Ambalika Institute of Management

and Technology

Summer Training
Project Report
On

Demat Opening & Mutual Fund (Karvy)

SUBMITTED IN PARTIAL FULFILLMENT OF REQUIREMENT FOR

THE AWARD OF DEGREE
OF
MASTER OF BUSINESS ADMINISTRATION

Submitted To:

Submitted by

MR. GAURAV SHUKLA

PRAVEEN SINGH

(Assistant Professor)

Roll no. ..................

AMIT Lucknow

MBA IIIrd semester

SESSION 2016-17 DECLARATION

I hereby certify that the work which is being presented in the
project entitled, Demat Opening & Mutual Fund (Karvy) in
fulfillment of the requirements for the award degree of MASTER
OF BUSINESS ADMINISTRATION at AIMT, during IIIrd
semester of MBA and has not been submitted to any other
university or institute for the award of any degree.

Praveen Singh
Roll No. ........................
AIMT, Lucknow

CERTIFICATE

This is to certify that Praveen Singh, a student of MBA Final Year has completed the
dissertation project report on Analysis of Cash Management in Hotel Industry under my guidance
and supervision.
The dissertation work of the student is found to be satisfactory for submission for the award of degree
of Master of Business Administration/ Bachelor of Business Administration. I wish him/ her all the
best for his/her future endeavors.

Guide Name- Mr. Amarjeet Singh

Designation-
Faculty of management and research
AIMT, Lucknow.

ACKNOWLEDGEMENT
I would like to take this opportunity to express my deep gratitude to all those
who, directly or indirectly made this project possible.I have got considerable
help and support in making this project report a reality from many people.
I would like to thank Mr. . whose endeavor for
perfection, under fatigable zeal, innovation and dynamism contributed in a big
way in completing this project. This work is the reflection of his thought, ideas,
concept and above all his modest effort.
At last, I would like to thank my parents, friends and colleagues, who have been
a constant source of help and encouragement.

TABLE OF CONTENTS

Introduction

SWOT Analysis

14

Discussion on Training

16

Demat Account of Karvy

20

Need for the study

30

Competitors

31

Objective

36

Research Methodology

37

Data Analysis and Interpretation

40

Observation and Finding

50

Limitation

51

Suggestion

51

Summary and Conclusion

52

Bibliography

53

ANNEXURE (contains questionnaire)

54

PREFACE

The successful completion of this project was a unique experience for me because by visiting
many place and interacting various person, I achieved a better knowledge about sales. The
experience which I gained by doing this project was essential at this turning point of my
career this project is being submitted which content detailed analysis of the research under
taken by me.

The research provides an opportunity to the student to devote his/her skills knowledge and
competencies required during the technical session.
The research is on the topic Karvy Demat Mutual Fund

EXECUTIVE SUMMARY

Training and development is the essential job of human resources department of every
organization. It is necessary to help employees in dealing with the changes caused by the
changing business environment.
I, Anurag Sharma had done my project in KARVY BROKING LTD. which is a leading
company in finance industry. The main objective of my project was to Demat Account.
The training design included departments, and their training needs, month of training,
sequence of training and methods of training. A proper matrix was formed differently for
each level highlighting the requirements to be trained.
It also includes different skills workshop including the contents, objectives of the skills
imparted to the employees. Most important in training process are the ice breakers and games
which help the trainees in feeling relaxed and refreshed.

Each level in organization was considered as separate entity and training procedure for them
was also different.

INTRODUCTION

KARVY 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 Karvy 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.
Mr. Rashesh Shah
Mr. Venkat Ramaswami

The Logo: Karvy, a rare flower found in Switzerland. A graphic flower that represents
ideas! Around it, the protective arms of the letter E:

Karvy believes ideas create wealth, but values protect it.

It is the practice of this core thought that has led to Karvy becoming one of the
leading financial services company in India.

Its current businesses include:

Investment Banking,

Securities Broking, and

Investment Management.

Karvy also provides a wide range of services to:

Corporations,

Institutional Investors and

High Net-Worth Individuals.

Headquarter based in Mumbai, 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.

Type of industry: investment banking, brokerage and asset management firm.

Total market capitalization: About Rs. 13,000 cr.
Total number of employees: 645
Karvy 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 brand repositioning of the company is done in order to withstand the
current market scenario (Global Economic Crisis).
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.
The prepaid account is like mobile cash card which has to be recharge first and then
can be used for a year. The client has to pay the brokerage in advance which will be deducted
on every transaction. The client can recharge the account as the balance gets over before the
validity expires.

PRODUCTS AND SERVICES

Investment Banking
Institutional investment
Asset management
Wealth management
Private client brokerage
Insurance brokerage
Wholesale financing

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 Karvy Securities Ltd, Investment Banking business

is dedicated to providing corporations, entrepreneurs and investors, the highest quality
independent financial advice and transaction execution.

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.

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)

Private client brokerage:

The Private Client Services Group (PCG) at Karvy 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.

SWOT ANALYSIS
Strength:

Co-operative and Experienced Branch Managers

Good Database

Reliance Brand

Low pricing

Weakness:

Inexperienced Staff

Low awareness due to lack of advertisement.

Lack of loyal clientage

Developing product.

Opportunity:

Untapped Market

Increased spending power

Changing Mindset of Customers

Unpredictable Sensex

Threat:

Reach

Stiff competition from existing players in the market

Better products

WHAT DOES KARVY 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

Companies clients receive regular portfolio statements from relationship managers via
email.

DISCUSSION ON TRAINING

Students work profile (role and responsibilities)

I worked there with KARVY BROKING LTD. with a profile of sales trainee. This profile
offers me to understand the need of customer and provide them the best deal possible with
maximization of the profit, both for the company as well as for the customer.
The most important aspect for the role of trainee is trust. So far fulfilment of the
targets one needs to:

Capitalize on the old and loyal clientele which can be building slowly by advising
people in the best possible way.

Generating new leads through various activities.

Generation of leads
Since I was new in the field so I had to start from scratch and generate new leads to
sustain in the market.
Cold calling is one of the trusted ways of getting to the customers without meeting them.
Although the rate of conversion remained very less, for cold calling the quality and accent
remains a very important criterion. This activity gives me mixed result. I often got success
and generated many leads through it but it also landed me in awkward position where the
customer were in different mood and made us hear words for which a marketer should be
always prepared to hear. Corporate calls always remained more difficult to crack with respect
to retail sector.
The corporate were the most difficult and most temping to get the business from. It
took me one day to crack Hi-tech Gears.
At KARVY BROKING LTD. after getting the product knowledge in the first week at the
branch I was also allotted distributor to work with. In the initial phase I was accompanied by

more experienced staff. After I became known to the market and procedure I started attending
calls alone only.
After the third week my performance also improved and I was able to get close to the targets,
though it looked difficult to achieve in the beginning. To get awareness of the every product I
attended diversified calls. This helped me to implement cross selling to get better results.

LIMITATIONS:
1. Cold Calling

Voice and accent plays a major role.

The right time to call a customer cannot be decided, as the customer may in a different

mood at the time of calling.

Time consuming

Less success rate

2. Corporate

Time consuming

Contacts with higher authorities play a major role

Description of live experience

I was supposed to use the database provided by the company to make cold calls or by directly
meeting people to get new leads.
While making cold calls, we need to have:

Good Communication Skills (Voice quality is clear and articulate)

Persistent and able to bounce back from rejection

Good organizational skills.

Ability to project a telephone personality (Enthusiasm, friendliness)

Flexibility: can adapt to different types of clients and new situations.

Using a good database is very essential.

Eighty percent of our business comes from 20 percent of our customers" is a frequent
statement at any sales convention. There's hardly a sales executive who is not aware of the
80/20 rule.

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

Problems faced while selling products:

Customer dissatisfied with the services.

People fear that Karvy Broking Being a Private company and a new entrant may be

able to sustain or not.

Past experience, word of mouth.

Misguidance by agents.

People do not want insurance products.

Lack of knowledge and less awareness about demat account.

People risk appetite is very low, so they are afraid of mutual fund as well.

Ideas create, values protect

KARVY DEMAT ACCOUNTS

Overview of Demat Account
Demat account allows you to buy, sell and transact shares without the endless paperwork and
delays. It is also safe, secure and convenient.
In India, a demat account, the abbreviation for dematerialized account, is a type of banking
account which dematerializes paper-based physical stock shares. The dematerialized account
is used to avoid holding physical shares: the shares are bought and sold through a stock
broker.
This account is popular in India. The Securities and Exchange Board of India (SEBI)
mandates a Demat account for share trading above 500 shares. As of April 2006, it became
mandatory that any person holding a Demat account should possess a Permanent Account
Number (PAN), and the deadline for submission of PAN details to the depository lapsed on
January 2007.

Is a demat account a must?

Now a day, practically all trades have to be settled in dematerialized form. Although the
market regulator, the Securities and Exchange Board of India (SEBI), has allowed trades of

up to 500 shares to be settled in physical form, nobody wants physical shares any more. So a
demat account is a must for trading and investing.

Why Demat?
The demat account reduces brokerage charges, makes pledging/hypothecation of shares
easier, enables quick ownership of securities on settlement resulting in increased liquidity,
avoids confusion in the ownership title of securities, and provides easy receipt of public issue
allotments.
It also helps you avoid bad deliveries caused by signature mismatch, postal delays and loss of
certificates in transit. Further, it eliminates risks associated with forgery, counterfeiting and
loss due to fire, theft or mutilation. Demat account holders can also avoid stamp duty (as
against 0.5 per cent payable on physical shares), avoid filling up of transfer deeds, and obtain
quick receipt of such benefits as stock splits and bonuses.

Steps

involved

in

opening

demat

account

First an investor has to approach a DP and fill up an account opening form. The account
opening form must be supported by copies of any one of the approved documents to serve as
proof of identity (POI) and proof of address (POA) as specified by SEBI. Besides, production
of PAN card in original at the time of opening of account has been made mandatory effective
fromApril01,2006.All applicants should carry original documents for verification by an
authorized official of the depository participant, under his signature.
Further, the investor has to sign an agreement with DP in a depository prescribed standard
format, which details rights and duties of investor and DP. DP should provide the investor
with a copy of the agreement and schedule of charges for their future reference. The DP will
open the account in the system and give an account number, which is also called BO ID
(Beneficiary Owner Identification number).

The DP may revise the charges by giving 30 days notice in advance. SEBI has rationalized
the cost structure for dematerialization by removing account opening charges, transaction
charges for credit of securities, and custody charges vide circular dated January 28, 2005.
Further, SEBI has vide circular dated November 09, 2005 advised that with effect from
January 09, 2006, no charges shall be levied by a depository on DP and consequently, by a
DP on a Beneficiary Owner (BO) when a BO transfers all the securities lying in his account
to another branch of the same DP or to another DP of the same depository or another
depository, provided the BO Account/s at transferee DP and at transferor DP are one and the
same, i.e. identical in all respects.
In case the BO Account at transferor DP is a joint account, the BO Account at transferee DP
should also be a joint account in the same sequence of ownership.

Rights
1.

You can open more than one depository account in the same name with single DP/
multiple DPs.

2.

No minimum balance is required to be maintained in a depository account.

3.

You can give a onetime standing instruction to your DP to receive all the credits
coming to your depository account automatically.

Procedure
1. Fill account opening form (available with your DP).
2. Give your DP the duly filled account opening form with introduction documents as may
be required.

3. Sign agreement with DP (agreement will state rights & obligations of both parties). The
agreement will contain the fee structure of your DP. Your DP would give you a copy of
this signed agreement for your record.
4. DP would give you Client Id no. (Account no.) Once your depository account is opened.
This Client Id no. along with your DP Id no. Forms a unique combination. Both these
nos. should be quoted in all your future correspondence with DP/NSDL / Issuing
Company/their registrar & transfer (R&T) agent.

5. Your DP would give you pre-printed instruction slips for depository services viz.,
dematerialization, delivery instruction for trades, etc..Preserve these carefully.
6. Your DP would give you a list of deadlines for giving instructions for various depository
activities viz., transfer for effecting sale, purchase etc.. If not, check with the DP.

Required Documents
The extent of documentation required to open a demat Account may vary according to your
relationship with the institution. If you plan to open a demat account with a bank, a savings
account holder has an edge over the non-account holder. In fact, banks usually offer
additional

incentives

to

customers

who

open

demat

account

with

them.

Along with the application form, your photographs (with co-applicants) and proof of
identity/residence/date of birth have to be submitted. The DPs also ask for a DP-client
agreement to be executed on non-judicial stamp paper. Here is a broad list (you wont need
all of them though):

PAN card

A canceled check,

Voters ID

Passport

Ration card

Drivers license

Photo credit card

Employee ID card

Bank attestation

IT returns

Electricity/ Landline phone bill

While they only ask for photocopies of the documents, they will need the originals for
verification. You will have to submit a passport size photograph on which you sign across.

Procedure
1. Fill account opening form (available with your DP).
2. Give your DP the duly filled account opening form with introduction documents as may
be required.
3. Sign agreement with DP (agreement will state rights & obligations of both parties). The
agreement will contain the fee structure of your DP. Your DP would give you a copy of
this signed agreement for your record.
4. DP would give you Client Id no. (Account no.) once your depository account is opened.
This Client Id no. along with your DP Id no. forms a unique combination. Both these

nos. should be quoted in all your future correspondence with DP/NSDL / Issuing
Company/their registrar & transfer (R&T) agent.
5. Your DP would give you pre-printed instruction slips for depository services viz.,
dematerialization, delivery instruction for trades, etc..Preserve these carefully.
6. Your DP would give you a list of deadlines for giving instructions for various depository
activities viz., transfer for effecting sale, purchase,etc.. If not, check with the DP.

Karvy Demat Account Services

Karvy Broking Transacting and investing simplified. Get ready to change the way you
transact and invest in financial products and services. Whether you wish to transact in equity,
equity & derivatives, IPOs offshore investments or prefer to invest in mutual funds, life &
general insurance products or avail money transfer and money changing services, you can do
it all through Karvy. Simply open a Karvy account and enjoy the convenience of handling all
your key financial transactions through this one window.

Benefits of having Karvy account.

Its cost effective

You pay comparatively lower transaction fees. As an Introductory offer, we invite you to pay
a flat fee of just Rs. 750/- and transact through Karvy.

Its offers single

Through Karvy associates, you can transact in equity, equity and derivatives, offshore
investments mutual funds, IPOs life insurance, general insurance, money transfer, money
changing and credit cards, amongst others.

 Its convenient
You can access Karvy services through
The internet
Transaction kiosks
The phone (call & transact)
Our all India network of associates on an assisted trade.

It provide you value- added services at www.edelweiss.in

you get
Reliable research, including views of external experts with an enviable track record
Live news updates from Reuters and Dow Jones
CEOs / expert views on the economy and financial markets
Tools that help you plan your investments, tax, retirement, etc. in the personal finance
section
Risk Analyzer for analysis of your risk profile
Asset allocators to build an appropriate investment portfolio
Innovative use of technology for facilitating

The benefits:-

Benefits of Demat Account

A safe and convenient way to hold securities;

Immediate transfer of securities;
No stamp duty on transfer of securities;
Elimination of risks associated with physical certificates such as bad delivery, fake
securities, delays, thefts etc.;
Reduction in paperwork involved in transfer of securities;
Reduction in transaction cost;
No odd lot problem, even one share can be sold;
Nomination facility;
Change in address recorded with DP gets registered with all companies in which investor
holds securities electronically eliminating the need to correspond with each of them
separately;
Transmission of securities is done by DP eliminating Correspondence with companies;

Automatic

credit

into

demat

bonus/split/consolidation/merger etc.

account

of

shares,

arising

out

of

 Holding investments in equity and debt instruments in a single account.

Benefit For Investors

Demat account has become a necessity for all categories of investors for the following

reasons/ benefits:
SEBI has made it compulsory for trades in almost all scrips to be settled in Demat
mode. Although, trades up to 500 shares can be settled in physical form, physical

settlement is virtually not taking place for

the apprehension of bad delivery on
Account of mismatch of signatures, forgery of signatures, fake certificates,
etc.
It is a safe and convenient way to hold securities compared to holding securities in

physical form..
No stamp duty is levied on transfer of securities held in Demat form.
Instantaneous transfer of securities enhances liquidity.
It eliminates delays, thefts, interceptions and subsequent misuse of certificates.
Change of name, address, registration of power of attorney, deletion of deceased's

name, etc. - can be affected across companies by one single instruction to the DP.
Each share is a market lot for the purpose of transactions - so no odd lot problem.
Any number of securities can be transferred/delivered with one delivery order.
Therefore, paperwork and signing of multiple transfer forms is done away with. It
facilitates taking advances against securities on low margin/low interest.

Points To Remember

1.

You may choose your DP based on your evaluation of their reputation, service
standards, charges, other conveniences, etc.

2.

Open depository account with the same holding pattern as there on existing physical
securities. You will need to open separate accounts for every different combination of
holding pattern. Eg.: If 100 securities of company ABC & 200 securities of company
PQR are registered in the name of X as first holder & Y as second holder, one account in
name of X as first holder & Y as second holder is sufficient. Whereas, if 100 securities
of company ABC are registered in the name of X as first holder & Y as second holder &
200 securities of company PQR are registered in the name of Y as first holder & X as
second holder, you will need to open two accounts, one in the name of X as first holder
& Y as second holder and the second in the name of Y as first holder and X as second
holder.

3.

Account opening procedure should typically take 2-5 days.

4.

In case of holdings of a partnership firm, the account should be opened in the name of
the partner(s).

5.

In case of holdings of a HUF, the account should be opened in the name of the Karta.

6.

In case of a minor, the depository account should be opened in the name of the minor
and the guardians name should be mentioned. The guardian will sign as signatory on
behalf of the minor. For selling the securities of the minor, a court order should be
obtained.

7.
8.

In case of any difficulties, contact your DP.

Only securities admitted by NSDL can be dematerialized. The list is available with
your DP.

9.

Only securities registered in the name of the account holder can be dematerialized.

10.

Dematerialization is normally completed within 15 days after the share certificates

have reached the issuer/their R&T Agent. Thus it may take you a month from the date
you hand over shares, to receive demat credit.

11.

Dematerialization would be done only when the issuer / their R&T Agent is satisfied
of genuineness of securities & ownership status

12.

All the joint holders should sign the DRF.

13.

The pattern of holding in the DRF should match the pattern of holding on the share
certificate & the pattern in which account is opened.

14.

Demat requests with name(s) not matching exactly with the name(s) appearing on the
certificates merely on account of initials not being spelt out fully or put after or prior to
the surname, would be processed, provided the signature(s) of the client(s) on the DRF
tallies with the specimen signature(s) available with the issuer/ their R & T agent.

15.

If the signature in the DRF does not match with the signature available with the
issuer/ their R & T agent, the issuer/ their R & T agent may at the time of demat
confirmation, ask for additional documentation (like bank attestation/ notarization, etc.)
to prove that the certificate belongs to the person who forwarded the DRF.

NEED OF THE STUDY

The need of the study arises because of the reason that a trainee must understand the
company, its achievements and tasks, products and services and also to collect information
about its competitors, its products and services offered. So that, after understanding and
collecting information about the organization and its competitors, a trainee will be able to
work well for the organization.
From the study I have learned very much, about the company as well as the strategy of the
customers, which helps me a lot at my working days.

COMPETITORS

HDFC BANK is one of the leading Depository Participant (DP) in the country with over 8
Lac demat accounts.

HDFC Bank Demat services offers you a secure and convenient way to keep track of your
securities and investments, over a period of time, without the hassle of handling physical
documents that get mutilated or lost in transit.

HDFC BANK is Depository participant both with National Securities Depositories Limited
(NSDL) and Central Depository Services Limited (CDSL).

Features & Benefits

As opposed to the earlier form of dealing in physical certificates with delays in transaction,
holding and trading in Demat form has the following benefits:

Settlement of Securities traded on the exchanges as well as off market transactions.

Shorter settlements thereby enhancing liquidity.

Pledging of Securities.
Electronic credit in public issue.
Auto Credit of Rights / Bonus / Public Issues /
Dividend credit through ECS.
Auto Credit of Public Issue refunds to the bank account.
No stamp duty on transfer of securities held in demat form.

No concept of Market Lots.

Change of address, Signature, Dividend Mandate, registration of power of attorney,

transmission etc. can be effected across companies held in demat form by a single instruction
to the Depository Participant (DP).
Holding / Transaction details through Internet / email.

In case you need any more information or have any queries , feedback & complaints , you
may please mail us at dphelp@hdfcbank.com

Secured & easy transaction processing

HDFC Bank Ltd provides convenient facility called 'SPEED-e' (Internet based transaction)
whereby account holder can submit delivery instructions electronically through SPEED-e
website (https://speede.nsdl.com). SPEED-e offers secured means of transaction processing

eliminating preparation of instruction slips and submission of the same across the counter to

the depository participant. The 'IDEAS' facility helps in viewing the current transactions and
balances (holdings) of Demat account on Internet on real time basis.

Disclaimer:

Whatever have been stated above are in the good interest of the
Investor / Demat Applicants / holders to provide a brief picture about the
depository system. You are requested go through the guidelines of the
depositories before taking any further action. For detailed guidelines, you
are requested to approach your nearest HDFC Bank branch. HDFC Bank
will not be responsible for any misunderstanding / act based on the above.
Also HDFC Bank might ask for additional information / documentation than
what has been stated above to process your application / instruction.

ICICI DIRECT

ICICI Direct (or ICICIDirect.com) is stock trading company of ICICI Bank. Along with stock
trading and trading in derivatives in BSE and NSE, it also provides facility to invest in IPOs,
Mutual Funds and Bonds.

Trading is available in BSE and NSE

ICICI Direct offers 3 different online trading platforms to its customers Type of
Account

1. Share Trading Account

Share Trading Account by ICICI Direct is primarily for buying and selling of stocks in BSE
and NSE.
This account allows Cash Trading, Margin Trading,

Margin PLUS Trading, Spot Trading, Buy Today Sell

Tomorrow and Call and Trade on phone.
ICICIDirect.com website is the primary trading platform for this trading account. They also
provide installable application terminal based application for high volume trader.

2. Wise Investment Account

1. Online Mutual funds investment allows investor to invest on-line in around 19 Mutual
Fund companies. ICICI Direct offers various options while investing in Mutual Funds
like Purchase Mutual Fund, Redemption and switch between different schemes,
Systematic Investment plans, Systematic withdrawal plan and transferring existing
Mutual Funds in to electronic mode. This account also provides facility to invest in
Government of India Bonds and ICICI Bank Tax Saving Bonds.
2. Active Trader account gives more personalized investment options to the investors. It
allows investor to use online and offline stock trading. It also provides with
independent market expertise and support through a dedicated Relationship Manager
from ICICI.

Active Trader also provides commodity trading.

Brokerage and fees

Account opening fees : Rs 750/- (One time nonrefundable)
Brokerage: ICICIDirect.com brokerage varies on volume of trade and inclusive of demat
transaction charges, service taxes and courier charges for contract notes. It ranges from 0.1%
to 0.15% for margin trades, 0.2% to 0.425% for squared off trades and 0.4% to 0.85% on
delivery based trades.

Disadvantages of ICICI Direct

1. Getting access to ICICIDirect.com website during market session can
be frustrating.
2. Brokerage rates are too high

OBJECTIVE

To find the market potential and market penetration of Karvy broking product

offerings in Delhi,Gurgaon,Noida and local area nearby them.

To collect the real time information about preference level of customers using Demat

account and their inclination towards various other brokerage firms e.g.
India bulls, Share khan, India in foline, Religare, Alan- kit, Unicon.
To expand the market penetration of Karvy broking ltd.
To provide pricing strategy of competitors to fight cut throat competition.
To increase the product awareness of Karvy broking as single window shop for
investment solutions.

RESEARCH METHODOLOGY
INTRODUCTION
Research Methodology refers to search of knowledge .one can also define research
methodology as a scientific and systematic search for required information on a specific
topic.
The word research

methodology comes from the word advance learner s dictionary

meaning of research as a careful investigation or inquiry especially through research for new
facts in my branch of knowledge for example some author have define research methodology
as systematized effort to gain new knowledge.

TYPES OF RESEARCH

ANALYTICAL RESEARCH:It has to used facts or information already available and analyze these to make a critical
evaluation of material.

SAMPLE SIZE:
Considering the constraints it was decided to conduct the study based on sample size of
100 people in specific age groups.

METHODS OF DATA COLLECTION

In the project work Primary data secondary data (both) sources of data has been used .

1. Primary data collection:

In dealing with real life problem it is often found that data at hand are inadequate, and
hence, it becomes necessary to collect data that is appropriate. There are several ways of
collecting the appropriate data which differ considerably in context of money costs, time and
other resources at the disposal of the researcher.

Primary data can be collected either through experiment or

through survey.
The data collection for this study was done in the following manner:

Through personal interviews:A rigid procedure was followed and we were seeking answers to many pre-conceived
questions through personal interviews.

Through questionnaire:Information to find out the investment potential and goal was found out through
questionnaires.

Through Tele-Calling:Information was also taken through telephone calls.

2. Secondary sources of data:

In the secondary sources of data is used. (Internet , mazazine ,books, journals)

TOOLS OF ANALYSIS
In the project work quantitative technique & percentage
method are has been used.

RESEARCH DESIGN

For the proper analysis of data simple quantitative technique such as percentage were used. It
help in marketing more accurate generalization From the data available .The data which was
collected from a sample of population was assumed to be representing entire population was
interested .Demographic factor like age, income and educational background was used for the
classification purpose .

DATA ANALYSIS AND INTERPRETATION

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

Percentage of
respondent

Mutual Fund
Bond
Online trading

75%
16%
7%

Derivative

2%

Result of Preference
of Investment

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

Q2. Are you aware of online Share trading?

Aware of online share

Percentage of

trading

respondent

Yes
No

72%
28%

Result of awareness of online trading

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

Q3. Heard about Karvy Broking Ltd.?

Awareness of Karvy

Percentage of

Broking Ltd
Yes
No

respondent

48%
52%

Result of Awareness of Edelweiss broking Ltd.

52%

Interpretation:

48%

yes
no

This pie-chart shows that Karvy has a reasonable amount of Brand

awareness in terms of a premier Retail stock broking company. This brand image should be
further leveraged by the company to increase its market share over its competitors.

Q4. Do you know about the facilities

provided by Karvy Broking Ltd.?

Awareness of Karvy

Percentage of

Broking

respondent

Services
Yes
No

36%
64%

Awareness of Edelweiss Broking Facilities

36%
yes
64%

No

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

Q .5 Which bank is Broking house is

available everywhere?

Company Name

Percentage of
respondent

Karvy

15

ICICI

20

HDFC

15

20
18
16
14
12
10
8
6
4
2
0
Edelweiss

ICICI

HDFC

Interpretation:30% have respondent of Karvy Broking Ltd, 30% have respondent of HDFC,
40% have respondent of ICICI.

Q.6 Which banking Demat account offered

you a large no. of services?

Company Name

Percentage of
respondent

Karvy Broking

22

Ltd.
HDFC

10

ICICI

18

25
20
15
10
5
0
Edelweiss

HDFC

ICICI

INTERPRETATION:
44% have respondent of Karvy Broking Ltd, 20% have respondent of
HDFC, 36% have respondent of ICICI.

Q.7 Which broking house provide you a

better email facility?

Company Name

Percentage of
respondent

Karvy

15

HDFC

13

ICICI

22

25
20
15
10
5
0
Ede lwe iss

INTERPRETATION:

HDFC

ICICI

30% have respondent of Karvy Broking Ltd., 26% have

respondent of HDFC, 44% have respondent of ICICI

Q.8 Which company provide a less

BROKARAGE rate ?

Company Name

Percentage of
respondent

Karvy

22

HDFC

11

ICICI

17

25
20
15
10
5
0
Ede lwe iss

INTERPRETATION:

HDFC

ICICI

44% have respondent of Karvy broking ltd., 22% have

respondent of HDFC, 34% have respondent of ICICI.

Q. 9 Which company provide you a large

number of product and services?

Company Name

Percentage of
respondent

Karvy

22

HDFC

10

ICICI

18

25
20
15
10
5
0
Edelweiss

INTERPRETATION:-

HDFC

ICICI

44% have respondent of Karvy Broking Ltd., 20% have

respondent of HDFC, 36% have respondent of ICICI.

Represent a pie chart

USER OF DEMAT ACCOUNT

Edelweiss

ICICI

HDFC

28%
41%

31%

OBSERVATION
To study the sales and distribution management and improve the Customer
Acquisition Process by analyzing the consumer behavior, response and
mindset towards the product and services the company offers.

1.

Preference of Investment:
Consumers want to invest 75% in Mutual funds, 16% in Bonds, 7% in online
trading and 2% in Derivatives.

2. Awareness on Online Share Trading

72% consumers are aware of online share trading and 28% consumers are not
aware of online share trading.

3. Awareness of Karvy Broking

48% consumers are know about Karvy Broking and 52% consumers are not know
about Karvy Broking.

4. Awareness about facilities provided by Karvy Broking:

36% consumers are aware about the facilities provided by Karvy Broking and
64% consumers are not know about the facilities provided by Karvy Broking.

5. Availability of Bank
30% have respondent of Karvy Broking Ltd, 30% have respondent of HDFC, 40%
have respondent of ICICI.

6. Which banking Demat account offered you a large no. of services?

4% have respondent of Karvy Broking Ltd., 20% have respondent of HDFC, 36%
have respondent of ICICI.

7. Better email facility provided by bank

30% have respondent of Karvy Broking Ltd., 26% have respondent of HDFC,
44% have respondent of ICICI.

8. Provide a less BROKARAGE rate

44% have respondent of Karvy Broking Ltd., 22% have respondent of HDFC,
34% have respondent of ICICI.

9. Provide a large no. of Products and services

44% have respondent of Karvy Broking Ltd., 20% have respondent of HDFC,
36% have respondent of ICICI.

LIMITATION
The time constraint was one of the major problems.
The study is limited to the different schemes available under the Demat
account selected.
The lack of information sources for the analysis part.
Geographical locations.

Extreme variability in MARKET.

SUGGESTION

1. The Brand image of Karvy Broking Ltd. is good in market but according
to customer satisfaction the company has to provide the better service.
And also change the Market strategy.
2. They should focus on print and electronic media advertisements to make
more people aware about them.
3. They should provide proper guidance to their customers about demat.
4. They should provide should offers and facilities to their customers to
increase their attractiveness about demat.
5. For opening an account they require lots of signatures in a kit, which
should be reduced.

SUMMARY AND CONCLUSION

SUMMARY OF LEARNINGS EXPERIENCE

To get initial success in this field is very difficult. Although the business generation

becomes easier with time as we serve more people who then get added up in the loyal
clientele. Thus time and service are two most factors to get in this field.

Also the corporate remains a very important segment which gets business in bulk but

retail cannot be ignored which makes your business ticking.

Customer remains in the pivotal position.

CONCLUSION
Karvy Demat Account is better than other Demat account. Karvy Broking Ltd. have good
return of investment. A good brand is always welcomed over here people are aware of quality
so they go for ready to spend bucks of money.
At last all conclusion be concluded by that Karvy Broking Ltd. is still growing industry in
India
Karvy Broking Ltd. account have less brokerage rate .
It provide a security with the use of special type of key .

BIBLIOGRAPHY

Websites:

www.edelweiss.in
www.hdfc.com
www.icicidirect.com
www.demataccount.com
www.google.com

Reference books:

1. FINANCIAL INSTITUTIONS AND MARKETS

2.INVESTMENT MANAGEMENT

ANNEXURE

MARKET RESEARCH
QUESTIONNAIRE
PLEASE TICK MARK THE
APPROPRIATE CHOICES

DEMOGRAPHIC

NAME:

Address

Phone no:
..

Types of business:
..

Gender
a. Male
b. Female
Your annual income?
a. 0-4,00,000
b. 4,00,001-8,00,000
c. 8,00,001-12,00,000
d. 12,00,001-15,00,000

QUESTIONNAIRE

Q1. In which of these Financial Instruments

do you invest into?

Shares

Mutual Funds

Bonds

Derivatives

Q2. Are you aware of online Share trading?

Yes

No

Q3. Heard about Karvy Broking Ltd.?

Yes

No

Q4. Do you know about the facilities

provided by Karvy Broking Ltd.?

Yes

No

Q5. With which company do you have your

DEMAT account?

Karvy Broking

ICICI Direct

HDFC

Others (please specify)

Q6. Which bank is easily available

everywhere?
Karvy broking Ltd.
HDFC

 ICICI

Q7. Which banking Demat account offered

you a large no. of services?
Karvy broking Ltd.
HDFC
ICICI

Q8.

Which bank provides you a better

email facility?

Karvy broking Ltd.

HDFC
ICICI

Q9. Which companies provide a less

BROKARAGE rate?
Karvy broking Ltd.

 HDFC
ICICI
Q10. Which company provide you a large
number of product and services?
Karvy broking Ltd.
HDFC
ICICI