786

SALES AND MARKETING STUDY OF BROKERAGE

STRUCTURE IN REFERENCE OF OTHER BROKING HOUSE

SUMMER INTERNSHIP PROJECT REPORT

2009-2011

Submitted in Partial Fulfillment for the Award of Degree

POST GRADUATE DIPLOMA IN MANAGEMENT

Faculty guide: - Corporate guide:-

Dr. Gaurav Aggrawal Mr. Mrityunjay Kumar
Lloyd Business School Reliance money
Bhagalpur

LLOYD BUSINESS SCHOOL

Plot No – 11, Knowledge Park – II
Greater Noida, U.P

Submitted by: - Shahid Raza

PGDM – 4 th Trimester
 FACULTY GUIDE CERTIFICATE

This is to certify that Shahid Raza, a student of Lloyd

Business School, Greater Noida pursuing his PGDM (Finance & Marketing)
has worked under my guidance and supervision on his Work entitled “SALES
AND MARKETING STUDY OF BROKERAGE STRUCTURE IN
REFERENCE OF OTHER BROKING HOUSE”. To the best of my knowledge
this is an original piece of work.

Dr. Gaurav Aggrawal

Faculty Finance
Lloyd Business School

I
 DECLARATION

I Shahid Raza do hereby declare that the project report entitled “SALES
AND MARKETING STUDY OF BROKERAGE STRUCTURE IN
REFERENCE OF OTHER BROKING HOUSE ” is the result of my own efforts.

I am submitting my project report to the placement cell of my college and I

have never submitted this project report anywhere else.

Shahid Raza
PGDM – 4th Trimester
09/LBS/UP/PGDM/FT/43
Lloyd Business School
Greater Noida, U.P

II
 ACKNOWLEDGEMENT

The credit of this project report goes to many people. Right from the
experienced staff of Reliance Money, Bhagalpur to the staff of Lloyd
Business School, Greater Noida with whose co-operation and
guidance I have successfully completed my summer internship
programme.

I take this opportunity to express my deep gratitude to all

the employees of, Reliance Money, Bhagalpur. Also I am indebted for
the rich guidance, knowledge and suggestions provided by my guide,
Dr. Gaurav Aggrawal who took sincere efforts and illustrated the
Concept of Financial Products, with their vast knowledge in the field,
which helped me in carrying out my internship.

I am gratified to Dr. Gaurav Aggrawal for their earnest co-ordination

owing to which, I had the leg-up of undertaking the internship at the
prominent organization, Reliance Money.

Last but not least, I also thank all those people whom I met in the
industry during my internship and helped me to accomplish my
assignments in the most efficient and effective manner.

Date: 1st Sept 2010

Place: Bhagalpur Shahid Raza

III
 EXECUTIVE SUMMARY

The project work is pursued as a part of PGDM (Finance &

Marketing) at Lloyd Business School, Greater Noida. It is
undertaken as a traineeship at Reliance Money Ltd. The project is
done under expert supervision and guidance of Dr. Gaurav Aggrawal
(Faculty of Finance) and Mr. Mrityunjay Kumar (Relationship
Manager, Reliance Money, Bhagalpur).The Project is about the study
of marketing and sales of financial products and also the efforts done
to make improvements in the customer acquisition process for better
results.

At RELIANCE MONEY, initially the trainees were imparted

process and product knowledge. They were given sufficient time to
know about the products. They had to work with the sales
representatives of the Distributor and think of ways of improving the
sales and distribution channel and implementing them. The main aim
was to increase sales and for this different ways were tried and
implemented.

They were provided with database and had to make cold calls
from the data. Company activity was also one of the major sources for
generating business. Initially they even accompanied sales
representatives to the clients place. Main objective was to know the
need of the customer and how to fulfill that in the best way.

The project dealt with :

1. Trading
2. Equities
3. Derivatives
4. Commodities
5. Demat selling

Thus it gave trainees the opportunity to learn about all the

products and with the range of products. Reliance money offered it

IV
made the task a bit easier as we could fulfill the need of the customer
in a better way.

My task was divided in 3 phase

1. Product knowledge: This phase includes all information

about the financial products provided by the company like
equities, Derivatives and commodities.

2. Trading: This phase includes all information about online

trading process and brokerage details.

3. Demat account opening: This phase includes a task to

convince the customers to open a demat account for online
trading.

With the end of 8 weeks every phase was completed and

it gave us the real experience of retail as well as corporate
world.

V
 CONTENT

Chapter no. Page

Title no.

Chapter 1 Introduction

• About Industry 2-3

• About Reliance Capital 4-6

• About Reliance Money 7

• Products of Reliance 8-9

Money

• About The Share trading 10-

A/c, Brokrage and facilities 14
of Reliance Money.

• Working of Reliance Money

& its hierarchy. 15-
16
• About Competitors
17-
• SWOT Analysis 34

• Trading portal & Demat 35

account
35-
• How Reliance Money 39
scored over
40
Others ?

• Corporate Social
42-
Responsibilities
46

Chapter 2 Research Methodology & Objectives….

• Objectives 48

• Methodology 49-
54
• My responsibilities
54-
55

VI
Chapter 3 Limitations, Learnings & Findings

• Limitations & Learnings 57

• Findings 57-
61

Chapter 4 Recommendations & Conclusion 51-

54
• Recommendations
63
• Conclusion
64-
65

Chapter 5 Questionnaire 67-

68
Bibliography
69

VII
 Chapter 1
Introduction
 INDUSTRY PROFILE”
RELIANCE-ANIL DHIRUBHAI AMBANI GROUP

Founder
Dhirubhai H. Ambani
RELIANCE GROUP OF COMPANIES

Growth through Vision

"Growth has no limit at Reliance. I
keep revising my vision.
Only when you can dream it, you
can do it."
The Reliance – Anil Dhirubhai Ambani Group is among India’s top
three private sector business houses on all major financial
parameters, with a market capitalisation of Rs100,000 crore (US$
22 billion), net assets in excess of Rs 31,500 crore (US$ 7
billion),and net worth to the tune of Rs 27,500 crore (US$ 6
billion).

Across different companies, the group has a customer base of

over 50 million, the largest in India, and a shareholder base of
over 8 million, among the largest in the world.

Through its products and services, the Reliance - ADA Group

touches the life of 1 in 10Indians every single day. It has a
business presence that extends to over 4,500 towns and 300,000
villages in India, and 5 continents across the world.

The interests of the Group range from communications (Reliance

Communications) and financial services (Reliance Capital Ltd), to
generation, transmission and distribution of power (Reliance
Energy), infrastructure and entertainment.
INDUSTRY SRTUCTURE
 COMPANY PROFILE

Reliance Capital Ltd

Part of Reliance - Anil Dhirubhai Ambani Group.

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 companies.

In terms of net worth. Reliance Capital has interests in asset

management and mutual funds, life and general insurance,
private equity and proprietary investments, stock broking and
other activities in financial services.

RCL is registered as a depository participant with National

Securities Depository Ltd (NSDL) and Central Depository Services
Ltd (CDSL) under the Securities and ExchangeBoard of India
(Depositories and Participants) Regulations, 1996.

RCL has sponsored the Reliance Mutual Fund within the

framework of the Securities and Exchange Board of India (Mutual
Fund) Regulations, 1996.

RCL primarily focuses on funding projects in the infrastructure

sector and supports the growth of its subsidiary companies,
Reliance Capital Asset Management Limited, Reliance Capital
Trustee Co. Limited, Reliance General Insurance Company
Limited and Reliance Life Insurance Company Limited.

As of March 31, 2005, the company’s investment in infrastructure

projects stood at Rs. 1071 Crores. The investment portfolio of RCL
is structured in a way that realizes the highest post-tax return on
its investments.
 BOARD OF DIRECTORS

Amitabh Jhunjhunwala, Vice-Chairman

Amitabh Jhunjhunwala, an FCA, has over 23 years of experience in finance

and the capital markets. Amitabh is also the Director of Reliance Capital
Asset Management Limited.

Shri C. P. Jain

Shri C.P. Jain, aged 60 years, is the former Chairman and

Managing Director of National Thermal Power Corporation (NTPC).
 Rajendra Chitale, Independent Director

Rajendra P. Chitale, an eminent Chartered Accountant, is the Managing Partner of M/s

M. P.Chitale & Co. He is a Director on Boards of the National Stock Exchange of India
(NSE), Asset Reconstruction Company (India) Ltd, Hinduja TMT Ltd and Gujarat
Ambuja Cements Ltd. He is also a member of the Advisory Group on Derivatives and
the Takeover Panel, Securities and Exchange Board of India, as well as the Company
Law Advisory Committee of the Government of India.He has also served on the boards
of Life Insurance Corporation of India, Unit Trust of India, SBI Capital Markets Ltd and
Small Industries Development Bank of India..
Reliance Money

“Reliance Money (Distribution House)”

• The official launch of Reliance Money was announced on 3rd May

2007.

• Reliance Money is a group company of Reliance Capital; One of India's

leading and fastest growing private sector financial services
companies.

• Ranking among the top 3 private sector financial services and banking
companies, in terms of net worth.

• Reliance Capital is a part of the Reliance Anil Dhirubhai Ambani Group.

• Reliance Money is a comprehensive electronic transaction platform

offering a wide range of asset classes.

• Its endeavor is to change the way India transacts in financial markets

and avails financial services.
Reliance Money currently deals in the following
financial products:

1. Equities /IPO’s / Forex / Commodities.

2. Mutual funds (every Asset Management company in

market).

3. Life Insurance (RELIANCE, HDFC, TATA, SBI & LIC).

4. General Insurance (RELIANCE, NEW INDIA, IFFCO TOKYO

ROYALE SUNDARAM).
 5. Credit Cards.

6. Loans.

7. Portfolio Investments.

8. Money Transfer

9. Offshore investments

RELIANCE MONEY SHARE TRADING ACCOUNT

Reliance Money unlike other brokering houses has introduced a new prepaid
system of brokerage for the share trading in which it provides the lowest
form of brokerage charged from an investor.

Reliance money has introduced three prepaid schemes for the stock market
investors which work in the following way:

FOR LARGE INVESTORS

Limit Validity Validity Turnov Turnov

Card Whichever
is Earlier
Whichever er Limit er Limit
is Earlier
Time Turnov Intra Deliver
Validity
er Day y
Validity Turnover Turnover
500 2 1 Cr. 90 Lac 10 Lac
Months
1350 6 3 Cr. 2.7 Cr. 30 Lac
 Months
2500 12 6 Cr. 5.4 Cr. 60 Lac
Months

For small investors :

Reliance had an under scheme of Rs.500 in which-

• Time validity is of one year.

• Turnover limit is Rs. 5 Lacs (Either you can do Intraday or Delivery,

no fix ratio).

• Margin of 5 times on Intraday and no Margin on Delivery( Valid for

all the four schemes).

Apart from this the A/c opening charges are Rs. 750 one time and four A/c’s
namely Trading, Demat, Forex and Commodity are provided to the investor.

Reliance Money is offering a brokerage charge of 45 paisa on every Rs 100

worth of delivery-based trades, and 5 paisa on non-delivery trades, which is
the lowest in the industry so far.

Currently, the average brokerage charge for delivery-based trades is

anywhere between 15 paisa and 25 paisa for every trade worth Rs 100,
while for non- delivery trades it is around 3-5 paisa.

Following are also the main features of this share

trading account provided by Reliance money:-

1. Flexibility to access reliance money services in multiple ways through

Internet,Transaction kiosks, Call and transact or seek assistance
through Business partners.

2. This is a safeguarded account as reliance money provides an electronic

token that flashes a unique security number in every thirty two seconds This
number works as a third level password (including the login ID and
Password) keeping the account sage from any unauthorized access.

2. Flexibility to transact in Equity, Equity and commodity Derivatives,

Offshore investments, mutual funds, IPO’s, Life insurance and General
Insurance either through online or through channel partners.

3. With the help of this A/c investors can access to their banking, trading
and Demat accounts without the hassle of writing cheques.Reliance
money had tied up with UTI , HDFC and IDBI bank to link this share
trading account for the investors.

4. Annual maintenance charge of just 50 /- per annum and free on mobile

Tips.These were some of the features of “Reliance money” share
trading account.

A customer can do the share trading through trading kiosks installed by

Reliance Money, through net, through business associates of R-Money.
Document Photocopies Required for Demat
Account opening :-

(A) Three passport size photographs for first holder (self

attested).

(B) One passport size photograph if second holder.

(C) One passport size photograph if third holder.

(D) For identification Proof- Voter ID Card/ Driving

License/ Passport/ PAN Card (Compulsory) any one.

(E) For residential proof:- Bank statement/ Voter ID Card/

Ration Card/ Driving License/ Passport/ Telephone or
Electricity Bill statement (any one).

(F) One cancelled cheque leaf (For MICR No. record) if he

had account in any of three banks.

(G) Later Bank Statement/ Front page of passbook

(Showing Name, Address, A/c No.)

(H) Cheque in favour of ‘Reliance Money Limited;

(Rs.750+ prepaid card of customer choice).

Reliance Money is allowing trading in four ways:

1) Online

2) Offline( Through Franchise, they take Rs.12 per script)

3) Call center

4) Trading Kiosk (Charging .50 paisa per minut).

Working of Reliance money
At the Macro Level
HIERARCHY IN RELIANCE MONEY

EXECUTIVE DIRECTOR

Mr. Vikrant Gugnani

CHIEF EXECUTIVE OFFICER

Mr. Kapil Wali

HEAD OF SALES

Mr. Anshul Arzare

ZONAL HEAD

Mr. Manav Singh

REGIONAL HEAD

Mr. Arvind singh

BRANCH HEAD

Mr. Rajesh chaubey

CSE / CM / RM
 COMPETITORS

Sharekhan Services-: Sharekhan, one of India's leading brokerage houses,

is the retail arm of SSKI. With over 240 share shops in 110 cities, and India's
premier online trading portal www.sharekhan.com, our customers enjoy
multi-channel access to the stock markets.

SHARE KHAN

• Sharekhan is the retail broking arm of SSKI Securities Pvt Ltd. SSKI owns
56% in sharekhan, balance ownership is HSBC, First Caryle, and Intel Pacific.

• Into broking since 80 years.

• Focused on providing equity solutions to every segment.

• Largest ground network of 210 Branded Share shops in 90 Cities.

Freedom from paperwork

1. Instant credit and money transfer.

2. Trade from any net enabled PC.

3. After hour orders.

4. Online orders on the phone.

5. Timely advice and research reports.

6. Real-time Portfolio tracking.

7. Information and Price alert.

Share khan online Trading Interfaces

The customer can choose the online trading interface that meets his
requirement based on his trading habits and preferences.

CLASSIC / APPLET
The website is meant for customers who Invests in Equities.

SPEEDTRADE EXE Based

The speed trade is meant for customers who trade in Equities.
DIAL-N-TRADE – Toll Free
The DNT is a value added services meant for all customers who want to
transact but are not online.

Online Account Types

• Classic Account / Applet : Investor in equities.

• SpeedTrade: Trader in equities & derivatives.

Individual Client:

Demat A/c + Trading A/c opening charges:-

There is two type of account-

(a) Classic A/c opening charges- Rs 750/-.

(b)Speed trade A/c opening charges- Rs 1000/-.

(Rs 500/- per month of speed trade A/c. If Brokerage is Rs 1500/- of 3 month
then RS 500/- will be off and if not then Rs1500/- and brokerage will
charged.)

AMC Charges- Rs 300/- per annum.

Brokerage:-

Cash brokerage: - Delivery: 0.50%, Intraday: 0.10% (Negotiable)

(Min. 0.05% on intraday & 0.50% on delivery)

Exposure: -4 to10 times (For Intraday)

2 times (For Delivery)

F&O Brokerage: - Buy & Sell 0.05% (Negotiable)

Odin Terminal:-
In Classic A/c Terminal is waive based and it shows 5 portfolio. You can see
only 26 script (shares) at a time. There is also no any graph is displays and
customer have to login in every 10 minute.

In Speed Trade A/c Terminal is internet based/ Software based and customer
can see 500 script (shares) at a time.
Trading through offline or website. (www.sharekhan.com)

NSE & BSE both are online.

Live applet for watching prices & trading purposes.

Share Transfer:

From Sharekhan Demat account to some other company Demat account the
charge per script is Rs. 22.
 India Info line (5 Paisa.com)

India info line was founded in 1995 and was positioned as a research firm In
2000 e-broking was started under the brand name of 5 paisa.com. Apart
from offering online trading in stock market the company offers mutual
funds online.

It also acts as a distributor of various financial services i.e. GOI securities,

Company Fixed Deposits, Insurance.Limited ground network, present in 20
Cities.

Online Account Types

• Investor Terminal : Investors / Students.

• Trader Terminal : Day Traders / HNI’s

PRICING FOR RETAIL CLIENTS

Investor Terminal

• Account Opening : Rs 500

• Demat 1st Yr : Rs 250
• Initial Margin : Rs 2500(Compulsory)
• Min Margin Retainable : Rs 1000
• Brokerage :
Intraday 0.10% each side + ST

Delivery 0.50% each side + ST

PRICING FOR HNI CLIENTS

Trader Terminal

• Account Opening : Rs 500

• Demat 1st Yr : Rs 250
• Initial Margin : Rs 5000(Compulsory)
• Min Margin Retainable : Rs 1000

• Brokerage :

Intraday 0.10% each side + ST

Delivery 0.50% each side + ST

( Negotiable to 0.05% each side & 0.25%)

• Account Access Charges

Monthly Rs 800, adjustable against Brokerage.

Yearly Rs 8000, adjustable against brokerage.

2. Indiabulls

Equity and Derivatives- Ease, Convenience

Reliability- It all starts here.
Investment services as individual as you are.

Indiabulls Financial Services Ltd. is a public company and listed on the

National Stock Exchange, Bombay Stock Exchange, Luxembourg Stock
Exchange and London Stock Exchange. The company ranks at 82nd
position inthe list of most valuable companies in India has a market
capitalization of approx US $ 800 million. The consolidated net worth of the
company is approx US $
400 million.

Through various types of brokerage accounts, Indiabulls offers the purchase

and sale of securities which includes Equity, Derivatives and Commodities
Instrument listed on National Stock Exchange of India Ltd. (NSEIL), The Stock
Exchange, Mumbai (BSE) and NCDEX.

Features of Power Indiabulls:

• Live Streaming Quotes.

• Fast Order Entry.

• Tic by Tic Live Charts.

• Technical Analysis.

• Live News and Alerts.

• Extensive Reports for Real-time Accounting.

Demat+Trading account opening charges-

For Offline A/c opening- 700/-.

For Online A/c opening- 1450/-.

(An Offline Demat A/c holder can not do online trading).

Online Account Type

• Signature Account : Plain Vanilla Account with focus on Equity Analysis.

The equity analysis is a paid service even for A/c holders.

• Power Indiabulls: Account with sophisticated trading tools, low

commissions and priority access to R.M

CHARGES

Pricing of IB Accounts

Signature Account

• Account Opening : Rs 250

• Demat: Rs 200 if POA is signed, No AMC for this DP
• Initial Margin : NIL
• Brokerage : Negotiable

Power IndiaBulls

• Account Opening : Rs 750

• Demat: Rs 200 if POA is signed, No AMC for this DP
• Initial Margin : NIL
• Brokerage : Negotiable

PAID Research

SCHEME FACILITY
WebBased-1-Month-500:
WebBased-1-Year-6000
PrintReport-1-Month-750:
Delivered
PrintReport-1-Year-9000:
Delivered
View & Print on website
View & Print on website
View & Print on website + 10 Reports
View & Print on website + 10 Reports

Brokerage-

For intraday trading- .02 - .05%

For Delivery trading- 0.25 - 0.50%
(Brokerage is negotiable and it based on the volume of client)

Exposure:-

For intraday trading - 5 – 10 times

For delivery trading - 2 times

Funding:-

Interest rate is 19% per month for funding.

Drawback:

For delivery they are providing a limit of 27 days, for squaring-off.

Services:-

1. No SMS alert provide.

2. A trader can find out the information about share market only by to
calldealers.

3. Account opening time- One Weak.

4. Online & offline trading facilities are different.

3. ILFS:-
Your world of financial services and India's financial multiplex, IL&FS
Investsmart Limited (IIL) is a premier financial service organization providing
individuals and corporate with customized financial management solutions.

New Demat Account opening has been stopped by SEBI.

Brokerage:

For Intraday Trading- 0.04%

For Delivery Trading- 0.40%

AMC Charges: Rs 500/-

Exposure:

For Intraday Trader - 4-5 times

For Delivery Trader- 2 times

Services:

Research Report- Free

Trading A/c- Free

Online Services- Free

IPO- Online

Tie up with HDFC Bank.

 Kotak Securities Ltd.

Kotak Securities Ltd. is India's leading stock broking house with a market
share of around 8%. Kotak Securities Ltd. has been the largest in IPO
distribution.

Kotak Securities Ltd is also a depository participant with National Securities

Depository Limited (NSDL) and Central Depository Services Limited (CDSL),
providing dual benefit services wherein the investors can use the brokerage
services of the company for executing the transactions and the depository
services for settling them.

Kotak Securities Limited manages assets over 2500 crores of Assets under
Management (AUM).

Type of account in Kotak Securities Ltd.

If you want to start investing? Open an investing account with Kotak

Securities Ltd and begin right away. Whether you are a beginner or an
expert trader, Kotak have different accounts to suit your needs:

Kotak Gateway: Ideal if you are just starting out in the equity markets.

Kotak Value: Tailor-made to meet the needs of the experienced investor.

Kotak Privilege Circle: A line up of premier trading services to suit your

needs.

Kotak High Trader: Intra-day trading account with Auto-square off that lets
you take higher exposure.
Kotak Freeway: Trading unleashed! Unlimited trading for a fixed monthly
fee.

Online Account Types

Twin Advantage / Green Channel : 2 DP’s, Limit against shares

Free Way : Flat Rs 999/- Cover Charges p.m., 0.03% per transaction

High Trader : 6 Times Exposure cash & Derivatives, Auto sq off 2 :55

Cash Expressway : Spot payment, additional 0.5% charges.

 Pricing of Kotak

Account Opening :Rs 500/-

Demat: Rs 22.5 p.m.

Initial Margin : Rs 5000/- (Compulsory)

Min. Margin Retainable : Rs 100/-

Brokerage Slab wise

Higher the volume, lower the brokerage. Even older customers (on 0.25% &
0.40%) have been moved to the slab wise structure.

For intraday trading- .05%.

For Delivery trading- .50%.

(Brokerage is negotiable and it based on the volume of client).

Exposure

For intraday trading - 5 – 10 times.

For delivery trading - 2 times.

Funding

Interest rate is 19% per month for funding.

 HDFC Securities Ltd.

HDFC securities is a brand brought to you by HDFC Securities Ltd, which has
been promoted by the HDFC Bank & HDFC with the objective of providing
the diverse customer base of the HDFC Group and other investors a
capability to transact in the Stock Exchanges & other financial market
transactions.

Online trading for Resident & Non Resident

Indians.

• Cash-n-Carry on both NSE and BSE.

• Day trading on both NSE and BSE.

• Trade on Futures & Options on the NSE.

• Online IPO's.

• Telephone-based Broking (Equity & Derivatives).

• The capability to take your orders over the phone

• No compulsion for you to change your existing savings and demat

accounts to any of our preferred banks

• A branch network that is set to quickly grow in all-India coverage, so you’re

never too far from customer service that will meet your requirements .State-
of-the-art technology backing the safety features in all our transactions.

Online Account Type

HDFC Online Trading A/c: Plain Vanilla Account with focus on 3 in 1
advantage.

Pricing of HDFC Account

A/c Opening: Rs 750/-

1000/- for non HDFC Bank customers (AQB)

Brokerage

Trading 0.15%* each side + ST.

Delivery 0.50%** each side + ST.

Demat: Nil, 1st year charges included in Account Opening.

Initial Margin: Rs 5000* Rs 25 Min Brokerage per transaction.

Rs 8 Min brokerage per transaction.

 Karvy

Online DEMAT Services

What are the services offered by Depository

Participant?

Our Electronic Custodial Services are:

• Convert your physical holding into electronic holding (which is called

"dematerialisation" of securities).

• Keep custody of your holdings in electronic form.

• Transfer the shares in the electronic form from one account to another.

• Facilitate pledge of your electronic securities.

• Give electronic credit of new share allotments such as public issues, bonus,
rights etc.

• Convert your electronic holding into physical holding (which is called

"rematerialisatoin of securities").
Company Profile

History of Religare Securities Ltd.Religare Securities Limited, a Ranbaxy

Promoter Group Company, was founded by late Dr. Parvinder Singh (CMD
Ranbaxy Laboratories Limited), with the vision of providing integrated
financial care driven by the relationship of trust & confidence.

To realize its vision the Religare group provides various financial services
which include broking (stocks & commodities), depository participant
services, portfolio management services, advisory on mutual fund
investments and many more. Working on the philosophy of being “Financial
Care Partner”, Religare unlike other traditional broking firms not only
executes the trades for the clients but also provides them critical and timely
investment advice.

Religare Enterprises Limited (A Ranbaxy Promoter Group Company) through

Religare Securities Limited, Religare Finvest Limited, Religare Commodities
Limited and Religare Insurance Advisory Services Limited provides
integrated
financial solutions to its corporate, retail and wealth Management clients.

Today, it provides various financial services which include Investment

Banking, Corporate Finance, Portfolio Management Services, Equity &
Commodity Broking, Insurance and Mutual Funds. Plus, there’s a lot more to
come your way.

Religare Today –

An ISO 9001:2000 Company

Member of National Stock Exchange (NSE) since November 1994, first
deposit
based member of BSE.
Depository Participant with
- National Securities Depository Limited (NSDL) since July 2000
- Central Depository Services (India) Limited (CDSL) since Feb 2003.
- SEBI Approved Portfolio Manager.
Working on the Philosophy of being “Financial Care Partner” Among the
leading service provider in Capital Market In a span of less than five years of
its retail operations, RSL recorded a healthy growth rate both in business
volumes and profitability.

Religare is among the very few stock market intermediaries to having very
sound based capital and healthy net worth.

Religare aims to have its footprint all across the country by the end of year
so that it may add value to the investing community in the country.

Individual Client:

Demat A/c opening charges:

Two schemes are there:

Classic Plan:

1) R-ACE Basic
• Account activation charges Rs.299
• Minimum margin of Rs.5000 required.
• Earn interest on cash margin( upto 3%)
• Trading A/c free for life time.
• Lifetime free Dp account(No Annual Maintenance charge).

2) R-ACE Life(Advanced)
• Account activation charges Rs.499
• Minimum margin of Rs.5000 required.
• Earn interest on cash margin (upto 3%)
• Trading A/c free for life time.
• Lifetime free Dp account(No Annual Maintenance charge)
• Trading through offline or website. (www.religare.in)
• NSE & BSE both are online
• Live applet for watching prices & trading purposes.

4) R-ACE PRO(Professional)
• Account activation charges Rs.999
• Minimum margin of Rs.10, 000 required.

• Earn interest on cash margin (upto 3%)

• Trading A/c free for life time.
• Traders terminal on your desktop(customization)
• Lifetime free Dp account(No Annual Maintenance charge)
• Trading through offline or website. (www.religare.in)
• NSE & BSE both are online
• Live applet for watching prices & trading purposes.

Brokerage:-

Cash brokerage: - Delivery: 0.50%, Intraday: 0.05% (Negotiable)

Exposure: - 5times (upto 1 lacs, for Intraday)
20 times (from 1 lacs onwards, for Intraday)
2 times (For Delivery)
F&O Brokerage: - Buy & Sell 0.05% (Negotiable).

Freedom Plan:

It is a plan for those investors who want to pay FEE-Base Broking (Prepaid
Brokerage).It involves four plan:
1) 500 ( Monthly)
2) 1400 ( Quarterly)
3) 2500 ( Half Yearly)
4) 4000 ( Yearly)

Margin:-

Intraday- upto 3 Lacs (per Day)

Delivery- upto 40,000 (per Day)

Other features-

1. For the fund transfer and withdraw, we have tie up with two banks
ICICI Bank and HDFC Bank.

2. If you are having bank account in one of them, you can transfer the funds
and withdraw the funds online same day.
3. Settlement of trades follows T+2 transaction cycle.

4. Freedom from paperwork, trading facilities is completely online.

5. SMS alerts on your mobile phones.

6. Apart of that we have our dedicated team to look after your Portfolio,
Mutual Funds, and Commodities.

7. Religare had a contact with 180 companies and anyone who is

engaged in that company, is entitled to have free account opening.
SWOT ANALYSIS

Weakness Strength
• Co-operative and
• Inexperienced Staff
Experienced Branch
• Low awareness due to lack Managers
of advertisement.
• Good Database
• Lack of loyal clientage
• Reliance Brand
• Developing product.
• Low pricing
Opportunity Threat
• Untapped Market • Reach
• Increased spending power • Stiff competition from
• Changing Mindset of existing players in the
Customers market
• Unpredictable Sensex • Better products

TRADING PORTAL
Online trading refers to buying and selling of the
shares/stocks/contracts/bonds with the use of internet. In this shares are not
issued in physical form rather they are transferred in the dematerialized form in
the Demat account directly.

DEMAT ACCOUNT

In India, a Demat account, the abbreviation for dematerialized account,

is a type of banking account which dematerializes paper-based physical stock
shares. The dematerialized account is used to avoid holding physical shares: the
shares are bought and sold through a broker. This account is popular in India.
The Securities and Exchange Board of India (SEBI) mandates a Demat
account for share trading above 500 shares. As of April 2006, it became
mandatory that any person holding a Demat account should posses a Permanent
Account Number (PAN), and the deadline for submission of PAN details to the
depository lapsed on January 2007.
What are the benefits of opening a Demat account?

Demat account has become a necessity for all categories of investors for the
following reasons/ benefits:

• SEBI has made it compulsory for trades in almost all scrip’s to be

settled in Demat mode. Although, trades up to 500 shares can be
settled in physical form, physical settlement is virtually not taking
place for the apprehension of bad delivery on account of mismatch of
signatures, forgery of signatures, fake certificates, etc.

• It is a safe and convenient way to hold securities compared to holding

securities in physical form..

• No stamp duty is levied on transfer of securities held in Demat form.

• Instantaneous transfer of securities enhances liquidity.

• It eliminates delays, thefts, interceptions and subsequent misuse of

certificates.

• Change of name, address, registration of power of attorney, deletion of

deceased's name, etc. - can be effected across companies by one single
instruction to the DP.

• Each share is a market lot for the purpose of transactions - so no odd

lot problem.

Any number of securities can be transferred/delivered with one delivery

order. Therefore, paperwork and signing of multiple transfer forms is done away
with. It facilitates taking advances against securities on low margin/low
interest.

DEMAT ACCOUNT
There are many broking houses doing business in India and
they charge a brokerage on every transaction made online or
offline. (Buying and Selling are treated as separate transaction).
 Reliance Money’s advantage over others is that it’s charging
the lowest brokerage in the market which is just 1 paisa on every
executive trade irrespective of the volume traded. Reliance
Money, the brokerage and distribution arm of Reliance ADA Group,
aims to tap investors in the smaller towns and cities through a
flat fee structure.

The current leaders in the retail broking segment like ICICI

Direct, India Infoline and Indiabulls offer a ‘pay per use’ model
where the customer pays a percentage of the amount transacted
by him. Reliance Money’s brokerage rates are quite competitive.

The new wonder is Reliance Money's pre-paid card for stock market
brokerage. Reliance Money, the financial services division of Anil Dhirubhai
Ambani Group-promoted Reliance Capital, is bringing to the market pre-paid
cards in denominations of Rs500, Rs1,350 and Rs2,500 with validity period of
two months, six months and twelve months respectively.

These cards would offer brokerage at one-third of the rate being charged
by institutional and individual brokerage houses. Sample this. For a pre-paid
card worth Rs500, an investor can trade up to Rs90 lakh in futures and option
segment or can undertake intra-day trade of similar amount. Besides, an investor
can undertake a delivery-based activity of Rs10 lakh.

The Rs1350 worth pre-paid card, total trading limit would reach Rs 3
crore, of which Rs 2.70 crore is for the F&O segment and balance Rs30 lakh for
delivery-based activities.

For Rs2500 pre-paid card, total trading limit is fixed at Rs16 crore, that
include F&O limit of Rs15.40 crore and balance Rs 60 lakh for delivery-based
broking.
(Source Web)
 Fig.4.1 Fee Structure

Converted to percentage terms - Reliance Money offers most competitive

brokerage rates - 0.05% for delivery trades and 0.005% for non-delivery trades
(fixed fee of Rs500/- for delivery trades up to Rs10 lacs and/or non-delivery
trades up to Rs1 crore). Industry rates vary between 0.4% to 0.85% for delivery
trades and between 0.05% and 0.10% for non delivery trades.

Target low level of retail penetration in India - less than 3 per cent of
household financing savings makes it into equity markets

Reliance Money consumers can trade in equities, commodities and

offshore Investments , IPO’s, Mutual Funds, Insurance, Money transfer and
Money Changing - all through single window, both off-line and online.

Reliance Money has already tied-up with CMC Capital Plc UK to offer
offshore Investment products to Indian consumers as per guidelines.
How reliance money scored over others?
1. Two way authentication: Reliance offers its
customers with a token (an electronic gadget) that generates a password,
which are a third level of security in addition to the customer log in and a
password provided. The password generated by the token is valid only for
a period of 20 seconds. If the web page expires, for the fresh login, a new
password generated by the token has to be keyed in by the customer.

2. Lowest brokerage: Reliance offers the lowest

brokerage of 1 paisa which is very less with respect to the other DPs in the
market.

3. User friendly software: The portal offered is very

easy to understand and use.

4. Forex and offshore investment: Reliance provides

the offshore facility which no other AMC is providing in the market.

5. Better research and news: Reliance offers news

from the DOW JONES and REUTERS.

Seeking to bring share trading closer to consumers just like ATMs,

Reliance Capital's stock brokerage arm Reliance Money launched Internet
trading services through web-enabled retail kiosks.
 Corporate Social Responsibilities

Organizations, like individuals, depend for their survival, sustenance and growth on the support
and goodwill of the communities of which they are an integral part, and must pay back this
generosity in every way they can...

This ethical standpoint, derived from the vision of our founder, lies at the heart of the CSR
philosophy of the Reliance - ADA Group.

While we strongly believe that our primary obligation or duty as corporate entities is to our
shareholders - we are just as mindful of the fact that this imperative does not exist in isolation; it
is part of a much larger compact which we have with our entire body of stakeholders: From
employees, customers and vendors to business partners, eco-system, local communities, and
society at large.

We evaluate and assess each critical business decision or choice from the point of view of
diverse stakeholder interest, driven by the need to minimize risk and to pro-actively address
long-term social, economic and environmental costs and concerns. For us, being socially
responsible is not an occasional act of charity or that one-time token financial contribution to the
local school, hospital or environmental NGO. It is an ongoing year-round commitment, which is
integrated into the very core of our business objectives and strategy.

Because we believe that there is no contradiction between doing well and doing right. Indeed,
doing right is a necessary condition for doing well.

Financial Literacy
The Piggy Bank series that Reliance Life Insurance launched last year has been rolled out across all
1,146 branches of the company. As its President, Mr. Malay Ghosh put it: “He further added, "We
firmly believe that it is crucial to include education about financial discipline and planning as a part of
our education system and this is not possible without the support of corporate India."

Representatives from each Reliance Life branch visited their local schools and explained the basics of
savings and financial planning through this “Piggy Bank Series”. Characters and examples that will
entice and interest students were used for the same.

Students were also left with a small pocket diary, in which they were asked to note down their income
(pocket money, gifts, awards won etc) and expenses (chocolates, ice creams etc) as demonstrated during
the program. They were encouraged to use this diary as a means of calculating the amount they require
to save to buy their 'Dream Gift' with their own money, at the end of the period set by them.

“Reliance Kargil Scholarship Scheme” The Scheme to support educational needs of the
children of defence personnel who sacrificed their lives or were disabled during Kargil war,
instituted with the generous contribution from Reliance employees. During the year 87 children
received financial support for their education from standard IV to XII under the scheme.

“Dhirubhai Ambani Scholars Scheme" for meritorious children of Reliance share holders. The
Scheme was announced in 2003 as a one time measure to commemorate the silver jubilee of the
company's listing on the Bombay Stock Exchange. In the first year 900 meritorious children of
the shareholders received the Scholarships. These Scholars are eligible to get the scholarships
annually till they complete their undergraduate studies, provided they secure minimum of 60 per
cent marks in each of their annual University Examination. A total of 772 scholars, having
secured the stipulated marks/ grade at the first year university examination continued to receive
the Scholarship for the second year for their education leading to Degree / Diploma course. Of
these 540 scholars who are pursuing degree courses in Engineering, Medicine and allied subjects
while the rest 232 have chosen courses in commerce, arts and law faculties.

“Healthcare Initiative”Sir Hurkisondas Nurrotumdas Hospital and Research Centre

RIL extends extensive financial support and professional expertise to Sir Hurkisondas
Nurrotumdas Hospital and Research Centre (HNHRC), a charitable hospital offering free and
subsidized services to a good proportion of the patients availing of its various diagnostic and
treatment facilities. During the year 9,966 patients received treatment as indoor patients. At the
Outdoors, 38,454 patients availed of the services at P.T. Clinic, the popular Diagnostic Centre of
the Hospital, where registration is entirely free to all.
The Hospital continues its age old tradition of rendering every service in the Casualty free. An
average annual growth rate of around 10 per cent is witnessed in the outdoor patient population
during the past few years. The Hospital is equipped with state-of-the-art operation theatres
optimally used for specialized surgeries.

“Free Health Screening Camps” continue to be organized. Among the important events during
the year were a check-up scheme at concessional rate offered at the Hospital throughout the
monsoon season, a health screening programme conducted during August-September 2005, and
a diabetic foot camp conducted in December 2005.

“Dhirubhai Ambani Hospital, Lodhivali, Dist. Ragiad” Dhirubhai Ambani Hospital attaches
a very high importance to improve the quality of life in surrounding communities. It extends
prompt and specialized services to the Mumbai-Pune highway accident victims. Trauma patients
are provided free life saving treatment. Besides taking care of hospitalization requirements, the
hospital provides poor patients and senior citizens subsidized treatment - both in the outpatient
and in-patient departments.
The hospital provided timely support to neighboring community during the recent floods in
Maharashtra. The flood relief work was carried out through Red Cross society. Two medical
centers - Dhirubhai Ambani Hospital, Lodhivali and IPCL, Nagothane were working for the
flood affected people in Raigad district. The other flood affected districts were also covered for
supply of flood relief kits.

Drishti

Project Drishti, a nation-wide corneal grafting drive to bring light into the lives of visually
challenged from the underprivileged segment of society, has restored the gift of sight to over
5,500 Indians. A unique joint initiative of Reliance Industries Limited and National Association
of Blind (NAB), Project Drishti has undertaken over 5,500 keroptoplasty surgeries in less than 4
years since it was started - all free of cost. It is now the largest corneal grafting surgery project
enabled by a single corporate entity in India.

Drishti Painting Competition

As a part of corporate initiative to propagate awareness of Project Drishti, Drishti painting

competition is organized for school children at several manufacturing divisions and offices of
the Company.

Eco-friendly Initiatives

In addition to the above initiatives, the Company also focusses on the development of the eco-
system and improvement of the green belt across its manufacturing and E&P sites.

Project “Cancer-Aid” for Cancer patients

In partnership with the Lions Cancer Detection centre, the Company provides monetary
assistance for purchase of medicines to cancer patients.

Mobile Dispensaries

Reliance also operates free medical diagnostic and therapeutic services at neighbouring villages
of several of its manufacturing locations.

Blood Donation Drives

The Company’s employees organize and participate in blood donation campaigns every year
across its manufacturing divisions and offices.

Initiatives to Combat HIV / AIDS and TB

The Company provides Community Medical Centres near most of its manufacturing divisions.
These centres cater to the Governmental health care programmes like maternal and child health,
TB, malaria, HIV / AIDS etc., besides providing curative treatment. These Centres have been
well received and go a long way in providing the medical relief for the community. The
Company has implemented HIV / AIDS and DOTS programme at Hazira and Jamnagar, and is
in the process of replicating the same at the other manufacturing divisions. This initiative is a
publicprivate partnership between the Government, NGOs and Reliance. This comprehensive
project extends from creating awareness to providing treatment, care and support. Reliance’s
initiative to combat HIV / AIDS has been recognized by UNAID, World Bank and other
national and international institutions.

Adoption of Public Health Centre (PHC)

Reliance has adopted a Primary Health Centre (PHC) from the State Government of Gujarat and
converted it into a model primary health centre. The PHC located at Dahej in Bharuch District,
Gujarat, has attained the status of the best PHC in the District in a short-span of 6 months and
has established itself as a centre of excellence.

Highway Rescue Intervention

To provide emergency and trauma care to victims of highway accidents, Hazira has tied-up with
an NGO to run the project on the State Highway in Gujarat starting from Sachin to Bharuch,
and the State Highway via Hazira - Olpad - Hansot - Ankleshwar. The project will benefit
thousands of commuters who use this highway on a daily basis.

Traffic Police personnel are the first government agency to respond to an emergency involving a
chemical tanker or a truck. With the increase in the number of accidents on roads and the
unending addition of new chemicals, it is important that these personnel understand the hazards
and the basic steps to be taken to safeguard themselves and the general public from the hazards
of chemicals. The Company’s initiative of training traffic police personnel by its Kurkumbh
Manufacturing Division in handling road transport emergencies involving chemicals will go a
long way in serving the objective of community well-being.

Dhirubhai Ambani Hospital, Lodhivali

Reliance also operates the Dhirubhai Ambani Hospital, Lodhivali and renders quality medical
services to the rural population and highway accident victims.
Moti Khavdi Medical Centre

As part of corporate social responsibility services, a community medical centre was established
in Moti Khavdi, a village near Jamnagar Manufacturing Division, during the pre-commissioning
stage of the refinery in November 1995. This Community Medical Centre provides
comprehensive medical services free of cost and round the clock. About 1.2 lakh villagers of
nearby areas like Moti Khavdi, Nani Khavdi, Padana, Meghpar, Gagva, Jogvad, Baid, Kanalus,
Sikka, Sarmat, Navaniya, Mungani, Jakhar, Bara, Vasai and Amra benefit from the same.

Community Medical Services at SEZ, Jamnagar

A massive workforce from all parts of India are working at the mega construction activities in
the SEZ at Jamnagar. The Company has given shelter in several colonies. Each labour colony
has a separate medical centre. Each medical centre is manned round the clock by doctors,
nurses and ambulances.

Reliance Rural Development Trust (RRDT)

The work to improve the rural infrastructure under the Government of Gujarat’s rural
development plans was continued with full energy by RRDT. During the year under report, the
RRDT created 760 facilities in the rural areas at a cost of Rs. 24.07 crore. The facilities included
247 concrete roads, 465 anganwadis, 38 drinking water facilities, 1 panchayat office, 2
community halls, 5 check-dams and 2 other amenities in the rural areas of the State of Gujarat.
RRDT has turned out to be an exemplary corporate NGO steadily and silently implementing
government’s developmental plans for rural areas of Gujarat. It is a unique synergy between a
corporate giant like Reliance Industries Limited and the Government of Gujarat, formed to carry
out rural development projects in private public partnership.
Chapter 2
 Objectives &
Research
Methodologies

OBJECTIVE

• To find the market potential and market penetration of Reliance

Money product offerings across the country.
• To collect the real time information about preference level of customers
using Demat account and their inclination towards various other
brokerage firms e.g. Indiabulls, Sharekhan, Indiainfoline, Religare, etc.
• To expand the market penetration of Reliance money.
• To provide pricing strategy of competitors to fight cut throat competition.
• To increase the product awareness of Reliance money as single window
shop for investment solutions.

• To compare the services of Reliance Money with its

competitors.
 The Broad objective of the project is to make clients and let them know
about the different services offered by the Reliance Money . Also to
convince
them about how Reliance Money services out score there rivals. And how
in
future they will be benefited from the services offered by Reliance
Money.This project will accomplish to understand the problem faced by the
existing client and find ways to solve there queries at your level otherwise
let the above level know about there problem.

We have to be in regular contacts with our clients so that we come to

know about the problem they are facing. This also helps us to multiply our
clients by getting the further references. By this we are able to make a chain
of the customers, which expands as we satisfy there needs.

METHODOLOGY

We were supposed to operate from reliance money Bhagalpur branch. We

were made aware about all the products Reliance Money was providing with a
more stress on their core product i.e. Demat account.

Methodology –(OTJ-On the job)

Methodology of the project starts with –

· In the first phase we are trained and they teach us different things
about market.

· After that they conduct a mock viva, in this they ask about the real life
problem faced by the customers.

· They provide leads and after that we make calls.

· Then after that we have to provide details of product and convince

Them.

· Then we have to visit them and get the formed filled from them.

· Maintaining dairy of clients and contacting them at regular basis.

Methodology –(OFTJ-Off the job)

Exploratory research is a type of research conducted because a problem

has not been clearly defined. Exploratory research helps determine the best
research design, data collection method and selection of subjects. Given its
fundamental nature, exploratory research often concludes that a perceived
problem does not actually exist.
Exploratory research often relies on secondary research such as reviewing
available literature and/or data, or qualitative approaches such as informal
discussions with consumers, employees, management or competitors, and
more formal approaches through in-depth interviews, focus groups,
projective methods, case studies or pilot studies.
The results of exploratory research are not usually useful for decisionmaking
by themselves, but they can provide significant insight into a given
situation. Although the results of qualitative research can give some
indication as to the "why", "how" and "when" something occurs, it cannot
tell us "how often" or "how many."

Exploratory research is not typically generalizable to the

population at large.

Exploratory Research

Research is exploratory when you use no earlier model as a basis

of your
study. The most usual reason for using this approach is that you
have no other choice. Normally you would like to take an earlier
theory as a support, but there perhaps is none, or all available
models come from wrong contexts. Exploratory research means
that hardly anything is known about the matter at the outset of
the project. You then have to begin with a rather vague
impression of what you should study, and it is also impossible to
make a detailed work plan in advance. Analysis in exploratory
research is essentially abstraction and generalization. Abstraction
means that you translate the empirical observations,
measurements etc. into concepts; generalization means
arranging the material so that it disengages from single persons,
occurrences etc. and focuses on those structures (invariances)
that are common to all or most of the cases.

It will seldom be possible to divide exploratory study into such

clear phases
as is common in the case that the object has been studied earlier.
According
to Alasuutari (1993 p.22), in qualitative analysis of empirical
findings, you
can distinguish two phases but these two overlap:
• simplification of observations
• interpretation of results (or "solving the enigma")
In the simplification phase, the material is inspected from the
theoretical
point of view of the study project, and only the points relevant
from this
angle are noted. Details differing from one individual to another
at random
are omitted or pushed aside so that the general lines of the data
can be
discerned more easily. Simplification continues by finding the
relationships between separate observations or cases. Some tools
for this work are comparison and
classification. The goal is to find the general rule or model that is
valid in all
or most of the observations. This model can be, for example,
development or
evolution, causality, or a conscious action to attain an outcome
which is
typical in normative research. -- In any case the analysis starts
from separate
cases and aspires to create one or a few general models."Solving
the enigma" does not always mean answering exactly those
questions that were asked at the outset of the project.
Sometimes the most interesting questions are found at the end
of the research, when the researcher has become an expert on
the subject. It is often said that "data teach the researcher".
The purpose of descriptive exploratory research is to extract a
structure
from the source material which in the best case can be formed as
a rule that
governs all the observations and is not known earlier (per the
definition of
exploratory study). Finding the unknown structure may need
some creative
innovation, because even the most sophisticated computerized
analysis
methods cannot automatically uncover which type of structure is
concealed
in data. Usually you first have to formulate a tentative pattern for
the
assumed structure in the observations and then you can ask the
computer to
estimate how well the data corresponds to the model, cf. Tools for
Analysis.

Secondary Data

In research, secondary data is data collected and possibly

processed by
people other than the researcher in question. Common sources
of secondary
data for social science include censuses, large surveys, and
organizational
records. In sociology primary data is data you have collected
yourself and
secondary data is data you have gathered from primary sources
to create new
research. In terms of historical research, these two terms have
different
meanings. A primary source is a book or set of archival records.
A
secondary source is a summary of a book or set of records.

Secondary data analysis

There are two different types of sources that need to be

established in order
to conduct a good analysis. The first type is a primary source
which is the
initial material that is collected during the research process.
Primary data is
the data that the researcher is collecting themselves using
methods such as
surveys,direct observations, interviews, as well as logs(objective
data
sources). Primary data is a reliable way to collect data because
the researcher
will know where it came from and how it was collected and
analyzed since
they did it themselves. Secondary sources on the other hand are
sources that
are based upon the data that was collected from the primary
source.
Secondary sources take the role of analyzing, explaining, and
combining the
information from the primary source with additional information.
Secondary data analysis is commonly known as second-hand
analysis. It is
simply the analysis of pre-existing data in a different way or to
answer a
different question than originally intended. Secondary data
analysis utilizes
the data that was collected by someone else in order to further a
study that
you are interested in completing. Common sources of secondary
data are social science surveys and data from government
agencies, including the Bureau of the Census, the Bureau of
Labour Statistics and various other agencies. The data collected
is most often collected via survey research methods. Data from
experimental studies may also be used.

TARGETS
The time duration of the project is 2 months starting from 1 s t July and ending
on 30 t h August. We were given targets to be achieved during training months.
The targets of each month were:
• 15 Demat Accounts
• 1SIP or Mutual Fund worth Rs10,000
 I was supposed to use the database provided by the company to make cold
calls or by directly meeting people to get new leads

The questionnaire used is attached.

While making cold calls, we need to have:

• Good Communication Skills (Voice quality is clear and articulate)

• Persistent and able to bounce back from rejection
• Good organizational skills.
• Ability to project a telephone personality (Enthusiasm, friendliness)
• Flexibility: can adapt to different types of clients and new situations.

Fig6.1 The Constructive Factors of Tele calling

Using a good database is very essential.

“Eighty percent of our business comes from 20 percent of our customers" is a

frequent statement at any sales convention. There's hardly a sales executive who
is not aware of the 80/20 rule”.

While talking to customers, I analyze their needs. Whether they want to go for
investment purpose or insurance or both. Suggest them the plan that best suits
them. If they agree to it then either we send across the agents to close the deal
or close it themselves.
 Fig6.2 The Customers Sales Cycle

Problems faced while selling products:

• Customer dissatisfied with the services.
• People fear that Reliance Money Being a Private company and a new
entrant may be able to sustain or not.
• Insurance means LIC for people.
• Past experience, word of mouth.
• Misguidance by agents.
• People do not want insurance products.
• Lack of knowledge and awareness about general and life insurance.
• People risk appetite is very low, so they are afraid of mutual fund as well.
• People relate the problems of mobile phones of Reliance Communication
with Reliance Money.

Customer Acquisition Process

• Educate the prospects on the products and services.
• Customize the approach to each of the different customers involved in the
sales process.
• Establish a knowledge base for sales people, resellers and partners.
• Ramp up the new salespeople more quickly and keep them on road.
• Track the prospects as they move through the sales process.
• Harvest other types of information from your market to help the company
close business more quickly. The data of the prospects can be used for
research and development purpose.
• Enabling the consistent flow of information to the customer and
encouraging feedback from them.
 • Helping the customers do the Financial Planning for future.

MY RESPONSIBILITY ORGANISATION:
I worked with Reliance money with a profile of financial advisor. This
profile offers me to understand the need of the customer and provide them the
best deal possible with maximization of the profit, both for the company as well
as for the customer.

The most important aspect for the role of financial advisor is trust. So for
fulfillment of the targets one needs to:
• Capitalize on old and loyal clientage which can be building slowly by
advising people in the best possible way.
• Generating new leads through various activities.

Generation of leads:

Since I was new in this field so I had to start from the scratch and
generate new leads to sustain in the market.

Cold calling is one of the trusted ways of getting to the customers without
meeting them. Although the rate of conversion remained very less. For cold
calling the quality and accent remains a very important criterion. This activity
gave me mixed results. I often got success and generated many leads through it
but it also landed me in awkward position where the customer were in different
mood and made us hear words for which a marketer should be always prepared
to hear. Corporate calls always remained more difficult to crack with respect to
retail sector.

The corporate were the most difficult and most tempting to get the business
from. It took me one day to crack Hi-tech Gears.

At Reliance money after getting the product knowledge in the first week at
the branch I was also allotted distributor to work with. In the initial phase I was
accompanied by more experienced staff. After I became known to the market
and procedure I started attending calls alone only.

After the third week my performance also improved and I was able to get
close to the targets, though it looked difficult to achieve in the beginning. To
get awareness of the every product I attended diversified calls. This helped me
to implement cross selling to get better results.

Since the reliance money core product is Demat account more stress was
given over this. Demat account was also the most tempting of all the products as
it was difficult to convince the customer for the reliance Demat as it was new
and with many limitations. It was always difficult to convince on 1 paisa, as it
wasn’t mentioned anywhere in ink.
 Chapter 3
Limitations &
Findings

LIMITATIONS:

1. Cold Calling
• Voice and accent plays a major role.
• The right time to call a customer cannot be decided, as the customer may
in a different mood at the time of calling.
• Time consuming
 • Less success rate

2. Corporate
• Time consuming
• Contacts with higher authorities play a major role.

LEARNINGS
• To get initial success in this field is very difficult. Although the business
generation becomes easier with time as we serve more people who then
get added up in the loyal clientage. Thus time and service are two most
factors to get in this field.
• Also the corporate remains a very important segment which gets business
in bulk but retail cannot be ignored which makes your business ticking.
• Customer remains in the pivotal position.

Findings
1. Preference of Investment

Fig7.1 Result of Preference of Investment

Interpretation: This shows that although the mutual funds market is on the rise yet, the
most favored investment continues to be in the Share Market. So, with a more transparent
system, investment in the Stock Market can definitely be increased.

2. Awareness on Online Share Trading

 Fig7.2 Result of Awareness of Online Share Trading

Interpretation: With the increase in cyber education, the awareness towards online
share trading has increased by leaps and bounds. This awareness is expected to increase further
with the increase in Internet education.

3. Awareness of Reliance Money as a Brand

Fig7.3 Result of Awareness of Reliance money as a Brand

Interpretation:
This pie-chart shows that reliance money has a reasonable amount of Brand awareness in terms
of a premier Retail stock broking company. This brand image should be further leveraged by the
company to increase its market share over its competitors.

4. Awareness of
Reliance
Money
Facilities
 Fig7.4 Result of Awareness of Reliance money Facilities
Interpretation: Although there is sufficiently high brand equity among the target
audience yet, it is to be noted that the customers are not aware of the facilities provided by the
company meaning thereby, that, the company should concentrate more towards promotional
tools and increase its focus on product awareness rather than brand awareness.

5. Satisfaction Level among Customers with current broker

Fig7.5 Result of satisfaction level among customers with current broker

Interpretation: This pie-chart corroborate the fact that Strategic marketing, today, has
gone beyond only meeting Sales targets and generating profit volumes. It shows that all the
competitors are striving hard not only to woo the customers but also to make them Brand loyal
by generating customer satisfaction.
 6. Frequency of Trading

Fig7.6 Result of Frequency of Trading

Interpretation: Inspite of the huge returns that the share market promises, we see that
there is still a dearth of active traders and investors. This is because of the non – transparent
structure of the Indian share market and the skepticism of the target audience that is generated
by the volatility of the stock market. It requires efficient bureaucratic intervention on the part of
the Government.

7. Percentage of earnings invested in Share Trading

Fig7.7 Result of percentage of earning invested in share trading

Interpretation: This shows that people invest only upto 10% of their earnings in the
stock market, again reiterating the volatile and non-transparent structure of the Indian stock
market. Hence, effective and efficient steps should be undertaken to woo the customers to invest
more in the lucrative stock market.
 Chapter 4
Recommendations &
Conclusion

RECOMMENDATIONS
Based on the findings of our project we would like to suggest the following:-
 • After sales services and follow up calls are important for getting new references so
trained telesales should be appointed for this purpose whose sole work should be to make
feedback calls.

• Reliance is having too many financial products right from Demat account to General
Insurance and not all the salespeople are familiar with each and every product so the
work force should be segregated each group dealing in a specific product and the sales
target should be given likewise.

• While interacting with the investors I found that most of the customers are unaware
about the Mutual fund. Some of the people look upon mutual funds and equity trading as
gambling. Thus a mutual fund awareness program can help to increase the penetration of
mutual funds in the market.

• Reliance should declare in black ink that they will charge just 1 paisa per transaction.
People tend to think that there must be some hidden charges.

• Rs750 account opening charges are too high when targeting a corporate so the company
should be flexible on this amount.

• Reliance should provide periodic training for updating the product knowledge of various
financial advisors.

• Company should have a scheme of rewards and recognition to employees and the field
persons to boost their motivation.

CONCLUSIONS
Based on the above SWOT analysis and study of the available data I have come to the
following conclusions:
HUGE POTENTIAL:
• All though relatively new entrants in the market, Reliance is slowly but surely gaining a
strong hold because it is finally able to grasp the investment climate in Delhi. Secondly
the branch managers at all the branches are very knowledgeable with a lot of experience
in the financial markets so under their leadership can definitely expand its base

• The entire workforce consists of mostly youngsters, which means they can be
encouraged and motivated to do good work because they have a long way to go and most
of them are eager to climb the ladder.

• Right now Reliance is at its nascent stage and will surely grab the major market under its
belt very soon like in other fields.

Huge investments taking place:

• The Stock Market has been very buoyant until now especially in the past 3 years. This
particular trend is very favorable because a soaring SENSEX means higher returns,
which encourages the investors to invest their money in the market. Although in the past
3 months the market has shown very unpredictable trend and has already lost over 1000
points.

• So in order to make the best the only thing required is to recruit more field staff who
should be trained in a proper way to get better results.

• In case of insurance, it requires push selling because people always associate it with
emergencies and unpleasant situations like death and they don’t want to think about such
situation let alone prepare for them, which means it requires a lot of conviction on part of
the executives.

Large untapped market:

• People have just opened up to the idea of ULIPs because till now they knew only two
kinds of insurance plans, endowment and term plans so the concept of high returns with
protection is very new to them and slowly and slowly these are becoming popular so
there is a huge market waiting to be tapped.

• In the past few years there has been a tremendous inflow of funds in the Indian market
which has lead to the sky rocketing SENSEX. In fact there has been a tremendous
response from the investors not only in shares but mutual funds as well. The Rs5700Cr
infused in the market through the Reliance Equity mutual Funds is an example of the
growing trust of investors who earlier shied from such investments due to stock market
fiascos like the Harshad Mehta scam or the US64 disaster in which investors lost huge
amounts of money as well as their trust in financial instruments.
• With the FDI limits being relaxed, a lot of avenues will open up in the insurance sector
and insurance companies are expected to come up with new plans with a great deal of
customization and flexibility.
 Chapter 5
Questionnaire &
Bibliography
 QUESTIONNAIRE

Q1. In which of these Financial Instruments do you invest into?

Shares Mutual Funds Bonds Derivatives

Q2. Are you aware of online Share trading?

Yes No

Q3. Heard about Reliance money?

Yes No

Q4. Do you know about the facilities provided by Reliance money?

Yes No

Q5. With which company do you have your DEMAT account?

Reliance money ICICI Direct Kotak Mahindra India Bulls

Others (please specify)

Q6. What differentiates your Share trading company from others? (in regards of
brokerage, satisfaction, services, products )

Q7. Are you currently satisfied with your Share trading company?

Yes No

Q8. How often do you trade?

Daily Weekly Monthly Yearly

Q9. What percentage of your earnings do you invest in share trading?

Up to 10% Up to 25% Up to 50% Above 50%

Q13. How do you rate these share trading companies? a. Reliance money
b. ICICI Direct
1. 2. 3. c. India Bulls
d. Kotak Mahindra
4. 5. e. Others (Please
specify)
Q14. What more facilities do you think you require with your DEMAT account?

Personal Information

Name:

Age:

Sex: Male Female

Phone No:

Occupation:
 BIBLOGRAPHY
• Agarwal, J.D. "Security Analysis & Portfolio Management: A Review,
Finance India, Vol. II No. 1, March 1989.
• Bhatt, V. V. "An Appraisal Of Some Recent Estimates Of Savings and
Investments", ICRNI, Vol. 5, 1963.
• Douglas A. Hayes and W. Scott Bauman "Investments: Analysis and
Management" III Ed., 1976, MacMillan
• Malhotra, Naresh "Marketing Research and Applied Orientation" IV Ed.,
2005, Pearson

REFERENCES
• www.mutualfundsindia.com
• www.easymf.com
• www.amfiindia.com
• www.google.com
• www.moneycontrol.com
• www.valueresearchonline.com
• www.bseindia.com
• www.reliancemoney.com
• www.relianceadagroup.com
• www.reliancecapital.co.in
• www.karmyoga.org