Project Part One

INDUSTRY PROFILE

CAPITAL MARKET

Capital Markets play a major role in a country by providing finance to the companies for

operating their businesses. These markets also provide the liquidity option to the shareholders

to pay back the shares to take money out of the market. Any investor is willing to invest in

the stock, only if they have the option to liquidate and this is only provided through capital

market.

Capital Market is the market for securities, where companies and governments can

raise long-term funds. It provides financing to meet the denomination, liquidity, maturity, risk

(with respect to credit, interest rate, and market), and other characteristics desired by those

who have a surplus of funds and those who have a deficit of funds.

History of the Indian Brokerage Market

The Indian broking industry is one of the oldest trading industries that had been

around even before the establishment of the BSE in 1875. Despite passing through a number

of changes in the post liberalization period, the industry has found its way towards

sustainable growth. The evolution of the brokerage market is explained in three phases:

pre1990, 1990-2000, post 2000.

The equity brokerage industry in India is one of the oldest in the Asia region. India had an

active stock market for about 150 years that played a significant role in developing risk

markets as also promoting enterprise and supporting the growth of industry. Historical

records show that as early as 1864, there were about 1,000 brokers with the stock markets

functioning from three places in Mumbai; between 9 am to 7 pm at the junction of Meadows

Street and Rampart Row, from day break till 9 am and from 7 pm to early hours of next

morning at Bazargate. A Report on stock markets around that time indicates that an ordinary

broker in 1864 earned about Rs 200 per day, a huge sum in those days. The boom period

came to an abrupt end in 1865.

Indian brokerage industry dates back to 1850s, but started growing strongly in the

1990safter the creation of the regulatory body, the Securities Exchange Board of India (SEBI)

and incorporation of NSE. But competition is intense as there are far too many brokers -

almost double the number of Brokers in the US - competing for a much smaller market. The

brokerage market is largely retail and the retail investors are spread across the country (with

majority from Mumbai). Online trading channels can play an important part in catering to the

regional spread and has indeed shown good growth

In 1602, the Dutch East India Company became the first publicly traded company in

which shareholders could own a portion of the business. The stocks improved the size of

companies and became the standard bearer for the modern financial system.

During the 1900s, stock brokerage firms began to move in a direction of market makers.

They adopted the policy of quoting both the buying and selling price of a security. This

allows a firm to make a profit from establishing the immediate sale and purchase price to an

investor. The conflict with brokerage firms setting prices creates the concern that insider

trading can result from the sharing of information. Regulators have enforced a system called

Chinese Walls to prevent communication between different departments within the brokerage

company. This has resulted in increased profits and greater interconnection within the

financial industry.

India in Global Markets

The stature and significance of India is growing in the world capital markets. India is not only

attracting greater interest from world markets, but is also assuming increasing importance in

global finance.

India is a major recipient of foreign institutional flows amongst the emerging

markets. Since the opening up of domestic stock, markets to foreign investors,

cumulative net FII Investments reached Rs 517 Bn by 2008 end.

India is major destination of private equity flows into the emerging markets

India was host to the annual meetings/conference of the World Federation of

Exchanges (2005) and International Organization of Securities Commission

(IOSCO) (2007)

India emerged a trillion dollar market capitalization market in 2007, and was

among the top 10 stock exchanges in the world in terms of market capitalization

India is amongst the top fifteen stock exchanges in the world in respect of equity

turnover

India emerged as a leading player in commodities futures market

India is amongst the top five in the number of transactions

India is among the top five in respect of volume traded in Stock Index Futures and

Stock Futures

India is one of the few markets with extensive dematerialization of shares

India’s T+2 securities settlement cycle is at par with the global standards

Indian stock markets have the largest number of listings, with trading taking place

in about 2,500-3,000 stocks.

India’s most popular stock index (Sensex) is constructed on the basis of full float

methodology, one of the firsts in the Asian region and a global standard.

Indian market indices such as Sensex and CNX Nifty are listed in foreign

exchanges for trading as ETFs.

Recent Trends

Global risk aversion is unwinding and Confidence levels returning, being reflected

in performance of the indices.

Liquidity and credit flows improving

Political stability and India re-rating

FII and Domestic Flows resuming, USD 7bn FII inflow in April & May

Secondary volumes showing early signs of uptrend, average daily volumes of Rs

800 bn vs. 620 bn in previous year

COMPANY PROFILE

Background and inception of the company

TRUSTLINE SECURITIES LTD was founded in the year 1995 as a K&A SECURITIES

PVT LTD by Dr. Mukesh Kansal at Noida in Uttar Pradesh and it was registered under the

company act of 1956. Trustline securities are professionally managed group headed by the

directors, having vast experience in the stock market. Beside the core promoters, the group is

having its full fledge teams headed by young and dynamic professionals like charted

accountants, company secretaries, MBAs, IT professionals etc to handle the various divisions

of the company.

Trustline securities is a Member of the National Stock Exchange (NSE), Trustline

security is a Member of the Multi Commodity Exchange (MCX), National Commodity and

Derivative Exchange (NCDEX), National Multi Commodity Exchange of India Limited

(NMCEIL), to trade in commodities market and it as also started currency trading after

becoming the Member of National Stock Exchange (NSC), (MCX-SX). Trustline has entered

into Depository services in the business participation with Central Securities Depository

Limited (CSDL), National Securities Depository Limited (NSDL) and it has also started the

Derivatives trading after becoming a Trading cum clearing Member of NSE in its Future and

Option segment.

Trustline have a worldwide vision and it along with its associates is currently

providing state of the art stock broking services through all the major stock exchanges, they

provide all the services are available under the one roof and they are fully equipped with all

modern infrastructures to carry on its activities and all branches are well connected through

the VPN, Lease line, ISDN, Internet and other network facilities. All of its operations are

computerised through the advanced technologies. All branches are ultra modern, hi-tech, well

furnished and fully computerized, driven by the well-qualified professionals. With its ability

to evolve with changing environment the company has been able to put itself to the forefront

of stock broking activities. With its network spreading across various parts of India, it has

made a distinct mark among the stock broking the stock broking houses and high net worth

corporate as well as individuals.

Nature of the business carried

The nature of the business carried by TRUSTLINE Securities ltd is related with the

various things like Portfolio Management Services, Mobilization of Mutual Funds, and

Commodities Broking, Marginal Funding as well as Equities Research and online media.

TRUSTLINE Securities Ltd plays a key role in India Capital Market by giving different

financial services to the investors. Securities broking is a core part of the Trustline Financial

Services Group offerings. Trustline offers broking and distribution of a range of financial

products and services.

Vision

“To provide world class investment solutions to the class of investors who believe in 'India

as a story whose time has come and empower them through technology'. To provide the most

Trustline securities ltd

Equity Trading

Commodities Trading

Currency Trading

Depository Services

Derivative tradingReal Estate Services

Insurance Advisory Services

Mutual Fund Trading

IPO Services

useful and ethical Investment Solutions - guided by values driven approach to growth, client

service and employee development.”

Mission

“To empower individual investors to take control of their financial lives, free from the high

costs and conflicts of traditional stock broking firms. And to guide all our investors to enlarge

their investments by systematic deployment of funds”

Objective

“We endeavor to be amongst the top ranking highly networked & fully integrated Broking

and Financial services house in the country”

Services offered by TRUSTLINE Securities Ltd

Equity

Derivatives

Insurance

Commodities

Mutual Funds

Currency Trading

IPO Services

Depository Services

Investment Advisory Services

AREA OF THE OPERATION

TRUSTLINE Securities Ltd was incorporated in 1995 at Noida in Uttar Pradesh.

Initially in 1995 Trustline became the member of NSE equity segment and also gained

membership in DSE. And in 2000 TRUSTLINE Securities Ltd became the member of future

and option segment in NSE and also became the member of NCDEX in 2004. TRUSTLINE

Securities Ltd became the member in BSE for feature and option segment in the year 2006.

And in 2007 it started online trading and became the member of NMCEIL. Membership in

currency trading was gained in the year 2008 and also TRUSTLINE Securities Ltd became

the participant of NSDL in year 2009. And in 2010 Trustline Ltd became the member of

MCX-SX.

TRUSTLINE Securities Ltd is performing its operation as a one whole organisation in

India. Total branches all over India is 510 branches which includes 80 Own Branches,430

Business Associates, 3500 Human work force, 1200 Trading Terminals, 80,000 Demat

Accounts, and70,000 Clients, some of the Prominent Institutional Clients are.

FIIs clients are Goldmansachs, Credit - Suisse, Indea Absolute Return Fund,

and KARMA Capital.

DIIs clients are Unit Trust of India (UTI), Reliance Mutual Fund, Punjab

National Bank (PNB), TAURUS Mutual Fund, Canara Robeco Asset

Management Company, National Insurance Company and CANBANK

Investment Management Services.

Banks are PNB, PNB GIITS, OBC, Central Bank, Canara Bank, Dena Bank,

Bank ofIndia.

The primary focus of TRUSTLINE Securities Ltd. is to cater to services in Capital

Market Operations to Institutional Investors. The Company is a member of the National

Stock Exchange (NSE) and OTCEI. Trustline operates from 80 own branches with 430

business associates about 510 locations across India and has a presence in 510* cities and

towns controlling 1200* business locations all over India.

Branches of TRUSTLINE Securities Ltd is as given below

OWNERSHIP PATTERN

The ownership pattern means the management level people who hold and lead the business

activities like Board of Director, Company Secretary Etc.

TRUST LINE is one of the fast growing financial service providers, which act as an

intermediate between the clients and the company and selling of securities. Trustline is now

been converted to Ltd company from Pvt Ltd. Dr. Mukesh Kansal is the chairman of the

company at present and owns all shares of the company. By the end of this year they will

issue IPO.

Trust line Securities Pvt. Ltd: Promoters, Management Team and Business partner

Promoters

Dr. Mukesh Kansal Chairman & Managing Director

Management Team

Mrs. Sarika Kansal Director

Mr. Vinay Gupta Director

Mr. Siddhartha Chatterjee Country Head

Mr. Sanjay Verma Strategy and Operations

Mr. Rajiv Kapoor Head Commodities

Mr. Amit Goel Head Compliance

Mr. Mayank Goel Head Finance

Our Business Partner

Mr. P N Vijay

Competitors Information

There are several financial security companies playing their roles in Indian equity market.

TRUST LINE is one of the fast growing financial service providers, which act as an

intermediate between the clients and the company and selling of securities. Since the growth

of stock trading is tremendously increasing in recent years, so most of the financial

institutions are been established in India. Due to this growth most of the investment centers

faces competition from may investment firms both domestically and internationally. And here

are some of the companies TRUSTLINE face competitions.

India bulls financial services ltd.

Blue diamond securities and finance ltd.

Fortune financial services India ltd

Peerless financial services ltd

Bonanza financial services ltd

India info line ltd

JM financial.

Infrastructural Facilities

Trustline Securities Pvt. Ltd has good infrastructure facilities towards the technical and

fundamental activities to customer and employees. The company has offices located at prime

location in Mumbai, New Delhi, Kolkata, Bangalore and Chennai. The offices are centrally

located to cater to the requirements of institutional and corporate clients and retail clients, and

for ease of operation due to proximity to stock exchange and banks. Today they are located in

more than 1200 branches all over India.

There are air- conditioners, proper lighting and ventilation and Tele communication

facilities.

Good network: TRUSTLINE Securities Ltd is using the servers manufactured by

IBM its own server to store the datas related to their clients and also to have a better

network facility.

Proper accommodation for its employees: Employees has been provided with better

seating facility for their work, along with the better desktop to trade.

Client support through remote control: Clients are intimated immediately about

any negative or positive movements in their trade, they are intimated through instant

messages and by calling the clients.

Excellent back office software: Back office software is the most required for a

broking house to provide service efficiently, TRUSTLINE Securities Ltd in well

equipped by best back office software to comfort their employees and clients.

In - House Call Centre: Quick & Efficient Client Support Each and every branch of

TRUSTLINE Securities Ltd is having call centre with well trained and efficient

employees to support client.

Research centres: There are separate research team forms each city locations across

India, to facilitate the customers.

Employees are provided with cafeteria to refresh themselves and the organization

gives utmost importance to o\preserve the interests of their employees. There are

proper ventilation, air conditioners, and telecommunication facilities.

Televisions are screened all around the office to facilitate their customers and

employees to know about the financial situation of different stocks and country.

Seating facilities have been done for their clients, and they are also provided with

magazines, and newspapers.

WORK FLOW MODEL

Search for new client

Gather client information

Approach to the client

If the client is interested to open a Demat Account and trade

If the client is not interested to open a Demat Account and trade

Collect the client details and required documents

Stop here and return to

Sending the details to the head office for registration

Registration process

Call to the client from Head office

Client will call to the local branch

The equity trading procedure at Trustline starts from the process of searching of new

clients by employing the agents appointed by HR manager, and also by taking the references

from the existing clients including other data base like online. After collecting the

information regarding the prospective clients like Business clients, retired persons and other

personals. The step after searching new clients is to collect the information of clients related

to their economic status and capacity of the client to invest. The further step after collect

client based information is to contact the client either through telephone conversation or in

person to convince the client to invest in particular area. Information regarding the

investment procedure is explained before entering the contract. If client is not interested,

agent has to return back, or if client is interested the next procedure is to collect all required

documents like PAN card, Address proof, two passport size photos, and blank cheque from

the client. After collecting the required documents the next step is to send all the documents

of the client to the head office for verification and registration purpose which will take a time

period of seven days. If the confirmation received from head office is negative it has to be

reconfirmed from the client, if the confirmation is positive client will be informed regarding

this and then client is intimated to start trading if he has online account or if client has offline

account the trading is done by the broker of the company, by offering various incidental

services at the concerned branch. Clients may approach local branch in personal or call the

branch to trade.

FUTURE GROWTH AND PROSPECTS

The company is exploring all steps to improve business through extensive efforts.

Since growth of capital market in general has opened up increased opportunities. Trustline is

planning to expand its distribution network across India. And Trustline is planning on to

focus insurance advisory services and currency trading. Trustline is planning to build strong

foundation for Trustline academy and Trustline real estate service. Trustline is aiming to

focus on retail and institutional investors by providing more services and building strong

research team in technical and fundamental analysis. Trustline is focusing on satisfying client

Start trading

needs by providing innovative products which satisfies specific needs of customers. Trustline

is dedicated on providing best services for their customers by using best available technology.

MCKINSEY’S 7’S MODEL

INTRODUCTION

A framework for Strategic Management, which has received substantial attention of

management consultants and strategists, is McKinsey 7-S framework developed in the late

70’s by McKinsey Company, a reputed Management Consultancy firm in US. The 7-S

frameworks first appeared in “The Art of Japanese management” by Richard Pascale and

Anthony Athos in1981. It was born at a meeting of the four in 1978. The framework rests on

the proposition that effective organizational changes is best understood in terms of the

multipart relationship between strategy, structure, systems, style, skills, staff, and shared

values.

The proposition of the 7-S model suggests that there are multiple factors which

influence an organization’s ability to change and its proper mode of change. Since the

variables are interconnected, significant progress cannot be made in one area unless

corresponding progress is made in other areas too. The relevance of the model to strategic

management is based on the 7-S which stands for policy areas vital to long terms

organizational success.

The McKinsey 7S model involves seven interdependent factors which are categorized

as either "hard" or "soft" elements. "Hard" elements are easier to define or identify and

management can directly influence them: These are strategy statements; organization charts

and reporting lines; and formal processes and IT systems. ."Soft" elements, on the other hand,

can be more difficult to describe, and are less tangible and more influenced by culture.

However, these soft elements are as important as the hard elements if the organization is

going to be successful.

Hard Elements Soft Elements

Strategy

Structure

Systems

Shared

Values

Skills

Style

Staff

Strategy

Strategy sets out vision, mission, objectives, major action plans and policies of the

entire enterprises. These set out the picture of the strategy, the Strategic Business Unit (SBU)

strategy and the functional strategies. This set out a broad frame work to guide managers at

all levels in all functions in their specific short term objectives. The 7-S framework

emphasizes hat in practice, the development of strategies poses less of a problem than their

execution.

There are different types of strategy followed by Trustline and some of them are explained

below:-

Cost strategy

The strategy of Trustline Securities Ltd is to provide best possible services to their

customers at lower cost. Trustline provided brokerage charges for their clients’ minimum of

0.03% for intraday and 0.05% for delivery. So this cost strategy has made Trustline more

effective which helps them to attract more number of customers and to achieve cost

leadership.

Trustline Securities Ltd is charging lower fees for opening accounts for trading when

compared with other brokerage houses. Trustline charges Rs 300 for creating offline account

and Rs 400 for online account, so this has empowered Trustline efficiency and thus achieve

its goal more effectively.

Innovation Strategy

It is strategy where the companies’ competitive advantage lies with its new findings

and methods. The company outperforms its competitors by offering products and service by

using its innovation and new creation.

Trustline main focus is on concentrating on customer needs, so Trustline is

improving its product menu, by increasing number of different products. Trustline is

concentring on product that satisfies specific need of customers. And as so Trustline has

bought the scheme of making demat accounts at lower costs and offering special discounts to

create demat accounts during special occasions.

Trustline Securities Ltd has got insurance broking, and other insurance related

services which are effectively satisfying specific needs of customers.

Focus Strategy

Trustline securities Ltd mainly believes in its performance and hence it concentrates

more in making its performance more effective and thus achieves its goal more efficiently.

They undergo market research process before they start up a new branch and also in the

existing branch areas, in order to avoid any future losses and also analyse what actually the

customers prefer in that particular area and thus fill in those loop holes which the other

brokers have.

Trustline focus on customers like business professionals, software professionals and

students concentrates on satisfying their needs. Trustline securities have adopted many

promotional strategies to attract customers in order to gain market leadership.

Structure

In the context of 7-S framework structure is an addition to the organizational tool kit.

It is comparable with the super-structure of an organization, which indicates to why extent

the activities are specialized and the ways in which the organizational tasks are integrated and

coordinated.

Organizational Structure of Trustline Securities Ltd is as follow

Chairman and Managing Director

Executive Director

Non Executive Director

Company Secretary

Chief Operating Officer

Chie Financial Officer

Chief Compliance Officer

Chief Technology

Officer

Regional Manager

Branch Manager

AutomationFinance Accounts

DEMATAccount Opening

MarketingTrade CRM

Zonal Manager

Regional Managers’ for compliance, Financial,

Operating, Technology, Marketing, Human resource and R&D

Executives Front Office Back Office

System

A system means all the procedures, formal and informal, that make the organization go

day-by-day, year-by-year. The organization is an open system organization because they

interact with environment. The developments in Information System are working wonders in

all fields of activity. It becomes possible to send and receive information almost

instantaneously. Rapid strides have been made by Trustline Securities Pvt. Ltd in the field of

computerization Mini-Computers, Online Computerization of product dispatch and finance

and give product details to customers.

Accounting System:

Financial statements are prepared under the cost convention on an accrual basis and

comply with the accounting standards refer to section 211(3c) of the companies Act 1956.

Organized set of manual and computerized accounting methods, procedures, and controls

established to gather, record, classify, analyse, summarize, interpret, and present accurate and

timely financial data for management decisions.

Broadridge is the software application used by Trustline securities Ltd to maintain

financial data’s. Broadridge's Securities Industry Software’s (SIS) Brokerage Accounting

System (BAS) is a real-time, integrated processing system that automates brokerage

accounting and back office functions.

Following are the major components of the BAS System:

Account Master

BO

Manager Manager

FO

Manager

Dispatch

BOFOBOFO

FO BO

Used to establish and maintain accounts within the SIS system. Each account type has

a specific account range associated with it. Many different types of accounts can be set up,

such as customer, broker/dealer, clearing, inventory, vendor, and transfer agent and

reconciliation accounts.

ACH

The ACH (Automated Clearing House) module allows Trustline customers to

electronically transfer funds to their checking or savings accounts.

Tax Reporting

Broadridge/SIS systems provide extensive tax reporting capabilities, at the state,

federal and global levels. Reporting choices are widely parameterized, and can be customized

to meet the needs of the firm, clients, and products.

System Control

Provides various security-related, parameter-driven functions which allow Trustline

to customize the system to suit operation and management needs.

Staff

The term “staff” carries a specific meaning in the 7-S framework. It refers to the way

organizations induct young recruits into the mainstream of activities and the manner in which

they manage their product as the new entrants develop into managers.

TRUSTLINE Securities Ltd follows centralised recruitment process, which is most

beneficial to the organisation. It reduces the average cost of recruitment per candidate will be

relatively less due to economies of scale. This method has gained TRUSTLINE Securities

Ltd to have skilled employees with good knowledge and talent. It helps interchange ability of

staff among various units/zones. It enables the organisation to have centralised selection

procedure, promotional and transfer procedure, etc. It ensures the most effective and suitable

placement of candidates.

At present Trustline comprises of 3000 employees around India. At present Trustline

Malleshwaram head office there are 42 skilled workers and 6 unskilled workers, along with 7

research analysts, 1 branch manager and 2 Assistant managers.

Skill

‘Skills’ refers to the ‘distinctive competence’ which reflects the dominant skills of an

organization, and may consist of competence in terms of engineering skills, or competence in

the area of new product development, customer service, quality commitment, market power,

and so on. Trust line Securities Pvt. Ltd has personnel with a variety of skill like technical

and non technical for different field.

The company Stock Broker is trained and provided with skills to deal with customers

personally to know their needs and wants. Employees of Trust line are evaluated based on

passion, ambition, innovation, diligence, team work. In order to assess the same, company

uses a combination of interviews and psychometric assessment as part of section process.

Recruitment is not based solely on academic achievements. Company is seeking to

appoint candidates who satisfy a broad range of criteria in terms of their ability to make a

positive and on-going contribution to the organisation.

The Trust line Securities Pvt. Ltd has personnel with varied skills. The sales

department needs personnel with technical skill. The marketing department needs sale skill,

communication skill, convincing capacity. The Agency Manager and Sales Manager should

have the managerial skill. They should have the ability to take right decisions. They should

manage the personnel and make them to carry out their responsibility.

Style

Style is another variable, which may determine the effectiveness of organizational

change effort. The style of an organization becomes evident through the patterns of action of

the top management team over a period of time, the emphasis laid on aspects of business,

reporting relationships and aspects of organizational culture.

The Trustline Securities Pvt. Ltd is basically a participating and democratic type of

leadership style. Before taking any decision a meeting is conducted and the final decision is

taken with the consent of all. Every employee gets chance to file his/her opinion. Every

employee can participate in decision making of the organization. The final decision is taken

with consent of all. It does not take any decision unilaterally.

Since every employee’s ideas and opinions are taken by the managers before arriving at

a final decision effective decisions can be taken. Managers are evaluated on the basis of

quality of their decision making.

Leadership style of managers in Trustline Securities Limited is to treat customers with

dignity, respect and care and consistent efforts to improve our skill and services to serve the

customers better. Managers of Trustline mainly focus on maintain discipline in the company

and give orders and instructions to their subordinate. Managers maintain unity and

communication in organization and also quickly respond to customer’s needs and their query.

Shared Values

Shared values in the Mc Kinsey’s model refer to the set of values and aspirations that

go beyond the formal statement of corporate objectives. In other words, these are

fundamental idea around which a business is built and which constitute its main values.

Shared values are also known as super ordinate goals.

All the members of the organization share the common fundamental idea and the

guiding principles around which the business is built. The fundamental idea is to make profit

by achieving excellence in the filled of security trading. These values and common goals

keep the employs working towards a common destination as a coherent team in satisfying the

customer.

Value system of Trustline is to conduct the business fairly, with honesty and

transparency. The most important in value system of Trustline is they show respect,

compassion and humanity towards colleagues and customers around the work and always

work for the communities they serve. All employees work cohesively with their colleagues

across the group and with the customers and building a strong relationship based on

tolerance, understanding and mutual co-operation. Trustline provides valuable guidelines to

their customers according to their specific needs.

SWOT ANALYSIS

SWOT analysis refers to the analysing the strengths, weakness, opportunities and

threats of the organization (company). SWOT is a compound of two factors namely external

factors and internal factors. Strength and weakness are the internal factors. Strengths and

weakness are the internal factor which can be controlled by the technical and personnel

departments. Opportunity and threats are the external factors which cannot be controlled by

the company. External factors may include political factors, socio-cultural factors. Technical

factors, Demography, Environmental factors etc.

STRENGTHS:

Company has good range of product and service caters to various financial

segments.

Good research team to provide information to clients

Latest technology is used to maintain quality to the fullest like Trustline uses

services from Broadridge to maintain accounting system, and also uses trading

software application from Omen sis which allows customers themselves to

recover their password.

Trustline securities ltd and K&A securities.com have developed into brands.

Dedicated and expertise staff.

Company has good management system, by retaining management

professionals having many years of experience in the financial sector.

WEAKNESS:

Lack of a banking arm to complete the bank-broker-depository chain.

Insignificant presence in institutional segment.

To the present market, the technology being used is not up to the standard.

There are strict and stringent SEBI procedures.

OPPORTUNITIES:

Changing demographics with higher disposable income and increasingly complex

financial instruments will drive demand for investment advisory services.

Rapid penetration of Internet and computers means that technology enabled financial

services will gain market share.

Target the rural and sub urban areas.

Company is planning to enter into Foreign Trade Markets

Changing mindset of customers towards stock market trading.

Phenomenal growth in secondary market volumes.

Technological improvement are been contributing to attract more personals towards

trading. (e.g. Mobile Trading)

THREATS:

Volatile movement in indices and events.

Increasing competition with respect to decreasing brokerage charges, (Ex: Reliance

capital entered with least brokerage in the industry)

Company survival mainly depends on client’s atmosphere and market trend.

Global competitors entering Indian markets.