SUMMER TRAINING REPORT

ON

STANDARD CHARTERED – STCI CAPITAL MARKET

India‟s First IDR and Comparative Analysis of Products, Services offered

By Standard Chartered – STCI Capital Market and other Broking companies

Submitted in partial fulfilment of the requirements of the two year

Post Graduate Programme (PGP)

Submitted by:
Heena Khan Khatri
Registration No: PG20095802
Batch: 2009 – 2011
IILM Institute for Higher Education
 ACKNOWLEDGEMENT

Any project can‟t be completed in isolation. It is always the outcome of co-ordination and support
of the people of corresponding field.

I express my sincerest gratitude and thanks to honourable Mrs. SHILPA MISHRA (CM) for whose
kindness. I had the precious opportunity of attaining training in one of the most valuable bank.
Under her brilliant untiring guidance, I could complete the project being under taken on the “
INDIA´S FIRST IDR AND COMPARATIVE ANALYSIS OF SERVICES OFFERED BY
STANDARD CHARTERED – STCI CAPITAL MARKET AND OTHER BROKING
COMPANIES ” successfully in time. Her meticulous attention and invaluable suggestions have
helped me in simplifying the problem involved in the work. I got a lot of moral support from her
during training and for project also.

I would like to thank to my faculty guide Prof. GARIMELLA RAMANI for their encouragement
and valuable suggestions on this topic without which this project would not be successfully
completed.

I would also say thanks to all those customers who give me their precious time for questionnaire in
sharing their experience for my study.

I would also like to give thanks to my family, friends and to all those who have helped me in one
and the other way in completing the project.
 PREFACE

At IILM Institute for Higher Education, the POST GRADUATE PROGRAM has been keeping in
mind the requirement of a company in the world at large. I as a student of IILM is required to
undergo two months company study after completing 4th trimester.

During the training period the student learns through his/her own experience, the real situation of
the corporate world and to put his theoretical knowledge into practice. This experience is very
valuable for the student and play leading and an important role in career of the student. Hence to
fulfil this requirement, I had completed my two month training in Standard Chartered – STCI
Capital Market.

Above all, this training period helped me personally, to get an insight into the working environment
and conditions prevailing in the banking and financial industries.
 EXECUTIVE SUMMARY

My Summer Internship was divided into two halves:

In the first half, I was engaged in introducing Standard Chartered IDR to retail investors, brokers
and keep telling them to invest in IDR.

In the second half, I had to analyze consumer behaviour towards Standard Chartered – STCI
Capital Market products. This comparison is followed by the questionnaire and its analysis and at
the end the recommendations that could make Standard Chartered- STCI Capital Market more
effective in the banking and broking sector. This had been followed by comparison of ST - CAP with
other broking companies.

Project Objective:

 To draw a comparison between Standard Chartered – Capital Market and other broking
companies on the basis of products and services.
 To find out the awareness level about additional services provided by Standard Chartered –
STCI Capital Market.
 To analyze the various factors influencing investor‟s preference.
 To identify the future scenario on the basis of collected facts and services.
 To study the behaviour of different investors towards different investment options.

Reporting: I reported to City Manager- Mrs. Shilpa Mishra who kept guiding me during my SIP
when I required.
 DECLARATION FORM

I hereby declare that the Project work entitled, “India‟s First IDR and Comparative Analysis of
Products, Services offered by Standard Chartered – STCI Capital Market and other Broking
companies ” submitted by me for the partial fulfilment of the Post Graduate Program (PGP) to
IILM Institute for Higher Education, is my own original work and has not been submitted earlier
either to IILM or to any other Institution for the fulfilment of the requirement for any course of
study. I also declare that no chapter of this manuscript in whole or in part is lifted and
incorporated in this report from any earlier / other work done by me or others.

Place : Jaipur
Date : 2nd July, 2010

Name of Student: Heena Khan Khatri

Address: 526/13, New Colony , Khanpura
Ward no.13, P.O. H.M.T.
Ajmer, Rajasthan
Pin Code: 305003

Mentor Guide:
Prof. GARIMELLA RAMANI
Faculty IILM, Gurgaon

Company Guide:
Mrs. SHILPA MISHRA
City Manager
Standard Chartered - Wealth Manager
 TABLE OF CONTENTS

 INTRODUCTION
 BANKING AND INVESTMENT INDUSTRY
 INDIAN FINANCIAL SERVICES AND INVESTMENT SECTOR
 PRESENT SCENERIO OF INVESTMENT
 NEW BUSINESS OPPURTINITIES

 COMPANY PROFILE
 BACKGROUD
 FACTS ABOUT THE COMPANY
 AIM
 MISSION / VISION STATEMENT
 OTHER BROKING COMPANIES
 BUSSINESS VERTICAL
 STANDARD CHARTERED’S SPECIALIST COMPRISE BANKING SERVICES
 MAJOR AWARDS WON BY SCB
 STANDARD CHARTERED GROUP IN INDIA
 MORE THAN BANKING AND INVESTING ACTIVITIES
 TIE - UP WITH BAJAJ ALLIANZ
 ORGANISATION STRUCTURE
 LITERATURE REVIEW
 GENERIC VALUE PROPOSITION OF STANDARD CHARTERED GROUP

 INDIAŚ FIRST IDR

 BACKGROUND
 ISSUE SIZE
 OBJECTS OF THE ISSUE
 POSITIVES
 FINANCIAL POSITION
 RISKS
 TAX IMPLICATIONS
 TAX RATE ON DIVIDENDS
 TAXATION OF CAPITAL GAINS

 VIEWS ON IDR BY OTHER BROKING COMPANIES

 ADITYA BIRLA MONEY
 JAYPEE CAPITAL SERVICES
 SHAREKHAN
 PRODUCTS OFFERED BY STANDARD CHARTERED – STCI CAPITAL MARKET
 STATEMENT OF PROBLEM
 PROBLEM OBJECTIVE
 METHEDOLOGY

 COMPARATIVE ANALYSIS OF OTHER BROKING COMPANIES

 STANDARD CHARTERED – CAPITAL MARKET
 SHAREKHAN
 HSBC INVEST DIRECT
 RELIGARE SECURITIES LIMITED
 HDFC SECURITIES
 INDIA BULLS
 ICICIDIRECT

 QUESTIONNAIRE
 SWOT ANLYSIS OF STANDARD CHARTERED GROUP
 FINDINGS AND ANALYSIS
 CONCLUSION
 RECOMMENDATIONS
 REFRENCES
 BANKING AND INVESTMENT INDUSTRY

Without a sound and effective banking system in India it cannot have a healthy economy. The
banking system of India should not only be hassle free but it should be able to meet new
challenges posed by the technology and any other external and internal factors.

For the past three decades India's banking system has several outstanding achievements to its
credit. The most striking is its extensive reach. It is no longer confined to only metropolitans or
cosmopolitans in India. In fact, Indian banking system has reached even to the remote corners of
the country. This is one of the main reasons of India's growth process.

The government's regular policy for Indian bank since 1969 has paid rich dividends with the
nationalization of 14 major private banks of India.

Not long ago, an account holder had to wait for hours at the bank counters for getting a draft or
for withdrawing his own money. Today, he has a choice. Gone are days when the most efficient
bank transferred money from one branch to other in two days. Now it is simple as instant
messaging or dials a pizza. Money has become the order of the day.

The first bank in India, though conservative, was established in 1786. From 1786 till today, the
journey of Indian Banking System can be segregated into three distinct phases.

They are as mentioned below:

 Early phase from 1786 to 1969 of Indian Banks.

 Nationalization of Indian Banks and up to 1991 prior to Indian banking sector Reforms.

 New phase of Indian Banking System with the advent of Indian Financial & Banking
Sector Reforms after 1991.
 INDIAN FINANCIAL SERVICES AND INVESTMENT SECTOR

The Indian banking industry is going through turbulent times. With the lowering of entry barriers
and blurring product lines of banks and non-banks since the financial sector reforms, banks are
functioning increasingly under competitive pressures emanating from within the banking system,
from non- banking institutions, and from the domestic and international capital markets. India‟s
banking sector is growing at a fast pace. India has become one of the most preferred banking
destinations in the world. The reasons are numerous: the economy is growing at a rate of 8%,
Bank credit is growing at 30% per annum and there is an ever-expanding middle class of
between 250 and 300 million people (larger than the population of the US) in need of financial
services. All this enables double-digit returns on most asset classes which is not so in a majority of
other countries.

Foreign banks in India achieving a return on assets (ROA) of 3%, their keen interest in expanding
their businesses understandable. Indian markets provide growth opportunities, which are unlikely
to be matched by the mature banking markets around the world.

Currently, India has 88 scheduled commercial banks - 28 public sector banks (that is with the
Government of India holding a stake), 29 private banks (these do not have government stake; they
may be publicly listed and traded on stock exchanges) and 31 foreign banks. They have a combined
network of over 53,000 branches and 17,000 ATMs. According to a report by ICRA Limited, a
rating agency, the public sector banks hold over 75 percent of total assets of the banking
industry, with the private and foreign banks holding 18.2% and 6.5% respectively. In order to
gain further access to the global trade, the government is expanding the Free Trade Agreements
(FTAs) with many countries (like Singapore, Thailand, and other ASEAN members).

After the Comprehensive Economic Co-Operation Agreement (CECA) with Singapore, the
government is now planning a similar deal with the 25-member European Union. The EU is also
likely to ask India to liberalize its financial sector on the lines of the India-Singapore CECA.
 PRESENT SCENERIO OF INVESTMENT

Investments, unlike works of art, cannot afford the luxury of experimenting. Investing is not
guesswork. It takes more than just a „tip‟; it needs training to plan, instinct to pick and sheer
intellect to make it work for the investor. Human nature is fickle, his wants keep changing.

Many individuals find investments to be fascinating because they can participate in the decision
making process and see the results of their choices. Not all investments will be profitable, as
investor wills not always make the correct investment decisions over the period of years; however,
you should earn a positive return on a diversified portfolio. In addition, there is a thrill from the
major success, along with the agony associated with the stock that dramatically rose after you sold
or did not buy. Both the big fish you catch and the fish that get away can make wonderful stories.

Investing is not a game but a serious subject that can have a major impact on investor's future well
being. Virtually everyone makes investments. Even if the individual does not select specific assets
such as stock, investments are still made through participation in pension plan, and employee
saving programme or through purchase of life insurance or a home. Each of this investment has
common characteristics such as potential return and the risk you must bear. The future is uncertain,
and you must determine how much risk you are willing to bear since higher return is associated
with accepting more risk.

The individual should start by specifying investment goals. Once these goals are established, the
individual should be aware of the mechanics of investing and the environment in which investment
decisions are made. These include the process by which securities are issued and subsequently
bought and sold, the regulations and tax laws that have been enacted by various levels of
government, and the sources of information concerning investment that are available to the
individual.
An understanding of this financial background leads to three important general financial concepts
that apply to investing:

 Today the field of investment is even more dynamic than it was only a decade ago. World
event rapidly-events that alter the values of specific assets the individual has so many assets
to choose from, and the amount of information available to the investors is staggering and
continually growing.

 An investment can be described as perfect if it satisfies all the needs of all investors. So, the
 starting point in searching for the perfect investment would be to examine investor needs. If
all those needs are met by the investment, then that investment can be termed the perfect
investment.

 Most investors and advisors spend a great deal of time understanding the merits of the
thousands of investments available in India.

 Little time, however, is spent understanding the needs of the investor and ensuring that the
most appropriate investments are selected for him.

NEW BUSINESS OPPORTUNITIES

 With the interest income coming under pressure, banks are urgently looking for expanding
fee-based income activities.

 Banks are increasingly getting attracted towards activities such as marketing mutual funds
and insurance policies, offering credit cards to suit different categories of customers and
services such as wealth management and equity trading.

 These are indeed proving to be more profitable for banks than plain lending and borrowing.
 STANDARD CHARTERED – STCI CAPITAL MARKET

BACKGROUND:

Standard Chartered – STCI Capital Markets Limited is a leading broking company with a pan-
India presence and provides a wide range of financial services, including investment banking,
Institutional equity & derivative Broking, fixed income, research, retail equity & derivative broking
(offline and online), portfolio management, distribution of financial products and depositary
services.

Standard Chartered Wealth Managers is the retail division of Standard Chartered – STCI Capital
Markets Limited. We provide services such as broking, wealth management, MF distribution etc.

On 11th January 2008 Standard Chartered Bank (Mauritius) Limited acquired 49% stake of
erstwhile UTI Securities Limited from Securities Trading Corporation of India (STCI).
Accordingly, the name of the Company was changed from „UTI Securities Limited‟ to „Standard
Chartered – STCI Capital Markets Limited‟ with effect from January 17th, 2008. Subsequently,
on December 12, 2008, SCBM acquired further 25.9 % stake in Standard Chartered – STCI
Capital Markets Limited to increase its total stake in Standard Chartered – STCI Capital Markets
Limited from 49.0 % to 74.9 %.

After the issue of IDR‟S in India Standard Chartered – STCI Capital Markets Limited is
registered as a trading and clearing member with Bombay Stock Exchange Limited (BSE),
National Stock Exchange of India Limited (NSE) and MCX Stock Exchange Limited. The
Company is also registered after IDR issue as Depository Participant with Central Depository
Services (India) Limited (CDSL) as well as National Securities Depository Limited (NSDL).
Standard Chartered Bank in India is the country‟s largest international bank with 90 branches in
33 cities and India is one of the Group‟s key markets worldwide. Standard Chartered Bank has
played a significant role in the history of the banking industry in India since opening its first
branch in Kolkata, 150 years ago, April 12, 1858.

Standard chartered bank derives over 90 per cent of its profits from the emerging trade corridors
of Asia, Africa and the Middle East. It is currently employing 73,000 people in more than 70
countries and territories worldwide.

With a banking heritage spanning over more than 150 years, Standard Chartered has an extensive
global reach and a strong position in emerging markets, supplemented by strategic alliances and
acquisitions.

Standard Chartered has a network of over 1,700 branches and outlets in more than 70 countries
across the Asia Pacific Region, South Asia, the Middle East, Africa, Europe and the Americas.

Standard chartered bank is listed on both the London Stock Exchange and the Hong Kong Stock
Exchange, Standard Chartered PLC is consistently ranked in the top 25 FTSE 100 companies by
market capitalization. Standard Chartered Bank offers a full range of traditional as well as
structured banking products to corporate clients, covering short and long term funding in local
and foreign currencies and transaction banking including comprehensive trade finance, supply
and dealer chain financing, and cash management services.

The Bank has expanded client coverage further to include the middle market segment of corporate
customers in selected industry sectors and has also commenced initiatives covering commercial
real estate and commodity finance. The Bank works in close partnership with other businesses -
Global Markets and Consumer Banking, to offer a seamless and comprehensive banking solution to
clients.
 FACTS ABOUT THE COMPANY:

 Member of BSE & NSE.

 Depository Participants with CDSL & NSDL.

 Large network – pan India presence in 112 locations, 38 branches & 137 authorized
Centres.

 A leading broking company catering to the financial needs of institutional & retail
investors.

 On 11th Jan 2008 Standard Chartered Bank (Mauritius) Limited (SCBM) acquired 49%
stake in UTI Securities Limited from Securities Trading Corporation of India (STCI).

 Name of the company was changed to „Standard Chartered – STCI Capital Market Limited‟
(SC caps) with effect from 17 Jan 2008.On 12 December 2008, SCBM acquired a further
25.9% stake in the company to increase its total stake in SC caps from 49% to 74.9%.

AIM:

To offer simplified investment solutions and to provide long – term commitment and value
to our esteemed customers.

MISSION / VISION STATEMENT:

MISSION:
"To emerge as one of the leading providers of stock brokerage, investment banking and related
services, at par with the best in the world".

VISION:
„To emerge as one of the leading Wealth Manager in India giving personalized advice to
individuals &corporate as per their financial goals.´
OTHER BROKING COMPANIES:

 ICICI Direct
 HDFC Securities
 HSBC Invest Direct
 India Bulls
 Religare Securities Limited
 Share Khan

BUSINESS VERTICAL:

Institutional Business: Services such as Investment Banking, Equity and Derivative

Broking and Fixed income Group.

Retail Brand: “Standard Chartered Wealth Managers”. Caters to both online and offline
customers. Offers equity and derivative broking, IPO, Mutual Funds, Fixed Income Investments
and company fixed Deposits.
STANDARD CHARTERED‟S SPECIALIST COMPRISE BANKING SERVICES:

 Investment Banking & Wealth Management

 Capital Investment & Asset Management
 Private & Personal Banking, Fund Management
 Project Funding & Investment Programs (Primary Market)
 Private Placement Programs (cash deposit, credit line, BG, CD, SKR)
 Financial Transactions and Bank Instruments - Intermediating Buy and Sell (Bank-to-
Bank);
 Discounted Currency Exchange (Bank-to-Bank);
 Project Evaluation and Development.

MAJOR AWARDS WON BY STANDARD CHARTERED GROUP TILL 2007:

 Best Sub-Custodian in Indonesia, Korea and Thailand

 Best Emerging Markets Bank

 Best Foreign Bank in South Korea

 Best Corporate Governance Disclosure

 Best Structured Trade Finance Bank

 STANDARD CHARTERED GROUP IN INDIA

Standard Chartered is a London based international bank with significant operations in Asia,
Africa, the Middle East and Latin America. Standard Chartered – STCI Capital Market is a
subsidiary of Standard Chartered Bank. The Standard Chartered Group was formed in 1969
through a merger of two banks: The Standard Bank of British South Africa founded in 1863, and
the Chartered Bank of India, Australia and China, founded in 1853.

Both companies were keen to capitalize on the huge expansion of trade and to earn the handsome
profits to be made from financing the movement of goods from Europe to the East and to Africa.
Chartered Bank opened its first overseas branch in India, at Kolkata, on 12 April 1858. During
that time Kolkata was the most important commercial city and was the hub of jute and indigo
trades. With the opening of the Suez Canal in 1869 and the growth of cotton trade, Bombay
replaced Kolkata as the main commercial centre. Hence Standard Chartered shifted its main
operations to Bombay. Today the Bank's branches and sub-branches in India are directed and
administered from Bombay with Kolkata remaining an important trading and banking centre.

The merger with the Standard Bank of British South Africa in 1969 and the acquisition of Grind
lays Bank in 2000 were two key events that have played an important role in making the Bank the
largest international bank in India. To cater to diverse financial needs, Standard Chartered offers a
wide range of state-of-the-art banking products and services through its network of 80 branches in
31 cities across the country.
 MORE THAN BANKING AND FINANCING ACTIVITIES

Corporate Social Responsibility (CSR) is at the core of the values of Standard Chartered Group.
The Group is committed to the communities and environments in which it operates. The Standard
Chartered strongly supports the trend towards delivering shareholder value in a socially, ethically
and environmentally responsible manner. „Living with HIV‟ is a global community initiative of
Standard Chartered that is aimed at raising awareness of HIV/AIDS amongst employees through
workshops and amongst stakeholders by providing thought leadership.

Working towards women empowerment Standard Chartered has launched in 2006 GOAL - A new
community investment programme. Nets for Life are a regional project that evolved after a
significant number of Community Project for Africa programmes focused on Malaria. Through this
plan to distribute one million long-lasting insecticides treated nets across 16 countries in Africa by
the end of 2008.

In partnership with Sight Savers International and VISION 2020 the Bank is now involved in two
flagship projects at Vishakhapatnam and Muzaffarpur, both aimed at the elimination of avoidable
blindness. Furthermore, in support of the communities ravaged by the Asian Tsunami Crisis in
2004 the Standard Chartered Group committed US$ 1 million to India. The Bank is utilizing these
funds for the rehabilitation of two villages adopted near Chennai.

In 2004, Standard Chartered initiated the successful Standard Chartered Mumbai Marathon - an
event dedicated to charity fund raising. The two marathons held so far have forged partnerships
with customers and charities and deepened the Bank‟s ties with the community, with over US$ 1
million being raised in 2005.
 TIE UP WITH BAJAJ ALLAINZ

Bajaj Allianz Life Insurance Company was the No1. Pvt. Sector Life Insurance co. for the FY
2005-06. With a pan India presence and over 900 + offices. Bajaj Allianz Life Insurance has
already has a customer base of close to 2 million customers. Bajaj Allianz Life Insurance has
developed insurance solutions that cater to every segment and age-income profiles. For companies
it provides comprehensive 'Employee Benefit Solutions' (Group Term Life, EDLI, Gratuity, Super-
annotation, Key man Insurance and more); for the individual Invest Gain (a unique life insurance
plan where sustenance of income is combined in the same plan that also pays a lump sum), Cash
Gain (Money Back), Child Gain (Children's plan), Risk Care (Pure Term), Lifetime Care (whole
life), Term Care (term with return of premium), Saran Visitant (Retirement Plan), Protector
(Mortgage term insurance plan), New Unit Gain Super, New Family Gain, New Unit Gain Plus,
New Unit Gain, New Unit Gain Premier, New Unit Gain Easy Pension Plus, New Unit Gain Easy
Pension Plus – single premium. Currently Bajaj Allianz has a product portfolio of 30 products and
more need-based products are in the pipeline.

It has followed Banc assurance Model which is the term used to describe the sale of insurance
products in a Bank. The word is a combination of "banque or bank" and "assurance" signifying
that both banking and insurance are provided by the same corporate entity. The usage of the
word picked up as banks and insurance companies merged and banks sought to provide insurance,
especially in markets that have been liberalized recently. It is a controversial idea, and many feel it
gives banks too great a control over the financial industry.

In this case Standard Chartered Bank is the distribution channel for Bajaj Allianz in India for its
ULIP Products.
 ORGANISATIONAL STRUCTURE

Managerial Hierarchy in Standard Chartered Bank:

 Consumer Banking
 Corporate Banking
 Wholesale Banking

Consumer Banking:
 Wealth Management

 Investment Service

 Priority Banking

 Service Banking

 Transaction Banking

 Bank Assurance

Transaction Banking

 National Sales Manager

 Regional Sales Manager

 Cluster Manager

 Sales Manager

Transaction Teams
 Liabilities Transaction Team

 Assets Transaction Team

Managerial Hierarchy in Standard Chartered – Wealth Managers:

 THE ZONAL HEAD

 THE HEAD

 THE SALES TEAM

 THE BRANCH TEAM

 THE DISTRIBUTION TEAM

LITERATURE REVIEW:

WEALTH MANAGEMENT:

Wealth management is classified as a type of financial planning tool that provides corporate and
their families with private banking, asset management, legal resources, real estate planning,
investment management and portfolio management with the goal of sustaining and growing long-
term wealth.

Wealth management service providers have segmented the Indian market into four categories:

 The mass market (investible surplus USD5,000 to 25,000)

 The mass affluent (USD25,000 to 1 million)

 The high-net-worth (USD1 million to 30 million) and

 The ultra-high net worth (greater than USD30 million).

 GENERIC VALUE PROPOSITION OF STANDARD CHARTERED GROUP

 Bill pay facility.

 78 branches in 30 locations.

 Any branch banking, anywhere in India.

 Fully functional phone banking facilities.

 Extended banking hours, 365 day banking.

 India‟s leading international banking group.

 Doorstep banking - bank from your home/office.

 INDIA´S FIRST IDR

Standard Chartered PLC (Stan Chart)

BACKGROUD:

Standard Chartered PLC (Stan Chart) operates through a number of subsidiaries, including
Standard Chartered- STCI Capital Market, one of the leading international broking services
company. Standard Chartered Bank is also a subsidiary of Stan Chart PLC, particularly focuses
on markets in Asia, Africa and the Middle East.

As on 31 December 2009, the group operates in approximately 1,700 branches and outlets in more
than 700 countries. The Company shares and preference shares are listed on the Official List and
traded on the London Stock Exchange and Hong Kong Stock Exchange.

ISSUE SIZE:

The issue size is for 240mn Indian Depository Receipts (IDR) with every set of 10 IDRs
representing one underlying share of Stan Chart. Stan Chart expects to raise around $500-
$750mn (Rs.22.5 – 33.8bn) to grow its business globally.

OBJECTS OF THE ISSUE:

 To provide Indian investors with an opportunity to invest in Stan Chart and participate in its
growth. The Company has its presence in India for several years and is committed to India
future, with a firm belief that India would remain a growing key market – the Issue demonstrates
the commitment.

 To increase the market visibility and brand perception of the Company in India.

 To support growth across the Company ś businesses globally. The current economic
circumstances and related market dislocation have presented unique opportunities to deploy
capital into selected areas where the competitive environment, pricing levels and returs are
particularly attractive.

 To widen the Company investors base and to provide a new source of capital.
POSITIVES:

 Longstanding presence in growth markets: Stan Chart (the Group) has had its presence in
many of its key geographies for a significant amount of time, stretching back to the first
branches being opened in India and China in 1858. As a result, the Group has built deep and
longstanding relationships with its customers and has an extensive distribution network.

 Wide ranging products and services: Given its global capabilities and local knowledge, the
Group develops products and services, which meet the diverse and ever- changing needs of
individual, corporate and institutional customers in some of the worlds most exciting and
dynamic markets within Asia, Africa and the Middle East.

 Strong track record of strategic acquisitions: The Group has a track record of strategic
acquisitions to create shareholder value. For instance, to overcome obstacles to organic
growth, the Group acquired Korea First Bank to expand in market. Similarly, Hsinchu
International Bank and Permata Bank was acquired to strengthen its position in Tiawan and
Indonesia, respectively.

 Risk Management: The Group has a defined risk appetite, which is approved by the Board.
This plays a central role in the development of the Company strategic plans and policy. The
Group proactive approach to risk management and steps taken early on in the current
economic crisis to reshape the Company portfolios and tighten underwriting standards helped
to mitigate the impact of market turbulence on the Company performance. Throughout 2009,
the Company balance sheet and liquidity position remained strong, and the Company is well
positioned to address further challenges and potential economic weakness in 2010.

 Identifying organic growth opportunities: The Group has been able to identify growth
opportunities and has committed resources to capitalize on these. The strategic aim for
Consumer Banking is to become the world‟s best international consumer bank in each of the
Groups chosen markets and customer segments across Asia, Africa and the Middle East.
Wholesale Banking has invested in people and products and has boarded its geographic and
product coverage. Some key initiatives are focus of investments on the Group's major engines
of growth such as Hong Kong, India and Singapore, significant strengthening of the Groups
presence in the UAE to further support growing client demand in the region, among others.
FINANCIAL POSITION:

 Net Interest Income of Stan Chart was $7,623mn in FY09 as compared to $7,387mn in
2008, a growth of 3.2%. Non- interest Income rose to $7,561mn in FY09 as compared to
$6,581 in FY08, a growth of 14.9%.

 Net profit for FY09 stood at $3,477mn as against $3,344mn in FY08, a growth 4%.

 The asset book (loan to customers) was $198,292mn in FY09 as against $174,178mn in
FY08, a credit growth of 13.8%.

 The deposit base (customer accounts) stood at $251,244mn in FY09 as against

$234,008mn in FY08, a growth of 7.4%.

 Consumer Banking operating income increased / (decreased) year -on- year by

24%, 3% and (5%) and operating profit increased / ( decreased) year- on- year by 27% ,
(33%) and (22%) for FY07- FY09 period respectively.

 Wholesale Banking operating income increased year- on- year by 34%, 43% and
24% and operating profit increased year- on- year by 27%, 28% and 36% for FY07-09
period, respectively.

INDIA OPERATIONS:

 Net Interest Income remained the same for FY08 AND FY09 at Rs33, 796mn.

 Net Interest Margin went up from 3.5% in FY08 to 3.8% in FY09.

 Advances to Customers registered a growth of 6.2%, from Rs. 3,67,045mn in FY08 TO

Rs.3, 89,825mn in FY09.

 PBT grew 19.0% from Rs. 41,592mn in FY08 to Rs. 49,481mn in FY09.
VALUATION MATRIX:

Bank EPS (INR/ pence) P/E CMP

SBI 195.98 11.8 2315.2
ICICI Bank 41.88 22.1 925.3
HDFC Bank 65.51 30 1964.3
Standard Chartered 113.7 14.9 1691.5
PLC

MARKET SHARE OF MAJOR COMMERCIAL BANKS AS ON FY09:

Deposits (%) Loans (%)

Public Sector Banks
SBI 18.3 18.1
Canara Bank 4.6 4.6
PNB 5.2 5.2
Private sector Banks
ICICI Bank 5.4 7.3
HDFC Bank 3.5 3.3
Axis Bank 2.9 2.7
Foreign Banks
Citibank 1.3 1.3
HSBC 1.2 0.9
Standard Chartered 1 1.3
PLC
RISKS:

 Lack of liquidity is a risk to the Groups business.

 IDR Holders may be subject to risk relating to fluctuations in foreign exchange.

 Systematic risk resulting from failures in the banking industry could adversely affect the
Group.

 The Company operates primarily through its subsidiaries and there are risks related to this
structure.

 Changes in interest rates, foreign exchange rates, equity prices and other market risks
could adversely affect the Groups financial condition and results of operations.

 The Group operates in a highly regulated industry and changes to bank regulations and
laws and regulations could have an impact on its operations or impair its financial
condition.

 Changes in the credit quality and the recoverability of loans and amounts due from
counterparties may have an adverse effect on the Groups financial condition and results of
operations.

TAX IMPLICATIONS:

 Recently, there are no specific tax provisions under the Income Tax Act with respect to
taxation of IDRs.

 The following summary applicable to income earned by the IDR holders, pursuant to the
ownership and transfer of IDRs, is therefore based on the general provisions under the
Income Tax Act.
TAX RATE ON DIVIDENDS:

Resident assesses:

 Resident individual assesses will be taxable on dividends at rates applicable to relevent

income slabs, with the maximum rate of 30%, plus education cases at the rate of 3% of the
tax.

Non- Resident assesses:

 Fills and other foreign companies will be taxable on dividends will be taxable on dividend
income at the tax rate of 20%, plus surcharge at the rate of 2.5% and education cess at the
rate of 3% of tax and surcharge, under the provisions of section 115AD and Section 115A of
the Income Tax Act, respectively.
 Non- Resident Indians will be taxable on dividends at rates applicable to relevant income
slabs, with the maximum rate of 30%, plus education cess at the rate of 3% of the tax.

TAXATION OF CAPITAL GAINS:

 Section 10(38) of the Income Tax Act exempts income arising from transfer of long-term
capital asset being equity share or a unit of an equity – oriented fund on which Securities
Transaction Tax( STT) has been paid.

 Further, under Section 111A of Income Tax Act, short – term capital gains on transfer of
equity shares in a company or a unit of an equity- oriented fund are taxed at the
concessional rate of 15%, plus applicable surcharge and education cess.

 Based on current provisions of chapter VII of Finance (No. 2) Act, 2004,pertaining to STT,
IDRs should not be subject to STT

Long – term capital gains on sale of IDRs:

Resident assesses:

 For resident assesses, under section 112 of the Income Tax Act, long – term capital gains on
sale of IDRs will be subject to tax at the rate of 20%, plus surcharge at the rate of 10%(
only for corporate) and education cess at the rate of 3% of the tax and surcharge.
Non Resident assesses:

 Under section 115AD of the Income Tax Act, Fills will be taxable at the concessional tax
rate of 10% plus surcharge at the rate of 2.5% and education cess at the rate of 3% of the
tax and surcharge, on long – term capital gains on sale of IDRs.

Short – term capital gains on sale of IDRs:

Resident assesses:
 Resident individual assesses will be taxable on short – term capital on sale of IDRs at rates
applicable to relevant income slabs, with the maximum rate of 30%, plus education cess at
the rate of 3% of the tax.

 Resident corporate will be taxable on short – term capital gains on sale of IDRs at the rate
of 30%, plus surcharge at the rate of 10% and education cess at the rate of 3% of the tax
and surcharge.

Non- Resident assesses:

 Under Section 115AD of the Income Tax Act, Fills will be taxable at the tax rate of 30%,
plus surcharge at the rate of 2.5% and education cess at the rate of 3% of the tax and
surcharge, on short – term capital gains on sale of IDRs.

VIEWS ON IDR BY OTHER BROKING COMPANIES:

ADITYA BIRLA MONEY:

``The bank has priced its issue at 14.5x its P/E on CY09 earnings and 1.85x its P/BV at the upper
band which looks fairly valued compared to its peers. Further the bank‟s low cost current and
savings account balance comprises 53% of the total deposit base, which will enable the bank to
keep NIM stable in a current rising interest rate scenario.``
``Considering bank‟s healthy CAGR growth of 22% (2003-09) in its profits, large distribution
network, global brand name, higher CASA ratio, and diversified geographical base and reasonable
valuations compared to its listed Indian peers. We recommend investors to `Subscribe` the issue for
long term perspective.´´
JAYPEE CAPITAL SERVICES:
``With the accelerated growth of Standard Chartered and its presence in the fast growing areas of
Asia, Africa and Middle‐east, it is a great opportunity for Investors to become a part of the growth
story of this global bank. Moreover, the bank has been growing at record rates in India which is a
key market for the bank. With financial sector stabilizing and liquidity situation improving, banking
sector is no longer in deep pressure and investing in Standard Chartered gives the opportunity to
investors to invest in a global bank. Hence, our outlook for the issue is positive and we give a
`Subscribe` rating to the issue.``

``The investors should not expect huge listing gains but due to the strong fundamentals, strength of
the company and diversified business with income coming from growing economies, the investor
should aim for a medium to long‐ term investment horizon and expect gains if he invests for a
longer duration.``

SHAREKHAN:
``Standard Chartered Banks IDR provides the Indian investor a chance to invest in a global entity
with widespread geographical presence. As a result of its diversified presence and emerging market
focus, the bank came out relatively unscathed from the sub-prime crisis and is now well poised to
benefit from the ongoing recovery in the emerging economies. Hence, the bank is an excellent
diversified multinational banking play with strategic position in high-growth emerging markets.
However, the issue price discounts most of the positives. Moreover, the stock has certain
disadvantages such as lower institutional participation (as domestic insurers are not allowed to
participate in IDR and a restricted FII interest) and higher incidence of tax (dividend and capital
gains tax) on IDRs.``

``At the lower end of the offer price band, the stock is offered at around 10% discount to its current
market price at the Hong Kong Stock Exchange (HKD 185 implies a value of Rs111 per IDR; 10
IDRs equal to one equity share) and leaves scope for some appreciation considering the 5%
discount offered to the retail investors.``
PRODUCTS OFFERED:

STANDARD CHARTERED

EQUITY:
You can place trades online for most of the stocks listed on NSE and BSE. We offer various options
to place stock orders.

1. Delivery based Trading: Place delivery based orders for most of the stocks listed on
NSE and BSE.

2. Intra-day Trading: Execute margin orders up to 3 to 4 times of your available funds.

This facility is available for select group of stocks listed on NSE and BSE.

3. Acquire Now Sell Tomorrow (ANST):Sell shares before you receive the same in your
demat account. You can avail this facility on the first and second day after the buy order
date.

DERIVATIVES:
You can pursue a wide range of Futures and Options trading strategies with speed and ease. We
deliver the support, information and structure that quickly let you spot potential opportunities and
act on them fast.

CURRENCY DERIVATIVES:
A new investment opportunity from Standard Chartered Wealth Managers for all Resident Indians.
Currency Derivatives are standardized foreign exchange contracts traded on an exchange to buy or
sell one currency against another on a specified future date. The contracts will be traded online
through the order-driven market mechanism, quite similar to equity derivatives.

MUTUAL FUND:
We offer access to more than 500 mutual fund schemes from leading fund houses. These funds
provide broad diversification and cover a range of investment objectives, philosophies, asset
classes and risk exposures. Trades may be placed via the Internet or the Interactive Voice Response
(IVR) phone system.
ADVANTAGES OF MUTUAL FUND

 Portfolio diversification/risk reduction: An investor holds a diversified portfolio even with

a small amount of investment, which would otherwise require a big capital. Further, the
fund invests in diverse portfolios, hence reducing the riskiness of the investments.
 Reduction of transaction costs: While investing through the funds and investor has the
benefit of economies of scale; the funds incur lesser costs because of larger volumes, a
benefit passed on to its investor.
 Professional management: Mutual funds are managed by professional management who
has requisite skills and resources to analyze the various investment options in these fast-
moving, global and sophisticated markets.
 Liquidity: Often, investors hold shares or bonds they cannot directly, easily and quickly sell.
If they invest in the units of a fund, they can generally cash their investment any time, by
selling their units to the fund if open-ended, or selling them in the market if the fund is
close-end.
 Convenience and flexibility: Investors have the option of transferring their holding from
one scheme to the other; get updated market information and so on.

IPOs: Initial Public Offer presents exciting opportunities for gaining high returns on your
investments. We have made investing in IPOs hassle free. All that is required is “Buying Power”
and rest is at the click of a button. No paperwork. No queues. Get information on IPO news,
forthcoming IPOs and a lot more on our website. Offline customers can invest in IPOs through our
branch net work.

This product offers an excellent opportunity to leverage your own funds in primary markets and
thereby increase the allotment quantum manifold.

Benefits:

 Procure higher allotments

 Easier and faster processing
 Take advantage of investment opportunities
 Maximize gains on your existing funds available for investments
GOI BONDS:
Fixed income securities can help reduce your risk within an investment portfolio while providing a
steady stream of income over time. Currently you can choose to invest online in GOI bonds. If you
are looking to diversify your portfolio, possibly improve your tax efficiency and/or reducing your
risk exposure, you may want to consider making fixed income securities a part of your personal
investment strategy.
LOANS:

Great Savings:

 One time processing fees

 No hidden charges
 Choice of variable and fixed rate loans

Great flexibility:

 Loans for salaried and self employed individuals

 Choice to tenure from 5 years to 20 years

 No Guarantor required

 Refinance your existing loan.

VALUE ADDED SERVICES:

1. Customer service and other value added services: Online Query Resolution - With our
"Quick Mail" tool you can send in your queries online.

2. Digital contract notes and summary of transaction: Upon logging-in your online
trading account, view your digital contract note and summary of transactions.

3. My inbox: Maintain records of all important notifications related to your account.

Dedicated customer care centre and state-of-the-art Phone-2-Trade desk.

4. Interactive demo: A step-by-step guide to help you navigate through the process of
investing online through website.

Trading Platform offered by Standard Chartered – STCI Capital Market:

Multiple trading platforms suiting the needs of different customer segments. Choose the platform
which best suits you … with the option of upgrading at any point in time.

1. Easy Trade:
 Easy Trade is a powerful and user friendly browser based online trading website for
beginners. It provides unique integrated account which link banking, broking, and demat
accounts. Trader can get the latest stock quotes, unlimited access to trading history, current
order status, access to all back end reports and data.

2. Advanced Trade:

Advance Trade is an Applet-based system, designed specially for active traders. Advance
Usec gives access to their traders to view live streaming quotes which enables them to keep
track of real-time price movement. Multiple market watch, message window and trading
window, all in one screen help customers to track individual stocks and make timely trades
when investing online.

3. Super Trade:

Super Trade is an advanced, customizable online trading platform built exclusively for
active traders. It offers professional and complimentary tools which enable their user to
view streaming, intraday, daily and weekly charts, personalized quick stock quote lists and
real-time updates.

TYPES OF ACCOUNT:
 3 in 1 account (demat + savings + trading): - This 3-in-1 account integrates your
saving, trading and demat accounts. All accounts are from Standard Chartered and very
well integrated.
 2 in 1 account (demat + tradin): - No savings account, implies that the money is
invested or it is in the form of holdings in demat account.

3 IN 1 ACCOUNT BENEFITS:
The easy to use features of 3in1 account include:

 Single login facility:

This feature enables direct access to details of all 3 accounts with a single log-in - no need
to remember multiple user names and passwords.

 Hassle-free and convenient trading:

No need to write cheques or issue TIFD (DIS) slips.
Instant update on status of purchase/sale orders.
Automated pay-in of shares and pay-out of funds/shares to and from your DP/bank
account.
  Access to multiple products:
Invest/trade online in multiple products - equity and derivatives trading, IPO, GOI bonds
and mutual funds.
You can place orders online or through the Phone-2-Trade facility

Standard Chartered – STCI Capital Markets Limited is registered as Depository Participant with
Central Depository Services (India) Limited (CDSL) as well as National Securities Depository
Limited (NSDL).

A feasible service charge with best value for money is what we offer to our clients. Customer‟s
delight is our edge. We have the best state-of-the-art software to facilitate our esteemed clients such
as banks, corporate, high net worth individuals, corporate and retail clients.

Salient features of depository services:

1. CDSL depository services:

 Account opening
 Easy / easiest
 Accepting credit / debit Instruction
 Demat / remat
 Freeze / unfreeze
 Any other depository services

2. NSDL depository services:

 Account opening
 Speed-e / ideas
 Accepting credit/debit instruction
 Demat / remat
 Freeze / unfreeze
 Any other depository services

The financial products that are being offered in the markets today provide an opportunity to the
investor to participate in the stock market even with a small investment size.

Our large retail network with pan India presence in 112 locations through 34 branches, over 136
business associates caters to the investment needs of both offline and online clients. Our
representatives who have been trained and facilitated with the best tools, enables them to offer you
with the best services and deals.
INSURANCE POLICIES:

Standard Chartered offers you a wide range of Life Insurance Products from Bajaj Allianz Life
Insurance Company, one of India's leading Insurance companies.

At Standard Chartered, you can avail of the services of trained & certified professional consultants
from Bajaj Allianz Insurance company, who can guide you in ascertaining your insurance needs,
and assist you in making an insurance plan that is just right for you.
 Key Plans
 Bajaj Allianz

Some of the key Life Insurance plans available are:

Max Gain: A product that offers the opportunity to get upside benefit of units price with complete
downside protection from the fall in the equity market.

 Guarantee to encash units at maturity at the highest unit price achieved by the fund
over the 10 year term of the policy.
 Guaranteed Addition at maturity: Up to 350% of total allocation charges.
 No surrender charge after 3rd policy year.
 Continuance of life covers even if premiums are not paid in the first 3 years.
 Flexibility to increase / decrease regular premiums to suit changing needs.

Invest Plus: A product that offers a guaranteed investment return and an insurance wrap.

 Investment return is declared at the beginning of the year. It will be applicable on

the entire policy value and not just on the premium paid.
 Investment returns once declared are guaranteed.

 The policy value is enhanced by adding Additional Bonus @ 10% on Net Premiums
paid after 10th year till policy term.
 Regular Premium allocation is 95% while top-up premium allocation is up to 121%.
 Refund of up to 100% of the cost of life insurance cover at maturity.

Shield Plus: A unit linked single premium endowment plan that offers the dual advantage of
Guarantee Return and Capital Preservation.

 It gives a “Guaranteed” minimum 170% of unit price at maturity.

 Option to choose Life Cover (1.1 or 5 times of the Single Premium).
 Up to 100% allocation of the Single Premium paid.
  Flexibility to decrease Sum Assured and avail Partial Withdrawals.
 No Surrender Charge from 6th Policy Year onwards.

Young Care II & Young Care plus II: A unit linked regular premium plan specially designed to
secure your child‟s future.

 Option to choose from two additional rider benefits.

 The Product has a WOP feature where in on the death of Life assured, the policy
continues with premiums paid into the policy by the insurance company till the end
of term.
 Provides loyalty additions starting from 6th Policy Year to enhance the fund value.
 Sum Assured is paid on Death and WOP is triggered. Nominee receives the fund
value at the end of the term.
 In case of financial constraint, there is an option to decrease the premium.

New Unit Gain II: (Popular Plan) New Unit Gain is a regular premium Unit-Linked Endowment
Plan.

 Your investment, apart from normal allocation, receives Loyalty Units equivalent to
0.35% p.a. of the regular premium fund value at the end of each policy year starting
from 6th year till maturity provided all due regular premiums have been paid.
 Choice of 7 investment funds, with complete flexibility to switch money from one
fund to the other.

 The policy continues to participate in investment performance of the fund(s) even if

one is unable to pay the premium for 3 full years.
 Flexibility :

1) To increase / decrease regular premium.

2) To avail Partial withdrawals at any time after 3 years from commencement of

the policy.

3) To avail Unlimited free switches every year under Investor Selectable Portfolio
strategy.
Future Secure II: Enjoy your retirement years with this pension plan.

 This pension plan with 2 options - with a life cover & without a life cover
 The allocation to funds starts from 80% and keeps reducing depending on the
premium size
 Future Secure has an Unlimited Top-up facility
 Loyalty Units get infused from Year 6 onwards as a % of fund value

Mortgage Reducing Term Insurance Plan (MRTA): An offering for customers with a home loan
or loan against property.
 The policy is a stand-alone policy and continues even if the loan is foreclosed or
transferred.
 The product provides valuable life cover at an attractive benefit-to-premium ratio.
 The life cover amount paid is Tax–Free.
 Insurance Premium can be structured as a part of the loan EMI.
 In the event of untimely death of any member, the borrower‟s family is relieved.
From the burden of financial debt.

We offer the range of innovative general Insurance products from Bajaj Allianz Life Insurance
Company.
Allianz AG with over 110 years of experience in over 70 countries and Bajaj Auto, trusted for over
55 years in the Indian market, together are committed to offering you Insurance solutions that
provide all the security you need for your family and yourself.

Protecting your future:

We are dedicated to protecting you and your family, as well as your hard earned assets and future
earnings.
To take care of all your insurance requirements, we bring you a variety of products from Bajaj
Allianz Life Insurance Company & Royal Sundaram General Insurance Limited. We offer:

 One-stop shopping for both life and general insurance protection.

 Comprehensive range of products to suit every stage of your life... from childhood to
retirement.
 Dedicated insurance Financial Services Consultants from Bajaj Allianz Life Insurance
Company provide FREE Consultations to create customized insurance plans for you.

At Standard Chartered Bank we have a comprehensive range of products & services to protect
your world:
 Life Insurance
 General Insurance – Health, Motor Vehicle, Home Contents and Personal
STATEMENT OF PROBLEM:
Since it is a research project along with some comparison and marketing of financial products,
various market research methods were used to accomplish its goals. I conducted a market survey
through the questionnaire to know about the various players and their performance in the industry
taking into consideration the various products and the product related services provided by them.

PROJECT OBJECTIVE:
 To draw a comparison between Standard Chartered – Capital Market and other broking
companies on the basis of products and services.
 To find out the awareness level about additional services provided by Standard Chartered –
STCI Capital Market.
 To analyze the various factors influencing investor‟s preference.
 To study the behaviour of different investors towards different investment options.

METHODOLOGY:

The stepwise methodology that was used is:

 Secondary Research: Company description was obtained through websites, business

magazines, and journals and from the organization itself. Information like current market
share was extracted from net.

 Sampling: Selecting the sample: Population that was taken as a sample included randomly
selected customers of broking companies and also the standard chartered client base.

Sampling Technique: Simple Random Sampling

Sampling Size: 100 customers

 Primary Research: Primary research was conducted through surveys via:

 Personal Interviews
 Interactions with consumers of different banks.
 Questionnaires were designed to conduct interviews.
 Interaction with customers at Malls and other market places.

 Preparation and tabulation of data: After the data has been collected, it was entered into
Microsoft Excel and was prepared for analysis.

 Data Analysis: The data so collected was analyzed in Microsoft Excel with the help of bar
diagrams, pie charts, etc.
Finally, the information thus obtained from the survey was used to discover the potential segment
for generating new business for the organization and thereby devise strategies to generate new
business from that potential segment.

COMPARATIVE ANALYSIS OF OTHER BROKING COMPANIES:

Standard Chartered – STCI Capital Market:

The kind of product can be provided by the Standard Chartered - STCI Capital Markets are: Equity,
Mutual funds, ULIP, SIP, IPO‟s, and Insurance.

Derivative Brokerage and Account opening fees:

STCI Capital Markets offers three kinds of platforms as above. Below are detail about fees and
activation charges for each account:

1. Easy Trade:
Account activation charges Rs.499/-.

2. Advance Trade:
Account activation charges Rs.799/-.

3. Super Trade:
Account activation charges Rs.2499/-.

For online trading with STCI Capital Markets, investor has to open an account.

1 Advantages of STCI Capital Markets Ltd

 They provide intraday reports and historical charting.

 Varity of fee structure to fulfil need of different type of investors.
 User can access sector-wise information to track sectors and individual scripts within the
sector.
 STCI provides "Quick Mail" tool so user can resolve all the problems online.
SHARE KHAN:

 Share khan is online stock trading company of SSKI Group provider of India-based
investment banking and corporate finance service.

 Share Khan is one of the largest stock broking houses in the country. S.S. Kantilal Ishwarlal
Securities Limited (SSKI) has been among India‟s leading broking houses for more than a
century.

 Share khan‟s equity related services include trade execution on BSE, NSE, Derivatives,
commodities, depository services, online trading and investment advice.

 Along with Sharekhan.com website, Share Khan has around 510 offices (share shops) in 170
cities around the country.

 Share khan has one of the best states of art web portal providing fundamental and statistical
information across equity, mutual funds and IPOs.

 You can surf across 5,500 companies for in-depth information, details about more than
1,500 mutual fund schemes and IPO data.

 You can also access other market related details such as board meetings, result
announcements, FII transactions, buying/selling by mutual funds and much more.

TYPES OF ACCOUNT:

Share Khan Classic account:

Allow investor to buy and sell stocks online along with the following features like multiple
watch lists, Integrated Banking, demat and digital contracts, Real-time portfolio tracking
with price alerts and Instant credit & transfer.

 Online trading account for investing in Equities and Derivatives

 Free trading through Phone (Dial-n-Trade)
 Two dedicated numbers for placing your orders with your cell phone or
landline.
 Automatic funds transfer with phone banking (for Citibank and HDFC bank
customers)
 Simple and Secure Interactive Voice Response based system for
 authentication
 Get the trusted, professional advice of our tele brokers
 After hours order placement facility between 8.00 am and 9.30 am
 Integration of: Online trading + Bank + Demat account
 Instant cash transfer facility against purchase & sale of shares
 IPO investments
 Instant order and trade confirmations by e-mail
 Single screen interface for cash and derivatives

Share khan speed trading account:

This accounts for active traders who trade frequently during the day's trading session.
Following are few popular features of Speed Trade account.

 Single screen interface for cash and derivatives

 Real-time streaming quotes with Instant order Execution & Confirmation
 Hot keys similar to a traditional broker terminal
 Alerts and reminders
 Back-up facility to place trades on Direct Phone lines

BROKERAGE:

Some stock trading companies charge direct percentage while others charge a fixed amount per Rs
100. Share khan charges 0.5% for inter day shares and 0.1% for intra day or you could say Share
khan charges 50 paisa per Rs.100.

Advantages of Share khan:

 Online trading is very user friendly and one doesn't need any software to access.
 They provide good quality of services like daily SMS alerts, mail alerts, stock
recommendations etc.
 Share khan has ability to transfer funds from most banks. Unlike ICICI Direct, HDFC Sec,
etc., so investor not really needs to open an account with a particular bank as it can
establish link with most modern banks.
Disadvantages of Share Khan:

 They charge minimum brokerage of 10 paisa per stock would not let you trade stocks below
Rs.20. (If you trade, you will loose majority of your money in brokerage).
 Lots of hidden rules and charges.
 They do not provide facility to book limit order trades during after-hours.
 Classic account holders cannot trade commodities.
 Cannot purchase mutual funds online.

HSBC INVEST DIRECT:

 HSBC Invest Direct (India) Limited (HIL) is one of the India's leading financial services
organizations providing varied range of services through its subsidiaries to Individual and
Corporate customers.

 HIL is listed on the Bombay Stock Exchange Limited (BSE) and National Stock Exchange
Limited (NSE).

 HSBC Invest Direct offers various services that include equity broking, wealth management,
IPO distribution and portfolio management services.

 HSBC InvestDirect has around 240 offices in 80 cities around the country.

 Trade In: BSE and NSE

Online Stock Trading Platforms:

HSBC InvestDirect offers 3 different online trading platforms to their customers:

1. Smart START :

Smart start is a powerful browser based Trading platform for beginners. Smart Start
trading platform allows their investor to flexibility of trading on both the NSE & BSE via a
single screen.
 Features:

 Live order status

 Back office access
 Trade on NSE & BSE
 Dynamic buying power
 Fully Customizable display
 Seamless 3-in-1 proposition
 Track your orders real-time
 User friendly Get Quote screen
 Simple order entry for Equity & Derivatives

2. Smart INVEST:

Smart Invest is a browser-based trading platform for customers who transact occasionally.
It is ideal for investors who believe in the Buy and Hold approach towards investment in
equities. It gives the benefit of real-time streaming data with the flexibility of trading on any
Internet capable system.
Features:

 Instant access to account with no wait time

 Works behind a Proxy
 Live Streaming quotes
 Multiple Watch lists
 NSE & BSE Access

 Single order form for Cash and F n O

 Point and Click order entry
 Hot Key Functions
 Back Office access

3. Smart TRADE

Smart Trade is an EXE based desktop software designed for active traders who transact
frequently to capture short-term price movements. This platform gives more personalized
investment options to the investors. Following are few popular features of Smart Trade
account.
 Features:

 Fully Customizable display

 Dynamic Charts with Indicators
 EOD Charts
 Real-Time market data
 Advanced Alert capabilities
 Live order status
 Track your orders real-time
 Real time position updates
 Dynamic buying power
 Message window docking

Advantages of HSBC InvestDirect:

 Online trading is very user friendly and one doesn't need any software to access.
 They provide good quality of services like daily SMS alerts, mail alerts, stock
recommendations etc.
 HSBC has ability to transfer funds from most banks.

Disadvantages of HSBC InvestDirect:

 Lots of hidden rules and charges.

 They do not provide facility to book limit order trades during after-hours.

RELIGARE SECURITIES LIMITED:

 Religare Securities Limited (RSL) is a subsidiary company of Religare Enterprises Ltd and
involve in equity related services include online trading at BSE and NSE, Derivatives,
commodities, IPO, Mutual fund, Investment banking and institutional broking services.
 Religare Enterprises Limited is Ranbaxy Laboratories Limited promoted financial product
and service Provider Company.
 Religare provide its service in three different segments including Retail, Wealth
management and the Institutional spectrum. Company offers wide range of services
including equities, commodities, insurance broking, wealth advisory, portfolio management
services, personal finance services, Investment banking and institutional broking services.
 Religare retail network has more than 900 locations in 300 cities and towns in India.
  Religare provides the online gateway to their investors so investor can trade online in
Equities, Commodities, apply for IPOs, invest in Mutual Funds, and buy Insurance

TYPE OF ACCOUNT:
Religare offers its wide range of financial services though a sophisticated and customized trading
platform.

Life Insurance:

Religare in partnership with Aegon, one of the world's largest life insurance and pension groups,
operates its Life Insurance business in India under a Joint venture, Aegon Religare Life Insurance
Company Limited.

This venture is dedicated to build a firm future, both for customers and employees and will
continue to balance a local approach with the power of an expanding global operation.

Asset Management:

Religare Asset Management Company Limited is a wholly owned subsidiary of Religare Securities
Limited (RSL), which in turn is a 100% subsidiary of Religare Enterprises Limited. It operates out
of 60* locations across 57 cities in India, the AMC, as on 28th Feb 2010 had an AUM of over INR
148 bn with over 230,000 investor folios.

Equity Trading:

Trading in Equities with Religare truly empowers you for your investment needs. We ensure you
have a superlative trading experience through -
 A highly process driven, diligent approach
 Powerful Research & Analytics and
 One of the "best-in-class" dealing rooms

Commodities Trading:

Religare Commodities Limited (RCL), a wholly owned subsidiary of Religare Enterprises Limited
was initiated to spearhead Exchange based Commodity Trading. As a member of NCDEX, MCX
and NMCE, RCL, present in 529 locations provides options in both agri and non-agri commodities
for Exchange based commodity trading backed by incisive dedicated research.
Online Investment Portal:

Religare Online is your single gateway for all your financial needs. Now you not just trade online
in Equities, Commodities, apply for IPOs, invest in Mutual Funds, buy Insurance, but also get
Trade Rewards each time you invest online with our 360 degree portal.

Insurance Solutions:

Religare with one of the largest retail networks in the country offers a complete range of insurance
solutions though its 100% subsidiary company, Religare Insurance Broking Limited (RIBL). The
company holds a composite broker's license operating in the Life, General and Reinsurance
domains.

Loans:

Structurally all business are operated through various subsidiaries held through the holding
company Religare Enterprises Limited. One such wholly owned subsidiary of REL is Religare
Finevest Limited registered with the Reserve Bank of India as a Non-Banking Finance Company
(NBFC) and is a Member of CDSL.

R-ACE (Religare Advanced Client Engine). Below are 3 flavours of R-ACE accounts available to
the investors:

 R-ACE (Basic)

 R-ACE (Religare Advanced Client Engine) the basic online trading account
provided by Religare. Investor can trade and access their account information online and
over the phone as well. This account comes with a browser based online trading platform
and no additional software installation needed.

 R-ACE Lite (Advanced)

 R-ACE Lite is the advanced trading platform for the investor of Religare. This
trading account provides the entire feature of R-ACE (Basic) account. In addition it also
provides real-time streaming stock quotes and alerts. This trading platform is also browser
based and no software installation is needed.

 R-ACE Pro (Professional)

 As the name indicates this account is for high volume traders. Along with the
features from above 2 accounts, this account also comes with Trading Terminal software
which needs to install on your computer. This terminal directly connects the investor to stock
market and having all industry standard Treading terminal features including technical
charting (intra-day and EOD), multiple watch list, advanced hot-key functions for faster
trading, derivative chains, futures & options calculator etc.
  As in basic and advance account, trading is available online through internet and offline
though phone.

2 Brokerage and Account opening fees:

 Religare offers three kinds of accounts as above. Below are detail about fees and activation
Charges for each account:

 R-ACE:
Account activation charges Rs.299/-.
Minimum margin of Rs.5000/- required.

 R-ACE Lite:
Account activation charges Rs.499/-.
Minimum margin of Rs.5000/- required.

 R-ACE Pro:
Account activation charges Rs.999/-.
Minimum margin of Rs.10, 000/- required.

 Brokerage at Religare:

 On the basis of volume and frequency of trading, Religare provide different options for
brokerages. On the broader way they divided into three categories:

 Classic Account

 Intraday brokerage varies from 0.03% to 0.05%.

Delivery brokerage varies from 0.30% to 0.50%.
Derivatives brokerage varies from 0.3% to 0.5%.

 Classic Plus

 Fees: Rs 600
Validity Period 6 Months
Intraday brokerage varies from 0.03% to 0.05%.
Delivery brokerage varies from 0.30% to 0.50%.

 Freedom Account

 In this payment plan, investor has to pay a fix amount in advance for
Monthly (Rs 500), Quarterly (Rs.1400), Half-yearly (Rs 2500) or Annual
 Subscription (Rs 4000). This one time payment enable account holder to trade for
Rs. 3, 00,000 intraday & derivative trading and Rs. 40,000 of delivery based trading
for zero brokerage.

 Trump Account

 Trump account has four payment options, Trump Plus, Trump Super, Trump
Star and Trump Super Star plan.

 Trump Plus has annual subscription fees of Rs 2,500, Brokerage on Delivery Trades
is 0.25% and Brokerage on Intraday Trades & F&O Trades is 0.025%.
 Trump Super has annual subscription fees of Rs. 15,000, Brokerage on Delivery
Trades is 0.15% and Brokerage on Intraday Trades & F&O Trades is 0.015%.
 Trump Star has annual subscription fees of Rs. 50,000, Brokerage on Delivery
Trades is 0.10%, Brokerage on Intraday Trades is 0.01% and Brokerage on Future
Trades is 0.008%.
 Trump Super Star has annual subscription fees of Rs. 1,00,000, Brokerage on
Delivery Trades is 0.10% and Brokerage on Intraday Trades & F&O Trades is
0.005%.

Advantages of Religare:

 Religare gives interest on unutilized cash when investor is waiting to make next trade or
online investment.
 They provide intraday reports and historical charting.
 Varity of fee structure to fulfil need of different type of investors.

 HDFC Securities (HDFCsec) is Equity Trading Company of HDFC Bank. HDFC Securities
provide both online trading and trading on phone.
 The HDFC Securities trading account has a unique 3-in-1 feature that integrates your
HDFC Securities trading account with your existing HDFC bank savings account and
existing Demat account.
 Funds / shares are seamlessly moved from the linked Demat/Bank account to execute the
transactions.
 HDFCsec provides Cash-n-Carry on NSE and BSE, Day trading on both NSE and BSE,
Trade on Futures & Options on the NSE and Online IPO Investment.
Features on HDFC Securities online trading:

 Speed - Orders are placed electronically, so proceeds are available instantly

.
 Dedicated and Separate contact numbers - for trading over the phone as well as for
customer care.

 Safety and Security - HDFC Securities offer the highest level of security such as 128-bit
encryption technology.

 No manipulation - To prevent any mismanagement, we will send you an email confirmation,

the minute your order is executed.

 Seamless Transactions - By integrating your accounts, we ensure minimal waste of time

during movement of your funds and shares.

To do trade with HDFCsec:

Any Indian resident/non resident individual NRI (except for the US NRIs) or an Indian Corporate
can register with HDFCsec. However, to become a member, you will have to open savings/current
and demat accounts with HDFC Bank.

Brokerage and fees:

 Rs. 799/- (Including trading account, bank account and DP account with HDFC)
Please note: HDFC Bank savings account required a quarterly minimum balance of Rs.
2,500/-. If you already have saving account or DP account with HDFC, you could link them
with trading account.

 Indiabulls is India's leading Financial Services and Real Estate Company having presence
over 414 locations in more than 124 cities.

 Indiabulls Financial Services Ltd is listed on the National Stock Exchange, Bombay Stock
Exchange, Luxembourg Stock Exchange and London Stock Exchange.
Type of Account:

Power Indiabulls:

Power Indiabulls trading terminal is the most advanced new generation trading platform
with great speed. This trading terminal is built in JAVA.
Power Indiabulls is extremely reach in features including Live Streaming Quotes, Fast
Order Entry and execution, Tic by Tic Live Charts, Technical Analysis, Live News and
Alerts, Extensive Reports for Real-time Accounting.

Brokerage and fees:

 Account opening fees : Rs 1200/- (One time non-refundable) as below:

250/- Equity Trading Account opening charge
200/- Demat Account opening charge
750/- Software changes

Advantages of Indiabulls Equity Trading Account:

 Brokerage is less compare to other online trading companies.

 Provide trading terminal 'power bulls', a java based software. It's very fast in terms of speed
and execution.

 ICICIDirect (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.

 Trade In: BSE and NSE

Type of Account:

ICICIDirect offers 3 different online trading platforms to its customers:

Share Trading Account:

 Share Trading Account by ICICIDirect is primarily for buying and selling of stocks
in BSE and NSE.

 This account allows Cash Trading, Margin Trading, MarginPLUS 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.

Wise Investment Account:

 Along with stock trading and IPO investing in BSE and NSE, Wise Investment account also
provide options to invest in Mutual Funds and Bonds online.

 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.

 ICICIDirect.com website is the primary tool to invest in Mutual Funds, IPOs, Bonds and
stock trading.

Active Trader Account:

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 non-refundable)

Brokerage: ICICIDirect.com brokerage varies on volume of trade and inclusive of demats
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.

For Online Stock Trading with ICICI, investor needs to open 3 accounts...ICICI Bank Account,
ICICI Direct Trading Account and ICICI Demat Account (DP Account).
If you already have a bank account or demat account with ICICI, you could link it with new
ICICIDirect trading account.

DERIVATIVES:

FUTURES: Through ICICIdirect.com, you can now trade in index and stock futures on the NSE. In
futures trading, you take buy/sell positions in index or stock(s) contracts having a longer contract
period of up to 3 months.

Trading in FUTURES is simple! If, during the course of the contract life, the price moves in your
favour (i.e. rises in case you have a buy position or falls in case you have a sell position), you make
a profit.

Presently only selected stocks, which meet the criteria on liquidity and volume, have been enabled
for futures trading.

Calculate Index and Know your Margin are tools to help you in calculating your margin
requirements and also the index & stock price movements. The ICICIDIRECT UNIVERSITY on the
HOME page is a comprehensive guide on futures and options trading.

OPTIONS:

An option is a contract, which gives the buyer the right to buy or sell shares at a specific price, on
or before a specific date. For this, the buyer has to pay to the seller some money, which is called
premium. There is no obligation on the buyer to complete the transaction if the price is not
favourable to him.
To take the buy/sell position on index/stock options, you have to place certain % of order value as
margin. With options trading, you can leverage on your trading limit by taking buy/sell positions
much more than what you could have taken in cash segment.

The Buyer of a Call Option has the Right but not the Obligation to Purchase the Underlying Asset
at the specified strike price by paying a premium whereas the Seller of the Call has the obligation
of selling the Underlying Asset at the specified Strike price.

The Buyer of a Put Option has the Right but not the Obligation to Sell the Underlying Asset at the
specified strike price by paying a premium whereas the Seller of the Put has the obligation of
buying the Underlying Asset at the specified Strike price.

By paying lesser amount of premium, you can create positions under OPTIONS and take advantage
of more trading opportunities.

FIXED DEPOSITS: Low risk instruments such as Company Bonds, Fixed Deposit and
Government Schemes.

EQUITY: Trade with cash or through innovative services like Margin, Margin Plus.

INVESTMEN PLANNING: We can work you to assess your financial goals and recommended
steps to take to help in making them a reality.

MUTUAL FUNDS: Start an SIP or invest in a Top Rated mutual fund scheme.

LIFE INSURANCE: We can help you secure your future risk with range of Insurance Product.

GENERAL INSURANC: General Insurance products cover Health, Home, Motor and Travel.

LOANS: Get Home Loan, Car Loan or more.

Advantages of ICICIDirect:

 This is truly online trading environment.

 Trading is available in both BSE and NSE.

 General Insurance is also available from ICICI Lombard.

 Money from selling stock is available in ICICI bank account as soon as the ICICIDirect
receive it.
 Investment online in IPOs, Mutual Funds, GOI Bonds, and Postal Savings Schemes all from
one website.

 3-in-1 account integrates your banking broking and demat accounts. All accounts are from
ICICI and very well integrated.

 This feature makes ICICI the most interesting player in online trading facility. There is
absolutely no manual interfere require.

 Unlike most of the online trading companies in India which require transferring money to
the broker's pool or towards deposits, at ICICIDirect you can manage your own demat and
bank accounts through ICICIdirect.com.

Disadvantages of ICICIDirect:

 Getting access to ICICIDirect.com website during market session can be frustrating.

 ICICIDirect brokerage is high and not negotiable.
 Not all stocks are available under Margin Plus.
 QUESTIONNAIRE

1. Since when are you holding your Demat-Trading Account with Standard Chartered Wealth
Managers?
 Last 3 Months
 3-6 Months
 More than 6 Months
 Not remember

ANS1.

not Last 3
remember months
5% 20% Last 3 months
more than 6 3 – 6 months
months more than 6 months
40% 3 – 6 months not remember
35%
2. Reason for not Trading/Investing through Standard Chartered:
 Lack of Knowledge on Right Investment
 Lack of knowledge on the Product
 Issues with the Product
 Issues with the Brokerage Rate

ANS 2.
 4. Investment Pattern:
 Equities/Derivatives/Intraday Trading
 Mutual Funds
 Commodities
 Insurance
 Other
ANS3.

Equties
/derivatives/ Equties /derivatives/
other intraday intraday trading
10% trading mutual funds
19%
insurance
24% commodities

commodities mutual funds insurance

10% 37%
other
4. Mode of Investment:
 Online
 Offline
 Through Agents
 All

ANS4.

all online
26% 21%
online
offline

through through agents

agents all
offline
11%
42%
5. Do you have proper knowledge of the various product features and services provided by
Standard Chartered Wealth Managers?
 Yes
 No

ANS5.

60
yes, 45
50

40

30

20

10

0
yes no
Series1 45 55
6. Which is your most preferred investment need?
 Maximize returns
 Saving Tax
 Kids Planning
 Family Planning

ANS 6.

maximizing
returns
family
10%
planning maximizing returns
30% saving tax
saving tax
25%
kids planning
kids planning family planning
35%
SWOT Analysis OF Standard Chartered Group

STRENGTHS WEAKNESSES

 Strong Brand Image  Rigid Eligibility Criteria

 Dedicated sales team
 Value added services.  Weak Customer Relations
Management
 Centralized Structure
 High Average Quarterly
Balance
 Limited number of ATM‟s and
Branches. Poor network.

OPPORTUNITIES THREATS

 Large Untapped  Presence of very strong

Market. competitors.
 Distinguishable  Aggressive marketing by
product (like competitors.
Parivaar Account).  Various investment Schemes with
high returns.
 FINDINGS AND ANALYSIS

Ans1. From the total of surveyed 100 people who have account with Standard Chartered – Wealth
Managers less than 3 months are 20% respondents, while 35% is 3 – 6 months, other 40% of
respondents is having account more than 6 months and 5% of the respondents do not know.

Ans2. From surveyed 100 people the respondents who are not investing due to the reason of lack
of right investment are 30%, due to lack of knowledge of product are 35%, due to issues with the
product are 20% and due to issues with the brokerage rate are 15%.

Ans3. From the surveyed 100 respondents those who are investing in mutual funds are 38%, in
equities/ derivatives/ Intraday Trading are 19%, in Commodities are 10%, in Insurance are 24%, in
others are 10%.

Ans4. From the surveyed people most of the people around 42% people have an online A/c, 21% is
having offline A/c, and 11% is doing through agents while 26% is having all the facilities.

Ans5. From the surveyed respondent when I asked about the knowledge of the products and
services of Standard Chartered Wealth Managers 45% is having knowledge and 55% is do not
having knowledge.

Ans6. From the surveyed respondent there are maximum that is 10% people are wants to maximize
the returns, 25% do investment to save their money, 35% wants to do for kids planning and 30% do
investment for family planning.
 CONCLUSION

“Choosing the best will give you the best” it is rightly said.

As it can be seen that the investor has chosen the best of the option available by keeping all the
conditions and requirement in the mind. Before choosing the right avenue or before investing in
anything one must check all the available resources and requirements.

For any survey to be successful objectives need to be very clear.

Firstly objectives:

 Were set which give a sense of direction.

 It is that wealth management industry these days has become an important field of study.
 Wealth Management industry is seen growing at a fast pace.
 Investors prefer those options which give them better return with the safety of their
principal amount.
 From the analysis we can also check that the factors which affect the most are very
important for the making of new portfolio of the investor.
 Most of the investors having diversified investment portfolio and they invest according to
their belief but most of them having investment in insurance and more than 3 years for
investment.
 RECOMMENDATIONS

After doing the survey and analyzing the data some loopholes are identified that are:

 Wealth Management is beneficial to an individual who cannot invest a large sum from
his pockets.
 An individual who finds it difficult to invest in a single security may invest in different
avenue where in they can reap more profits.
 The involvement of an intermediary while investing in a different investment options is a
good approach.
 The investment in mutual funds is risk free compared to the investment of that in shares.
 With the launch of mutual funds even a middle class person is also benefited because it
is difficult for him to invest in different types of shares which are not affordable by
everyone.
 The asset management company must design the portfolio in such a way, to lessen the
risk and increase the returns.
 The asset management company must make sure to pay regular dividends to the
investors.
 Investor must find what the best stock to purchase is and when to exist.
 Investors must be aware about the company in which they are invested.
 The company should try to focus on retention of existing client as they are cheaper than
a new client.
 Aggressive strategy should be used for activating new clients.
 References should be asked to the existing client.
 People have still less knowledge about the wealth management services so by
advertisement awareness should be created.
REFRENCES:

Websites:

 www.economictimes.com

 www.google.co.in

 www.standardcharteredcapitalmarkets.co.in

 www.wikipedia.com

Books:

 The Indian Stock Market in Operation by Dr. J.N. Dhankhar

 Personal Finance – Turning Money into Wealth by Arthur J. Keown 23(4), 13-14.

 Bartholomew, D.J. & Knott, M. (1999). Latent variable models and factor analysis. Oxford:
Edward Arnold.

 Goodman, J (1992). Leveraging the customer database to your competitive advantage.

Direct Marketing, 55(8), 26-27.