A

SUMMER TRAINING PROJECT

ON
“IMPACT OF FII’S ON INDIAN STOCK MARKET”

SUBMITTED TO:-
KURUKSHETRA UNIVERSITY, KURUKSHETRA
IN THE PARTIAL FULFILLMENT OF DEGREE OF
“MASTER OF BUSINESS ADMINISTRATION”

2009-2011

UNDER THE GUIDENCE OF: SUBMITTED BY:

MR. GAURAV TARIKA NARINDER KAUR
BRANCH MANAGER, MBA
RELIGARE SECURITIES LTD ROLLNO……….
YAMUNA NAGAR

MAHARAJA AGRASEN INSTITUTE OF MANAGEMENT AND

TECHNOLOGY
AFFILIATED TO KURUKSHETRA UNIVERSITY KURUKSHETRA
 DECLARATION

I, NARINDER KAUR of MBA III Semester, studying at MAHARAJA AGRESAIN

INSTITUTE OF MANAGEMENT &TECHNOLOGY, JAGADHARI, hereby declare
that this project titled “Impact of FIIs On Indian Stock Market. ” has been prepared by
me in partial fulfilment of the requirements of the KURUKSHETRA UNIVERISITY
KURUKSHETRA MBA programme during 2009-2011.
I further declare that this project has not been submitted earlier in any other university or
institution for the award of any degree or diploma.

NARINDER KAUR
 ACKNOWLEDGEMENT

The satiation and euphonies that accompany the success completion of a task would be
incomplete without a mention of people who made it possible. So, with immense
gratitude, I acknowledge all those, whose guidance and encouragement served as a
beacon light and crowned my effort with success.
I thank Mr. GAURAV KOCHHAR, Faculty of MAHARAJA AGRESAIN INSTITUTE
OF MANAGEMENT & TECHNOLOGY, JAGADHARI and my project guide for his
valuable guidance and suggestions, and external guide Mr. GAURAV TARIKA
BRANCH MANAGER AT RELIGARE SECURITIES LTD YAMUNA NAGAR which
were vital inputs towards the completion of the project.Lastly, I would like to thank all
those who have directly or indirectly helped me complete the project successfully.

NARINDER KAUR
 PREFACE

Management ideas without any action based on them mean nothing. That is why practical
experience is vital for any management studies. Theoretical studies in the class room are
not sufficient to understand the functioning climate and the real problems coming in the
way of management. So, practical exposures are indispensable to such courses. Thus,
practical experience acts as a supplement to the classroom studies.This report deals with
Impact of FII’s On Indian Stock Market. has been completed. I have learnt a lot of new
things which could never been learnt from theory classes. The next part include whole of
research process used for the project. It contains research methodology, research
objective, scope analysis and interpretation of the data, collected from secondary
resources. It also consists limitations of the study. In this study I have collected data from
secondary source. In this study in used descriptive research design is used. This part
includes observations analysis and discussion on collected data then suggestions are
given these are based are on the usefulness of the study, applicability in the business
industry, in decision making, in system development so far.
SECTION
Tile page
Certificate
Declaration
Acknowledgement
Preface
List of Tables
List of Figures

CONTENTS
CHAPTER 1 PAGES NO.
INTRODUCTION 1-7
 FEATURES OF STOCK MARKET
 OPERATIONAL DEFINITIONS

CHAPTER 2
LITERATURE REVIEW 8-14

CHAPTER 3
INDUSTRY PROFILE 15-27
 FOREIGN INSTITUTIONAL INVESTMENT IN INDIA:
 MILESTONE
  ACTS AND RULE
 INVESTMENT OPPORTUNITIES FOR FIIs
 BRIEF PROFILE OF IMORTANT INSTITUTIONS

CHAPTER 4
COMPANY PROFILE 28-33

CHAPTER 5
RESERCH METHODOLOGY 34-36
 OBJECTIVES
 RESEARCH DESIGN
 DATA COLLECTION
 DATA ANALYSIS
 SAMPLING PLAN
 SAMPLING DESIGN
 SCOPE OF STUDY
 LIMITATIONS OF THE STUDY

CHAPTER 6
DATA ANALYSIS AND INTERPRETATION OF 37-47
DATA
CHAPTER 7
DISCUSSION AND FINDINGS 48-50

CHAPTER 8
CONCLUSION SUGGESTIONS AND 51-53
RECOMMENDATIONS

REFERENCES 54
 LIST OF TABLES

Table No. Name of tables Page No.

Performance of Indian stock 37
6.1 market
Performance of Auto Sector 38
6.2
Performance of Power sector 38
6.3
Foreign Investment Flow in 39
6.4 India
Trends in FIIs Investment in 41
6.5 India
Monthly Trends of FIIs year 42
6.6 1998-99
Correlation of FIIs with Nifty 44
67
Correlation of FIIs with Sensex 45
6.8
Coffecient of Determination of 46
6.9 FIIs with Nifty
Coffecient of Determination of 47
6.10 FIIs with Sensex
 LIST OF FIGURES

Figure No. Name of the Figure Page No.

Foreign Investment Flow in 40
1 India
Growth of FIIs Investment 43
2 in India