Sejal Mhatre
Sejal Mhatre
A Project Submitted To
University of Mumbai For Partial Completion Of
The Degree of Bachelor In Commerce
(Accounting And Finance)
SEMESTER-VI
Submitted By
Sejal Kailas Mhatre
Roll No. 51
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K.M. AGRAWAL COLLEGE.
ADDRESS: GANDHARE, PADGHA RD, KALYAN (W) 421-301,
DIS- THANE
Certificate
This is to certify that Sejal Kailas Mhatre has worked and duly completed her/his Project
Work for the degree of Bachelor in Commerce (Accounting & Finance) under the Faculty of
Commerce in the subject of Accounting & Finance and his/her project is entitled,“ Devanjali
Dutta ” under my supervision.
I further certify that the entire work has been done by the learner under my guidance
and that no part of it has been submitted previously for any. Degree or Diploma of
any University.
It is his/her own work and facts reported by her/his personal findings and
investigations.
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DECLARATION
I, the undersigned Miss Sejal Kailas Mhatre hereby, declare that the work embodied in this
project work tittle “India Infoline Derivatives”, my own contribution to the research work
carried out under the guidance of Ms. Devanjali Dutta a result of my own
research work and has not been previously submitted to any other University for
any other Degree/ Diploma to this or any other University.
Wherever reference has been made to previous works of others, it has been clearly
indicated as such and included in the bibliography.
I, here by further declare that all information of this document has been
obtained and presented in accordance with academic rules and ethical conduct.
Certified by
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ACKNOWLEDGEMENT
To list who all have helped me is difficult they are so numerus and the depth is so enormous.
would like to acknowledge the following as being idealistic channels and fresh dimensions
in the completion of this project.
I take this opportunity to thank the University of Mumbai for giving me chance to do this
project.
would like to thank my Principal, DR. ANITA MANNA for rewording the necessary
facilities required for completion of this project.
I take this opportunity to thank our Coordinator, PROF. SUJEET SINGH for his moral support
and guidance.
I would also like to express my sincere gratitude towards my project guide
PROF. DEVANJALI DUTTA whose guidance and care made the project successful.
I would like to thank my Library, for having provided various books and magazines related
to my project. Lastly.
I would like to thank each and every person who directly or indirectly help me
in the completion of the project especially my Parents and Peers who supported me
throughout my project.
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S.No. CONTENTS
1. PREFACE 6
2. EXECUTIVE SUMMARY 7
3. INTRODUCTION 8
4. INDUSTRY PROFILE 10
5. COMPANY PROFILE 19
7. OBJECTIVES OF PROJECT 70
8. SCOPE OF STUDY 71
9. RESEARCH METHODOLOGY 72
11. FINDINGS 90
12. LIMITATIONS 93
13. SUGGESTIONS 94
14. CONCLUSION 95
15. BIBLIOGRAPHY 96
16. QUESTIONNAIRE 96
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PREFACE
The Data Collected for this purpose has been presented in a condensed form so that the deep
analysis of the data can be made to draw meaningful conclusion and make the project meaningful
and worthy .A good practice oriented management program include is its curriculum ,vocational
training because it is an important aspect. Every student has to undergo training in an industrial
commercial organization for specifically period and theoretical knowledge is imperfect and
incomplete with out practical knowledge and vice-versa.To develop healthy management and
administration skills in the potential managers it is very theoretical knowledge must be supported
with the real business environment the training enables also yhe management students to see the
working conditions under which they have to work in future. To have practical working experience
in
The training enables and helped me in giving an insight into the working process system and role
and importance of Marketing in an organization to get a practical insight in the actual business
environment. The training also helped me in giving an insight into the working experience process
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EXECUTIVE SUMMARY
The IIFL (India Infoline) group, comprising the holding company, India Infoline Ltd (NSE:
INDIAINFO, BSE: 532636) and its subsidiaryes, is one of the leading players in the Indian
financial services space. IIFL offers advice and execution platform for the entire range of financial
services covering products ranging from Equities and derivatives, Commodities, Wealth
management, Asset management, Insurance, Fixed deposits, Loans, Investment Banking, GoI bonds
and other small savings instruments. IIFL recently received an in-principle approval for Securities
Trading and Clearing memberships from Singapore Exchange (SGX) paving the way for IIFL to
become the first Indian brokerage to get a membership of the SGX. IIFL also received membership
of the Colombo Stock Exchange becoming the first foreign broker to enter Sri Lanka. IIFL owns
and manages the website, www.indiainfoline.com, which is one of India’s leading online
destinations for personal finance, stock markets, economy and business. IIFL has been awarded the
‘Best Broker, India’ by FinanceAsia and the ‘Most improved brokerage, India’ in the AsiaMoney
polls. India Infoline was also adjudged as ‘Fastest Growing Equity Broking House - Large firms’ by
Dun & Bradstreet. A forerunner in the field of equity research, IIFL’s research is acknowledged by
none other than Forbes as ‘Best of the Web’ and ‘…a must read for investors in Asia’. Our research
is available not just over the Internet but also on international wire services like Bloomberg,
Thomson First Call and Internet Securities where it is amongst one of the most read Indian brokers.
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CHAPTER – I
INTRODUCTION
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INDUSTRY PROFILE
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INDUSTRY PROFILE
The Indian broking industry is one of the oldest trading industries that have been around even
before the establishment of the BSE in 1875. Despite passing through number of changes in the
post liberalization period, the industry has found its way onwards sustainable growth. With the
purpose of gaining a deeper understanding about the role of the Indian stock broking industry in
the country’s economy, we present in this section some of the industry insights gleaned from
For the broking industry, we started with an initial database of over 1,800 broking firms that
were contacted, from which 464 responses were received. The list was further short listed based on
the number of terminals and the top 210 were selected for profiling. 394 responses, that provided
more than 85% of the information sought have been included for this analysis presented here as
insights. All the data for the study was collected through responses received directly from the
broking firms. The insights have been arrived at through an analysis on various parameters,
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pertinent to the equity broking industry, such as region, terminal, market, branches, sub brokers,
On the basis of geographical concentration, the West region has the maximum
representation of 52%. Around 24% firms are located in the North, 13% in the South and
3% firms started broking operations before 1950, 65% between 1950-1995 and 32% post
1995.
On the basis of terminals, 40% are located at Mumbai, 12% in Delhi, 8% in Ahmedabad, 7%
From this study, we find that almost 36% firms trade in cash and derivatives and 27% are
into cash markets alone. Around 20% trade in cash, derivatives and commodities
In the cash market, around 34% firms trade at NSE, 14% at BSE and 52% trade at both
exchanges. In the derivative segment, 48% trade at NSE, 7% at BSE and 45% at both,
whereas in the debt market, 31% trade at NSE, 26% at BSE and 43% at both exchanges
Majority of branches are located in the North, i.e. around 40%. West has 31%, 24% are
In terms of sub-brokers, around 55% are located in the South, 29% in West, 11% in North
and 4% in East
Trading, IPOs and Mutual Funds are the top three products offered with 90% firms offering
trading, 67% IPOs and 53% firms offering mutual fund transactions
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In terms of various areas of growth, 84% firms have expressed interest in expanding their
institutional clients, 66% firms intend to increase FII clients and 43% are interested in
In terms of IT penetration, 62% firms have provided their website and around 94% firms
A BRIEF HISTORY
India Infoline was originally incorporated on October 18, 1995 as Probity Research and
Services Private Limited at Mumbai under the Companies Act, 1956 with Registration No. 11
and research covering Indian businesses, financial markets and economy, to institutional customers.
India Infoline became a public limited company on April 28, 2000 and the name of the Company
was changed to Probity Research and Services Limited. The name of the Company was changed to
India Infoline.com Limited on May 23, 2000 and later to India Infoline Limited on March 23, 2001.
In 1999, India Infoline.com identified the potential of the Internet to cater to a mass retail
segment and transformed our business model from providing information services to institutional
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www.indiainfoline.com in May 1999 and started providing news and market information,
independent research, interviews with business leaders and other specialized features.
In May 2000, the name of India Infoline was changed to India Infoline.com Limited to
reflect the transformation of our business. Over a period of time, India Infoline.com has emerged as
one of the leading business and financial information services provider in India.
In the year 2000, India Infoline leveraged its position as a provider of financial
information and analysis by diversifying into transactional services, primarily for online trading in
shares and securities and online as well as offline distribution of personal financial products, like
mutual funds and RBI Bonds. These activities were carried on by our wholly owned subsidiaries.
India Infoline broking services was launched under the brand name of 5paisa.com through
our subsidiary, India Infoline Securities Private Limited and www.5paisa.com, the e-broking portal,
was launched for online trading in July 2000. It combined competitive brokerage rates and research,
supported by Internet technology besides investment advice from an experienced team of research
analysts, India Infoline also offer real time stock quotes, market news and price charts with multiple
Facilities
India Infoline’s main offices are located in approximately 4,000 square feet of office space
located in Mumbai, India. India Infoline Branches collectively occupy an additional 10,000 square
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feet of office space located throughout India, As on March 31, 2005, India Infoline has 73 branches
Terminals
Almost 52% of the terminals in the sample are based in the Western region of India,
followed by 25% in the North, 13% in the South and 10% in the East. Mumbai has got the
maximum representation from the West, Chennai from the South, New Delhi from the North and
The maximum concentration of branches is in the North, with as many as 40% of all
branches located there, followed by the Western region, with 31% branches. Around 24% branches
are located in the South and East constitutes for 5% of the total branches of the total sample.
In case of sub-brokers, almost 55% of them are based in the South. West and North follow,
with 30% and 11% sub-brokers respectively, whereas East has around 4% of total sub-brokers.
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Financial Markets
The financial markets have been classified as cash market, derivatives market, debt market
and commodities market. Cash market, also known as spot market, is the most sought after
amongst investors. Majority of the sample broking firms are dealing in the cash market, followed
by derivative and commodities. 27% firms are dealing only in the cash market, whereas 35% are
into cash and derivatives. Almost 20% firms trade in cash, derivatives and commodities market.
Firms that are into cash, derivatives and debt are 7%. On the other hand, firms into cash and
commodities are 3%, cash & debt market and commodities alone are 2%. 4% firms trade in all the
markets.
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In the cash market, around 34% firms trade at NSE, 14% at BSE and 52% trade at both
exchanges. In the equity derivative market, 48% of the sampled broking houses are members of
NSE and 7% trade at BSE, while 45% of the sample operate in both stock exchanges. Around 43%
of the broking houses operating in the debt market, trade at both exchanges with 31% and 26%
Products
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The survey also revealed that in the past couple of years, apart from trading, the firms have
started offering various investment related value added services. The sustained growth of the
economy in the past couple of years has resulted in broking firms offering many diversified
services related to IPOs, mutual funds, company research etc. However, the core trading activity is
still the predominant form of business, forming 90% of the firms in the sample. 67% firms are
engaged in offering IPO related services. The broking industry seems to have capitalized on the
growth of the mutual fund industry, which was pegged at 40% in 2006. More than 50% of the
sample broking houses deal in mutual fund investment services. The average growth in assets
under management in the last two years is almost 48%. Company research is another lucrative area
where the broking firms offer their services; more than 33% of the firms are engaged in providing
company research services. Additionally, a host of other value added services such as fundamental
and technical analysis, investment banking, arbitrage etc are offered by the firms at different levels.
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Of the total sample of broking houses providing trading services, 52% are based in the West,
followed by 25% from North, 13% from South and 10% from the East. Around 50% of the firms
offering IPO related services are based in the West as compared to 27% in North, 13% in South
and 10% in East. In providing mutual funds services, the Western region was dominant amounting
to 49% followed by 27% from North; The South and the East are almost at par with 13% and 11%
respectively.
Future Plans
68% of the firms from the sample have envisaged strategies for future growth. With the
middle class Indian investor as well as foreign investor willing to invest in the stock market,
majority of the firms preferred expansion of institutional and the Foreign Institutional Investor
clients in their areas of growth. Around 84% have shown interest in expanding their institutional
client base. Nearly 51% of such firms are located in the West, 25% in North, 15% are from South
and 9% from East. Since the past couple of years, India, along with Korea and Taiwan, has been
one of the preferred destinations for the FIIs. With corporate restructuring, rising market
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capitalization and sectoral friendly policies helping the FIIs, more than two thirds of the firms are
interested in increasing their FII client base. Amongst these firms, west again has maximum
representation of 53%, followed by North with 22%. South has 15% firms and East makes up for
9%.
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COMPANY PROFILE
A PROFILE OF
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INDIA INFOLINE LIMITED
INTRODUCTION
In most industrialized countries, a substantial part of financial wealth is not managed directly by
savers, but through a financial intermediary, which implies the existence of an agency contract
between the investor (the principal) and a broker or portfolio manager (the agent). Therefore,
delegated brokerage management is arguably one of the most important agency relationships
intervening in the economy, with a possible impact on financial market and economic developments
at a macro level.
In most of the metros, people like to put their money in stock options instead of dumping it
in the bank-lockers. Now, this trend pick pace in small but fast developing cities like .
As the per-capita-income of the country is on the higher side, so it is quite obvious that they
want to invest their money in profitable ventures. On the other hand, a number of brokerage houses
make sure the hassle free investment in stocks. Asset management firms allow investors to estimate
both the expected risks and returns, as measured statistically. There are mainly two types of
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1. Passive Portfolio Strategy: A strategy that involves minimal expectation input, and instead
relies on diversification to match the performance of some market index. A passive strategy
assumes that the marketplace will reflect all available information in the price paid for
securities
2. Active Portfolio Strategy: A strategy that uses available information and forecasting
techniques to seek a better performance than a portfolio that is simply diversified broadly.
The emergence of stock market can be traced back to 1830. In Bombay, business passed in the
shares of banks like the commercial bank, the chartered mercantile bank, the chartered bank, the
oriental bank and the old bank of Bombay and shares of cotton presses. In Calcutta, Englishman
reported the quotations of 4%, 5%, and 6% loans of East India Company as well as the shares of the
bank of Bengal in 1836. This list was a further broadened in 1839 when the Calcutta newspaper
printed the quotations of banks like union bank and Agra bank. It also quoted the prices of business
ventures like the Bengal bonded warehouse, the Docking Company and the storm tug company.
Between 1840 and 1850, only half a dozen brokers existed for the limited business. But during the
share mania of 1860-65, the number of brokers increased considerably. By 1860, the number of
brokers was about 60 and during the exciting period of the American Civil war, their number
increased to about 200 to 250. The end of American Civil war brought disillusionment and many
failures and the brokers decreased in number and prosperity. It was in those troublesome times
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between 1868 and 1875 that brokers organized an informal association and finally as recited in the
July,1875, a few native brokers doing brokerage business in shares and stocks resolved upon
forming in Bombay an association for protecting the character, status and interest of native share
and stock brokers and providing a hall or building for the use of the members of such association.
As a meeting held in the broker’ Hall on the 5 th day of February, 1887, it was resolved to execute a
formal deal of association and to constitute the first managing committee and to appoint the first
trustees. Accordingly, the Articles of Association of the Exchange and the Stock Exchange was
formally established in Bombay on 3rd day of December, 1887. The Association is now known as
The entrance fee for new member was Re.1 and there were 318 members on the list, when the
exchange was constituted. The numbers of members increased to 333 in 1896, 362 in 1916and 478
in 1920 and the entrance fee was raised to Rs.5 in 1877, Rs.1000 in 1896, Rs.2500 in 1916 and Rs.
48,000 in 1920. At present there are 23 recognized stock exchanges with about 6000 stock
14 stock exchanges are organized as public limited companies, 6 as companies limited by guarantee
and 3 are non-profit voluntary organization. Of the total of 23, only 9 stock exchanges have been
These exchange do not work of its own, rather, these are run by some persons and with the help of
some persons and institution. All these are down as functionaries on stock exchange. These are
1. Stockbrokers
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2. sub-broker
3. market makers
Stockbrokers
Stock brokers are the members of stock exchanges. These are the persons who buy, sell or deal in
securities. A certificate of registration from SEBI is mandatory to act as a broker. SEBI can impose
certain conditions while granting the certificate of registrations. It is obligatory for the person to
abide by the rules, regulations and the buy-law. Stock brokers are commission broker, floor broker,
arbitrageur etc.
on 31.03.2008 31.03.2008
9000 24,000
Sub-broker
A sub-broker acts as agent of stock broker. He is not a member of a stock exchange. He assists the
investors in buying, selling or dealing in securities through stockbroker. The broker and sub-broker
should enter into an agreement in which obligations of both should be specified. Sub-broker must
be registered SEBI for a dealing in securities. For getting registered with SEBI, he must fulfill
Market Makers
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Market maker is a designated specialist in the specified securities. They make both bid and offer at
the same time. A market maker has to abide by bye-laws, rules regulations of the concerned stock
exchange. He is exempt from the margin requirements. As per the listing requirements, a company
where the paid-up capital is Rs. 3 crore but not more than Rs. 5 crore and having a commercial
operation for less than 2 years should appoint a market maker at the time of issue of securities.
Portfolio consultants
A combination of securities such as stocks, bonds and money market instruments is collectively
called as portfolio. Whereas the portfolio consultants are the persons, firms or companies who
their clients.
Partial fulfillment for degree of M.B.A. programme, we received the opportunity from India
Infoline Ltd. for our summer training project report. It is basically a stock brokering company
which deals in security and derivative market, Commodity market, mutual funds and Insurance etc.
The stock market plays a major role in mobilizing the savings into investment. Stock market
long-term growth. Stock market also provides a different bundle of financial functions from
those provided by financial intermediaries. The stock market in India is more efficient than
banking system on account of the enabling government policies and that stock market
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development has a key role to play in the reforms of system by generating competition for
funds mobilization and allocation. Hence, an efficient capital market would contribute to
long-term growth. According to RBI the flow of funds in the private corporate sector shows
that there is growing reliance of the private corporate sector on external financing.
The equity market in developing countries until the mid-1980s generally suffered from the
classical defects of bank-dominated economies, that is, shortage of equity capital, lack of
liquidity, absence of foreign institutional investors, and lack of investor’s confidence in the
stock market. Since 1986, the capital markets of the developing countries started developing
with financial liberalization and the easing of legislative and administrative barriers and the
financial liberalization in the developing countries, the flow of private foreign capital from
the developed to developing countries has increased significantly and such inflow of foreign
capital have been mainly in the form of foreign direct investment and portfolio investment.
The latter type of inflows has mainly been through their stock markets.
In the history of International Finance, the year 1992- 1993 may be seen as a watershed year
in which emerging markets came into their own as capital raising mechanisms and became
firmly established as a distinct asset class for the word’s investment community with financial
liberalization, the east Asian capital markets like Singapore, Honkong and Bangkok have
developed over time to the extent that they are presently regarded as international financial
centers of Asia.
In the capital markets over the last few years that has made the markets attractive to foreign
institutional investors. This history shows us that retail investors are yet to play a substantial
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role in the market as long-term investors. Retail participation in India is very limited
considering the overall savings of households. Investors who hold shares in limited
companies and mutual fund units are about 20-30 million. Those who participated in
secondary markets are 2-3 million. Both SEBI and retail participants should be active in
spreading market wisdom and empowering investors in planning their finances and
About them
Are a one stop financial services shop, most respected for quality of its advice, are a one- stop
financial services shop, most respected for quality of its advice, personalized service and cutting-
edge technology.
Vision
India Infoline vision is to be the most respected company in the financial services space.
The India Infoline group, comprising the holding company, India Infoline Limited and its
wholly-owned subsidiaries, straddle the entire financial services space offerings ranging from Equity
research, Equities and derivatives trading, Commodities trading , portfolio Management Services,
Mutual Funds, Life Insurance, Fixed deposits, GoI bonds and other small savings instruments to loan
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products and investment banking. India Infoline also owns and manages the websites
The company has a network of 596 branches spared across 345 cities and towns. It has more
India Infoline Limited is listed on both the leading stock exchanges in India, viz. the stock
Exchange, Mumbai (BSE) and the National Stock Exchange (NSE) and is also a member of both the
exchanges. It is engaged in the businesses of Equities broking, Wealth Advisory Services and Portfolio
Management Services. It offers broking services in the Cash and Derivatives segments of the NSE as
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A SEBI authorized Portfolio Manager; it offers Portfolio Management Services to clients. These
services are offered to clients as different schemes, which are based on differing investment
The content services represent a strong support that drives the broking, commodities, mutual
fund and portfolio management services businesses. Revenue generation is through the sale of
It undertakes equities research which is acknowledged by none other than Forbes as 'Best of
the Web' and '…a must read for investors in Asia'. India Infoline research is available not just over
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the internet but also on international wire services like Bloomberg.
India Infoline Commodities Pvt Limited is engaged in the business of commodities broking.
Our experience in securities broking empowered us with the requisite skills and technologies to
memberships with the MCX and NCDEX, two leading Indian commodities exchanges, and recently
India Infoline Marketing and Services Limited is the holding company of India Infoline
(a) India Infoline Insurance Services Limited is a registered Corporate Agent with the Insurance
Regulatory and Development Authority (IRDA). It is the largest Corporate Agent for ICICI
Prudential Life Insurance Co Limited, which is India's largest private Life Insurance Company.
(b) India Infoline Insurance Brokers Limited India Infoline Insurance Brokers Limited is a newly
formed subsidiary which will carry out the business of Insurance broking. We have applied to IRDA
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for the insurance broking licence and the clearance for the same is awaited.
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Consolidated shareholdings of all the subsidiary companies engaged in loans and financing
activities under one subsidiary. Recently, Orient Global, a Singapore-based investment institution
invested USD 76.7 million for a 22.5% stake in India Infoline Investment Services. This will help
focused expansion and capital raising in the said subsidiaries for various lending businesses like
loans against securities, SME financing, distribution of retail loan products, consumer finance
business and housing finance business. India Infoline Investment Services Private Limited consists
(a) India Infoline Distribution Company Limited (distribution of retail loan products)
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IIFL (Asia) Pte Limited
IIFL (Asia) Pte Limited is wholly owned subsidiary which has been incorporated in Singapore to
pursue financial sector activities in other Asian markets. Further to obtaining the necessary
regulatory approvals, the company has been initially capitalized at 1 million Singapore dollars.
MILESTONES ACHIEVED
1995
Incorporated as an equity research and consulting firm with a client base that included leading FIIs,
1999
2000
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Commenced the distribution of personal financial products, launched online equity trading; entered
life insurance distribution as a corporate agent. Acknowledged by Forbes as ‘Best of the Web’ and
2004
2005
2006
2007
Launched a proprietary trading platform; inducted an institutional equities team; formed a Singapore
subsidiary; raised over USD 300 mn in the group; launched consumer finance business under the
‘Moneyline’ brand.
2008
Launched wealth management services under the ‘IIFL Wealth’ brand; set up India Infoline Private
Equity fund; received the Insurance broking license from IRDA; received the venture capital
license; received in principle approval to sponsor a mutual fund; received ‘Best broker- India’ award
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from Finance Asia; ‘Most Improved
2009
Received registration for a housing finance company from the National Housing Bank; received
‘Fastest growing Equity Broking House - Large firms’ in India by Dun & Bradstreet.
2010
Received in-principle approval for Securities Trading and Clearing memberships from SGX.
Commenced distribution of personal financial product like Mutual Fund and RBI Bonds in
April 2000.
Lunched online trading in shares and securities branded as www.5paisa.com in July 2000.
Started life insurance agency business in December 2000 as corporate agent of ICICI
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Become a depository participant of NSDL, in Sept 2001.
Acquired 75% stake holding in money tree consultancy services, which is a distribution of
Acquired 100% equity of March Mont capital adviser Pvt. Ltd. In Dec 2005, through which
DSP Merrill Lynch Capital subscribe to convertible bonds aggregating Rs.80 crores in
Dec2005.
Enter into an alliance with Bank of Baroda for E-trading in Feb 2007.
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MANAGEMENT TEAM-
Retail broking :
IndiaInfoline has around 3 lakhs customers. It has a tie-up with Bank of Baroda for e-broking.
Institutional broking :
IndiaInfoline has roped in Bharat Parajia, director of sales at CLSA in Singapore, H Nemkumar,
CLSA's country head for India, Aniruddha Dange, CLSA's head of research in India, and Vasudev
Jagannath, CLSA's head of sales in India. While Parajia will join as head of institutional sales at
India Infoline, Dange will be head of research and Nemkumar head of investment banking.
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Each one of them is bringing in more than 10 years of experience with a top institutional
brokerage in Asia. The CLSA foursome will also pick up stakes in India Infoline through the
preferential allotment route. Their collective stake would add up to around 15%. Parajia already
holds a 2.88% stake in India Infoline. He will subscribe to 25 lakhs equity warrants at Rs 440 each.
Nemkumar will pick up another 25 lakhs, while Jagannath and Aniruddha Dange will subscribe to
20 lakhs warrants each. The preferential allotment includes the four men buying 90 lakh equity
warrants at a price of Rs 440 each, of which 10% will be paid up front as their sign-on bonus.
The remaining will be payable at the end of eighteen months when the warrants will be convertible
into shares. That is, all these guys will have to cough up about Rs 360 crore to convert their warrants
into shares. Currently, the company's institutional equities team has 35 people, including research
To determine the market prices of the security by the interaction of supply and
demand forces.
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To detect the irrespective of why the security occur, shifts in demand and
INDIA INFOLINE one of the leading financial intermediaries and India's most popular
website for business and investment. Its Website has been rated as 'Best of the Web' by Forbes,
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Besides providing up-to-date and comprehensive information on business and industry, It is
also a leading investment intermediary for Mutual Funds, Bonds, ICICI / IDBI Bonds, Govt. Relief
Bonds, Insurance, IPOs and Fixed Deposits in India. India Infoline is direct brokers/ agents with
leading financial institutions like RBI, UTI, LIC, GIC, ICICI, IDBI and other private mutual fund
like HDFC, Alliance, Prudential ICICI, Templeton, TATA, HSBC, Standard & Chartered, Sun
F&C, Birla, DSP Merrill Lynch, Kotak, IL&FS, Sundaram, Zurich and Reliance.
The company has more than 500 Investor points in all the leading cities across India, with a
team of trained and qualified investment advisors and 1500+associates (sub brokers). Company e-
broking web site 5paisa.com, which deals in shares, provides you fast, secure and easy to use
trading facilities combined with a wealth of outstanding products and features. Thus, we are
uniquely placed with both online and offline presence to maximize customer satisfaction.
India Infoline is a growing organization, which is an ideal place for individuals with high
ambitions. The working atmosphere is highly charged with a young and energetic team of qualified
professionals.
Market Positioning:
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Market positioning statements of India Infoline are “At India Infoline we give you single
window service” and “We also ensure your comfort”. So, India Infoline focus on the consumers
who prefer almost all investment activities at same place by providing number of various financial
services. At India Infoline a person can purchase or sell shares, debentures etc. and at the same
place also demat it. India Infoline also provides other investment option to the same person at same
place like Mutual Fund, Insurance, Fixed Deposit, and Bonds etc. and help the person in designing
his portfolio. By this way India Infoline provides comfort to its customers.
Target Market:
India Infoline uses demographic segmentation strategy and segment people based on their
occupation. India Infoline uses selective specialization strategy for market targeting. Target person
for the India Infoline Stock Broking and India Infoline Investment Service are persons who can
work as sub-broker for the companies. Companies focus on Advisors of Insurance and post office,
India Infoline uses one level marketing channel for investment product distribution. Sub-
brokers work as intermediary between consumer and company. Company has both forward and
backward flow of activity through channel. Company distributes stationery, brokerage, and
information forward to its sub-broker. The sub-brokers send filled forms, queries, amount of
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Training Channel Members:
India Infoline provides training to the sub-brokers because they will be viewed as the
company by the investors. The executives of India Infoline explain various new schemes of
investment to the sub-brokers with its objective, risk factors and expected return. Company also
The objective of advertising of India Infoline is to create awareness about services of India
India Infoline also publishes its weekly Stock Market Newsletter ‘Market Mantra’.
INVESTMENT
income or capital appreciation. Investment has two attributes namely time and
The sacrifice that has to be borne is certain but the return in the future may be
uncertain. The risk is undertaken with a view to reap some return from the
investment.
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To the economist, investment is the net addition made to the nation’s capital
stock that consists of goods and services that are used in the production
process. A net addition to the capital stock means an increase in the buildings,
equipment or inventories.
These capital stocks are used to produce other goods and services.
yield some gain over a period of time. It is an exchange of financial claim such
as stock and bonds for money. They are expected to yield returns and
INVESTMENT OBJECTIVE
The main investment objective are increasing the ray of return and reducing the
risk. Other objectives like Safety, Liquidity and hedge against inflation can be
Primary objectives
Secondary objectives
PRIMARY OBJECTIVES:
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(i) RETURN:
Investors always expect a good rate of return from their investments. Rate of return could
define as the total income the investors receives during the holding period stated as a
(ii) RISK:
Risk is holding securities are related with the probability of actual return becoming less than
the expected return. The word risk is synonymous with the phase variability of return. Risk
is important part in investment because high risk expected high profit and low risk show
minimum profit but it is depending on time to time. So every investor likes to reduce the risk
(iii) LIQUIDITY:
Marketability of the investment provides liquidity to the investment. The liquidity depends
upon the marketing and trading facility. If a portion of the investment could be converted
into cash without much loss of time, it would help the investor meet the emergencies. Stocks
are liquid only if they command good market by proving adequate return through dividends
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Since there is inflation in almost all the economic, the rate of return should ensure a cover
against inflation. The return rate should be higher than the rate of inflation; otherwise the
investor will have loss in real terms. Growth stock would appreciate in their values overtime
and provide a protection against inflation. The return thus earned should assure the safety of
(iv) SAFETY:
The selected investment avenue should be under the legal and regulatory frame work. If it is
not under the legal frame work, it is difficult to represent the grievances, if any. Approval of
the law itself adds a flavor of safety. Even through approved by law, the principal differs
Capital gains are entirely different from return in that they are only realized when the
security is sold for a price that is higher than the price at which it was originally purchased.
Selling at a lower price is referred to as a capital loss. Therefore, investors seeking capital
gains are likely not those who need a fixed, ongoing source of investment returns from their
portfolio, but rather those who seek the possibility of longer-term growth.
Growth of capital is most closely associated with the purchase of common stock,
particularly growth securities, which offer low yields but considerable opportunity for
increase in value.
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Capital gains offer potential tax advantages by virtue of their lower tax rate in most
jurisdictions. Funds that are garnered through common stock offerings, for example, are
often geared toward the growth plans of small companies, a process that is extremely
important for the growth of the overall economy. In order to encourage investments in these
areas, governments choose to tax capital gains at a lower rate than income. Such systems
serve to encourage entrepreneurship and the founding of new businesses that help the
economy grow.
SECONDARY OBJECTIVES:
An investor may pursue certain investments in order to adopt tax minimization as part of his or
her investment strategy. For example a highly-paid executive may want to seek investments
with favorable tax treatment in order to reduce his or her overall income tax burden by Making
Since there is inflation in almost all the economic, the rate of return should ensure a cover
against inflation. The return rate should be higher than the rate of inflation; otherwise the
investor will have loss in real terms. Growth stock would appreciate in their values overtime and
provide a protection against inflation. The return thus earned should assure the safety of the
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DIFFERENT INVESTMENT OPTION
Option
Bank FDs Very low risk Low returns, but Since returns are Good for very low
consider investing
MUTUAL Low risk and No assured MFs attract Good for low risk
the indicative
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returns).
Floating Rate Low risk and Market linked. Lower taxation Good for investing
Debt Funds Low to Medium Returns are Lower taxation Can be avoided in
Post Office Low risk and MIS scheme give Since returns are Good for very low
Schemes low Liquidity. 8% interest. Time taxable, the post- risk investors and
PPF Low risk with 8% assured Interest is tax- Good tax saving
withdrawal
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allowed after 6
years).
NSC Low risk with 8% assured Interest fully Not very attractive
Equity High risk and Market linked Attractive tax Needs high risk
regularly. Care
should be taken to
making companies.
Penny stocks
should be avoided.
Equity Funds High risk and Market linked Attractive tax Ideal for small and
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funds. Capital Gain Tax appetite. well-
diversified funds,
25-35% money in
3-4 mid/small-cap
ELSS Funds High risk with Market linked Attractive tax Good tax saving
risk.
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and 10% Short fund, it may be
better control.
ULIPs Low to High Low to high Tax free returns. Not an attractive
Endowment/ Low risk and Low returns. Tax free returns. Not an attractive
Money back very low Generally around Also Sec 80 C option due to low
investment
products.
Real Estate Variable risk and Market linked No tax High initial
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depending on the potential. except attractive which could make
transactions costs.
EQUITY INVESTMENT”
Equity investment means the engagement of savings in the stock of a company for the purpose of
SHARES:
The capital of the company divided into different units with definite and equal value called shares.
Holders of these shares called shareholders. There are two types of shares which a company may
issue.
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PREFERENCE SHARES:
Shares which enjoy the preferential rights as to dividend and repayment of capital in the
event of winding up of the company over the equity shares are called preference shares.
The holder of preference shares will get a fixed rate of dividend. Preference share are
dividend that is not paid when due. Any unpaid dividend is added to the amount
payable the following year and no dividends can be paid on ordinary shares until the
that no pay to the holder of any unpaid or omitted dividends. If the corporation
chooses no pay dividends in a given year, the investor is to claim any of those
back by the issuing firm on a specified date or after a specified period of notice.
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4. Participating or non-participating preference shares: Participating preference
share is capital stock which provides a specific dividend that is paid before any
dividends are paid to common stock holders, and which takes precedence over
common stock in the event of a liquidation. This form of financing is used by private
equity investors and venture capital firms. Holders of participating preferred stock
get both their money back (with interest) and the money that is distributable with
respect to the percentage of common shares into which their preferred stock can
convert.
EQUITY SHARES:
Equity shareholders will get dividend and repayment of capital after meeting the claims of
preference share holders. There will be no fixed rate of dividend to be paid to the equity
shareholders and this rate may vary from year to year. This rate of dividend is determined
by the directors and in case of large profits; it may even be more than the rate attached to
preference share. Such shareholders may go without any dividend if no profit is made.
Equity shares are most risk bearing securities because holders of these shares will get
repayment of capital after meeting the claims of preference share holders, debenture
holders and other creditors. The value of these shares in the market fluctuates upward or
downward with the fortunes of the company. Equity share holders enjoy voting right
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SHARE MARKET:
Share market is a place where shares are issued or purchased or sold. These shares may be
new issue or existing shares. There are two types of share markets:
Primary Market:
Secondary Market:
In this market existing shares are traded. BSE and NSE are two major secondary markets in
India. Apart these two exchanges there are twenty one exchanges in India.
Investor: An investor may be people or company who make investment in securities with
Speculator: They involve in buying, holding, selling and short selling of securities. All
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Institutional Investor: An institutional investor is investors such as bank, insurance
company, retirement fund, hedge fund or mutual fund that is financially sophisticated and
security. Retail investors can be further divided into two categories of share ownership:
1. A Beneficial Shareholder is a retail investor who holds shares of their securities in the
account of a bank or broker, also known as “in Street Name.” The broker is in possession of
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It is the investment on already existing equity shares of companies.
When a company raises capital by issuing shares to general investors, the process is called
a public issue of share or a primary market issue. If the company approaching the capital
market with an issue of shares for the first time, the issue is called an Initial public offering.
Derivatives are a financial instrument which value is derived from underlying assets
(commodities, shares, forex and other assets). Derivative is three types forward contract,
Forward contracts:
These are used in the foreign exchanges markets to reduce currency risk and in the
Future contract:
Derivative contract wherein you agree to buy or sell a specified quantity of the underlying
assets on a specified particular date in the future, at he price agreed upon at the time of
entering into contract. In India equities future market, this price is the spot price (the price of
the underlying assets in the cash market) prevailing on the date of the expiry of contract.
Futures are legally binding and both parties are bound to uphold the agreement.
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Option:
This is a contract that gives you the right (but not the obligation or the liability) to buy or
sell a specified quantity of the underlying assets at an agreed price (strike/agreed price) on or
before the before the specified future date (expiration date). To acquire this right, you pay a
price (option premium) to the seller of the option “option writer”. The potential loss for the
option seller is unlimited whiles his upside or profit is limited to the premium that he
receives. On the other hand the maximum loss that the buyer could face is the option
There are different analysis are made by the investor for investment in equity. These are
Fundamental analysis:
Fundamental analysis is really a logical and systematic approach to estimating the future
share price. It is based on the premises that share price are determined by a number of
factors affecting the performance of the company as well its share price.
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Generally each share is assumed to be having an economic worth based on its presents and
future earning capacity, this is called intrinsic value or fundamental value. The purpose of
fundamental analysis is to compare intrinsic value of share with the prevailing market price
of the share. The market price of the share is due to the supply and demand of the share in
The market price of the share is always trying to match with its intrinsic price so that if the
market price of the share is higher than its intrinsic price then the investor should sell the
share because the share price will go down to match with its intrinsic price .if the market
price of the share is lower than the intrinsic price than the investor should bought the share
because the share price will go up to match up with its intrinsic price.
(EIC FRAMEWORK)
The logic behind this three tire analysis is that the share price depends upon not only its
own effort but also on general industry and economic factor. A company belongs to an
industry and an industry belongs to an economy. So the effective industry and economy
Classification of factors:
(i) Economic wide factor: such as growth rate of the economy, inflation rate, foreign exchange
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(ii) Industry wide factors: such as demand supply gap in the industry, the emergence of
substitute product, change in government policy etc these factor affecting those companies
(iii) Company specific factor: such as the age of its plant, the quality of management, brand
image of its products, its labour management relationship, etc. These are the actors which
Technical analysis:
A technical analyst in technical analysis believes that the share prices are
determined by the demand and supply forces operating in the market. These forces again
investors. The combined impact of all these factors is reflected in the share price
movement. The technical analysis includes the past share prices to forecast the future share
price. So that technical analysis is the forecasting technique to determine the future price of
(i) The market price of the share price is related to supply and demand forces operating in the
market.
(ii) Security prices movement are continuous in a particular direction for some length of time.
(iii) Trends in stock price shows when there is a shift in demand and supply factors.
(iv) The shifts in demand and supply forces can be detected through charts prepared specially to
(v) These charts can show the resistance and support level of the stock price.
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ROLE OF MARKET TRENDS IN EQUITY INVESTMENT:
Trends refer to the direction of share price movement for a long period of time such as
month and quarter. Trend is divided into two types. These are bullish trend and bearish
trend.
(i) Bullish trend: During a bull market (up word moving market) in the first phase the
price would advanced with the revival of confidence in the future business. The
future prospect of business should be promising .this will promote the investor to
purchase share of companies .during second phase the price would advanced due to
the corporate earnings. In the third phase price advances due to the inflation means
the demand of share increased. In the bullish trend the share price moves in a up
So during the bullish trend the investors are investing their money to gain profit from the up
(ii) Bearish trend: bearish trend is the opposite of the bullish trend here prices began
to fall due to the lost of hope on company and investor sell their shares in first phase
and in the second phase the fall in distributing dividend and causes further fall in
share price
So during the bearish trend the investors are selling their security to avoid the loss of
capitals.
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Support and resistance level of share price:
Support and resistance level are those price levels at which the down trend and up trend in
share price movements is reversed. Support occurs when price is falling but bounce back or
reverse direction every time it reaches a particular level. When all these low points are
connected through a straight line it forms the support level. Support level is the price level
Resistance occurs when the share price moves up word. The price fall back every time it
reaches a particular price level. A straight line joining this price level forms the resistance
level. Resistance level is the price level at which sufficient selling pressure is exerted to
COMPETITORS DETAILS
KARVY
KARVY is a premier integrated financial services provider, and ranked among the top five
in the country in all its business segments, services over 16 million individual investors in various
capacities, and provides investor services to over 300 corporate, comprising the who is who of
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Corporate India. Karvy has a professional management team and ranks among the best in
ICICI DIRECT
ICICI Web Trade Limited (IWTL) maintains www.icicidirect.com (herein after referred to
as the "Website") whereas IWTL is an affiliate of ICICI Bank Limited and the Website is owned by
ICICI Bank Limited. IWTL has launched and established an online trading service on the Website.
HDFC SECURITY
www.hdfcsec.com would have an exclusive discretion to decide the customers who would be
entitled to its online investing services. www.hdfcsec.com also reserves the right to decide on the
criteria based on which customers would be chosen to participate in these services .The present web
site (www.hdfcsec.com) contains features of services that they offer/propose to offer in due course.
The launch of new services is subject to the clearance of the regulators. i.e. SEBI, NSE and BSE.
Indiabulls Securities Limited was incorporated as GPF Securities Private Limited on June 9,
1995. The name of the company was changed to Orbis Securities Private Limited on December 15,
1995 to change the profile of the company and subsequently due to the conversion of the company
into a public limited company; the name was further changed to Orbis Securities Limited on
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January 5, 2004. The name of the company was again changed to Indiabulls Securities Limited on
February 16, 2004 so as to capitalize on the brand image of the term “Indiabulls” in the company
name. ISL is a corporate member of capital market & derivative segment of The National Stock
Exchange of India Ltd. At present, ISL accounts for approximately 3% of the total daily turnover of
the Exchange with 32,359 client relationships and 70 branches spread across the country as of April
30,2004.
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INTRODUCTION OF TOPIC
Customer satisfaction is a measure of how products and services supplied by a company can meet
Customer satisfaction is still one of the single strongest predictors of customer retention. It’s
considerably more expensive to attract new customers than it is to keep old ones happy. In a
climate of decreasing brand loyalties, understanding customer service and measuring customer
There is obviously a strong link between customer satisfaction and customer retention.
Customer's perception of Service and Quality of product will determine the success of the product
With better understanding of customers' perceptions, companies can determine the actions
required to meet the customers' needs. They can identify their own strengths and weaknesses, where
they stand in comparison to their competitors, chart out path future progress and improvement.
Customer satisfaction measurement helps to promote an increased focus on customer outcomes and
stimulate improvements in the work practices and processes used within the company.
Customer expectations are the customer-defined attributes of your product or service you must meet
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Customer satisfaction
Performance features address the issues on Conformance to the standards and Variability
and the behavioural aspects of service provider deals with the following components of service
which is a major enabler for the growth of the business as indicated in the research publications.
Purpose – Many researchers have proposed a virtuous chain of effects from improved customer
turn leads to higher customer revenue and customer profitability. This paper aims to examine these
There are many reasons why customer expectations are likely to change over time. Process
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Functions of SEBI
It is the duty of SEBI to protect the interest of investors in securities into promotes the
development of, and to regulate the securities market, by such measures as it thinks fit.
Prohibiting fraudulent and unfair trade practices relating to the securities market
Regulating the business in stock exchange(s) and any other securities market(s).
Registering and regulating the working of stock brokers, sub- brokers, share transfer agents,
underwriters, portfolio managers, investor advisor, and such other intermediaries who may
Registering and regulating the working of ventures capital and collective investment
Calling for information and record form, undertaking inspection, conducting inquiries and
audits, stock exchanges, mutual funds and other persons associated with the securities
Performing such functions and exercises such powers under the provisions of the Securities
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The Indian broking industry is one of the oldest trading industries that have been around even
before the establishment of the BSE in 1875. Despite passing through number of changes in the
post liberalization period, the industry has found its way onwards sustainable growth. With the
purpose of gaining a deeper understanding about the role of the Indian stock broking industry in
the country’s economy, we present in this section some of the industry insights gleaned from
For the broking industry, we started with an initial database of over 1,800 broking firms that
were contacted, from which 464 responses were received. The list was further short listed based on
the number of terminals and the top 210 were selected for profiling. 394 responses, that provided
more than 85% of the information sought have been included for this analysis presented here as
insights. All the data for the study was collected through responses received directly from the
broking firms. The insights have been arrived at through an analysis on various parameters,
pertinent to the equity broking industry, such as region, terminal, market, branches, sub brokers,
On the basis of geographical concentration, the West region has the maximum
representation of 52%. Around 24% firms are located in the North, 13% in the South and
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3% firms started broking operations before 1950, 65% between 1950-1995 and 32% post
1995.
On the basis of terminals, 40% are located at Mumbai, 12% in Delhi, 8% in Ahmedabad, 7%
From this study, we find that almost 36% firms trade in cash and derivatives and 27% are
into cash markets alone. Around 20% trade in cash, derivatives and commodities
In the cash market, around 34% firms trade at NSE, 14% at BSE and 52% trade at both
exchanges. In the derivative segment, 48% trade at NSE, 7% at BSE and 45% at both,
whereas in the debt market, 31% trade at NSE, 26% at BSE and 43% at both exchanges
Majority of branches are located in the North, i.e. around 40%. West has 31%, 24% are
In terms of sub-brokers, around 55% are located in the South, 29% in West, 11% in North
and 4% in East
Trading, IPOs and Mutual Funds are the top three products offered with 90% firms offering
trading, 67% IPOs and 53% firms offering mutual fund transactions
In terms of various areas of growth, 84% firms have expressed interest in expanding their
institutional clients, 66% firms intend to increase FII clients and 43% are interested in
In terms of IT penetration, 62% firms have provided their website and around 94% firms
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A BRIEF HISTORY
India Infoline was originally incorporated on October 18, 1995 as Probity Research and
Services Private Limited at Mumbai under the Companies Act, 1956 with Registration No. 11
and research covering Indian businesses, financial markets and economy, to institutional customers.
India Infoline became a public limited company on April 28, 2000 and the name of the Company
was changed to Probity Research and Services Limited. The name of the Company was changed to
India Infoline.com Limited on May 23, 2000 and later to India Infoline Limited on March 23, 2001.
In 1999, India Infoline.com identified the potential of the Internet to cater to a mass retail
segment and transformed our business model from providing information services to institutional
www.indiainfoline.com in May 1999 and started providing news and market information,
independent research, interviews with business leaders and other specialized features.
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In May 2000, the name of India Infoline was changed to India Infoline.com Limited to
reflect the transformation of our business. Over a period of time, India Infoline.com has emerged as
one of the leading business and financial information services provider in India.
In the year 2000, India Infoline leveraged its position as a provider of financial
information and analysis by diversifying into transactional services, primarily for online trading in
shares and securities and online as well as offline distribution of personal financial products, like
mutual funds and RBI Bonds. These activities were carried on by our wholly owned subsidiaries.
India Infoline broking services was launched under the brand name of 5paisa.com through
our subsidiary, India Infoline Securities Private Limited and www.5paisa.com, the e-broking portal,
was launched for online trading in July 2000. It combined competitive brokerage rates and research,
supported by Internet technology besides investment advice from an experienced team of research
analysts, India Infoline also offer real time stock quotes, market news and price charts with multiple
Facilities
India Infoline’s main offices are located in approximately 4,000 square feet of office space
located in Mumbai, India. India Infoline Branches collectively occupy an additional 10,000 square
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feet of office space located throughout India, As on March 31, 2005, India Infoline has 73 branches
Terminals
Almost 52% of the terminals in the sample are based in the Western region of India,
followed by 25% in the North, 13% in the South and 10% in the East. Mumbai has got the
maximum representation from the West, Chennai from the South, New Delhi from the North and
The maximum concentration of branches is in the North, with as many as 40% of all
branches located there, followed by the Western region, with 31% branches. Around 24% branches
are located in the South and East constitutes for 5% of the total branches of the total sample.
In case of sub-brokers, almost 55% of them are based in the South. West and North follow,
with 30% and 11% sub-brokers respectively, whereas East has around 4% of total sub-brokers.
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PURPOSE OF THE STUDY
The purpose of the study is to know the expectations of those customers who trading in INDIA
INFOLINE LTD and the satisfaction levels of customers with the services provided by the INDIA
INFOLINE LTD.
Here the main purpose of the survey is to know the various factors that are very important in
satisfying the customer’s needs and to know how INDIA INFOLINE LTD is ensuring its customers
satisfaction.
The expectations of customers are vary from one customer to the other customer. It is very difficult
to any business firm to satisfy all the expectations of all customers but there are some common
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RESEARCH METHODOLOGY
Descriptive research includes surveys and fact – finding enquries of different kinds. The major
purpose of Descriptive research description of the state of affairs as it exists at present .In Social
science & business research we quite often use the term EX POST FACTO RESEARCH for
Sample design
Sampling design – The sampling method adopted for research work was Convenience sampling
method.
Sample size - The sample selected was 200. The data collection method was based on the
following:
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Variables of the Study
Independent Variable – Brokerage, Tips, Trade confirmation, Flexibility, Customer support, Speed
of service, Clarity of information, Time taken to respond to telephone enquiries, staff treating as a
valuable customer.
The sources of the data for the study were primary data. The questionnaire was prepared and
administered to collect the relevant primary data. The data collection method was based on
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CHAPTER – III
ANALYSIS &
INTERPRETATION
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1. % Clients with different age group:
117 181 2
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Out of the total clients visited, majority i.e., 60% belongs to 31 years to 40 years age group,
followed by 20 years to 30 years age group which comprises of 39% of the clients visited, and the
leftover clients i.e., 1% (the least %) belongs to above 40 years age group.
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1. % Clients with different occupation:
220 62 0 4 14
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Out of the total clients, majority i.e., 73% are professional. Followed by businessman, which
comprises of 21%. 1% are students, 4% belongs to other category (like housewife, etc), and retired
is 0 i.e., nil.
Less then 6 months 6 months - 1 Year 1-2 year More then 2 year
26 60 187 27
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The maximum number of clients i.e., 62% of the total clients are connected to India Infoline since
1-2 years, followed by 20% connected since 6 months to 1 year and the least 9% in more than 2
58 15 43 37 147
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Out of the total clients, majority i.e., 49% of clients gather information about trading from the
19% which gather information from television,15% from friends, 12% from financial advisor, and
0 263 0 18 0 19 0
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Maximum customers invest in Equities and Mutual funds for getting a good return, which is
obvious from the chart shown above.Here, we can see that mojority of the clients visited i.e., 88%
invest in equities for good return.6% for liquidity and rest 6% for capital appreciation.
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Relationship India Infoline TT Advance
66 49 152 33
Out of the total number of clients visited, maximum i.e., 51% give more weightage to the tips
coming from India Infoline TT Advance tips. 22% of the client goes with the tips coming from
Relationship Manager, 16% goes with the tips coming from television, and rest 11% goes with the
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Criteria Response Percentage
Highly Dissatisfied 2 1
Dissatisfied 32 16
Neutral 60 30
Satisfied 104 52
Highly satisfied 2 1
Here, we can see that maximum number of clients i.e., 52% of the clients are satisfied with the
service provided by India Infoline regarding flexibility, while in the otherhand we can see that 16%
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8. Customer Satisfaction level on Customer support
Highly Dissatisfied 2 1
Dissatisfied 32 16
Neutral 54 27
Satisfied 106 53
Highly satisfied 6 3
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Here, we can see that maximum number of clients i.e., 53% of the clients are satisfied with the
service provided by India Infoline regarding customer support, while in the otherhand we can see
that 16% of the clients are dissatisfied with the service provided.
Highly Dissatisfied 4 2
Dissatisfied 40 20
Neutral 46 23
Satisfied 102 51
Highly satisfied 8 4
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Here, we can see that maximum number of clients i.e., 51% of the clients are satisfied with the
service provided by India Infoline regarding speed of service, while in the otherhand we can see that
Highly Dissatisfied 6 3
Dissatisfied 42 21
Neutral 64 32
Satisfied 84 42
Highly satisfied 4 2
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Here, we can see that maximum number of clients i.e., 125 clients are satisfied with the service
provided by India Infoline regarding clearity of information, while in the othernhand we can see
Highly Dissatisfied 2 1
Dissatisfied 32 16
Neutral 60 30
Satisfied 102 51
Highly satisfied 4 2
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Here, we can see that maximum number of clients i.e., 153 clients are satisfied with the service
provided by India Infoline regarding respond to telephone, while in the otherhand only 49 clients
Highly Dissatisfied 0 0
Dissatisfied 30 15
Neutral 60 30
Satisfied 108 54
Highly satisfied 2 1
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Here, we can see that maximum number of clients i.e., 162 clients are satisfied with the service
provided by the staff (as a valuable customer) by India Infoline, while in the otherhand we can see
that 46 clients are dissatisfied with the service provided by the staff people.
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13. Customer Satisfaction level on Trade confirmation
Highly Dissatisfied 0 0
Dissatisfied 28 14
Neutral 46 23
Satisfied 122 61
Highly satisfied 4 2
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Here, we can see that maximum number of clients i.e., 61% of the clients are satisfied with the
service provided by India Infoline regarding trade confirmation, while in the otherhand we can see
that 14% of the clients are dissatisfied with the service provided.
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14. Customer Satisfaction level
Highly Dissatisfied 0 0
Dissatisfied 18 9
Neutral 58 29
Satisfied 124 62
Highly satisfied 0 0
Here, we can see that maximum number of clients i.e., 186 clients are satisfied with the service
provided by India Infoline regarding brokerage charged, while in the otherhand only 26 clients are
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CHAPTER – IV
CONCLUSION
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FINDINGS
There is a moderate positive correlation between customer support service and overall
satisfaction.
There is a moderate positive correlation between speed of service and overall satisfaction.
satisfaction.
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LIMITATIONS OF THE STUDY
As the data will be collected through questionnaire, there are chances of biased information
The study is confined to the existing customers of INDIA INFOLINE LTD only.
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SUGGESTIONS
The suggestion is the Small investors prefer most economical fee on trading and prefers
negotiations therefore the company should offer services and fee structure keeping in mind
Lack of communication and advisories happen when relationship manager moves out of the
organization and this has to be checked so that the customer doesn’t migrate to other
brokerage companies.
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CONCLUSION
The company should come up with innovative ways of service at their door steps this
may be a costly affair but will surely give positive results in the long run.
The company should take the initiative of training the advisors about the trading
from time to time which also makes the advisors connected to the company.
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The company should focus on the advertising strategy and also the marketing of the
product.
BIBLIOGRAPHY
Referred Books:
RESEARCH METHODOLOGY
( C.R.KOTHARI)
Websites:
http://www.indiainfoline.com
http://www.5paisa.com
http://www.moneycontrol.com
http://www.capitaline.com
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Appendix:
“A study on Customer satisfaction towards the services provided by India Infoline with
QUESTIONAIRE
Name: ……………………………………………………………………………………………..
Gender:
1. Age:
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2. Occupation:
5. What is the main objectives of investment in Equities and Mutual funds are:
c). India Infoline TT Advance tips ________ d) Others (please specify) _______
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8.Satisfaction level with India Infoline.
Nor
Dissatisfied
Brokerage
Trade
Confirmation
Flexibility
(Fund
transfer)
5paisa.com
Customer Support
Speed of Service /
Product Delivered
Clarity of
information or
advice provided
Time taken to
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respond to
telephone enquiries
as a valuable
customer
Overall Satisfaction
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