Market Research On Investor Attitude Towards Primary Market

MARKET RESEARCH ON INVESTOR ATTITUDE TOWARDS PRIMARY MARKET |
Industrial profile
The securities market in India has visited several policies initiatives, which have refined the market micro structure, modernize operation and broadened investment choice for the investors. The irregularities in the security transaction in the last quarter of 2000-2001, hastened the introduction and implementation of several reforms. While a joint parliamentary committee was constituted to go into the irregularities and manipulation in all their raminification in all transaction related to securities, decisions were taken to complete the process of demutualization and corporation of stock exchange to separate ownership, management and trading right on stock exchange and to effect legislative change for investors protection, and to enhance the effectiveness of SEBI as the capital market regulator. Rolling statement on T+5 basis was introduce in respect of most active 251 securities from July 2, 2001 and in respect of balance securities from 31st December 2001. Rolling statement on T+3 basis was commenced for all listed securities from April 1, 2002 to and subsequently on T+2 basis from April 1, 2003.
The derivative trading on NSE commenced with the S&P CNX Nifty Index future on June 12, 2000. The Trading in Index option commenced on June 4, 20001 and trading in option on individual securities commenced on July 2, 2001. Single stock futures were launch on November 9, 2001. Due to rapid change in volatility in the securities market from time to time, there was a need felt for a measure of market volatility in the form of an index that would help the market participants. NSE launch the India VIX, a volatility index based on the S&P CNX Nifty index option price. Volatility index is a measure of markets expectation of volatility over the near term. The Indian stock market regulator, securities and exchange Board of India (SEBI) allowed the direct market access (DMA) facilities to investors in India on April 3, 2008. To begin with, DMA was extended to the institutional investors. In addition to the DMA facility, SEBI also decided to permit all classes of investors to short sell and the facility for securities lending and borrowing scheme was operationalised on April 21, 2008.
The Debth markets in India have also witnessed a series of reforms, beginning in the year 2001-20002 which was quite eventful for debt market in India, which implements of several important decisions like setting up of cleaning corporation for government securities, a negotiated dealing system to facilitate transparent electronic bidding in auction and secondary market transaction on a real time basis and dematerialization in debt instrument, further there was adoption of modified delivery-versus-payment mode of settlement (DVP III in March 2004).The settlement system for transaction in government securities was standardize to 11 T+1 cycle on May11,2005. To provide bank and another institutions with more advance and more efficient trading platform (NDSOM) Was introduce on August 2005.Short sales was permitted in G-secs in 2006 to provide an opportunity to market participant to manage their interest rate risk more effectively and to improve liquidity in the market, when issued (WI) trading in central government securities was introduced in 2006. As a result of the gradual reform process undertaken over the years, the Indian G-Sec market has become increasingly broad-based and characterized by an efficient auction process, an active secondary market, electronic trading and settlement technology that ensure safe settlement with straight through processing
Company profile
Reliance Securities Limited is a Reliance Capital company and part of the Reliance Group. Reliance Securities endeavors to change the way investors transact in equities markets and avails services. It provides customers with access to Equity, Derivatives, Mutual Funds & IPOs. It also offers secured online share trading platform and investment activities in secure, cost effective and convenient manner. To enable wider participation, it also provides the convenience of trading offline through variety of means, including Call & Trade, Branch dealing Desk and its network of affiliates. Reliance Securities has a pan India presence at more than 1,700 locations. Reliance Capital is one of India's leading and fastest growing private sector financial services companies, and ranks among the top 3 private sector financial services and banking groups, in terms of net worth Reliance Securities Ltd (Reliance Securities), a Reliance Capital company is one of the leading brokerage houses and distribution arms of the Reliance Anil Dhirubhai Ambani Group (RDAG). The firm was established in 2005 and offers comprehensive services
such as trading in equity, derivatives, investment banking, portfolio management services (PMS), wealth management services (WMS), research & distribution of financial products such as mutual funds, insurance and IPOs among others. Reliance Securitiesis present in the currency and debt market segment as well. Reliance Securities acquired memberships of the premium stock exchanges in India, namely BSE and NSE in 2005 and 2006 respectively. It offers trading facilities in the cash and derivatives market segment of both NSE and BSE. The company providestrading in the debt market segment as well. Reliance Securities is headquartered in Mumbai with operations across all major Indian cities. Majority of the companys terminals are located in Mumbai. It has a vast network spread across 3,393 cities, with 116 offices, and 2,822 equity broking terminals allocated to 2,943 registered sub-brokers. As on Dec 31, 2009, Reliance Securities had 73 NEAT terminals, 40 BOLT terminals and 2,709 CTCL licenses. During the same period, the company added 1,84,550 client accounts of which 1,82,720 were e-broking accounts.
Vision : To be an insurer of world standard and the most preferred choice for clientele at domestic and global level. Through sustainable measures, create value for nation. Enhance quality of life across the entire social-economic.
Mission:Reliance security mission is to keep the customer satisfaction as focal point of all our operation ,adopt the best international practices in underwriting claim and customer service, be the most innovative in product development, establish presence all over India, ensure sustained value addition to all stake holders and to upload corporate value and corporate Governence.
Product and services Trading: - Reliance Securities
facilitates trading activities in all the major
market segments including, cash, derivatives, debt and currency futures. The company offers online trading facility through its website, www.rsec.co.in. Reliance Securities has recently migrated all its customers to its new trading platform, Insta Plus and Insta Express. Apart from internet trading, customers are also provided with the option of trading through the Call & Trade facility and through RSec.mobi, a personal mobile phone service. Clients can place and track their orders on BSE and NSE on a real time basis with access to RSec.mobi. This facility is available to Reliance Securities trading account holders across all mobile platforms independent of device, operator and the underlying carrier technology.
Distribution of financial product:Reliance Securities is involved in the distribution of financial products such as mutual funds, insurance and IPOs.
DEMAT Services:
The company offers DEMAT services through
Reliance Capital and is registered with NSDL AND CDSL.
PMS: -
Reliance security is a SEBI registered portfolio manager and offer
customized service to their to their client which is design to meet their investment objective. These services covers all administrative aspects while providing periodic reporting to clients.
Mutual fund: -
A mutual fund is a professionally managed fund of the
collective investments that collect money from many in its stocks. bonds ,short term money market instrument and other securities .Reliance security offer expert advice on mutual fund .Mutual fund are consider to have low risk factors owing to diversification into various sector and scripts or instrument within.
Insurance :Life Insurance: Reliance security assist its client in choosing a customer
planed based which will secure a families future and their expense post retirement. Client choose different plan of almost all insurance company where they can invest their money. Client can choose from product and services that channelize their saving and their protect their need while guaranteeing security and return for life. A team of expert will suggest the best insurance scheme which suite the clients insurance.
General Insurance: - General insurance is all about protecting against all

kind of insurable risk. Reliance security assists their customers in areas of Health, insurance, Home insurance, Motor insurance and Travel *insurance
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Area of operation:National
Reliance Securities is headquartered in Mumbai with operations across all major Indian cities. Majority of the companys terminals are located in Mumbai. It has a vast network spread across 3,393 cities, with 116 offices, and 2,822 equity broking terminals allocated to 2,943 registered sub-brokers. As on Dec 31, 2009, Reliance Securities had 73 NEAT terminals, 40 BOLT terminals.
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Ownership pattern of Reliance security

Reliance Capital is one of India's leading and fastest growing private sector financial services companies, and ranks among the top 3 in terms of net worth. Reliance Money, a Reliance Capital company, is part of the Reliance Anil Dhirubhai Ambani Group. It is a comprehensive financial services and solution provider providing customers with access to Equity, Equity and Commodity Derivatives, Portfolio Management Services, Mutual Funds, lPOs, Life and General Insurance and Gold Coins. Customers can also avail Loans, Credit Card, Money Transfer and Money Changing services. The largest braking house in India with over 2.5 million customers and a wide network of over 10,000 outlets and 20,000 touch points in 5,000+ locations. The average daily volume on the stock exchanges is Rs. 2,000 crores, representing approximately 3% of the total stock exchange volume. The Reliance - Ani! Dhirubhai Ambani Group has a market capitalization of Rs.325,000 crores (US$ 81 billion), net assets in excess of Rs.115,OOO crores (US$ 29 billion), and net worth to the tune of Rs.55,000 crores (US$ 14 billion). Across different companies, the group has a customer base of over 100 million, the largest in India, and a shareholder base of over 12 million, among the largest in the world. It has a business presence that extends to over 20000 towns and 4.5lakhs villages in India and 5 continents across the world.
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Competitors Information HDFC Securities:HDFC Securities (HDFCsec) is Equity Trading Company of HDFC Bank. HDFC Securities provide both online trading and trading on phone. The HDFC Securities trading account has a unique 3-in-1 feature that integrates your HDFC Securities trading account with your existing HDFC bank savings account and existing Demat account. Funds / shares are seamlessly moved from the linked Demat/Bank account to execute the transactions.
Features of HDFC Securities on line Trading

Seamless Transactions - By integrating your accounts, we ensure minimal waste of time during movement of your funds and shares. Speed - Orders are placed electronically, so proceeds are available instantly. No manipulation - To prevent any mismanagement, we will send you an email confirmation, the minute your order is executed. Safety and Security - HDFC Securities offer the highest level of security such as 128-bit encryption technology.
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Dedicated and Separate contact numbers - for trading over the phone as well as for customer care.
ICICI Direct:ICICI Direct is the is stock trading company of ICICI Bank. Along with stock trading and trading in derivatives in BSE and NSE, It also provide facility to invest in IPOs, Mutual funds and bonds. Trading is available in BSE and NSE. ICICI Direct 2 trading platform 2 its customers
Share Trading Account(website based Trading):Website based online Trading Account by ICICI Direct is primary for buying and selling of stocks at BSE and NSE. The ICICI Direct website allows cash, Margin Trading, Margin plus Trading, Spot Trading, Buy y Today and sell Tomorrow, IPO Investment, Mutual fund Investment etc.
Trade Racer(Terminal Trading):-Trade
Racer is the
power packed Trading platform which provides an Investors with Live streaming quotes & Research calls, Integrated fund transfer system along with multiple watch list facility. Investors can also do technical
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analysis with the help of advance charting tool. Single order entry page for Equities and derivatives, Technical Analysis, Integrated fund Transfer system, Customize Interface, Intra- day and EOD Charts and
short cut keys for faster access to market are some of the key feature of Trade Racer Terminal
ICICI Trade Advantages: Investment online in IPOs, Mutual Funds, GOI Bonds, and Postal Savings Schemes all from one website. General Insurance is also available from ICICI Lombard. Trading is available in both BSE and NSE. Low bandwidth website is available for slow internet connection or for trading from mobile devices. Through my GTC feature, you can place buy and sell limit orders in equity scripts of your choice; specifying the period for which you want the order instruction to be valid.
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ICICI Trade Disadvantages: ICICI Direct brokerage is high and not negotiable. With ICICIdirect.com e-Invest account(3-IN-1 concept), the Demat Account has to be opened with ICICI Bank Ltd as the Depository Participant (DP) and the Bank Account has to be opened with ICICI Bank Ltd. as the Banker
Sharekhan securities
Sharekhan was created when SSKI Investor Services Pvt. Ltd., a company in the securities and equities segment decided to harness the power of the Internet and offer services to its customers through an online stock trading portal. Sharekhan brings and provides a user-friendly online trading facility. They also have an extensive all-India ground network of franchisees across the country. The company offers its services through a combination of online and offline channels. The online model comprises a portal, chat facilities, and 'speed trade' terminals. And the offline model uses a combination of an IVR infrastructure and a team of customer agents to receive orders over the telephone.
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Kotak Securities
Kotak Securities Limited, a 100% subsidiary of Kotak Mahindra Bank, is the stock broking and distribution arm of the Kotak Mahindra Group. Kotak Mahindra is one of India's leading financial institutions, offering complete financial solutions that encompass every sphere of life. From commercial banking, to stock broking, to mutual funds, to life insurance, to investment banking, the group caters to the financial needs of individuals and corporate. Kotak also offers stock broking through the branch and Internet, Investments in IPO, Mutual funds and Portfolio management service.
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Awards and Achievement

Most Admired Service Provider in Financial Sector by IPE BFSI, 2012 Indian E-Retail Awards for Best Customer Experience Award' by Franchise India, 2012. My FM Stars of the Industry 2012'for excellence in Online Demat (Broking category). Reliance Securities Limited is now ISO 9001:2008 certified for Online Trading PlatformBrand Leadership Legacy Award' at the Asian Leadership Awards Dubai, 2011 My FM Stars of the Industry 2011 for excellence in Online Demat / Broking Largest E-Broking House 2010 by Dun & Bradstreet. Largest E-Broking House & Best Equity Broking House for the year 2009' by Dun & Bradstreet. Best in category Service Franchise' at the 6th International Franchise & Retail show 2008. Best E-Brokerage House 2008 (runner's up) by Outlook Money NDTV Profit Awards.
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Future Growth and prospects of Reliance Security

Reliance capital and its subsidies company like Reliance securities has drawn up exciting growth plan and it intends to more then double its customer base in the next 3-5 years The company also expects to benefit in its proposed banking foray through partnership with Japan's Sumitomo Mitsui Trust Bank and Nippon Life Insurance, Ambani said in his annual letter to shareholders as Chairman of Reliance Capital. Increase customer base from 20 million to 50 million. Increase the distribution reach to 25 thousand cities and towns. Increase the number of business partner. The Company continued to contribute actively to community welfare activities and took up several initiatives and measures related to education and healthcare
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Work Flow Model :-
Marketing Team + Fund Management Team Valuation / Scope Promotional Activity Sales Operations
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The Mc Kinsey 7s Framework:The Mc Kinsey 7s Framework is a management model developed by well known business consultant Robert H. waterman and Tom peters in the 1980s. This was the strategic vision for group to include business, business unit and teams. The 7s are structure, strategy, system, skill, style, staff, and share value.
Objective of the Model: Improve performance of the company. Examine the likely effect of future changes with the company. Allign departments and processes during a merger and acquisition. Determine how best to implement a proposed strategy.
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The Mc Kinsey 7s model involves seven independent factors which are categories as either hard or soft elements.
Hard Elements Strategy Structure Systems
Soft Elements Shared values Skills Style Staff
Hard elements are easy to define or indentify and management can directly influence them. These are strategy statement, organization charts and reporting lines; and formal processes and IT system Soft element on other hand can be more difficult to describe and are less tangible and more influence by culture. However these soft elements are as important as hard element if organization is going to be successful.
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Lets look at each of the element specifically
Strategy:
the plan devised to maintain and build competitive advantage
over the competition.
Structure:
whom.
the way the organization is structured and who reports to
Systems: the daily activities and procedures that staff members engage in
to get the job done.
Shared values:
called superordinate goals when the model was first
develop; these are the core value of the company that is evidence in the corporate culture and general work ethic.
Style: the style of leadership adopted.
Staff: the employees and their general capabilities. Skills:

company. the actual skills and competencies of the employees working for the
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SWOT ANALYSIS
STRENTH: Excellent service. Customization product as per customer need. Brand Image. Among the fast growing company in India.
Strong financial base in India.
WEAKNESS: Company some policy are typical which is not understood by customers. Client face the problem due to large number of formality. Its infrastructure is not better then other private companies. Company only focus in metros and cities, not in village and small town.
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OPPORTUNITIES: Company should divert its direction to villages and gain customers. Company should adopt policy so that customers accept their norms and condition easily.
To create its brand a Company awareness in India first as

well as in whole world.
THREATS: Week perception of private players in the mind of Indian people due to frequent financial scams. Company gets tough competition from other companies. Existing wrong business practices of companies like LIC first premium is paid by their agent where-as IRDA suggests that even forms to be filled by the clients themselves.
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Analysis of financial data

Mar '12 Mar '11 Mar10
Investment Valuation Ratios Face Value Dividend Per Share Operating Profit Per Share (Rs) Net Operating Profit Per Share (Rs) Free Reserves Per Share (Rs) Bonus in Equity Capital Profitability Ratios Operating Profit Margin(%) 81.48 76.20 73.30 75.42 11.91 11.91 12.10 12.10 5.64 72.59 71.63 71.82 14.52 14.52 14.30 14.30 9.02 10.00 7.50 108.41 133.04 --10.00 6.50 57.09 74.92 234.77 -10.00 6.50 69.94 96.35 233.68 --
Profit Before Interest And Tax Margin(%) 79.49 Gross Profit Margin(%) Cash Profit Margin(%) Adjusted Cash Margin(%) Net Profit Margin(%) Adjusted Net Profit Margin(%) Return On Capital Employed(%) 80.69 16.43 16.43 15.64 15.64 10.59
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Return On Net Worth(%) Adjusted Return on Net Worth(%)
4.69 4.69
3.29 3.03 283.28 283.28 5.85
4.92 4.74 280.32 280.32 9.85
Return on Assets Excluding Revaluations 449.61 Return on Assets Including Revaluations 449.61 Return on Long Term Funds(%) Liquidity And Solvency Ratios Current Ratio Quick Ratio Debt Equity Ratio Long Term Debt Equity Ratio Debt Coverage Ratios Interest Cover Total Debt to Owners Fund Financial Charges Coverage Ratio 1.30 1.30 1.31 1.92 3.36 1.30 0.98 12.25
6.50 13.81 2.63 2.50
2.48 7.43 1.72 1.49
1.16 2.63 1.15 1.19
1.35 1.72 1.34 1.28
Financial Charges Coverage Ratio Post 1.26 Tax Management Efficiency Ratios Inventory Turnover Ratio Debtors Turnover Ratio -31.17
-26.69
-23.35
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Investments Turnover Ratio Fixed Assets Turnover Ratio Total Assets Turnover Ratio Asset Turnover Ratio
---0.13
---0.08
---0.12
Average Raw Material Holding Average Finished Goods Held Number of Days In Working Capital Profit & Loss Account Ratios Material Cost Composition
--1,252.95
--2,755.29
--1,216.93
--
---
---
Imported Composition of Raw Materials -Consumed Selling Distribution Cost Composition --
3.46 --
5.06 --
Expenses as Composition of Total Sales -Cash Flow Indicator Ratios Dividend Payout Ratio Net Profit Dividend Payout Ratio Cash Profit Earning Retention Ratio Cash Earning Retention Ratio AdjustedCash Flow Times 36.80 35.04 63.20 64.96 26.27
70.32 66.18 23.72 28.56 81.90
55.03 52.24 42.80 45.81 34.69

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Mar '12
Mar '11
Mar '10
Earnings Per Share Book Value
21.13 449.61
9.33 286.11
13.82 283.31
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LEARNING SECURITY
EXPERIENCE
AT
RELIANCE
At Reliance security our batch was divided into 4-5 student per batch so that it will be easily for students to know basic concept of financial market as well as background and History of Reliance security Further we were imparted with product knowledge, sufficient time was given to us to know about the product. Some of the important products of Reliance security are as follows
Equity Derivative Mutual Fund IPO NCDs and Bonds

Special lectures were arrange for Trainees and every week we learn about different policy and product of Reliance security which they offer to their customers
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1st week:Our Training process start with brief History of Reliance capital and its subsidies company, Further we discuss about Trading and type of Trading like Intra Day Trading, MIS, NRML, Cash and carry, Future Trading, call buy and put buy. Including this we discuss about Insurance sector and basic Information about Adyta Birla Group was also provided.
2nd week:During this week our training secession was about marketing strategy which are used in Insurance sector and formalities which need to be fulfilled for opening of Demat Account and its importance. last two days of the week was for introduction to online trading (NSE AND BSE)
3nd week:During Third week of our Training, we discuss about Mutual fund, classes was arrange by our Branch head so that interns can understand basic concept about Mutual fund. Including this opportunity was provided to us to enhance our practical skill by allowing us to work on terminal and last two days we discuss about Importance of systematic Investment planning.
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4th week:After the completion of training secessions we were asked to do Market survey where our task was to interact with client and to provide them information about products of Reliance security and new scheme which are there for customers.
5th week:Fifth week we continue with market survey, we were asked to judge the preferences of client ,if they used the products of Reliance security what were the reason for that and if not what the reason.
6th week:Now we start with preparation of our assign project report which is included with collection of secondary data, preparation of questionnaire. Primary objective of this project is to know investors attitude towards primary market.
7th week:Seventh week we continue with market survey and preparation of questionnaire including this we start working for our assign project.
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INTRODUCTION TO PRIMARY MARKET

Generally, the personal savings of the entrepreneur along with contributions from friends and relatives are pooled in to start new business ventures or to expand existing ones. However this may not be feasible in the case of capital incentive or large project as the entrepreneurs (promoters) may not be able to bring in his share of contribution (equity), which may be sizable, even after availing term loan from financial Institution/Banks. Thus the availability of capital is the major constraint for the setting up or expanding ventures on a large scale. Instead of depending on limited pool of saving of a small saving of friends and relatives, the promoters can invite investment to his or her venture by issuing offer document which give full details about track records, the company, the nature of project, the business model, etc. If the investor is comfortable with this proposed venture, he may invest and thus become shareholder of the company. Through aggregation, even small amount available with the large number of individuals translate into usable capital for corporate. Primary market is market where in corporate issue new securities for raising funds generally for long term capital requirement. The companies that issue their share are called issuers and process of issuing share to public is known as public issue. This entire process involves various intermediaries like Merchant Banker, Bankers to the issue, underwriters and Registrars to the issue etc All these registrars are register with SEBI and are required to abide by the
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prescribe norms to protect the investors. The primary market is, hence, the market that provides a channel for issuance of new securities by issuer (Government companies or corporate) to raise capital. The securities (financial instrument) may be issue at face value, or at a discount/premium in various forms such as equity, debt etc. They may be issue in the domestic and or/ international market.
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Features of primary market include: The securities are issued by the company directly to the investors.
The company receives the money and issues new securities to the investors.
The primary market are used by companies for the purpose of setting up new ventures/business or for expanding or modernizing the the existing business.
Primary market performs the crucial function of facilitating capital information in the economy.
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Problem Definition
There are several problems which are face by primary market. Some of them may be discuss as follows
Withdrawal of IPOs:-
One of the major problem which lies
these days, IPOs are increasingly being withdrawn. An expert has rightly said that there is no point expressing disappointment in the withdrawal of IPOs because it may be taken not as an indication of failure of the company and hence the primary market but it may be consider as a disagreement of price between the seller and buyer. The primary market are undulating the world over. The incident accruing in the primary market is reflection of what is actually happening in the secondary market. It was fathomed that IPOs, which were lately taken back had very aggressive price bands. The price band could have been aligned as per existing condition of market. The lead managers responsible for IPOs may also be blamed for the catastrophe. Few are of the option that lack of judgment may have led to the withdrawal. Investors fatigue is being accounted for in the withdrawals.
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Cornering of shares:-
Recently there was an instant when
investor cornered shares, which were to be allotted to the public. The investors were actually a big investor who camouflaged as a small investors corned many share.
Grey markets and manipulation:-
Other problem
which is faced by primary market is over subscription of shares. There are instances when the greymarkets usually have high premia, which collapse as soon as issues are listed. These indicate that for vested interests manipulation in the market are rampant.
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The following measures have been suggested by economist for overcoming problems of primary market.
The practice of part payment of shares may be removed.
The process of application money pertaining to the shares could become uniform among different investors categories.
Restricting the company entry into primary market if that company had withdrawn share from the market at least for a span of 12 months.
Making the process of book building more effective as well as making book builders more efficient.
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Objective of study:-
For conducting this research following objectives were set To evaluate investor attitude towards stock market operations in cash and derivative segments.
To analyze the investors preference towards traditional trading and online trading in cash and derivative segments.
To study the problem (both actually faced and anticipated) of investors.
To suggest appropriate strategies to investors for taking right investment decision in stock market.
To study and analyze the impact of various demographic factor on investors attitude towards primary market.
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Scope of the study:The Research study undertaken does not probe too much about that which type of
market is more beneficial for investors. The research involves only a general study related to investors attitude towards primary market. The research would reveal results regarding investors attitude towards primary market, what are the factors which influence investors to invest in primary market and thus in turn help in knowing attitude of investors The study has helped us to know real time experience by interacting with investors and has help us to analyze the attitude of investors towards primary market.
The study will help all financial companies for future planning.
The study has been done with a motive to change the attitude of investors and help them gain more knowledge on their investment.
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Research Methodology:-
Research objective:primary market.
To know the attitude of Investors towards
Research Size:-
Fifty Random People
Types of research design: This is descriptive research as this research including surveys and fact finding inquires of different kinds. So descriptive research help in knowing about particular item or group of items in other words it describes the state as it exist it present.
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Limitation of the study:-
The lack of information sources from the analyst part.
Time and money are the main factors to limiting the study.
Though I tried to collect primary data, but they were inadequate for the purpose of study
It was difficult to judge the attitude of investors because most of them are not aware difference between primary and secondary market.
Extreme variability in market.
Research has been done only in Dehradun.
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Data Analysis and Interpretation

1. Do you invest your money?
(a) Yes (b) No
Awareness about Investment

Yes No
Percentage of respondent
78% 22%
Awareness , 22%
Awareness
Yes
No
Awareness , 78%
Interpretation:-This pie chart show that most of the people invest their
money frequently and they will surely invest if particular scheme if beneficial for them.
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2. In which tool you mostly park your money?

(a) Life Insurance (b) Health Insurance (c) Bonds (d) other-------------
Different Tools
Life Insurance Health Insurance Bonds Other
Investment in percentage
33% 26% 24% 17%
Different Tools
Other 17% Bonds 22%
Life Insurance 33% Health Insurance 26%
Interpretation:-This
pie chart show that 33% prefer to
Invest in Life Insurance , 26% in Health Insurance, 22% in Bonds and 17% prefer to invest in other categories.
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3. Are you interested investing your money in securities?

(a) Yes (b) No
Preference to Invest
Yes No
63% 37%
Preference to Invest in security

Awareness, 37%
Yes
No
Awareness, 63%
Interpretation: Most of the people are interested to invest their money in securities but its important to provide them better schemes so that they can be satisfied and more and more customer can be attracted.
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4. If yes, in which market you prefer to Invest?

(a) Primary Market (b) Secondary market
Preference to Invest
Primary Market Secondary Market
37% 63%
Preference to Invest in security

Secondary Market, 63%
Primary Market, 37%
Interpretation:Most of the investors prefer to Invest in secondary market as compared to primary market and it.
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5. How frequently you Invest in primary market?

(a) Monthly (b) Quarterly (c ) Half yearly (d) yearly
Investment
Monthly Quarterly Half yearly Yearly
Percentage of Investment
8% 12% 33% 47%
Periodic Investment
Yearly,47% Half yearly, 33%
Quarterly, 12%
Monthly, 8%
Interpretation: - In primary market 47% of customer prefers to Invest

on yearly basis, 33% on half yearly basis, 12% invest on quarterly basis and only 8% invest on monthly basis
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6. What factors influence you to invest in primary market?

(a) Bank Saving (b) Mutual Fund (c) Real Estate (d) stock market (e) other
factors
Bank Saving Mutual Fund Real Estat Stock Market Other
On percentage basis
35 20 7 25 13
Factors
Bank Saving Mutual Fund Real Estat stock Market other
other 13%
Bank Saving 35%
stock Market 25% Real Estat 7% Mutual Fund 20%
Interpretation:-Above data indicate that about 35% of investors are

influence because of bank saving, 25% because of stock market, 20% get influence due to mutual fund, 7% by real estate and another 13% are influence because of some another factor to invest in primary market
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7. In which company share have you invested recently in primary market?

(a) Rel securities (b) ICICI Direct(c) HDFC securities (d) other-------------
Company
Reliance securities ICICI Direct HDFC securities Other
percentage of Investment
35% 27 28 18
Investment in different companies

Other 17% HDFC securities 26%
Reliance securities32 % ICICI Direct24%
Interpretation:-The above pie chart indicate that 32% investors prefer to

invest through Reliance securities, 26% invest in HDFC securities, 24% of investors invest through ICICI securities and 18% of investors use services of another companies.
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8. Are you satisfied with your present investment in primary market?

(a) Yes (b) No
Satisfaction Level
Yes No
66% 34%
Satisfaction level of Investors
unsatisfied, 34% Satisfied, 66%
Interpretation:About 66% of investors who invest in primary market are satisfied and around 34% of investors are not satisfied.
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9. Given the fluctuation of any investment of any investment portfolio, how long would you be willing to wait your investment to regain any lost value?
Periodic basis
Less than three month Three to six month Six month to one year One to two years
percentage of Investment
14% 22% 28% 36%
Investment in different companies

Less then three month,14% six to one years,28%
Three to six month,22%
one to two years,36%
Interpretation:-This pie chart show us that about 36% investors can wait for
about one to two years, 28% investors can wait for six month to one year, 22 % can wait for around three to six month and only 14% will wait only for less than three month.
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(a) Yes (b) No
Satisfaction Level
Yes No
42% 58%
Satisfaction level of Investors
Yes, 42%
No, 58%
Interpretation:-Only 42% investors are satisfied investing in primary and

about 58% investors are not satisfied.
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Observation
Reliance security provide good working environment to its employees. Employees working in Reliance security are highly skilled and efficient. On regular time basis training secession are arrange for both employees as well as trainees. Primary concern of Reliance security is to provide better service to its customers. Encourage ideas, talents and value systems. Reliance security focuses its attention on upholding the guideline principle of trust, integrity and transparency in all aspects of integrations and dealings. Reliance security focuses its attention in providing good quality, efficiency, operational performance.
54
Suggestion
Reliance security should try to provide more information about their products and scheme to its customers. Reliance security must provide necessary information about stock market to its new customers before they invest in market. Regular training secession should be provided for employees as well as customers. Reliance security should focus their attention more on providing better services to their customers There is too much document process which makes it for investors; assistance should be provided regarding this. Reliance security must take necessary measure to promote their products and schemes so that customers are aware about latest scheme and product of Reliance security.
55
Conclusion and recommendation

Reliance security needs to improve in area of comments/quotes as its major competitors are very strong in this area. Reliance security needs to enter the non business newspaper segments to reach out to the general service. Allocation of news in such a way that Reliance security maintains a consistency level throughout the month. In case of transparency and service Reliance security is consider good and average in case of brokerage and relationship managers support. India infoline has increased its media of share from 9% to 24% in the past two month; this will prove to be major threats for Reliance security.
56
ANNEXURE
57
Reliance survey form

Questionnaire Name_____________ Email-id___________
1.Do you invest your money?
(a) Yes (b) No
Contact Number_____________ Location___________________
2. In which tool you mostly park your money?

(a) Life Insurance (b) P Health Insurance (c) Bonds (d) other-------------
3.Are you interested investing your money in securities?

(a) Yes (b) No
4. If yes, in which market you prefer to Invest?

(a) Primary Market (b) Secondary market
5. How frequently you Invest in primary market?

(a) Monthly (b) Quarterly (c ) Half yearly (d) yearly
6. What factors influence you to invest in primary market?

(a) Bank Saving (b) Mutual Fund (c) Real Estate (d) stock market (e) other
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7. In which company share have you invested recently in primary market?

(a) Rel securities (b) ICICI Direct(c) HDFC securities (d) other-------------

(a) Yes (b) No
9. Given the fluctuation of any investment of any investment portfolio, how long would you be willing to wait your investment to regain any lost value?
(a) Less than 3 month (b) 3 to 6 month (c) six month to1year (d) 1-2 year
(a) Yes (b) No
59
Bibliography
Reference books:
1. Bhole, L.M and Mahakud, Jitendra (2004), Financial Institutions and Market, Tata McGraw-Hill Education Private Limited, India, 5th Edition 2009 2. Bhalla ,V.K. investment Management (1982). S.CHAND & Company LTD, New Delhi. 14th Edition 2008.
Websites:
3. 4. 5. 6. 7. Retrieved on 12 july 2013 at 2129 hrs from www.Investopedia.com Retrieved on 12 july 2013 at 2234 hrs from www.powerindiabulls.com Retrieved on 13 july 2013 at 1005 hrs from www.moneycontrol.com Retrieved on 13 july 2013 at 1035 hrs from www.equitymarket.com Retrieved on 14july 2013 at 1634 hrs from www.demat.com 8. Retrieved on 14july 2013 at 1700 hrs from www.rsec.co.in. 9. Retrieved on 24 july 2013 at 2240 hrs from http://220.226.199.146/aboutus.aspxhttp://www.indiainfoline.com/Markets/Company/ Background/Company-Profile/Reliance-Capital-Ltd/500111
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