“A STUDY ON THE EFFECTIVENESS OF CLIENT ACTIVATION AND

ITS FINANCIAL IMPACT AT EDELWEISS BROKING LIMITED”

PROJECT REPORT

Submitted to

UNIVERSITY OF MADRAS

In partial fulfillment of the requirements for the award of the degree of

MASTER OF BUSINESS ADMINISTRATION

Submitted by

R.NANGAI

Reg.No. MA90780

Under the guidance of

Mr.RAJALINGA PANDIAN M.Tech, MBA.

DEPARTMENT OF MANAGEMENT STUDIES

VEL SRI RANGA SANKU COLLEGE (ARTS & SCIENCE)

(Approved by AICTE, New Delhi & Affiliated to University of Madras)

Avadi, Chennai – 600 062.

April 2010

CERTIFICATE

This is to certify that the project work titled “A STUDY ON THE

EFFECTIVENESS OF CLIENT ACTIVATION AND ITS FINANCIAL

IMPACT AT EDELWEISS BROKING LIMITED” is a Bonafide Work done

by R.NANGAI (Reg.No. MA90780) under the guidance of Mr. RAJALINGA

PANDIAN M.Tech, M.B.A in partial fulfillment of Requirement of the degree

of Master of Business Administration of the University of Madras during the

academic year 2010-2011under my support and guidance.

Internal guide Head of the department

Principal

Data of viva-voce examination

Internal Examiner External Examiner

DECLARATION

I R.NANGAI, hereby declare that the project report, entitled “ A STUDY ON

THE EFFECTIVENESS OF CLIENT ACTIVATION AND ITS

FINANCIAL IMPACT AT EDELWEISS BROKING LIMITED” submitted

to the VEL SRI RANGA SANKU COLLEGE, AVADI in partial fulfillment of

the requirement for the award of the degree of MASTER OF BUSINESS

ADMINISTRATION is a record of original work done by me under the guidance

of Mr. RAJALINGA PANDIAN,M.Tech, M.B.A and it has not formed the

basis for the award of any degree follow.

DATE: Signature of the student

PLACE:

ACKNOWLEDGEMENT

My sincere thanks to our Honorable founder and Chairman Thiru.

Dr. R. RANGARAJAN B.E (EC.MECH) M.S., (Auto) for providing me a

golden opportunity to study the MBA course and for worthy suggestions, advice

and encouragement, throughout the course.

My sincere thanks to our Principal, Dr. ATHIRAJA SRINIVASALU,

M.COM, M.Phil., Ph.D. and HOD Mr.SUKUMAR, M.B.A, Ph.D., who

rendered invaluable help during the completion of project.

Most importantly, I acknowledge the contribution of my internal guide

Mr. RAJALINGA PANDIAN, M.Tech, M.B.A., faculty Guide, for his

continuous guidance for the successful completion of the project work.

It is the most pleasant to record my gratitude to

Mr. DINESH (Area Manager) and Mr. VIKAS GUPTA AND Mr.PRAVIN

KUMAR (Relationship Manager) who allowed to do the project work and also

for his continuous support and encouragement and his guidance.

I also like to extend my thanks to my beloved family, all my friends who

helped me in computing this project work successfully.

ABSTRACT

Edelweiss Capital Limited is a Mumbai based company which started

its operation in the year 1995. The mission statement of the company is “Ideas

create, values protect”. It provides services like investment banking,

institutional equities, private client broking, asset management, wealth

management, investment advisory services, treasury, insurance broking,

wholesale financing, and mutual funds. The major clients are corporations,

institutional investors, and high net-worth individuals.

This project is a study on the Effectiveness of client activation and its

financial implication at Edelweiss helps to analyze the revenue generated by

client activation and also to understand why clients prefer Edelweiss rather than

the other broking company. The project also deals with Customer relationship

management (existing, prospective and dormant clients).

As an intern, I talked to the clients and tracked their investment pattern

to help them suggest the kind of financial product they should use according to

their risk appetite. Adding to this, I have been communicating with different

types of customers through various media, including client visits, for this

project. The strategy followed by Edelweiss is unique and acts as a (USP)

unique selling proposition in favour of the company. The strength of Edelweiss

is its market image and well equipped research team.

TABLE OF CONTENTS

CHAPTER NO. CONTENTS PAGE NO

I 1.1. Introduction 1

1.2 Objective of the Study 2

1.3 Scope of the study 3

1.4 Limitation of the study 4

II 2.1 Industry Profile 5

2.2 Company Profile 14

2.3 Organization Chart 38

III Review of Literature 39

IV Research Methodology 44

V Data Analysis and Interpretation 47

VI Findings 99

VII Suggestions 100

Conclusion 101

Bibliography 102

Appendix 103

LIST OF TABLES

TABLE NO. PARTICULARS PAGE NO

1. REVENUE OF CLIENTS

ACTIVATED FROM DEC 1-FEB1

47-52

2. REVENUE GENERATED 55

3. CLASSIFICATION BASED ON THE CLIENTS AGE

60

4. CLASSIFICATION BASED ON THE CLIENTS GENDER

62

5. CLASSIFICATION BASED ON THE OPENING OF DEMAT ACCOUNT

64

6. CLASSIFICATION BASED ON THE CLIENTS INTERESTED IN

TRADING

66

7 CLASSIFICATION BASED ON THE CLIENTS REMAINING INACTIVE

68

8 CLASSIFICATION BASED ON THE CLIENTS GET ACTIVATED

70

9. CLASSIFICATION BASED ON THE KIND OF TRADING OPTED

72

10. CLASSIFICATION BASED ON THE KIND OF INVESMENT

74

11. CLASSIFICATION BASED ON THE REQUIREMENT OF TRAINING

76

12.. CLASSIFICATION BASED ON THE CLIENTS STOCK HOLDINGS IN

OTHER COMPANY

78

13 CLASSIFICATION BASED ON THE SUBSCRIPTION PLAN ADOPTED

80

14. CLASSIFICATION BASED ON THE SATISFACTION LEVEL OF THE

CLIENT

82

15. REVENUE GENERATED 84

16. COMPARITIVE BALANCE SHEET 87-90

17. COMPARITIVE PROFIT AND LOSS

ACCOUNT

91-94

LIST OF CHARTS

CHARTNO. PARTICULARS PAGE NO

1. REVENUE ON DEC 53

2. REVENUE ON FEB 54

3. CLASSIFICATION BASED ON THE

CLIENTS AGE

61

4. CLASSIFICATION BASED ON THE CLIENTS GENDER

63

5. CLASSIFICATION BASED ON THE OPENING OF DEMAT ACCOUNT

65

6. CLASSIFICATION BASED ON THE CLIENTS INTERESTED IN

TRADING

67

7 CLASSIFICATION BASED ON THE CLIENTS REMAINING INACTIVE

69

8 CLASSIFICATION BASED ON THE CLIENTS GET ACTIVATED

71

9. CLASSIFICATION BASED ON THE KIND OF TRADING OPTED

73

10. CLASSIFICATION BASED ON THE KIND OF INVESMENT

75

11. CLASSIFICATION BASED ON THE REQUIREMENT OF TRAINING

77

12.. CLASSIFICATION BASED ON THE CLIENTS STOCK HOLDINGS IN

OTHER COMPANY

79

13 CLASSIFICATION BASED ON THE SUBSCRIPTION PLAN ADOPTED

81

14. CLASSIFICATION BASED ON THE SATISFACTION LEVEL OF THE

CLIENT

83

CHAPTER – I

INTRODUCTION

INTRODUCTION

A Share market/stock markets is an open market for fiscal operations

such as trading of a firm's share and derivatives at a fixed cost. These securities

are further listed on a stock exchange. These listed securities are traded through

the share broking company. It is a place, where stocks, bonds, and/or derivatives

in listed companies are bought and sold.

The Company commenced investment banking activities &

registered with SEBI as a Category I Merchant Banker' [as defined under the

Securities and Exchange Board of India [Merchant Bankers Rules, 1992s] and

thereafter as a 'Portfolio Manager' [as defined under the Securities & Exchange

Board of India [Portfolio Manager’s] Rules, 1993s] & as an 'underwriter' under

the Securities & Exchange Board of India [Underwritings] Regulations, 1993.

Edelweiss broking limited performs client activation through which

the revenue of the company gets increased. Investment Banking, Institutional

investment, Asset management, Wealth management, Private client brokerage,

Insurance brokerage, wholesale financing are services rendered by Edelweiss

broking limited

OBJECTIVES

OBJECTIVES OF THE STUDY

PRIMARY OBJECTIVE

To study the effectiveness of client activation and its financial performance.

SECONDARY OBJECTIVES

1. To know the trend of the financial performance of the Edelweiss2. To evaluate effectiveness of client activation3. To measure the increase in the revenue of the Edelweiss due to client

activation.

SCOPE

SCOPE OF THE STUDY

• The Project aims at evaluating the revenue generated through client

activation, thereby it helps the company in increasing the effectiveness of

client activation.

• The study also focuses on the benefits and drawbacks of the company

which helps in strengthening up the stronger areas and to take corrective

action to overcome the drawbacks which helps in increasing the turnover

of the company to the peak.

• This project in share broking company helps me in understanding the

working and the functioning of the share market which helps to

effectively increase the revenue of any share broking company if in

future if I get a chance of doing it.

• This Study also focus on educating the client about Online Trading.

LIMITATION

LIMITATIONS OF THE STUDY

• The project is not conducted all over India it is limited to Chennai.

• Limited to 2 branch in Chennai.

• The Survey was Conducted only through phone hence sometimes there

may would have been some misunderstanding in questions.

• As the data concerned with the share broking limited is highly

confidential it was very difficult for me to get all the data.

• The Time period for the project was only for 2 months which is a major

limitation.

CHAPTER – II

INDUSTRY PROFILE

INDUSTRY PROFILE

Inception- The roots of a stock market in India began in the 1860s

during the American Civil War that led to a sudden surge in the

demand for cotton from India resulting in setting up of a number of

joint stock companies that issued securities to raise finance.

Bubble burst- The early stock market saw a boom till 1865, and

then in Jul

1865, what was then used to be called the share mania ended with

burst of the stock market bubble. In the aftermath of the crash, banks,

on whose building steps share brokers used to gather to seek stock tips

and share news, disallowed them to gather there, thus forcing them to

find a place of their own, which later turned into the Dalal Street. A

group of about 300 brokers formed the stock exchange in Jul 1875,

which led to the formation of a trust in 1887 known as the “Native

Share and Stock Brokers Association”

It was in 1875 that the Indian Share Market first started

functioning. The first share trading association in India was known

as the Native Share and Stock Broker's Association. Though many

other exchanges exist, BSE and the National Stock Exchange of

India account for most of the trading in shares in India .Thus the

Main components of Indian Share Market are

A) Bombay Stock Exchange (BSE):

The Bombay Stock Exchange (BSE) (Hindi: Bombay Śhare

Bāzaār) is the oldest stock exchange in Asia and largest number of listed

companies in the world, with 4990 listed as of August 2010.It is located at Dalal

Street, Mumbai, India. On Aug, 2010, the equity market capitalization of the

companies listed on the BSE was US$1.39 trillion, making it the 4th largest

stock exchange in Asia and the 11th largest in the world.With over 4,990 Indian

companies listed & over 7700 scrips on the stock exchange, it has a significant

trading volume. The BSE SENSEX (SENSitive indEX), also called the "BSE

30", is a widely used market index in India and Asia. Bombay Stock Exchange is

known to be the oldest stock exchange in the entire Asian region. It started

functioning in 1875 with the name 'The Native Share and Stock Broker's

Association'. Under the Securities Contracts (Regulation) Act, 1956, the

association got its recognition as a stock exchange in 1956. Till the decade of

eighties, there was no measure or scale that could precisely measure the various

ups and downs in the Indian stock market. BSE, in 1986, came out with a Stock

Index-SENSEX- that subsequently became the barometer of the Indian stock

market.. It comprised 100 stocks listed at five major stock exchanges in India -

Mumbai, Calcutta, Delhi, Ahmedabad and Madras. When it started, it was just

an association of persons but with the recognition it got transferred to a

corporate and demutualised entity. Now it does

Trading items in Bombay Stock Exchange -

Equity or Shares

Derivatives (Futures and Options)

Debt I Debt Instruments

The index calculation is based on the 'Free-float Market Capitalization'

methodology. Leading bourses like the Dow-Jones also follow this

methodology.

B)NationalStockExchange(NSE):

The National Stock Exchange (NSE) is a stock exchange

located at Mumbai, India. It is the largest stock exchange in India in terms of

daily turnover and number of trades, for both equities and derivative

trading.NSE has a market capitalization of around 6,393,418 crore

(US$1,438.52 billion) in August 2010 .National Stock Exchange (NSE) is

considered to be the leader in the stock exchange scenario in terms of the total

volume traded. The National Stock Exchange received the recognition of a stock

exchange in July 1993 under Securities Contracts (Regulation) Act, 1956. NSE

is the third largest Stock Exchange in the world in terms of the number of trades

in equities. It is the second fastest growing stock exchange in the world with a

recorded growth of 16.6% The products that are traded in the National Stock

Exchange are:-

Equity or Share

Futures (both index and stock)

Options (Call and Put)

Wholesale Debt Market

Retail Debt Market

Currency futures

MUTUAL FUND

STOCKS LENDING & BORROWING

NSE has a fully automated screen based trading system which is known as

the NEAT system. The transactions are carried on with speed, efficiency,

and are all transparent. The risk management system of the National Stock

Exchange is world class and can be considered as the benchmark for other

bourses. The leading index of NSE is known as Nifty 50 or just Nifty. It

comprises of 50 diversified benchmark Indian company scrips and is

constructed on the basis of weighted average market capitalization

method.

Beginning of a new phase- A new phase in the Indian stock markets

began in the 1970s, with the introduction of Foreign Exchange

Regulation Act (FERA) that led to divestment of foreign equity by

the multinational companies, which created a surge in retail investing.

Setting up of SEBI: Regulatory Authority of Indian Share

Market:

The regulatory body for the Indian capital markets was the

SEBI (Securities and Exchange Board of India). The capital markets in

India experienced turbulence after which the SEBI came into

prominence. SEBI or Securities and Exchange Board of India is the

market watchdog and has the responsibility of protecting the investors'

interests, develops regulatory norms and helps in the development of

the securities market in India. The Securities and Exchange Board of

India (frequently abbreviated SEBI) is the regulator for the securities

market in India. It was formed officially by the Government of India in

1992 with SEBI Act 1992 being passed by the Indian Parliament.

Chaired by C B Bhave, SEBI is headquartered in the popular business

district of Bandra-Kurla complex in Mumbai, and has Northern,

Eastern, Southern and Western regional offices in New Delhi, Kolkata,

Chennai and Ahmedabad. The regulatory body for the Indian capital

markets was the SEBI (Securities and Exchange Board of India). The

capital markets in India experienced turbulence after which the SEBI

came into prominence.

Functions and responsibilities of SEBI:

SEBI has to be responsive to the needs of three groups, which

constitute the market:

The issuers of securities

The investors

The market intermediaries.

SEBI has three functions rolled into one body quasi-legislative,

quasi-judicial and quasi-executive. It drafts regulations in its

legislative capacity, it conducts investigation and enforcement

action in its executive function and it passes rulings and orders in

its judicial capacity

Why to invest in Indian share market?

An investor does not require a lot of money to start investing in India

share market unlike buying property and paying off a monthly

mortgage.

Time of trading involved spans from small to big. One can trade for a

short period of time or even a lengthy span.

It helps you to see 'fast' cash if the market is in robust mood and

helps in fast liquidation.

Type of Indian Markets:

Basically there are two types of markets.

1. Primary market

2. Secondary market

Primary Market: A primary market is a place where companies,

government and other corporate bodies sell new shares and other

financial products which are also called as financial products. In

primary market trading is not allowed. Like any newly listed

company sells IPO (initial public offer) then it happens in primary

market or whenever any already exiting company goes public then

at that time it issues an IPO in primary market.

Secondary market: A market place where actual share trading

(buying and selling) takes place is called secondary market.

Majority of share trading in India happens in top two exchanges

called NSE and BSE.

Types of Trading and Investments in Indian Share Market:

Basically trading and investing are two different methods of earning

money in share market.

Types of Trading:

Trading is done on stock price for a day or for couple of days.

Trader is not worried about company performance; he is only

worried to book profits whenever the share price rises.

Basically there are two types of trading methods

1. Online Trading

2. Day trading and

3. Swing trading.

4. Position Trading

1. Online Trading:

Online trading is simply a term that refers to the medium used to enter

and execute trades.

Online traders, which can include long term investors, as well as day,

swing and position traders, use either an Internet connection or a direct

access online trading platform to access and execute trades with Web

based brokers.

2. Day trading:

Buying and selling of shares on daily basis is called day trading.

Day trader don’t carry stocks to next day, he square off the positions

(shares) on same day.

Mainly there are two types of day traders.

i. Scalp trading

ii. Momentum trading

i) Scalp Trading: A scalp trader buys and sells shares at very low profits

(margins) and does multiple trades on daily basis.

ii) ii) Momentum Trading: A momentum trader identifies the trend and

buys shares at bottom and sells at the high of the trend. He may do one

or two trades or at the most three trades in a day. He may not do as

multiple trades as scalp trader on daily basis.

3. Swing Trader:

A swing trader is just like a day trader but swing trade may hold the

shares (positions) for couple of days like 4 to 5 days, while day trader

doesn’t hold shares even for next day.

Swing trader basically trades based on news, breakout and breakdown

in technical charts, based on volume surge, based on up and down trade

etc.

4. Position Trading:

Position trading is similar to swing trading, but with a longer time

horizon. Position traders hold stocks for a time period anywhere

from one day to several weeks or months. These traders seek to

identify stocks where the technical trends suggest a possible large

movement in price is likely to occur, but which may not be fully

played out for several weeks or months.

Types of Investment:

Basically there are three types of investment methods.

i. Short term investment

ii. Midterm investment

iii. Long term investment

i) Short term investment:

Investment done from couple of weeks to couple of months is

called short term investment.

It is done based on breaking news, or based on charts of

technical analysis.

ii) Medium term Investment:

Investments done from couple of months to couple of years is

called mid tem investment.

It is done based on analysis of quarterly financial results or

based on fundamental analysis.

iii) Long term investment:

Investment done from one year to couple of years like 3

years, 5 years, 10 years etc

Long term investment is basically done after thoroughly

analyzing the fundamentals of the company and its future

growth prospects.

And also the wise investor invests in companies whose

current share prices are undervalued but its future growth is

huge. Generally long term investor is worry free from daily

markets up and down and share prices volatility

COMPANY PROFILE

COMPANY PROFILE

EDELWEISS GROUP started its journey in Mumbai in the year

1995, by two IIM graduates, Mr. Rashesh Shah and Mr. Venkat

Ramaswami.

“Ideas create, values protect” is the slogan and depict the mission

statement of Edelweiss group.“Our Reputation and Image is more

important than any financial reward. Reputation is hard to build and even

harder to rebuild. Reputation will be impacted by our ability to think for

our clients, maintain confidentiality and by our adherence to our value

system.”

The Logo: Edelweiss, a rare flower found in Switzerland. A graphic flower that

represents ideas! Around it, the protective arms of the letter ‘E’:

Edelweiss believes ideas create wealth, but values protect it.

It is the practice of this core thought that has led to Edelweiss

becoming one of the leading financial services company in

India.

KEY PEOPLE: Chairman & Founder: Mr. Rashesh Shah (IIM Graduate

1995 batch) and Venkat Ramaswami.

Designated director: Naresh Kothari.

Directors: Rashesh Shah, Venkat Ramaswami and Hiralal Chopra

Achievements’ and Awards of Edelweiss:

Edelweiss was adjudged winner in the Best Merchant Banker category

in the Outlook Money NDTV Profit Awards 2008.

Ranked among the top ten players in Annual Bloomberg and Annual

Thomson-Reuters

History of Edelweiss Broking Ltd.:

Edelweiss was incorporated on November 21, 1995 as a public limited

company.

Our Company received its certificate for commencement of business

on January 16, 1996.

The Company commenced investment banking activities & registered

with SEBI as a 'Category I Merchant Banker' [as defined under the

Securities and Exchange Board of India [Merchant Bankers Rules,

1992s] and thereafter as a 'Portfolio Manager' [as defined under the

Securities & Exchange Board of India [Portfolio Manager’s] Rules,

1993s] & as an 'underwriter' under the Securities & Exchange Board

of India [Underwritings] Regulations, 1993.

They Entered the business of securities broking in the year 2002 by

acquisition of Rooshnil Securities Private limited which later changed

to Edelweiss Securities Private Limited & is presently known as

Edelweiss Securities Limited.

The year 2004 witnessed the foray of Company into the businesses of

insurance advisory as well as commodities broking and trading. The

business of insurance advisory is carried through the subsidiary,

Edelweiss Insurance Brokers Limited.

And in 2005, Edelweiss Broking Limited a subsidiary of Edelweiss

Capital Ltd started the business of commodities broking & trading.

In short

2000 Acquisition of Cross border Investments Private Limited

2001 F and O license obtained in the year 2001

2002 NBFC registration of Cross border Investments Private Limited

Acquisition of Rooshnil Securities Private Limited

2004 Commencement of Commodity Broking

2005 Commencement of Edelweiss Broking ltd

Board of Directors

Name Designation

Mr. Sanjay Santhanam Director

Mr. Narendra Jhaveri Director

Mr. Ramanan Raghavendran Director

Mr. Venkat Ramaswamy Director

Mr. Rashesh Shah Chairman & Managing director

Mr. Sunil Wadhwani Director

Mr. P N Venkatachalam Director

Mr. Kunnasagaran Chinniah Director

Aim - building long term relationships with the clients and equipping the

clients about the market knowledge so that they can address the day by

day fast growing opportunities

Edelweiss is a powerhouse of financial innovation –illuminating both the

solutions and the perils. Edelweiss was previously into niche marketing

only, dealing with the High Net Worth Individuals (HNWI) clients only.

Looking at the current market scenario, company is targeting the Retail

Segment with its new Online Trading Portal.

The company sights the need for entering into the retail segment by seeing

the saturation of the niche market and the exploration of the areas which

was left untouched by the organization. The idea behind this is to

Reposition the company from niche marketer to mass marketer.

The strength of Edelweiss is its market image and well equipped research

team, which it uses as a potential selling tool.

The product or the service that the company has come up with is the

Prepaid Broking Plan for both the retail as well as HNI customers.

Basically every broking firm offers dematerialization and the trading

account with some charges associated to it and the main source of income

is the brokerage that is collected on every transaction made by the

customer, which is a continues source of income.

USP- The single minded focus on thought leadership and relentless

pursuit of the ‘new’ and ‘different’ is it in products, services or people,

model of employee ownership

Their Approach in Market:

Client Focus:

Edelweiss is driven by the emphasis we place on building

long-term relationships with our clients. We work closely

with our clients to equip them with the ability to address

large, fast-growing market opportunities. Our emphasis on

long-term relationships also means that we have a significant

ongoing involvement with almost all of the clients that we

work with.

Execution Orientation:

We focus obsessively on delivering high quality execution

through our experienced team of professionals. Each team is

led by senior personnel and is highly research and ideas

driven. We place strong emphasis on confidentiality and

integrity in a sensitive business environment.

Culture:

Edelweiss fosters a culture that is entrepreneurial and results-

driven and that emphasizes teamwork and intellectual rigour.

Our team is encouraged to display higher levels of initiative,

drive, and hunger for learning and taking on additional

responsibility.

Professional Integrity:

We place a strong emphasis on confidentiality, honesty and

integrity in our business dealings. We expect our people to

maintain high ethical standards, both in their professional and

personal lives. We strive to be fair in all our dealings. We

respect our competitors.

Research Driven:

All our businesses are built on a research and analytics

foundation. Our understanding of underlying market trends

and strong analytical expertise has resulted in a demonstrated

ability to identify emerging trends and themes early. We seek

to provide the highest quality research and investment

opinions to our clients.

WHAT DOES EDELWEISS BROKING LTD. OFFERS

1. Personalized Service

Company believes in providing personalized service and

individual attention to each client to ensure that we

understand their goals and help them achieve it

2. Professional Advice

Company offers expert advice on equity and debt portfolios

with an objective to provide consistent long-term return

while taking calculated market risks. Companies approach

helps clients build a proper mix of products, and not

concentrate on just one individual product. Hence, serving

long-term objectives in the best way. 

3. Long-term Relationship

Company believes that long-term vision is the only means to

steady wealth creation. However to achieve this one also

needs to take advantage of short-term market opportunities

while not losing sight of long-term objectives. Hence it

partners all its clients in realizing their long-term vision. 

4. Access to Research Reports

Company provides the clients with access to the expert

opinion of economists and analysts.

5. Transparency and Confidentiality

Company’s clients receive regular portfolio statements from

relationship managers via email.

RECENT APPROACH:

Edelweiss is a premium broking firm whose targets were only HNWI

clients. But seeing the opportunity in retail sector it has forayed into

it. The company is providing the same research facility to its retail

clients as it provided to its premium clients. It is offering an online

platform to the clients which will increase transparency and

make business hassle free for the clients. The company is making a

shift from ESL (Edelweiss Securities limited) to EBL (Edelweiss

Broking Limited).

The benefits offered by the company to its clients

are:-

Online Platform

News alert through Mobile messages and e-mail

Dealer support

Portfolio Doctor (Turtle)

Toll Free Number (Helpline Services)

Thus the company is customer focused and protects the wealth of its

customers through its innovative ideas. The company is repositioning

itself from a niche marketer to a mass marketer and is aiming at Brand

Repositioning.

GROWTH STRATEGY:

PRODUCTS AND SERVICES OFFERED BY EDELWEISS:

Investment Banking

Institutional investment

Asset management

Wealth management

Private client brokerage

Insurance brokerage

Wholesale financing

1. Investment Banking:

An Investment Bank is a financial institution that deals with

raising capital, trading in securities and managing corporate

mergers and acquisitions. Investment banks profit from

companies and governments by raising money through issuing

and selling securities in the capital markets (both equity, bond)

and insuring bonds (selling credit default swaps), as well as

providing advice on transactions such as mergers and

acquisitions.

At Edelweiss Broking Ltd, Investment Banking business is

dedicated to providing corporations, entrepreneurs and investors,

the highest quality independent financial advice and transaction

execution.

Its offering are

A. Private Equity Advisory

B. Structured Finance Advisory

C. Mergers and Acquisitions Advisory

D. Real Estate Advisory

E. Equity Capital Markets

F. Infrastructure Advisory

G. Debt Restructuring Advisory

A. Private Equity Advisory:

They have been a leading Private Equity advisor for over a

decade and have developed a strong expertise across industries

which enable us to recognize emerging industry themes and

position transactions within the context. Our strength in Private

Equity advisory stems from:

Long standing relationships with marquee PE funds - Access

to key decision makers at PE funds gives us an unparalleled

edge in optimal structuring and efficient closure of

transactions.

High quality execution - An experienced team of

professionals ensures complete confidentiality, strong focus

on implementation and quick turnaround time.

Focus on long term relationships - In addition to handholding

the client across the entire transaction process, we provide

continued support post-transaction and have the capability to

cater to investment banking needs of the client throughout his

business lifecycle.

B. Structured Finance Advisory:

Over the years, they have built up significant expertise in

structuring appropriate financing solutions for client specific

situations and identifying and placing the transaction with

institutional investors. Our portfolio of solutions comprise the

following-

i. Promoters Funding

ii. Acquisition Financing

i. Promoter Funding: Promoter financing is mostly done to enable

promoters to raise their stake in the company. The financing is usually against

collateral of shares or other securities held by the promoter in any of the group

company. The transaction helps in unlocking the value of promoter shareholding

by raising additional funds. It can also be structured to refinance a loan raised

against the same shares by the client earlier.

ii. Acquisition Financing: There has been a significant increase in the

number of acquisitions by Indian companies, both domestic as well as overseas.

Acquisition financing plays a critical role in the success of inorganic growth

planned by the acquirer. Based on each client’s unique requirements, we have

advised on acquisition financing through appropriate stacked financing

structures which comprise foreign currency senior secured debt with recourse to

parent companies, rupee senior secured debt with recourse to parent companies,

equity investment by the promoters, non-recourse debt, guaranteed mezzanine

debt with equity upside.

C. Mergers and Acquisitions Advisory:

Edelweiss M&A team provides insights into how companies

can grow and enhance their value. The M&A team is engaged

in turnkey transaction management and advises a diverse range

of clients in medium to large transactions.

Our key strengths include independent advice, deep sector

knowledge backed by professionals with a range of training and

experience that spans across multiple cross-border deals and

our relationships with large corporate.

Edelweiss advises companies in the entire transaction process –

this range from target identification to deal closure. They

provides both buy-side and sell-side advisory services as part of

our M&A advisory offering. Our services include identification

and short listing of target universe, strategic planning of an

acquisition and arranging finance for the transaction, if required

D. Real Estate Advisory:

Ever since the easing up of FDI into real estate development in

India, Edelweiss has a dedicated team offering Real Estate

Advisory Solutions to property developers and investors

seeking to invest into the Indian Real Estate markets. Our

advisory solutions are primarily focused on capital raising and

cover the optimal financing mix, project valuation, investment

structuring and accomplishing capital raising at either the

enterprise level or the asset level.

We manage Real Estate IPOs, QIPs, advise enterprise level

private equity financings, and enterprise level mezzanine

financing and structured debt. We have completed over $ 700

million in capital raising in the last 18 months across multiple

formats.

Edelweiss’ key value proposition to our clients include an

excellent understanding and access to both public and private

capital markets combined with structuring capabilities and a

strong knowledge of underlying real estate markets in India

through our in-house research.

E. Equity Capital Markets:

We are in the vanguard of equity capital markets having brought

to the market a large number of successful and path breaking

transactions. We advise leading Indian companies, banks,

institutions and businesses which are seeking to mobilize capital

from investors in India and overseas.

Edelweiss has a record of several marquee foreign and domestic

issuances over the last 2 years. Within the practice, we provide

opportunities for clients to raise funds through the following –

Initial Public Offering (IPOs)

Follow-on Public Offerings( FPOs)

Qualified Institutional Placements(QIP)

Rights Issues

Preferential Allotments

Foreign Currency Convertible Bonds(FCCBs)

Global Depository Receipts(GDRs)

Besides, our Equity Capital Markets practice also caters to the entire

spectrum of capital market needs through other services such as managing

takeovers, delisting and buyback.

They assist innovative and exciting companies in accessing the equity

capital market. We believe that our strength lies in identifying present and

future market leaders, working with them closely in understanding and

fine tuning their business model, and showcasing the investment

opportunity to the right set of investors.

F. Debt Restructuring Advisory:

Businesses can get affected by more than just normal industry

cycles. With expansion in operations, businesses face

increasing challenges that are more complex in nature than a

simple domestic demand slowdown or operational

bottlenecks, particularly in the globalised environment. A

combination of adverse global and local factors can push

profitable businesses into a spiraling debt trap very rapidly.

While several companies are able to steer through these

adverse economic conditions, some companies get caught in a

financial quagmire leading to severe liquidity constraints. An

expert team with in-depth understanding of the debt

restructuring processes is required to help a company steer

through the strain.

A successful restructuring process involves the following essential

elements

Assessment of sustainable debt in the given circumstances

Dealing with unsustainable debts innovatively

Approaching lenders and other stakeholders with definitive

strategies

Devising strategies and instruments for raising additional

funds for operations as well as for refinancing existing debt

At Edelweiss we have a very competent team offering

comprehensive debt restructuring solutions, both under the formal

Corporate Debt Restructuring (CDR) mechanism as well as

negotiations with lender/consortium of lenders.

2. Institutional Investment:

Institutional investors are organizations which pool large sums of

money and invest those sums in companies. They include banks,

insurance companies, retirement or pension funds, hedge funds and

mutual funds. Their role in the economy is to act as highly

specialized investors on behalf of others.

3. Asset Management or Investment management:

Investment management is the professional management of various

securities (shares, bonds etc.) and assets (e.g., real estate), to meet

specified investment goals for the benefit of the investors. Investors

may be institutions (insurance companies, pension funds,

corporations etc.) or private investors (both directly via investment

contracts and more commonly via collective investment schemes e.g.

mutual funds or Exchange Traded Funds)

4. Wealth Management:

At Edelweiss, Wealth Management is a Practice; it is a specialized

profession where our experts combine their efforts to meet the wealth

planning, investment, and financial management needs of

individuals, families, family offices, or corporates. More than just

Financial Services, Edelweiss Wealth Management takes one step

closer to you, by providing an "all-in-one approach”.

Customized Financial Solutions: Advice on asset allocation and

thereby creating customized financial solutions for HNWIs, NRIs,

Trusts and Corporate's

Wide range of Innovative Advisory services: they offer advisory

services on Structured Products, Portfolio Management, Mutual

Funds, Insurance, Derivative Strategies, Direct Equity, IPOs, Real

Estate Funds and Art Funds.

Edelweiss Absolute Return Equity Fund:

The primary objective of the scheme will be to generate

absolute returns with low volatility over a longer tenure of time. The

scheme will invest in arbitrage opportunities, equity.

Edelweiss Nifty Enhancer Fund:

The primary objective of the Fund is to

generate capital appreciation and income distribution by investing in a

portfolio that endeavors to outperform the S & P CNX Nifty Index.

Edelweiss Diversified Growth Equity Top 100 Fund:

The primary objective of the Fund is to

generate long term capital growth from a diversified portfolio, investing

predominantly in equity and equity related securities.

Edelweiss ELSS Fund :

The primary objective of the scheme is to

generate long-term capital appreciation with an option of periodic payouts

at the end of lock in periods

5. Private client brokerage:

The Private Client

Services Group (PCG) at

Edelweiss is focused on

providing products,

strategies and services to

High Net worth

Individuals and Corporate Clients. It has geographic reach through Branches,

Channel Partners & Investment Consultants in over 19 locations in India.

The PCG team has highly trained equity professionals, who act as clients

Equity Advisor. Its ESL Equity Advisor proactively helps you take informed

investment decisions and build a healthy portfolio.

6. Edelweiss Financing:

Edelweiss Financing understands your needs and helps you meet

liquidity requirements. They offer various products and services

to individuals and corporates with a close focus on client

requirements while designing our products. Over a period of

time they have been offering short term loans against securities

and/or to buy new securities. They also provide finance for

investment in primary market issues. We help promoters by

financing against their share holding to meet their business

requirements, expansion of businesses and for diversification of

the lines of business. They possess expertise in financing short

and long term loan facility, risk analysis, transfer and assessment

besides a broad spectrum of services. The company is

headquartered in Mumbai and our network of branches across

India enables us to service you across locations

7. Client Advisory Services:

At Edelweiss Client Advisory Services, our team is driven not

just by the quality of our ideas, but also professional ethics and

integrity. They take pride in there philosophy of offering advice

which is in the best interest of our clients. Their emphasis on

building long term relationship ensures that we work closely

with our clients empowering them to gain from market

opportunities through our online portal

www.edelweiss.in .www.edelweiss.in is a product that offers a

unique online investment experience that is intuitive,

information rich and a hassle-free way to trade online. It defines

the next level in online trading technology. It enables intelligent

investing with market strategies custom suited to the client’s

investment profile and current portfolio.

SERVICES MARKETING TRIANGLE:

FIRM

Internal marketing External Marketing

EMPLOYEES

Interactive Marketing CUSTOMERS

SWOT ANALYSIS

Strength:-

Co-operative and Experienced Branch Managers in all the

branch offices.

Reliable and Good Database about customers.

Low pricing and low brokerage for Demat a/c.

Weakness:-

Low awareness about the broking company in the market due to

lack of advertisements.

Inexperienced Staff and new staff members in the company.

Lack of loyal clientage with the team leaders.

Opportunity:-

Presences of Untapped Market

Increased spending power of the company

Due to more Changing Mindset of stock Customers in the

market

Unpredictable Sensex in the country

Threat:-

Stiff competition from existing players in the market.

Better products offered by the competitors in the market.

General Terminologies Thought in Training:

i) Index:

In financial markets, an index is a customized basket of

securities that tracks a particular market or a part of it. Each

index has its own calculation methodology and its own specific

process in order to select particular securities. In India, the NSE

and BSE are the two main exchanges that have indices. The BSE

Sensex and NSE Nifty are examples of indices.

ii) IPO:

Initial public offering (IPO), also referred to simply as a "public

offering", is when a company issues common stock or shares to

the public for the first time. They are often issued by smaller,

younger companies seeking capital to expand, but can also be

done by large privately-owned companies looking to become

publicly traded.

iii) Order Book:

A book containing all of the buy and sell orders for specific

securities that are placed by the public. The public book is kept

by an order book official or other market specialists. The book

allows the public to know the details of the public orders, such

as what price or quantity has been entered and allows access to

the highest bid and lowest offer to facilitate trading.

iv) Circuit Filter:

Refers to any of the measures used by stock exchanges during

large sell-offs to avert panic selling. It is also called a "collar”.

After an index has fallen a certain percentage, the exchange

might activate trading halts or restrictions on program trading.

Eg. If the Sensex falls by over 10%, the BSE will halt trading for

an hour.

v) Financial Ratios:

A financial ratio or accounting ratio is a ratio of selected values

on an enterprise's financial statements. There are many standard

ratios used to evaluate the overall financial condition of a

corporation or other organization. Financial ratios are used by

managers within a firm, by current and potential shareholders

(owners) of a firm, and by a firm's creditors.

vi) Balance Sheet:

A balance sheet or statement of financial position is a summary

of a person's or organization's balances. Assets, liabilities and

ownership equity are listed as of a specific date, such as the end

of its financial year. A balance sheet is often described as a

snapshot of a company's financial condition. A company balance

sheet has three parts: Assets, Liabilities and Shareholders Funds.

vii) Income Statement / Profit and Loss Account:

An Income Statement, also called a Profit and Loss Statement

(P&L), is a financial statement for companies that indicate how

revenue is transformed into net income. The purpose of the

income statement is to show managers and investors whether the

company made or lost money during the period being reported.

The important thing to remember about an income statement is

that it represents a period of time. This contrasts the balance

sheet, which represents a single moment in time.

viii) Trading vs. Investing:

Investing refers to the art of fundamental buying and selling of

scripts for the medium to long term, however, trading refers to

buy and selling scripts for the shorter term ranging from a day to

about a month. An Investor focuses on growth, EPS, bonus,

takeovers, fundamentals, and company management, but for a

trader, the technical's of momentum, demand and supply and

market sentiments are more important.

ix) Trading Account:

An account similar to a traditional bank account, holding cash

and securities, and is administered by an investment dealer. An

account held at a financial institution and administered by an

investment dealer that the account holder uses to employ a

trading strategy rather than a buy-and-hold investment strategy.

Though trading accounts are traditionally thought to hold only

stocks, a trading account can hold cash, foreign cash, securities

and a number of other types of investment

x) Market/Limit Order:

A Market Order is a buy or sell order to be executed by the

broker immediately at current market prices. As long as there are

willing sellers and buyers, a market order will be filled. A Limit

Order is an order to buy a security at no more (or sell at no less)

than a specific price. This gives the customer some control over

the price at which the trade is executed, but may prevent the

order from being executed immediately.

xi) Stop Loss Order:

A Stop Order (also stop loss order) is an order to sell (or buy) a

security once the price of the security has dropped below (or

climbed above) a specified stop price. When the specified stop

price is reached, the stop order is entered as a market order.

xii) Buyback:

A buyback (reacquired stock) is a stock which is bought back by

the issuing company, reducing the amount of outstanding stock

on the open market Stock repurchases are often used as a tax-

efficient method to put cash into shareholders' hands, rather than

pay dividends. Sometimes, companies do this when they feel

that their stock is undervalued on the open market

xiii) Open Offer:

An open offer, also known as an entitlement issue, is an offer

made by a quoted company to its shareholders inviting them to

buy new shares in the company at a set price, which is normally

lower than the current market price. The purpose, as with a

rights issue, is to raise new capital for the company. Unlike a

rights issue, an open offer cannot be traded or sold on by the

shareholder. Usually, if you do not take up your entitlement, it

lapses.

xiv) Delisting:

Delisting refers to the practice of removing the stock of a

company from a stock exchange so that investors can no longer

trade shares of the stock on that exchange. This typically occurs

when a company goes out of business, declares bankruptcy, no

longer satisfies the listing rules of stock exchange, or has

become a private company after a merger or acquisition.

ORGANIZATION CHART

ORGANIZATIONAL FLOW IN EDELWEISS BROKING LIMITED

Branch Manager

Team Head for HNI

Team HeadTeam Head

8 Team Leaders 8 Team leaders8 Team Leaders

Dealers (After activation, the clients are passed to Dealers for transactions)

Back Office (admiration office for submission and correction of Demat a/c)

Activation Team (After all corrections the Demart a/c are opened and welcome calls are made here)

Dealers (After activation, the clients are passed to Dealers for transactions)

CHAPTER III

REVIEWOF LITERATURE

REVIEW OF LITERATURE

Trading is done in three ways

1. Cash trading

2. Spot trading

3. Derivative trading

The NSE trading system called National Exchange for Automated trading

(NEAT) is a fully automated screen base trading. It is online and nationwide

trading system. It adopts the principle of an order driven market.

In this system a member can punch into the computer quantities of securities

and prices at which he likes to transact. The transactions are executed as soon as

it finds a matching sale or buy order from a counter party.

The broking limited acts as a medium between the clients and the company ,

which sells the shares or issues of the company thereby raising the company’s

capital and also investing the money of the investors in any of the investment

policies available thereby increasing their income. In this transaction the broking

limited increase their revenue through means of brokerage

DEMAT ACCOUNT

If we want to save our money, then we have to open a savings account

with a Bank. In the similar manner if we want to buy and sell shares, then we

need to open a Demat account with a depositary participant registered with

SEBI, NSE, and BSE. Demat denotes the dematerialization of shares. Demat

account along with a trading account from a DP facilitate us to buy and sell

shares online and to store the shares online without any bonded paper stuffs.

Demat account facilitates faster transaction when compared with the older

traditional trading method, (i.e) the share buyer have to inform to the broker

regarding his purchase decision and then the broker forward it to the stock

exchange, then they allot the shares to the respective buyer and send him a

registered share certificate via postal department. The investor has to wait for 5

days for his transaction. But now due to the entry of Demat account and online

share trading platforms, the investor can buy and sell any volume of shares

online with a click of a mouse making trading easier and more comfortable and

convenient

Online Share Trading

Online trading in India is the internet based investment activity that

involves no direct involvement of the broker. There are many leading online

trading portals in India along with the online trading platforms of the biggest

stock houses like the National stock exchange and the Bombay stock exchange.

The total portion of online share trading India has been found to have grown

from just 3 percent of the total turnover in 2003-2004 to 16 percent in2006-

2007.

Advantages Of Online Trading:-

The first major advantage of trading online is the ability to have total

control over ones investments. Before the advent of online trading, investors had

to go through a stockbroker in order to buy and sell their stocks. This process is

tedious, can take up value able time and is costly. In addition to that, brokers can

sometimes persuade investors to buy and sell certain stocks because of personal

reasons.

When investors trades online they have total control of their money. In

addition to that, investors have the luxury of speed. They can buy and sell stocks

quickly, which can help them save money. An example of this is if investors

want to buy certain stocks at low price, by the time they call their broker and

eventually buy the stock the price could have increased during that time period.

This same example applies to when investors want to sell a stock at a certain

time. While the investors are calling their broker and the stock is being sold, the

price could have dropped. This could sometimes cost investors thousands of

dollars.

With online trading, people can buy and sell at the exact time they choose to do

so because it is just a mouse click away. Online trading is also beneficial

because it reduces the cost of transaction. Instead of paying broker , which can

be very costly , investors can trade online and pay a small fee to their company.

this saves the customers from having to pay commission to the stockbroker.

Furthermore, since” the explosion of online brokerages has driven the cost of

transactions way down, trading online is cheaper than ever. This is because all

the companied are competing for business continue reducing their costs to attract

customers.

The last major advantage of trading stocks online is that more information is

available than ever before. Investors can get the most up to date stock quotes and

can reach any company they plan on buying stock for. This information was

previously only available to stockbrokers. With the new technology the internet

offers, it is available to everyone. With this information the investors can

become more educated and make good decision on the stocks they want to buy

and sell. One such website that allows users to gather information is Quote.com.

Quote.com has graphic charts that updates the investors’ portfolio throughout

the day and also lets investors create “watch lists” or mock portfolios that

monitor alternative investment options”. This means that customers can plan out

different investing stratifies and see how those compare to the ones they are

already invested in. These advantages have contributed greatly to the increase of

trading online.

Disadvantages of online trading :-

One major disadvantage with online trading is that there are many security risks.

The internet is a wonderful but dangerous place to do business. Hackers have the

ability to access personal information on anyone who has ever searched the

internet, which includes credit card information. This was the main reason a

company like Charles Schwab was reluctant to start trading online. Although the

percentage is small, there is still a small chance that hackers can access ones

account companies are taking the most serious precautions on this matter.

Another drawback to trading online is that, while companies offer trades that are

quick and on the spot, in actuality it can take up to several hours to complete or

even not to be completed at all. According to the Securities and Exchange

Commission, “E-traders registered more than 3,300 complaints in the 12 months

ended in September 1999, a 197 percent increase over 1998 and nearly 2,000

percent higher than in 1997”. This means that here was an increase in problems

that the web sites were having. This could have serious effects on investors

because they could think they bought a stock or sold a stock at a certain time but

in actuality the transaction registered late or not at all costing that investor

money.

The internet is unpredictable and stable. One can never know when a web site

will fail. In situations where there is a problem like this, investors can usually

call their brokerage firm and the problem is fixed right away. However, the

problem with online trading companies is that they are too large and are not

“easily reached by e-mail or phone”. This is the main concern for online

brokerage firms and they are trying their best to alleviate these problems.

Finally the most important problem with online trading is that it is so quick and

easy to make transaction, that money can be lost just as quick and just as easily.

Some people that invest online do not know how the stock market words and

think they can just invest in anything and it will make them money. According

into foresters search, “two types of traders have already moved online ‘the

aggressive affluent’ and those who want to ‘get rich quick.”. These two groups

make up 70 percent of the people that want investors trading online today. These

people can make rash decisions and lose a lot of their money. People like this

generally think that investing in the stock market is like gambling in Las Vegas.

This is a dangerous attitude and could make people lose money they cannot

afford to lose.

CHAPTER –IV

RESEARCH

METHODOLOGY

RESEARCH METHODOLOGY

RESEARCH METHODOLOGY

Research means a scientific and systematic search for pertinent

information on a specific topic. Research is careful investigation or enquiry

especially through search for new facts in any branch of knowledge. Research

comprises defining and redefining problems, formulating hypothesis or

suggested solutions, collecting, organizing and evaluating data; making

deductions and reaching conclusions; and at last carefully testing the conclusions

to determine whether they fit the formulating hypothesis

RESEARCH DESIGN

A research design is the arrangement of conditions for collection and

analysis of data in a manner that aims to combine relevance to the research

purpose with economy in procedure.

The research design adopted for this study is descriptive research design it

described the character, attitude, demographic features of the research plan.

SAMPLING METHOD

For the present study, a convenience sampling method was adopted

targets respondents for the study consisted of selected.

SAMPLING DESIGN & SAMPLE SIZE

The study has been purposely chosen as convenience sampling procedure.

It was decided to take a sample of 100 respondents.

SAMPLE PROCEDURE

Convenience sampling.

DATA COLLECTION

The data collected is primary data. A questionnaire method of data

collection was followed. Almost all questions are close ended so as to bring

about objectivity.

PRIMARY DATA

The Primary data are those that are collected, for the first time and thus

happen to be original character. The primary data used for this project has

collecting using questionnaire. The information was collected from the

employee through personal contracts.

SECONDARY DATA

Secondary data has been collected through oral communication. It is

about the company profile and other details were collected, form the company

website, journals, company annual reports, etc.

STATISTICAL TOOLS APPLIED

Analyst must use different statistical tools for analyzing and interpreting

the data, in this study the following tools are applied.

1. Moving average2. Correlation3. Percentage analysis4. Chi-square analysis5. Pre and Bar Diagram

PERCENTAGE ANALYSIS

Percentage refers to a special kind of ration’ Percentages are used making

comparison between two or more series of data. Percentages are used to

describe relationship. Percentage can also be used to compare the relative terms.

This distribution of two or more series of data.

Number of Respondents × 100

Percentage of respondents =

Total Respondents

CHI-SQUARE TEST

By degree of freedom, we mean the number of classes to which the values

can be assigned arbitrarily if at 5% level of significance the calculated value of 2

is more than the table value, the difference between the theory and observation is

considered to be significant.

On the other hand the calculated value of 2 is less than table value. The

difference the theory and observation is not considered as significant. i.e., it is

regarded as due to fluctuations of sampling and hence ignored. The degree of

freedom can be calculated using the formula,

V = (c-1) (r-1)

Where, c= refers to columns,

And r = refers to rows.

CHAPTER – V

DATA ANALYSIS

AND

INTERPRETATION

TABLE NO-1

DATA ANALYSIS AND INTEPRETATION

THIS RENUE DETAILS OF THE CLIENTS STARTED TRADING NEWLY ON THE PARTICULAR DAY BY THE CLIENT ACTIVATOR

CLIENT ID

NAME ACCONT OPENING DATE

FIRST TRADED DATE

LEDGER BALANCE

TRADED AMOUNT

SUBSCRIPTION PLAN

RVENUE

EX427617 Ramya 23-Nov 1-Dec 17 30359.2 151.796

      SUM 151.796

EX322787 Prabu 30-Nov 2-Dec 364 242 465.82

EX417097 Raja 25-Nov 2-Dec 0 655.5 6.98

EX417835 Gopinath 3-Nov 2-Dec 143 265.25 2.44

      SUM 475.24

EX416391 Guru 27-Nov 3-Dec 245 1031.7 17.61

EX417074 Vijayasankar 29-Nov 3-Dec 1499 1495.8 9.87

EX420521 Arun 23-Nov 3-Dec 0 847 4.91

      SUM 32.39

EX427145 Dayalan 1-Dec 6-Dec 846 529.75 1250 0.53

      SUM 0.53

EX332999 Sundar 10-Nov 7-Dec 88 14100 70.5

EX413527 Prabu 4-Dec 7-Dec 60 311.5 2450 0.07

EX427604 Jagannadhan 2-Dec 7-Dec 1457 3115 2450 22.49

      SUM 93.06

EB001651 Mohammed 29-May 8-Dec 2250 0.06

EX413738 Maria 12-Oct 8-Dec 88 14010 70.05

      SUM 70.11

EX417076 Sundar 27-Nov 9-Dec 656 526.5 11.05

EX419387 Prabakaran 30-Nov 9-Dec 0 525 3.43

EX420517 Ashok 24-Nov 9-Dec 444 4723.75 26.1

      SUM 40.58

EX400905 Suresh 5-Oct 10-Dec 0 764.4 0.17

EX413719 Suthagar 12-Oct 10-Dec 23 24278.55 1.5

EX400945 Aravind 30-Sep 10-Dec 88 7238.4 2450 0.6

EX424866 Subramanian 8-Dec 10-Dec 0 59996.06 381.43

EX424872 Venkatesh 8-Dec 10-Dec 102 7102.7 1000 2.06

      SUM 385.76

EX330192 Gopinath 2-Dec 13-Dec 1091 1098 10.39

EX420507 Ramkumar 6-Dec 13-Dec 15 977.1 4.89

EX424883 Kumar Raj 8-Dec 13-Dec 16669 33520 1306.71

EX424892 Venkatesh 9-Dec 13-Dec 8393.44 26838.4 134.192

      SUM 1456.182

EX415740 Satheesh 4-Dec 14-Dec 0 977.1 4.88

EX418495 Muthu 9-Dec 14-Dec 0 2258.2 49.39

EX427603 Jenifer 11-Dec 14-Dec 1471 1734 1000 4.31

EX427638 VENKATESAN 24-Nov 14-Dec 24 977.1 2450 0.06

EX429511 Sankar 13-Dec 14-Dec 0 300687.56 402

EX433567 Vengadavan 10-Dec 14-Dec 937 1796 0.16

      SUM 460.8

EX420508 Solomon 27-Nov 15-Dec 931 1845.9 1250 140.21

EX321542 Karthi 14-Jul 15-Dec 87 24595.3 0.38

EX427691 Brince 8-Dec 15-Dec 3866 25990 6.71

      SUM 147.3

EX329611 Sarathy 30-Sep 16-Dec 27540.61 31304.8 351.4

EX415744 Dinesh 12-Nov 16-Dec 2352 3625 1250 1.8

EX427133 Mahesh 25-Nov 16-Dec 39 340.2 7.69

EX427698 Loganathan 9-Dec 16-Dec 364 3294.7 2450 12.04

      SUM 372.93

EX334279 Theraviam 19-Oct 20-Dec 2 252.5 1.29

EX416952 Rajshekar 1-Nov 20-Dec 0 8463 2450 0.1

EX416978 Suresh 11-Dec 20-Dec 0 252.5 1.29

EX417836 Ragavandian 15-Dec 20-Dec 0 662.5 3.43

EX434384 Ramachandan 9-Dec 20-Dec 0 252.5 1.28

      SUM 7.39

EX418452 Marayi 11-Nov 21-Dec 19 227.25 1.15

EX433568 Sivaraj 13-Dec 21-Dec 0 176.75 0.9

      SUM 2.05

EX417067 Madhuri 2-Nov 22-Dec 545 454.5 2.26

EX424864 Vinohh 16-Dec 22-Dec 1745 1262.5 2450 0.5

EX433596 Suresh 16-Dec 22-Dec 0 454.5 2.26

      SUM 5.02

EX313181 Sivaramakrishnan 15-Dec 23-Dec 209 7019.25 50.25

EX417829 Chandrasekar 6-Dec 23-Dec 0 1023 1.02

EX423848 Sathisvel 21-Dec 23-Dec 0 227.25 1.14

EX427663 Jaganothan 26-Nov 23-Dec 2746 2242.5 1250 1.3

EX429538 Kaverisudhaga 21-Dec 23-Dec 639 590 95.07

EX429541 Rajasekar 16-Dec 23-Dec 0 505 2.55

EX433556 Jayakumar 21-Dec 23-Dec 0 505 2.53

      SUM 153.86

EX320378 Ramachandra 6-Jul 24-Dec 0 378.75 1.91

EX332998 Devarajan 12-Oct 24-Dec 0 50.5 0.26

EX415736 Ravikumar 3-Dec 24-Dec 0 525 3.11

EX420541 Elankeeran 4-Dec 24-Dec 521 1155 12.06

EX420543 Pandian 16-Dec 24-Dec 1349 523 1250 0.1

EX423820 Kyoganand 22-Dec 24-Dec 0 126.25 0.64

EX429545 Plousjoseph 16-Dec 24-Dec 370 525 3.13

      SUM 21.21

EX416985 Manakumari 8-Dec 27-Dec 8328 6970 1250 16.26

EX418489 Venkatesan 29-Nov 27-Dec 1718 3079.2 3.17

EX424855 Umamaheswari 21-Dec 27-Dec 0 479.75 2.44

EX432949 Anupjoy 24-Dec 27-Dec 100 20548.4 2000 3.38

EX434354 Laxminarayana 16-Dec 27-Dec 513 272 2.64

      SUM 27.89

EX413715 Suresh 7-Sep 28-Dec 889 7697.5 2450 3

EX415707 Jobnxraja 16-Dec 28-Dec 0 176.05 0.88

EX423810 Prabhu 24-Dec 28-Dec 0 525 1000 0.1

      SUM 3.98

EX418312 Chennamma 27-Dec 29-Dec 456 41412.9 2000 7.18

EX423836 Prabakaran 16-Dec 29-Dec 0 25.25 0.13

      SUM 7.31

EX424879 Hariharan 22-Dec 30-Dec 3 959.5 4.98

EX429509 Ahamed 27-Dec 30-Dec 767 2080.25 12.38

EX430026 Nelson 27-Dec 30-Dec -338 17203.8 2000 4.66

      SUM 22.02

EX216679 Sivasankaran 23-Feb 31-Dec -566 11287.5 4856.16

EX418301 Subramanian 24-Dec 31-Dec 183 8410.75 1250 0.62

    SUM 4856.78

    TOTAL FORDEC 8794.188

EX427622 Rajamanickam 18-Nov 3-Jan 2480 39034.2 2450 1.12

EX433554 Paulvalan 27-Dec 3-Jan 5211 3571.75 2000 0.44

      SUM 1.56

EX317149 Ranjith 1-Jul 4-Jan 22 367.5 2.37

EX462080 Chandrasekar 29-Sep 4-Jan 320 525 3.38

EX416980 Ramesh 29-Dec 4-Jan 188 1000 1250 0.03

EX43356 Raviganesan 31-Dec 4-Jan 354 1521 1000 0.3

EX434352 Jagadeep 21-Dec 4-Jan 7973 34914.85 218.64

      SUM 224.72

EX418334 Veeraraghavan 24-Dec 5-Jan 7649.37 1769.1 1000 3.88

EX424869 Murali 15-Dec 5-Jan 50 960.7 2450 4.72

      SUM 8.6

EX429534 Mani 21-Dec 6-Jan 11 864.9 2450 0.18

EX432674 Suresh 31-Dec 6-Jan 500 1116.25 6.57

EX433562 Rupesh 4-Jan 6-Jan 33 52.5 0.33

      SUM 7.08

EX433555 Nanda 4-Jan 7-Jan 992 500 3.02

EX434381 Lakshmi 4-Jan 7-Jan 78 922.95 4.58

      SUM 7.6

EX415708 Rajasekar 5-Jan 10-Jan 87 410.2 142.64

EX432677 Ramesh 6-Jan 10-Jan 5856 6230 2000 1.5

      SUM 144.14

EX415709 Senthil 26-Oct 11-Jan 40 418.4 2.28

EX430025 Yogesh 27-Dec 11-Jan 40 736.5 4.49

EX432675 Naresh 6-Jan 11-Jan 93 787.5 4.5

      SUM 11.27

EX419354 Raju 8-Dec 12-Jan 382 525 1250 0.1

EX419386 Nagaprasanna 21-Dec 12-Jan 16 865.9 4.89

EX429530 Pushparaj 8-Jan 12-Jan 1365 525 0 3

      SUM 7.99

EX417062 Shanmuga 26-Oct 13-Jan 47 5086.25 1.5

EX432651 Aravind 8-Jan 13-Jan 199 1020 0.17

EX436715 Lakshmanan 29-Dec 13-Jan 65 367.5 1250 0.07

      SUM 1.74

EX416361 Dinesh 3-Dec 14-Jan 19 420 0.08

EX416937 Kevaraovv 27-Nov 14-Jan 44 336 1.7

EX429016 Sivakumar 11-Jan 14-Jan 64 388 1000 0.56

      SUM 2.34

EX436712 Vijeindiran 6-Jan 17-Jan 251 23723.75 2450 0.48

      SUM 0.48

EX409472 Prabagar 4-Jan 18-Jan 106 787.5 4.44

EX418478 Srikanth 29-Dec 18-Jan 37 420 2000 0.08

EX427695 Kalyanasu 25-Nov 18-Jan 6 999 5

      SUM 9.52

EX432909 Indira 13-Jan 19-Jan 65 42586.8 2000 0.67

      SUM 0.67

EX429001 Jayaramak 11-Jan 20-Jan 28 420 2.34

EX430007 Jagadeesh 27-Dec 20-Jan 118 787.5 2450 0.15

EX432662 Sudhakar 13-Jan 20-Jan 23 227.25 1.13

EX436703 Saveetha 14-Jan 20-Jan 5829 7533 2000 0.55

EX436705 Theresa 12-Jan 20-Jan 15025 10010 2450 1.6

      SUM 5.77

EX415910 Naresh 18-Jan 21-Jan 28 3286.8 17.24

EX420510 Chandrasekar 18-Jan 21-Jan 1806 11760 2450 6

      SUM 23.24

EX420540 Jeminigane 15-Jan 24-Jan 739 9582.35 0 48.97

EX430038 Magikrish 20-Jan 24-Jan 4502 462.25 2.47

      SUM 51.44

EX418328 Thirumurthy 18-Jan 25-Jan 13 176.75 0 0.93

      SUM 0.93

EX418331 Sudheer 22-Jan 27-Jan 78 3896.6 19.48

EX423839 Vigneshvar 21-Dec 27-Jan 174 1016.95 1000 0.16

EX427810 Visalakshi 22-Jan 27-Jan 4620 5212 1250 0.22

EX432994 Praveenraj 22-Jan 27-Jan 39 1794.5 1250 0.4

EX432948 Nagasumanth 21-Jan 27-Jan 752 20834.8 211.86

      SUM 232.12

EX415948 Rucknani 21-Jan 28-Jan 3983 980 5.05

EX423847 Jitendrakum 31-Dec 28-Jan 132 1849 1250 0.2

EX432903 Balamurugan 21-Jan 28-Jan 156 787.5 4.19

EX432918 Starlin 22-Jan 28-Jan 151 787.5 4.21

      SUM 13.65

EX317333 Mnaveen 25-Jan 31-Jan 175 1217.6 0 6.58

EX427850 Samuel 24-Jan 31-Jan 44 2406.3 2450 0.24

EX432683 Karthik 7-Jan 31-Jan 279 924.5 1250 0.1

EX433579 Vijayakumar 16-Dec 31-Jan 86 1001 0.1

EX436723 Surundra 11-Jan 31-Jan 64 2230138.7 2000 0.04

      SUM 7.06

    TOTAL FOR JAN 761.92

EX427849 Rairsthanam 25-Jan 1-Feb 77 2426 2450 0.25

EX430032 Jayachandran 28-Jan 1-Feb 2828 3250 0 15.76

EX432690 Praveenpr 30-Dec 1-Feb 1002.51 3674 0 3.67

      SUM 19.68

    TOTAL SUM 4042.618

NOTE:-Revenue due to Client Activation December 57,635 January 30,247

Activation Team contributes 64.11% of total clients activated for the month of January

CHART NO-1

CHART NO-2

INTERPRETATION:-• From the graph we are able to interpret that the revenue generated due to

client activation in the month of December was more than that of the revenue generated by client activation in the month of January. This is due to the market downtrend in the month of January.

• This also shows that even though the market was down it was only the client activation which has increase the revenue of the month by 64.11%

TABLE NO-2

MOVING AVERAGE

Trading revenue Trading revenue Trading revenueDate DEC Date JAN Date FEB

1-Dec 151.796 3-Jan 1.56 1-Feb 19.682-Dec 475.24 4-Jan 224.723-Dec 32.39 5-Jan 8.66-Dec 0.53 6-Jan 7.087-Dec 93.06 7-Jan 7.68-Dec 70.11 10-Jan 144.149-Dec 40.58 11-Jan 11.27

10-Dec 385.76 12-Jan 7.9913-Dec 1456.182 13-Jan 1.7414-Dec 460.8 14-Jan 2.3415-Dec 147.3 17-Jan 0.4816-Dec 372.93 18-Jan 9.5220-Dec 7.39 19-Jan 0.6721-Dec 2.05 20-Jan 5.7722-Dec 5.02 21-Jan 23.2423-Dec 153.86 24-Jan 51.4424-Dec 21.21 25-Jan 0.9327-Dec 27.89 27-Jan 232.1228-Dec 3.98 28-Jan 13.6529-Dec 7.31 31-Jan 7.0630-Dec 22.0231-Dec 4856.78

CALCULATION

SIMPLE MOVING AVERAGE

151.796 475.24 32.39 0.53 93.06

475.24 32.39 0.53 93.06 70.11

32.39 0.53 93.06 70.11 40.58

0.53 93.06 70.11 40.58 385.76

93.06 70.11 40.58 385.76 1456.182

70.11 40.58 385.76 1456.182 460.8

40.58 385.76 1456.182 460.8 147.3

385.76 1456.182 460.8 147.3 372.93

1456.182 460.8 147.3 372.93 7.39

460.8 147.3 372.93 7.39 2.05

147.3 372.93 7.39 2.05 5.02

372.93 7.39 2.05 5.02 153.86

7.39 2.05 5.02 153.86 21.21

2.05 5.02 153.86 21.21 27.89

5.02 153.86 21.21 27.89 3.98

153.86 21.21 27.89 3.98 7.31

21.21 27.89 3.98 7.31 22.02

27.89 3.98 7.31 22.02 4856.78

3.98 7.31 22.02 4856.78 1.56

7.31 22.02 4856.78 1.56 224.72

22.02 4856.78 1.56 224.72 8.6

4856.78 1.56 224.72 8.6 7.08

1.56 224.72 8.6 7.08 7.6

224.72 8.6 7.08 7.6 144.14

8.6 7.08 7.6 144.14 11.27

7.08 7.6 144.14 11.27 7.99

7.6 144.14 11.27 7.99 1.74

144.14 11.27 7.99 1.74 2.34

11.27 7.99 1.74 2.34 0.48

7.99 1.74 2.34 0.48 9.52

SUM AVERAGE SUM AVERAGE SUM AVERAGE SUM AVERAGE SUM AVERAGE

9207.148 306.90493 9057.092 301.90307 8584.192 286.13973 8552.282 285.07607 8561.272 285.37573

70.11 40.58 385.76 1456.182 460.840.58 385.76 1456.182 460.8 147.3

385.76 1456.182 460.8 147.3 372.93

1456.182 460.8 147.3 372.93 7.39

460.8 147.3 372.93 7.39 2.05

147.3 372.93 7.39 2.05 5.02

372.93 7.39 2.05 5.02 153.86

7.39 2.05 5.02 153.86 21.21

2.05 5.02 153.86 21.21 27.89

5.02 153.86 21.21 27.89 3.98

153.86 21.21 27.89 3.98 7.31

21.21 27.89 3.98 7.31 22.02

27.89 3.98 7.31 22.02 4856.78

3.98 7.31 22.02 4856.78 1.56

7.31 22.02 4856.78 1.56 224.72

22.02 4856.78 1.56 224.72 8.6

4856.78 1.56 224.72 8.6 7.08

1.56 224.72 8.6 7.08 7.6

224.72 8.6 7.08 7.6 144.14

8.6 7.08 7.6 144.14 11.27

7.08 7.6 144.14 11.27 7.99

7.6 144.14 11.27 7.99 1.74

144.14 11.27 7.99 1.74 2.34

11.27 7.99 1.74 2.34 0.48

7.99 1.74 2.34 0.48 9.52

1.74 2.34 0.48 9.52 0.67

2.34 0.48 9.52 0.67 5.77

0.48 9.52 0.67 5.77 23.24

9.52 0.67 5.77 23.24 51.44

0.67 5.77 23.24 51.44 0.93

SUM AVERAGE SUM AVERAGE SUM AVERAGE SUM AVERAGE SUM AVERAGE

8468.882 282.29607 8404.542 280.1514 8387.202 279.5734 8052.882 268.4294 6597.63 219.921

1.56 224.72 8.6 7.08

224.72 8.6 7.08 7.6

8.6 7.08 7.6 144.14

7.08 7.6 144.14 11.27

7.6 144.14 11.27 7.99

144.14 11.27 7.99 1.74

11.27 7.99 1.74 2.34

7.99 1.74 2.34 0.48

1.74 2.34 0.48 9.52

2.34 0.48 9.52 0.67

0.48 9.52 0.67 5.77

9.52 0.67 5.77 23.24

0.67 5.77 23.24 51.44

5.77 23.24 51.44 0.93

23.24 51.44 0.93 232.12

51.44 0.93 232.12 13.65

0.93 232.12 13.65 7.06

232.12 13.65 7.06 19.68

SUM AVERAGE SUM AVERAGE SUM AVERAGE SUM AVERAGE

6368.95 212.29833 6235.3 207.84333 5869.43 195.64767 5881.72 196.05733

CHART NO-3

INTERPRETATION:-

From the moving average graph we could find that the revenue generated by client activation is high during previous months and from January middle it has been highly reduced, which means that the client activation has not been done effectively due to the reason that there is only two client activators for more than 3500 clients and this revenue decrease is also due to the market downtrend for the past three months.

TABLE NO-3

CLASSIFICATION BASED ON THE CLIENTS AGE

S.NO AGE NO OF RESPONDENTS

PERCENTAGE(%)

1 21-30 15 18.752 30-40 26 32.53 40-50 22 27.54 ABOVE 50 17 21.25

Total 80 100

INFERENCE:- From the above table it is found that 18.75% of respondents are in the age

group 21-30, 32.5% of respondents are in the age group of 31-40, 27.5% of

respondents are in the age group 40-50, 21.25% of respondents are in the age

group of above 50 which shows that most of the clients who make investment

are in the age group of 31-40.

CHART NO-3CLASSIFICATION BASED ON THE CLIENTS AGE

TABLE NO-4

CLASSIFICATION BASED ON THE CLIENTS GENDER

S.NO GENDER NO OF RESPONDENTS

PERCENTAGE(%)

1 Male 60 75

2 Female 20 25

Total 80 100

INFERENCE:- From The above table it is found that 75%of the clients are male and 25%of the clients are female which means that mostly men are investing more in share market.

CHART NO-4CLASSIFICATION BASED ON THE CLIENTS GENDER

TABLE NO-5

CLASSIFICATION BASED ON THE OPENING OF DEMAT ACCOUNT

S.NO OPENING DEMAT

ACCOUNT

NO OF RESPONDENTS

PERCENTAGE (%)

1 Before March 12 152 March to June 15 18.753 June to December 36 45

4 After December 17 21.25Total 80 100

INFERENCE:- From the above table it is found that 15% of the clients have opened the demat account before March, 18.75% of the clients have opened the demat

account in the period of March to June,45 of the respondents have opened in the period of June to December and21.25% of the respondents have opened in the period after December .

CHART NO-5CLASSIFICATION BASED ON THE OPENING OF DEMAT ACCOUNT

TABLE NO-6

CLASSIFICATION BASED ON THE CLIENTS INTERESTED IN TRADING

S.NO INTERESTED IN TRADING

NO OF RESPONDENTS

PERCENTAGE(%)

1 Yes 66 82.52 No 14 17.5

Total 80 100

INFERENCE:-

From the above table it is found that 82.5% of the are interested in trading, 17.5% of the respondents are not interested in trading

CHART NO-6CLASSIFICATION BASED ON THE CLIENTS INTERESTED IN TRADING

TABLE NO-7

CLASSIFICATION BASED ON THE CLIENTS REMAINING INACTIVE

S.NO CLIENTS REMAINING INACTIVE

NO OF RESPONDENTS

PERCENTAGE

(%)

1 financial position 1518.75

2 share holdings in other company

13

16.253 lack of knowledge

in share market22

27.54 market downtrend 30

37.5

Total 80 100

INFERENCE:- From the above table it is found that 18.75% of the respondents are dormant due to financial position, 16.25% of the respondents are dormant due to share holdings in another company,27.5 of the respondents are dormant due to lack of knowledge in share market and 37.5% of the respondents are dormant due to market down trend

CHART NO-7

CLASSIFICATION BASED ON THE CLIENTS REMAINING INACTIVE

TABLE NO-8

CLASSIFICATION BASED ON THE CLIENTS GET ACTIVATED

S.NO CLIENTS GET ACTIVATED

NO OF RESPONDENTS

PERCENTAGE(%)

1 After Budget 32 402 After 3 months 29 36.253 After 6 months 9 11.254 not yet decided 10 12.5

Total 80 100

INFERENCE:- From the table it is inferred that 40% of the respondents will start trading after budget and 36.25% of the clients will start after 3months ,11.25% of the respondents will start after 6months and12.5% of the respondents have not yet decided.

CHART NO-8CLASSIFICATION BASED ON THE CLIENTS GET ACTIVATED

TABLE NO-9

CLASSIFICATION BASED ON THE KIND OF TRADING OPTED

S.NO TRADING ADOPTED

NO OF RESPONDENTS

PERCENTAGE(%)

1 Online trading 44 552 Offline trading 36 45

Total 80 100

INFERENCE:- From the table it is inferred that55% of the respondents go for online trading and 45% of the respondents go for offline trading which means that client activators have effectively educate the client about online trading

CHART NO-9CLASSIFICATION BASED ON THE KIND OF TRADING OPTED

TABLE NO-10

CLASSIFICATION BASED ON THE KIND OF INVESMENT

S.NO INVESTMENT TYPE

NO OF RESPONDENTS

PERCENTAGE(%)

1 Equity 55 68.752 commodity 8 103 Mutual funds 17 21.25

Total 80 100

INFERENCE:- From the above table it is inferred that68.75% of the respondents go for equities, 10% of the respondents invest in commodities and 21.25%of the

respondents go for mutual funds. It means that most of the clients go for equity market than other type of investment.

CHART NO-10CLASSIFICATION BASED ON THE KIND OF INVESMENT

TABLE NO-11

CLASSIFICATION BASED ON THE REQUIREMENT OF TRAINING

S.NO REQUIREMENT OF TRAINING

NO OF RESPONDENTS

PERCENTAGE(%)

1 Yes 42 52.52 No 38 47.5

Total 80 100

INFERENCE:- From the above table it is inferred that 52.5% of the respondents require training on various parts such as training on share market, training about online trading etc and 47.5% of the respondents do not require training.

CHART NO-11CLASSIFICATION BASED ON THE REQUIREMENT OF TRAINING

TABLE NO-12

CLASSIFICATION BASED ON THE CLIENTS STOCK HOLDINGS IN OTHER COMPANY

S.NO STOCK HOLDINGS IN

OTHER COMPANY

NO OF RESPONDENTS

PERCENTAGE

(%)

1 Yes 34 42.52 No 46 57.5

Total 80 100

INFERENCE:- From the above table it is inferred that 42.5% of the respondents hold stocks in other share broking company and 57.5% of the respondents hold stock only in Edelweiss.

CHART NO-12CLASSIFICATION BASED ON THE CLIENTS STOCK HOLDINGS IN

OTHER COMPANY

TABLE NO-13

CLASSIFICATION BASED ON THE SUBSCRIPTION PLAN ADOPTED

S.NO SUBSCRIPTION PLAN ADOPTED

NO OF RESPONDENTS

PERCENTAGE(%)

1 1250 plan 21 26.252 2000 plan 22 27.53 above 2000 plan 11 13.754 No plan 26 32.5

Total 80 100

INFERENCE:- From the above table it is inferred that 26.25% of the clients go for 1250 plan, 27.5% of the clients go for 2000 plan,13.75% of the respondents go

for above 2000 plan and 32.5% of the respondents do not take any subscription plan.

CHART NO-13CLASSIFICATION BASED ON THE SUBSCRIPTION PLAN ADOPTED

TABLE NO-14

CLASSIFICATION BASED ON THE SATISFACTION LEVEL OF THE CLIENT

S.NO SATISFACTION LEVEL OF THE

CLIENT

NO OF RESPONDENTS

PERCENTAGE

(%)

1 Highly satisfied 19 23.752 Satisfied 20 253 Neither satisfied

nor dissatisfied20 25

4 Dissatisfied 21 26.25

Total 80 100

INFERENCE:-

From the above table it is inferred that 23.75% of the respondents are highly satisfied, 25% of the respondents are satisfied, 13.75% of the respondents are neither satisfied nor dissatisfied and 26.25% of the respondents are dissatisfied.

CHART NO-14CLASSIFICATION BASED ON THE SATISFACTION LEVEL OF THE

CLIENT

TABLE NO-15

REVENUE GENERATED ON JAN AND FEB

traded date

revenue traded date

revenue

DEC JAN1-Dec 151.796 3-Jan 1.562-Dec 475.24 4-Jan 224.723-Dec 32.39 5-Jan 8.66-Dec 0.53 6-Jan 7.087-Dec 93.06 7-Jan 7.68-Dec 70.11 10-Jan 144.149-Dec 40.58 11-Jan 11.27

10-Dec 385.76 12-Jan 7.9913-Dec 1456.182 13-Jan 1.7414-Dec 460.8 14-Jan 2.3415-Dec 147.3 17-Jan 0.4816-Dec 372.93 18-Jan 9.5220-Dec 7.39 19-Jan 0.6721-Dec 2.05 20-Jan 5.7722-Dec 5.02 21-Jan 23.2423-Dec 153.86 24-Jan 51.4424-Dec 21.21 25-Jan 0.9327-Dec 27.89 27-Jan 232.1228-Dec 3.98 28-Jan 13.6529-Dec 7.31 31-Jan 7.06

CALCULATION

CORRELATION ANALYSIS

price changes price changes X^2 Y^2 XYX Y

-323.444 -223.16 104616 49800.39 72179.76

442.85 216.12 196116.1 46707.85 95708.74

31.86 1.52 1015.06 2.3104 48.4272

-92.53 -0.52 8561.801 0.2704 48.1156

22.95 -136.54 526.7025 18643.17 -3133.59

29.53 132.87 872.0209 17654.44 3923.651

-345.18 3.28 119149.2 10.7584 -1132.19

-1070.42 6.25 1145803 39.0625 -6690.14

995.382 -0.6 990785.3 0.36 -597.229

313.5 1.86 98282.25 3.4596 583.11

-225.63 -9.04 50908.9 81.7216 2039.695

365.54 8.85 133619.5 78.3225 3235.029

5.34 -5.1 28.5156 26.01 -27.234

-2.97 -17.47 8.8209 305.2009 51.8859

-148.84 -28.2 22153.35 795.24 4197.288

132.65 50.51 17596.02 2551.26 6700.152

-6.68 -231.19 44.6224 53448.82 1544.349

23.91 218.47 571.6881 47729.14 5223.618

-3.33 6.59 11.0889 43.4281 -21.9447

SUM AVERAGE SUM AVERAGE SUM AVERAGE SUM AVERAGE SUM AVERAGE

144.486 7.604526316 -5.5 -0.28947 2890670 152140.5 237921.2 12522.17 183881.5 9677.974

CALCULATION

∑x=144.486 ∑y=-5.5Average (x ) = 7.604526 (y) = -0.28947x^2=57.82882 y ^2=0.083795

b=∑xy-nx y/∑x^2-nX^2=0.063651

a=y -bx=-0.77351

r^2= a∑Y+b∑XY-n.y ^2/∑Y^2-ny ^2=0.049205075r= 0.22182217

Interpretation:-

From the correlated value we can find that the correlated value lies between -1 to 1 which means it is positively correlated.

TABLE NO-16

COMPARITIVE BALANCE SHEET

` in Cr. Mar-06

Mar-07

inc or dec

percentage Mar-07

Mar-08

inc or dec

percentage

Debt-Equity Ratio (x)

0 0.31 -0.31 #DIV/0! 0.31 0.71 -0.4 -129.032

Long Term Debt-Equity Ratio (x)

0 0.31 -0.31 #DIV/0! 0.31 0.45 -0.14 -45.1613

Current Ratio (x)

4.09 8.61 -4.52 -110.513 8.61 3.19 5.42 62.95006

Fixed Assets (x)

7.58 16.48 -8.9 -117.414 16.48 22.17 -5.69 -34.5267

Inventory (x)

0 0 0 #DIV/0! 0 0 0 #DIV/0!

Debtors (x)

8.26 10.62 -2.36 -28.5714 10.62 24.45 -13.83 -130.226

Interest Cover Ratio (x)

431 18.14 412.86 95.79118 18.14 1.51 16.63 91.67585

Operating Profit Margin (%)

44.83 52.6 -7.77 -17.3321 52.6 62.85 -10.25 -19.4867

Profit Before Interest And Tax Margin (%)

41.52 51.25 -9.73 -23.4345 51.25 62.15 -10.9 -21.2683

Gross Profit Margin (%)

44.73 49.77 -5.04 -11.2676 49.77 21.65 28.12 56.4999

Cash Profit Margin (%)

30.09 37.25 -7.16 -23.7953 37.25 16.04 21.21 56.9396

Ajdusted Net Profit Margin (%)

26.78 35.9 -9.12 -34.0553 35.9 15.34 20.56 57.27019

Return On Capital Employed (%)

15.45 10.15 5.3 34.30421 10.15 7.56 2.59 25.51724

Return On Net Worth (%)

9.99 9.35 0.64 6.406406 9.35 3.2 6.15 65.7754

` in Cr. Mar-08

Mar-09

inc or dec

percentage Mar-09

Mar-10

inc or dec

percentage

Debt-Equity Ratio (x)

0.71 0.6 0.11 15.49296 0.6 0.74 -0.14 -23.3333

Long Term Debt-Equity Ratio (x)

0.45 0.34 0.11 24.44444 0.34 0.46 -0.12 -35.2941

Current Ratio (x)

3.19 2.54 0.65 20.37618 2.54 2.49 0.05 1.968504

Fixed Assets (x)

22.17 16.98 5.19 23.41001 16.98 24.85 -7.87 -46.3486

Inventory (x)

0 0 0 #DIV/0! 0 0 0 #DIV/0!

Debtors (x)

24.45 30.7 -6.25 -25.5624 30.7 7.94 22.76 74.13681

Interest Cover Ratio (x)

1.51 1.32 0.19 12.58278 1.32 1.31 0.01 0.757576

Operating Profit Margin (%)

62.85 69.51 -6.66 -10.5967 69.51 72.7 -3.19 -4.58927

Profit Before Interest And Tax Margin (%)

62.15 67.23 -5.08 -8.17377 67.23 72.03 -4.8 -7.13967

Gross Profit Margin (%)

21.65 18.49 3.16 14.59584 18.49 17.65 0.84 4.542996

Cash Profit Margin (%)

16.04 16.04 0 0 16.04 14.39 1.65 10.28678

Ajdusted Net Profit Margin (%)

15.34 13.75 1.59 10.36506 13.75 13.72 0.03 0.218182

Return On Capital Employed (%)

7.56 5.97 1.59 21.03175 5.97 7.76 -1.79 -29.9832

Return On Net Worth (%)

3.2 1.95 1.25 39.0625 1.95 2.57 -0.62 -31.7949

TABLE NO-17

COMPARITIVE PROFIT AND LOSS ACCOUNT

` in Cr. Mar-06

Mar-07

inc or dec

percentage Mar-07

Mar-08

inc or dec

percentage

INCOME :

Operating Income

30.41 73.59 -43.18 -141.993 73.59 187.47 -113.88 -154.749

Other Income 0.73 1.79 -1.06 -145.205 1.79 0.2 1.59 88.82682

Stock Adjustment

0 0 0 #DIV/0! 0 0 0 #DIV/0!

Total Income 31.14 75.38 -44.24 -142.068 75.38 187.67 -112.29 -148.965

EXPENDITURE :

0 #DIV/0! 0 #DIV/0!

Interest & Financial Charges

0.03 2.13 -2.1 -7000 2.13 77.32 -75.19 -3530.05

Operating & Administrative Expenses

17.18 35.73 -18.55 -107.974 35.73 69.72 -33.99 -95.1301

Less: Preoperative Expenditure Capitalised

0 0 0 #DIV/0! 0 0 0 #DIV/0!

Profit before Depreciation & Tax

13.93 37.52 -23.59 -169.347 37.52 40.63 -3.11 -8.28891

Depreciation 1.03 1.02 0.01 0.970874 1.02 1.32 -0.3 -29.4118

Profit Before Tax

12.9 36.5 -23.6 -182.946 36.5 39.31 -2.81 -7.69863

Tax 4.56 9.44 -4.88 -107.018 9.44 10.53 -1.09 -11.5466

Profit After Tax 8.34 27.06 -18.72 -224.46 27.06 28.78 -1.72 -6.35625

Adjustment below net profit

0 0 0 #DIV/0! 0 0 0 #DIV/0!

P & L Balance brought forward

19.5 26.83 -7.33 -37.5897 26.83 49.91 -23.08 -86.0231

Appropriations 1.01 3.98 -2.97 -294.059 3.98 23.33 -19.35 -486.181

P & L Balance carried down

26.83 49.91 -23.08 -86.0231 49.91 55.36 -5.45 -10.9197

Equity Dividend 0.49 1.13 -0.64 -130.612 1.13 15.02 -13.89 -1229.2

Preference Dividend

0 0 0 #DIV/0! 0 0 0 #DIV/0!

Corporate Dividend Tax

0.08 0.14 -0.06 -75 0.14 2.55 -2.41 -1721.43

Equity Dividend (%)

15 30 -15 -100 30 40 -10 -33.3333

Earning Per Share (Rs.)

2.19 6 -3.81 -173.973 6 3.5 2.5 41.66667

Book Value 34.34 100.07 -65.73 -191.409 100.07 180.08 -80.01 -79.954

Extraordinary Items

0 0 0 #DIV/0! 0 0 0 #DIV/0!

` in Cr. Mar-08

Mar-09

inc or dec

percentage Mar-09

Mar-10

inc or dec

percentage

INCOME :

Operating Income 187.47 191.39 -3.92 -2.091 191.39 244.12 -52.73 -27.5511

Other Income 0.2 0.35 -0.15 -75 0.35 5.16 -4.81 -1374.29

Stock Adjustment 0 0 0 #DIV/0! 0 0 0 #DIV/0!

Total Income 187.67 191.74 -4.07 -2.1687 191.74 249.28 -57.54 -30.0094

EXPENDITURE : 0 #DIV/0! 0 #DIV/0!

Interest & Financial Charges

77.32 97.82 -20.5 -26.5132 97.82 137.22 -39.4 -40.2781

Operating & Administrative Expenses

69.72 58.46 11.26 16.15032 58.46 68.05 -9.59 -16.4044

Less: Preoperative Expenditure Capitalised

0 0 0 #DIV/0! 0 0 0 #DIV/0!

Profit before Depreciation & Tax

40.63 35.46 5.17 12.72459 35.46 44.01 -8.55 -24.1117

Depreciation 1.32 4.38 -3.06 -231.818 4.38 1.68 2.7 61.64384

Profit Before Tax 39.31 31.08 8.23 20.93615 31.08 42.33 -11.25 -36.1969

Tax 10.53 4.71 5.82 55.27066 4.71 8.13 -3.42 -72.6115

Profit After Tax 28.78 26.37 2.41 8.373871 26.37 34.2 -7.83 -29.6928

Adjustment below net profit

0 0 0 #DIV/0! 0 0 0 #DIV/0!

P & L Balance brought forward

49.91 55.36 -5.45 -10.9197 55.36 55.09 0.27 0.487717

Appropriations 23.33 26.64 -3.31 -14.1877 26.64 85.01 -58.37 -219.107

P & L Balance carried down

55.36 55.09 0.27 0.487717 55.09 4.28 50.81 92.23089

Equity Dividend 15.02 22.48 -7.46 -49.6671 22.48 75.08 -52.6 -233.986

Preference Dividend 0 0.03 -0.03 #DIV/0! 0.03 0 0.03 100

Corporate Dividend Tax

2.55 1.22 1.33 52.15686 1.22 6.51 -5.29 -433.607

Equity Dividend (%)

40 60 -20 -50 60 200 -140 -233.333

Earning Per Share (Rs.)

3.5 3.35 0.15 4.285714 3.35 3.69 -0.34 -10.1493

Book Value 180.08 180.96 -0.88 -0.48867 180.96 174.5 6.46 3.56985

Extraordinary Items 0 0.01 -0.01 #DIV/0! 0.01 1.14 -1.13 -11300

According to the database 14 Jan • Total 1,524 clients activated during current month out of which 216

clients activated today, Activation Team activated 145 clients.

• Activation Team contributes 64.11% of total clients activated for the month.

• Sales HNI team done 302 activations out of 1,524 account activated in current month, Sub broker done 133 activations in Jan 2011.

• 43.16% clients traded till date out of our total client base

STATISTICAL TOOLS

CHI-SQUARE TEST

To check whether the Clients satisfied with the service rendered by the companyStep (i):-

NULL HYPOTHESIS (Ho)

Ho → There is significant relationship between the age and Satisfaction level of the client.

ALTERNATIVE HYPOTHESIS (H1)

H1→ There is no significant relationship between the age and Satisfaction level of the customer

Step (ii):-

OBSERVED FREQUENCY

Employees Involvement →

HIGHLYSATISFIED

SATISFIED NEITHER SATISFIED NOR DISSATISFIED

DISSATISFIED RowTotal

AGE ↓ABOVE 20 5 5 3 2 1530 - 40 2 10 13 1 2640 - 50 5 3 2 12 22Above 50 7 2 2 6 17ColumnTotal

19 20 20 21 80/80

Step (iii):-

EXPECTED FREQUENCY:

E= Row total × column total

Grand Total 3.5625 3.75 3.75 3.9375

6.175 6.5 6.5 0.3255.225 5.5 5.5 5.7754.0375 4.25 4.25 4.4625

Step (iv):-TABLE CALCULATED:-

Step (v):-

Degree of freedom = (c-1) (R-1)= (4-1) (4-1)= (3) (3)= 9

Total tabulated value at 5% level of significance = 16.919

OF(Oi)

EF(Ei)

Oi-Ei (Oi-Ei)2 (Oi-Ei)/Ei

5532210131532127226

3.56253.753.75

3.93756.1756.56.5

0.3255.2255.55.5

5.7754.03754.254.25

4.4625

1.43751.25-0.75-1.9375-4.1753.56.50.675-0.225-2.5-3.56.2252.9625-2.25-2.251.5375

2.0664061.56250.56253.75390617.4306312.2542.250.4556250.050625602512.2538.750638.7764065.06255.06252.363906

0.4035090.333333

-0.2-0.49206-0.676110.538462

12.076923-0.04306-0.45455-0.636361.0779220.733746-0.52941-0.529410.344538

Total 2.947461

Calculated value = 2.947461 ψ2 11.13 <16.919

INFERENCE:-

At 9 degree of freedom 5% level of significance, the table value is 16.919. Since calculated value is lesser than table value, Null Hypothesis (Ho) is accepted

Therefore, it is observed that, there is significant relationship between age and Satisfaction level of the client..

CHAPTER –VI

FINDINGS

FINDINGS

Mostly the revenue is generated by client activation.

In the month of January 64.11% of the revenue was contributed

from the client activation team

Most of the clients lack knowledge in share market due to which

they remain dormant

For 3500 clients there are only 2 client activators due to which

the client activators cannot provide their maximum service.

Due to lack of client service many of the efficient clients close

their account which reduces the revenue of the company

Most of the efficient clients whose investment generates revenue

to the company are above the age group of 30 and they also very

determinately take part in the trading activity.

Client activation is a new concept which has been started as

forming a new team in Edelweiss from the month of June

This client activation has in turn increased the revenue of the

Edelweiss.

It is found from the table that42.5% of the clients have stock

holdings in other company and 57.5% of the clients have

account only in Edelweiss which means that more number of

respondents go for Edelweiss than any other company due to its

ADB plan.

It is found that 26.25% of the clients are dissatisfied with the

service rendered by the Edelweiss.

Separate training team can be formed to educate the respondents

about share markets and on online trading because it is inferred

from the table that52.5% of the clients lack knowledge about

share market.

It is studied from that 55% of the clients go for online trading

which me4ans that online trading is been implemented

effectively in Eelweiss.

It is observed from the table that 82.5% of the clients are

interested in trading and 17.5% of the clients are not interested

in trading which means that most of the clients are highly

investing in shares with the expectation of high returns.

CHAPTER -VII

SUGGESTIONS

SUGGESTIONS

1. Company can Recruit some more people for client activation which

increases the revenue of the company

2. There should be a backup office in order to look after the queries of the

clients.

3. It is highly recommended to reduce the Brokerage rate which is also very

high when compared to that of other share Broking company.

4. The training about the share market should be given to all required clients

individually as per their convienience.

CONCLUSION

CONCLUSION

The client activation is an important aspect of any company which plays a

major role in increasing the revenue of the company. This Project “A STUDY

ON THE EFFECTIVENESS OF CLIENT ACTIVATION AND ITS

FINANCIAL IMPACT AT EDELWEISS BROKING LIMITED “ aims at

determining the revenue generated by the client activation team and also to

evaluate ehe effectiveness of online trading education given to the clients.

BIBLIOGRAPHY

BIBLIOGRAPHY

S.NO. BOOK AUTHOR PUBLISHER

1 Research Methodology C.R.Kothari Vishwaprakas

2 Security Analysis And

Portfolio Management

The ICFAI

university

Nagar

3 Security Analysis And

Portfolio Management

Fischer Donald TMGH

4 Security Analysis And

Portfolio Management

Punithavathy

Pandian

Vikas

5 Security Analysis And

Portfolio Management

M.N Mishra Himalayan

Publishing

6 Security Analysis And

Portfolio Management

Avadhani V.A Himalayan

Publishing

Websites:

WWW.GOOGLE.COM

WWW.EDELWEISS.IN

APPENDIX

QUESTIONNAIREMy name is R.NANGAI. I am a student of MBA from VEL SRI RANGA

SANKU COLLEGE. As a part of my summer internship training from EDELWEISS BROKING LIMITED, I am working on the Project “A STUDY ON THE EFFECTIVENESS OF CLIENT ACTIVATION AND ITS FINANCIAL IMPLICATION AT EDELWEISS BROKING LIMITED”. This questionnaire is framed to know whether the client activation done is

increasing the revenue of the company facilitate the teaching and management process in educational institutions.

NAME:-

AGE:-a) 20-30 b) 31-40 c) 41-50 d) above 50

GENDER:-

1. When did you open the demat account?a) Before March b) After March and between June c) June to December d) After December

2. Are you interested in trading?a) Yes b) no

3. Why are you remaining inactive?a) Due to financial positionb) Due to share holdings in another companyc) Due to lack of knowledge in share market d) Due to market downtrend

4. When will you start trading?a) After Budget b) After 3 months c) After 6 months d) not yet decided

5. What kind of trading are you interested in?a) Online trading b) Offline trading

6. In what type of investment are you interested?a) Equity b) commodity c) Mutual funds

7. Do you require any training for trading?a) Yes b) No8. Do you hold the shares of any other stock brokering company?a) Yes b) No

9. Have you choose any ADB subscription plan?a) 1250 plan b) 2000 plan C) above 2000 Plan d) No plan

10. Are you satisfied with the service rendered by the activators in Edelweiss Broking Limited?a) Highly satisfied b) Satisfied c) Neither satisfied nor dissatisfied d) Dissatisfied