1

CHAPTER-1 1.1 INTRODUCTION ABOUT THE STUDY: The study purely deals with the INVESTORS PERCEPTION ABOUT EQUITY SHARES, Knowledge of investors is critical for developing strategies and understanding their perception. While investing in securities we can find two major kinds of investors one who are averse and he other who are risk lovers. Investors are generally risk averse. Given a choice between two assets with equal expected return a risk averse investor prefers the asset with the less risk. A risk is investor would be indifferent. An efficient portfolio offers the highest expected return for the desired amount of risk or the least risk for the desired amount of return. There are many efficient portfolio for investors to choose from investors prefer the portfolio that maximizes their utility. An investor with a high degree of risk aversion would choose a portfolio with less risk. An investor with little risk aversion chooses a portfolio with more risk. Generally the factors that influence the investment decision investors are their income, occupation, education, age and martial status. The term commonly used to describe the ordinary share capital of a business. Ordinary shares in the equity capital of a business entitle the holder to all distributed profits after the holders of debentures and preference shares have been paid. However, it is important to understand that the market value of a companys shares has little (if any) relationship to their nominal or face value. The market value of a companys shares is determined by the price another investor is prepared to pay for them. In the case of publicly-quoted companies, this is reflected in the market value of the ordinary shares traded on the stock exchange (the share price). Since the investors differ in their perception different people will select different portfolios. An investor with a high degree of risk aversion would choose a portfolio with less risk. An investor with little risk aversion chooses a portfolio with more risk. Generally the factors that influence the investment decision of the investors are their income, education, age and occupation status.

1.2 INDUSTRY PRIOFILE: EQUITY SHARES: It is also referred to as ordinary shares or (in India)common stock. Equity shares represent the right to participate in the residual assets of a business and typically have voting rights. Equity shareholders will usually receive a dividend, the level of which depends on the level of achieved profits and the extent to which the directors wish to reinvest profits back into the business. If the business is would up, equity shareholders will be entitled to any assets left over after all other investors have been paid off. Equity shareholders have limited to the amount they have already invested. Ordinary (equity) shares-are issued to the owners of company. the ordinary shares of Indian companies typically have a nominal or face value . A deferred ordinary share is these are a form of ordinary shares, which are entitled to a dividend only after a certain date or only if profits rise above a certain amount. Voting rights might also differ from those attached to other ordinary shares. Indian securities market: The financial market facilitate the reallocation of savings from savers to entrepreneurs. Saving are linked to investment by a variety of intermediaries through a range of complex financial products called securities which is defined in the securities contracts (regulation) act, 1956 to include shares ,bonds, scrip ,stocks or other marketable securities of like nature in or of any incorporate company or body corporate, govt securities, derivatives of securities, units of collective investment scheme, interest and rights in securities, security receipt or any other instruments so declared by the central govt. Participants: The securities market has essentially three categories of participants, viz., the issuers in the market include equities, bonds and derivatives. Market segments: The securities market has two interdependent and inseparable segments, namely the primary market and the secondary market. the primary market is the channel for creation of new securities through financial instruments by public limited companies as

3 well as govt agencies whereas secondary market deals in securities already issued. The resources in the primary market are mobilized either through the public issues or through private placement. It is a public issue if any body and every body can subscribe for it, whereas if the issue is made available to a selected group of persons it is termed as private placement. There are two major types of issuers who issue securities. The corporate entities who issue mainly debt and equity instruments and the govt (central as well as state) who issues debt securities. The secondary market enables participants who hold securities to adjust their holding in response to the changes in the assessment of risk and return. Securities can also be sold for cash to meet the liquidity needs. The secondary market has further two components, namely, the over-the-counter(OTC)market and the exchange trade market. Over the counter markets are informal markets where trades are negotiated. Most of the trades in the govt securities are in the over-the counter market. All he spot trades where securities are traded for immediate delivery and payment take place in the over-thecounter market. Investor population: The society for capital market research and development carries out periodical surveys of household investor to estimate the number of estimates. The latest survey estimates the number of shares owners at around 20 million at the end of 1997 which has remained stagnant or is in the declining trend thereafter. The main reason attributed to this stagnancy was the investors bad experience with many unscrupulous company promoters and management. According to a recent study released by stock exchange board of India titled survey of Indian investors 2005-2007,an estimated 13.1 million or 7.4 percent of all India households totaling 19.5 million individuals directly invested in equity shares or debentures or both during the financial year 2005-2007. Stock Exchange The stock exchange or secondary market is a highly organized market for the purchase and sale of second hand quoted of listed securities. The securities contracts (Regulation) Act 1956 defines a stock exchange as an association, organization or not,

4 established for the purpose of assisting, regulating and controlling business in buying, selling and dealing in securities. Of all the modern service institutions, stock exchange plays a crucial agents and facilitators of entrepreneurial progress. After the industrial resolution, as the size of the business enterprises grew, it was no longer possible for individual person or even partnerships to raise such huge amount for undertaking these ventures. Such huge requirements of capital can be met only large number of individuals. These investors could be expected to participate actively only if investment is liquid or they could sell a part of their stake whenever they wish to generate cash. This liquidity can be achieved through shares and debentures representing smallest units of ownership and lending represented by the public. The institution where these securities are traded is known as stock exchange. This stock exchange is one of the most important institutions in the capital market. Bombay Stock Exchange The origin of the Bombay stock exchange date back to 1875. It was organized under the name of the native stock and shares brokers association as a voluntary and non-profit making association. It was recognized on a permanent basis in 1957. This premier stock exchange is the oldest stock exchange in Asia. The objectives of the stock exchanges are: 1. 2. 3. 4. To safeguard the interest of the investing public having dealings on the exchange. To establish and promote honorable and just practices in securities transaction. To promote, develop, and maintain well regulated market for dealing in securities. To promote industrial development in the country through efficient resource mobilization by the way of investment in corporate securities. National Stock Exchange The National Stock Exchange of India Limited has genesis in the report of the High Powered Study Group on Establishment of New Stock Exchanges, which recommended promotion of a National Stock Exchange by financial institutions (FIs) to

5 provide access to investors from all across the country on an equal footing. Based on the recommendations, NSE was promoted by leading Financial Institutions at the behest of the Government of India and was incorporated in November 1992 as a tax-paying company unlike other stock exchanges in the country. On its recognition as a stock exchange under the Securities Contracts (Regulation) Act, 1956 in April 1993, NSE commenced operations in the Wholesale Debt Market (WDM) segment in June 1994. The Capital Market (Equities) segment commenced operations in November 1994 and operations in Derivatives segment commenced in June2000. Trading on NSE is characterized by four key innovations. The physical floor was replaced by anonymous, computerized order- matching with strict prime-time priority. The limitations of being on Mumbai and the limitations of Indias Public telecom network were avoided by using satellite communications. Now NSE has a network of over 2000 satellite terminals all over the country. On a typical day almost over 3500 traders login to the trading computer over this network. This is larger than the capacity of the largest trading floors in the world. NSE is not owned by brokers. It is a limited liability company and brokers or franchisees. Therefore NSEs staff is free of pressures from brokers and is able to perform its regulatory and enforcement functions more effectively.

1.3 COMPANY PROFILE Unicon has been founded with the aim of providing world class investing experience to hitherto underserved investor community. The technology today has made it possible to reach out to the last person in the financial market and give him the same level of service which was available to only the selected few.We give personalized premium service with reasonable commissions on the NSE, BSE & Derivative market through our Equity broking arm Unicon Securities Pvt. Ltd. With our sophisticated technology you can trade through your computer and if you want human touch you can also deal through our Relationship Managers out of our more than 260 branches spread across the nation. ABOUT UNICON INVESTMENT SOLUTIONS: UNICON is a financial services company which has emerged as a one-stop investment solutions provider. It was founded in 2004 by two visionary and flamboyant entrepreneurs, Mr. Gajendra Nagpal and Mr. Ram M. Gupta, who possess expertise in the field of Finance. The company is headquartered in New Delhi, and has its Corporate office in Mumbai with regional offices in Kolkata, Chennai, Hyderabad and Noida UNICON is a professionally managed company led by a team with outstanding managerial acumen and cumulative experience of more than 400 man years in the financial markets The Company is supported by more than 4500 Uniconians and has a team of over 900 business offices in 235 cities across India. With a customer base of over 200,000 the Unicon Group has an eye for the intricate financial needs of its clients and caters to both their short term and long term financial needs through a comprehensive bouquet of investment services. It has been founded with the aim of providing world class investing experience to the investing community. These services range from offline & online trading in equity, commodities and currency derivatives to debt markets to corporate finance and portfolio management services. The company has a sizable presence in the distribution of 3rd party financial products like mutual funds, insurance products and property broking. It also provides expert Advisory

7 on Life Insurance, General Insurance, Mutual Funds and IPOs. The distribution network is backed by in-house back office support to provide prompt and efficient customer service . The Equity broking arm UNICON Securities Pvt. Ltd offers personalized premium services on the NSE, BSE & Derivatives market. The Commodity broking arm Unicon Commodities Pvt. Ltd offers services in Commodity trading on NCDEX and MCX. The UNICON group also has a PCG division providing investments solutions for High Net Worth Individuals. The Corporate Advisory Services arm Unicon Capital Services (P) Ltd offers entire gamut of Investment Banking services to corporates. UNICON can boast of some of the most respected names in the private equity space like Sequoia Capitals, Nexus India Capital and Subhkam Ventures as its shareholders. Our key product offerings are as follows: Equity Commodity Depository Distribution NRI Services Back Office Fixed Income Investment Banking Currency Derivatives Portfolio Management Equity Browser based trading terminal that can be accessed by a unique ID and password. This facility is available to all our online customers the moment they get registered with us. Features: Trading at NSE, BSE and Derivatives on single screen. Greater exposure for trading on the available margin.

UniconEasy

8 Common window for order execution. Real time updating of exposure and portfolio while trading. Offline order placement facility (AMO). Stop-loss feature. Competitive Brokerages. Banking integration with ICICI Bank, HDFC Bank & Axis Bank,& Bank of India,& Corporation Bank, & Karnataka Bank, & Oriental bank of Commerce, & South Indian Bank, & Vijaya Bank and Yes Bank. Unicon Plus Browser based trading terminal that can be accessed by a unique ID and password. This facility is available to all our online customers the moment they get registered with us. UniconSwift Application based terminal for active traders. It provides better speed, greater analytical features & priority access to Relationship Managers. Features: Trading at NSE,BSE and Derivatives on single screen. Add any number of scrips in the Market Watch. Tick by tick live updation of Intraday chart. Greater exposure for trading on the margin available Common window for market watch and order execution. Key board driven short cuts for punching orders quickly. Real time updation of exposure and portfolio. Facility to customize any number of portfolios & watch lists. Market depth, i.e. Best 5 bids and offers, updated live for all scripts. Facility to cancel all pending orders with a single click. Stop-loss feature Commodity Unicon offers a unique feature of a single screen trading platform in MCX and NCDEX.Unicon offers both Offline & Online trading platforms. You can Walk in or

9 place your orders through telephone at any of our branch locations

Online Commodity Internet trading Platform through UniFlex. Live Market Watch for commodity market (NCDEX, MCX) in one screen. Add any number of scrips in the Market Watch. Tick by tick live updation of Intraday chart Greater exposure for trading on the margin available Common window for market watch and order execution Key board driven short cuts for punching orders quickly. Real time updation of exposure and portfolio. Facility to customize any number of portfolios & watch lists. Facility to cancel all pending orders with a single click Instant trade confirmations Stop-loss feature. Unicon Depository Services offers dematerialization services as a participant in Central Depository Services Limited (CDSL), through its Depository operations. The company believes in efficient and cost-effective and integrated service support to its brokerage business. Unicon Securities Private Limited, as a depository participant, will offer depository accounts for individual investors as well as corporates which will enable them to transact in the dematerialized segment, without any hassles. Depository offer a safe, convenient way to hold securities as compared to holding securities in paper form. Our service provides an integrated single platform for all our clients ensuring a risk free, efficient and prompt depository process. Distribution Unicon is fast emerging as a leader in the Insurance and Mutual Funds distribution space. Unicon has over 100 branches and a huge number of Business Development Executives who help to source and service the customers throughout the country. Unicon is fast becoming the preferred Vendor Independent distribution houses because of providing efficient service like free pick-up of collection of cheques/DDs, Keeping track of the premiums etc to its customers.

Depository

10 Unicon offers the following distribution products: IPO's Mutual Funds Insurance Properties NRI Services

With India becoming the epicentre of growth the Global Indian feels the need to be connected to the domestic growth story. Unicon now offers a convenient and hassle-free way of Investing in the Indian Securities Market to the people who are living outside India and wish to participate in the Indian Growth story. Back Office Unicon through its online back-office aims to increase the transparency and provides you the link to view the details of your account online anytime and anywhere. Here you have the advantage of viewing the following reports online: o Sauda Details o Financial Ledger o Net position for the day o Net position Detail (for the complete financial year) o E-Contract Note o Fixed Income o Offerings Investment Banking Overview The Investment Banking arm of Unicon Capital Services (P) Ltd. caters to the funding requirements of corporates. Our wide experience and market knowledge as a leading securities firm ensures that clients requirements are met at optimum cost. By constantly improving our knowledge capital and remaining focused on client needs, we aim to create significant value for our clients by helping them execute the right

11 capitalization strategy. We also intend to initiate merchant banking services (Capital Markets Fundraising) in the short term (Merchant Banking License pending) Currency Derivatives Unlike currency forwards offered by banks, currency futures trading does not have to be backed by an underlying merchant transaction exposure Tight bid ask spreads; usually 0.25 paisa wide Margin requirements less than 5% to take exposure on a lot size of $1000, 1000, 1000 and 1,00,000 respectively class for diversification for all resident individuals Commodity traders can hedge against unfavourable movements since gold, crude etc. For exporters and importers, no credit line required from their Banker as is the case with forwards Ideal tool for those with smaller exposures, as in the case of travel needs, educational payments etc. Unicon Advantage o Online & Offline trading facility on all the bourses o Exclusive daily commentary and research reports by our Currency analyst team o Regular updates on Dollar INR movement with calls to buy and sell o Special consultancy to Exporters, Importers & Corporate for their Forex transactions o Receive education on the product through seminars/con-calls organized by Unicon o Your Cash Margin with Unicon Securities can be used for either segment Equity or Currency. o Other awaited products o Currency options are also expected to be added to the basket of products soon. Portfolio Management Portfolio Management Services Gone are the days when an investor could directly participate in the capital markets, for they have not only become far more complex in terms of compliances, methodologies, effects and analysis but also need a constant tracking mechanism. As is the case globally, the Indian investor has also realized the advantages of seeking professional advice in order to not only manage but also augment his portfolio. New asset

12 We at Unicon in our constant endeavor to bring to our esteemed clients global methodology have developed a proprietary model that has enabled us to outperform all major indices with a fair degree of consistency, over the longer term. We continue to be positive of both our approach and the Indian capital markets in general and especially so after UPAs landslide mandate to guide the country over the next 5 years. However, we believe that the out-performance is more stock-specific and the major indices only provide a barometer for evaluation. This view is expected to only be enhanced going forward, with larger players entering the markets with globally fine-tuned analytical tools. The Portfolio Management Schemes of the Company offer Discretionary Schemes (Unicon Optimizer & Unicon Growth) for Individuals, Corporate Bodies, Partnership firms, Proprietors, Non Resident Indians etc. The Company is registered with SEBI enabling it to undertake Portfolio Management activities under a specific license. PMS is a very personalized service wherein each portfolio has to be specifically constructed in order to reflect the objective and risk appetite of a particular client. Our qualified managers are constantly evolving methodologies and financial models that provide them with a composite mix of: 1. Medium term comprising of value investing and other fundament tools 2. Short term comprising primarily of technical analysis and tools 3. Hedging strategies comprising of derivative products Along with this water tight investment evaluation strategy we have up in place an equally foolproof client servicing and feedback methodology. All Investment advisors are hand picked and trained on a gamut of Wealth product, this ensures that he is in a very good position to deliver a wholesome wealth experience to the client. UNICON PMS provides following benefits: Strong Research Team Profile based investment solution Professional Fund Management Strict Risk Management Timely performance reporting

13 Periodic reviews & rebalancing Dedicated relationship manager

CHAPTER 2 2.1 OBJECTIVES OF THE STUDY: Primary data: To study on the investors perception about equity shares with special preference in unicon, coimbatore. Secondary data: To study and understand investors awareness and preferences on equity shares To study the factors influencing investors perception of unicon securities limited. To analyze the various services provided by unicorn securities limited. To evaluate the impact of the demographic factors on investment patterns of the investors. To identify the satisfaction level of investors in unicon

14

2.2 SCOPE OF THE STUDY: The study purely deals with the investors perception about equity shares with special reference to unicon and analyzing about the investors thought about equity shares for the year 2009-2010. The study will help the company in its future enlistment. Also it will help unicon to understand its clients better. This study also help to know the strengths and weakness and how to compete with other players in the market.

LIMITATIONS OF THE STUDY: The entire project is based on the details and feedback of the respondents of the population it is assumed as true. It is limited to only few investors which may not be consistent in the large population. Due to the time constraint, limited numbers of datas were collected. It was more expensive to collect the data The tool used in the study possesses some limitations that also affected the study.

15

2.3Research methodology & analysis: Research in common parlance refers to a search for knowledge one can also define research us the systematic search for pertinent information on specific topic the systematic approach concerning generalization and formulization of a theory is also a research methodology of research provides guidelines, outline and frame work of how a project is to be conducts. Research design: Research involves decision regarding what, when, where, how much, by what means concerning an inquiry or research study constitutes research design. A research design is the arrangement of condition for collection and analysis of data in manner that aims to combine relevance to the research purpose with economic in procedure. Types of research Descriptive research: The study mainly used descriptive research. The descriptive research studies are concerned with describing the characteristics of a particular individual or of a group. Here the researcher must find adequate methods for measuring it along with clear cut definition of population he wants to study. Sampling technique: The selected respondent constitutes what is technically called a sample and the selection procedure is called the sampling technique. The sample design is a definite plan for obtaining a sample from given population. It refers to the technique or the procedure the researcher would adopt in selecting items to be include in the sample. The sample design is determined before data are colleted. The type of sampling technique used for my research is non-probability convenience sampling. Convenience sampling:

16 In this method, the sample units are chosen primarily on the basis of the convenience to the investigator.

Non probability sampling: Non probability sampling the chance of any particular unit in the population being selected is unknown. Since randomness is not involved in the selection process an estimate of the sampling error cannot be made. But this does not mean that findings obtained from non probability sampling are of questionable value. Sampling unit: The sampling unit of my study-private client group, coimbatore -which is basically servicing a client base that invest minimum25000 and above. The group is basically the wealth management arm of unicorn securities which services hi net worth individuals. Size of sample design Sample size : 210 Methods of data collection: The study is based on primary data and secondary data. The first type of data to be collected is primary data. Primary data: The primary data was collected through an administered questionnaire. The questionnaire consisted of a variety of questions that were consistent with the objectives of the research. Primary data is the data, which is collected for the first time i.e. when secondary data becomes outdated and becomes insufficient. Primary data may pertain to demographic and socio economic characteristics of the consumers attitudes and options of people, their awareness and knowledge and other similar aspect. The primary data is collected through personally. In this study primary data has been collected with the help of questionnaire. Collection of data through questionnaire:

17 This method of data collection is quite popular particularly in case of big enquires. It is adopted by private individuals, research workers, private and public organizations and even by governments.

Secondary data: The study also used secondary data. The secondary data was collected from the company journals, reports magazines and the materials obtained from head in the regional office. When secondary data becomes outdated and becomes insufficient. Tools used for analysis: Percentage analysis Percentage is used to make comparisons between two or more series of data. Percentage analysis= Weighted average Weighted average may be defined as the average obtained multiplying the various item in serious by certain values know as weighted and the total of products so obtained is dividend by the total of weighted. XW WEIGHTED AVERAGE = Chi-square analysis: Chi-square analysis is a non-parametric test. It is used most frequently by marketing researchers to test hypotheses. CHI-SQUARE TEST Correlation analysis Correlation analysis is the statistical tool that describes the degree to which one variable is linearly related to other variables. Two or more variables are said to be =
(Oij E ij )2 E ij

no.the respondents Total no.the respondents

------------W

18 correlated if change in the value of one variable. Appears to be related or linked with the change in the other variables. n (Xi X ) (Yi Y ) r = -------------------------------------- ( Xi X ) ANOVA: Analysis o variance is an extremely useful technique concerning researches in the field of economies, biology, education, psychology, sociology, business/ industry in researches of several other disciplines. This technique is used here since multiple sample cases are involved. ONE WAY ANOVA: Under the one way ANOVA, we consider only one factor and then observe that the reason for said factor to be important is that several possible types of samples can occur within that factor. The technique involves the following steps.
2

( Yi Y )

TSS= X11+X2+..-T/N

SSC= (X1)/N1+ (X2)/N2+..-T/N SSE=TSS-SSC

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2.4 REVIEW OF LITERATURE Investors perception An overview The study of investors perception focuses on how individuals make decision to invest their available resources like time & money based on the factors for investment in equity shares. In every investment like risk, return capital, tax, and liquidity. The investor perception is also influenced by the high risk return, capital appreciation, and interest etc Dr. Abraham Maslow formulated a widely accepted theory of motivation, based on the nation of universal of human needs. This includes five needs they are also related to the investor behavior in investment pattern. Perception and individual decision making So the main factors which affect the investors perception in the Indian stock market is as follow: Age gender Occupation Income level Education Equity share capital-A Review: The term used to describe the ordinary share capital of a business. Ordinary shares in the equity capital of a business entitle the holders to all distributed profits after the holders of debentures and preference shares have been paid. Equity shares are issued to the owners of a company. The ordinary shares of Indian companies typically have a nominal or face value. Which are entitled to a dividend only after a certain date or only Risk returns factors Services Satisfaction Safety Liquidity Physiological need, Safety and security needs, Social needs, self esteem, Self actualization needs.

20 if profits rise above a certain amount. Voting rights might also differ from those attached to other ordinary shares.

Significance of equity shares for the companies: A new issue of shares might be made for several reasons: 1. The company might want to raise more cash where a company sells the new shares to existing shareholders in proportion to their existing shareholding in the company; this is known as a rights issue. 2. The company might want to issue new shares partly to raise cash but more importantly to float its shares on a stock market. Its must make available a minimum proportion of its shares to the general investing public. 3. The company might issue new shares to the shareholders of another order to take over. There are many examples of businesses that use their high share price as a way of making an offer for other businesses. The shareholders of the target business being acquired received shares in the buying business and perhaps also some cash. Sources of equity finance There are three main methods of raising equity: 1. Retained profits: i.e. retaining profits, rather than paying them out as dividends. This is most important source of equity. 2. Rights issues: i.e. an issue of new shares. After retained profit, rights issues are the next most important source. 3. New issues of shares to public: i.e. an issue of new shares to new shareholders. In total in India, this is the least important source of equity finance. company, in

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CHAPTER 3 ANALYSIS AND INTERPRETATION Analysis refers to the ability to break down material into its component parts so that is organizational structure may understand. This may be including the identification of the parts, analysis of the relationship between parts and recognition of the organizational principles involved. Learning outcomes here represent a higher intellectual level than comprehension and application because they require an understanding of both the content and the structural from of the material. Systematic approaches to problem solving complex problems are made simpler by separating them into more understandable elements. This involves the identification of purposes and facts, the statement of defensible assumption, and the formulation of conclusions.

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TABLE 3.1.1 Table showing gender of the respondents:

Gender Male Female Total

Number of respondents 165 45 210

percentage 78.6 21.4 100

(Source of primary data) INTERPRETATION: From The above table shows that 78.6% of the respondents are male Respondents and the rest of the 21.4% are female members. This shows that Majority of the respondents are male. CHART 3.1.1 Chart showing gender of the respondents:

23

Chart showing gender of the respondents

200 percentage 150 100 50 0 Male Female Gender of the respondents 78.6 45 21.4 165 Number of respondents percentage

TABLE 3.1.2 Table showing age of the respondents (Sources of primary data) Age 15-20 21-30 31-40 41-50 Above 50 Total INTERPERTATION: From The above table shows that 14.3% of the respondents are under the age group 15-20, 19% of the respondents are under the age group 21-30, 35.7% of the respondents are under the age group 31-40, 21.5 % of the respondents are under the age Number of respondents 30 40 75 45 20 210 percentage 14.3 19 35.7 21.5 9.5 100

24 group 41-50, and 9.5% of the respondents are above 50 years. it was found that majority of the respondents are in the age group of 31-40 years. CHART 3.1.2 3.1.2Chart showing age of the respondents

chart showing age of the respondents

80 70 60 50 40 30 20 10 0 30 14.3 19 40 35.7 21.5 20 9.5 21-30 31-40 41-50 Above 50 45 Number of respondents percentage 75

15-20

TABLE 3.1.3 Table showing educational level of the respondents Qualification S.S.L.C H.S.C Graduate Post graduate Total Number of respondents 42 55 85 28 210 percentage 20 26.2 40.5 13.3 100

(Source of primary data) INTERPERTATION:

25 From The above table shows that 20% of the respondents are coming under S.S.L.C and 26.2% of the respondents are coming under H.S.C. and 40.5% of the respondents are coming under graduate and 13.3% of the respondents are coming under post graduate category people. This shows that majority of the respondents are coming under level of education qualification is graduate. CHART 3.1.3 Chart showing educational level of the respondents

Educational level
90 80 70 60 50 40 30 20 10 0 S.S.L.C H.S.C Graduate 55 42 20 26.2 40.5 28 13.3 Post gratuate Number of respondents percentage 85

TABLE 3.1.4 Table showing occupation of the respondents (sources of primary data) Occupation Student Professional Business Employee Retired Total INTERPRETATION: From The above table shows that 6.5% of the respondents are students and 25.8% of the respondents coming under professional and 30.3% of the respondents are doing Number of the respondents 20 55 67 42 26 210 percentage 6.5 25.8 30.3 27.1 10.3 100

26 business and 27.1% of the respondents are coming under employee and 10.3% of the respondents are coming under retired people. This shows that majority of the respondents are coming under the business category. CHART 3.1.4 Chart showing occupation of the respondents

70 60 50 40 30 20 10 0 20 6.5 Student Professional 25.8 55

67

42 Number of the respondents 30.3 27.1 26 percentage

10.3

Business

Employee

Retired

TABLE 3.1.5 Table showing annual income of the respondents Annual income Below 1 lakhs 1-3 lakhs 3-5 lakhs Above 5 lakhs Total Number of the respondents 30 50 90 40 210 Percentage 14.5 23.8 42.7 19 100

27

(Sources of primary data) INTERPERTATION: From the above table it is inferred that 42.7% of the respondents are in the income level of Rs.3-5 lakhs, 23.8%of the respondents are earning Rs.1-3 lakhs and 19%of them are earning above 5 lakhs and only 14.5 % of them are earning below 1 lakhs as their monthly income. This shows the majority of the respondents of 3-5 lakhs income. CHART 3.1.5 Chart showing annual income of the respondents

Annual income level

100 90 80 70 60 50 40 30 20 10 0 90

50 30 14.5 23.8

42.7

40 19

Number of the respondents Percentage

Below 1 lakhs

1-3 lakhs

3-5 lakhs

Above 5 lakhs

TABLE 3.1.6 Table showing the sources of awareness about share market sources Friends Brokers Exiting customer Advertisement others Total Number of the respondents 28 78 31 21 52 210 Percentage 13.3 37.1 14.8 10 24.8 100

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(Source of primary data) INTERPERTATION: From The above table shows that 13.3% of the respondents are able to know about share market through friends and 37.1% of the respondents are able to know about share market through brokers and 14.8% of the respondents are respondents are able to know about share market through advertisement and 24.8% of the respondents are able to know about share market through others. This shows the majority of the respondents are aware of the brokers. CHART 3.1.6 Chart showing sources of awareness about share market

80 70 60 50 40 30 20 10 0 Friends 28 13.3

78

52 37.1 31 21 14.8 10 24.8 Number of the respondents percentage

Brokers

Exiting customer

Advertisement

others

TABLE 3.1.7 Table showing respondents opinion regarding best investment

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(Source of primary data) Option Equity Investments Commodity Stock/shares Mutual Bonds/debenture funds Mutual funds Currency Insurance Total Fixed deposit Total INTERPERTATION: Number of respondents Percentage 53 25 Number of the respondents Percentage 65 31 75 35.5 57 27 30 14.3 45 21.4 35 17 40 19 210 100 20 9.8 210 100

According to the view of the respondents 35.5%of them prefer the best investment in stock and 14.3% of the respondents come under bonds, 21.4% of the respondents comes under he mutual funds, and 19% of insurance, and fixed deposit 9.8%. Majority of the respondents are like to investment of shares. CHART 3.7 Chart showing respondents opinion regarding best investment

10% 19%

0% 36%

Investments Stock/shares Bonds/debenture Mutual funds Insurance 14% Fixed deposit

21%

TABLE 3.1.8 Table showing respondents are makes most risk bearing

30

(Sources of primary data ) INTERPERTATION: From the above table shows that 25% of respondents are under the equity, and 31% of the respondents are coming under commodity, and 27% of the respondents are coming under mutual funds, and last one 17% of the respondents are coming under currency. It was found that majority of the respondents are .makes most bearing of commodity. . CHART 3.1.8 Chart showing respondents are makes most risk bearing
70 60 50 40 30 20 10 0 Equity Commodity Mutual funds Currency 31 25 27 17 35 Number of respondents Percentage 53 65 57

TABLE 3.1.9 Table showing expectation of the investors

31 Expectation Quick service Proper response More reliable systematic Total Number of respondents 52 58 75 25 210 Percentage 24.7 27.6 35.7 12 100

(Source of primary data) INTERPERTATION: From The above table explicit that 35.7% of the respondents are expecting more reliability, 27.6% of them accepts proper response followed by 24.7% of them are expecting quick services ,12% of them are expecting systematic from unicon. This shows the majority of the respondents are expecting more reliability. CHART 3.1.9 Chart showing expectation of the investors

32

Option B.S.E N.S.E Both Total

Number of respondents 55 45 110 210

Percentage 26.3 21.4 52.3 100

expectation of investors
80 70 60 50 40 30 20 10 0 75 52 58 35.7 24.7 27.6 25 12 Number of respondents Percentage

Quick service

Proper response

More reliable

systematic

TABLE 3.1.10 Table showing most preferable in market

33

(Source of primary data) INTERPERTATION: From The above table shows that 26.3% of the respondents are showing preference in BSE and 21.4% respondents are showing their preference on NSE stock market and the rest of the 52.3 are showing their preference both of the markets. This shows that majority of the respondents are coming under the third category of both. Chart 3.1.10 Chart showing most preferable in market

26% B.S.C 53% N.S.C Both 21%

TABLE 3.1.11 Table showing most attracted services in financial solutions company Services Customer services approach towards the customers Advertisement Feed back from the existing customer Number respondents 74 48 26 49 of the Percentage 35 23 12.4 23.3

34 Brokerage fees Total INTERPERTATION: From the above table it infer that customer services 35is mostly preferred by the respondents, 23.3% feed back from the existing customer and 23% approach towards the customer, 12.4% of the respondents are giving their attracted level of advertisement and the rest of the 6.3% respondents are giving their attracted level of information to recent scripts. This shows that majority of the respondents are coming under the highly attracted on customer services. CHART 3.1.11 Chart showing most attracted services in financial solutions company
Attracted more on financial solutions company
80 60 40 20 0 74 35 48 23 26 12.4 49 23.3 13 6.3

13 210

6.3 100 (Source of primary data)

t ... s en s... ti n ces ee cu rvi xi s em ef e s e i t h e ag r t r h e t e e s v k m m Ad a rd Bro st o f ro t ow Cu ck h a c b a ed p ro Fe ap e rs

Num ber of the respondents

Percentage

TABLE 3.1.12 Table showing safety for investment Option Yes No Total INTERPERTATION: The above table shows that 78.6% of the respondents are saying it is safety and the rest of the 21.4% are said no. This shows that majority of the respondent are showing their safety level yes. Number of the respondents percentage 165 78.6 45 21.4 210 100 (Source of primary data)

35

CHART 3.1.12 Chart showing safety for investment

Safety for investment

180 160 140 120 100 80 60 40 20 0 165

78.6 45 21.4

Number of the respondents percentage

Yes

No

TABLE 3.1.13 Table showing where like to invest Option Equity Insurance Commodities Mutual fund Others Total Number of respondents 69 55 30 40 16 210 percentage 32.9 26.2 14.3 19 7.6 100

36

(Source of primary data) INTERPERTATION: The above table shows that 32.9%of the respondents their like to invest in equity and 26.2% of respondents are invest in insurance and 14.3 % of the respondents are invest in commodities and 19% of the respondents are invest in mutual fund and 7.6% of respondents are invest in others. This shows that majority of the respondents are coming under the category of equity. CHART 3.1.13 Chart showing where like to invest
80 70 60 50 40 30 20 10 0 Equity Insurance Commodities Mutual fund percentage Others 32.9 26.2 30 14.3 19 16 7.6 69 55 40

Number of respondents

TABLE 3.1.14 Table showing influencing factors to invest in equity shares

37

Factors Return Safety Transferability Time factor Tax advantage Total

Number of respondents 57 78 20 22 33 210

Percentage 27 37.3 9.5 10.5 15.7 100 (Source of primary data)

INTERPERTATION: From the above table shows that the influence factors to invest in equity shares revealed by the respondents. Most of them are preferred to invest for the reason of 37.3%Safety, 27%return, 15.7% tax advantage, 10.5 % time factor, and last one 9.5% transferability. This shows the majority of the respondents are preferred to invest for the reason of safety followed by return. CHART 3.14 Chart showing influencing factors to invest in equity shares

80 70 60 50 40 30 20 10 0 Return 27 57

78

37.3 22

33 20 9.5

Number of respondents Percentage 15.7

10.5

Safety

Transferablity Time factor

Tax advantage

TABLE 3.1.15 Table showing most preferred in market

38

Market Primary market Secondary market Both Total

Number of respondents 55 45 110 210

Percentage 26.2 21.4 52.4 100

(Source of primary data) INTERPERTATION: From The above table shows that 26.2% of the respondents are showing preference in primary market and 21.4% respondents are showing their preference on secondary market and the rest of the 52.4% respondents are showing their preference both of the markets. This shows that majority of the respondents are coming under The market. CHART 3.1.15 Chart showing most preferred in market

39

Most preferred in market

26% Prinary market Secondary market 53% 21% Both

TABLE 3.1.16 Table showing opinion about share trading

Option Very good Good Moderate Bad Very bad Total INTERPERTATION:

Number respondents 85 55 33 23 14 210

of Percentage 40.5 26.2 15.7 11 6.7 100 (Source of primary data)

From The above table shows that 40.5% of respondents reveal that the satisfaction level in share trading is very good, 26.2 % of the respondents are feeling good, 15.7%of the respondents are feeling moderate level, 11% of the respondent are feeling bad, and of the 6.7 % respondents are suggested as very bad .this shows that the majority of the respondents are highly satisfied with share trading. CHART 3.1.16 Chart showing opinion about share trading

40

Very bad 7% Bad 11% Moderate 16% Very good Good Moderate Bad Very bad Good 26%

Very good 40%

TABLE 3.1.17 Table showing level of expectation about the return Option High return Average return Low return Total Number of respondent 100 65 45 210 Percentage 47.6 31 21.4 100

(Source of primary data) INTERPERTATION: From The above tables shows that 47.6% of respondents expectation level high return and 31% of respondents are feeling average return and 21.4% of return. the respondents are suggest low return. This shows that the majority of respondents are high

41 CHART 3.1.17 Chart showing level of expectation about the return

21%

48%

High return Average return Low return

31%

Table 3.2.1 Weighted average calculation Factor based on investment opinion 5 90 82 4 53 45 28 47 52 3 37 41 30 22 67 2 16 28 45 77 36 1 14 14 82 38 13 Weighted average Return Safety total 819 783 499 576 704 Weighted average 3.9 2.3 3.7 2.7 3.3 1 2 5 4 3 rank

Transferability 25 Time factor 26

Tax advantage 42

INTERPRETATION:

42

From the above table it is inferred that, the respondents are selecting the investment based on 1st rank is return, and 2nd rank safety, 3rd rank tax advantage, 4th time factor, and 5th transferability. Majority of the respondents are investment selected based on return only.

CHI-SQUARE TEST TABLE:3.3.1 Table showing relationship between best investment avenues of respondents and occupation level Investment avenues and Occupation Students Professional Business Employee Retired Total 2 15 30 20 8 75 1 3 7 12 7 30 Stock Bonds Mutual funds 6 17 13 5 4 45 7 14 10 4 5 40 Insurance Fixed deposit 4 6 7 1 2 20 20 55 67 42 26 210 total

O-Observed frequency E-Expected frequency

43 Degree of freedom Null hypotheses = (row-1)*(coloum-1) (H0): There is no relationship between Educational of respondents and opinion about the investment avenue of respondents. Alternative hypotheses(Hi): There is close relationship between Educational of respondents and opinion about investment avenue of respondents . Calculated value Degree of freedom Tabulated value Results INTERPRETATION: Since the calculated value is higher then the tabulated value the null hypothesis is rejected. From the above chi-square test it is found that is, there is close significant relationship between educational of respondents and opinion about the investment avenue of respondents. = 38.73 =8 = 15.92 = Not significant at 5% level

44

TABLE: 3.4.1 CORRELATION TEST Relationship between age group of the respondents opinion about share trading

(Xi)

(Yi)

Xi X

Y Y

(Xi X )2

(Yi Y )2

(Xi X )2 (Yi Y )2

30 40 75

85 55 33

-12 -2 33

43 13 -9

44 4 1089

1849 169 81

-516 -26 -297

45

23

-19

361

-57

45 20 210 14 210 -22 0 -28 0 484 1730 784 3244 616 -280

n (Xi X ) (Yi Y ) r = -------------------------------------- ( Xi X )

2

( Yi Y )

-280 = ------------1732 3244 = -.012 Conclusion There is a perfect negative correlation between age group of the respondents and opinion about share trading.

46

ANOVA TABLE 3.5.1 Relationship between the occupation and awareness level about the various investment avenues Investmen Stock/shares t avenues occupation Students Professional Business Employee Retired Total Bonds Mutual fund Insurance Fixed deposits Total

8 24 26 10 7 75

1 5 9 9 6 30

1 8 19 12 5 45

7 14 7 5 7 40

3 4 6 7 12 20

20 55 67 42 26 210

n=25

47 T=210 T/n=(210)/25=1764 TSS= X11+X2+..-T/N =999 SSC= (X1)/N1+(X2)/N2+..-T/N =2110 SSE=TSS-SSC =999-2110 = -1111

Source

of sum of squares 2110 -1111 999

degree freedom (5-1)=4 (25-5)=20 (25-1)=24

of ms 5275 -55.55

variance ratio -9.49

variation between sample Within sample Total V1=4, V2=20, Table value= 2.87

Calculate value= -9.49 -9.49<2.87 Result There is the relationship between the occupation and awareness level about the various investment avenues is accepted.

48

CHAPTER 4 FINDINGS, SUGGESTIONS AND CONCLUSION 4.1 FINDINGS It has been found that 78.6% of the respondents are male Respondents and the rest of the 21.4% are female members. This shows that majority of the respondents are male. The researcher finds that 14.3% of the respondents are under the age group 1520, 19% of the respondents are under the age group 21-30,35.7% of the respondents are under the age group 31-40, 21.5% of the respondents are under the age group 41-50, and 9.5% of the respondents are above 50 years. it was found that majority of the respondents are in the age group of 31-40 years. It has been found that 20.1% of the respondents are coming under S.S.L.C and 26.2% of the respondents are coming under H.S.C. and 40.5 % of the respondents are coming under graduate and 13.3% of the respondents are coming under post graduate category people. This shows that majority of the respondents are coming under level of education qualification is graduate.

49 The researcher finds that 6.5% of the respondents are students and 25.8% of the respondents coming under professional and 30.3% of the respondents are doing business and 27.1% of the respondents are coming under employee and 10.3% of the respondents are coming under retired people. This shows that majority of the respondents are coming under the business category. It has been found that inferred that 42.7% of the respondents are in the income level of Rs.3-5 lakhs, 23.8%of the respondents are earning Rs.1-3 lakhs and 19%of them are earning above 5 lakhs and only 14.5 % of them are earning below 1 lakhs as their monthly income. This shows the majority of the respondents of 35 lakhs income. The sources awareness level indicates that 13.3% of the respondents are able to know about share market through friends and 37.1% of the respondents are able to know about share market through brokers and 14.8% of the respondents are able to know about share market through exiting customer and 10% of the respondents are able to know about share market through advertisement and 24.8% of the respondents are able to know about share market through others. This shows the majority of the respondents are aware of the brokers. According to the view of the respondents 35.5%of them prefer the best investment as stocks/shares, 19% of them choose insurance, 21.4% of them prefer mutual funds, and 14.3% of them prefer bonds/denture, and 9.8% of them prefer fixed deposit. This shows the majority of the respondents prefer the best investment as stock/shares. Researcher finds that 31% of respondents are under the equity, and 27% of the respondents are coming under commodity, and 25.25% of the respondents are coming under mutual funds, and last one 16.7% of the respondents are coming under currency. It was found that majority of the respondents of equity.

50 It has been found that 35.7% of the respondents are expecting more reliability, 27.6% of them accepts proper response followed by 24.7 of them are expecting quick services ,12% of them are expecting systematic from unicon. This shows the majority of the respondents are expecting more reliability The researcher finds that 26.2% of the respondents are showing preference in BSE and 21.4% respondents are showing their preference on NSE stock market and the rest of the52.3% the respondents are showing their preference both of the markets. This shows that majority of the respondents are coming under the third category of both. It has been found that customer services 35%is mostly preferred by the respondents, 23.3% feed back from the existing customer and 23% approach towards the customer, 12.4%of the respondents are giving their attracted level of advertisement and the rest of the 6.4% respondents are giving their attracted level of information to recent scripts. This shows that majority of the respondents are coming under the highly attracted on customer services

The researcher finds that 78.6% of the respondents are saying it is safety and the rest of the 21.4% are said no. This shows that majority of the respondent are showing their safety level yes. It has been found that 32.9%of the respondents their like to invest in equity and 26.2% of respondents are invest in insurance and 14.3% of the respondents are invest in commodities and 19% of the respondents are invest in mutual fund and 7.6% of respondents are invest in others. This shows that majority of the respondents are coming under the category of equity. The researcher finds that the influence factors to invest in equity shares revealed by the respondents. Most of them are preferred to invest for the reason of

51 37.3%Safety, 27%return, 15.7% tax advantage, 10.5% time factor, and last one 9.5% transferability. This shows the majority of the respondents are preferred to invest for the reason of safety followed by return. It has been found that 26.2% of the respondents are showing preference in primary market and 21.4% respondents are showing their preference on secondary market and the rest of the52.4% respondents are showing their preference both of the markets. This shows that majority of the respondents are coming under the both of market. The researcher finds that 40.5% of respondents reveal that the satisfaction level in share trading is very good ,26.2 % of the respondents are feeling good, 15.7%of the respondents are feeling moderate level, 11% of the respondent are feeling bad, and of the 6.7% respondents are suggested as very bad .this shows that the majority of the respondents are highly satisfied with share trading It has been found that 47.6% of respondents expectation level high return and 31% of respondents are feeling average return and 21.4% of the respondents are suggest low return. This shows that the majority of respondents are high return. From the above table it is inferred that, the respondents are selecting the investment based on 1st rank is return, and 2nd rank safety, 3rd rank tax advantage, 4th time factor, and 5th transferability. Majority of the respondents are investment selected based on return only. Since the calculated value is higher then the tabulated value the null hypothesis is rejected. From the above chi-square test it is found that is, there is investment avenue of respondents. close significant relationship between educational of respondents and opinion about the

52 There is a perfect negative correlation between age group of the respondents an opinion about share trading.

There is the relationship between the occupation and awareness level about the various investment avenues are accepted.

4.2 SUGGESTIONS: Based on this analysis it is noticed that educated people prefer in investment compared to uneducated people. So union should concentrate more on uneducated people. Based on this analysis unicon should give more attention to female investors to improve the target compared to male investors. Unicon should make more investor aware about their services and make as much possible effort then better services in comparison to other competitors in the market so that more client invest more. The sales executive should constantly study investor preference and market trends that come on newspaper so that they can offer better services and advices to their clients by suggesting how to invest and where to invest their stocks. Prefer service and more reliability is the factors expected by the respondents. So unicon should improve better services. Unicon should be mostly covered the all age group of respondents. So it is better one.

53

4.3 CONCLUSION Investors perceptions in securities vary from one person to another. While some investors are risk averse while some are risk lovers. The study conducted has helped the researcher to understand why investors prefer unicon securities compare to other broking house in the country and has helped to identify the satisfaction level of the customers and also to identify the factors influenced customer preference towards unicon securities. Unicon security has a good name and reputation in the market and also regarded as the leading stock broking firm in the country. If the continues to improve itself according to changing market conditions, and then it can certainly make more investors prefer it to the rest of the broking houses in the country.

54

APPENTIX QUESTIONNAIRE A STUDY ON INVESTORS PERCEPTION ABOUT EQUITY SHARES 1. Name of respondent Phone number Address : : :

2. Gender of the respondent: a)male [ ] b)female [ ]

3. Age group of the respondent: a) 15-20 [ ] b)21-30 [ ] c)31-40 [ ] d)41-50 [ ] e)above 50 [ ] 4. Education qualification of the respondent: a) SSLC [ ] b) HSC [ ] c) graduation [ ] d) post graduation [ ] 5. Occupational status of the respondent: a) Student [ ] b) professional [ ] c) business [ ] d) Employee [ ] e) retired [ ]

55 6. Income status of the respondent: a) Below Rs.1lakhs [ ] b) Rs.1lakhs-Rs.2lakhs [ ] c) Rs.2lakhs-Rs.5lakhs [ ] d) above Rs.5lakhs [ ] 7. How do you know about share market? A) Friends [ ] b) brokers [ ] c) exiting customer [ ] D) Advertisement [ ] e) others [ ]

8. In your opinion, which is the best investment avenue amongst following? a) stock/shares [ ] D) Insurance [ ] b) bonds /debenture [ ] e) fixed deposit [ ] c) mutual fund [ ]

9. Your awareness level about the various investment avenues. Know very well Stock /shares Bonds/debenture Mutual fund Insurance Fixed deposit 10. What are all the products that make most risk bearing? A) Equity b) Commodity c) Mutual fund d) currency Aware of it Not at all aware

11. Expectation of the investors a) Quick services [ ] b) proper response [ ] c) more reliable [ ] d) systematic 12. Which one do you prefer more among the following? a) BSC [ ] b) NSC [ ] c) both [ ] 13. What attracted more on financial solutions company? a) Customer services [ ] b) approach towards the customers [ ] c) Feedback from the existing customer [ ] d) brokerage fees [ ]

56 e) Information on recent scripts [ ] 14. Do you feel safety for your investment in share market company? a) Yes [ ] b) no [ ] If no, reason please.. 15. Where you like to invest? a)equity[ ] b)insurance[ ] c)commodities[ ] d)mutual fund[ ] e)others[ ] 16. Please rank the following factor based on which you have selected the investment. Rank return Safety Transferability Time factor Tax advantage 17. Which type of market do you mostly preferred? a) primary market[ ] b)secondary market[ ] c)both[ ] 18. What is your opinion about share trading when compared to other business? a)very good[ ] b)good[ ] c)moderate[ ] d)bad [ ] e)very bad [ ] 19. Your expectation about the return from this business? A) High return [ ] b) average return [ ] c)low return [ ] 20. Suggestion for improvement? ..

57

BIBLIOGRAPHY Reference book i. C.R Kothari, researcher methodology, published by K.K.Gupta for New age International Private Limited. Second edition. ii. Philip Kotler, Marketing management, Pearson Education Private Limited, 12th edition, New Delhi iii. Jit S Chandan, Statistics, Vikas Publishing House Private Limited, 2nd edition,New Delhi. iv. L.M Prased, Organization Behavior, Sultan Chand & Sons Educational Publishing Private Limited. v. P.Mohana Rao, Financial services, Deep and Deep publications Private Limited. Periodicals

1. Business today 2. In house publication of unicon securities limited Websites

58 Websites of the company WWW.Unicon.com www.nseindia.com