Religare Final Report

7/25/2019 Religare Final Report

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A

PROJECT STUDY REPORT

ON

TRAINING UNDERTAKEN AT

RELIGARE SECURITIES LTD.

RELIGARE AT GROWTH & INDIVIDUAL INVESTMENT

PREFERENCE IN EQUITIES V\S

OTHER INVESTMENT OPTIONS

Submitted as partial fulfillment fr t!e a"ard f t!e de#ree f

MASTER IN BUSINESS ADMINISTRATION

SU$%ITTED $Y SU$%ITTED TO

%anis! Yada& Dr' Snal Jain%$A(I) SE% *ead f t!e Department

2007200!

DEEPS*IK*A CO++EGE O, TEC*NICA+ EDUCATION- JAIPUR

P"#$%#1


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Reli#are Se.urities +td' is ne f t!e leadin# s!are br/in# .mpanies- !a&in# its !ead ffi.e

in %umbai0 it !as its bran.!es in almst all t!e parts f India' T!e .mpan1 is nt 2ust a s!are

br/in# !use it is a "ealt! mana#ement .mpan1 "!i.! mana#es t!e "ealt! f its .lients'T!e .mpan1 !as appinted a lar#e number f fran.!isees a.rss India and treats its

fran.!isees as its business partner' T!e .mpan1 earns ma3imum f its re&enue t!ru#!

br/era#e'

T!e pr2e.t is 4R#'()%"# %* )"+,*- & (/((/1%' (#*3#* 4"#$#"## ( #51(*(# . +*-#"

(#*3#* +4*(+' As t!e title su##ests t!e basi. b2e.ti&e f pr2e.t is t !i#!li#!t Gr"t!

ser&i.es at An#el br/in# +td'

,r t!e purpse a sur&e1 "as .ndu.ted "!i.! in.luded &isitin# different br/era#e firms- as a

.lient and t!eir prdu.ts and ser&i.es "ere studied'

AC6NOWLEDGEMENT2


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I e3press m1 sin.ere t!an/s t m1 pr2e.t #uide- M". M1#- G14*%8 M%%)#3#* T"%(()

O$$(#"8 +$ /#4%"*3#*8 %* R#'()%"# S#1"(*(# L(3(*#/ fr #uidin# me ri#!t frm t!e

in.eptin till t!e su..essful .mpletin fr t!e pr2e.t' I sin.erel1 a./n"led#e !im fre3tendin# t!eir &aluable #uidan.e- supprt fr literature- .riti.al re&ie"s f pr2e.t t me "it! all

sta#es f t!is pr2e.t'

I "uld als li/e t t!an/ t!e supprtin# staff f Reli#are Se.urities +imited Department- fr

t!eir !elp and .peratin t!ru#!ut ur pr2e.t'

%anis! Yada&

DECLARATION3


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I M%(- 9%/%s5 M". M.C.9%/% !at t!e pr2e.t reprt title G"+,*- %/ I/((/1%

I#*3#*s pr2e.t reprt m1 ri#inal "r/ and t!is !as nt been used fr an1 purpsean1"!ere'

MANISH 9ADAV

%$A Part II

CERTIFICATE FROM COLLEGE4


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T+ W-+3 S+ E#" I* M%: C+#"

T!is is .ertif1in# t!at %r' MANISH 9ADAV !as prepared t!is pr2e.t reprt titled G"+,*- %/

I/((/1%' I#*3#*based n t!is pr2e.t stud1' T!is pr2e.t reprt is !is ri#inal "r/ and

it is submitted fr t!e fulfillment f t!e %$A De#ree'

6is! !im #d su..ess fr !is future .areer'

S+%' ;%(

7Pr2e.t Guide8

E


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O&er t!e last fe" 1ears- t!e Indian e.nm1 !as been slippin#' Cmpanies !a&e been s!a/en

up and are n" fa.ed t "a/e up frm t!e da1s f deep slumber' N"- as t!e tp e.!elns f

India In. sme t #rip "it! t!e .ntinuin# re.essin in t!e Indian e.nm1 and as t!e

prln#ed fall in demand a.rss industries be.mes mre e&ident- t!e md is subdued' A

ttal .!an#e f mindset !as ta/en pla.e- as t!e .!ieftains f .rprate India "a/e up and

.me t terms "it! realit1'

T!e Gr"t! ser&i.e !as als nt been alienated frm t!e effe.ts f "idespread re.essin and

is &1in# !ard t .pe "it! t!e e&er(.!an#in# en&irnment as "ell as .mpetiti&e aura' As a

result- t!e tri( .n&er#en.e- .mpetitin and .nslidatin- !as been .ntinuusl1 dminatin#

t!e Gr"t! se#ment- and t!e same p!enmenn is en&isa#ed in t!e frt!.min# 1ears as

"ell'

T!is "uld !"e&er mean "ider and better ser&i.es fr t!e .ustmers' T!e term 4Gr"t! and

Indi&idual In&estment Ser&i.e9 !as n" a.:uired a mu.! lar#er meanin# t!an 2ust dealin# "it!

prte.tin' ,r t!e past fe" 1ears- .mpanies !a&e been a.ti&el1 f.usin# n in.reasin# t!eir

distributin .!annels b1 intrdu.in# fa.ilities'

CONTENTS

6


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S.N+. P%"*(1'%" P%)# N+.

=. I*"+/1*(+ *+ *-# I/1*": >

2. I*"+/1*(+ *+ *-# O")%(?%*(+ =>

@. R##%"- M#*-+/+'+):

@.= T(*'# +$ *-# S*1/:

@.2 D1"%*(+ +$ *-# P"+#*

@.@ O#*(# +$ *-# S*1/:

@. T:4# +$ R##%"-

@. S%34'# S(?#

@.> M#*-+/ +$ S#'#*() S%34'#

@.7 S+4# +$ *1/:@. L(3(*%*(+ +$ *-# *1/:

@>

. FACTS & FINDINGS >

. SWOT ANAL9SIS ===

>. CONCLUSION ==

7. QUESTINORE ==

. RECOMMENDATION ==

!. APPENDI< ==!

=0. BIBLIOGRAPH9 =20

. I N T O D U C T I O N T O T H E I N D U S T R 9

+ife is all abut dreams and aspiratins' It is abut li&in# !appil1- nt 2ust tda1 plannin#

7


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fr a !app1 tmrr"' E&er1 persn in&ests in different in&estment a&enues fr plannin# fra better future' In tda1;s s.enari- different a&enues are a&ailable t t!e in&estrs'T!ese are

+ife insuran.e %utual funds General insuran.e ,i3ed depsits

,r t!e in&estrs it is ne&er eas1 t anal1


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$1 =>>- Tradin# Clubs !ad frmed- and in =B@= a #rup f traders raised @-@@@

punds t build t!e +ndn St./ E3.!an#e in Capel Curt' A similar pr.ess "as ..urrin# in

Ameri.a' $1 t!e earl1 =>@s man1 mer.!ants !ad be#un tradin# s!ares' Just as in +ndn-

t!ese earl1 traders ften met at .ffee!uses in an infrmal en&irnment'

In =>- $r/ers "! ea.! paid F@@ fr a tradin# seat si#ned t!e $uttn"d

Tree A#reement' T!is a#reement utlined t!e re#ulatins under "!i.! s!ares .uld be bu#!t

and sld' T!ese re#ulatins frmed t!e basis fr tradin# rules t!at still e3ist tda1 and led t

t!e frmatin in =B=> f t!e Ne" Yr/ St./ E3.!an#e' %u.! "ater !as passed under t!e

brid#e sin.e t!en and "e fr"ard all t!e "a1 t late =@s'

$1 late =@s- mst f t!e st./ e3.!an#es !ad been autmated- and t!e 4pen ut.r19

met!d f tradin# "as t!e t!in# f t!e past' %st st./ e3.!an#es be#an t use .mputers t

repla.e flr traders' ,lr traders ta/e p!ne and .mputer rders frm br/ers- and

ne#tiate a trade "it! st./ spe.ialists at tradin# statins n t!e tradin# flr' T!e internet

rders pla.ed b1 .lients are first pr.essed and aut!ri


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%ain b2e.ti&e f t!e pr2e.t is t find ut t!e strate#ies f different E($r/in# firms and

e&aluate t!em' Pr2e.t is abut t penetrate t!e .mpetitrs f ANGE+ $ROKING +TD

Cn.lusin f t!is pr2e.t .an #i&e an idea f strate#ies f different .mpanies "!i.! ma1 be

!elpful t t!e .mpan1' N" da1s all t!e br/in# .mpanies in India are tr1in# t establis!

t!emsel&es in t!e .mpetiti&e mar/et' T!e1 are intrdu.in# inn&ati&e mar/etin# strate#ies t

sur&i&e in t!e mar/et' %an1 t!er pri&ate .mpanies are l/in# t enter in t!e Indian $r/in#

mar/et 's it is &er1 essential t a .mpan1 t inn&ate t!eir mar/etin# strate#ies in terms f

6ell edu.ated and .apable empl1ee in t!e a#en.1

%ar/etin# f t!eir prdu.ts

Depl1ment f t!eir prdu.ts

Tar#etin# t!e ri#!t and ptential .ustmers

Differentiatin# frm t!er .mpanies

,uture plan f t!e .mpan1

T!is stud1 .nsists f t find ut t!e mar/etin# strate#ies f different $r/in# .mpanies "!i.!

are t!e .mpetitrs f ANGE+ $ROKING +TD'

INDIAN STOC6 MAR6ET

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T!ee ri#inatin f t!e Indian se.urities mar/et ma1 be tra.ed ba./ t =B>?- "!en

enterprisin# br/ers under a $an1an tree establis!ed t!e $mba1 St./ E3.!an#e 7$SE8

O&er t!e last =? 1ears- t!e Indian se.urities mar/et !as e&l&ed .ntinuusl1 t be.me

ne f t!e mst d1nami.- mdern and effi.ient se.urities mar/ets in Asia' Tda1- Indian

mar/ets .nfrm t internatinal standards bt! in terms f peratin# effi.ien.1'

S*"1*1"# %/ (?# +$ *-# 3%"#*

Tda1 India !as t" natinal e3.!an#es- t!e $mba1 St./ E3.!an#e 7$SE8 and t!e

Natinal St./ E3.!an#e 7NSE8'Ea.! !as full1 ele.trni. tradin# platfrms "it! arund

@@ parti.ipatin# br/in# utfits' ,rei#n br/ers a..unt fr f t!ese'

T!ere are sme H@@ .mpanies listed n t!e respe.ti&e e3.!an#es "it! a .mbined

mar/et .apitali


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T!e first ma2r ad&anta#e f tradin# nline is t!e abilit1 t !a&e ttal .ntrl &er nesin&estments' $efre t!e ad&ent f nline tradin#- in&estrs !ad t # t!ru#! a st./br/er inrder t bu1 and sell t!eir st./s' T!is pr.ess is tedius- .an ta/e up &alue able time and is.stl1' In additin t t!at- br/ers .an smetimes persuade in&estrs t bu1 and sell .ertainst./s be.ause f persnal reasns'

6!en in&estrs trades nline t!e1 !a&e ttal .ntrl f t!eir mne1' In additin t t!atin&estrs in&estrs !a&e t!e lu3ur1 f speed' T!e1 .an bu1 and sell st./s :ui./l1- "!i.! .an!elp t!em sa&e mne1' An e3ample f t!is is if in&estrs "ant t bu1 .ertain st./s at l"pri.e- b1 t!e time t!e1 .all t!eir br/er and e&entuall1 bu1 t!e st./ t!e pri.e .uld !a&ein.reased durin# t!at time perid' T!is same e3ample applies t "!en in&estrs "ant t sell ast./ at a .ertain time' 6!ile t!e in&estrs are .allin# t!eir br/er and t!e st./ is bein# sld-t!e pri.e .uld !a&e drpped' T!is .uld smetimes .st in&estrs t!usands f dllars' 6it!nline tradin#- peple .an bu1 and sell at t!e e3a.t time t!e1 .!se t d s be.ause it is 2usta muse .li./ a"a1'

Online tradin# is als benefi.ial be.ause it redu.es t!e .st f transa.tin' Instead fpa1in# br/er - "!i.! .an be &er1 .stl1 - in&estrs .an trade nline and pa1 a small fee tt!eir .mpan1' t!is sa&es t!e .ustmers frm !a&in# t pa1 .mmissin t t!e st./br/er',urt!ermre- sin.e9 t!e e3plsin f nline br/era#es !as dri&en t!e .st f transa.tins "a1d"n- tradin# nline is .!eaper t!an e&er' T!is is be.ause all t!e .mpanied are .mpetin# frbusiness .ntinue redu.in# t!eir .sts t attra.t .ustmers'

T!e last ma2r ad&anta#e f tradin# st./s nline is t!at mre infrmatin is a&ailablet!en e&er befre' In&estrs .an #et t!e mst up t date st./ :utes and .an rea.! an1.mpan1 t!e1 plan n bu1in# st./ fr' T!is infrmatin "as pre&iusl1 nl1 a&ailable tst./br/ers' 6it! t!e ne" te.!nl#1 t!e internet ffers- it is a&ailable t e&er1ne' 6it! t!isinfrmatin t!e in&estrs .an be.me mre edu.ated and ma/e #d de.isin n t!e st./st!e1 "ant t bu1 and sell' One su.! "ebsite t!at all"s users t #at!er infrmatin isute'.m' ute'.m !as #rap!i. .!arts t!at updates t!e in&estrs; prtfli t!ru#!ut t!eda1 and als lets in&estrs .reate 4"at.! lists9 r m./ prtflis t!at mnitr alternati&ein&estment ptins9' T!is means t!at .ustmers .an plan ut different in&estin# stratifies andsee !" t!se .mpare t t!e nes t!e1 are alread1 in&ested in' T!ese ad&anta#es !a&e.ntributed #reatl1 t t!e in.rease f tradin# nline'

D(%/%*%)# +$ +'(# *"%(()

One ma2r disad&anta#e "it! nline tradin# is t!at t!ere are man1 se.urit1 ris/s' T!e

internet is a "nderful but dan#erus pla.e t d business' *a./ers !a&e t!e abilit1 t a..ess

persnal infrmatin n an1ne "! !as e&er sear.!ed t!e internet- "!i.! in.ludes .redit .ard

infrmatin' T!is "as t!e main reasn a .mpan1 li/e C!arles S.!"ab "as relu.tant t start

tradin# nline' Alt!u#! t!e per.enta#e is small- t!ere is still a small .!an.e t!at !a./ers .an

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a..ess nes a..unt 7pri.e 8 .mpanies are ta/in# t!e mst serius pre.autins n t!is

matter'

Ant!er dra"ba./ t tradin# nline is t!at- "!ile .mpanies ffer trades t!at are :ui./

and n t!e spt- in a.tualit1 it .an ta/e up t se&eral !urs t .mplete r e&en nt t be

.mpleted at all' A..rdin# t t!e Se.urities and E3.!an#e Cmmissin- 4E(traders re#istered

mre t!an -@@ .mplaints in t!e = mnt!s ended in September =- a => per.ent

in.rease &er =B and nearl1 -@@@ per.ent !i#!er t!an in =>9' T!is means t!at !ere "as

an in.rease in prblems t!at t!e "eb sites "ere !a&in#' T!is .uld !a&e serius effe.ts n

in&estrs be.ause t!e1 .uld t!in/ t!e1 bu#!t a st./ r sld a st./ at a .ertain time but in

a.tualit1 t!e transa.tin re#istered late r nt at all .stin# t!at in&estr mne1'

T!e internet is unpredi.table and stable' One .an ne&er /n" "!en a "eb site "ill fail

In situatins "!ere t!ere is a prblem li/e t!isin&estrs .an usuall1 .all t!eir br/era#e firm

and t!e prblem is fi3ed ri#!t a"a1' *"e&er- t!e prblem "it! nline tradin# .mpanies is

t!at t!e1 are t lar#e and are nt 4easil1 rea.!ed b1 e(mail r p!ne9' T!is is t!e main

.n.ern fr nline br/era#e firms and t!e1 are tr1in# t!eir best t alle&iate t!ese prblems'

,inall1 t!e mst imprtant prblem "it! nline tradin# is t!at it is s :ui./ and eas1 t

ma/e transa.tin- t!at mne1 .an be lst 2ust as :ui./ and 2ust as easil1' Sme peple t!at

in&est nline d nt /n" !" t!e st./ mar/et "rds and t!in/ t!e1 .an 2ust in&est in

an1t!in# and it "ill ma/e t!em mne1' A..rdin# int fresters sear.!- 4t" t1pes f traders

!a&e alread1 m&ed nline Lt!e a##ressi&e affluent; and t!se "! "ant t L#et ri.! :ui./'9'

T!ese t" #rups ma/e up >@ per.ent f t!e peple t!at "ant in&estrs tradin# nline tda1'

T!ese peple .an ma/e ras! de.isins and lse a lt f t!eir mne1' Peple li/e t!is #enerall1

t!in/ t!at in&estin# in t!e st./ mar/et is li/e #amblin# in +as )e#as' T!is is a dan#erus

attitude and .uld ma/e peple lse mne1 t!e1 .annt affrd t lse'

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Major Players in the BROKING Industry in India

= SHARE6HAN

2 ANAND RATHI

@ MOTILAL OSWAL

IL&FS

INDIABULLS

> HDFC SECURITIES

7 INDIA INFOLINE

ANGELBRO6ING

! RELIGARE

=0 RELIANCE MONE9

== ICICI DIRECT

=2 BONANA

=@ MAGAL 6ESHAV

= 6OTA6 SECURITIES

= UTI SECURITIES

=> GEO;IT

=7 6ARV9

= MAN FINANCIAL

2@ ;P MORGAN STANLE9

2 ASIT C METHA

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INTRODUCTION OF THE ORGANIATION

COMPAN9 PROFILE OF R#'()%"# BRO6ING LTD

%r' Dines! T!a./er is t!e man be!ind t!e su..essful buildin# f reli#are br/in# as

India;s leadin# retail st./ br/in# !use "it! !is &isin- de&tin- dedi.atin- /een fresi#!t

and


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TO PRO)IDE $EST )A+UE ,OR

%ONEY TO IN)ESTORS T*ROUG* INNO)ATI)E

PRODUCTS TRADING5IN)EST%ENT STRATEGIES-

STATE O, T*E ART TEC*NO+OGY AND

PERSONA+ISED SER)ICE

BUSINESS PHILOSOPH9

ET*ICA+ PRACTICES TRANSPARENCY IN A++ OUR DEA+INGS

CUSTO%ER INTEREST A$O)E OUR O6N

A+6AYS DE+I)ER 6*AT 6E PRO%ISE

E,,ECTI)E COST %ANAGE%ENT

VALUES

INTEGRITY

TEA%6ORK UA+ITY %INDSET

ENTREPRENEURS*IP

SER)ICE ORIENTATION

PASSION CO%%IT%ENT

ABOUT R#'()%"#

6e !a&e a Pan India presen.e "it! mre t!an ?@@@ intermediaries'

6e ffer ser&i.es li/e E:uit1 $r/in#

Cmmdities

Depsitr1

Resear.!

E(br/in#

Ad&isr1

Prtfli %ana#ement Ser&i.es

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%utual ,und Distributin

A .lient base f - ?@-@@@ a.ti&e In&estrs is ser&i.ed b1 ur strn# team f H@@ empl1ees a.rss bran.!es'

T!e ab&e distributin ma/es ur .lient ser&i.in# le&els ne f t!e !i#!est in t!e industr1'

?@ member resear.! team din# te.!ni.al- fundamental- deri&ati&e and .mmdit1 anal1sis-ne f t!e lar#est in t!e industr1'

,irst br/in# !use t start =@@ retail f.us resear.! in t!e industr1

R#'()%"# GROUP COMPANIES

$SE( Reli#are $ROKING +TD

NSE( Reli#are CAPITA+ AND DE$T %ARKET +TD

NCDEM %CM( Reli#are CO%%ODITIES $ROKING 7P8 +TD

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A,%"/

Reli#are "as a"arded t!e .&eted t!e 4%a2r )lume Dri&er9 trp!1 frm $SE fr t!e Year@@(@@?- @@? (@@H @@H (@@>'T!at means t!e ma3imum number f trade n $SE !as

been dne frm Reli#are $r/in# +td

TIE UP BAN6S

*D,C

ICICI

AMIS

CORPORATION

ORIENTA+ $ANK O, CO%%ERCE

KARNATAKA

YES

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INVESTMENT GATEWA9 THROUGH RELIGARE

19

Retail spectrum

Wealth spectrum Institutional spectrum


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R A N B A XY

I/(% $("* 31'*(%*(+%' +34%:

$!ai %!an Sin#! "as t!e funder f "!at .an be termed IndiaQs first multinatinal .mpan1'

T-# +"()(

T!e earl1 da1s sa" $!ai %!an Sin#! ta/e &er Ranba31 frm %r' Ran2it Sin#! and Dr

Gurbu3 Sin#! f Amritsar- "! "ere distributrs fr A' S!in#i- a Japanese p!arma.euti.a

.mpan1 manufa.turin# &itamins and anti(T$ dru#s' In fa.t- R%%J: %3# ,% % $1(+

+$ *-# *,+ #%"'(#" 4"+3+*#".

Ranbaxy Laboratories Ltd. (RLL) is the largest pharmaceutical company incorporated in

India.It is als amn#st t!e tp lea#ue #lball1 and is ran/ed t! lar#est #eneri. .mpan1

"rld"ide' Ranba31 is als .redited "it! t!e ta# f true Indian multinational'

RANJIT GURBU

X

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T!e .mpan1 tra.es its rts t a .!emist s!p in Del!i' It is ne f t!e first Indian

p!arma.euti.al .mpanies t start a 2int &enture abrad' Rapid #r"t! f Ranba31 is

attributed mainl1 t its f.used resear.! and 2int &entures in India and abrad' It is als

inn&atin and mar/et dri&en- "it! a strn# distributin net"r/' T!e .mpan1 "as able t

#r" su..essfull1 in !i#!l1 .mpetiti&e mar/ets' In t!e .urrent business s.enari- Ranba31 is

f.usin# n inn&atin- allian.es- mer#ers and #lbali


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Sut! Sut! East Asia;s lar#est Pat!l#1 labs net"r/Glbal a..reditatins and Cmplian.e,irst in India t !a&e t" Clini.al Referen.e +absA net"r/ f = labratries and #r"in# a.rss IndiaH@@ Sample Clle.tin Centers in H@ .ities a.rss t!e #lbeO&er millin satisfied .ustmers e&er1 1ear

,rtis ,inan.ial Ser&i.es +imited spe.iali


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F(). = 4"+3+*#" )"+14

!ROUP

STRUCTUR

E

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About Religare nterprises Limited

Reli#are- a Ranba31 prmter #rup .mpan1- is ne f India;s leadin# inte#rated finan.ia

ser&i.es institutins' T!is .mpan1 ffers different t1pe ser&i.es and "uld li/e t be seen as a

true 4I#*3#* G%*#,%: +$ I/(%9' T!e .mpan1 pr&ides man1 ser&i.es su.! as e:uities

.mmdities- insuran.e t "ealt! ad&isr1- prtfli mana#ement ser&i.es 7P%S8- persnal

finan.ial ser&i.es- in&estment ban/in# and institutinal br/in# ser&i.es in terms f its .lient

and business interfa.e t!e ser&i.es are bradl1 .lubbed a.rss t!ree /e1 business &erti.als(

Retail- "ealt! mana#ement and t!e institutinal spe.trum. R#'()%"# E*#"4"(# L*/. I *-#

-+'/() +34%: $+" %'' (* 1(#8 *"1*1"#/ %/ #() +4#"%*#/ *-"+1)- %"(+1

1(/(%"(#. Reli#are Se.urities +td' 7RS+8 is a fast #r"in# subsidiar1 f Reli#are' RS+ is

t!e member f Natinal st./ E3.!an#e 7NSE8 f India- $mba1 St./ E3.!an#e 7$SE8 fIndia- depsitar1 parti.ipant "it! Natinal Se.urities Depsitar1 +td and Central Depsitar1

+td'

Reli#are Enterprise +td is a Ranba31 prmter #rup .mpan1

H Re#inal ffi.es

? nal Offi.es

Present in =@@@ l.atin all &er India

Present in ?@ Cities T"ns

Ttal #rup empl1ees ?-?@@ plus

Present in Retail- 6ealt! and Institutinal Spe.trum

Amn# t!e lar#est Retail br/era#e bran.! net"r/- present be1nd Tier(I and Tier(I.ities in India

O&erseas presen.e establis!ed in +ndn- "it! a##ressi&e plans f straddlin# t!erparts f t!e #lbe in t!is finan.ial 1ear

25

R

E

L

I

!

A

R

E

T

E

N

TE

R

P

R

I

S

ES


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,i# ( Reli#are Enterprises +td

Religare Venture capital

Pvt !t"

Religare #ealt$ %anage&ent 'ervice( lt"

Religare In(urance )r*+ing !t"

Religare ,*&&*"itie( !t"

Religare 'ecuritie( !t"

Religare -inve(t !t"

Religare capital %ar+et !t"

26

Religare Realt. !t"

Religare -inance !t"


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V((+ T build Reli#are as a #lball1 trusted brand in t!e finan.ial ser&i.es dmain and

present it as t!e LIn&estment Gate"a1 f India;

M((+T pr&ide finan.ial .are dri&en b1 t!e .re &alues f dili#en.e transparen.1

B"%/ E##Dili#ent- d1nami. et!i.al pr.esses fr "ealt! .reatin

Religare is a Latin !ord that translates as "to bind together"' T!is name Reli#are "as

.!sen t refle.t t!e inte#rated nature f t!e finan.ial ser&i.es t!e .mpan1 ffers' T!e name

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is intended t unite and brin# t#et!er t!e p!enmenn f mne1 and "ealt! t .(e3ist and

ser&e t!e interest f indi&iduals and institutins- ali/e'

#ymbol

T!e name is paired "it! t!e s1mbl f a fur(leaf .l&er - a rare mutatin f t!e .mmn t!ree(

leaf .l&er' Traditinall1- it is .nsidered #d frtune t find a fur leaf .l&er as t!ere is nl1

ne fur(leaf .l&er fr e&er1 =@-@@@ t!ree(leaf .l&ers fund' Ea.! leaf f t!e fur(leaf .l&er

!as a spe.ial meanin# in t!e sp!ere f Reli#are'

T!e first leaf f t!e .l&er represents $ ope' T!e aspiratins t su..eed' T!e dream f

be.min# Of ne" pssibilities' It is t!e be#innin# f e&er1 step and t!e fundatins n "!i.! apersn rea.!es fr t!e stars'

T!e se.nd leaf f t!e .l&er represents % rust' T!e abilit1 t pla.e nes "n fait! in

ant!er' T !a&e a relatins!ip as partners in a team' T a..mplis! a #i&en #al "it! t!e

balan.e t!at brin#s satisfa.tin t all nt in t!e bindin# but in t!e bnd t!at is built'

T!e t!ird leaf f t!e .l&er represents & are' T!e se.ret in#redient t!at is t!e .ement ine&er1 relatins!ip' T!e trut! f feelin# t!at underlines sin.erit1 and t!e triump! f dili#en.e in

e&er1 aspe.t' ,rm it sprin#s true "armt! f ser&i.e and t!e abilit1 t adapt t e&l&in#

en&irnments "it! .nsideratin t all'

28


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T!e furt! and final leaf f t!e .l&er represents ' ood ortune.Si#nif1in# t!at rare

abilit1 t meld pprtunit1 and plannin# "it! .ir.umstan.e t #enerate t!se ften l/ed fr

remunerati&e mments f su..ess'

Hpe' Trust- Care- Gd frtune' All elements perfe.tl1 .mbine in t!e emblemati. and

rare- fur(leaf .l&er t &isuall1 s1mbli


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,uity %rading

Tradin# in E:uities "it! Reli#are trul1 emp"ers 1u fr 1ur in&estment needs' 6e ensure

1u !a&e a superlati&e tradin# e3perien.e t!ru#! (

A !i#!l1 pr.ess dri&en- dili#ent appra.!

P"erful Resear.! Anal1ti.s

One f t!e best in .lass dealin# rms

,urt!er- Reli#are als !as ne f t!e lar#est retail net"r/s- "it! its presen.e in mre t!an

=H@ l.atins a.rss mre t!an ?@ t"ns .ities' T!is means- 1u .an "al/ int an1 f

t!ese bran.!es and .nne.t t ur !i#!l1 s/illed and dedi.ated relatins!ip mana#ers t #et

t!e best ser&i.es'

%he Religare dge

Pan India ftprint

P"erful resear.! and anal1ti.s supprted b1 a pl f !i#!l1 s/illed

Resear.! Anal1sts

Et!i.al business pra.ti.es

Offline5Online deli&er1 mdels

Sin#le "ind" fr all in&estments needs t!ru#! 1u uni:ue

R#'()%"# 3%# *"%/()asier%/Better

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Persnal Assistan.e

Dedi.ated relatins!ip mana#ers

Dedi.ated dealers "! fa.ilitate and ser&e 1ur pst trade needs

Research and ad-isory

Reli#are belie&e in pr&idin# resear.! ser&i.es fr .lients t fa.ilitate t!eir in&estment

de.isins' T!e resear.! team at Reli#are !as .lse t =@@ men 1ears f e3perien.e .&ers

a lar#e bas/et f .mpanies frm different .ate#ries'

aried Research +roducts

,undamental resear.!

Te.!ni.al resear.!

Dail1 reprts

Intra(da1 tradin# te.! .alls

Intra(da1 Deri&ati&es .alls

Dire.tinal ,O .alls

Stru.tured prdu.ts

alue adds

A..ess t all a..unts t!ru#! in&estr;s uni:ue Custmer Relatins!ip Number 7CRN8

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A..ess in&estr;s led#er balan.es and a..unt infrmatin &er internet and at t?!e

$ran.! *elp Des/

$r"ser and appli.atin based platfrm .an als be made a&ailable fr e:uit1 tradin#'

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R##%"- M#*-+/+'+):

/einition o Research

T!e "rd resear.! is deri&ed frm t!e +atin "rd meanin# t /n"' It is a s1stemati. and a

repli.able pr.ess "!i.! identifies and defines prblems- "it!in spe.ified bundaries' It

empl1s "ell desi#ned met!d t .lle.t t!e data and anal1ses t!e results' It disseminates t!e

findin#s t .ntribute t #enerali


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N"(a(da1s man1 .mpanies are fferin# prtfli mana#ement s.!emes' In t!ese s.!emes

.mpan1 #i&e a pprtunit1 t .lients t in&est t!eir mne1 in bul/' In P%S t!ere is n interfere

f in&estr in in&estment' It means !es!e des nt interfere t!at in "!i.! and in "!i.! s.ripts

!is mne1 is in&estin#' T!ere is a team f fund mana#ers in t!e .mpan1 "!i.! mana#e t!e

mne1 f t!e in&estr'

It is t!e de.isin f ,und mana#er t!at in "!i.! s.ripts t!e mne1 f t!e in&estr "ill be

in&ested'

F#%*1"#

Prtfli f =?(=B slid st./s

,.us n st./s "it! lar#e mar/et .apitali? f t!e prtfli- #i&in# 1ur prtfli #reater

le&era#e

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A)#' B"+() #"(# ( PMS

An#el $r/in# ffers P%S t address &ar1in# in&estment preferen.es' As a f.used ser&i.e- P%S pa1s attentin t details- and

prtflis are .ustmi


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T!e Caterpillar prtfli aims t a.!ie&e .apital appre.iatin &er a ln# perid f time b1 in&estin# in a di&ersified prtfli' T!is

s.!eme is suitable fr in&estrs "it! a !i#! ris/ appetite' T!e in&estment strate#1 "uld be t in&est in s.ripts "!i.! are pised t #et

a re(ratin# eit!er be.ause f .!an#e in business- ptential fan.1 fr a parti.ular se.tr in t!e .min# 1ears5mnt!s- business

di&ersifi.atin leadin# t a better peratin# perfrman.e- st./s in t!eir earl1 sta#es f an upturn r fr t!se "!i.! are in se.trs

.urrentl1 i#nred b1 t!e mar/et'

L#+

+e is aimed at retail .ustmers and stru.tured t pr&ide medium t ln#(term .apital appre.iatin b1 in&estin# in st./s a.rss t!e

mar/et .apitali


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Performance measurement

,und perfrman.e is t!e a.id test f fund mana#ement- and in t!e institutinal .nte3t

a..urate measurement is a ne.essit1' ,r t!at purpse- institutins measure t!e perfrman.e

f ea.! fund 7and usuall1 fr internal purpses .mpnents f ea.! fund8 under t!eir

mana#ement- and perfrman.e is als measured b1 e3ternal firms t!at spe.iali


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DURATION OF THE POR;ECT

Reli#are $r/in# +td' pr&ided ,ifteenDa1s Pr2e.t Stud1 at Jaipur Offi.e'

Duratin perid is =? da1s'

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O#*(# +$ *-# *1/:

O#*(# +$ *-( *1/: ( *+ $(/ +1* A)#' B"+() L*/. $+"8 D#3%* %+1*8 E51(*:

3%"#*8 %/ D#"(%*(# 3%"#*. P"+#* ( 1/((/#/ (*+ *-# $+''+,() +#*(#

T find t!e .mpetitin f e:uit1 mar/et espe.iall1 in NSE tradin# and brin# ut t!e

a"areness le&el f t!e in&estrs "! are tradin# "it! Natinal St./ E3.!an#e'

T find t!e ad&anta#es f t!e Demat a..unt and .!ar#es b1 &arius depsitr1

parti.ipants'

T stud1 t!e tradin# pr.edure f An#el $r/in# +td' and .mparisn f t!e br/in#

firms'

T find t!e .st sa&in# anal1sis n t!e br/era#e .!ar#es b1 t!e An#el $r/in# +td' n

t!e s!are and deri&ati&e tradin# "it! t!e t!er br/in# firms'

Psitinin# f An#el $r/in# +td' in Kta'

Su##estins and per.eptins abut An#el $r/in# +td'

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T9PE OF RESEARCH

Identifi.atin f prblem( 6!at is t!e indi&iduals In&estment strate#1 in e:uities and t!er

in&estment ptins

Data .lle.tin (

Primar1 data ( $1 sur&e1 f indi&iduals

Sample si


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Grup ( Retired persnals

Sample si? 1ears

Edu.atinal ba./#rund ( #raduates and pst #raduates

Sur&e1 pattern (I !a&e sur&e1ed t!ru#! persnal inter&ie" and telep!ni. inter&ie"'

Se.ndar1 data ( I !a&e .lle.ted se.ndar1 frm "ebsite'

SAMPLE SIZE ME!"O# O$ SELE%!ING SAMPLE

Sa&'le si(e

BROKERS AND SUB BROKERS IN KOTA

Share brokers and sub-brokers (including on-line line & of-line brokers)

On(line br/in# firms Kta/street'.m- ?Paisa'.m- ICICI Dire.t'.m- S!are/!an'

Off(line br/in# firms Anand Rat!i- *'C'Jain C'- *em Se.urities- Eure/a Se.urities- Alan/it

Assi#nments and t!ers'

41


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42


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THEMILESTONE

'ro!th #trategy

T!e ma2r re&enue dri&ers fr t!e .mpan1 are its retail e:uit1 br/in# arm Reli#are

Se.urities and Reli#are ,in&est- "!i.! finan.es lans a#ainst s!ares' T!e t"

a..unted fr mre t!an @ f t!e Reli#are .nslidated re&enues in ,Y@>'

T!e .mpan1 aims t utilise t!e pr.eeds f t!e issue t furt!er e3pand its

#e#rap!i.al presen.e bt! in t!e dmesti. and internatinal mar/ets t!at in.lude

CustodialService

1999

InstitutionalBusiness

2001

RetailOperations

2002

CorporateFinance

200

3

Portfolio

Manae!ent Service

200"

BS# Me!$ers%ip &Co!!odities

200"

Mutual funddistri$ution

200"

100' Branc%es &200' Franc%ise(ocations

200)

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6est Asia and 6estern Eurpe' It als plans t use t!e issue pr.eeds t si#nifi.antl1

en!an.e its nline tradin# .apabilities'

Its "ealt! ad&isr1 arm V Reli#are 6ealt! %ana#ement Ser&i.es V re.entl1 entered

int a ?@?@ 2int &enture "it! t!e Australian based %a.:uarie $an/t ffer "ealt!mana#ement ser&i.es' If t!e &enture .li./s- #i&en t!e risin# in.me and "ealt! f

India;s uppermiddle .lass- it ma1 turn ut t be a ma2r #r"t! dri&er fr t!e

.mpan1'

INAN&IAL 'R23%$

Re&enue

Startin# frm a small base- t!e .mpan1 !as s!"n rapid tpline and bttmline #r"t! in t!e

past fe" 1ears' /uring Y456 the company7s net proit more than doubled to Rs 89 crore

against Rs :: crore during Y4;.

Net prfit durin# April(September ;@> #re" t Rs H .rre "!ile re&enues 2umped t Rs @B

.rre'

Sales

Net sales durin# t!e perid 2umped =@ times t Rs @ .rre frm Rs = .rre'

Risin# E:uit1 $r/in# Turn&er

O&er =@-@@@ Retail E:uit1 .lients- "it! #r"t! rates &er @@

Current mar/et s!are is at '? ( ?'?

Tar#et in.reased presen.e in t!is se#ment bt! in India and abrad

Dublin# manp"er b1 %ar.! @@B

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F() ( K 3

E51(*: "+() *1"+#

R(() '(#* %#

Presen.e f @@ $ran.!es all India

Internatinall1- establis!ed ffi.e in +ndn- "it! t!e tar#et f penin# ffi.es abrad b1

%ar.! @@B

Tar#etin# #r"t! f ? in br/era#e b1 %ar.! @@B

R(() +'(# '(#*

Offi.ial +aun.! f E(br/in# in Au#ust @@H

A##ressi&e #r"t! !as been bser&ed in t!e .lient base fr nline tradin#

45


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Tar#etin# @@-@@@ nline .lients b1 t!e end f t!is finan.ial 1ear

U(51# $#%*1"# +$ +'(# (#*3#*

Trades Re"ards

Trade Re"ards is a uni:ue fferin# frm Reli#are t!at #i&es t in&estr dual benefits f !asslefree in&estment e3perien.e nline and an pprtunit1 t earn "!ile !es!e in&est "it! it'

er $r/era#e

$rea/ t!e s!a./les9' Get freedm frm br/era#e and a&ail


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AEGON- ne f t!e "rld;s lar#est life insuran.e and pensin #rups and Reli#are- ne f t!e

leadin# inte#rated finan.ial ser&i.es #rups in India- !a&e .me t#et!er t laun.! AEGON

R#'()%"# L($# I1"%# C+34%: L(3(*#/' T!is &enture is dedi.ated t build a firm future-

bt! fr .ustmers and empl1ees and "ill .ntinue t balan.e a l.al appra.! "it! t!e

p"er f e3pandin# #lbal peratins'

Reli#are Enterprises +imited and %a.:uarie $an/ +imited annun.ed n=Bt! O.tber @@>

t!at t!e1 !a&e si#ned a Jint )enture A#reement 7J)8 t e3pand Reli#are;s "ealt!mana#ement business' Under t!e J)- %a.:uarie "uld be.me a ?@ per .ent s!are!lder f

Reli#are 6ealt! %ana#ement Ser&i.es +imited- a subsidiar1 f Reli#are Enterprises +imited'

T!e business is e3pe.ted t be renamed R#'()%"# M%51%"(# W#%'*- L(3(*#/.

T!e t" .mpanies !a&e entered int t!e J) "it! t!e mutual aim f buildin# ad&isr1 based

"ealt! mana#ement slutins t t!e fast #r"in# number f !i#! net("rt! in&estrs in India'

47


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Reli#are Enterprises +imited and )istaar Entertainment )entures Pri&ate +imited laun.!ed

India;s first e&er film fund ( )istaar Reli#are ,ilm ,und 7)R,,8 fr t!e ,ilm

Reli#are AEGON A%C ( ?@?@ Jint )enture bet"een RE+

And Ae#n fr Asset %ana#ement business in India'

Religare a,uires '>H per

.ent sta/e in *i.!ens *arrisn C Pl. fll"in# t!e a..eptan.e f its pen .as! ffer b1 t!e

UK firm'

*i.!ens !as a..epted t!e ffer fr =->@-@H-= s!ares- representin# >'>H per .ent sta/e int!e UK firm- Reli#are said in a flin# t t!e $mba1 St./ E3.!an#e'

Reli#are Capital %ar/ets- t!e "!ll1("ned subsidiar1 f Reli#are Enterprises +td 7RE+8- !ad

in April annun.ed its de.isin t ma/e an pen ffer t UK(based br/in# firm *i.!ens

*arrisn'

RE+- t!e !ldin# .mpan1 fr finan.ial ser&i.es businesses f t!e #rup- !ad ffered B?

pen.e per s!are .as! and &alued *i.!ens *arrisn at arund ??'? millin pund'

Pst a.:uisitin- Reli#are is plannin# t delist *i.!ens frm t!e +ndn St./ E3.!an#eQs

Alternati&e In&estment %ar/et 7AI%8- t!e fillin# said'

T!e .an.ellatin f t!e admissin f *i.!ens s!ares t t!e AI% %ar/et "uld si#nifi.antl1

redu.e t!e li:uidit1 and mar/etabilit1 f t!e remainin# s!ares in t!e .mpan1- it said'

48


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,urt!er- Reli#are Capital %ar/ets Internatinal UK- an indire.t "!ll1("ned subsidiar1 f

Reli#are Capital %ar/ets- intends t re(re#ister t!e firm as a pri&ate .mpan1- it added'

+ast "ee/ Reli#are !ad re.ei&ed appr&al frm t!e UK re#ulatr1 bd1 ,inan.ial Ser&i.es

Aut!rit1 7,SA8 fr .mpletin# t!e a.:uisitin f *i.!ens *arrisn C Pl.'

S!ares f Reli#are "ere tradin# at Rs H- up @'> per .ent in t!e afternn trade n t!e $SE

A short story on Religare #ecurities7 ser-ices

Reli#are Se.urities +imited is ne f India;s leadin# e:uities and

Se.urities firms and ffers ser&i.es spannin# e:uit1 br/in#-

Depsitr1 parti.ipant- prtfli mana#ement- institutinal br/era#e

And resear.!- in&estment ban/in# and .rprate finan.e' 6it!

?@-@@@ f Reli#are;s H@@-@@@(strn# .lient base .ndu.tin# trades

n a dail1 basis- t!e r#ani


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%a2rit1 .aterin# t tradin# re:uirements-9 said Saurab! Sri&asta&a-

*eadVInfrastru.ture 7IT8- Reli#are Se.urities' 46e !a&e !u#e traffi. at

An1 #i&en time'9

6it! demand sur#in# and plans t e3pand t ?@@ bran.!es a.rss

India- Reli#are turned t )%"are &irtuali


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R#1'*

A.!ie&ed a ser&er .nslidatin rati f up t ==

In.reased a&era#e CPU utili@

Sa&ed almst Rs'=@ millin 7USF=-H?8 in ser&er !ard"are

A.:uisitin .sts

Cut p"er .nsumptin b1 =@(@

Impr&ed appli.atin a&ailabilit1 and redu.ed d"ntime

Pr&ided a platfrm t establis! a DR site b1 t!e end f @@Batin usa#e'

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IN#%0N% 2+%I2N# ( T!ere are man1 in&estment ptins "!i.! are as fll"s(

E:uities

Deri&ati&es 7,O8

Insuran.e

,i3ed Depsit 7,D8

,i3ed maturit1 plan 7,%P8

%utual fund 7%,8

Cmmdities

E3.!an#e traded finan.e 7ET,8

Debentures $nds

Fi#e$

"eposits

E%uities Insurance

E#chan&e

tra$e$'un$

"eri(ates"e)entures

* )on$s

Fi#e$

maturit+ plan

Commo$itie

s

Mutual 'un$

53


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E51(*: % #* +4*(+ $+" (#*3#*

In e:uit1 t!e in&estrs .an in&est t!eir mne1 in t" "a1s(

Offline in&estment (In t!is t1pe f in&estment t!e in&estr .an in&est !is!er mne1 r "e .an

sa1 !es!e .an deal n p!ne' It means t!e in&estr .an .nta.t "it! dealer t!ru#!

p!ne and .an instru.t t!e dealer fr dealin# .

Online in&estment ( in t!is t1pe f in&estment t!e in&estr des dealin# n !is "n' In nline

dealin# !es!e .an use br"ser based fa.ilit1 r ma1 .!se sft"are .

&learing > #ettlement (,uities)

NSCC+ .arries ut .learin# and settlement fun.tins as per t!e settlement .1.les f different

sub(se#ments in t!e E:uities se#ment

T!e .learin# fun.tin f t!e .learin# .rpratin is desi#ned t "r/ ut a8 "!at .unter

parties "e and b8 "!at .unter parties are due t re.ei&e n t!e settlement date' Settlement

is a t" "a1 pr.ess "!i.! in&l&es le#al transfer f title t funds and se.urities r t!er

assets n t!e settlement date

NSCC+ !as als de&ised me.!anism t !andle &arius e3.eptinal situatins li/e se.urit1

s!rta#es- bad deli&er1- .mpan1 b2e.tins- au.tin settlement et.'54

//line Inve(t&ent

T$r*ug$ p$*ne

nline inve(t&ent

n net *r t$r*ug$

(*/t#are
http://www.nseindia.com/content/nsccl/nsccl_eqclearing.htmhttp://www.nseindia.com/content/nsccl/nsccl_eqshortages.htmhttp://www.nseindia.com/content/nsccl/nsccl_eqclearing.htmhttp://www.nseindia.com/content/nsccl/nsccl_eqshortages.htm


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%RA/IN' +R2&/?R:

N" t!e :uestin arises !" t!e tradin# ta/es pla.eT1pes f OrderOrder Entr1 Uni:ue .deUni:ue rder numberTime stampin# f OrdersTrade NumberPsted t $a./ ffi.e f t!e $r/er5Sub(br/erIssue f Cntra.t Nte5Sale Pur.!ase Nte

=8 E3e.utin f OrdersOrders #t e3e.uted n findin# t!e ri#!t mat.!'%at.!in# pririt1$est bu1 rder "it! !i#!est pri.e$est sell rder "it! l"est pri.eWT!e unmat.!ed rders are :ueued in t!e s1stem b1Pri.e(time pririt1 basis'

8 ,l" f Tradin#

8 *" trades are settledTrades are settled n a T basisNettin# f tradesSe.urities Pa1(in,unds Pa1(inSe.urities Pa1(ut,unds Pa1(ut

Au.tin fr S!rta#es

8 Settlement CalendarA.ti&it1 Da1

Tradin# T,unds Pa1(in TSe.urities Pa1(in T

?8 ,unds Pa1(ut TSe.urities Pa1(ut T

Au.tin fr S!rta#e TAu.tin Pa1(in5Pa1(ut T?

55


56/117

H8 ,rmalities $efre Tradin#Identif1 $r/er5Sub($r/erClient Re#istratinClient A#reement

Ris/ Dis.lsure d.umentAlltment f Uni:ue Client Cde%ar#in Pa1mentD(mat A..unt

>8 $r/era#e .!ar#es Ta3es%a3imum br/era#e '? 7%ain br/er = Sub(br/er ='?8Se.urities Transa.tin Ta3 7STT8X Deli&er1 based transa.tins '=?X Nn(deli&eries 7s:uared ff trans8 '@?X Deri&ati&e transa.t

+roducts !hich are pro-ided by Religare in e,uity (

Reli#are se.urities deal in e:uities' T!ere are mainl1 t" t1pes f tradin# ser&i.es "!i.! are

pr&ided b1 Reli#are se.urities ffline and nline'

= RAL L 9 O F F L I N E P R O D U C T\ S E R V I C E

In t!is prdu.t5ser&i.e- Cmpan1 ffers a D(%AT and TRADING A..unt t its .ustmers'

T!e1 .an trade t!ru#! P!ne r p!1si.al presen.e at ffi.e .ampus' T!e

.mpan1 pr&ides all fa.ilities in ffi.e .ampus' T!ere is a tradin# !all "!ere all dealers

bu15sell t!e s!are a..rdin# t rders f .lients' T!us- t!e .mpan1 pr&ides t!is ser&i.e t

.ustmer "it! t!e .!ar#ef Rs' ?@@5( nl1' After penin# a..unt t!e1 .an bu15sell s!ares

56
http://www.managementparadise.com/forums/http://www.managementparadise.com/forums/


57/117

t!ru#! .mpan1' T!e all "r/ dne b1 dealer in t!is ser&i.e- !es!e "ill bu15sell s!are n t!e

be!alf f .lient t!ru#! !is!er .lient .de

2 BANDHAN OFFLINE PRODUCT\SERVICE

In t!is ser&i.e all fa.ilities are pr&ided as in t!e rall1 but t!e .lient !a&e t pa1 Rs' @@@

instead f Rs ?@@ at t!e time f a..unt penin# as se.urit1 mne1' T!e main benefit in t!is

s.!eme is t!at t!e .lient "ill nt !a&e t pa1 Rs' ?@ as a..unt mali#nan.e annuall1' T!is

se.urit1 mne1 is refundable if t!e .lient "ants t .lse !is!er a..unt in future'

2 RALL9 L ITE O N L I N E S E R V T C E B R O W S E R B A S E D

In t!is prdu.t5ser&i.e- .mpan1 ffers t!e all ser&i.e nline t!ru#! 6ebPa#es' It is a "eb(

based ser&i.e' Custmers .an sell5bu1 s!ares t!ru#! net' In t!is ser&i.e t!ere is n need t

.all t dealer r p!1si.al presen.e f .lient' T!e1 .an d "n' T!is fa.ilit1 is free- t!e a..unt

penin# .!ar#e is Rs' ?@@5(- but in t!is prdu.t .ustmer !a&e t pa1 minimum Rs' ?@@@5( nl1

,r usin# t!is ser&i.e' T!is is nt se.urit1 mne1' It is usable mne1 fr an1 bu1in# s!ares' A.lient .an use t!is mne1 in tradin#

57


58/117

@RALL9 PRO O N L I N E S E R V I C E S O F T W A R E B A S E D

In t!is prdu.t5ser&i.e- .mpan1 ffers sft"are Odin Diet' Custmers .an sell5bu1 s!aresfrm t!is sft"are' T!ere is n need t .all r p!1si.al presen.e fr tradin#' T!is sft"are isd"nladed t .lient;s P.' *e .an use it at "n .mputer r "n pla.e' T!is sft"are is alsfree- but t!ere is a br/era#e .mmitment in t!ese ser&i.e .!ar#es' If .lient .rss t!e

58


59/117

br/era#e limit a.rss t!e Rs' =B@@5( nl1 t!en t!is is refundable mne1 fr .lient' It is .reditedt .lient;s a..unt' %eans t!ebr/era#e is ad2usted a#ainst t!is amunt'

59


60/117

A..ept all ab&e prdu.ts t!ere are t"prepaid plansin Reli#are se.urities ltd

'RALL9 DHAMA6A PLUS

RALL9 DHAMA6A GRAND

RALL9 DHAMA6A PLUS

In t!is plan t!e .lient !as t pa1 rs' ?@@ fr a..unt penin# and rs'=?@@@ as ad&an.e

br/era#e' $ut t!is amunt f =?@@@ is refundable t t!e .lient "it!in ne 1ear if !e #enerates

t!e br/era#e f rs =?@@@'

RA++Y D*A%AKA GRAND (

T!is plan is same as rall1 d!ama/a plus but in t!is plan t!e .lient !as t pa1 Rs' ?@@@@ instead

f Rs' =?@@@ as ad&an.e br/era#e' T!e rest pr.edure remains sa .

60

RALL,

RS

-..

RALL,

"HAMA/A

!RAN"

RS

-..0-....

1AN"HAN

RS 2...

RALL,

"HAMA/A

PLUSRS -..03-...

RALL,

LITE

RS

-..0-...

RALL,

PRO

RS

-..034..


61/117

61


62/117

0utual und

&oncept

A %utual ,und is a trust t!at pls t!e sa&in#s f a number f in&estrs "! s!are a .mmn

finan.ial #al'

T!e mne1 t!us .lle.ted is t!en in&ested in .apital mar/et instruments su.! as s!ares-

debentures and t!er se.urities'

T!e in.me earned t!ru#! t!ese in&estments and t!e .apital appre.iatin reali


63/117

Asset 0anagement &ompany

An A%C is a le#al entit1 frmed b1 t!e spnsr t run a mutual fund'

It is t!e A%C t!at empl1s fund mana#ers and anal1sts and t!er persnnel'

It is t!e A%C t!at !andles all peratinal matters f a mutual fund frm laun.!in# s.!emes

t mana#in# t!em t intera.tin# "it! t!e in&estrs'

T!e peple in t!e A%C "! s!uld matter t!e mst t t!e in&estrs are t!se "! ta/e

in&estment de.isins

Basis principles o 0utual und

%ypes o scheme in !hich are oered in 0utual und ( t!ere are t" t1pes f s.!emes in

mutual fund

Open ended

Clse ended

63

pen

en"e"

n. ti&e

ntr.eit

,l*(e en"e"

ntr. at t$e

ti&e */

launc$ t$an

(elling */unit(


64/117

2pen ended scheme

Open(ended s.!emes- as t!eir name su##ests- dn;t !a&e a fi3ed tenure and are al"a1s pen

fr in&estment' One .an in&est in t!em an1 time and als "it!dra" at an1 time' T!is ease fentr1 and e3it ma/es it a ppular .!i.e amn# bt! mutual funds and in&estrs'

&lose ended scheme

Clsed(end s.!emes- n t!e t!er !and- are f fi3ed tenure- "!i.! is stated at t!e time f t!eir

birt! itself' Su.! s.!emes in&ite subs.riptins nl1 n.e durin# t!eir lifetime- at t!e time f

laun.!' ,urt!er t!e in&estr .an sell !is!er units in t!e mar/et' %st .lsed ended s.!emes

are listed n t!e st./ e3.!an#es'

N% A###% AL? (NA)

Units are alltted t t!e in&estrs n t!e basis f t!e s.ientifi. pri.in# me.!anism'

%his price6 measure per unit6 is called the net asset -alue (NA) o the unit.

Just as a s!are r a bnd is bu#!t at a pri.e- t!e unit is bu#!t and sld at NA)'

LOAD

Alt!u#! t!e NA) represents a s.!eme;s .urrent mar/et &alue- it is nt t!e e3a.t pri.e at

"!i.! t!e in&estr enters r e3its t!e s.!eme' ,und !uses le&1 a nminal .!ar#e- n mst f

t!eir s.!emes t meet t!eir pr.essin# .sts and t dis.ura#e in&estrs frm lea&in# '

T!is .!ar#e is referred t as L+ad; and it is the price one pays o-er and abo-e the unds

NA !hen you buy or sell units.

T" t1pes f lad are .!ar#ed n mutual funds

64


65/117

Entr1 lad

E3it lad

One pa1s Lentr1 lad; at t!e time f bu1in# and Le3it lad; at t!e time f sellin#'

+ads are al"a1s e3pressed as a per.enta#e f t!e NA)- "!i.! pla.es fe"er units in 1ur!ands'

X+N##

Ant!er entr1 t!at eats int t!e in&estrs returns is Le3penses;' T!is is "!at t!e fund .!ar#es

t!e in&estr fr mana#in# !is mne1' ,und mana#ers !a&e t be paid a fee- as d t!e t!er

.nstituents mana#in# 1ur mne1' All t!is entails .sts "!i.! t!e s.!eme re.&ers frm t!e

in&estr "it!in limits'

#BI rules allo! e,uity schemes to charge a maximum o 8.9= o corpus as expenses

e-ery year.

%ypes o 0utual und

%utual are mainl1 di&ided in t t!ree parts

E:uit1 %utual ,und

$alan.e %utual ,und

Gr"t! %utual ,und

@?I%Y 0?%?AL ?N/

E:uit1 mutual funds are als /n"n as stoc1 mutual unds.

65


66/117

E:uit1 mutual funds in&est pled amunts f mne1 in t!e st./s f publi. .mpanies' St./s

represent part "ners!ip- r e:uit1- in .mpanies- and t!e aim f st./ "ners!ip is t see t!e

&alue f t!e .mpanies in.rease &er time' St./s are ften .ate#ri


67/117

' +" Csts

' Di&ersifi.atin

?' Affrdabilit1

H' ,le3ibilit1

>' C!i.e f S.!emes

B' 6ell Re#ulated

' Transparen.1

=@' +i:uidit1

Limitations in 0utual und

=' N Guarantees

' ,ees and .mmissins

' Ta3es

' %ana#ement ris/

67


68/117

COMMODITIES

Cmmdities are als a #d in&estment ptin fr in&estrs' T!ere are s man1 ptins in

.mmdities fr in&estment "!i.! are as fll"s'

%etal

$ase metal

Ni./el

Cpper

Platinum

in.

Steel

Aluminum

Pre.ius metal

Gld

sil&er

ener#1

natural #as

.rude il

A#r

Criander

Jeera68


69/117

C!ana

Guar

Pepper

C!ili

Rubber

Su#ar

Gur

Ptates

Refined S1abean

69


70/117

In .mmdities tradin# ta/es pla.e nl1 in futures' It means dealin# is pssible nl1 n

deli&er1 basis' Intra(da1 tradin# is nt pssible be.ause t!ere are .ntra.ts f t!ree mnt!sn e&er1 .mmdit1' $r/era#e is .!ar#ed n intra(da1 basis' One basi. .n.ept f.mmdit1 tradin# is t!at t!ere is n D(%AT a..unt in .mmdit1 tradin#' T!ere is nl1tradin# a..unt be.ause .mmdities are pur.!ased and sell in p!1si.al frm nt inele.trni. frm and D(%AT is demateriali


71/117

P"erful Resear.! Anal1ti.s

One f t!e best in .lass dealin# rms

As stated ab&e br/era#e is .!ar#ed n intra(da1 basis in .mmdit1 tradin# in RC+ br/era#e

s!eet is as fll"s(

P'% B"+#"%)#

Onl1 tradin# a..unt '@ paisa

Rall1 d!ama/a plus '@=? paisa

R%'': /-%3%% )"%/ '@= paisa

71


72/117

A/%*%)# +$ *"%/() ( +33+/(*(#

Big mar1et * di-erse opportunities

$e.ause t!e listed .mmdities in.lude $ullin- %etals- Ener#1 and A#ri prdu.ts-

tradin# in .mmdities pr&ides a lu.rati&e mar/et pprtunit1 fr in&estrs'

$uge potential

Cmmdit1 e3.!an#es "itness a si


73/117

P+"*$+'(+ 3%%)#3#* #"(# PMS

N"(a(da1s man1 .mpanies are fferin# prtfli mana#ement s.!emes' In t!ese s.!emes

.mpan1 #i&e a pprtunit1 t .lients t in&est t!eir mne1 in bul/' In P%S t!ere is n interfere

f in&estr in in&estment' It means !es!e des nt interfere t!at in "!i.! and in "!i.! s.ripts

!is mne1 is in&estin#' T!ere is a team f fund mana#ers in t!e .mpan1 "!i.! mana#e t!e

mne1 f t!e in&estr'

It is t!e de.isin f ,und mana#er t!at in "!i.! s.ripts t!e mne1 f t!e in&estr "ill be

in&ested'

F#%*1"#

Prtfli f =?(=B slid st./s

,.us n st./s "it! lar#e mar/et .apitali? f t!e prtfli- #i&in# 1ur prtfli #reater

le&era#e

73


74/117

R#'()%"# #"(# ( PMS

Reli#are ffers P%S t address &ar1in# in&estment preferen.es' As a f.used ser&i.e- P%S pa1s

attentin t details- and prtflis are .ustmi


75/117

#chemes o +0# in Religare

P%*-#"

T!e Pant!er prtfli aims t a.!ie&e !i#!er returns b1 ta/in# a##ressi&e psitins a.rss

se.trs and mar/et .apitali


76/117

st./s in t!eir earl1 sta#es f an upturn r fr t!se "!i.! are in se.trs .urrentl1 i#nred b1

t!e mar/et'

L#+

+e is aimed at retail .ustmers and stru.tured t pr&ide medium t ln#(term .apita

appre.iatin b1 in&estin# in st./s a.rss t!e mar/et .apitali


77/117

+erormance measurement

,und perfrman.e is t!e a.id test f fund mana#ement- and in t!e institutinal .nte3t

a..urate measurement is a ne.essit1' ,r t!at purpse- institutins measure t!e perfrman.e

f ea.! fund 7and usuall1 fr internal purpses .mpnents f ea.! fund8 under t!eir

mana#ement- and perfrman.e is als measured b1 e3ternal firms t!at spe.iali


78/117

A #d in&estment strate#1 re:uires .!sin# t!e ri#!t mi3 f safe and ris/1 in&estments'

Amn# safe in&estments- fi3ed depsits- ,Ds- are t!e mst ppular tda1'

6it! ,Ds 1u depsit a lump sum f mne1 fr a fi3ed perid ran#in# frm a fe" "ee/s t a

fe" 1ears and earn a pre(determined rate f interest' ,Ds are ffered b1 bt! ban/s and

.mpanies t!u#! puttin# 1ur mne1 "it! t!e latter is #enerall1 .nsidered ris/ier'

I*#"#* "%*# + FD

T!e rate f interest n ,Ds &aries a..rdin# t t!e maturit1 "it! ln#er depsits #enerall1

earnin# a !i#!er interest rate' Interest rates n ,Ds &ar1 :uite a bit frm ban/ t ban/ s 1u

s!uld sear.! arund befre in&estin#'

Interest paid n a fi3ed depsit is paid eit!er mnt!l1 r :uarterl1 a..rdin# t t!e in&estrQs

.!i.e' S if 1u in&est Rs la.s t!ere and in a ne 1ear fi3ed depsit "!i.! pa1s B per .ent

1u .an earn Rs -@@@ f interest e&er1 mnt! r Rs H-@@@ f interest e&er1 :uarter'

E$$#*(# R#*1"

$efre 1u in&est in ,Ds 1u need t understand t!e .n.ept f effe.ti&e return "!i.! is

!i#!er t!an t!e rate f interest n t!e ,D' Effe.ti&e return isrele&ant if 1u .!set rein&est1ur interest e&er1 1ear "!i.! means t!at 1u "ill be earnin# .mpund interest

,r e3ample suppse 1u in&est Rs =-@@@ in a fi3ed depsit "it! B per .ent interest "!i.! is

paid :uarterl1'

In t!e first :uarter 7after mnt!s8 1u "ill earn an interest f Rs @ "!i.! is re(in&ested and

.ntinues t earn interest in t!e remainin# t!ree :uarters' Similarl1 t!e interest 1u earn in t!e

se.nd 7after H mnt!s8 and t!ird :uarter 7after mnt!s8 is als rein&ested and earns

interest'

At t!e end f t!e 1ear be.ause f .mpund interest 1u "ill re.ei&e Rs =-@B' meanin# t!at

1ur effe.ti&e return is B' per .ent rat!er t!an B per .ent '

I$ %:+# ,%* *+ ,(*-/"%, $"+3 FD78


79/117

$rea/in# a fi3ed depsit means "it!dra"in# t!e mne1 befre t!e maturit1 e3pires' T!is ma1

be ne.essar1 if 1u ur#entl1 re:uire t!e funds r if t!ere are better in&estment pprtunities

else"!ere' Yu "ill !a&e t pa1 a .st0 fr instan.e 1u ma1 re.ei&e an interest rate = per .ent

l"er t!an t!e stated interest rate n t!e ,D'

,r e3ample if 1u in&ested in a 1ear ,D "it! per .ent and 1u brea/ it after t" 1ears 1u

ma1 re.ei&e nl1 B per .ent interest fr t!se t" 1ear instead f per .ent'

An alternati&e t brea/in# a fi3ed depsit is ta/in# a lan a#ainst t!e ,D' Su.! lans are :uite

eas1 t btain "it! amunts ran#in# up t @ per .ent f t!e prin.ipal and a..umulated

interest'

A/%*%)# +$ (#*3#* ( F(J#/ D#4+(*

S%$# (#*3#*

T!e main ad&anta#e is t!at ,Ds frm reputed ban/s are a &er1 safe in&estment be.ause su.!

ban/s are .arefull1 re#ulated b1 t!e Reser&e $an/ f India R$I- t!e ban/in# re#ulatr in India'

R#)1'%" (+3#

T!e t!er ad&anta#e f ,Ds is t!at 1u !a&e t!e ptin f re.ei&in# re#ular in.me t!ru#!

t!e interest pa1ments t!at are made e&er1 mnt! r :uarter' T!is ptin is espe.iall1 useful fr

retirees

L(3(*%*(+ +$ F(J#/ D#4+(*

L# "#*1" *-% *+ 3%"#*

A fi3ed depsit "nQt #i&e 1u t!e same returns t!at 1u ma1 #et in t!e st./ mar/ets' ,r

instan.e a st./(prtfli ma1 rise @(@ per .ent in a #d 1ear "!ereas a fi3ed depsit

t1pi.all1 earns nl1 >(=@ per .ent

Impact o inlation on returns79


80/117

A fi3ed depsit als desnQt ffer prte.tin a#ainst inflatin' If inflatin rises steepl1 durin# t!e

maturit1 f t!e ,D 1ur inflatin ad2usted return "ill fall'

Sa1- fr e3ample- t!e inflatin "!en 1u depsited t!e mne1 at a fi3ed return f B per .ent

per annum is per .ent' N" "!en 1ur ,D matures sa1 after 1ears- t!e inflatin in.reases

t sa1 ? per .ent'

ixed maturity plan (0+)

,i3ed maturit1 plan is a #d in&estment ptin fr t!se in&estrs "! "ant t in&est in 2ust

li/e fi3ed depsits plans be.ause t!ese plans are mre r less same as ,Ds' T!e1 !a&e afi3ed maturit1 perid 2ust li/e ,Ds'

%utual funds ffer ,i3ed %aturit1 Plans' T" features ma/e t!em distin.t frm t!er fund

s.!emes

=' T#1"#

,%Ps !a&e a fi3ed maturit1 date' It .uld be =? da1s- @- @- ==- =B@ r e&en H? da1s

Sme e&en !a&e a t!ree r fi&e(1ear time frame'

Re.entl1- $irla laun.!ed su.! a plan fr =B mnt!s and H mnt!s'

At t!e end f t!is perid- t!e s.!eme matures- 2ust a li/e a fi3ed depsit'

2' I#*3#*

80


81/117

,%Ps in&est in fi3ed in.me instruments- li/e bnds- #&ernment se.urities- mne1 mar/et

instruments 7&er1 s!rt(term fi3ed return in&estments8- t name a fe"'

H+, '+) ( *-# 3+#: '+#/

$efre t!e s.!eme pens- t!e tenure is made /n"n' Yu must pi./ a tenure mst suited f

1u'

Nte ,%Ps are eit!er pen ended 7mre t!e e3.eptin8 r .lse ended 7mre t!e nrm8'

Open ended funds all" 1u t enter 7bu1 units8 and e3it 7sell units8 an1 time 1u "ant'

Clse ended means t!e1 remain pen fr subs.riptin nl1 fr a s!rt perid f time' T!e1

t!en .lse and d nt a..ept an1 fres! depsits' T!e1 als d nt all" .urrent in&estrs t

"it!dra"' S 1ur mne1 is l./ed in durin# t!at time frame'

If 1u need t!e mne1 ur#entl1- 1u .an sell 1ur units' $ut 1u "ill !a&e t pa1 an e3it lad

7t!e fee "!en 1u sell t!e units f a fund8'

Clse ended s.!emes .!ar#e a lad bet"een = and f t!e Net Asset )alue 7pri.e f a

unit f a fund8 at t!e time f "it!dra"al' T!is is referred t as an e3it lad and is le&ied "!en

an in&estr "ants t sell !is5!er units'

T!e reasn fr t!is steep lad is t dissuade in&estrs frm e3itin# befre t!e fund matures' Of

.urse- if 1u !ld n till maturit1- 1u "ill nt!a&e t pa1 an e3it lad'

H+, /+ *-#: /($$#" $"+3 (+3# $1/

An in.me fund "ill in&est in t!e same instruments li/e an ,%P' $ut an pen ended in.me

fund "ill nt !a&e a fi3ed tenure'

81


82/117

$e.ause t!e tenure f t!e s.!eme is fi3ed- it ma/es in&estin# easier fr t!e fund mana#er' *e

.an in&est in instruments t!at "ill mature arund t!e same time t!e s.!eme matures- in ne

#'

S a fund mana#er "it! an ,%P f a fi&e(1ear maturit1- fr instan.e- "ill in&est nl1 in

instruments t!at !a&e a fi&e(1ear maturit1' Similarl1- a ne(1ear ,%P "ill in&est in ne(1ear

maturit1 in&estments'

$e.ause f t!is- !e .an e&en #i&e an indi.ati&e return 7t!u#! !e .annt assure ne8 unli/e an

in.me fund'

H+, /+ *-#: /($$#" $"+3 $(J#/ /#4+(*

T!e similarit1 first bt! !a&e fi3ed tenures'

T!e differen.e a fi3ed depsit #i&es assured returns' Yu /n" "!at 1u are #ettin# and

"!en'

An ,%P "ill #i&e an indi.ati&e- but nt assured- return'

Yu "ill be e3pe.ted t in&est a minimum f Rs ?-@@@ in an ,%P' Nt s in t!e .ase f a ban/depsit- t!is .an be less'

W-%* ( *-# *%J (34%*

If 1u in&est in an ,%P- t!e di&idend is ta3(free in t!e !ands f t!e indi&idual in&estr'

If 1u in&est in t!e #r"t! ptin f t!e ,%P fr less t!an a 1ear- t!e #ains are added t t!e

in&estrQs in.me and ta3ed at t!e in&estrQs slab rate'

If 1u in&est in t!e #r"t! ptin f t!e ,%P fr &er a 1ear- 1u pa1 eit!er =@ .apital #ains

ta3 "it!ut inde3atin r @ "it! inde3atin'

Inde3atin is t!e pr.ess b1 "!i.! t!e inflatin is ta/en int a..unt "!en .mputin# t!e ta3

liabilit1' T understand inde3atin- readAll abut .apital #ain'

82
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W-%* %"# *-# "#*1" (#*+" % #J4#*

T!e mutual fund "ill !a&e t pa1 a di&idend de.laratin ta3 f ='?' After dedu.tin# t!at

returns in t!e !ands f t!e in&estr .an be !i#!er t!an a ban/ depsit'

+etQs assume an ,%P #i&es a return f ?'?@ fr a ne(1ear plan' A#ainst t!at .mpare a ne(

1ear ban/ fi3ed depsit' Sure' If 1u d nt li/e t ta/e an1 ris/s "it! 1ur sa&in#s and

1ur diet .nsists f fi3ed return in&estments- t!is is ne ptin t .nsider'

Or if 1u !a&e sme mne1 t!at 1u "uld li/e t put a"a1 fr a &er1 s!rt perid f time- t!is

is an ptin fr 1u'

$ut read t!e in&estment b2e.ti&es f t!e s.!eme .arefull1 befre 1u in&est' A fund "it! a

ln#(term !ri


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In su.! plans t!e s!uld be a"are be.ause if !es!e is .!sin# ln# term &alidit1 t!an

t!ere is ris/ fa.tr be.ause in ln# term plan sme amunt f t!e in&estment .an # in

t e:uit1

IN#?RAN&

84


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You can7t do anything about the

Length o your lie6

But you can do

#omething or its !idth and depth.

Insuran.e is a plannin# f ris/ .&erin# b1 indi&iduals' T!ere are man1 ris/s in life r "e .an

sa1 t!at a lt f a..idents are "aitin# fr us' *en.e fr .&erin# t!ese ris/s indi&iduals prefer

insuran.e plans fr in&estment'

Insuran.e is based n t!e .n.ept f ris/ plin# r ris/

s!arin# f lsses' $asi.all1 under t!is .n.ept- all indi&iduals sufferin# a similar ris/- pla.e an

a#reed sum int a pl and t!e mnies .lle.ted are used t indemnif1 an1 .ntributin#

indi&idual a#ainst an1 lss'

Terms "!i.! are used in an insuran.e pli.1

Premium t!e minimum amunt "!i.! t!e .lient "ant t #i&e a..rdin# t t!e terms and

.nditins f t!e insuran.e .mpan1'

Sum assured it is t!e ris/ .&er' T!e amunt f sum assured depends upn t!e insured r

t!e "ner f t!e insuran.e pli.1 t!at !" mu.! timer f sum assured !es!e "ants t ta/e'

All.atin and mrtalit1 .!ar#es t!ese are t!e .!ar#es "! t!e insuran.e .mpanies .!ar#e'

P+'((# +$ (1"%#

End"ment pli.1

Term pli.185


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%ne1 ba./ pli.1

U+IPplan

E/+,3#* 4+'(:

End"ment pli.1 is #d fr 1un# peple as it pr&ides t!em an pprtunit1 nt nl1 t

.&er t!emsel&es fr ris/ but als pr&ides finan.ial independen.e t t!em in ld a#e b1 "a1

f maturit1 benefit'

M+#: % 4+'(:

%ne1 ba./ pli.1 n t!e t!er !and is ideal fr married peple and t!se "! !a&e s!rt(

term finan.ial re:uirements' T!e peridi. returns in .ase f mne1 ba./ pli.1 .an be used fr

pr&idin# fr .!ildren;s edu.atin- marria#e- bu1in# #dies et.'

T#"3 (1"%# 4+'(:

Term insuran.e r pure ris/ .&er is &er1 .!eap and as su.! !elps us t insure ursel&es fr

lar#er amunts fr l"er premium' T!is pli.1 is ideal fr ld peple and t!se "! .an;t # fr

an end"ment plan be.ause f t!e pr!ibiti&e premium le&el at t!at a#e' It !elps t!epli.1!lder t be .&ered fr lar#er amunts'

U(* '(#/ (1"%# 4'% ULIP

Unit lin/ed insuran.e plan 7U+IP8 is life insuran.e slutin t!at pr&ides fr t!e benefits f

prte.tin and fle3ibilit1 in in&estment' T!e in&estment is dented as units and is represented

b1 t!e &alue t!at it !as attained .alled as Net Asset )alue 7NA)8' T!e pli.1 &alue at an1 time

&aries a..rdin# t t!e &alue f t!e underl1in# assets at t!e time'

86


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U+IP pr&ides multiple benefits t t!e .nsumer' T!e benefits in.lude

+ife prte.tin

In&estment and Sa&in#s

,le3ibilit1

Ad2ustable +ife C&er

In&estment Optins

Transparen.1

Optins t ta/e additinal .&er a#ainst

Deat! due t a..ident

Disabilit1

Criti.al Illness

Sur#eries

+i:uidit1

Ta3 plannin#

T:4# +$ (1"%#

*ealt! insuran.e

+ife insuran.e

Prpert1 insuran.e

Disabilit1 insuran.e

Casualt1 insuran.e

Credit insuran.e

+iabilit1 insuran.e

87

CRE"IT

INSURANCEPROPERT,

INSURANCE


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L($# (1"%#

+ife insuran.e is a .ntra.t bet"een t!e pli.1 "ner and t!e insurer- "!ere t!e insurer

88

LIA1ILIT,

INSURANCE

"ISA1ILIT,INSURANCE

LIFEINSURANCE

HAELTH

INSURANCRE

CASUALIT,

INSURANCE


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a#rees t pa1 a sum f mne1 upn t!e ..urren.e f t!e insured indi&idualQs r indi&idualsQdeat! r t!er e&ent- su.! as terminal illness r .riti.al illness' In return- t!e pli.1 "nera#rees t pa1 a stipulated amunt .alled a premium at re#ular inter&als r in lump sums'

As "it! mst insuran.epli.ies- life insuran.e is a .ntra.t bet"een t!e insurer and t!e pli.1

"ner "!ereb1 a benefit is paid t t!e desi#nated benefi.iaries if an insured e&ent ..urs"!i.! is .&ered b1 t!e pli.1' T be a life pli.1 t!e insured e&ent must be based upn t!eli&es f t!e peple named in t!e pli.1

T!ere are t!ree parties in&l&ed in a life insuran.e transa.tin

T!e insurer (

T!e insured

O"ner f t!e pli.1

$enefi.iar1 f t!e pli.1

H#%'*- (1"%#

T!e term -#%'*- (1"%# is #enerall1 used t des.ribe a frm f insuran.e t!at pa1s frmedi.al e3penses' It is smetimes used mre bradl1 t in.lude insuran.e .&erin# disabilit1r ln#(term nursin#r .ustdial .are needs' It ma1 be pr&ided t!ru#! a #&ernment(spnsred s.ial insuran.e pr#ram- r frm pri&ate insuran.e .mpanies' It ma1 be

pur.!ased n a #rup basis 7e'#'- b1 a firm t .&er its empl1ees8 r pur.!ased b1 indi&idual.nsumers' In ea.! .ase- t!e .&ered #rups r indi&iduals pa1 premiums r ta3es t !elpprte.t t!emsel&es frm !i#! r une3pe.ted !ealt!.are e3penses' Similar benefits pa1in# frmedi.al e3penses ma1 als be pr&ided t!ru#! s.ial "elfare pr#rams funded b1 t!e#&ernmen

P"+4#"*: (1"%#

Prpert1 insuran.e pr&ides prte.tin a#ainst mst ris/s t prpert1- su.! as fire- t!eft andsme "eat!er dama#e'

Spe.iali


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Prpert1 is insured in t" main "a1s

Open perils

Named perils

2pen perils.&er all t!e .auses f lss nt spe.ifi.all1 e3.luded in t!e pli.1' Cmmn

e3.lusins n pen peril pli.ies in.lude dama#e resultin# frm eart!:ua/es- flds- nu.lear

in.idents- a.ts f terrrism and "ar'

Namedperilsre:uire t!e a.tual .ause f lss t be listed in t!e pli.1 fr insuran.e t be

pr&ided' T!e mre .mmn named perils in.lude su.! dama#e(.ausin# e&ents as fire

li#!tnin#- e3plsin and t!eft

C"#/(* (1"%#

C"#/(* I1"%#is f t" t1pes

Credit life insuran.e

Trade .redit insuran.e

C"#/(* L($# I1"%#is a .nsumer pur.!ase- ften sld "it! a bi# ti./et pur.!ase su.! as an

autmbile' T!e insuran.e "ill pa1 ff t!e lan balan.e in t!e e&ent f t!e deat! r t!e

disabilit1 f t!e brr"er' Alt!u#! pur.!ased b1 t!e .nsumer5brr"er- t!e benefit pa1ment

#es t t!e .mpan1 finan.in# t!e pur.!ase t satisf1 a debt'

T"%/# C"#/(* I1"%# is an insuran.e pli.1 and ris/ mana#ement prdu.t t!at .&ers t!e

pa1ment ris/ resultin# frm t!e deli&er1 f #ds r ser&i.es' Credit insuran.e usuall1 .&ers a

prtfli f bu1ers and pa1s an a#reed per.enta#e f an in&i.e r re.ei&able t!at remains

unpaid as a result f prtra.ted default- insl&en.1 r ban/rupt.1' Trade .redit insuran.e is

pur.!ased b1 business entities t insure t!eir a..unts re.ei&able frm lss due t t!e

insl&en.1 f t!e debtrs' T!is prdu.t is nt a&ailable t pri&ate indi&iduals'

90


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T!e .sts 7.alled a premium8 fr t!is are usuall1 .!ar#ed mnt!l1- and are .al.ulated as a

per.enta#e f sales f t!at mnt! r as a per.enta#e f all utstandin# re.ei&ables'

Credit insuran.e insures t!e pa1ment ris/ f .mpanies- nt f pri&ate indi&iduals' Pli.1 !lders

re:uire a .redit limit n ea.! f t!eir bu1ers fr t!e sales t t!at bu1er t be insured' T!e

premium rate is usuall1 l" and refle.ts t!e a&era#e .redit ris/ f t!e insured prtfli f

bu1ers'

In additin- .redit insuran.e .an als .&er sin#le transa.tins r trade "it! nl1 ne bu1er'

L(%('(*: (1"%#

6!ere ln# trials are !eld t determine eit!er fault r t!e amunt f dama#es' L(%('(*:

(1"%#is a part f t!e #eneral insuran.e s1stem f ris/ finan.in#' Ori#inall1- indi&iduals r

.mpanies t!at fa.ed a .mmn peril frmed a #rup and .reated a self(!elp fund ut f "!i.!

t pa1 .mpensatin s!uld an1 member in.ur lss' T!e mdern s1stem relies n dedi.ated

.arriers t ffer prte.tin a#ainst spe.ified perils in .nsideratin f a premium' +iabilit1

insuran.e is desi#ned t ffer spe.ifi. prte.tin a#ainst t!ird part1 .laims- i'e'- pa1ment is nt

t1pi.all1 made t t!e insured- but rat!er t smene sufferin# lss "! is nt a part1 t t!e

insuran.e .ntra.t' In #eneral- dama#e .aused intentinall1 and .ntra.tual liabilit1 is nt

.&ered under liabilit1 insuran.e pli.ies' 6!en a .laim is made- t!e insuran.e .arrier !as t!e

ri#!t t defend t!e insured' T!e le#al .sts f a defense are nt al"a1s affe.ted b1 an1 pli.1

limits- "!i.! is useful be.ause t!e1 .an be si#nifi.ant

C%1%'*: (1"%#

Casualt1 insuran.e pli.ies are "ritten t .&er lss t!at is t!e dire.t result f a..ident' It ma1

in.lude

Aut liabilit1 insuran.e fr .ar a..idents-

%arine insuran.e fr s!ip"re./s r lsses at sea- and et.'

91


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+ife- !ealt! and prpert1 insuran.e are t1pi.all1 e3.luded frm t!e definitin' +sel1 used t

des.ribe an area f insuran.e nt parti.ularl1 r dire.tl1 .n.erned "it! life insuran.e- fire

insuran.e r autmbile insuran.e' %st fre:uentl1 it refers t liabilit1- .rime and plate #lass

insuran.e but ma1 in.lude suret1 as "ell'

D(%('(*: (1"%#

Disabilit1 insuran.e- ften .alled disabilit1 in.me insuran.e- is a frm f insuran.e t!at

insures t!e benefi.iar1Qs earned in.me a#ainst t!e ris/ t!at disabilit1 "ill ma/e "r/in# 7and

t!erefre earnin#8 impssible' In t!er "rds- disability insurance ans!ers the ,uestion6

$o! !ould I pay or my li-ing expenses i I became unable to !or1

FINDINGS

92


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An#el $r/in# +td' is a "rld .lass .mpan1 and pr&idin# &er1 #d ser&i.es t its.lients

Its main b2e.ti&e t pr&ide persnali


94/117

' T ma3imi


95/117

M#*-+/ +$ S1"#:

95


96/117

Identifi.atin f prblem( 6!at is t!e indi&iduals In&estment strate#1 in e:uities and t!er

in&estment ptins

Data .lle.tin (

Primar1 data ( $1 sur&e1 f indi&iduals

Sample si


97/117

Se.ndar1 data ( I !a&e .lle.ted se.ndar1 frm "ebsite'

SURVE9 RESULTS

GRAP*ICA+ PRESENTATION O, PERCENTAGE O,IN)EST%ENT IN RE+IGARE;S DI,,ERENT

IN)EST%ENT OPTIONS

97


98/117

In sur&e1 I !a&e fund t!at t!ere are mre in&estrs f e:uit1 mar/et in Reli#are as .mpare t

t!er in&estment ptins' T!e ab&e #rap! s!"s t!e Reli#are;s presen.e in finan.ial mar/ett!at it !as its presen.e in e&er1 finan.ial se.tr but it !as mre in&estrs f e:uit1 mar/et'

98


99/117

99


100/117

Ri(+ $ig$ ri(+

Return $ig$ return

"vantage( t$ere i( *t$

inve(t&ent *pti*n( are availale

intra"a. "eliver. $ence inve(t*r

can inve(t $i($er &*ne. /*r l*ng

ter& ($*rt ter& a( #ell

i(a"vantage( in e:uitie( return(

"epen"( up*n t$e &ar+et c*n"iti*n(

T$ere are n* /ie" return( ;ence

inve(t*r( &*ne. i( al#a.( *n ri(+

)u(ine((&an

60*r internati*nal

c*&&*"it. ec$ange(? t$u( giving tra"er( a&ple

ti&e t* earn pr*/it(

Return( return( are al#a.(

acc*r"ing t* ri(+ ;ig$ ri(+ $ig$

return l*# ri(+ l*# return

Ri(+ ri(+ i( $ig$ ut le(( a(

c*&pare t* e:uitie(

,*&&*"it.

)u(ine((&an

25

Religare Final Report

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