A

Project report
On

For

A/205, 2nd floor, victory park,

Opp.Tataindicom showroom,
Chandravarkarlane, Borivali (west)
Mumbai-400092

SUBMITTED BY
Mr.PARESH K. MENGADE
Roll NO:-
DATE:-
SUBMITTED IN PARTIAL FULFILLMENT OF
Master of Business Administration
Under the guidance of Mr. Pankaj Sharma

[UNIVERSITY OF PUNE]
G.H.Raisoni College of Engineering and Management
Tal-Wagholi, Dist-Pune
Academic year-2010-2011

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 Certificate

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 Sr.no Content Page No.

1 Certificate
2 Declaration
3 Preface
4 Company profile
5 Company history
6 Executive summary
7 Indiabulls
8 Indiabulls securities ltd.
9 Chairman profile
10 Introduction to share market
11 What is demat account
12 What is trading
13 Process of opening an demat account
14 Indiabulls demat account
15 Scheme and feature’s
16 Document’s required
17 Operation
18 Indiabulls demat account opening process
19 Points to be remember
20 Benefits of Indiabulls demat account
21 Comparative study with...
ICICI direct
HDFC Securities
Motilal oswal
22 Comparison with table
23 Research methodology
24 Observation
25 Suggestion
26 Limitation
27 Conclusion
28 Bibliography
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29 by paresh Annexure
30 Questionnaire
 Declaration

I Paresh Kailas Mengade declare that project work entitled “Sales and
marketing of financial products” at Borivali (w) is the original work done by
me.

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 This project report is submitted in partial fulfillment of Master of
business administration at G.H.Raisoni College of Engineering And
Management under the guidance of

Preface

The successful completion of this project was a great experience for

me because by visiting many places and meeting people I gained a lot of
knowledge about share market and how to trade in market. The experience

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which I gained by doing these project is very essential at the turning point of
ma career this project is being submitted which contains detail analysis of
the research undertaken by me.

Research provides an opportunity for me to understand the share

market very well and also got the opportunity to meet new people.

The research is on the topic named “Sales and marketing of

financial products”

Company history

Young entrepreneur Sameer Gehlaut established Indiabulls in 2000,

after acquiring Inorbit Securities, a stock brokerage company in Delhi. The
group started its operations from a small office near Hauz Khas bus terminal
in Delhi.The office had a tin roof and two computers.

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 In less than 10 years the group has become one of the leading
financial services and real estate company in India,they have a land bank of
4000 acres.

Sameer Gehlaut is India’s youngest self made billionaire at just 34

years of age. According to Forbes (2008), he has a net worth of $1.2 billion.
He is the 962nd richest person in the world and 45th richest in India.

Sameer Gehlaut completed his Mechanical Engineering from IIT

Delhi in 1995 .He worked for Halliburton in the United States. He came
back to India to start an earth moving and mining business ,which is
presently run by his family.

In 2000 Sameer Gehlaut was only 26 when he started Indiabulls with

the help of Saurabh Mittal and Rajiv Rattan.Mittal and Rattan were his
friends at IIT Delhi.

Indiabuls were the pioneers in the online brokerage business segment.

The company had a young management team and were able to raise money
from time to time. Its investors included LN Mittal and Farallon Capital . In
September 2004 the company came out with its IPO.

Indiabulls started as an online brokerage company but over the years

they have added new products and services .They also entered into new
business segments.The group’s business interests include real estate
,consumer finance ,mortgages, retail and power.They have a market
capitalization of more than Rs. 25000 crores.

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 We can recall that Indiabulls acquired 7.8 acres of land from NTC for
Rs 441.75 crore,this was the Elphinstone Mills land in Lower
Parel,Mumbai.They also acquired 11 acres of the Land from NTC for Rs
276.6 crore,this was the land of Jupiter Mills in Lower Parel,Mumbai.

Indiabulls acquired more than 115 acres of land in Sonepat,Haryana

for developing residential real estate.

Indiabulls entered into a joint venture with Sogecap for its foray into
the Life insurance business. Sogecap is the Life insurance subsidiary of the
French company Societe Generale.

Saurabh Mittal and Rajiv Rattan have a net worth of around $ 500
million each.

Company profile

Indiabulls Group is one of the top business houses in the country with
business interests in Real Estate, Infrastructure, Financial Services and
Power sectors. Indiabulls Group companies are listed in Indian and overseas
financial markets. The Net worth of the Group exceeds USD 3 billion.

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Indiabulls has been conferred the status of a “Business Super brand” by The
Brand Council, Super brands India.

Indiabulls Financial Services is an integrated financial services

powerhouse providing Consumer Finance, Housing Finance, Commercial
Loans, Life Insurance, Asset Management and Advisory services. Indiabulls
Financial Services Ltd is amongst 68 companies constituting MSCI -
Morgan Stanley India Index. Indiabulls Financial is also part of CLSA’s
model portfolio of 30 Best Companies in Asia. Indiabulls Financial Services
in partnership with MMTC Limited, the largest commodity trading company
in India, has set up India’s 4th Multi-Commodities Exchange.

Indiabulls Real Estate Limited is India’s third largest property

company with development projects spread across residential projects,
commercial offices, hotels, malls, and Special Economic Zones (SEZs)
infrastructure development. Indiabulls Real Estate partnered with Farallon
Capital Management LLC of USA to bring the first FDI into real estate.
Indiabulls Real Estate is transforming 14 million sqft in 16 cities into
premium quality, high-end commercial, residential and retail spaces.
Indiabulls Real Estate has diversified significantly in the following business
verticals within the real estate space: Real Estate Development, Project
Advisory & Facilities Management: Residential, Commercial (Office and
Malls) and SEZ Development. Power: Thermal and Hydro Power
Generation.

Indiabulls Securities Limited is India’s leading capital markets

company with All-India Presence and an extensive client base. Indiabulls

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Securities possesses state of the art trading platform, best broking practices
and is the pioneer in trading product innovations. Power Indiabulls, in-house
trading platform, is one of the fastest and most efficient trading platforms in
the country.. Indiabulls Securities Limited is the first brokerage house to be
assigned the highest rating BQ – 1 by CRISIL.

Indiabulls Power Limited. Was established in 2007 to capitalize on

emerging opportunities in the Indian power sector. It develops and intends to
operate and maintain power projects in India. The Company has five thermal
power projects under development, which will have a combined installed
capacity of 6,660 MW. The Company intends to sell the power generated
from these projects under a combination of long term PPAs to industrial and
state-owned consumers on merchant basis. The Company is also developing
four medium sized hydro-power projects aggregating to 167 MW in
Arunachal Pradesh. These hydro-power projects are proposed to be
developed as run-of-the river projects.

The Company is a subsidiary of IBREL, a part of the Indiabulls

Group and listed on the BSE and the NSE. IBREL focuses on construction
and development of properties, project management, investment advisory
and construction services, with operations spanning all aspects of real estate
development, from the identification and acquisition of land, to the
planning, execution, construction and marketing of its projects (including
architecture, design management and interior design), through to the

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maintenance and management of its completed developments, as well as
providing consultancy services on engineering, industrial and technical
matters to various industries including companies engaged in construction-
development of real estate and infrastructure projects.

EXECUTIVE SUMMARY

This report is structural as well as procedural study about the

extent of flexibility and transparency present inside the framework of
financial industry. Organization is constantly changing. These changes
often result from events which alter the establishment status quo in
some way such as the introduction of new technology process changes
organization merges or restructuring.

Indiabulls securite years has undergone many innovations whether it

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is in its field of technologies or whether it is customer satisfaction. In this
period of my training I have learnt all the operations done by Indiabulls
securities i.e. opening of D-MAT account, filling forms, verification of
the form, rectification of the form, checking the status of the clients,
handling the queries of the customers, gaining knowledge about the various
products of Indiabulls securities like IPO, Commodities, Derivatives, etc.

During my project I also came to know about the customer service

which the company provides to its customers. As far as data collection is
concerned I have both primary as well as secondary data in this report. I
have collected primary data by interactive sessions with the working
officials of the company and secondary data are collected which are more
qualitative in nature from the manuals, internet, corporate articles and other
preserved data by the company.

Indiabulls securities are equally aware of the needs of its customers

and help them in giving meaning and content. This company has steadily
progressed over the years from strength to strength. It provides online
share trading facility to the customers. As I dealt with these products of
Indiabulls securities so I got a good exposure about the general expectations
of a customer and what he usually experienced while dealing into
investment products. To meet these expectations Indiabulls securities is
into the concept of franchisees where private franchisees are given to
individuals so that the coverage area of Indiabulls securities can be
increased and work load on employees can be decreased in order to increase
Relationship Management.

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Chairman profile

Young entrepreneur Sameer Gehlaut established Indiabulls in 2000,

after acquiring Inorbit Securities, a stock brokerage company in Delhi. The
group started its operations from a small office near Hauz Khas bus terminal
in Delhi.The office had a tin roof and two computers.

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 In less than 10 years the group has become one of the leading
financial services and real estate company in India,they have a land bank of
4000 acres.

Sameer Gehlaut is India’s youngest self made billionaire at just 34

years of age. According to Forbes (2008), he has a net worth of $1.2
billion.He is the 962nd richest person in the world and 45th richest in India.

Sameer Gehlaut completed his Mechanical Engineering from IIT

Delhi in 1995 .He worked for Halliburton in the United States. He came
back to India to start an earth moving and mining business ,which is
presently run by his family.

What is demat account?

Demat account allows you to buy, sell and transact shares without the
endless paperwork and delays. It is also safe, secure and convenient.

Demat refers to a dematerialized account. Just as you have to open an

account with a bank if you want to save your money, make cheque payments
etc, you need to open a demat account if you want to buy or sell stocks. So it
is just like a bank account where actual money is replaced by shares. You

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have to approach the DP’s (remember, they are like bank branches), to open
your demat account.

Let’s say your portfolio has 100 of Satyam, 200 of IBM and 120 of
TCS shares. All these will show in your demat account. So you don’t have
to possess any physical certificates showing that you own these shares. They
are all held electronically in your account. As you buy and sell the shares,
they are adjusted in your account. Just like a bank passbook or statement,
the DP will provide you with periodic statements of holdings and
transactions.

Is a demat account a must?

Nowadays, practically all trades have to be settled in dematerialised
form. Although the market regulator, the Securities and Exchange Board of
India (SEBI), has allowed trades of upto 500 shares to be settled in physical
form, nobody wants physical shares any more. So a demat account is a must
for trading and investing.

Why demat?
The demat account reduces brokerage charges, enables quick
ownership of securities on settlement resulting in increased liquidity, avoids
confusion in the ownership title of securities, and provides easy receipt of
public issue allotments.

It also helps you avoid bad deliveries caused by signature

mismatch, postal delays and loss of certificates in transit. Further, it

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eliminates risks associated with forgery, counterfeiting and loss due to fire,
theft or mutilation. Demat account holders can also avoid stamp duty (as
against 0.5 per cent payable on physical shares), avoid filling up of transfer
deeds, and obtain quick receipt of such benefits as stock splits and bonuses.

The procedure for buying and selling dematerialised securities is

similar to the procedure for buying and selling physical securities. The
difference lies in the process of delivery (in case of sale) and receipt (in case
of purchase) of securities.

In case of purchase:-

 The broker will receive the securities in his account on the payout day
 The broker will give instruction to its DP to debit his account and
credit investor’s account
 Investor will give ‘Receipt Instruction to DP for receiving credit by
filling appropriate form. However one can give standing instruction

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 for credit in to ones accounts that will obviate the need of giving
Receipt Instruction every time.

In case of sale:-

The investor will give delivery instruction to DP to debit his account and
credit the broker’s account. Such instruction should reach the DP’s office at
least 24 hours before the pay-in as other wise DP will accept the instruction
only at the investor’s risk.

SCHEME AND FEATURE

Currency derivative

Indiabulls offers trading in the Currency Derivatives Segment in

National Stock Exchange (NSE)

Currency Derivatives are similar in nature to Stock or Index Futures

contracts. Currency Futures Contracts, with INR: USD exchange rate as the

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underlying, are available with a monthly expiry. At any given time,
Currency Future Contracts are available for trading for the next 12 months.

The Mark-to-Market for Currency Derivatives is settled on a daily

basis in a manner similar to Equity / Index Futures.

The market for Currency Derivatives is open from 9 A.M to 5 P.M

(Monday to Friday).

Registration for Currency Derivatives Segment (CDS) and Online

Trading Facility

You can initiate trading in Currency derivatives Segment by

following a simple registration procedure. Indiabulls also offers you the
convenience of Online Trading in Currency Derivatives. For registration in
CDS and availing Online Trading facility, please contact your Service
Branch / Relationship Manager.

Depository

Indiabulls is a depository participant with the National Securities

Depository Limited and Central Depository Services (India) Limited for
trading and settlement of dematerialized shares. Indiabulls performs clearing
services for all securities transactions through its accounts. We offer
depository services to create a seamless transaction platform – execute
trades through Indiabulls Securities and settle these transactions through the

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Indiabulls Depository Services. Indiabulls Depository Services is part of our
value added services for our clients that create multiple interfaces with the
client and provide for a solution that takes care of all your needs.

Documentary Requirements for Depository Account

 To receive E-statements & SMS Alerts

 To update your Contact Details in Demat account
 Requirements for Demat Account Address Change
 To change Bank Details In Your Demat Account
 To activate ECS in your Demat Account
 To update your PAN Details in Demat Account
 To operate a demat account with or without a nominee

Equity analysis

Indiabulls Equity Analysis complements its equity broking and

advisory services with high quality comprehensive report which can be
accessed online. Research report assess the potential strength and investment
risk by doing in-depth and exhaustive analysis of operational and financial

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performance of company, Peer group analysis, present Industry scenario
using advanced and sophisticated forecasting tools and models. These
research reports identify, examine and distill attractive investment
opportunities to help you in building and maintaining your ideal portfolio.

Salient features of Indiabulls Equity Analysis:

 Covers report of more than 540 company

 Updated on a daily basis
 Scorecard on Fundamentals, Valuations and risk
 Peer Analysis
 Valuation of potential growth
 Industry Scenario
 Expansion plan
 Details of Mergers and Acquisitions

Initial public offering

For various reasons, we often miss the opportunity of subscribing to

an IPO. It can either be because we could not procure the application form
or we did not have the time to fill up the form and submit it. The most
important benefit of the 'ONLINE IPO facility offered by Indiabulls
Securities Ltd. is the convenience in submission of applications from

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anywhere breaking the limitations of time and geography. You don’t need to
submit the application in paper form, or write a cheques or go to submit it
anywhere.

Now you have the convenience at your fingertip. You can quickly and
seamlessly apply to the latest public offerings with just a few clicks.
Indiabulls Securities Ltd. offers ONLINE IPO facility to its registered
trading customers at absolutely no cost.

To use the ONLINE IPO feature, you need to fulfill the following criteria:

 You must be registered for internet trading with Indiabulls Securities

Ltd.
 You must have a demat account with Indiabulls Securities Ltd.
 You must have signed the POA agreement for Online IPO’s.
 You must have access to Net Banking facility with those banks with
which Indiabulls is providing Payment Gateways. Currently, we are
providing payment gateways for ICICI, IDBI and HDFC Banks
Power Indiabulls

Power Indiabulls (PIB) is the advanced online trading platform from

Indiabulls Securities Limited. PIB provides the best in the class internet
trading features and delivers a seamless and rich online trading experience
for its users. PIB comes with a whole host of online features for the internet
trading users ranging from real-time stock prices, to live trading reports,
charting, News Room. PIB provides an integrated online trading platform

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for the internet trading community to invest in equity, F&O, Online IPOs
and base their decision on sound fundamental research and technical
analysis. It also provides various kinds of trading reports, each developed to
cater to internet trading users’ distinct needs.

With whole host of advanced online trading features, PIB aims to

fulfill the needs of every genre of investors & help them gain profits in
every possible way.

Why PIB?
PIB is the internet based stock trading application, which provides you an
unparalleled edge to trade in Indian stock markets. Here are some of the
compelling reasons, why you should subscribe for Power Indiabulls (PIB)

 Integrated market watch for Equities and Derivatives

 Live Streaming Quotes
 Fast Order Entry
 Tic by Tic Live Intraday Charts
 Technical Analysis
 Live Market News
 Customizable Alerts
 Extensive Reports
 Real Time Market Statistics
 World Market Summary
 Introducing Intraday Futures

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Now everything you want to know about Power Indiabulls is available in
one capsule. Visit the site dedicated for Power Indiabulls application
http://power.indiabulls.com

Signature a/c

With Indiabulls Signature account you will always remain on top of

your investments. It provides you the platform to trade in Equity and
Derivatives. With an unmatched service and nationwide presence, the

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Indiabulls Signature account comes bundled with a variety of exclusive
features.

 Ease of trading – With Indiabulls Signature account you have the

flexibility to place your orders either by logging on the website,
calling at the branch or walking in the branch.

 Dedicated Service Branch and Relationship Manager: You can get in

touch with your Relationship Manager and Service Branch for all
your trading related requirements.

 Power Indiabulls (PIB): You can trade smarter and faster using the

Power Indiabulls application. Access the broad spectrum of

sophisticated trading tools and get an edge in the stock markets.

 Online Payment Gateways: Use our online payment gateways facility

and get instant credit in your Trading Account. We currently provide

online gateway payment facility with four major banks – HDFC,
ICICI, AXIS and IDBI.

 IPO’s – Indiabulls provides you the flexibility to apply in ongoing

IPO’s through either online or offline channels. For applying online,

you do not need to fill tedious forms and write cheques. You can
apply conveniently in IPO’s from the comfort of your home / office
through our Website/PIB. For applying offline, you can contact your
Relationship Manager/ Service Branch.

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  Portfolio Tracker: You can track your investments online through our

portfolio tracker functionality. You can conveniently track the daily

movement, notional / booked profits and losses in your portfolio.

 Equity Analysis Report – A qualified and dedicated team of equity

analysts at Indiabulls publishes various research reports. You can

view these reports to gain insight into the companies of your interest.

 News Room: The News Room provides real-time news from stock-

markets, corporate sector, economy and other segments that have a

bearing on the market sentiment.

 Market Statistics: This functionality facilitates tracking the market

trend by providing you real time data on top gainers, top losers,
volume toppers and most volatile stocks.

 Mobile Power Indiabulls (MPIB): MPIB is a mobile-phone based

application, developed exclusively for Indiabulls customers. Using

MPIB, you can view the live market rates of your favorite stocks and
futures contracts on your mobile device. Thus with MPIB, you can
always remain connected with the market, even on the move.

 Electronic Contract Notes on Email: This facility enables you to get

digitally signed Electronic Contract Notes on email within 24 hours of

executing trades in your Trading Account.

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  Introducing Intraday Futures: Intraday Futures Product enables you to

take intraday positions in various future contracts at lower margins.

These positions have to be necessarily squared-off at the day end.

 Security Token: Security Token, the new age security tool to make

your trading experience totally secure by using two factor

authentication mechanism.

 Comprehensive Reports: Track your financials and portfolio

efficiently through various reports like Ledger Statements, Account

Summary, Net Portfolio Report, Daily Transaction Report, Daily
Transaction report etc.

 Currency Derivatives: Trade in Currency Derivatives which are

similar in nature to Stock or Index Futures contracts. Currency Future

Contracts, with INR: USD exchange rate as the underlying, are
available with a monthly expiry.

Research methodology

Research Methodology refers to search of knowledge one can

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also define research methodology as a scientific and systematic search for

required information on a specific topic.

The word research methodology comes from the word ³advance

learner µs dictionary meaning of research as a careful investigation or

inquiry especially through research for new facts in my branch of

knowledge for example some author have define research methodology as

systematized effort to gain new knowledge.

TYPES OF RESEARCH

 ANALYTICAL RESEARCH:

It uses facts or information already available and analyzes these to

make a critical evaluation of material.

 SAMPLE SIZE:

Considering the constraints it was decided to conduct the

study based on sample size of 50 people in specific age groups.

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 METHODS OF DATA COLLECTION

In these project primary and secondary sources of data is being used.

PRIMARY SOURCE: I have gathered information about our project

from the interaction with the customers of our company i.e. Indiabulls .

The sampling method used was basically convenience sampling and most

of the calls made were cold calls made on the generated database of

recipients of other companies.

SECONDARY SOURCE: It has been collected from the various

websites of Indiabulls, various journals, magazines etc.

TOOL OF ANALYSIS

In the project work quantitative technique & percentage method has

been used.

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 RESEARCH DESIGN

For the proper analysis of data simple quantitative technique

such as percentage were used. It help in marketing more accurate

generalization From the data available .The data which was collected from

a sample of population was assumed to be representing entire population

was interested .Demographic factor like age, income and educational

background was used for the classification purpose .

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