RELIGARE SECURITIES LTD and Does Not Contain Any Material Objectionable to Them
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A COMPREHENSIVE PROJECT REPORT ON “financial cost to consumers for online share trading with context to Religare &other players” IN ( A RANBAXY Promoter Group Company) SUBMITTED BY: MITAL G. KAPLETIYA. ACADEMIC YEAR: M.B.A – SEM IV 2008 – 09 ROLL NO : 14 COLLEGE : SHREE LEUVA PATEL TRUST MBA COLLEAGE, AMRELI. PROJECT GUIDE: Dr. VISHAL PATIDAR. 2 STUDENTS DECLARATION I, the under signed Miss Mital G. Kapletiya, here by declare and confirm that work done by me is original and true to the best of my knowledge and belief. It is the result of my efforts and dedication. Moreover, it has been approved by the management of RELIGARE SECURITIES LTD and does not contain any material objectionable to them. This project is just a part of my college curriculum and will not be used elsewhere. Date: Signature (Mital G. Kapletiya) 3 GUIDE’S CERTIFICATE This is to certify that Miss Mital G. Kapletiya the student of MBA has carried out the project work as per the syllabus of Saurashtra University. She prepared this Grand Project Report on “RELIGARE SECURITIES LTD” at SURAT Branch, under my guidance and her contribution in making this report during the academic year 2007-2009 is highly appreciated. To the best of my knowledge the details presented by her are original in nature and have not been copied from any other source. Also this report has not been submitted earlier for the award of any degree or Diploma in Saurashtra University or any other University. Date: Signature Place: Amreli (Dr.Vishal Patidar) SHREE AMRELI JILLA LEUVA PATEL CHARITABLE TRUST-SURAT PLACE:- SMT SHANTABEN HARIBHAI GAJERA SHAIKSHANIK SANKUL Chakkargadh Road, Amreli-365601 4 PRINCIPAL’S RECOMMENDATION To, The Registrar, Saurashtra University, Rajkot. Subject: MBA Grand Project Report Respected Sir, I am recommending the Grand Project Report entitled “RELIGARE SECURITIES LTD” prepared by MITAL G. KAPLETIYA at Surat as the partial fulfillment of the University requirement for the award of MBA degree of Saurashtra University, Rajkot. Thanking You, Date:- Yours Faithfully Place:- Amreli (Principal) (Dr. Vishal Patidar) 5 SHREE AMRELI JILLA LEUVA PATEL CHARITABLE TRUST-SURAT PLACE:- SMT SHANTABEN HARIBHAI GAJERASHAIKSHANIK SANKUL Chakkargadh Road, Amreli-365601 DIRECTOR’S RECOMMENDATION To The Registrar Saurashtra University Rajkot Subject: MBA Summer Training Project Report Respected Sir, I am recommending the Grand Project Report entitled “ RELIGARE SECURITIES LTD” prepared by MITAL G. KAPLETIYA at SURAT, as the partial fulfillment of the University requirement for the award of MBA degree of Saurashtra University, Rajkot. Thanking You, Date:- Yours Faithfully Place: - Amreli (Director) 6 ACKNOWLEDGEMENT During the Training it is unforgettable experience for me in RELIGARE. I don’t have adequate words to express my profound gratitude to project report in charge MR. NISHANT KHIMANI, who gives me a good opportunity in the RELIGARE securities ltd. This is a very famous Trading Company. So I heartily thank to my project guide, My Director and all my faculties who gives good guidance to me, without their guidance for me difficult to make project report nicely. My acknowledgement would not be complete if I don’t express my deepest sense of gratitude towards MR. NAIMISH PATEL and all executives without whose interest my summer project would not seen in the light of Day. Finally I thank to all my guides and my friends who helps me in my project directly or indirectly. DATE : MITAL G. KAPLETIYA. PLACE : Surat 7 PREFACE MBA is a professional course wherein for a student to posses only theoretical knowledge alone is not enough but also to improve practical skill which is helpful to them in every field of life in their future. Students need to have a practical implementation in the current scenario. I felt that this unit is being run superbly by excellent management teams and employee co-operation. It is my pleasure to present work after I had finished my training at RELIGARE. This training has expanded my horizon of knowledge in practical as well as theoretical which are vital for any student in management level studies. After completion of this training I come to know that when we study theory but practice it is very difficult to understand. Therefore to serve dual purpose of practical training has been made compulsory for the student of MBA. Such training promotes a student to boost his potentials and the inner qualities, and thereby students come to know about their reality that how the theoretical knowledge works in actual sense in any unit. This has indeed proved to be very useful to me. All information furnished here are correct and true according to me, and sincerely apologize if incorrect data. 8 INDEX 1.INDUSRY OVERVIEW What is stock…………………………………………… 10 rules of investing……………………………………. BSE…………………………………………………….. NSE…………………………………………………….. Security market………………………………………… Online trading………………………………….............. Why prefer online trading…………………………….... Players…………………………………………………. How Religare postion………………………………….. Industry Analysis……………………………………… Adv of online sh trading………………………………. Psychology of stock market participant………………. 2.Company overview About Religare………………… Introduction……………………………… Group companies……………………… Religare products………………………… Features of the products………………………… 3.Reaserch Methodology Objective of reaserch Reaserch design Data collection Sampling design Data Analysis Limitation of the study……………………… Strenth of Religare…………………………… Gape filling suggestions………………………. Questionaire…………………………………… 9 INDUSTRY OVERVIEW 10 What is stock ? Imagine that you own a business. If you were to divide that business up in two small pieces and sell those pieces, you would essentially have issued stock.Quite simply, stock is ownership in a company . The money you raise from selling those “pieces “ of business can be used to build new plants and facalities, pay down debt, or acquire another company. A smart owner will keep at least 51% of the stock, which will allow them to retain control of the day to day activities. Any person or institution that owns over majorities of the stock is called the “controlling shareholder”.Essentially, this person can do anything they want right down to firing the CEO. In financial market , stock is the capital raised by an organization through the issuance and distribution of shares.A person or organization which holds shares of stocks is called a shareholder.Thecs aggragrate value of a company ‘s issued shares is its market capitalization. Stock is simply apportion of a company . By owing stock, You are a shareholder. Stocks are bought and sold on stock exchanges, such as the BSE & NSE. Usually stock is issued to raise money for a variety of reasons:expansion ,developing new products ,to pay off debt and acquiring other companies.When a company issues stock for the first time, it is called an initial public offerings or IPO.An IPO is underwritten by an investment banker that decides what the stock is worth and when it is best to issue it. Volatility is when a stock price goes up or down. Usually, stock prices rise and fall with supply and demand. Nonetheless, there are other reasons for stock prices to fluctuate.The price will rise when every one wants the stock and is buying it, however mass sales will also drive a price in the negative direction. Price will drop when a particular industry takes a fall, when the economy has a general downturn, when the company management is falling, or when there is too much debt. Professional analysts and investment bankers who issue buy/sell hold ratings also affect the price. 11 How does one buy stock ? Buying stocks is not as simple as walking into a stockbrokers’s office and buying shares like one would a pair of shoes from a store. One are required to open an account with the brokerage, like opening an account at a bank. Some brokers will allow one to open an account with very little money. The firm will then hold this money in an interest earning cash account, waiting for orders to buy or sell stock, or other securities such as bonds or mutual funds.When he buys or sell , you pay a commission , which is deducted , from his account.When a stock is purchased , the ownership of the shares may be listed in one of two ways.”Liste” means how the corporation tracks the ownership of their stock. If one chooses to have the stock listed in his name, he will receive the actual stock certificate .Most investors choose to have the ownership listed in the broker’s name, called “held in street name” , with the broker keeping track of whose trading account the stock actually belongs to. The benefits are reduced paperwork , consolidated portfolio statements , no concerns about storing and processing the paper certificates and the ability to instantly sell and transfer the shares. Why do people invest in the stock market? When you buy stock in a corporation, you own part of that company. This gives you a vote at annual shareholder meetings, and a right to a share of future profits. The corporation's board of directors choose when to declare a dividend and how much to pay. Older and larger companies pay a regular dividend; most new and smaller companies do not. The average investor buys stock hoping that the stock's price will rise, so the shares can be sold at a profit. This will happen if more investors want to buy stock in a company than wish to sell. The potential of a small dividend check is of little concern. What is usually responsible for increased interest in a company's stock is the prospect of the company's sales and profits going up. 12 Ten Golden Rules For Investing Warren Buffet has suggested ten golden rules for investing which proves to be immense use to the investor who want a better investment in stock markets, Religare follows these rules which are described below : 1.