A

SUMMER INTERNSHIP PROJECT REPORT

ON
INVESTMENT BEHAVIOUR OF THE CLIENTS OF THE SHAREKHAN TOWARDS
SHARES& EQUITY MARKETAT

Submitted in partial fulfillment of the requirement for

Master of Business Administration (MBA),
KURUKSHETRA UNIVERSITY, KURUKSHETRA
Session: 2015-2017

SUBMITTED TO:
SUBMITTED BY: University
School of
Management SURAJ
KUMAR KUK
M.B.A. 3RDSEM
115

University School of Management

Kurukshtra University Kurukshtra
 ACKNOWLEDGEMENT

There is a fact that none of the human being in this world is 100% perfect and
in order to gain some perfect ness in itself an individual surely needs a helping
hand. The same was with me with respect to the project that I was undergoing
during this session of 2 months. As I too was illiterate with this research topic
that I selected for my research at the initial stages, I got acquainted with it
slowly and steadily through efforts and surely from various intelligent and
helpful personalities. I would like to extend my heartily thanks to all of them
through this acknowledgement.
I am also thankful to MR. RAHUL KUMAR( Sales Executive) of Sharekhan
Ltd., Gurgaon for giving me an opportunity for getting in valuable experience
in such reputed organization.
I am also thankful to Mr. Amit Sharma (Branch Manager) who is presently
working with Sharekhan Limited for providing me actual training and the
required knowledge & guidance in completing this training successfully.
Finally, I would like to record my special thanks to my parents, friends,
and colleagues help me directly or indirectly in preparation of project work
(Suraj)
 DECLARATION

I declare that the summer project report titled Investment behavior of the
clients of the SHAREKHAN LTD. towards Shares & equity market is based
on original piece of work done by me for the fulfillment of degree of Master of
Business Administration and whatever information has been taken from any
sources had been duly acknowledge.
I further declare that the personal data & information received from any
respondent during survey has not been shared with any one and is used for
academic purpose only.
 PREFACE

For a management student training plays an important role during his/her

study. Training provides a corporate or real world platform to learn
practically. MBA degree without any training or corporate world experience is
just like life without oxygen. So industrial training provides a great learning
experience about management concepts and its applicant. This training
provides us an opportunity to know the current market. To know the current
market situations, prevailing competitions, behavioral environment of
different people etc. It provides us a platform whereby we can apply our
theoretical knowledge and we can solve many practical problems. And hence it
can help us to be a successful manager in future. Thanks to all those who
directly or indirectly help me to complete this project within a short time limit.
For preparation of this report I would like to thanks to faculty members of
our college and staff members of SHARE KHAN LTD.
 CONTENT
HEADINGS NO. INDEXES PAGE NO.
1 CHAPTER 1 8
1.1 INTRODUCTION OF SHAREKHAN LTD 9-10
1.2 BRAND NAME 11
1.3 MISSION 11
1.4 VISSION 11
1.5 SHAREKHAN RATING (BY CUSTOMERS) 12
1.6 ACHIEVEMENT OF SHAREKHAN LTD 13
1.7 DIFFERENT PRODUCT OF SHAREKHAN 14
LTD
1.8 SERVICES PROVIDED BY SHAREKHAN 15
LTD
1.9 TYPES OF ACCOUNT 16-17
1.10 OBJECTIVES OF THE STUDY 18
1.11 SCOPE OF THE STUDY 18
1.12 LIMITATIONS OF STYDY 18
1.13 EQUITY SHARES 19
1.14 STOCK MARKET IN INDIA 20
1.15 DEFINITION OF STOCK MARKET 20
1.16 HISTORY OF STOCK MARKET 20
1.17 FUNCTIONS OF STOCK MARKET 21
1.18 ONLINE TRADING INDUSTRY IN INDIA 21
1.19 VARIOUS STOCK EXCHANGES IN INDIA 22
1.20 NATIONAL STOCK EXCHANGE 23-24
1.21 BOMBEY STOCK EXCHANGE 25-26
1.22 SECURITY &EXCHANGES BOARD OF 27-29
INDIA
1.23 COMPETITORS OF SHAREKHAN LTD 30

2.1 RESEARCH DESIGN 32

2.2 STATSISTICAL TOOL-CHI SQUARE TEST 33
2.3 RESEARCH INSTURMENT-QUESTIONAAIRE 33
2.4 QUESTIONAAIRE- OPEN ENDED &CLOSE 34
ENDED
2.5 CONTACT METHODS-SURVEY 34
2.51 PERSONAL INTERVIEW 34
2.52 ONLINE SURVEY 34
2.6 METHOD OF DATA COLLECTION 35
2.61 PRIMERY DATD 35
2.62 SECONDARY DATA 35
2.7 SAMPLING METHOD-NON PROBABILITY 36
SAMPLING
2.8 SAMPLING TYPE 36
2.9 SAMPLING UNIT CONSUMERS 36
3 CHAPTER 37
3.1-3.15 DATA ANALYSIS AND INTERPRETATION 38-52
4 CHAPTER 53
4.1 FINDINGS 54-55
4.2 CONCLUSION 56
APPENDEXES 60-62
4.3 SUGGESTIONS 57-58
BIBILIOGRAPHY 59

Table 3.1 Graph3.1

Graph 3.2
Table 3.2

Table 3.3 Graph 3.3

Table 3.4 Graph 3.4

Table 3.5 Graph 3.5

Table 3.6 Graph 3.6

Table 3.7 Graph 3.7

Table 3.8 Graph 3.8

Table 3.9 Graph 3.9

Table 3.10 Graph 3.10

 Table 3.11 Graph 3.11

Table 3.12 Graph 3.12

Table 3.13 Graph 3.13

Table 3.14 Graph 3.14

Table 3.15 Graph 3.15

EXECUTIVE SUMMARY

People invest their money for generating good returns. But in this investment some kind of
risk is involved. All investors have different attitudes towards risk. When it comes to
investing, it is important to consider your risk profile or tolerance carefully, including how
comfortable you are with the possibility of losing money, or that returns on your
investments. The risk profile of investors depends upon their demographic structures or
characteristics.
The project deals with the analyzing the investment pattern on the basis of risk profile of
investors at Sharekhan Limited and what are the risk factors that influence the type of
investment made by individuals .
The main reason to choose this research is to find out the investment pattern behavior in
respect of their risk bearing capacity and this research helps the company to target the
investors according to their risk ability. The research process chosen by me is qualitative
and quantitative research. Questionnaires in part help me a lot in finding the actual
position of the market under the survey method.
.A sample size of about 50 respondents which includes individual investors as well as
corporate investors was taken for purpose from various parts of Gurgaon and N.C.R. After
the survey was completed, the data was first stored and then analyzed on the chosen
parameters. This analyzed data was later on converted into graphs. Such as pie chart, bar
graphs, etc. this was to make result easily comprehensible by any one going through the
report. Later on, all this information was compiled in the form of a presentable and highly
comprehensible report.
After analyzing the data, the problem which has been identified that most of the investors
are ready to bear risk in expectation of higher returns. There is a strong relationship in
investment pattern and risk bearing capacity of investors while doing investment. For
analyzing the data we used chi- square test in use MS Excel 2007 for making graphs.

CHAPTER 1
COMPANY PROFILE
1.1 COMPANY PROFILE

The company was found in 2002 by an entrepreneur SHRIPAL

MORAKHIA. It is 2nd ranked stock broker portal and has its 550 share shops
in 170 cities. 1800 offices which include branches & franchises in over 170
cities .There are total 13 lakhs customers of SHAREKHAN LTD. Sharekhan
Trade tiger most popular trading terminals for retail investors. The Trade
Tiger is quite similar to broker terminal and allows frequent traders to places
and execute their orders at a high speed. It also provides live data and other
tool on the same screen to help the users with their traders. This company is
a depository participant with NSDL& CDSL.
We reckon such questions generally come to the uninitiated, and perhaps
that why youre here on this page in the first place!
 To cut a long story short, Sharekhan is an equities focused organization
tracing its lineage to SSKI, a veteran equities solutions company with over 8
decades of experience in the Indian stock markets.
If you experience our language, presentation style, content or for that matter,
the online trading facility, you'll find a common thread; one that helps you
make informed decisions and simplifies investing in stocks. The common
thread of empowerment is what Sharekhan is all about!
Sharekhan is also about focus. Sharekhan does not claim expertise in too many things.
Sharekhan's expertise lies in stocks and that's what he talks about with authority. So when he says
that investing in stocks should not be confused with trading in stocks or a portfolio-based
strategy is better than betting on a single horse, it is something that is spoken with years of
focused learning and experience in the stock markets. And these beliefs are reflected in
everything Sharekhan does for you!
To sum up, Sharekhan brings to you a user- friendly online trading facility, coupled with a
wealth of content that will help you stalk the right shares.
Those of you who feel comfortable dealing with a human being and would rather visit a brick-
and-mortar outlet than talk to a PC, you'd be glad to know that Sharekhan offers you the facility
to visit (or talk to) any of our share shops across the country. In fact Sharekhan runs India's
largest chain of share shops with over five hundred fifty outlets in more than 170 cities! What's a
share shop? How do you locate a share shop in your city?
To find the answers of these questions, you must visit Sharekhan. In other words Sharekhan is a
company that provides you an outstanding trading facility with a wide variety of products and
acts as an investment consultant to manage your portfolio and secure a high rate of return on your
investments in the securities market.
Basically, the company is a market leader in providing brokering services and has a top turnover
in trading and the high turnover makes it the no.1 in the market. The main difference is the
services that they provide to the investors who really need it. The services are discussed in more
detail in the marketing activities. The clients are managed with a friendly corporate culture to
give him more benefited investment ideas and motivate him whenever he needs. The company is
providing as many tips to the clients (pre-market, online and post-market) for more and more
trading ideas and the manager helps each client to concentrate on a few scripts so that he can
manage the profit/loss.
In short, Sharekhan is currently having a good position in the market with the highest no of
transactions and also the highest turnover (buying & selling) in India and a leader in providing
better services to the investors. Sharekhan, Indias leading stock broker is the retail arm of SSKI,
and offers you depository services and trade execution facilities for equities, derivatives and
commodities backed with investment advice tempered by decades of broking experience. A
research and analysis team is constantly working to track performance and trends. Thats why
Sharekhan has the trading products, which are having one of the highest success rates in the
industry. Sharekhan is having 550 share shops in 175 cities; the largest chain of retail share
shops in India is of Sharekhan.

1.2 BRAND NAME

The company as a whole in its offline business has named itself as SSKI Securities Private
Limited Sevaklal Sevantilal Kantilal Ishwarlal Securities Private Limited. The company has
preferred to name themselves under a blanket family name.
But in its online division started since 1997, the company preferred to name itself as
SHAREKHAN. The Brand name SHAREKHAN itself suggests the business in which the
company is dealing so that the customer could easily identify the product or service category.
1.3 MISSION
To educate and empower the individual investor to make better investment decisions through
quality advice and superior service.

1.4 VISION
To be the best retail brokering Brand in the retail business of stock market.

1.5 Sharekhan Rating (by the Customers)

Overall Rating ***** 3.5/5

Fees ***** 3.1/5
Brokerage ***** 3.0/5
Usability ***** 3.8/5
Customers Services ***** 3.5/5
1.6 ACHIEVEMENTS OF SHAREKHAN

1. A wired company along with Reliance, Hll, Infosys, etc. by Business Today, January
2004 edition.
2 It was awarded Top Domestic Brokerage House four times by Euro and Asia money.
3 It was Winner of Best Financial Website award.
4 Indias most preferred brokers within 5 years. CNBC Awaaz customers Award 2005
5 This company has received the Stock Market Award 2008.
6 GIRNAR AWARD ,from the BRUHAD MUMBAI GUJRATI SAMAJ on Jan22,2009.
1.7 Sharekhan ltd. Provide different Product as follows
1. Equity and Derivative Trading on BSE and NSE.

2. Depository Services.

3. Online Trading.

4. IPO Services.

5. Commodities Trading on MCX and NSDEX.

6. Portfolio Management Services.

1.8 SERVICES PROVIDED BY SHAREKHAN
1 Online Series
2 Offline Services
3 Depository Services
4 Equity and Derivatives Trading
5 Fundamental Research
6 Technical Research
7 Portfolio Management
8 Commodities Trading
9 Dial-n-trade
10 Share shops
1. Online Services
Mutual Funds
Commodity Futures
PMS
Technical PMS
Demat Services
Share shops
2. Offline Services
Trading with the help of Dealer
Trading without credit
By calling to the Share shops
Credit facility (Only in Delivery-based)
 T+2 facility
Special website for Offline Clients: www.mysharekhan.com
Physical contract notes

1.9 Types of Account

a) Classic A/c
b ) Speed-trade

c) Dial-n-trade

a) Classic A/c
Features of Classic A/c
Online trading account for investing in Equities and Derivatives via
sharekhan.com.

Integration of: Online trading + Bank + Demat account.

Instant cash transfer facility against purchase & sale of shares.

Make IPO bookings.

You get Instant order and trade confirmations by e-mail

Streaming Quotes.

Personalized Market Scan with your own customized stock ticker.

Single screen interface for cash and derivate

 b) Speed-trade

Features of Speed-trade

Instant order Execution & Confirmation

Single screen trading terminal

Real-time streaming quotes, tic-by-tic charts

Market summary (most traded scrip, highest value and lots of other relevant statistics)

Hot keys similar to a brokers terminal

Alerts and reminders

Back-up facility to place trades on Direct Phone lines

C)Dial-n-trade

Features of Dial-n-trade
 Two dedicated numbers for placing your orders with your cell phone or landline. Toll free
number: 1-800-22-7050. For people with difficulty in accessing the toll-free number, we
also have a Reliance number 30307600 which is charged at Rs. 1.50 per minute for STD
calls.

Automatic funds transfer with phone banking (for Citibank and HDFC bank customers).

Simple and Secure Interactive Voice Response based system for authentication.

No waiting time. Enter your TPIN to be transferred to our telebrokers.

You also get the trusted, professional advice of our teleprocess.

After hours order placement facility between 8.00 am and 9.30 am (timings to be
extended soon.

1.10 OBJECTIVES OF THE STUDY

1) To study the perception of the customers with reference to the share market.
2) To analyze the level of satisfaction of customers transacting business through Sharekhan.
3) To offer suggestions for increasing the level of satisfaction of the customers.
4) To study the customers satisfaction with reference to Sharekhan.
 5) Various services offered by Sharekhan.

1.11 SCOPE OF THE STUDY

Globalization of the financial market has led to a manifold increase in investment. New markets
have been opened; new instruments have been developed; and new services have been launched.
Besides, a number of opportunities and challenges have also been thrown open. Online share
trading is new to Equity market in India. Mainly two exchanges are involved in online trading in
India BSE & NSE.

1.12 LIMITATIONS OF THE STUDY

The study was conducted in Gurgaon and the findings are applicable only to the city. Most of the
customers were busy and some of them were not in a position to give complete data. Researcher
had to proceed with incomplete data.

1.13 EQUITY SHARES

Shares represent ownership rights of their holders. Shareholders are owners of the
company. Shares can of two types:
Equity Shares
Preference Shares
Equity Shares are also known as ordinary shares.
Do not have fixed rate of dividend.
 There is no legal obligation to pay dividends to equity shareholders.
INDUSTRY PROFILE

HISTORY OF STOCK EXCHANGES IN INDIA

The first organized stock exchange in India was started in 1875 at Bombay and it is stated to be
the oldest in Asia. In 1894 the Ahmedabad Stock Exchange was started to facilitate dealings in
the shares of textile mills there. The Calcutta stock exchange was started in 1908 to provide a
market for shares of plantations and jute mills. Then the madras stock exchange was started in
1920. At present there are 24 stock exchanges in the country, 21 of them being regional ones with
allotted areas. Two others set up in the reform era, viz., the National Stock Exchange (NSE) and
Over the Counter Exchange of India (OICEI), have mandate to have nation-wise trading. They are
located at Ahmedabad, Vadodara, Bangalore, Bhubaneswar, Mumbai, Kolkata, Kochi, Coimbatore, Delhi,
Guwahati, Hyderabad, Indore, Jaipur Kanpur, Ludhiana, Chennai Mangalore, Meerut, Patna, Pune,
Rajkot.

The Stock Exchanges are being administered by their governing boards and executive chiefs.
Policies relating to their regulation and control are laid down by the Ministry of Finance.
Government also Constituted Securities and Exchange Board of India (SEBI) in April 1988 for
orderly development and regulation of securities industry and stock exchanges.
1.14 STOCK MARKETS IN INDIA
Stock exchanges are the perfect type of market for securities whether of government and semi
govt bodies or other public bodies as also for shares and debentures issued by the joint-stock
companies.
In the stock market, purchases and sales of shares are affected in conditions of free competition.
Government securities are traded outside the trading ring in the form of over the counter sales or
purchase. The bargains that are struck in the trading ring by the members of the stock exchanges
are at the fairest prices determined by the basic laws of supply and demand.

1.15 Definition of a stock exchange

Stock exchange means anybody or individuals whether incorporated or not, constituted for the
purpose of assisting, regulating or controlling the business of buying, selling or dealing in
securities. The securities include:
1 Shares of public company.
2 Government securities.
3 Bonds
.
1.17 Functions of Stock Exchanges
Stock exchanges provide liquidity to the listed companies. By giving quotations to the listed
companies, they help trading and raise funds from the market. Over the hundred and twenty years
during which the stock exchanges have existed in this country and through their medium, the
central and state government have raised crores of rupees by floating public loans.
Municipal corporations, trust and local bodies have obtained from the public their financial
requirements, and industry, trade and commerce- the backbone of the countrys economy-have
secured capital of crores or rupees through the issue of stocks, shares and debentures for
financing their day-to-day activities, organizing new ventures and completing projects of
expansion, diversification and modernization. By obtaining the listing and trading facilities,
public investment is increased and companies were able to raise more funds. The quoted
companies with wide public interest have enjoyed some benefits and assets valuation has become
easier for tax and other purposes.
1.18 ONLINE TRADING INDUSTRY INDIA
With an online trading account, you can buy and sell shares in an instant! Anytime you like and
from anywhere you like. You can choose the online trading account that suits your trading habits
and preference.
In online trading the orders are sent to the exchanges, the confirmation is immediately conveyed
through E-mail and the proceeds or shares are credited (or debited) to the bank and demat
accounts. Globally, trade every seconds trade that goes through in the stock market is an online
trade. We in India have a long way to go but we sure are catching up a good speed.
Companies offer a fast online share dealing service using real time quotes, free up to the minute
advice, information and tips. Trades may be both in NSE & BSE. Some online companies offer
investment in mutual funds and IPOs online.

1.19 VARIOUS STOCK EXCHANGES IN INDIA

Bombay Stock Exchange of India (BSE)

National Stock Exchange of India (NSE)

Indian Commodity Exchange (ICEX)

United Stock Exchange of India (USE)

Multi Commodity Exchange (MCX)

Over the Counter Exchange of India (OTCEI)

Inter-connected Stock Exchange of India (ISE)

Madras Stock Exchange (MSE)

Coimbatore Stock Exchange (CSX)

Ahmadabad Stock Exchange (ASE)

Bhubaneswar Stock Exchange (BhSE)

Cochin Stock Exchange (CSE)

 Hyderabad Stock Exchange (HSE)

Calcutta Stock Exchange (CSE)

Delhi Stock Exchange (DSE)

Bangalore Stock Exchange (BgSE)

Madhya Pradesh Stock Exchange, Indore

Jaipur Stock Exchange (JSE)

Magadh Stock Exchange, Patna

UP Stock Exchange (UPSE)

Gurgaon Stock Exchange,Gurgaon (VSE)

Guwahati Stock Exchange Ltd

Ludhiana Stock Exchange Association Ltd

Kanara Stock Exchange Ltd

Mangalore Stock Exchange Ltd

Pune Stock Exchange Ltd

Saurashtra Kutch Stock Exchange Ltd

Meerut Stock Exchange Ltd

Intrex Trade Exchange Ltd

United Stock Exchange of India

Mahurat trading
1.20 NSE (National Stock Exchange)
The National Stock Exchange of India Limited has genesis in the report of the High Powered
Study Group on Establishment of New Stock Exchanges, which recommended promotion of a
National Stock Exchange by financial institutions (FIs) to provide access to investors from all
across the country on an equal footing. Based on the recommendations, NSE was promoted by
leading Financial Institutions at the behest of the Government of India and was incorporated in
November 1992 as a tax-paying company unlike other stock exchanges in the country. On its
recognition as a stock exchange under the Securities Contracts (Regulation) Act, 1956 in April
1993, NSE commenced operations in the Wholesale Debt Market (WDM) segment in June 1994.
The Capital Market (Equities) segment commenced operations in November 1994 and operations
in Derivatives segment commenced in June 2000

NSE's mission is setting the agenda for change in the securities markets in India. The NSE was
set-up with the main objectives of:

1 Establishing a nation-wide trading facility for equities and debt instruments.

2 Ensuring equal access to investors all over the country through an appropriate
communication network.
3 Providing a fair, efficient and transparent securities market to investors using
electronic trading systems.
4 Enabling shorter settlement cycles and book entry settlements systems, and
Meeting the current international standards of securities markets.

The standards set by NSE in terms of market practices and technology, have become industry
benchmarks and are being emulated by other market participants. NSE is more than a mere
market facilitator. It's that force which is guiding the industry towards new horizons and greater
opportunities.
1.21 BSE (Bombay stock exchange)

Bombay stock exchanges limited is the oldest stock exchange in Asia with a rich heritage.
Popularly known as The native share and shareholders association in 1875. It is the first stock
exchange in the country to obtain permanent recognition in 1956 from the government of India
under securities contracts (regulation) act, 1956. The exchanges pivotal and pre-eminent role in
the development of the Indian capital market is widely recognized and its index, SENSEX, is
tracked worldwide. Earlier an Association of persons (AOP), the exchanges is now a de-
mutualized and corporative entity incorporated under the provisions of the companies act, 1956,
pursuant to the BSE (Corporation and Demutualization) scheme, 2005.

Notified by the Securities and Exchange Board of India

With demutualization, the trading rights and ownership rights have been de-linked effectively
addressing concerns regarding perceived and real conflicts of interest. The exchange is
professionally managed under the overall direction of the board of directors.
The board comprises eminent professionals, representatives of trading members and the
Managing directors of the exchange. The board is inclusive and is designed to before from the
participation of market intermediaries.
In terms of organization structure, the board formulates larger policy issues and exercises overall
control. The committees constituted by the board are broad based. The day to day operations of
the exchange are managed by the managing director and a management team of professionals.
The exchange has a nationwide reach with a presence in 417 cities and towns of India. The
systems and processes of the exchange are designed to safeguard market integrity and enhance
transparency in operations. During the year 2004-05, the trading volumes on the exchange
showed robust growth.
The exchange provides an efficient and transparent market for trading in equity, debt instruments
and derivatives. The BSEs Online Trading System (BOLT) is a proprietary system of the
clearing and settlement functions of the exchange are ISO 9001:2000 certified.
1.22 SEBI (Securities and Exchange Board of India)
In 1998, the SEBI was established by the Government of India through an executive resolution,
and was subsequently upgraded as a fully autonomous body (a statutory board) in the year 1992
with the passing of the SEBI act on 30th Jan 1992. In place of Government control statutory and
autonomous regulatory boards with defined responsibilities, to cover both development and
regulation of the market, and independent powers have been set up. Paradoxically this is a
positive outcome of the securities scam of 1990-91.

The basic objectives of the board were identified as:

1 To promote the interests of investors in securities.
2 To promote the development of securities market.
3 To regulate the securities market and
4 For matters connected there with or incidental there zto.

Since its inception SEBI has been working targeting the securities and is attending to the
fulfillment of its objectives with commendable zeal and dexterity. The improvements in the
securities markets like capitalizations requirements, margining, establishments of clearing
corporation etc. reduced the risk of credit and also reduced the market.
SEBI has introduced the comprehensive regulatory measures prescribed norms, the eligibility
criteria, the code of obligations and the code of conduct for different intermediaries like, bankers
to issue, merchant bankers, brokers and sub-brokers, registrars, portfolio managers, credit rating
agencies, underwriters and others. It has framed by-laws, risk identification and risk management
systems for clearing houses of stock exchanges, surveillance system etc. which has made dealing
in securities both safe And transparent to the end investors.
Another significant event is the approval of trading in stock indices (like S&P CNX Nifty and
Sensex) in 2000. A market index is a convenient and effective product because of the following
reasons:
1 It acts as a barometer for market behavior.
2 It is used to benchmark portfolio performs.
3 It is used in derivative instrument like index futures and index options.
4 It can be used for passive fund management as in case if index funds.

Two board approaches of SEBI is to integrate the securities market at the national level, and also
to diversify the trading products, so that there is an increase in number of traders including
banks, financial institutions, insurance companies, mutual funds, primary dealers etc. to transact
through the exchanges. In this context the introduction of derivatives trading through Indian
stock exchanges permitted by SEBI in 2000 AD is a real landmark.
SEBI appointed the L.C. Gupta Committee in 1998 to recommend the regulatory frameworks for
derivatives trading and suggest by-laws for regulation and control of trading and settlement of
derivatives contracts. The board of SEBI in its meeting held on May 11, 1198 accepted the
recommendations of the committee and approved the phased introduction of derivatives trading
in India beginning with stock index futures. The board also approved the Suggestive by-laws
as recommended by the Dr. L.C. Gupta Committee for regulation and control of trading and
settlement of derivatives contracts.
SEBI then appointed the J. R. Verma Committee to recommend Risk Containment Measures
(RCM) in the Indian stock index futures market. The report was submitted in November 1998.
However the Securities Contracts (Regulation) act, 1956 (SCRA) required amendment to include
derivatives in the definitions of securities to enable SEBI to introduce trading in derivatives.
The necessary amendment was then carried out by the Government in 1999. The Securities law
(Amendment) bill, 1999 was introduced. In December 1999 the new framework was approved.
Derivatives have been accorded the status of Securities. The ban imposed on trading in
derivatives in 1969 under a notification issued by the central government was revoked.
Thereafter SEBI formulated the necessary regulations and intimated the stock exchanges in the
year 2000. The derivatives trading started in India at NSE in 2000 and BSE started trading in the
year 2001.
1.23 COMPETITORS OF SHAREKHAN LTD
There are currently close to online brokerages in India with ICICI direct, HDFE securities, Kotak
Street, Share Khan, India Bulls and 5paisa,Motilal Oswal being some major competitors of
Sharekhan . However, due to limited volumes, no online brokerage is currently making money
and a shakeout is imminent in the near future. The going to be expected to get tougher with the
advent capital account; convertibility, players such as TD Water house have already entered the
Indian market, while others such as Schwab are expected shortly. On an average, Rs. 40 crores
per day (Rs. 1300 crores per month) is likely to be the threshold breakeven for online brokerages.
CHAPTER 2
RESEARCH METHODOLOGY
2 RESEARCH METHODOLOGY

2.1 Research design - Descriptive research

2.2 Statistical tools-
2.21 Chi square test (x2)
2.3 Research instrument -Questionnaire
2.4 Questionnaire - Open ended and close ended
2.5 Contact method - Survey
2.51 Personal interview
2.52 Online interview
2.6 Method of data Collection
2.61 Primary data
2.62 Secondary data

2.7 Sampling method - Non-probability sampling

2.8 Sampling type - Area sampling
2.9 Sampling unit - Consumers
2.10 Sampling size - 50

2 Research Design
In this research the research design adopted is Descriptive research design.

2.1 Descriptive Research Design

It is designed to describe something, such as demographic characteristics of consumers who use

the products. It deals with determining frequency with something occurs or how two variables
vary together. This study is also guided by an initial Hypothesis.
2.2 Importance of Descriptive Study

1 During the analysis of characteristics of certain groups, for e.g. users of a product with
different age, sex, education etc.
2 To forecast the future trends, e.g. sales of a companys product in each of next five years.
3 To study whether certain variables are associated, e.g. income and usage of a product.

2.3 Questionnaire Design

Designing and implementing the questionnaire is one of the most interesting and challenging
tasks of conducting research. Questionnaire designing also becomes important and necessary
when he/she observes that unless the data discussion or otherwise is noted down, is basic form
will be distorted. The questionnaire is the backbone for obtaining data during a personal
interview, telephone survey, and mail survey.

2.31 Meaning of Questionnaire

A questionnaire is a form prepared and distributed to secure response to certain question. The
term questionnaire refers to a self-administration process here by the respondent himself/herself
reads the questionnaire and records his/her answer assistance of an interviewer.
Purpose of questionnaire is two fold
To collect information from the respondent who are scattered in a vast area.
To achieve success in collecting reliable and dependable data.

2.4 Determining Type of Question

After specifying the required data, the researcher must decide the type of question required to be
asked from the respondents to collect this data. He/she must understand various existing types of
question and decide which of these would suit the most of his/her project situation. There are
different types of questions they are as follows:
Direct question Direct question are just what their name indicates e.g. Have you ever purchased
brand?

Indirect question Indirect refers to those whose responses are used to indicate or suggest date
about respondents other than the actual facts given in the answer. For e.g. why you think most
other people buy prefer SHAREKHAN?

Open ended question Sometimes these question are called free answer questions the respondent
answer in his/her words, for e.g. and open ended question on a study on Orange squashes can
be asked as what suggestion do you make for improving orange squashes? In this case no answer
choice is given to the respondent and he/she may give any answer he/she thinks.

Close ended question Such guests are also called fixed alternative questions. The alternative
questionnaire may take the form of dichotomous question multiple choice question checklist and
rating scales, such as ordinal scale nominal scale etc.
Question method of data collection is quite popular and consists of question printed or typed in a
form or set of forms. Care was taken in the main aspect as general form. Question sequence,
question formulation and wording, the study was associated with both the question i.e., closed
ended and open ended questions. Free responses were invited from the respondents.

2.5 Types of Questionnaire

The study conducted by using structural and undisguised questionnaire. It comprises of both
open and closed ended questions. Questions are rather framed for the customer attitude including
the multiple choice and dichotomous questions.
The following are the contact method generally user for survey.
1. Mail survey
2. Telephone interview
3. Personal interview
2.6 Method of Data Collection
The task of collecting data being after a research problem has been defined and plan is chalked
and plan is chalked out. This study pertains to collect data from primary sources primary data and
from secondary sources secondary data.

2.61 Primary data

Primary data are that information which is collected, fresh and fir the first time thus happens to
be original in character primary data can be collected in marketing by three basic methods, viz.,
survey, observation and experiments.

2.62 Secondary data

On the other hand are those, which have already been passed through the statistical process.

The secondary data are that information which is collected from internal sources as well as
external sources, Wizs from the company own the records and documents.

Secondary data was collected from the registers, manuals, information bulletins maintained by
the personnel department and other records, information collected in this manner was
immediately complied processed manually and a statistical structure was given to the data to help
interpretation of the statistical data.

2.7 Sampling Method

Sampling can be carried out fewer than two important methods, in order to obtain a respective of
the sample they are classified as:

2.71 Probability sampling

2.72 Non-probability sampling
2.8 Sampling Size
50 consumers are taken as samples.

2.9 Sampling Procedures

Selected for this study in area sampling /cluster sampling

2.10 Sampling Size.

We take 50 person as sample.
 CHAPTER3
DATA ANALYSIS & INTERPRETATION
3.1 DATA ANALYSIS & INTERPRETATION

Table 3.1
o DIFFRERENT AGE GROUP OF 50 PEOPLE.
AGE NO. OF
RESPODENTS

20-30 18
30-40 7
40-50 20
ABOVE 50 5
Graph 3.1

AGE
25

20

15 AGE

10

0
20 - 30 30 - 40 40 - 50 ABOVE 50

INTERPRETATION :- We get the result from the above study that is 18 respondance
between 20 30 age , 7 respondance between 30 40 age , 20 respondance between 40 50
age , and only 5 respondance Above 50 age are the interested in Equity trading in
SHAREKHAN .

Majority
20 respodance between 40 50 age group people are interested in Equity trading.

Table 3.2
o GENDER OF 50 PERSONS USING EQUITY TRADING.
GENDER NO. OF RESPODENTS
MALE 36
FEMALE 14
Graph 3.2

GENDER
40
35
30
25 GENDER
20
15
10
5
0
MALE FEMALE

INTERPRETATION :- From the above study we can clarify that out of 50 , 36 male
respondance and 14 female respondance are doing trading in SHAREKHAN. So we can clarify
that male are more interested compare to female in Equity trading in sharekhan.
Table 3.3
o OCCUPATION OF 50 PERSONS IN EQUITY TRADING.
OCCUPATION NO. OF RESPODENTS
STUDENT 10
PUBLIC SECTOR JOB 8
PVT. SECTOR JOB 9
PROFESSIONAL 7
BUSINESS 12
OTHERS 4
Graph 3.3

OCCUPATION
14
12
10
8
6 OCCUPATION
4
2
0

INTERPRETATION :- From the above study we can see that out of 50 respondance , 10
respondance are students , 8 respondance have public sector job , 9 respondance have pvt. Sector
job , 7 respondance are professionals , 12 respondance are Businessman ,and 4 are related to the
Other work. We can justify that business people are more interested in equity trading with
SHAREKHAN .
Table 3.4
o ARE YOU AWARE OF ONLINE TRADING?
YES 47
NO 3
Graph 3.4

AWARE
50
40
30 AWARE

20
10
0
YES NO

INTERPRETATION: - we can see that out of 50 respondance, 47 respondance are aware and
only 3 respondance are not aware about the online trading. From the above mention graph we can
clearly identify that most of the people are aware about the online trading.

Table 3.5
o WHAT IS YOUR OPINION ABOUT SHARES?
FACILITIES NO. OF RESPODENTS
It offers an investment facility 14
It make earn quick profit / gain 12
It is a part of an investment 10
It offers easy liquidity 14
 Graph 3.5

OPINION
16
14
12
10
8
6
4
2
0 OPINION

INTERPRETATION :- out of 50 respondance , 14 are believes that shares offer an investment

facility, 12 people are believes that shares are earn quick profit / gain, 10 are believes that it is a
part of an investment, 14 people are believes that shares are useful for easy liquidity.

Table 3.6

o HOW DID YOU COME TO KNOW ABOUT SHAREKHAN

ONLINE TRADING SHARES ?
CUSTOMERS NO. OF RESPODENTS
Share broker 12
Bankers 5
Friends 24
Online adv. 9
Graph 3.6
 REFRENCE
30

25

20
REFRENCE
15

10

0
SHARE BROKER BANKERS FRIENDS ONLINE ADV.

INTERPRETATION :- Out of 50 respondance , 12 people got information about sharekhan

from share brokers , 5 people got information about sharekhan from Bankers ,24 people got
information about sharekhan from Friends , 9 people got information about sharekhan from
online advertisement. So we can justify that majority people have got information from friends .

Table 3.7
o WHAT IS YOUR OBJECTIVE BEHIND INVESTING IN
SHARES ?
MOTIVES OF CUSTOMERS NO. OF RESPODENTS
Tax saving 10
Earn high dividends 17
Easy liquidity 8
Capital appreciation in the long run 15

Graph 3.7
 OBJECTIVE
18
16
14
12
10
8 OBJECTIVE
6
4
2
0

INTERPRETATION :- Out of 50 respondance , 10 are thinks that investing in share is Tax

Saving , 17 are thinks that investing in share is earn high dividend , 8 are thinks that investing in
share is easy liquidity , 15 are thinks that investing in share is capital appreciation for long term .
Most of the people are investing only for earn high profit / gain .

Table 3.8
o HOW FREQUENTLY YOU INVEST IN SHARES ?
FREQUENCY OF INVESTMENT NO. OF RESPODENTS
Monthly 22
Every 3 months 8
Every 6 months 9
Others 11

Graph 3.8
 FREQUENCY
25
20
15
10 FREQUENCY
5
0

INTERPRETATION :- Out of 50 respondance , 22 people are invest in shares Monthly, 8

people are invest in shares Every 3 month , 9 people are invest in shares. Every 6 month , 11
people are invest in shares others.

Table 3.9
o HOW MUCH RISK CAN YOU TAKE AT A TIME ?
RISK FACTOR OF CUSTOMERS NO. OF RESPODENTS
Whole money 5
Half money 7
Depends on market 11
On particular brand only 10
Cant say 17
Graph 3.9
 RISK TAKING
18
16
14
12
10
8
6
4 RISK TAKING
2
0

INTERPRETATION :- Out of the 50 people , 5 people are take risk on whole money , 7 people
are take risk on Half money , 11 people are take risk on the depends on market , 10 people are
take risk on a particular brand only , 17 people are take risk for them Cant say.

Table 3.10
o Have you ever felt dissatisfied with any of the services of our
company Sharekhan ?
OPERATIONS OF SERVICES NO. OF RESPONDENTS
Slow operation 15
Delayed correspondence 17
Inaccessibility to the service center 7
Fund transfer facility 11
Graph 3.10
 DISSATISFACTION
18
16
14
12
10
8
6 DISSATISFACTION
4
2
0

INTERPRETATION: - out of the 50 respondance 15 people are dissatisfy with services of

sharekhan is Slow operation , 17 people are dissatisfy with services of sharekhan is Delayed
operation , 7 people are dissatisfy with services of sharekhan is inaccessibility to the service
center, 11people are dissatisfy with services of sharekhan is Fund transfer facility
Majority
17 out of 50 felt dissatisfied from the facility of Delayed operations.

Table 3.11
o Are you satisfied by the brokerage charges of transactions when
compared to other competitors in the market?
LEVEL OF SATISHFACTION NO. OF RESPODENTS
Highly satisfied 7
Satisfied 12
Moderate 9
Dissatisfy 7
Highly dissatisfy 15

Graph 3.11
 BROCKRAGE
16
14
12
10 BROCKRAGE
8
6
4
2
0
HIGHLY SATISFIED MODERATE HIGHLY DISSATISFIED

INTERPRETATION :- Out of 50 respondance , 7 are Highly satisfied with Brockrage of

Sharekhan , 12 are satisfied with Brockrage of Sharekhan , 9 are remain Moderate with
Brockrage of Sharekhan , 7 are Dissatisfied with Brockrage of Sharekhan , 15 are Highly
Dissatisfied with Brockrage of Sharekhan .

Table 3.12
o Are you satisfied by the options BTST/DELIVERY (buy today sell
tomorrow) provided by the company?
OPTIONS OF TRADING NO. OF RESPODENTS
Yes 40
No 10

Graph 3.12
 SATISFACTION
45
40
35
30
SATISFACTION
25
20
15
10
5
0
YES NO

INTERPRETATION: - Out of 50 respondance, 40 people are satisfied by the options

BTST/DELIVERY (buy today sell tomorrow) , 10 Dissatisfied by the options BTST/DELIVERY
(buy today sell tomorrow) .

Table 3.13
o Are you aware of the absence of AMC (Annual maintenance
charges) with reference to Sharekhan ?

KNOWLEDGE ABOUT A.M.C. NO. OF RESPONDENTS

Yes 50
No 0
 Graph 3.13

AMC
60
50
40 AMC
30
20
10
0
YES NO

INTERPRETATION :- Out of 50 respondance all 50 are aware about the AMC .

Table 3.14
o Are you aware of TRADE TIGER software, which is being used
for the online transactions ?

KNOWLEDGF OF TRADE TIGER NO. OF RESPODENTS

Yes 47
No 3
 Graph 3.14

TRADE TIGER
50

40

30 TRADE TIGER

20

10

0
YES NO

INTERPRETATION :- From the 50 respondance 47 are aware about the TRADE TIGER , only
3 are not aware .

Table 3.15
o Are you satisfied by the overall services provided by Sharekhan ?

LEVEL OS SATISHFACTION NO. OF RESPODENTS

High satisfied 7
Satisfied 7
Moderate 14
Dissatisfied 13
Highly dissatisfied 9
 Graph 3.15

SERVICES
16
14
12
10
SERVICES
8
6
4
2
0
HIGHLY SATISFIED MODERATE HIGHLY DISSATISFIED

INTERPRETATION :-services From the 50 respondance , 7 are Highly satisfied by the overall
services provided by Sharekhan , 7 are Satisfied by the overall services provided by Sharekhan ,
14 are Moderate by the overall services provided by Sharekhan , 13 are Dissatisfied by the
overall provided by Sharekhan , 9 Highly dissatisfied by the overall services provided by
Sharekhan.
 CHAPTER 4
FINDINGS &CONCLUSION

4.1 FINDINGS
In the prevailing competitive environment existing in the share industry, the market potential and
promotional strategy is changing from time to time. So there is a need to analyze the market
efficiency and promotional strategy prevailing in the market
For the development of SHAREKHAN .

It is found from the study customer awareness toward SHAREKHAN in different aspects are as
follows:
1. AGE wise highest people comes between the age of 40 50 i.e. 20 . Second highest 20 30
i.e. 18.

2. As SHAREKHAN deals with online shares, 47 of the customers are aware of the online shares
and 3 of the respondents are not aware of online shares.

3. out of 50 respondance , 14 are believes that shares offer an investment policy , 12 people are
believes that shares are earn quick profit / gain , 10 are believe that it is a part of an investment
, 14 people are believes that shares are useful for easy liquidity.

4. Maximum no. of customers got knowledge about SHAREKHAN through Friends that is 24 ,
next to that they come to know through the Share Brokers that is 12 and rest of the customers
through Online adv. and bankers.
5. Majority of the customers main objective is to invest in shares is earn high returns that is 17 ,
easy liquidity around 8 , 10 of the respondents invest because of the tax-saving rest to 15
capital appreciation in long run. So over all result is people invest shares only for earning high
dividends and Capital appreciation for long term .

6. Around 8 of the customers invest shares in the time gap within 3 months. 22 of the customers
invest Monthly . it is the major in numbers .

7. When we talk about risk taking , 11 people are take risk on the depends on market , 10 people
are take risk on a particular brand only , 17 people are take risk for them Cant say.

8. 15 of the customers feels slow operations, inaccessibility to the service centre and fund
transfer facility and 7 very few customers are dissatisfied for their delayed correspondence.

9. The brokerage charges are highly Dissatisfied by 15 of the customers, 7 says dissatisfied, 9
are moderate and 12 are satisfied. Only 7 of the customers say Highly satisfied so almost 70%
of them are Highly Dissatisfied with the brokerage charge.
10. 40 of the customers are satisfied with the BTST provided by the company; only few
customers that are 10 are not satisfied and said no.

11. AMCs absence in the company is aware to all 50 of the customers and not aware that is 0 .

12. Companys TRADE TIGER software used for online transaction is aware to 47 of the
customers and only few, 3 are not aware.

4.2 CONCLUSION

Share trading as a whole is now considered as a specific sources of investment. With the
advent of new online based trading customers are very much satisfied. Share trading industry has
reviewed up its standards once again investment centers.

It can be explicitly noted from the project that the awareness level are high with the
present youngsters and the middle-aged group which can be observed as a positive sign for the
growth of the industry. The effectiveness of the other supporting instrument
like client relationship can be further improved so that the impact will be high.
 It doesnt end at just opening the demat account but the actual implementation is
considered with the customer related services. The customer should be updated on recent trends
market news and the value of the investment that increases their satisfaction and awareness and
trust on the company.

4.3 SUGGESTIONS
From the analysis of the survey and personal observation of the customer towards the awareness
of the share and the share company SHAREKHAN . Lots of experience gained from the survey.
This will help the company to survive in the market and also improvise their market potential in
the current competitive environment. With this the company should take immediate steps to
improve the nature of the business.

From the survey : -

1) Try to encourage people we comes between the age group of 30 40. They are very less
in number.

2) Most of the customers got information about the company only through the Friends . The
company should take necessary steps to concentrate on the advertisements. Through they
are advertising online, it is necessary to advertise in TV, radio, presses; only when they
 give these kinds of advertisements they can get lots of customers. Also they have to go
for boarding, which can be viewed by everyone passing by.

3) It was found that maximum no of customer is investing in shares after a time gap of 3
months. The company should explain the benefits of intraday (buy today and sell today)
operations certain customers invest in shares with a long term on capital apperceptions.
The benefits of short term trading can be explained to the customers so that they may be
persuaded to go in for the same.

4) There is a unfavorable feedback from the customers about brokerage charges as per
transactions. . The company should take necessary steps to concentrate on theBrockrage
charges according to competitors .

5) Many of the customers are not aware of my broker software. This usefulness should be
explained to them.

6) Customers with money to invest may be living in isolated areas with no proper telephone
or computer facility, the company may think of deputing relationship managers to help
the customers through proper guidance and by passing on relevant information.

7) More number of customers are dissatisfied with slow operation and delay operation of
transaction , so it is advisable to take some steps for that .
BIBILIOGRAPHY

www.sharekhan.com

www.economictimes.com

www.moneycontrol.com

www.bseindia.com

www.nseindia.com

www.sebi.gov.in

www.investors.com
 www.investopedia.com

1 Previous project reports

2 News Papers
3 Sharekhans brochures
4 Sharekhans value Guide

ANNEXTURE
QUESTIONNAIRE
Name:

Age: a) 20 30 b) 30 40 c) 40 50 d) above 50

. Sex: a) Male b) Female

Occupation: a) student b) Pubic sector c) Professional

d) pvt. Sector employee e) Investor in stock market

1. Are you aware of online trading?

a) Yes b) No
2. What is your opinion about shares?
a) Shares offer an investment opportunity
b) Shares make earn quick profit/ gain
c) Share is a part of an investment
d) Shares offer easy liquidity

3. How did you come to know about Sharekhan online trading share?
a) Share broker b) Bankers
c) Friends d) Online Advertisement

4. What is your objective behind investing in shares?

a) Tax saving
b) Earn high dividends
c) Easy liquidity
d) Capital appreciation in the long run

5. How frequently you invest in shares?

a) Month b) Every 3 months c) Every 6 months d) Others

6. How much risk can you take at a time?

a) Your whole money b) Half of money c) Depends on market d) on particular brand
only e) cant say

7. Have you ever felt dissatisfied with any of the services of our company Sharekhan?
a) Slow operation b) Delayed correspondence
c) Inaccessibility to the service center d) Fund transfer facility
8. Are you satisfied by the brokerage charges of transactions when compared to other competitors
in the market?
a) Highly satisfied b) Satisfied c) Moderate
d) Dissatisfied e) highly dissatisfied

9. Are you satisfied by the options BTST/DELIVERY (buy today sell tomorrow) provided by the
company?
a) Yes b) No

10. Are you aware of the absence of AMC (Annual maintenance charges) with reference to
Sharekhan?
a) Yes b) No

11. Are you aware of TRADE TIGER software, which is being used for the online transactions?
a) Yes b) No

12. Are you satisfied by the overall services provided by Sharekhan?

a) Highly satisfied b) Satisfied c) Moderate d) Dissatisfied e) Highly
dissatisfied