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HDFC Life Ltd.

In partial fulfillment of the requirement for the degree of MASTER OF BUSINESS ADMINISTRATION (Session 2010 2012)

Under the supervision of: Mr.Navdeep Dhman MBA 2nd Year

Submitted by: (Branch Manager)

I am highly grateful to Dr. Sourav Gupta, Principal, Geeta Institute of Management and Technology, Kurukshetra, for providing this opportunity to carry out the six/eight week practical training at HDFC LIFE LTD.

The constant guidance and encouragement received from Dr Pooja Malhotra, HOD MBA dept, GIMT, Kurukshetra has been of great help in carrying out the project work and is acknowledged with reverential thanks. I would like to express a deep sense of gratitude and thanks profusely to _MR. NAVDEEP DHAMAN (BRANCH MANAGER) AND MR. MANISH VERMA (RM) of the organisation , without their wise counsel and able guidance, it would have been impossible to complete the report in this manner. The help rendered by Mr. Rahul Singla, Head Corporate Links, GIMT Kurukshetra, for experimentation is greatly acknowledged. I also express my gratitude to other faculty members of MBA department for their intellectual support throughout the course of this work. Finally, I am indebted to all whosoever have contributed in this report work.


The microstructure of the stock market in which brokers work is highly dynamic and volatile. Many stocks are available to be bought and sold, each exhibiting its own patterns and characteristics that are highly unpredictable. With so many options and considerations that need to be taken into account, it is an extremely arduous task for a broker to investigate aspects of the stock market and consistently provide effective advice to their clients. Thus, brokers perform their day-to-day tasks with the aid of a broker system. Such a system should provide tools for interacting with exchanges and performing analysis. As a consequence, these broker systems are quite large and complicated by themselves. The summer training done in HDFC LIFE (SECURITIES) was done with the objective to study the working of the brokerage industry in India, The project reflects information about product and services offered by various brokerage houses to their customer. Brokerage houses under study are: ICICI DIRECT, SHAREKHAN,RELIGARE, KARVY AND HDFC SECURITIES. The key focus of the project is the comparative analysis of functioning of leading broking houses on the basis of product and services and activation charges.


For the study of HDFC Securities we should know about the stock market in which a customer trades with the different -2 types of securities and incestments so introduction of stock market is following as:1.1

Introduction to stock and stock market

In simple Words, a share or stock is a document issued by a company, which entitles its holder to be one of the owners of the company. A share is issued by a company or can be purchased from the stock market. A stock is a small share that represents a partial ownership of a company. Stocks are issued by companies in order to raise capitals and are bought by investors in order to acquire a portion of the company. Even a small share of the company will give the investors the right to have a say in how the company is run. Although they gain a portion of the companys profits, investors do not carry an obligation to the company in cases of defaults or lawsuits.Stocks are issued by companies to raise capital. A cash injection is needed for either property acquisition or company expansion. Every stock is limited to a particular number of shares. The growth potential and perceived health of the company influences the market adjustment of the par value of the stocks. Investors buy stocks with the belief that the company will grow continuously to raise the value of their shares. Acquiring stocks from a new company is considered to be more risky than buying shares from a well-established company but the potential gain is much greater. People who invested in Microsoft shares gained a lot of profit due to the exponential rise of the company. Only those companies which are listed on public exchanges like the New York Stock Exchange (NYSE) or the National Association of Securities Dealers Automated Quotation

System (NASDAQ) are capable of stock trading. The shares from the companies listed on public exchanges can be bought and sold on the open market. Buying a partial ownership in smaller companies that are not listed on a stock exchange is also possible but that is a very different type of investment. An individual investor hires a broker to make transactions for him. A broker takes specific orders from the investor regarding the buying or the selling of stocks. These orders may include some specific instructions to trade at a price that the market will bear or at a price that the investor will prefer. The broker then tries to execute the investors orders by searching for either a buyer or a seller. The broker receives a commission on the sale. Stocks have a lot of advantages over savings investments because they represent ownerships in a particular company. This gives the investor a certain right to participate in making decisions for the company. Some important company matters require voting and one stock is equivalent to a single vote. Partial company ownership also allows the stockholders to benefit from the companys profits which are distributed in the form of dividends. These may be issued one or twice a year at the discretion of the company directors. A prospering company causes the value of the stocks and the profits to increase while a suffering company causes the value of the stocks and the profits to decrease. Stocks, when compared with savings investments, both carry a higher risk of losing money and a higher potential of earning money. A good knowledge of the different stock markets and the various investment strategies can help investors to minimize their losses.

Stock market:A stock market or equity market is a public market(a loose network of economic transactions not a physical facility or discrete entity) for the trading of company stock and derivatives at an agreed price; these are securities listed on a stock exchange as well as those only traded privately. Participants in the stock market range from small individual stock investors to large hedge funds traders, who can be based anywhere. Their orders usually end up with a professional at a stock exchange, who executes the order.

Types of Shares: There are several types of shares, including common stock, preferred stock, treasury stock, and dual class shares. Preferred stock, sometimes called preference shares, have priority over common stock in the distribution of dividends and assets, and sometime have enhanced voting

rights such as the ability to veto mergers or acquisitions or the right of first refusal when new shares are issued (i.e. the holder of the preferred stock can buy as much as they want before the stock is offered to others). A dual class equity structure has several classes of shares (for example Class A, Class B and Class C) each with its own advantages and disadvantages. Treasury stock are shares that have been bought back from the public. Primary Market: In financial markets, an Initial Public Offering (IPO) is the first sale of a companys commonShares to public investors. The company will usually issue only primary shares, but may also sell secondary shares. Typically, a company will hire an investment banker to underwrite the offering and a corporate lawyer to assist in the drafting of the prospectus. The sale of stock is regulated by authorities of financial supervision and where relevant by a Stock exchange. It is usually a requirement that disclosure of the financial situation and Prospective investors the Federal Securities and Exchange Commission (SEC) regulates the securities markets of the United States and, by extension, the legal procedures governing IPOs. The law governing IPOs in the United States includes primarily the Securities Act of 1933, the regulations issued by the SEC, and the various state Blue Sky Laws.

Secondary Market: The secondary market (also called aftermarket) is the financial market for trading of Securities that have already been issued in its initial private or public offering. Stock Exchanges are example of secondary markets. Alternatively, secondary market can refer tothe market for any kind of used goods.

Function and purpose

The stock market is one of the most important sources for companies to raise money. This allows investors the ability to quickly and easily sell securities. This is an attractive feature of investing in stocks, compared to other less liquid investments such as real estate. History has shown that the price of shares and other assets is an imptortant part of the dynamics of economic activity, and can influence or be an indicator of social mood. An economy where the stock market is on the rise is considered to be an up-and-coming economy. In fact, the stock market is often considered the primary indicator of a country's economic strength and development. Rising share prices,

for instance, tend to be associated with increased business investment and vice versa. Share prices also affect the wealth of households and their consumption. Therefore, central banks tend to keep an eye on the control and behavior of the stock market and, in general, on the smooth operation of financial system functions.

1.2 Introduction of SEBI SEBI (Securities and Exchange Board Of India)

ESTABLISHMENT OF SEBI:From the last years (1995-2009) Indian capital market developed. Government used the policy of liberlisation. Public also showd their interest in capital market. To provide the protection to the investors right and to make their faith in the capital market an adminstrative institution was established at 12th of April,1988 which is known as SEBI. On 31 jan ,1992 a legally provision was provided to SEBI through a proposal . Parliament approved the bill of SEBI at 1st April,1992 ANd from 4th April ,1992 SEBI starts to perform its work as a seprate legal provision. After providing the rights its expands its area. In 1992 HARSHAD MEHTA SECURITY FRAUD fully destroyed the capital market so government of India establish the Securities and Exchange Board of India (SEBI) and announced it as an ACT. So it is known as Securities and Exchange Board of India Act 1992. This act is applied all over the India. The guidelines issued by this act has to follow by every stock exchange, intermadiater and every company. SEBI was established to protect the rights of that investors who invests their money in the capital markat and for the contol and development of the securities market. PREAMBLE The Preamble of the Securities and Exchange Board of India describes the basic functions of the Securities and Exchange Board of India as protect the interests of investors in securities and to promote the development of, and to regulate the securities market and for matters connected therewith or incidental thereto


STOCK EXCHANGE is a platform where buyer and sellers of securities issued by government financial institutions, corporate houses, etc. meet and where the trading of these corporate securities takes place. The securities which are trade in the stock exchange are shares, debentures of public limited companies, port trusts, utility undertakings and such other authorities. The securities contacts (regulations) act, 1956 defines stock exchange as:An association organization or body of individuals, whether incorporated or assisting, regulating and controlling business in buying, selling and dealing in securities. Stock exchange is a place where securities, debentures, mutual funds of Joint Stock Company, central and state government organization, local bodies and foreign government are bought

and sold. A Stock Exchange is a platform for the trade of already issued securities through primary markets. It is the essential pillar of the private sector and corporate economy. It exerts a powerful and significant influence as a depressant or stimulant of business activity. The trade in the market is through the authorized members who have duly registered with concerned Stock Exchange and SEBI (Securities and Exchange Board of India)


Indian Stock Markets are one of the oldest in Asia. Its history dates back to nearly 200 years ago. The earliest records of security dealings in India are meager and obscure. The East India Company was the dominant institution in those days and business in its loan securities used to be transacted towards the close of the eighteenth century. By 1830's business on corporate stocks and shares in Bank and Cotton presses took place in Bombay. Though the trading list was broader in 1839, there were only half a dozen brokers recognized by banks and merchants during 1840 and 1850. The 1850's witnessed a rapid development of commercial enterprise and brokerage business attracted many men into the field and by 1860 the number of brokers increased . In 1860-61 the American Civil War broke out and cotton supply from United States of Europe was stopped; thus, the 'Share Mania' in India begun. The number of brokers increased to about 200 to 250. However, at the end of the American Civil War, in 1865, a disastrous slump began (for example, Bank of Bombay Share which had touched Rs 2850 could only be sold at Rs. 87). In 1887, they formally established in Bombay, the "Native Share and Stock Brokers' Association" (which is alternatively known as "The Stock Exchange"). In 1895, the Stock Exchange acquired a premise in the same street and it was inaugurated in 1899. Thus, the Stock Exchange at Bombay was consolidated. Thus in the same way, gradually with the passage of time number of exchanges were increased and at currently it reached to the figure of 24 stock exchanges.

HOW STOCK EXCHANGES OPERATE:With the help of stockbrokers, the buyers and sellers participating in a stock market carry out their transactions. The brokers representing selling parties take their orders to the stock exchange floor and then find brokers representing parties willing to invest in similar stocks. If both parties agree to trade at the fixed price, the transaction takes place.


Decision to trade

Placing Order

Funds or Securities

Transaction Cycle

Trade Execution

Settlement of trades

Clearing of Trades

Fig .1.


A person holding assets (Securities/Funds), either to meet his liquidity needs or to reshuffle his holdings in response to changes in his perception about risk and return of the assets, decides to buy or sell the securities. He selects a broker and instructs him to place buy/sell order on an exchange. The order is converted to a trade as soon as it finds a matching sell/buy order. At the end of the trade cycle, the trades are netted to determine the obligations of the trading members securities/funds as per settlement cycle. Buyer/seller delivers funds/ securities and receives securities/funds and acquires ownership of the securities.


Raising capital for businesses: the stock exchange provides companies with the facility to raise capital for expansion through selling shares to the public to invest. Mobilizing savings for investment: When people draw their savings and invest in shares, it leads to a more rational allocation of resources because funds, which could

have been consumed, or kept in idle deposits with banks, are mobilized and redirected to promote business activity with benefits for several economic sectors such as agriculture, Commerce and Industry, resulting in stronger Economic Growth and higher productivity levels and firms. Facilitating companies growth: Companies view acquisitions as an opportunity to expand product lines, increase distribution channels, hedge against volatility, increase its Market Shares or acquire other necessary business assets. A takeover bid or a merger agreement through the stock market is one of the simplest and most common ways for a company to grow by acquisition. Corporate governance: By having a wide and varied scope of owners, companies generally tend to improve on their management standards and efficiency in order to satisfy the demands of these Shareholders and the more stringent rules for public corporations imposed by public stock exchanges and the government. Government capital-raising for development projects: Government sells their Securities and Bonds to raise funds to invest in developmental activities such as infrastructure, sewage, etc. These bonds can be raised through the Stock Exchange whereby members of the public buy them, thus loaning money to the government. Barometer of the economy: Share prices tend to rise or remain stable when companies and the economy in view show signs of stability and growth. Situations such as an economic recession, depression, or financial crisis could eventually lead to a fall in share prices. Therefore the Stock Market Crash movement of share prices and in general of the Stock Indexes, it can be an indicator of the general trend in the economy. After the study of functions of stock excahnge there is major stock exchange of india which are following as:-



The Stock Exchange, Mumbai, popularly known as "BSE" was established in 1875 as "The Native Share and Stock Brokers Association". It is the oldest one in Asia, even older than the Tokyo Stock Exchange, which was established in 1878. It is a voluntary non-profit making Association of Persons (AOP) and is currently engaged in the process of converting itself into dematerialization and corporate entity. It has evolved over the years into its present status as the premier Stock Exchange in the country. It is the first Stock Exchange in the Country to have obtained permanent recognition in 1956 from the Govt. of India under the Securities Contracts (Regulation) Act, 1956 The Exchange, while providing an efficient and transparent market for trading in securities, debt and derivatives upholds the interests of the investors and ensures redressal of their grievances whether against the companies or its own member-brokers. It also strives to educate and enlighten the investors by conducting investor education program and making available to them necessary informative inputs. A Governing Board having 20 directors is the apex body, which decides the policies and regulates the affairs of the Exchange. The Governing Board consists of 9 elected directors, who are from the broking community (one third of them retire ever year by rotation), three SEBI nominees, six public representatives and an Executive Director & Chief Executive Officer and a Chief Operating Officer.


NSE was incorporated in 1992 and was given recognition as a stock exchange in April 1993. It started operations in June 1994, with trading on the Wholesale Debt Market Segment. Subsequently it launched the Capital Market Segment in November 1994 as a trading platform for equities and the Futures and Options Segment in June 2000 for various derivative instruments. NSE has been able to take the stock market to the doorsteps of the investors. The technology has been harnessed to deliver the services to the investors across the country at the cheapest possible cost. It provides a nation-wide, screen-based, automated trading system, with a high degree of transparency and equal access to investors irrespective of geographical location. The high level of information dissemination through on-line system has helped in integrating retail investors on a nation-wide basis. The standards set by the exchange in terms of market practices, Products, technology and service standards have become industry benchmarks and are being replicated by other market participants. Within a very short span of time, NSE has been able to achieve all the objectives for which it was set up. It has been playing a leading role as a change agent in transforming the Indian Capital Markets to its present form. The Indian Capital Markets are a far cry from what they used to be a decade ago in terms of market practices, infrastructure, technology, risk management, clearing and settlement and investor service.

These exchange do not work of its own, rather, these are run by some persons and with the help of some persons and institution. All these are down as functionaries on stock exchange. These are 1. Stockbrokers 2. Sub-broker 3. Market makers 4. Portfolio consultants etc

A stockbroker is a regulated professional broker who buys and sells shares and other securities through market makers or Agency Only Firms on behalf of investors.Stock brokers are the members of stock exchanges. These are the persons who buy, sell or deal in securities. A certificate of registration from SEBI is mandatory to act as a broker. SEBI can impose certain conditions while granting the certificate of registrations. It is obligatory for the person to abide by the rules, regulations and the buy-law. Stock brokers are commission broker, floor broker, arbitrageur etc.

How to Become a Stock Broker? There is no educational background needed to get in this industry. The basic qualification you need is an interest in the market. But if the reason for your interest is to simply gain more money, you may end up frustrated. The stock market is a fast-paced, tedious industry, where you have to invest hours and hours to get yourself ahead and to understand the market. You must invest your time to collect a firm set of clientele. But even after having a good understanding of the market and having a set of loyal clients, there can still be curve balls you need to prepare yourself for. This preparation can only be acquired through time and experience. That is what youll have to face when you get into the industry

How much does a stock broker earn? A stockbroker can earn any amount of money that he/she wants to earn. Since it is a Commission-Only business, annual income will depend upon the following: 1. How much effort you put into your work. 2. How good you are at it. Type of stock brokers Here are broad categories of brokers to give you an idea of what is available so you can decide where you fall in the spectrum of services offered.
1. 2. 3.

Full service broker Discount brokers Money manager

1. Full Service Brokers: This broker is the most costly. They do research and give recommendations on which stocks you should invest in. A lot of times the recommendations that they give are stocks of which their own company specializes in. The company makes all this information public. In a full service firm you get a personal broker that gets a commission for selling the investment to you. They can also give you a lot of very important information that you don't have any other access to.

2. Discount brokers: Some investors, with the hopes of saving on commission fees,
hire discount brokers instead. Although these types of brokers ask for much lower commissions, they dont offer advice or analysis like full-service brokers. Discount brokers are ideal for those investors who like to make their own trading decisions. Some investors use both types of brokers for strategic purposes 3. The On line Broker: This broker, the newest type of broker, is run on line. They give you research to do, charts to look over, and news on investments to help you in completing your own research. It is not usual for this broker to recommend any stocks to research, but it happens sometimes. The on line brokers are a very cheap way to invest, but you are required to learn the basics of investments before you are able to use their services There are even some full-service and discount brokers who offer discounts for orders which are placed online.

Benefits of Stock Brokers in India

Many brokers are available to meet your needs and if you can do your research based on what we have outlined, you are sure to successful in your trading area. The following are the benefits of finding stock brokers in India: Speed to Market Because your broker has instant access to the markets and can place orders as you speak to him it becomes important to get to know your investment strategies and be able to relay them confidently to your broker. This means that you get the extra benefit of speed to market. Larger Profits When you, as a trader, might have decided to buy or sell and take your profits, a live broker will often recommend a better strategy that enhances your profit. Often buying or selling half your trade then waiting to maximize your profits on the remainder can increase your overall results. A broker may also suggest other strategies you are unaware of. Stop Losses Often a real broker can contact you when losses look like occurring and minimize these. You can leave instructions with your broker to stop losses when certain conditions are met. This can mean avoiding large overnight looses and the occurrence of being late to execute stops within the market. New Issues If your broker is aware of your interest in new stock issues or IPO's (Initial Purchase Offers), he can purchase these on your behalf and jump ahead of the crowd. This is one of the best reasons to use a real broker.

2.) SUB-BROKER A sub-broker acts as agent of stock broker. He is not a member of a stock exchange. He assists the investors in buying, selling or dealing in securities through stockbroker. The broker and sub-broker should enter into an agreement in which obligations of both should be specified.

Sub-broker must be registered SEBI for a dealing in securities. For getting registered with SEBI, he must fulfill certain rules and regulation.


Market maker is a designated specialist in the specified securities. They make both bid and offer at the same time. A market maker has to abide by bye-laws, rules regulations of the concerned stock exchange. He is exempt from the margin requirements. As per the listing requirements, a company where the paid-up capital is Rs. 3 crore but not more than Rs. 5 crore and having a commercial operation for less than 2 years should appoint a market maker at the time of issue of securities.


A combination of securities such as stocks, bonds and money market instruments is collectively called as portfolio. Whereas the portfolio consultants are the persons, firms or companies who advise, direct or undertake the management or administration of securities or funds on behalf of their clients.


Brokerage houses are basically legal and licensed companies which have the authority to sell and purchase securities and stocks. These act as intermediaries in between the sellers and the buyers. The demands of the clients with respect to the stocks and their respective investment are carried on by the brokers employed by the brokerage houses. The services of the brokers are conferred on the basis of commissions. Different brokerage firms have different commission types and amounts. The services which are offered by a particular firm are dependent on the concept of price per trade. For example, any brokerage firm which might be charging lesser fees would turn out to be slow in the execution of services when compared with any higher charging firm. In actuality the brokerage industry continues to develop rapidly. Many of the traditional restrictions against banking activities within the brokerage industry are being eliminated and the barriers are disappearing. Due to this, some commercial banks have as subsidiaries, brokerage houses that offer discounts and some of them have available accounts that offer all of the services that are offered by a checking account. Traditionally these firms have offered the investigation of the quality and the possibilities of investing in a variety of investment products. It is still accustomed for brokerage firms to offer information about possible investments free of charge. This activity of bringing free of charge stock investment reports is one of the main tools that are utilized by brokerage houses to compete against other firms and to investors it continues to be an important service. Despite the previously, not all investors consider that investment reports is an important service. Some investors prefer other types of services since many investors dont believe that these investment reports are useful. In order to capture this vast diverse clientele, the brokerage industry has segmented itself.


HDFC Life Ltd (life insurance):-

HDFC life ltd is one of the leading private life insurance companies in India incorporated in August,2000. HDFC Life is a joint venture between HDFC- Indias housing finance company and Standard plc United Kingdoms savings and investment Company. HDFC Ltd. holds 72.43% and Standard Life (Mauritius Holding) Ltd. holds 26% of equity in the joint venture while the rest is owned by others. HDFC Life has the most comprehensive list of products for progressive e m p l o ye r s w h o w i s h t o p r o v i d e t h e b e s t a n d m o s t innovative employee benefit s o l u t i o n s t o t h e i r e m p l o ye e s . I t offer






o f employers ranging from term

insurance plans for pure protection to voluntary plans such as superannuation and leave encashment

HDFC Life Insurance has taken dynamic steps as part of changing brand identity. HDFC Standard life in order to connect to younger target market made a series of changes. HDFC Standard life dropped the standard word from their name to make it HDFC Life.

HDFC Life also changed their logo depicting more energy, exuberance, vibrancy, dependability in their brand. HDFC Life also pushed their tagline sar utha ke jiyo with television commercial, radio ads, print and other communication mediums. The tagline presents the idea of living life with dignity which can be achieved through being self dependernt and insurance is part and parcel of the same.

HDFC Securities:-

HDFC Securities Limited , a company incorporated under the provisions of the Companies Act,1956, being a member of the Bombay Stock Exchange Limited ( hereinafter called Excahnge) and having its registered office at I Think Techno Campus , Builiding B Alpha , Office Floor 8, Kanjurmarg (EAST), Mumbai 042 ,(hereinafter called the stock broker) which expression shall, unless repugnant to the context or meaning thereof, be deemed

to mean and include its successors , of the One Part ; and the client described in the schedule to this aggrement (hereinafter refrred to as the client which expression shall , unless repugnant to the meaning or context thereof , be deemed to mean and include (if the client is individual) his heirs, executors , administrators, legal representatives and permiited assigns, (if the client is a partnership firm), the partners for the time being of the said firm , the survivors or survivors of them and their respective heirs , executors , administrator , legal representatives and permitted.

HDFC Securities Ltd, a trusted financial service provider promoted by HDFC Bank and JP Morgan Partners and their associates, is a leading stock broking company in the country, serving a diverse customer base of institutional and retail investors. provides investors a robust platform to trade in Equities in NSE and BSE , and derivatives in NSE. Its website support to the custmoer with the highest standards of services, convenience and hassle-free trading tools.Its research team tracks the economy, industries and companies to provide you the latest information and analysis. It offers financial information, analysis, investment guidance, news & views, and is designed to meet the requirements of everyone for well trading.


Clients could adopt to trade with us either online, or on the phone, or relationship managers from the convenience of their home or office.

The 4-in-1 Advantage account enables clients to seamlessly move funds and securities across your bank, demat and trading account.

Clients get to enjoy limits across exchanges to trade

No need to issue cheques or delivery instructions.

Place IPO / NCD applications via few clicks using the trading account or by the phone. No standing in queues or filling application forms.

Customer care centre to address all queries and grievances.

REACH:HDFC securities has a strong unified call centre catering to clients across India and overseas aiding clients who wish to have their orders placed by a telle- agent . 7 Regional language call centre centre facility is available for clients.Over dedicated 128 exclusive branches across India also service clients locally by relationship managers. .TRANSPARENCY:With our trusted pedigree , a client can be assured of best services in a transparent manner and is in total control of their funds and stocks

EXPERTISE:With a decade of experience and a rating of A1+1, HDFC securities has a admired lineage of providing financial services to customers in a transparent and trusted manner. We have a dedicated,motivated and experienced team of professionals to provide you top class service.

TIMELY AND RELEVANT INFORMATION:We realize the importance of making information available to clients as it happens. Empowered with the latest news, developments and unbiased research, enables a client to take informed decisions.


MISSION: Customer service of the highest order Value for money for customers Professionalism in carrying out business Innovative products to cater to different needs of different customers Use of technology to improve service standards Increasing market share

VISION:To provide the most useful and ethical Investment Solutions - guided by values driven Approach to growth, client services and employee development.










Any activity done without an objective in a mind cannot turn fruitful. An objective provides a specific direction to an activity. Objectives may range from very general to very specific, but they should be clear enough to point out with reasonable accuracy what researcher wants to achieve through the study and how it will be helpful to the decision maker in solving the problem. Each research study has its own specific purpose. It is like to discover to Question through the application of scientific procedure. But the main aim of our research to find out the truth that is hidden and which has not been discovered as yet. Our research study has following objectives:

The objective of my Project is to gain knowledge about how an organization works. To make a comparative study to know the different companies activation charges, product and services. To know about the products and services of various brokerage firms. To get familiar with the working of a broking firm. To know about the awareness towards stock broker and share market.


Research methodology refers to the search for Knowledge. It is a way to systematically solve the research problem. In it we study the various steps that are generally adopted by the researcher in studying his research problem along with logic behind them. Research Methodology concerning a research problem or study provide answers to various questions like; why a research study has been undertaken, how the research problem has been defined, what data have been collected and what particular method has been adopted to collect the data, what technique has been used for analyzing the data and a host of similar other questions Though there are more than one alternative approaches available to the researcher, but this not enough to make the task of selecting the suitable research design simpler. Like the so-called suitable research design may require some in between approach. The objective of study being the main determinant of the validity and reliability of the method adopted the degree of usefulness of the scientific method. Since there are many aspects of research methodology, in line of action has to be chosen from variety of alternatives, so that individual choice of suitable method is further complicated and make a viable whole. The choice of suitable method is further complicated by the possibility of many permutations and combinations. The fair selection can be arrived at through the objective assessment and of course comparison of various alternatives. The finally selected line of action must ensure that this is indeed best one as against those rejected by the researcher. In addition, the circumstances and problems also having a bearing in the choice. To count a fem, limitations could be imposed in the sense of funds available, time and urgency in conducting the research. So the final choice must be based on assessment of its advantage and disadvantages when weighted against affecting factors.

Research methodology can be said to have four major components namely-Research design, Sample design, Data collection procedure and methods of analyzing and reporting the findings.


On the basis of theoretical study a research has many types. All of these are distributed on the nature of research. Some of these are like 1. Descriptive and Analytical 2. Qualitative and Quantitative

3. Conceptual and empirical 4. Applied and fundamental 5. One time research Our research is based on Descriptive, Qualitative and Quantitative research.

Descriptive Research: - The research design adopted in this study is descriptive research
design. A descriptive research design is the one which is description of the state of affairs as it exists at present. It includes survey and fact finding enquiries of different kinds. The researcher has no control over the variables. The researcher used this research design to find out the respondents attitude and opinion. Qualitative Research: - In our research we need comparison between different stock brokers. So this based on all qualitative data. In short, Qualitative research is especially important in the behavioral sciences where the aim is to discover the underline motives of human behavior. Through such research we can analyses various factors which motivate to people to behave in a particular manner or which make people like or dislike a particular thing .Quantitative research: - Quantitative research is based on the measurement of quantity or amount. It is applicable to phenomena that can be expressed in terms of quantity. So we can use it in our research for collection of all the numerical data.


The required data is collected both from primary as well as secondary sources.

Primary Sources: The primary data was collected through structured unbiased
questionnaire. For this purpose questionnaire included were both open ended & close ended & multiple-choice questions.

Secondary Sources: Secondary data is the data, which is collected

and complied for

different purposes, which are used in research for this study. The secondary data includes material collected from. Under Secondary sources, we tapped information from internal & external sources. We made use of Internet (such as search engine,, and miscellaneous sources (such as brochures, pamphlets, library) under external sources.


A sample design is a definite plan for obtaining a sample from a given population. It refers to the techniques or procedures the researcher would adopt in selecting items for the sample. Population
All the items under consideration in any field of inquiry constitute a Universe or Population. A complete enumeration of all the items in the population is known as a census inquiry. This type of inquiry involves a great ideal of time, money and energy. Hence quite often a few items so selected constitute what is technically called a sample. The researcher must decide the way of selecting a sample or what is popularly known as sample design. A sample design is a definite plan determined before any data are actually collected for obtaining a sample from a given population. The population covered in this project report refers to the customers/investors of various brokerage firms under study. Sample Size

A sample of 50 people was taken for the survey. The required data collected through questionnaire from the investors from various brokerage houses under study. SAMPLING METHOD

Samples can be either probability or non-probability samples. With probability samples each element has a known probability of being included in the sample but non-probability samples are those based on simples do not allow the researcher to determine this probability. PROBABILITY SAMPLES are those based on simple random sampling, systematic sampling, etc NON PROBABILITY SAMPLES are those based on convenient sampling, judgment sampling etc CONVENIENCE SAMPLING The researcher adopted convenience sampling. It is the non probability sampling is that sampling procedures does not any basis for estimating the probability that each item in the population has of included in the sample. The researcher selects the people according to their convenient.



HDFC customers have the advantage of trading in all the market segments together in the same window, as we understand the need of transactions to be executed with high speed and reduced time. At the same time, they have the advantage of having all Advisory Services for Life Insurance, General Insurance, Mutual Funds and IPOs also.






Fixed deposites and bonds



HDFC is a customer focused financial services organization providing a range of investment solutions to our customers. We work with clients to meet their overall investment objectives and achieve their financial goals. Our clients have the opportunity to get personalized services depending on their investment profiles. Our personalized approach enables clients to achieve their financial objectives.

HDFC SECURITIES LTD s key products offernings are:-


1.EQUITY:HDFC Securities provides a seamless online real-time platform to trade in stocks. You can buy and sell on both NSE and BSE. Features:1. Trading in equities involves more than stock trading. 2. Equity trading many different securities 3. Use diverse strategies 4. Trading skills. 5. Traded for short term and long term profits. 6. One-stop financial services shop 7. Most respected for quality of its advice 8. Personalised services 9. Cutting edge technology

Products Offerings :


Margin Buy Today Sell Tomorrow Exchange Traded Funds Off Market Orders Do It Yourself SIP (Equity SIP)

DIYSIP IN EQUITIES:Investing in equity market through DIY SIP DIY SIP is a great avenue to enter the equity market and build a portfolio using the volatility to your advantage.Through DIY SIP, you can start your SIP in Stocks / ETFs of your own choice. Steps to Register online for DIYSIP :

Step 1 - Select the stocks, quantity, trigger date and tenure, which you wish to add in your monthly stock SIP.

Step 2 - Accept the terms and conditions and Proceed to authenticate your account using your Username and Password for net trading.

Step 3 - On successful debit of one time administrative charges of Rs 249, your DIYSIP will be activated.

Trading tool blink

We offer a customized trading platform which helps you to..

Monitor price movement of your chosen scrips by creating multiple market watch Fast Buy/Sell

View order book, trade book, net position Technical Stock recommendation from expert research team

In the United States, a mutual fund is registered with the Securities and Exchange Commission (SEC) and is overseen by a board of directors (if organized as a corporation) or board of trustees (if organized as a trust). The board is charged with ensuring that the fund is managed in the best interests of the fund's investors and with hiring the fund manager and other service providers to the fund. The fund manager, also known as the fund sponsor or fund management company, trades (buys and sells) the fund's investments in accordance with the fund's investment objective. A fund manager must be a registered investment advisOr. Funds that are managed by the same fund manager and that have the same brand name are known as a "fund family" or "fund complex


HDFC Securities introduces online platform for investments in Mutual Funds. You can now subscribe & redeem mutual fund units in the electronic format. You will be able to view the units bought in your Demat a/c.


Registration : One time signing of BSE & NSE agreement for online Mutual Fund trading through Demat A/c.

Paperless work : No physical application forms, cheques, a/c's statements.

Delivery time : Demat account holders benefit from shorter delivery times than Physical account holders as Demat obviates significant amount of paper movement.

Order confirmation : By way of e-mail and a physical copy.

Faster Execution : Allotment by way of Demat credit. Investors get units in dematerialized format. Redemption by way of Electronic Clearing System.

SIP : Investors get various options of SIP Schemes and SIP investment dates.

Some other Advantages of mutual funds:Mutual funds have advantages compared to direct investing in individual securities. These include:

Increased diversification Daily liquidity Professional investment management Ability to participate in investments that may be available only to larger investors Service and convenience Government oversight

Convenience : Existing investors can invest through the same channel that they use to purchase stocks. Investors can view their Mutual Fund investments, along with other investments such as Direct Equity, ETF's, Bonds & NCD's in same Demat A/c


Step 1- Visit click on Mutual Fund.

Step 2- Download the mutual fund registration form and send it to central operations departments/ customer care department.

Step3- You can check registrarion status by calling our customer care department on 39019400

Step 4- Once your registration is successful, you will be able to start trading in mutual fund through a dedicated calling desk.

Step5-To place an online Mutual Fund order you will have to call on 022-67419954 or 02230096532


Derivatives Definition
It is a product whose value is derived from the value of one or more variables bases \underlying asset which could be equity,commodity,forex,other asset. For e.g A farmer may wish to sell his harvest ata future date to eliminate risk of a change in price by that date.This is a derivative type of transaction in which the price is driven by the spot price of wheat which is the underlying asset.

Basics of Futures trading

A futures contract is an agreement between two parties to buy or sell an asset at a certain time in the future at a certain price. Index futures are all futures contracts where the underlying is the stock index (Nifty or Sensex) and helps a trader to take a view on the market as a whole. In India we have index futures contracts based on S&P CNX Nifty and the BSE Sensex and near 3 months duration contracts are available at all times. Each contract expires on the last Thursday of theexpiry month and simultaneously a new contract is introduced for trading after expiry of a contract.

Example of Future Contract

If the Current price of Tata Steel is Rs. 200 per stock. You are interested in buying 500 shares of Tata Steel. You find someone, say John, who has 500 shares you tell John that you will buy 500 shares at Rs. 200, but not now, at a later point oftime,say on the last Thursday of this month. This agreed date will be called the Expiry date of your agreement or contract. John more or less agrees but the following points come up in your agreement. John will have to go through the trouble of keeping the shares with him until the end of this month. Moreover, the economy isdoing well, so it is likely that the price of the stock at the end ofthe month will be not Rs. 200, but something more. So he sayslets strike a deal not at the current price of Rs 200 but Rs. 202/-. The agreed price of the deal will be called the Strike price of the futures contract.

Finally you decide that the futures contract will cash settled. Which means at the expiry date of the contract, instead of actually handing over 500 shares -John will pay you the money if the price rises, or if the price falls you will pay John the balance amount. For example at the end of the expiry date if you find outthat the price of the share is Rs. 230, then the difference Rs. 230 - Rs. 202 = Rs. 28 will be paid to you by John. You can then purchase the shares from the Stock Market at Rs. 230. Since you will get Rs. 28 per share from John, you will effectively be able to buy the shares at Rs. 202 , the agreed strike price of the futures contract. Similarly John can directly sell his 500 shares in the market at Rs. 230 and give you Rs 28 (per share) which means he effectively sold each share at Rs.202, the agreed price.

Example of Future Contract

If the Current price of Tata Steel is Rs. 200 per stock. You are interested in buying 500 shares of Tata Steel. You find someone, say John, who has 500 shares you tell John that you will buy 500 shares at Rs. 200, but not now, at a later point oftime,say on the last Thursday of this month. This agreed date will be called the Expiry date of your agreement or contract. John more or less agrees but the following points come up in your agreement. John will have to go through the trouble of keeping the shares with him until the end of this month. Moreover, the economy isdoing well, so it is likely that the price of the stock at the end ofthe month will be not Rs. 200, but something more. So he sayslets strike a deal not at the current price of Rs 200 but Rs. 202/-. The agreed price of the deal will be called the Strike price of the futures contract.

Finally you decide that the futures contract will cash settled. Which means at the expiry date of the contract, instead of actually handing over 500 shares -John will pay you the money if the price rises, or if the price falls you will pay John the balance amount. For example at the end of the expiry date if you find outthat the price of the share is Rs. 230, then the difference Rs. 230 - Rs. 202 = Rs. 28 will be paid to you by John. You can then purchase the shares from the Stock Market at Rs. 230. Since you will get Rs. 28 per share from John, you will effectively be able to buy the shares at Rs. 202 , the agreed strike price of the futures contract. Similarly John can directly sell his 500 shares in the market at Rs. 230 and

give you Rs 28 (per share) which means he effectively sold each share at Rs.202, the agreed price.

Hedging:Futures can be used as a effective risk management tool. When an investors exposure to movements of Nifty is not as per their anticipated price they offset it by investing accordingly in the Futures market .Index futures in particular can be very effectively used to get red of market risks of a portfolio.The other benefit of trading in index futures is to hedge your portfolio against the risk of trading. In order to understand how one can protect his portfolio from value erosion. Let us take an example Ram enters into a contract with Shyam that six months from now he will sell to Shyam 10 dresses for Rs 4000. The cost of manufacturing for Ram is only Rs 1000 and he will make a profit of Rs 3000 if the sale is completed. However, Ram fears that Shyam may not honors his contract six months from now.So he inserts a new clause in the contract that if Shyam fails to honors the contract he will have to pay a penalty of Rs 1000. And if Shyam honors the contract Ram will offer a discount of Rs 1000 as incentive. The other benefit of trading in index futures is to hedge your portfolio against the risk of trading. In order to understand how one can protect his portfolio from value erosion. Let us take an example. Ram enters into a contract with Shyam that six months from now he will sell to Shyam 10 dresses for Rs 4000. The cost of manufacturing for Ram is only Rs 1000 and he will make a profit of Rs 3000 if the sale is completed. However, Ram fears that Shyam may not honors his contract six months from now.So he inserts a new clause in the contract that if Shyam fails to honors the contract he will have to pay a penalty of Rs 1000. And if Shyam honors the contract Ram will offer a discount of Rs 1000 as incentive.

They involve a sequence of trades on the spot and on the index futures market. Yet, they arecompletely risk less. The trader is simultaneously buying at the present and selling off in the future, or vice versa. Regardless of what happens to Nifty, the returns on arbitrage are the same. Since there is no risk involved, it is called Arbitrage.


This has reference to SEBI Circular No MIRSD/SE/Cir 19 / 2009, dated 03-December-2009 & clarifications issued by Exchanges vide Circular no. NSE/INSP/2010/91 (NSE) and notice no. 20100203-30 (BSE) dated February 3, 2010. This is to inform you that as per the above Circulars, with effect from 01 April 2010, documentary evidence of financial details is must in case if you wish to trade in Derivatives Market. Kindly provide Any one of the below documents:

Copy of ITR Acknowledgement (For last financial year) Copy of Annual Accounts (for last financial year ) Copy of Form 16 in case of salary income (for last financial year) Net worth certificate (latest one or at the end of last financial year) Salary Slip (for one month in current financial year) Bank account statement (for last 6 months) Copy of demat account Holding statement (not more than 3 months old) Any other relevant documents substantiating ownership of assets


Delivery based trading on both NSE & BSE. PIS (Portfolio Investment Scheme) transactions online. Invest through Repatriable as well as Non-repatriable funds. Apply for IPO online through NRE/NRO account. Daily Investment Calls to all NRIs. Dedicated customer care.


Simplified account opening process. Open 2 different sets of account (i.e. NRE&NRO Bank, PIS, Demat & Trading account) at once.

No need to send transaction details to RBI.


No need to write cheques. Funds/shares directly credited to linked HDFC Bank/DP account. Direct pay-out of funds on the same day as that of exchange.


Secured Socket Layer with 128 bit encryption. Detailed audit trail of transaction with stamp on all orders. Funds/ Securities with HDFC Bank is remitted directly into Clients accounts.

4.INSURANCE:HDFC provides the general insurance and life insurance facility. HDFC LIFE LTD provides life insurance facility. HDFC ERGO INSURANCE LTD provides the general insurance facility.

You can trust HDFC ERGO Motor Insurance to protect your vehicle, your most prized possession. It ensures you to get back in the driver's seat quickly, no matter what happens to your vehicle. We ensure that you not only get Motor Insurance but also package post-accident assistance, when you need it. With a focus on Package policies for Private cars, HDFC ERGO General Insurance offers you the convenience, professionalism and understanding you want.


Cashless Claim Service over 1400 authorized network of garages across India. Avail a host of discounts. No Claim Bonus, Discount for Automobile Association Members, Discount based on Age and Profession

Comprehensive support through our dedicated customer support team Say No to lengthy procedures. BUY & RENEW ONLINE Instant Online Policy issuance Transfer existing "No claim bonus" in full Avail discount basis your age and profession SMS alert at every stage of claim Cashless claim services at 1400 garages Assured service at competitive pricing

COVERAGE A package Motor Insurance policy would cover the following

Loss Of Or Damage To The Vehicle Insured: Loss or damage to your vehicle caused by any one of the following events Accident by external means Burglary, House Breaking or Theft Fire, Explosion, Self Ignition, Lightning Terrorism, Riots, Strikes, Malicious Acts Transit by road, rail, inland waterways, air or lift Earthquake, Flood, Storm, Landslide or Rockslide

Liability to third parties

The policy would also cover your legal liability arising out of an Injury / Death of a third party and Property Damage of a third party incase of an accident involving your vehicle.

Personal accident cover for Owner Driver

The policy also provides for a mandatory Personal Accident Cover for Owner Driver for an

amount of Rs. 2 Lacs covering Accidental Death and Permanent Total Disability.


If the age of the Insured is between 36 years to 45 years ? 5 % Discount on the Own Damage Section of the policy

If the age of the Insured is more than 46 years ? 10 % Discount on the Own Damage Section of the policy

For Age Discount, you need to submit Age Proof viz. Driving License Copy. In case of online policy, age proof should be submitted at the time of claim.

Occupation Discount An insured pursuing any of the following occupation can avail 5% discount:

A fully qualified and practicing Chartered Accountant Serving in defense and paramilitary services Teaching in Government recognized Schools, Colleges, and Universities & Educational Institutions

Employees of Central / State Government departments Qualified medical doctors who are registered with any Government recognized Medical Council. For Occupation related discounts, you need to submit either the education or employment certificate.

In case of online policy, occupation proof should be submitted at the time of claim.

ADD ON COVERS When it comes to choosing your dream car, you have invested your precious time in analyzing every minutest detail. Rev up with the confidence of having a comprehensive insurance plan carefully designed to provide optimum coverage and no surprises! With HDFC ERGO's Motor Insurance Add-on plan you can opt for new and enhanced coverage, in addition to your standard motor insurance policy for Motor Vehicles which:

HEALTH SURAKSHA:With medical costs spiraling out of control and the increase in shift to lifestyle diseases, healthcare today is at its all-time-high in terms of treatment costs. In the event of an unforeseen illness, you may have no option other than to utilize your hard - earned savings, built over throughout your life time. Finally, what's more important than your health But now, no more! With HDFC ERGO's Health Suraksha, a plan designed to provide optimum coverage for treatments including the pre and post hospitalization costs and much more. Ensures complete peace of mind with minimum out-of-pocket expenses. Now, make sure that you use your hardearned savings for the real reasons Be it your child's higher education or his dream wedding, a well deserved family vacation or just about anything you dreamt of all your life. KEY HIGHLIGHTS:

Optimum Coverage at an affordable price Option to cover on Individual or Family Floater Basis Option to for an annual or two year policy Cumulative Bonus for each claim free year Provides Cost of Health Check up after 4 claim free years Cashless Claims Service across India at 4,200 network hospital Income Tax Benefit Under Section 80D of the Income Tax Act Hassle free Claims Process with minimum documentation and turn around times

COVERAGE FEATURES: Schedule of Benefits For individual and family floater Basic Sum Insured per Rs. 200000; Rs. 300000; Rs. 400000 Policy Year In-patient Treatment Covers hospitalisation expenses due to sickness or accident upto the Policy Sum Insured Pre-hospitalization Pays for medical expenses incurred 60 days immediately before hospitalisation Day Care Procedures Pays for 141 listed day care procedures which do not require 24 hours hospitalisation due to technological advancement Domiciliary Treatment Pays for expenses incurred for medical treatment taken at home, on

the advice of a physician Organ Donor Pays for medical expenses for harvesting an organ donated

Emergency Ambulance Pays upto max. Rs. 2,000 for utilising an ambulance in an emergency (Limit hospitalisation) Ayurvedic Homeopathic / Pays for medical expenses for inpatient treatment under Ayurveda, Unani, Siddha or Homeopathy. Pays upto 20% of Sum Insured; Maximum Rs. 20,000 (for Policy Sum Insured 2L & 3L) and Rs. 25,000 (for policy Sum Insured Rs. 4L) Cumulative Bonus 5% increase in Sum Insured for every claim free year; upto Maximum 50% Health checkup Pays Upto 1% of Sum Insured; Max Rs. 5000 per


General Ageing, wear and tear Damage by a person driving without a valid driving license Mechanical or Electrical breakdown, failure Damage by a person driving under the influence of Liquor/Alcohol/Drugs Depreciation, any consequential loss Loss/Damage attributable to War/Mutiny/Nuclear risks Damage to tyres / tubes, unless damaged in an accident Loss/Damage, outside India


A diagnosis of a critical illness for you or your loved one may get your life to a stand still, literally. What could worsen the situation would be the unavailability of the requisite funds for treatment costs and associated expenses. It's a known fact that medical treatment costs for critical illnesses are really high.

HDFC ERGO's Critical Illness Insurance Policy is designed specifically to cater to the needs of the high costs of associated treatments. Moreover, it provides a lump sum payment, on the very first diagnosis, to ensure that you can avail the best-in-class treatment and coupled with easy and hassle free claims process, so that you spend your precious time with your loved one, than running around arranging for funds.

Key Highlights : Provides a lump sum benefit which can pay for:.

Costs for the care and treatment. Recuperation aids. Debts pay off. Any lost income due to a decreasing ability to earn; Fund for a change in lifestyle. Tax Benefit Under Section 80D Covers 8 Critical Illnesses Instant online policy issurance No medical check-up upto 45 years of age. Covers individuals in the age group from 5 years to 45 years.

Coverage Features:

Provides a Lump Sum Benefit on first diagnosis after a 30 Day Survival period for any one of the 8 Critical Illnesses covered under the plan.

Critical Illness covered Heart Attack (Myocardial Infarction) Coronary Artery Bypass Surgery Stroke Cancer Kidney Failure

Silver Yes Yes Yes Yes Yes

Critical Illness covered Major Organ Transplantation Multiple Sclerosis Paralysis

Silver Yes Yes Yes

A long drawn vacation, an official tour or a trip to study...whatever your reason, travelling abroad is full of exciting times. And why let anything come between you and your trip abroad. Be it a loss of passport or a sudden ailment or even loss/delay of your baggage... leave all your worries to us at HDFC ERGO and explore a whole new destination with complete peace of mind! With HDFC ERGO travel insurance, there is a plan to suit every need.And with a range of plans covering pleasure and business travel, you will find adequate coverage for a premium that is much lower than you ever expected.


Single Trip: 6 months to 70 years Annual Multi Trip: 18 years to 70 years Family Floater: 3 months to 60 years Single Trip Asia Excluding Japan: 6 months to 70 years Instant Online Policy Issuance No medical / health check-up Cashless hospitalisation Cashless claims service through our International Service Provider Range of plans to suit individual requirements 24x7 international helpline assistance












Emergency Medical Expenses: Covers medical costs incurred due to illness or accident including medically necessary and prescribed emergency evacuation. It covers outpatient, in-patient, medical aid, therapies and diagnostic tests as described in the policy schedule.

Emergency Medical Evacuation: Evacuation to the home country is covered up to the medical sum insured chosen. Repatriation of remains: Covers the funeral expenses or expenses of repatriating the remains back to India, in case of death of the insured overseas

Emergency Dental Expenses: Covers anesthetic treatment of natural teeth. Hospital Cash: Pays a daily allowance as stated in the policy schedule in the event of hospitalization either due to sickness or accidents.

Accidental Death and Permanent Total Disability - Common Carrier: The company will pay the sum insured specified stated in the schedule in addition to the sum insured specified under the Personal Accident Section, if the insured sustains Accidental Bodily Injury during the course of the journey while travelling in a common carrier such as rail, bus, tram, or aircraft; and such bodily injury results in death or permanent total disability.

Personal Accident: Compensation paid in case of death or permanent total disability caused to an accident.

Flight Delay: Compensation if the aircraft is delayed for more than 12 hours than the original scheduled departure time.

Trip Cancellation: Compensation for loss of personal accommodation or travel charges following the necessary and unavoidable cancellation of the trip due to death, serious injury or sudden sickness of insured or family memberLoss of Passport: Expenses incurred in obtaining a fresh or new passport

Loss of Checked Baggage: Compensation for the permanent loss of checked-in baggage

Delay of Checked Baggage: Compensation for reasonable expenses incurred for the purchase of toiletries, clothing and medication due to delay of checked-in baggage for more than 12 hours.

Personal Liability: Compensation of damages to be paid to a third party, resulting from death, injury or damage to health or property caused involuntarily by the insured.

Financial Emergency Assistance: Insurance cover is provided in the event of the Insured Person getting into a financial emergency due to theft, pilferage, robbery or dacoity of his/her travel funds. A fixed sum is paid as emergency assistance up to the limits specified under the Policy.

Hotel Accomodation: Pays for the cost of Hotel accomodation, if the Insured Person sustains Body Injury or Sickness which directly and independently of all other causes results in a Hospital stay as an in-patient and misses his/her flight back to the country of residence.

Hijack Distress Allowance: Insurance cover is provided in the event of the hijack of the air or sea common carrier in which the Insured Person is traveling whilst on the trip abroad during the Period of Insurance. An allowance will be paid for each day of the hijack up to the limits specified under the Policy.


Any uncertainty should not affect your plans. Be it of life, or of markets. You want to secure happiness for yourself and your loved ones. We present HDFC SL Crest insurance cum investment plan that provides valuable financial protection to your family when needed the most along with an investment option for certainty of highest NAV along with a miniumum

Guaranteed NAV of Rs.15 on returns So that when you reap the returns of life, they are on crests not on lows.In this plan you can choose to invest in either of two investments optionsHighest NAV Guarantee Fund Option or Free Asset Allocation Option.


Level of Protection: You can choose any sum assured multiple between 10 x annual premium to 20 x annual premium.

Regular Premiums: Minimum premium is Rs. 50,000 and there is no limit on maximum premiums. Premiums are to be paid annually only.

Premium Paying & Policy Term: The premium paying term is of 5 years and policy term is 10 years.

Age Limit: The minimum age at entry is 14 years and maximum entry age is 55 yrs. Maximum age at maturity is 65 yrs.

Highest NAV Guarantee Fund: This fund guarantees that the Guaranteed NAV applicable at maturity of your contract will be the higher of Rs. 15 or the highest NAV recorded daily during the first 7 years from the launch of the Highest NAV Guarantee Fund.

Free Asset Allocation Option: This option will enable you to invest in any of the 5 non guaranteed fund(s) available under this option. You can make your own investment strategy by switching or redirecting your future premiums. * Only if Highest NAV Guarantee Fund is selected


Choice of two Investment Options Highest - NAV Guarantee Fund or Free Asset Allocation Option.

Maturity Benefit: On maturity you will receive the Fund Value as per the investment option selected.

Death Benefit: This plan provides valuable protection to your family in case you are not around. In case of your unfortunate demise during the policy term, we will pay the amount higher of your Sum Assured (less partial withdrawals) or your total fund value to your family. For more details refer to product brochure.

No Medicals required: This plan can be taken by filling Short Medical Questionnaire, which may not require you to go for medicals. Kindly refer to the product brochure or contact your Relationship Manager for details.

Tax benefits are offered under section 80C and 10(10D) of the Income Tax Act, 1961


You will settle for nothing but the best. Be it for self or for your loved ones. With HDFC SL ProGrowth Super II, you have a unit linked savings-cum-insurance plan that will help you effortlessly provide the finest for your family, be it today or tomorrow.


Level of Protection: You can choose any sum assured multiple between 10 x annual premium to 40 x annual premium.

Regular Premiums: Minimum premium is Rs. 15,000 and there is no limit on maximum premiums. Premiums are to be paid annually only.

Term Limits: You can select term of 10, 15 to 30 years. Age Limit: The minimum age at entry for Life Option is 14 years and maximum entry age is 65yrs. Maximum age at maturity is 75 yrs. Please refer to the product brochure for term and age limits for other Plan Options.














(a)Short Term Fund (b) Income Fund (c) Balanced Fund (d) Blue Chip Fund (e) Opportunities Fund


1) You can choose any of the following 8 plan options as per your need Plan Option Life Option Extra Life Option Life & Health Option Extra Option Life, Disability Option Death Benefit Accidental Total ,amp; Permanent Disability Benefit Life, Cover Death Benefit Death Benefit Accidental Death Benefit Death Benefit Critical Illness Benefit

Health Death Benefit Critical Illness Benefit Accidental Death Benefit

Plan Option Extra Option Life,

Cover Disability Death Benefit Accidental Death Benefit Accidental Total, Permanent Disability Benefit

Life, Health, Disability Death Benefit Critical Illness Accidental Total, Permanent Option Extra Life, Disability Benefit Health, Death Benefit + Accidental Death Benefit+ Critical Illness + Accidental Total & Permanent Disability Benefit

Disability Option

2) This plan provides valuable protection to your family in case you are not around. In case of your unfortunate demise during the policy term, we will pay the Sum Assured and your total fund value.

3) This plan can be taken by filling Short Medical Questionnaire, which may not require you to go for medicals. Kindly refer to the product brochure for details.












Switching: You can move your accumulated funds from one fund to another anytime Premium Redirection: You can pay your future premiums into a different selection of funds, as peryr.

5) Tax benefits are offered under section 80C and 10(10D) of the Income Tax Act, 1961


Features and Benefits

The customer can enjoy the benefits of your securities and still avail a loan on the same.

No EMIs No Post Dated cheques No Pre-payment charges Interest charged only on utilised amount Exhaustive number of approved securities

Upto 80% Loan Simple and speedy processing Term Loan facility also available against select securities


Religare Enterprises Ltd (REL) is a financial services provider promoted by Ranbaxy group. The company was incorporated in January 1984 as Vajreshwari Cosmetics Private Limited, but subsequently changed its name to Religare in January 2006. REL is a holding company of 11 subsidiaries, which are engaged in offering diverse bouquet of services ranging from equities, commodities, insurance broking, wealth advisory, portfolio management services, personal finance services, investment banking and institutional broking. These services are targeted at retail, high net worth individuals, corporate and institutional clients.REL offers a multitude of investment options and a diverse bouquet of financial services and has a pan India reach in more than 1550 locations across more than 460 cities and towns. As part of its recent initiatives, the group has also started expanding globally and has acquired Londons oldest brokerage & investment firm, Hichens, Harrison & Co. plc. Following this acquisition Religare now proposes to operate out of 10 countries. With a view to expand, diversify and introduce offerings benchmarked against global best practices, Religare has entered into joint ventures with the global major- AEGON for its Asset Management and Life Insurance businesses in India. Religares wealth management subsidiary is now rechristened as Religare Macquarie Wealth Management Limited, following a joint venture with the Australia based financial services major, Macquarie Bank. Religare has also partnered with Vistaar Entertainment to launch Indias first Film Fund.


Equity & Derivatives Commodity Depository Portfolio Management Services

International Equity & Commodity NRI Services Investment Banking Corporate Advisory Group

Sharekhan is online stock trading company of SSKI Group, provider of India-based investment banking and corporate finance service. ShareKhan is one of the largest stock broking houses in the country. S.S. Kantilal Ishwarlal Securities Limited (SSKI) has been among Indias leading broking houses for more than a century. Sharekhan's equity related services include trade execution on BSE, NSE, Derivatives, commodities, depository services, online trading and investment advice. Trading is available in BSE and NSE. Along with website, Share Khan has around 510 offices (share shops) in 170 cities around the country. Share khan has one of the best state of art web portal providing fundamental and statistical information across equity, mutual funds and IPOs. You can surf across 5,500 companies for indepth information, details about more than 1,500 mutual fund schemes and IPO data. You can also access other market related details such as board meetings, result announcements, FII transactions, buying/selling by mutual funds and much more. PRODUCTS OFFERED BY SHAREKHAN Equity Trading Platform (Online/Offline).

Commodities Trading Platform (Online/Offline).

Portfolio Management Service.

Mutual Fund Advisory and Distribution.

Insurance Distribution

KARVY is a premier integrated financial services provider, and ranked among the top five in the country in all its business segments, services over 16 million individual investors in various capacities, and provides investor services to over 300 corporate, comprising the who is who of Corporate India. Karvy has a professional management team and ranks among the best in technology, operations and research of various industrial segments.


The birth of Karvy was on a modest scale in 1981. It began with the vision and enterprise of a small group of practicing Chartered Accountants who founded the flagship company, Karvy Consultants Limited. They started with consulting and financial accounting automation and carved inroads into the field of registry and share accounting by 1985. Since then, karvy utilized its experience and superlative expertise to go from strength to strength, to better their services, to innovate, diversify and in the process, evolved as one of Indias premier integrated financial service enterprise.


Karvy consultant ltd.

Karvy merchant banking.

Karvy global services ltd.

ICICI Web Trade Limited (IWTL) maintains (herein after referred to as the "Website") whereas IWTL is an affiliate of ICICI Bank Limited and the Website is owned by ICICI Bank Limited. IWTL has launched and established an online trading service on the Website. . Along with stock trading and trading in derivatives in BSE and NSE, it also provides facility to invest in IPOs, Mutual Funds and Bonds. Trading is available in BSE and NSE

PRODUCTS AND SERVICES OF ICICI DIRECT Investing in Mutual funds Personal Finance Customer Service Features IPOs Margin Trading Margin PLUS Trading Call Trade Trading on NSE/BSE Trade in derivatives



1. Comparison on the basis of account opening charges
Brokerages houses HDFC securities Religare securities ICICI Karvy Sharekhan Charges(Rs.) 799 500 975 450


1200 1000 800 600 500 400 200 0 HDFC Religare ICICI karvy 0 sharekhan 350 799 975

Fig.5.1 Showing account opening charges

Account opening charges are the charges which are required to open a trading account.HDFC Securities has second highest account opening charges as compare to the ICICI account opening charges i.e. Rs.799. Where as Sharekhan opens trading account free of cost and religare charges Rs.500 for opening an account and Karvy has Rs.350 charges.ICICI has the highest charges which is Rs.975.

2. Comparison on the basis of brokerage charges

There are the two type of the transaction: Intra-day based Delivery based

Brokerages houses Intraday Hdfc securities Religare securities ICICI Karvy 0.15 .03 0.15 0.05

Charges(paisa) Delivery .50 .30 .75 .25




0.8 0.7 0.6 0.5 0.4 0.3 0.2 0.1 0 0.15 0.03 0.3 0.5



0.25 0.15 0.05 0.05

Charges(paisa) Intraday Charges(paisa) Delivery

Fig 5.2 Showing brokerge charges (in paisa 100/ rupee As showing in the graph charges the highest brokerges charges .75 paisa for delivery transactions . HDFC and Sharekhan has the same brokerges charges which are 5 paisa After this religare has the third highest brokerges charges for the delivery transactions of the shares. At last Karvy has the lowest brokerages charges which is .25 paisa for delivery. Now for the intraday transaction HDFC Securities and ICICI has the highest intraday brokerages charges . Like this Karvy and Sharekhan has the same intraday brokerges charges which are .05 paisa and Religare has the lowest brokerges charges for the intraday transactions of the shares

3.Comparison on the basis of account maintenance charges

Brokerages houses Hdfc securities Religare securities Icici Charges (RS) 500 250 500

Karvy Sharekhan

375 300


600 500 500 400 300 200 100 0 0 Brokerages houses Hdfc Religare Icici Karvy Sharekhan 250 375 300 500

Fig 5.3 Showing annually account maintainence charges Through this graph we can easlity analysis the rank of coampnies for their annualy maintainence charges of account,HDFC Securities and ICICI has the highest AMC which are Rs.500 where as the second arnk is given to the Karvy which has Rs.375. Annualy maintainence charges charged by religare securities are Rs.250 only. Sharekhan has zero charges for the first year but from second year it charges the rs.300.

4.Comparison on the basis of product and services


Equity trading Commo-dity Depository services

Ipo Mutual fund Nri services Pms Insurance Back office Derivatives Currencies Fixed deposits












1) Most preferable investment scenario.
Investment scenario Equity Mutual Fund Insurance total No. of person 29 13 8 50 %age 58% 26% 16% 100%

No. of person
29 50 13 8 Equity Mutual Fund Insurance total

Fig 5.2.1 Results of Preferable Investment Scanario

From the above chart we can see that there are 58% people who invest in equity, 26% in mutual fund, and 16% in insurance

2) Most important things you take into your mind while making investments?

Factor Risk Return Both Total

No. of person 4 9 37 50

%age 8% 18% 74% 100%

No. of person
4 50 37 9 Risk Return Both Total

Fig .5.2.2. Results of Important That Are Consider While Investing

Above chart show that 74% people considered the both factors risk as well as returns for investing. But, only 18% risk alone and 8% consider returns factor.

3)Awareness related to security markets

Knowledge Complete Partial Nil Total No. of person 12 30 8 50 %age 24% 60% 16% 100%


24% Complete Partial



Fig 5.2.3. Result of Awareness Relating To Share Market

On the basis of above chart , we conclude that 16% people know nothing about the securities investments and 60% people have partial knowledge about it, so, some promotional activities are required for increasing the awareness about security market.

4)In which company you have trading account?

Companies HDFC securities Religare ICICI

No. of person 9 8 7

%age 18% 16% 14%

Karvy Sharekhan Total

4 12 50

8% 24% 100%

No. of person
9 12 HDFC securities Religare ICICI Karvy 8 4 7 Sharekhan

Fig 5.2.4 Results of Companies In Which have Trading Account

We can see from the above chart that 15% of people have trading account in religare, & hdfc securities 20% in unicon and share khan, 9% in karvy and 20% in share khan.

5)Satisfaction Level among Customers with current broker

Satisfaction Yes No Total No. of person 36 14 50 %age 72% 28% 100%


Yes 72%


Fig 5.2.4 Results of Saisfaction level amonng Customer with current broker

This pie-chart shows that most of the customers are satisfied with the services provided by brokerage house only 28% people are unsatisfied.

6)Specify the reason of satisfaction with the current broking house.

Satisfaction factor Operating expenses Services No. of person 9 12 %AGE 18% 24%

Brokerage Total

29 50

58% 100%

18% Operating Expenses 58% 24% Service Brokerage

Fig 5.2.5 Result of Reason of satisfaction wirh current brokerage house

According to the above graph it shows that 58% of the clients are satisfied because of the brokerage that they charge, 24% of clients are satisfied because of the services that they are given, and 18% because their operating expenses are low.

7)Frequency of Trading
Frequency of trading Yearly Monthly No. of person 6 27 %age 12% 54%

Weekly Daily Total

13 4 50

26% 8% 100%

8% 26%

12% Yearly Monthly 54% Weekly Daily

Fig 5.2.6 . Result of Frequency Of Trading

From the above chart we can interpret that the frequency of trading is not so good, most of the people like to invest monthly, there are only 85 people who invest daily in share market..

8) PERCENTAGE OF INCOME INVESTED IN SHARE MARKET Income invested Above 50% No. of person 2 %AGE 4%

Up to 50% Up to 25% Up to 10% Total

4 10 34 50

8% 20% 68% 100%


8% 20% Above 50% Up to 50%


Up to 25% Up to 10%

Fig5.2.6 Result of Percentage of Earnings Invested In ShareTrading

This shows that most of the people invest only up to 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 motivate the customers to invest more in the lucrative stock market


The researcher found that the working of a broking firm is a very risky job because risk is involved in each and every activity of the business. Main purposes of investments are returns & liquidity. Investors take risk as well as returns into their mind while making the investment. People want to invest their money in the security market but they havent the proper knowledge. People pay more emphasis on brokerage than service provided by brokerage houses. 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.


Commitment should be equalized for every person. Provide the facility of free demonstrations for all. Improvement in the opening of De-mat & contract notice procedure is required. There should be a limited number of clients under the relationship manger. So that he can handle new as well as old customer properly. Some promotional activities are required for the awareness of the customer. People at young age should be encouraged to invest in stock market. Seminars should be held for providing information to prospective and present customers. The designated compliance officer should perform a review of trading Practices annually.
















approach all the people. The respondents were asked to indicate their true responses to the questions being asked, but rather than giving the response, they might have been in a form of expert comments which might have baised the result of the study. The results of the study may not be universally applicable due to regional constraints. Personal biasness may be included in the research work. It is not feasible to compare all the products of various brokerage firms.


In the current scenario, investing is very important and investing in stock markets is a major challenge ever for professionals. Mostly people have entered in this particular investment avenue and they have lost their money because of movement in the market which is below the par value and this has shaken the faith of investor in this particular avenue. Another reason for low investment in this sector is due to country most of the companies not performing well and also due to the scams that are taking place frequently . Once people know about the benefit offered by it, Capital market will become one the sought after investment avenue. People should keep their eye open and keep updating themselves about various investment avenues so that they can get safe returns. The young people should start investing earlier so that they can reap the benefits of investing in future. Study also concludes that people are not much aware of commodity market and while it is going to be biggest market in India. The risk prevailing in the business is recognized therefore an efficient risk management department is essential in every broking firm.The only thing which is needed to focus on is that they should have a strong marketing strategy so that prompt service and availability of forms is made available to the investors. The company should also organize seminars and similar activities to enhance the knowledge of prospective and existing customers, so that they feel more comfortable While investing in the stock market. In spite of the bleak and grim outlook the future of capital market it is growing at a very high pace. Taking this things into consideration there are lots of opportunity for the Broker House also.



Kothari C.R. Research Methodology


I student MBA had undertaken a research study to know about the opinion of investors towards brokerage houses and their services. Following questions were asked by selecting 50 customers randomly

Personal information
Name Occupation Contact no. .. .. contact

1. Do you know about the different types of investment alternatives? a. Equity b. Mutual fund c. Insurance 2. What are the most important things you take into account, while making any investment? a. Risk b. Return c. Both 3. Do you have any knowledge of share markets? a. Partial b. Complete c. Nil 4. In which company you have Trading account? a. HDFC Securities b. Religare c. Icici d. Karvy e. Sharekhan f. Others 5. Are you satisfied with you present broking company? a. Yes 6. b)No

If Yes, What is the reason? Please specify. a. Service

b. Brokerage c. Operating expenses d. others 7. How you invest your money? a. Yearly b. Monthly c. Daily d. Weekly 8. What percentage of your earnings do you invest in share trading? a. Above 50% b. Up to 50% c. Up to 25% d. Up to 10% Suggestion