INTRODUCTION ABOUT THE INTERNSHIP

The Assignment internship is carried on for 10 weeks in Motilal Oswal Securities Ltd. On the
subject “A study on Fundamental analysis on FMCG Sector with special reference to Motilal
Oswal Securities Ltd.”

The internship program is intended to offer college students affianced in a very discipline
experience by a prospect to share their insight, to search links among college student tutorial
groundwork and their field effort, and to assist participant in developing and carrying out the
key research project which force provide to conclude their internship experience.

An internship is a learning condition where the learner has the chance to achieve sensible
practice. Once placed during this state of affairs, students expand their ideas completely
different organizational structures and dissimilar working relationships inside the place of
work so as to get educational credit for this expertise; the detain is essential to finish an
Internship Report.

During internship interaction with the external guide was terribly effective one. The
recommendation and suggestions from the firm concerning the operations of exchange had
helped me to rise perceive the exchange and its connected topics. The external guide was
rendered me all the mandatory information and data required for the analysis to be conducted.
The policies, procedures, the technology utilized by the firm have enabled the analysis to be
more valuable and reliable. An internship may be a good way to develop specific skills and
awareness, still as create contacts and builds confidence. Extra and more, employers assess
the abilities and skills of prospective workers by evaluating their previous experiences.

INDUSTRY PROFILE

Stock market may be a secondary market. It’s the financial market for trading of securities
that have already been issued in an initial non public or public giving. Once a recently issued
stock is listed on the exchange, investors and speculators will simply trade on the replace, as
market maker provide bids and offers in the fresh stock.

Stock market is barometer of the state of economic conditions prevailing in the country. It is
very sensitive to the changes that take place in both the domestic and international general
economic conditions. A boom in the stock market reflects the promising economic conditions
and crash in the stock market reflects the weak economic conditions.

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Secondary market is vital towards a proficient and current stock market. Basically, secondary
markets mesh the investor’s partiality for liquidity by the funds user’s inclination to be able
to utilize the money for a total period of time. Beneath traditional lending and partnership
engagements investors, could also be real take away probably towards place their cash
interested in long term funds and other probably near charge high interest price if they do. By
secondary markets but investors understand they will recoup a number of their investment
quickly if their own situation modification.

Word stock merely refers just before a supply will include a stock of T-shirts, in closet of a
store of pencils in small table. Within monetary market stock refer to a supply of cash that an
organization has raise this supply come as of folks that contain given the corporate cash
within the hope that the corporate can build their cash grown. A market may be a public place
wherever gear be buy and sold the term stock market refers to business of buying and selling
stock.

COMPANY PROFILE

PROMOTERS

A well-known stock broking house in Bhatkal town, placed in the centre of the town, Motilal
Oswal Securities Ltd a member of NSDL, was established in the year 2008-09. It is a big
stock broking house dealing in various kind of securities on behalf of its clients, having its
Head Office at Mumbai and its branches are spread over Bangalore, Chennai, Cochin,
Coimbatore, Hyderabad, Madurai, Mangalore, Mysore, Mumbai, Visakhapatnam. It has
around 1800 branches throughout India.

All the settlements of trade are looked after at Head Office which is situated in Mumbai. The
branches just submit the report of the dealings on behalf of their client. The security pay-in
and security payout are done through (NSDL) and (CSDL).

While normal trading start at 9:00 am and close by 3:30 pm, from Manday to Friday,
Saturday the office remains open for back-office activities and Sunday is a weekly holiday, as
the stock market is closed and then the back office work starts. There are five operators who
sit in front of a computer screen to deal with the clients.

MOSL has more than 800 clients in Bhatkal only one branch is located which is managed by
Mr. Ravi Naik.

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VISION

● Bring to the world a portfolio of quality stock brokerage brands that predict and
satisfy people’s desires and needs.
● Nurture a winning network of customers and partners, together we create mutual,
enduring value.
MISSION

● Unleash the true potential of wealth.

● Enhance wealth generating capability, any individual in a globalizing environment.
● To inspire moments of optimism and happiness.
QUALITY POLICY

Motilal Oswal Securities Ltd committed to render the best knowledge-based personalized
services in stock broking and linked financial services, comply with all related desires, by
continually improving the ability of manpower and effectiveness of quality management
systems, optimizing technology and communications, thereby enhancing customer fulfilment.

PRODUCTS/SERVICES PROFILE

Equities’:

It provides the view of researching invest towards its customers, which be up till now limited
only to the institution. Research for the retail investor did not survive earlier to them. It
leveraged technology to bring the convenience of commerce to the investor’s place of
preference through automated contact. It created doable used for clients to look at operation
prices and ledger updates in actual time.

Portfolio Management Service:

PM Service could be product whereby associate equity investment portfolio be formed to go

well with the investment objectives of customer, invests income into stocks from totally
different sectors, reckoning taking place investor’s risk-return profile. Service is especially
better for investors who can’t pay for to offer time or don’t have that experience for the day-
after-day organization of their equity portfolio.

Research:

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Research is that the solid foundation on it recommendation is based. Nearly ten percent of
returns area unit endowed in analysis and that they use and train the best resources to become
advisors. Nowadays they need a specialist team of study analysts researching over twenty
seven sector and twenty four commodities. From a basic, technical and derivatives analysis
perspective; analysis reports have received wide coverage inside the media.

Commodities:

Motilal Oswal Financial Services Ltd has been provided that commodity trading facilities and
linked products and services lying on MCX and NCDEX. Daily Basic and Industrial
Research information on much traded commodities. MOCBPL provide end-to-end guidance
for all the commodities to all Motilal Oswal important individual investors. Confidential
customers also get exclusive & modified information.

Invest online:

Motilal Oswal has through investing in Mutual funds and crucial market so unforced. All a
person has to do be register by it.

Invest in Mutual Fund:

Motilal Oswal offers a host of mutual fund choices below one roof, back by in-depth research
and recommendation from research house and tools configured as investor sociable.

Apply in IPO’s:

The investor may as well invest in Initial Public Offers (IPO’s) online while not looking the
hassles of satisfying any application form/paperwork.

Insurance:

An entry into this section help entire client’s product basket; at the same time, if graduate the
corporate into a one-stop sell monetary solution supplier. To make sure mainly reach to
customer’s from corner to corner in India, The Company access into insurance sector de-
risked the concern from a major belief on broking and equity-related revenues.

SMS:

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There are 3 products in SMS facility: promote on the move, Best of the range, VAS (Value
Added Service).

Newsletter:

The Motilal Oswal periodical Newsletter is a flashback for the week left in. A weekly attitude
joined with the top of the web stories from Motilal Oswal and contacts to important
investment ideas, Leader Speak, and sort are delivering to investor’s inbox each Friday late
afternoon.

E-Broking:

MOSL E-Broking is the full online stock trading answer used for Indian stock market. Simple
lone screen trader through direct trade verification likes to switch over based adding terminal.
It accesses towards varied online information similar to margin report, Demat A/c facts,
trades execute, yield report, and internet situation report by spot towards promote p & l and
realised earnings. It helps to on-line transfer funds through HDFC Bank.

Depository Participant Service:

Motilal Oswal be Depository Participant into CDSL it provide Demat account service below
MODES. During conditions of an amount of financial records, MODES be that instant major
Depository Participant in CDSL by above 150,000 financial records. Consumers receive
normal report information plus a resourceful examination on every period investor enjoys
several advantages condition they purchase and sell shares in the depository method.

AREAS OF OPERATION

India set of connections by existence here above 651 cities or town contain 1804 trade
locations with franchisees. Set of connections rising at a fast speed- developed as of a sole
neck of the woods to associate in nursing every and each one higher than the country
remainder of relations in surplus of 651 cities and towns. Widespread sharing web as long as
chance to cross- sell product and services, significantly as we have a tendency to diversify
into new business streams. Physical distribution supplemented by on line channel. MOSL
entered into a strategic alliance with State Bank of India (SBI), the most important bank in
India, to offer their online brokerage services to SBI’s retail banking shoppers. Plans enter
into extra strategic alliances to cater to a good wider client base India Network.

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MOSL INFRASTRUCTURE

Broking and distribution business these days spans across India from Rameshwaran in the
South to Kashmir within the North; Imphal within East to Porbanda in west; there’s a Motilal
Oswal outlet serving the wants of various investors.

With a spotlight on analysis based mostly consolatory and superior client experience; we be
increasing our reach multi crease to deal with the requirements of a hidden market to come to
blow up in the next trillion dollar GDP expansion era.

The MOST Equity consultative Group is base in Mumbai at major trade and counselling floor
of India. This centralized advisory group caters to weird investment necessitate of each HNI
& MNI customer and business partner; in a not to be faulted early and steadfast mode with
state-of-the-art technology and cable infrastructure.

COMPETITORS’ INFORMATION

Motilal Oswal Financial Services Ltd is a fine- recognized brand amongst retail and
individual investors in India, with a presence in 1804 business locations extend crosswise 651
cities. Even though MOSL facing high level competition in India. Following are the main
competitors of Motilal Oswal Securities Ltd. ICICI Securities, Share Khan, Geojit Ltd, Kotak
securities, Edelweiss Cap., India Bulls, Network 18, Anand Rashi, India Infoline, Karvy,
Future Capital.

ICICI Securities:

ICICI Securities has been providing capital markets advisory for quite a lot of years and have
too be implicated in most of the major public equity issuances in current times. For period
from April 1, 2012 to September 30, 2017 they were the leading investment bank in the
Indian equity capital markets by number of primary issuances to manage.

Sharekhan:

Sharekhan is one of India’s best renowned financial service companies. It diversifies itself by
providing numerous facilities as well as options to invest in. Most of the services are highly
personalized and thus induces the investors. It tries to innovate itself from other similar
service providers. Its service providing techniques have very well amazed the high net worth
individuals.

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Geojit Ltd:

Geojit is also a leading financial service provider which ultimately competes with other
agencies. Its unique service rendering ability has created huge threats to other competitors. It
is the largest DP brokers in India.

Kotak securities:

Kotak security is a leading company which is highly reputed in the financial service sector.
Its commitment towards its customer is such that it has encompassed in every financial
dealings. From stock broking to life insurance, to commercial banking, it has diversified itself
very well. The group has a net worth of 100.9 billion and has a network of branches, satellite
offices across towns and cities in India and also in foreign countries such as San Francisco,
Mauritius, Dubai and enabling servicing to 8.5 million customers.

SWOT ANALYSIS

Strength:

● Well-built brand name.

● Skilled top management.
● Integrated financial services contributor.
● Strong Financial Performance.
● Self-regulating and insightful research.
● One of the biggest circulation network 1397 outlets from corner to corner 584 cities.
● Strong investment culture.
● Quick, safe and secured transactions to the account holders
Weaknesses:

● Experienced top management Charges are elevated compare to other companies in

trade.
● Insufficient and lack of promotional activities so as to induce customers.
● Brokerage little higher than its competitors
Opportunities:

● Economy is rising at healthy rate most important to investment / capital obligation.

● Increasing Financial Services industry’s share of wallet for not reusable income.

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 ● Vast market opportunity for wealth management service provider as Indian wealth
management dealing is transform from mere wealth preservation to mounting wealth.
● Regulatory reforms would help superior participation through the entire class of
investors.
● Leveraging technology to facilitate finest practice and process.
● Corporate look at consolidation / acquisition / re-structuring open out opportunity for
the corporate consultative company.
Threats:

● Performance risk.
● Decelerate in global liquidity flows.
● Improved intensity of competition from narrow and global players.
● Critical economic conditions.
FUTURE GROWTH AND PROSPECTS

There is an ample scope for Motilal oswal in the mere future has it has recognised and well
established. As the current economy tends more investment avenue opportunities the firm can
effectively and optimally utilize the opportunities through its vast resources. As online
trading has emerged in this era, information is available in the tip of fingers’ and thus it has
created a lot of opportunities to the firms respectively. As Motilal oswal have achieved many
fleets in the current market it promises to endeavour and actualize it to develop in the
forthcoming days. Motilal Oswal has superior dealers who communicate within the network
to link all the transactions in speedy and convenient manner.

ANALYSIS OF FINANCIAL STATEMENTS

Ratio Analysis is a very important tool used to analyse the financial position of the corporate.
Ratio means numerical or quantitative relationship between two items / variables. The
relationship between two figures from financial statements can also be depicted in terms of
percentage. By applying this tool one will interpret systematically the strengths and
weaknesses, historical performance and current financial conditions of the firm.

1. Current Ratio:
It is defined as a bond among the current asset and current liabilities. Through current ratio
one can compute the liquidity for shorter time. It definitely signifies the firm’s capability to
congregate its short term commitment. The firm is said to be highly liquid if its ratio is high.

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 𝐶𝐶𝐶𝐶𝐶𝐶𝐶 𝐶𝐶𝐶𝐶𝐶𝐶
𝐶𝐶𝐶𝐶𝐶𝐶𝐶 𝐶𝐶𝐶𝐶𝐶 =
𝐶𝐶𝐶𝐶𝐶𝐶𝐶 𝐶𝐶𝐶𝐶𝐶𝐶𝐶𝐶𝐶𝐶𝐶
Table 1.1: Current Ratio

YEAR 2015-16 2016-17

Current Assets (in Cr.) 382.62 427.18

Current Liabilities (in Cr.) 319.10 375.74

Current Ratio 1.19 1.13

As per above table the firm’s current ratio during year 2016 was 1.19 which has been
decreased to 1.13 during the year 2017. This indicates that the firm has sufficient liquidity
position.

2. Quick Ratio:
Quick ratio called also as acid test ratio assesses the capability of a firm to employ its cash or
quick assets without any delay to meet its current demand. Quick assets are nothing but those
current assets that most probably could be rapidly converted to cash at near to their book
values. In order to find quick assets, one has to deduct inventory and prepaid expenses.

𝐶𝐶𝐶𝐶𝐶 𝐶𝐶𝐶𝐶𝐶𝐶
𝐶𝐶𝐶𝐶𝐶 𝐶𝐶𝐶𝐶𝐶 =
𝐶𝐶𝐶𝐶𝐶𝐶𝐶 𝐶𝐶𝐶𝐶𝐶𝐶𝐶𝐶𝐶𝐶𝐶
Table 1.2: Quick Ratio

Year 2015-16 2016-17

Quick assets 362.77 407.75

Current liabilities 319.10 375.74

Quick ratio 1.13 1.08

The ideal quick ratio is 1:1. So, when we peep on the above table it plainly shows that the
firm’s quick ratio for the year 2016 & 2017 is 1.13 & 1.08 respectively. Both the years’ quick
ratios are considered as ultimate.

3. Proprietary Ratio

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Proprietary ratio ascertains connection among the total assets and shareholder’s funds of firm.
It designates level to which the assets of the firm are invested by owner’s fund.

𝐶𝐶𝐶𝐶𝐶 𝐶𝐶𝐶𝐶𝐶𝐶’𝐶 𝐶𝐶𝐶𝐶𝐶

𝐶𝐶𝐶𝐶𝐶𝐶𝐶𝐶𝐶𝐶𝐶 𝐶𝐶𝐶𝐶𝐶 =
𝐶𝐶𝐶𝐶𝐶 𝐶𝐶𝐶𝐶𝐶𝐶

Table 1.3: Proprietary Ratio

Year 2015-16 2016-17

Shareholder’s fund 593.48 669.18

Total assets 1020.90 1159.24

Proprietary Ratio 0.58 0.57

Above table gives a clear cut data about firm’s proprietary ratio for year 2016 was 0.58,
which has been drop to 0.57 during 2017. Thus, level to which assets of company are
financed by shareholder’s funds has fall off in 2017.

4. Fixed assets to networth ratio

A fixed asset to networth ratio gauges the solvency of a firm. This ratio specifically pinpoints
the level to which the owner’s cash is frozen in the appearance of fixed assets for example
buildings, P&M etc. to the funds accessible for firm’s operations.

𝐶𝐶𝐶 𝐶𝐶𝐶𝐶𝐶 𝐶𝐶𝐶𝐶𝐶𝐶

𝐶𝐶𝐶𝐶𝐶 𝐶𝐶𝐶𝐶𝐶𝐶 𝐶𝐶 𝐶𝐶𝐶𝐶𝐶𝐶𝐶𝐶 𝐶𝐶𝐶𝐶𝐶 =
𝐶𝐶𝐶𝐶𝐶𝐶𝐶𝐶

Table 1.4: Fixed Assets to Net worth Ratio

Year 2015-16 2016-17

Net Fixed Assets 110.6 97.32

Net Worth 593.48 669.18

Fixed Assets to Net Worth 0.19 0.14

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 Ratio

From the above table it clearly shows the firms fixed assets to net worth ratio for the year
2016 was 0.19 which has lessen to 0.14 in 2017.

5. Debt Equity Ratio

Debt Equity ratio quantifies the level of equity covering the debt. This ratio is evaluated to
measure the comparative proportion of shareholder’s fund and its outsiders fund financed in
the firm. This ratio is carefully watched as it discloses the level to which the firm’s
management is eager to invest its operation in debt or equity.

𝐶𝐶𝐶 − 𝐶𝐶𝐶𝐶𝐶𝐶𝐶 𝐶𝐶𝐶𝐶𝐶𝐶𝐶𝐶𝐶𝐶𝐶

𝐶𝐶𝐶𝐶 𝐶𝐶𝐶𝐶𝐶𝐶 𝐶𝐶𝐶𝐶𝐶 =
𝐶𝐶𝐶𝐶𝐶𝐶𝐶𝐶𝐶𝐶𝐶’𝐶 𝐶𝐶𝐶𝐶𝐶
Table 1.5: Debt Equity Ratio

Year 2015-16 2016-17

Non-current liabilities 108.31 114.32

Shareholder’s Fund 593.48 669.18

Debt Equity Ratio 0.18 0.17

So the above table suggests Debt Equity ratio of firm during year 2016 was 0.18 has shown a
shrink to 0.17 during the year 2017. This point outs the level at which firm is investing by the
outsiders has slightly reduced during 2017.

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Key People Motilal Oswal Financial Services Ltd.
Board of Directors

Name/Title Current Board Membership

Motilal Oswal, 55Executive Chairman, CEO & Joint

Motilal Oswal Financial Services Ltd.
Managing Director

Anil Sachidanand, 49CEO & Managing Director Motilal Oswal Financial Services Ltd.

Raamdeo Agrawal,Joint Managing Director & Executive

Motilal Oswal Financial Services Ltd.
Director

Navin Agarwal, 45Non-Independent Non-Executive

Motilal Oswal Financial Services Ltd.
Director

Sharda Agarwal, 49Independent Non-Executive Director Motilal Oswal Financial Services Ltd.

Praveenkumar Tripathi, 59Independent Non-Executive

Motilal Oswal Financial Services Ltd.
Director

Vivek Paranjpe, 64Independent Non-Executive Director Motilal Oswal Financial Services Ltd.

All Executives

● Motilal OswalExecutive Chairman, CEO & Joint Managing Director

● Anil SachidanandCEO & Managing Director
●

● Anupam AgalHead-Operations & Risk

● Shah ShalibhadraChief Financial Officer

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●

● Pankaj PurohitHead-Information Technology

● Sudhir DharHead-Human Resources & Administration
●

● Krishnan SambamoorthyVice President-Research

● Raamdeo AgrawalJoint Managing Director & Executive Director
●

● Murli Krishnan IyerSecretary & Compliance Officer

● Navin AgarwalNon-Independent Non-Executive Director
●

● Ramnik ChhabraHead-Marketing
● Pooja SutradharInvestor Relations Contact
●

● Sharda AgarwalIndependent Non-Executive Director

● Praveenkumar TripathiIndependent Non-Executive Director
●

● Vivek ParanjpeIndependent Non-Executive Director

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2 =S8 is a 'ro/ing unit and a well-diversified financial services firm offering a widerange

of financial services and products Being a su'sidiary +2S8 carries the same 'usinesswhere it
particularly deals Investment Ban/ing, 4rivate 7quity, ;ealth +anagement,Institutional
7quities, Asset +anagement, Bro/ing and 3istri'ution, 4rincipal Strategies +otilal 2swal
Securities Advisory 0roup is equipped to augment and alter the investments in aneffort to
create healthy portfolio +otilal 2swal Securities 8td follows a networ/ of franchisee@su'-
'ro/ers shop and 6emises model Their systems and policies are deeply evolvedand centred on
the 'usiness requirements of the su' 'ro/er The 'usiness is carried on in two different areas The
first one is client acquisition and thesecond one is franchisee acquisition There are few ways
in which client acquisiti

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