me*,

22



I*,e+>+e,a,o*:

%ccording to the survey EBF consumers prefer to invest in online mode rather than

offline.

Co*/me+ *e,me*, e.o* F9e ,+a*

I*,e+>+e,a,o*:

23



%round J)F consumers take their investment decision on their own followed by financial

consultants and family members.

I*e,o+ ma* o/+.e o< *<o+ma,o*

I*,e+>+e,a,o*:

%ccording to the survey most consumers source of information is newspaper/magaine which is

GBF followed by internet advertisement or articles.

I*e,o+ /+a,o* o< *e,me*,

24



I*,e+>+e,a,o*:

%round +)F consumers like to invest their money for duration more than + yr followed

by BA + yrs.

I*e,o+ ,+a* e9ao+ a<<e.,e 5 ma+?e, moeme*,

I*,e+>+e,a,o*:

25



It can be interpreted that ma2ority of investor’s investment pattern i.e *)F will affect if there is

any change in the market. arket movement is very important factor for changing in investment

pattern.

Co*/me+ Sa,<a.,o* ,oFa+ ,9e+ *,e+mea+5 <+m

I*,e+>+e,a,o*:

%ccording to the data *<F of consumers who are with kotak securities are satisfied with the

services and rest J<F are not.

#INDIN"S

26



The -rokerage charges of >otak securities ltd is lightly higher than that of other firms

which are providing low brokerage to their customers. ost consumers falls in the age group of B<AG< yrs of age and for most consumers

equities/shares is their preference investment option.

ost people like to trade in equity than any other securities because of low knowledge on

securities market. ost consumers invest in stock market because of high return and for over long period of

time to get ma&imum return. or almost every consumer companies profile matters a lot because strong brand image

of a company is presumed to be successful in its future endeavors and consumer feels that

their money is safe and will get high returns. or most consumers research and recommendations 3advisory role4 is an important

service parameter which they look in intermediary firm. or a beginner %dvisory role play an important service parameter while for professionals low brokerage is important.

ost consumers invest in stock market to generate a specified sum of money for a

specific goal in life. Consumers like to trade on delivery basis and preference mode of investment is online

because of convenience time saving and safety. Nigh volatility and high risk is the main reason for not investing in stock market.

ost consumers take investment decision on their own followed by financial consultants

and their source of information on stock market is newspaper/magaine.

Consumers like to invest for long duration that is for more than + years. a&imum number of consumers investing pattern is affected by change in the market

movement and most consumers are satisfied with their stock broking firm.

RECOMMENDATIONS AND SU""ESTIONS

;&isting customers should be provided better responses and services so that by there

good word of mouth company will get more customers.

27



%dvertisement should be given in the newspaper and magaines related to business

management service electronics media and business world as these are the most

effective tool for awareness. %wareness should be created among the prospective client.

-rokerage charges should be reduced or should be at par with other stock broking firms. Mounger people aged between B<AG< years will be a key customer group into the future so

making greater efforts with younger customers who show some interest in investing should pay

off.

7romotional activities should be organied to create awareness about the products and

services offered by the company. 'till most people are unaware on how online trading is done so company should make

online portal site more user friendly so that more and more people know about trading

and demo videos should be uploaded of trading for ease of access.

There is large untapped market so company needs to focus on semiAurban and rural areas.

'ales team must be fully equipped with latest technology such as using laptops that can

be used for making presentations to the customers especially to corporate clients about

their products and services provided by them.

7rocessing of opening of accounts take around (G days which should be reduced to JAG

days for better customer service. The customers should be updated with new issues and schemes and regular contact with

the customers through telephone can be maintained for smooth running of the business.

% proper feedback system should be designed to take care of the dissatisfied customersand solving their problem as their bad word o mouth publicity can make kotak securities

ltd lose its potential as well as e&isting customers.

6ther recommendations

'trong need of brand building

7romotional strategies 'ocial network required to develop the business further

28



CONCLUSION

The brokerage charge of kotak securities is slightly higher than its competitors mostly by

small firms so as to attract more customers.

:olatility of stock market and wide open to changes in e&ternal forces makes it much

more difficult for people to consider them as an investment alternative.

29



The right kind of campaigning directed increasing the awareness of people would get

new customers and also retain customers.

>otak securities ltd is currently one of the biggest broking houses in the country and its

strategies to penetrate further into the market will certainly take it way ahead of its

competitors.

BIBLIO"RA%HY

o/+*a a+,.e:

!akesh N . % study on individual investors behavior in stock market of India.

International 2ournal in management and social science B3B4 (D+A(*G B<(G

ano2 >umar. % 'tudy of Customers’ 7reference towards Investment in ;quity 'hares

and utual unds. International ?ournal of ;ducation and 7sychological !esearch B3B4

E+A(<< B<(J

Boo? Re<e+e*.e

!avi . >ishore. inancial management Ta&mann’s B<<+ p.)E*AE<+

e,e:

30



www. kotaksecurities .com

www.icicidirect.com

http//www.sbismart.com/

www.sharekhan.comwww. hdfcsec .com

www. idbipaisabuilder .in

http//www.religareonline.comwww. chittorgarh .com

ANNEGURE

'O!:;M =O;'TI6,,%I!;

6n 'tock arket

=(4 In which age group do you fall#

a4 less than B< yrs b4B<AJ< yrs c4J<AG< yrs d4G<A+< yrs e4+< 0 above

=B4 where do you prefer to invest your money#

a4 i&ed deposits b4shares c4mutual funds d4real estate e49old f4Insurance plan

=J4 what are the factors which attract your investment in stock market#

a4 Nigh return b4diversified portfolio c4low investment d48iquidity

=G4 In which securities do you like to trade#

a4 ;quities b4-onds 0 debentures c4derivatives d4mutual funds

=+4 5oes companies profile matters for investment decision in stock market#

a4 Mes b4 ,o

31

http://www.kotaksecurities.com/


http://www.icicidirect.com/

http://www.sbismart.com/

http://www.sharekhan.com/

http://www.hdfcsec.com/


http://www.idbipaisabuilder.in/


http://www.religareonline.com/

http://www.chittorgarh.com/



http://www.icicidirect.com/

http://www.sbismart.com/

http://www.sharekhan.com/



http://www.religareonline.com/




=D4 @hat is the most important service parameter that you look in intermediary firm while

trading#

a4 8ow -rokerage charges b4 account opening charges 0 %nnual maintenance charges

c4!esearch report and recommendations d4 other services 3call and trade facility mobile

app %fter market open4

=*4 @hat is the purpose of trading#

a4 To earn return on idle resources b4 To generate a specified sum of money for a specific goal in

life c4 inancial support d4 To make a provision for an uncertain future

=)4 @hat type of trading you prefer to do#

a4 Intraday b4 5elivery based c4 uture 0 options

=E4 !eason for not investing in stock market#

a4 ,eed assistance b4 need more knowledge c4 not enough funds d4 do not invest in stock

market because of volatility and high risk

=(<4 what is your preference mode of investment#

a4 6nline b4 6ffline

=((4 who takes your investment decision#

a4 amily members b4friends c4financial consultants d4myself e46thers

=(B4 what is the source of information#

a4 brokers b4newspaper/magaine c4internet ads d4financial consultants

=(J4 what is the duration of your investment#

a4 8ess than ( yr b4(AB yrs c4BA+ yrs d4+ yrs 0 above

=(G4 5oes investment pattern affected by market movement#

a4 Mes b4 ,o

32



=(+4 %re you satisfied with the services of your current stock -rokering firm#

a4 Mes b4,o

Revised Kotak Securities Ltd1

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Transcript of Revised Kotak Securities Ltd1