bba project

JABALPUR COLLEGE OF COMPUTERS & COMMUNICATION

KATANGA CRROSSING JABALPUR

A

REPORT ON

SUMMER INTERNSHIP PROGRAMME

2009

SUBMITTED BY

RAVI SHIVHARE

JABALPUR COLLEGE OF COMPUTERS & COMMUNICATION J R. COMPLEX 78 NARMADA ROAD KATANGA CROSSING, JABALPUR

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JABALPUR COLLEGE OFCOMPUTERS & COMMUNICATION



A MANAGEMENT THESIS ON

“AN INDEPTH ANALYSIS OF ATTITUDE TOWARDS VARIOUS INCOME TAX SAVING INSTRUMENT AMONGST BUSINESS CLASS OFJABALPUR CITY”

ON JOB TRAINING (OJT)

“TO OPEN DMAT & TRADING ACCOUNT IN A MONTH”

A PRE-REQUISITE FOR THE PARTIAL FULFILLMENT OF BBA PROGRAMME

2007-08

COMPANY GUIDE: FACULTY GUIDE:

MR. ANIL K. GOUTAM MR. GANESH RATHORERAGA SECURITIES AND FINANCE PVT.LTD. HOD. FINANCE FACULTYJABALPUR JCCC, JABALPUR


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SUBMITTED BY: RAVI SHIVHARE JCCC, JABALPUR,

ACKNOWLEDGEMENTS

The fact that words are indeed inadequate to express the feelings of heart felt gratitude realized at this juncture. Yet I try my best in most humble words to thank all those who help me during my work.

With a sense of deep gratitude I express my sincere thanks to Mr.

RAM ASHARANI (MD OF RAGA SECURITIES AND FINANCE PVT. LTD), Jabalpur, for trusting me and providing me the opportunity to complete my SIP in the company. I am grateful to MR. GANESH RATHORE, HOD. FINANCE FACULTY, JCCC, JABALPUR for providing me every possible support from the side of the college.

I wish to express my deep gratitude to my Company Guide Mr. ANIL GOUTAM, Branch Manager of RAGA SECURITIES AND FINANCE PVT.LTD, Jabalpur, for extending every help and guidance, without whose excellent guidance and advice the present work could not have seen the light of the day. I am very thankful to JCCC family and the staff of RAGA ESP. For being kind and cooperative with me throughout my SIP. I express my deep regards to my family esp. my beloved parents, relatives, friends, classmates and my colleagues for boosting up my morale at the times of disparity and I am also thankful to my clients and the people whom I have surveyed, for their kind cooperation and the trust they have shown in me.

I would also like to thank all those who directly or indirectly helped me in the completion of my Project

Work. Last but not the least I thank GOD for being with me all the time, throughout the completion of the given task.


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RAVI SHIVHARE

CERTIFICATE

This is to certify that the Project entitled “AN INDEPTH ANALYSIS OF ATTITUDE TOWARDS VARIOUS INCOME TAX SAVING INSTRUMENT

AMONGST BUSINESS CLASS OF JABALPUR CITY” and the OJT “TO open 16 Dmat & Trading a/c In A Month” submitted to JCCC JABALPUR, as a pre-requisite in the partial fulfillment of BBA programme is a record of Project work carried out by RAVI SHIVHARE my supervision from 21ST

March 2009 to 28TH April 2009. I found his project work satisfactory for the fulfillment of the BBA programme offered by RDVV JABALPUR.

MR. ANIL K. GOUTAM MR. GANESH RATHORERAGA SECURITIES AND FINANCE PVT.LTD. HOD. FINANCE FACULTY JABALPUR JCCCC, JABALPUR


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DECLARATION

I hereby declare that the project work entitl”AN INDEPTH

ANALYSIS OF ATTITUDE TOWARDS VARIOUS INCOME TAX

SAVING INSTRUMENT AMONGST BUSINESS CLASS

OFJABALPUR CITY” and the OJT entitled To open 16 Dmat &

Trading a/c In A Month” submitted to JCCC JABALPUR, as a pre-

requisite for the partial fulfillment of BBA Programme, is a record of

original work done by me, under the supervision of Mr. Anil K.

Goutam from RAGA Jabalpur and MR. GANESH RATHORE

HOD. FINANCE FACULTY JCCC, JABALPUR

The present work is completely original to the best of my knowledge.

RAVI SHIVHARE

DATE:


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PLACE:



TABLE OF CONTENTS

Acknowledgements

Certificate

Declaration

List of Tables and Illustrations

Abbreviations

Hypothesis

Executive Summary

Introduction

Context……………………………………………………………………..

Industry…………………………………………………………………….

Company…………………………………………………………………... Product……………………………………………………………………..


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Competitors ……………………………………………………………….



On Job Training (OJT)

Meaning & Objectives…………………………………………………….

Project Work

Objectives…………………………………………………………………. Research Methodology…………………………………………………….

Findings…………………………………………………………………....

Limitations…………………………………………………………………

Discussion……………………………………………………………….....

Conclusion………………………………………………………………....

Suggestions ………………………………………………………….……..

References……………………………………………………………….....

Glossary…………………………………………………………………....


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ABBREVIATIONS

BOB - Bank Of Baroda

BOLT - BSE Online Trading System

BSE - Bombay Stock Exchange

ETF - Exchange Trade Funds

F&O - Futures and Options

FDI - Foreign Direct Investment

FI - Financial Investment

GIC - General Insurance Corporation of India

HNI - High Net worth Income

IDBI - Industrial Development Bank of India

IISL - India Index Services and Products Limited

IPO - Initial Public Offerings

KSBL - Karvy Stock Broking Ltd

LIC - Life Insurance Corporation of India

MF - Mutual Fund

MNC - Multi National Company

NAV - Net Asset Value


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NFO - New Fund Offering

PNB - Punjab National Bank

POI - Population Of Investors

PPF - Public Provident fund

RBI - Reserve Bank Of India

SEBI - Securities And Exchange Board Of India

SIP - Systematic Investment Plan

STP - Systematic Transfer plan

SWP - Systematic Withdrawal Plan

UTI - Unit Trust of India

WDM - Wholesale Debt Market


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HYPOTHESIS

That the people have the awareness about the market.

That the people are very keen in investing Share market.

That the Share market is at boom now

That the earlier sources of investment were not giving

desirable result as because of low interest people.


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EXECUTIVE SUMMARY

The research conducted was descriptive in nature. Jabalpur segment

was surveyed to attain certain results. The survey was conducted to analyze

the customer awareness for share market. The survey was to find out how

much customer is aware about the sector of share, find out the factors which

would influence the buying decision of the customer and to highlight the

awareness about various facts regarding the share and his preference and

willingness to future saving .

With these objectives in mind, a survey was conducted in the Jabalpur

region. Questionnaire method was used to obtain the required information.

Convenient sampling was used as the mode of conducting the survey. Care

was taken that the respondents were as diversified as possible, with all the

regions being given equal weight age and the sample size being suitably

divided among various regions.

A sample size of about 100 people was taken for this purpose form

various parts of Jabalpur. After the survey was complete, the data was first

sorted, and then analyzed on the chosen parameters. This analyzed data was

later converted into various forms of graphs such as pie-chart bar graphs.

This was to make results easily comprehensible by anyone going through the

report. This also made it easy to draw conclusions based on the research and

provide a presentable format of the report.

Later on all this information was compiled in the form of a presentable

and comprehensible data


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INTRODUCTION

Context –

What is Marketing :- Marketing is a social and managerial process by which individuals and groups obtain what they want through creating, offering and exchanging products of value with each other. “Marketing is so basic that it cannot be considered a separate function. It is the whole business seen from the point of view of its final result that is from the customer’s point of view .” These are the words of Woodruff & Hills on Marketing. Marketing occupies a visual position in organization of business unit. Marketing starts well before the production of a product and ends ultimately to customer.

Core Concepts of Market

Needs, Wants And Demand --

Marketing starts with human needs and wants. It is important to distinguish

between needs, wants and demand. A human need is a state of deprivation of some

basic satisfaction. People require food, clothing, shelter, safety, belongingness and

esteem. These needs are not created by society or by market. They exist in the very

texture of human biology and the human condition. Wants are desire for specific

satisfier of needs. Human wants are constantly shaped and reshaped by social

forces and institutions, including churches, schools, families and business

corporations.

Demands are want for specific product that are backed by an ability and

willingness to buy them. Wants become demand when supported by purchasing power e.g. many

people wants Mercedes; but only few are able and willing to buy it. Companies must therefore

measure not only how many people want their product but, more importantly, how many would

actually willing and able to buy it.

Products (Goods, Services And Ideas) --


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People satisfy there needs and wants with products. A product is anything that

can be offered to satisfy a need or want. A product or an offering can consist

of as many as three components : physical good, services and ideas. The

importance of physical product lies not so much in owning them as in obtaining

the services they render. We buy a car because it supplies transportation

services.

Value, Cost and Satisfaction --

Value is the consumer’s estimate of the products overall capacity to satisfy

his or her needs. Suppose any one is primarily interested in the speed and ease

of getting to work. If he was to offered any of the product at no cost, then he would

have definitely choose any of the product of his choice but fortunately every

product involve cost therefore he will consider

the products value and price before making a choice. According to De rose, value

is “the satisfaction of customer requirements at a lowest possible cost.”

Exchange and Transaction --

Exchange is an act of obtaining a desired product from someone by offering

something in return.. Two parties are engaged in exchange if they are negotiation

moving towards an agreement. When an agreement is reached we say that an

transaction has taken place. Transaction involves several \dimensions : at least two

things of value agreed upon conditions, a time of agreement and a place of

agreement.

Relationship and Networks --


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Transaction marketing is a part of large idea called relationship marketing.

Relationship marketing is a practice of building long term & satisfying relationship

with key parties : customers, suppliers and distributors in order to retain there

long term preference and business. The ultimate outcome of relationship

marketing is the building of a unique company asset called a marketing network.

A marketing network consist of the company and all of its supporting stake

holders, customers, employees, suppliers, dealers and distributors. Building a good

network of relationship with customers, stakeholders will lead to continuous flow

of profit.

Market --

A market consist of all the potential buyers sharing a particular need or

want who might be willing and able to engage in exchange to satisfy that need

or want, thus the size of the market depends on the number of people who

exhibit the need or want, have resources that interest others, and are willing and

able to offer these resources in exchange for what they want.

Marketers And Prospects --

When one party is more actively seeking an exchange than the other party,

we call the first party a marketer and the second party a prospect. A marketers is

some one seeking one or more prospects who might engage in an exchange of

values. A prospect is someone whom the marketer identifies as potentially willing

and able to engage in an exchange of values. Marketing, however, is much more

than a company “selling” department.


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Marketing is an orderly and insightful process for thinking about and planning for

markets. The process starts with research of the market place to understand its

dynamics. The marketing person researches to identify opportunities –i.e. to find

individuals or groups of people with unfulfilled needs or a latent interest in some

product or service. The marketing process involves segmentation of the market and

choosing the target market that the company can satisfy in a superior way. The company

must formulate a broad strategy and define a specific marketing process, i.e. marketing

mix and action plan to optimize its long run performance. The company bids in a set of

controls so that it can evaluate results and operate as learning organization, constantly

improving its marketing know how.

COMPITITORS

India Bullss

Indian Info line


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http://images.google.co.in/imgres?imgurl=http://www.in.redhat.com/casestudies/Indiabulls.gif&imgrefurl=http://in.redhat.com/casestudies/Indiabulls.php3&h=63&w=300&sz=4&hl=en&start=1&um=1&tbnid=PyoNO2ixrSH0gM:&tbnh=24&tbnw=116&prev=/images%3Fq%3Dindia%2Bbulls%26svnum%3D10%26um%3D1%26hl%3Den%26sa%3DN%00%E5%A1%B9%EF%92%81%E1%B4%BB%E4%A1%BF%E2%B2%AF%E5%B6%82%E8%97%84%E6%8C%A7%00%00%EA%AE%A5

Karvy

Share Khan

ICICI direct.com

Anand Rathi

KB securities

MarketShare–

Some Facts about BSE --

Bombay Stock Exchange Limited is the oldest stock exchange in Asia with a rich

heritage. Popularly known as "BSE", it was established as "The Native Share & Stock


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Market Share

RAGA

Share Khan

ICICI

Kotak

Karvy

others

Brokers Association" in 1875. It is the first stock exchange in the country to obtain

permanent recognition in 1956 from the Government of India under the Securities

Contracts (Regulation) Act, 1956.The Exchange's pivotal and pre-eminent role in the

development of the Indian capital market is widely recognized and its index, SENSEX,

is tracked worldwide. Earlier an Association of Persons (AOP), the Exchange is now a

demutualised and corporatised entity incorporated under the provisions of the

Companies Act, 1956, pursuant to the BSE (Corporatisation and Demutualisation)

Scheme, 2005 notified by the Securities and Exchange Board of India (SEBI).With

demutualisation, the trading rights and ownership rights have been de-linked effectively

addressing concerns regarding perceived and real conflicts of interest. The Exchange is

professionally managed under the overall direction of the Board of Directors. The Board

comprises eminent professionals, representatives of Trading Members and the

Managing Director of the Exchange. The Board is inclusive and is designed to benefit

from theparticipation of market intermediaries.In terms of organisation structure, the

Board formulates larger policy issues and exercises over-all control.

The Committees constituted by the Board are broad-based.The day-to-

dayoperations of the Exchange are managed by the Managing Director and a

management team of professionals. The Exchange has a nation-wide reach with a

presence in 417 cities and towns of India. The systems and processes of the Exchange

are designed to safeguard market integrity and enhance transparency in operations.

During the year 2004-2005, the trading volumes on the Exchange showed robust

growth. The Exchange provides an efficient and transparent market for trading in

equity, debt instruments and derivatives. The BSE's On Line Trading System (BOLT) is

aproprietory system of the Exchange and is BS 7799-2-2002 certified. The surveillance

and clearing & settlement functions of the Exchange are ISO 9001:2000 certified.


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Some Facts about NSE --

The National Stock Exchange of India Limited has genesis in the report of the

High Powered Study Group on Establishment of New Stock Exchanges which

recommended promotion of a National Stock Exchange by financial institutions (FIs) to

provide access to investors from all across the country on an equal footing.

Based on the recommendations, NSE was promoted by

leading Financial Institutions at the behest of the Government of India and was

incorporated in November 1992 as a tax-paying company unlike other stock exchanges

in the country. On its recognition as a stock exchange under the Securities Contracts

(Regulation) Act, 1956 in April 1993, NSE commenced operations in the Wholesale

Debt Market (WDM) segment in June 1994. The Capital Market (Equities) segment

Commenced operations in November 1994 and operations in Derivatives segment

commenced in Jun.

NSE Milestones

November 1992 Incorporation

April 1993 Recognition as a stock exchange


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May 1993 Formulation of business plan

June 1994 Wholesale Debt Market segment goes live

November 1994 Capital Market (Equities) segment goes live

March 1995 Establishment of Investor Grievance Cell

April 1995 Establishment of NSCCL, the first Clearing Corporation

June 1995 Introduction of centralized insurance cover for all trading members

July 1995 Establishment of Investor Protection Fund

October 1995 Became largest stock exchange in the country

April 1996 Commencement of clearing and settlement by NSCCL

April 1996 Launch of S&P CNX Nifty

June 1996 Establishment of Settlement Guarantee Fund

November 1996Setting up of National Securities Depository Limited, first depository in India, co-promoted by NSE

November 1996 Best IT Usage award by Computer Society of India

December 1996 Commencement of trading/settlement in dematerialised securities

Dataquest award for Top IT User

December 1996 Launch of CNX Nifty Junior

February 1997 Regional clearing facility goes live

November 1997 Best IT Usage award by Computer Society of India

May 1998Promotion of joint venture,India Index Services & Products Limited (IISL)

May 1998 Launch of NSE's Web-site: www.nse.co.in

July 1998 Launch of NSE's Certification Programme in Financial Market

August 1998 CYBER CORPORATE OF THE YEAR 1998 award

February 1999Launch of Automated Lending and Borrowing Mechanism

April 1999 CHIP Web Award by CHIP magazine

October 1999 Setting up of NSE.IT

January 2000 Launch of NSE Research Initiative


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http://www.nseindia.com/content/research/res_introduction.htm

http://www.nseindia.com/content/us/us_nseit.htm

http://www.nseindia.com/content/ncfm/ncfm_introduction.htm

http://www.nse.co.in/

http://www.nseindia.com/content/indices/ind_iisl.htm

http://www.nseindia.com/content/indices/ind_jrnifty.htm

http://www.nseindia.com/content/us/us_nsdl.htm

http://www.nseindia.com/content/indices/ind_nifty.htm

http://www.nseindia.com/content/us/us_nsccl.htm

http://www.nseindia.com/content/equities/eq_introduction.htm

http://www.nseindia.com/content/debt/debt_introduction.htm

February 2000 Commencement of Internet Trading

June 2000 Commencement of Derivatives Trading (Index Futures)

September 2000 Launch of 'Zero Coupon Yield Curve'

November 2000Launch of Broker Plaza by Dotex International, a joint venture Between NSE.IT Ltd. and i-flex Solutions Ltd.

December 2000 Commencement of WAP trading

June 2001 Commencement of trading in Index Options

July 2001 Commencement of trading in Options on Individual Securities

November 2001 Commencement of trading in Futures on Individual Securities

December 2001 Launch of NSE VaR for Government Securities

January 2002 Launch of Exchange Traded Funds (ETFs)

May 2002NSE wins the Wharton-Infosys Business Transformation Award in the Organization-wide Transformation category

October 2002 Launch of NSE Government Securities Index

January 2003 Commencement of trading in Retail Debt Market

June 2003 Launch of Interest Rate Futures

August 2003 Launch of Futures & options in CNXIT Index

June 2004 Launch of STP Interoperability

August 2004 Launch of NSE’s electronic interface for listed companies

June 2005 Launch of Futures & options in BANK Nifty Index

Company

Raga is a company which deals with almost every aspect of financial marketing

like stock broking, distribution of financial products such as mutual funds, fixed


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http://www.nseindia.com/content/fo/fo_products.htm

http://www.nseindia.com/content/press/prs_attn_eii.htm

http://www.nseindia.com/content/press/prs_whatsnew.htm#stp

http://www.nseindia.com/content/fo/fo_products.htm

http://www.nseindia.com/content/fo/fo_interestrate.htm

http://www.nseindia.com/content/rdm/rdm_introduction.htm

http://www.nseindia.com/content/debt/debt_gsecindex.htm

http://www.nseindia.com/content/products/prod_etfs.htm

http://www.nseindia.com/content/debt/debt_var.htm

http://www.nseindia.com/content/fo/fo_stockfutures.htm

http://www.nseindia.com/content/fo/fo_stockoptions.htm

http://www.nseindia.com/content/fo/fo_niftyoptions.htm

http://www.nseindia.com/content/equities/eq_wap.htm

http://www.dotexplaza.com/

http://www.nseindia.com/content/debt/debt_zcyc.htm

http://www.nseindia.com/content/fo/fo_niftyfutures.htm

http://www.nseindia.com/content/equities/eq_internet.htm

deposits, equities, insurance broking, commodities broking, personal finance, advisory

services, merchant banking & corporate finance, placement of equities, IPOs etc.

Raga Securities & Finance Pvt. Ltd. is much renowned in the Mahakaushal

Region for giving the services in the investment & stock market sector. Its promoters

float the company in the year 1995. Prime Focus on customer satisfaction, ethical and

transparent business practices, respect for professionalism, and implementation of

cutting-edge technology have enabled it to blossom as the leader in this business in the

Mahakaushal region since last 10 years.

The company is providing equity investment solutions to thousands of investors through

several outlets spanning all over the country. Raga Securities & Finance Pvt. Ltd.

provides services like Advice-Based Broking, E-Broking Services, Commodities

Trading, and IPO and Mutual Fund Investment Advisory Services.

The organization finds its strength in its team of young, talented and confident

individuals. Qualified professionals carry out different functions under the able

leadership of its promoters Its stringent employee selection process, focus on continuous

training and adoption of best management practices drive Raga Securities & Finance

Pvt. Ltd. quest to achieving its vision.

Board of Directors.

MR. RAM ASHARANI (DIRECTOR).

MRS. HARSHA ASHARANI (DIRECTOR).

MR. DEEPAK SEHGAL (CMD)

Raga Securities & Finance Pvt. Ltd


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MAIN BROKER OF BSE (BOMBAY STOCK EXCHANGE).

MAIN BROKER OF ISE (INTER CONNECTED STOCK EXCHANGE).

MAIN-BROKER OF NSE (NATIONAL STOCK EXCHANGE).

MAIN-BROKER OF FOREX

Our Eight Gems --

RAGA FINVEST LTD. (REGD. NBFC).

RAGA SECURITIES & FINANCE PVT. LTD. (MEMBER OF BSE).

RAGA COMEX PVT. LTD. (MEMBER OF MCX/NCDEX).

RAGA SHARES & SECURITIES PVT. LTD.

RAGA CREDIT CO-OPERATIVE LTD.

RAGA MARKETING & CONSULTANCY PVT. LTD.

RAGA SHARES TRADING PVT. LTD.

RAGA STRUCTURES & BUILDCON COMPANY PVT. LTD

Achievements Of The Company

Ranked among the top brokers in Mahakaushal Resign.

Number 1 Registrar & Security transfer.

Largest network of branches & business associates..

Largest distributor of financial products in M.P.

Full fledged IT drive operations.

Ranked among top depository participants in Mahakaushal region.


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Raga is known to be the Leader in the market because of its widespread network

of branches all over the country. Although the company is facing a tough competition

from its competitors like Kotak, ICICI Direct, Share khan, India bulls, Anand Rathi

Securities, Anagram etc but because of its long time reputation the client base for the

company is increasing day by day. As mentioned earlier Karvy deals with almost every

kind of financial equipment thus it is having each and every kind of clients ranging from

lower middle class to H.N.I. clients.

ON JOB TRAINING (OJT)

MEANING

When a person is trained in the real conditions while working in an

organization we can call it as “On Job Training”.

In this kind of situation, the person who is on training is exposed

directly to the real working conditions.

This kind of training on one side is a bit risky for the organization as

the person who is on training is new and unaware of the working

conditions and the chances of mistakes are higher. On the other hand

“On Job Training” could be beneficial to the organization as time and

money which is needed to train a person separately is saved.

OBJECTIVES

To be aware of the company’s work culture.


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To get the knowledge of the product portfolio of the Company (Mutual

funds, Equities, Derivatives etc.).

To get the knowledge of various functions performed by company’s

different sections like Terminal, on which the trading is done for

customers for Equities, Derivatives and Commodities.

Another section is Front Office which is responsible for entertaining

the customers, dispatching of contract notes and last but not the least,

the Back Office section which deals with trading record of customers,

allotment of shares or equities, making contract notes, dealing with

credit and debit of customers, maintaining financial records etc.

To get the knowledge of marketing activities like sales and promotion,

direct interaction with customers and to get acquainted with various

stock market activities.

Hands on Experience

Learn to operate terminal and trading for customers for equities

(intraday and delivery).


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To get acquainted with front office and back office activities.

To do the marketing for the products of the company. Collection of

cheques from the customers.

Making MIS and Daily Turnover Reports.

Marketing of the products of the company like mutual funds etc.

Questionnaire survey to know the investment psychology of the people

and to build up a database for the company.

Opening Trading Account for the company

Strategy

The strategy which was adopted by my company guide was that during

my initial days in the company I had to learn the operations which

were performed in the company and in the last two months of my SIP I

was sent for questionnaire survey and marketing.

That is why if some one cross questioned me while marketing, I was

able to solve his doubts regarding stock market, products of the


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company etc Up till know I am completely aware of almost all the

activities carried out in the company.

I am used to with operating the terminal and doing offline trading for

customers.

I am having adequate knowledge of front office activities like

entertaining customers, dispatching contract notes etc.

I also got the knowledge of various back office activities like

maintaining the record of equity holding of customers, making contract

notes etc.

I got the experience of face to face interaction with customers while

doing the customer survey.

I am having the knowledge of making MIS and Daily turnover reports.

I did the marketing of Mutual funds for the company.

I collected the customer database for the company.

ACHIEVEMENTS

I have received an appreciation letter by my company guide .


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I have opened the account of head of [Forest, Irrigation] Mahakaushal

resign.

I learned the terminal operation and off-line and online trading.

I am used to with front office and back office activities.

I am having the knowledge of direct dealing with customers.

I am having an adequate knowledge of marketing activities like sales

and promotion etc.

I am having complete knowledge of share trading brokerage charges

which are as follows:

I gathered a database of around 50 people through questionnaire survey

and these people could be converted into clients of the company in

future.

Analysis of Performance Vs Target

NO OF MONTH TARGET ASSIGNACHIEVED AMT

IN RS.

MARGIN

MONEY

& HOLDING

IPOS

MARCH 4 DMAT &

TRADING ------------ ---------- ------------

------


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APRIL 12 DMAT &

TRADING

10 DMAT &

TRADING

5,500

RS.

7O,OOO

RS.

------

TOTAL 16 DMAT &

TRADING

10 DMAT &

TRADING

5500

RS.

70,000 RS. …….

LIMITATIONS

Getting accurate response form the respondents due to their inherent

problems. They may be partial or refuse to cooperate.

Many of the people don’t find time to listen to the product features.

Computer save people are only suitable to open the Demat a/c with On-

line software.

Sample size is limited due to the limit period of 02 days allocated for

survey.

Unavailability of database

People of Jabalpur city are mainly from middle-income group and they

think investment in government securities, which are risk averse.

People hesitate to trade in shares due to lack of knowledge about share

market and unavailability of time.


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Customer care provided at Raga securities & finance private Ltd. is not

so effective.

Too many formalities in filling form .Pan card is the mandatory,

mismatch in signature can lead to rejection of form. Form is scrutinized

at 3 places and takes about 10 days for opening an account.

JABALPUR COLLEGE OF COMPUTERS &

COMMUNICATION


“AN INDEPTH ANALYSIS OF ATTITUDE TOWARDS VARIOUS INCOME TAXES SAVING INSTRUMENT AMONGST BUSINESS CLASS

OF JABALPUR CITY”


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SUBMITTED BY

RAVI SHIVHAREJABALPUR COLLEGE OF COMPUTERS & COMMUNICATION

Summary of the project

As per my project “AN INDEPTH ANALYSIS OF ATTITUDE TOWARDS

VARIOUS INCOME TAXES SAVING INSTRUMENT AMONGST BUSINESS

CLASS OFJABALPUR CITY” has prepared a proper scheduling for my thesis there

is my brief summary of the project.

Step – 1


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I have prepare my 3c report in my first step there I analyzed company customer,

competitor,

Step -2

I also prepared synopsis report for the project. All these reports were submitted to the respected faculty guide before the deadlines. There is no delay for the submission.

Step-3I have prepared the questionnaire for the survey.

Step -4

After that I identify my target customer and starts my project works with

meet the businessmen of Jabalpur city.

Step -5

I have met with customer and given the questionnaire to watch out the view

of the customer.

Step -6

I analysis the data with different mathematical technician and short out the

conclusion.

Step – 7

I had also prepared some planning schedule to maintain balance between the works of OJT & M.T. I have prepared the final report on executive training & interim report on Management thesis.

Sample size – 50 Location -- Jabalpur


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Target -- Business class person [Middle and higher level]

Responsibility –

First and foremost objective is to sell the Demat $ Trading a/c of 25

To gain the complete knowledge about the product BSC, NSC, COMODITY,

NCDEX, FD’S, TRAVELLING

To generate the leads through the survey.

To sort out the prospective leads from the data I have collected through the

survey

To build the relation ship with the new customers and to follow up them, make

sure that they are satisfied with the product.

To maintain good relationship with the corporate employees.

To get more references from the customers and generate new leads by

following a chain process.

How maintain good relationship with the corporate employees

To find out the customer awareness on booming Financial market and to find

out the investment patterns of the people

The make the customer aware of the benefits of the product and convince him

to open the account.

Nature of the project –


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“AN INDEPTH ANALYSIS OF ATTITUDE TOWARDS VARIOUS INCOME TAXES SAVING INSTRUMENT AMONGST BUSINESS CLASS

OFJABALPUR CITY”

IntroductionAs per my subject an income tax is a tax levied on the financial income of persons, corporations, or other legal entities. Various income tax systems exist, with varying degrees of tax incidence. Income taxation can be progressive, proportional, or regressive. When the tax is levied on the income of companies, it is often called a corporate tax, corporate income tax, or profit tax. Individual income taxes often tax the total income of the individual (with some deductions permitted), while corporate income taxes often tax net income (the difference between gross receipts, expenses, and additional write-offs).

There are three group of businessmen –

Higher Investment Capability or H N I clients These are the people

who makes the base for the company’s or an organization’s or the Society

financial outcome and that is the reason why all the organizations greatly

emphasize on this particular sector of investors because they know that once

they are able to get the attention of this sector, they can generate more than

70% of total income of the Govt from this particular sector. This sector plays

an important role in the fluctuations of the Market.


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http://en.wikipedia.org/wiki/Corporate_tax

http://en.wikipedia.org/wiki/Regressive_tax

http://en.wikipedia.org/wiki/Flat_tax

http://en.wikipedia.org/wiki/Progressive_tax

http://en.wikipedia.org/wiki/Tax_incidence

http://en.wikipedia.org/wiki/Income

http://en.wikipedia.org/wiki/Tax

The main factor is there that these HNI businessmen are Risk taker so

they invest there money for gaining profit not only for save the future.

For Example: When SENSEX faced a huge downfall of 826 and 1111 points

on 18/03/09 and 29/03/09 respectively, one of the many reasons given for

this was that the clients with very high investment in Equities and Mutual

funds had withdrawn there money from the market to invest in USA because

the interest rateson investments in USA were increased. These are the people

who invest in both Derivatives and Cash section of Equity market and in

Mutual funds at maximum with lump sum investment. So now we can very

well understand the importance of higher investment capability clients

Medium Investment Capability clients:

These are also the regular customers of an organization but their

investment capability is not very high and they contribute for around 25% of

the of the total income of an organization. These people generally avoid large

investments because of there lower risk taking ability and they prefer to play

for lower profits as compared to H N I clients. They generally invest there

money for safe the future not for gain the profit they also invest in Mutual

funds but avoid huge investment

Lower Investment Capability clients:

This is the category of people who are not having large capital to invest

and they do not come under the category of regular investors because firstly

they fulfilled there basic needs after they want to start saving for future. They

contributes for around 5% of the total income for safe there future.


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Main aim is technical and functional training that:

To clear that in future’s opportunities for this training.

To give information that how you can contribute to the organization with the help of training and to promote if you have knowledge to related subject.

To improve creativity thinking in technical and others fields.

Developing tomorrow’s technical skilled managers. Brief Overview of Company

Achievements

I have learnt the basics functioning of Stock Market.

To gain the complete knowledge about the product BSC, NSC, COMODITY, NCDEX, FD’S, TRAVELLING

I have collected knowledge about my SIP Company Raga securities & Finance Pvt. Ltd. and about its functioning.


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I am having the knowledge of direct dealing with customers.

I have collected information about the marketing activities like sales and promotion etc that are applied in my SIP Company.

I have sold 10 DMAT accounts in 21ST march to 27TH April, where my margin amount is 64,000

I have sold 12 DMAT accounts May, where my margin amount is

64,000

Body of the Thesis

RESEARCH METHODOLOGY

The objective of present study can be accomplished by conducting

a proper company research and a employees survey. Company

research is the systematic design, collection analysis and reporting of


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data and findings that are relevant to different marketing situation

facing the company.

Methods of data collection

Primary data – Primary data is the first hand data, which is unpublished and is yet to be published. We have collected primary data through structured questionnaires and interviews.

Interview method : The interview method of collecting the primary data involves the presentation of oral – verbal responses. This method can be used through personal interview and, if possible, through telephone and mail interview.

Content analysis : content analysis consist of analyzing the

contents of documentary materials such as books, magazines newspaper and the contents of all other verbal materials which can be either spoken, are printed.

Secondary data:

(I) Previous report, Books and other reading references.

(ii) Internet (Website of Raga securities, Search engines)

Sampling Method

Random Stratified Sampling – In our project for sampling method we have used the random stratified sampling method.

Population- In my project RAGA‘s department is my sample area.

Sample size- In my project the sample size is 50.


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SECTOR ANALYSIS

Finance Industry

At the time of independence in 1947, there was no any specific development in

the field of finance in India. After sometime with the adaptation of theory of mixed

economy the development of financial system took a different turn, so as to fill the

socio-economic and political objectives.

RBI was nationalized in 1948 and in 1956, 245 life insurance companies were

brought under government control by merging all of them into a single corporation

called LIC of India. UTI was established in 1964, as public sector institution to collect

the savings of the people and make them available for the productive ventures. Then

took place the establishment of development banks like IFCI, IDBI etc and since then

the Indian finance industry is getting new heights at every point of time. As finance is

known as the life fluid of any organization or economy, it has always been given some

extra importance. It is very important for the sustainability and development of an

organization.

After the Globalization finance sector in India has always been on a rise. Various

fields in this sector are emerging because of thegrowing competition between business

firms and industries due to the entry of MNC’s in the national arena. At present Indian

investments are showing strong potential based on phenomenal growth in Indian

markets this year. The Indian Stock Market is returning 30% a year. India has certainly

emerged as a favorite among investors looking to strengthen there portfolio and some

are reaping huge rewards investing in India.

Last year India pulled in $7.5 billion of FDI and this year that is

expected to reach $10 billion by some Indian market analysts.


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A Standard and Poor’s study released in March said that India has one of the fastest

FDI growth rates among individual countries. With an annual average of 28% between

1999 and 2005, Indian investments are becoming increasingly tempting to many,

evidenced by rush of portfolio investments, plus large increasing private equity firms

buying into Indian companies. Indian companies appears strong, and the Indian market

is performing extremely well. You can go for Indian investments, and perhaps you

could find that Indian investments are right not only for you but for every wise investor.

Financial Services

Financial services are a term used to refer to the service provided by the finance

industry. Financial services is also the term used to describe organizations that deal with

the management of money and includes merchant bank, credit card companies,

consumer finance companies, govt. sponsored enterprise , and stock brokerage.

Financial services is the largest industry (or industry category) in the world, in terms of

earnings; as of 2004 the industry represents 20% of the market capitalization.

Type of Financial Services

• Banking Services

• Commercial bank

• Investment services

• Insurance services.

Sector Analysis

Raga share trading company is a private limited company its working on shares in

finance sector.


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Definition of share:

Certificate representing one unit of ownership in a corporation, mutual fund, or

limited partnership.

Type of share Equity share

1. Equity share

2. Preference share

Trading

On – line share trading – allows investors to buy or sell shares e-

commerce through their own computer (or other electronic device) on the

Internet.

Off – line share trading - A transaction would be conducted which

was off-exchange or over-the-counter.

Capital Market

The Indian capital markets have witnessed a transformation over the last decade. India is now placed among the mature markets of the world. Key progressive initiatives in recent years include:

• The depository and share dematerialization systems that have enhanced the efficiency of the transaction cycle

• Replacing the flexible, but often exploited, forward trading mechanism with rolling settlement, to bring about transparency

• The InfoTech-driven National Stock Exchange (NSE) with a national presence (for the benefit of investors across locations) and other initiatives to enhance the quality of financial disclosures.


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• The Securities and Exchange Board of India (SEBI) has effectively been functioning as an independent regulator with statutory powers.

• Indian capital markets have rewarded Foreign Institutional Investors (FIIs) with

attractive valuations and increasing returns

Mutual Funds

A mutual fund is a group of investors operating through a fund manager to

purchase a diverse portfolio of stocks or bonds. There are various kinds of mutual funds,

each with its own goals and methodologies. Whether or not a mutual fund is a good

investment is a matter of much public debate, with many claiming they are excellent for

the average person, and others saying they are simply a poor way to invest.

A mutual fund may be either an actively managed fund or an indexed mutual fund.

Actively managed funds are changed on a regular basis by a fund manager in the

attempt to maximize their profitability. They fund manager looks at the market and the

sectors a fund invests in and redistributes the fund accordingly.

Insurance

With the opening of the market, foreign and private Indian players are keen to convert untapped market potential into opportunities by providing tailor-made products:

• The presence of a host of new players in the sector has resulted in a shift in approach and the launch of innovative products, services and value-added benefits. Foreign majors have entered the country and announced joint ventures in both life and non-life areas. Major foreign players include New York Life, Aviva, Tokio Marine, Allianz, Standard Life, Lombard General, AIG, AMP and Sun Life among others.

• With competition, the erstwhile state sector companies have become aggressive in terms of product offerings, marketing and distribution.

Opportunities


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• There is no tax on distributed income of Vices. The income distributed by the funds is only taxed at the hands of the investors.

• Increase in incomes with potentially high penetration of both banking and insurance products to increase the market size, will be the powerful drivers of growth in the sector.

• Continued de-regulation and increased competition is expected to result in the Indian financial services reach US$ 51 billion by 2007.

How management thesis beneficial of the RAGA

My management topic is related to income tax saving scheme amongst the businessperson of Jabalpur city and 75% businessmen are belonging to raga so they all are aware with all the scheme.

OBJECTIVES

To understand the demand of the customer.

To cater to specific needs of individual client.

To have customer retention through proper feedback.

To satisfy customer with highest degree.

To understand the risk profile of the individual.

To also understand the risk appetite of the individual client.

To understand the various needs of the customer.

To know investment capability or potential of the clients through the various


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Investments avenues like LIC, NSC, and Public Provident fund, House loan.

Detailed Discussion of Objectives And Their Elements

My Project work is based on the study of ATTITUDE TOWARDS VARIOUS INCOME TAXES SAVING INSTRUMENT AMONGST BUSINESS CLASS OFJABALPUR CITY Before surfing deep into the topic we should discuss about the meaning of Income-tax saving plan, which is nothing but the capacity of the customer invest or we can call it as ‘the investment capability of the customer’ and how it affects the marketing of LIC, NSC, Public Provident Funds and house loan. If the financial capacity of the customer does not match with the monetary requirements of these products than it becomes very difficult to save the money.

Close Ended Funds

The corpus of the fund and its duration are pre-fixed or the corpus of the fund and

number of units are determined in (A) On the basis of execution and operation:

Close Ended

Open Ended

(B) On the basis of yield and investment pattern:

Income Fund

Growth Fund

Balance Fund

Specialized Fund

Money Market fund

Taxation Fund

Advance. Once the subscription reaches the predetermined level, the entry of

investors is closed. After the expiry of the fixed period, the entire corpus is disinvested


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and the proceeds are distributed to the various unit holders in proportion of there

holding. Thus the fund ceases to be a fund after the final distribution.

Open Ended Funds

The size of the fund or the period of the fund is not predetermined. The investors

are free to buy and sell any number of units at any point of time. If these units are not

publicly traded, the fund is ready to repurchase them and resale them at any time.

Income Funds

This fund aims at generating and distributing regular income to the members on a

periodical basis. It concentrates more on the distribution on regular income and it also

sees that the average return is higher than that of the income from bank deposits.

Growth Funds

These funds concentrate mainly on long run gains i.e. capital appreciation. They

do not offer regular income and they aim at capital appreciation at long run. Hence they

have been described as ‘Nest Eggs’ investments.

Balance Funds

These are also called ‘income-cum-growth’ fund. It aims at distributing a regular

income as well as capital appreciation. This is achieved by balancing the investments

between the high growth equity shares and also the fixed income earning securities.

Specialized Funds

They offer some specific schemes so as to meet the specific needs of people of

specific categories of people like pensioners, widows etc. Certain funds may be

confined to one particular sector or industry like fertilizer, automobiles, petroleum etc.

These funds carry heavy risk since the entire investment is in one industry.

Money Market Mutual Funds


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These funds are basically open ended mutual funds as they have all the features of

open ended fund. But, they invest in highly liquid and safe securities like commercial

papers, banker’s acceptances, certificates of deposits, treasury bills etc. These

instruments are called money market instruments.

Taxation Funds

These are basically growth oriented funds. But they offer tax rebates to the

investors either in the domestic or foreign capital market. It is suitable to salaried people

who want to enjoy tax rebates particularly during the month of February and March. In

India, at present the law related to tax rebates is covered under Section 88 of Income

Tax Act 1961.

LIMITATIONS

The study is limited only to only the business person of the Jabalpur city.

Visiting various type of businessperson is very time consuming and tedious.

Getting positive responses from the respondents due to their inherent problems is difficult; they may be partial or refuse to cooperate.

Respondents may not be available or meet us at one visit and may have to be re-contacted.


45

Employees are not ready to give response related to their training.

Topic is related to only income tax saving instrument and people are not aware with these scheme

. Some misunderstandings in the mind set of the people regarding tax saving

scheme.

Maximum people are having superficial knowledge of Income tax saving scheme

but basic knowledge is lacking.

Many of the respondents were not very fair while questionnaire survey because of

there predetermined mind set.

Because of some previous misguidance people does not easily believe on private

investment avenues..

Some previous bad experiences which took place with the people.

Swot Analysis of the company

Strengths:

Experts in share market.

Low Brokerage Charge.

Provide information daily through phone.

Provide free of cost Software.

Customer Satisfaction.

Daily tips for customer.


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Limitations:

DP is not in the name of companies.

Only 10 year Old Companies.

Only 22 Locations in India.

People are not aware in this company

Opportunity:

A new international market.

Moving into new market segments that offer improved profit.

A market vacate by an ineffective competitors.

Threats:

A competitors has a new innovative product/services

Price wars with competitors.

New competitors in home markets.

A Small Journey of sip

Summer internship program is not a easiest task but it’s a practical knowledge

of market specially for women’s it’s a very tough and challenging task. but

some one saying – IMPOSSIBLE IS THE WORD IN THE DICTIONARY OF

FOOLS AND NOTHING IS IMPOSSIBLE IF YOU WANT TO DO IT.


47

In starting I just want to proof only that my skills because I know it’s a time

to standing in the market. and I decided when I completed my SIP so I got some

thing not only for me but my family and my faculty guide which show me a right

path of my carrier .

I can only hope for the best. Having a disciplined, experienced and caring faculty

guide MR. GANESH RATHORE, I can certainly expect my self-coming out with

flying colors.

Do every thing is best in your life because THERE IS NO SECOND CHANSE OF

FIRST IMPERSION ANDTHERE IS NO ANY SHORT CUT OF SUCCESS.

THANK YOU

RAVI SHIVHAREJABALPUR COLLEGE OF COMPUTERS & COMMUNICATION

RANIDURGAVATI VISHWVIDYALAYA JABALPUR (M.P)

BIBLIOGRAPHY

Lists of Books

INCOME –TAX [MR.Shukle and sahay] Marketing Management (RDVV JABALPUR)

Managerial Effectiveness (RDVV JABALPUR)

WEB SITES

1. http://www.finpipe.com /Derivatives Explained/Article by Chand Sooran,


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http://www.finpipe.com/

2. Principal, Victory Risk Management Consulting Inc.

3. http://www.amfiindia.com

4. http://www.karvy.com

5. http://www.nseindia.com

6. http://www.bseindia.com

7. http://www.appuonline.com

8. http://www.dhavin.com/resources/live.html

9. http://hindi.business-standard.com/hin10.http://snpnifty.com/livenews.html11.http://snpnifty.com/companynews.html12.http://www.capitalmarket.com13.http://www.desicomments.com 14.http://stocksbuzzz.blogspot.com/15.http://www.bazaartrend.com/16.http://www.hindustantimes.com17.http://www.moneycontrol.com/18. http://www.me2everyone.com/23407019.http://www.thehindubusinessline.com20.http://www.myiris.com/shares21.http://www.moneycontrol.com/stocks/marketstats

GLOSSARYNet Asset Value (NAV)

Net Asset Value is the market value of the assets of the scheme minus its

Liabilities. The per unit NAV is the net asset value of the scheme divided by the

Number of units outstanding on the Valuation Date.

Sale Price


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http://www.myiris.com/shares

http://www.thehindubusinessline.com/

http://www.me2everyone.com/234070

http://www.moneycontrol.com/

http://www.hindustantimes.com/

http://www.bazaartrend.com/

http://stocksbuzzz.blogspot.com/

http://www.desicomments.com/

http://www.capitalmarket.com/

http://snpnifty.com/companynews.html

http://snpnifty.com/livenews.html

http://hindi.business-standard.com/hin

http://www.dhavin.com/resources/live.html

http://www.appuonline.com/

http://www.bseindia.com/

http://www.nseindia.com/

http://www.karvy.com/

http://www.amfiindia.com/

Is the price you pay when you invest in a scheme. Also called Offer Price. It may

Include a sales load.

Repurchase Price

Is the price at which a close-ended scheme repurchases its units and it may include

a back-end load. This is also called Bid Price.

Redemption Price

Is the price at which open-ended schemes repurchase their units and close-ended

Schemes redeem their units on maturity. Such prices are NAV related.

Sales Load

Is a charge collected by a scheme when it sells the units. Also called, ‘Front-end’

load. Schemes that do not charge a load are called ‘No Load’ schemes.

QUESTIONNAIRE

Name –Designation-Occupation-Address –Phone-

1.Do your income falls under Income- tax limit.

[A] Yes [B] No [c] Little


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2. Do you know the Income tax limit and tax – rate?


3. Are you aware what are the different tax saving scheme available in the market.


If yes please give the name.

4. You choose which policy decide the rank

[A] Life insurance Policy [B] Public Provident Fund.

[c] National Provident Fund

[E] House Loan

5. You want to save money for --

[A] Safety.

[B] Return.

[C] Profit.

7. Are you satisfied with current tax structure?


8. What is your suggestion?


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bba project

Documents

jccc jabalpur

raga jabalpur

rdvv jabalpur

jabalpur faculty guide

narmada road katanga

ravi shivhare jccc

record of project work

project work objectives