Stock exchange:-

1
A stock exchange, share market or bourse is a corporation or mutual organization which provides
facilities for stock brokers and traders, to trade company stocks and other securities .Stock
exchanges also provide facilities for the issue redemption, as well as, other financial instruments
and capital events including the payment of income and dividends. The securities traded on a
stock exchange include: shares issued by companies, unit trusts and other pooled investment
products and bonds .To be able to trade a security on a certain stock exchange, it has to be listed.
Usually there is a central Location at least for recordkeeping, but trade is less and less linked to
such a physical place, as modern markets are electronic networks, which gives them advantages
of speed and cost of transactions. Trade on an exchange is by definition done in the primary
market and subsequent trading is done in the secondary market. Supply and demand in stock
markets is driven by various factors which, as in free markets, affect the price of stocks(see stock
valuation).There is usually no compulsion to issue stock via the stock exchange itself, nor must
stock be subsequently traded on the exchange. Such trading is said to be off exchange or over-
the-counter. This is the usually way that bonds are traded. Increasingly more and more stock
exchanges are part of a global market for securities.

THE ROLE OF THE STOCK EXCHANGE:-

 Raising capital for businesses:-
The stock exchange provides companies with the facility to raise capital for expansion
through selling shares to the investing public.

 Mobilizing savings for investment:-

When people draw their savings and invest in shares, it leads to a more rational allocation of
resources because funds, which could have been consumed, or kept in idle deposits with
banks are mobilized and redirected to promote business activity with benefits for several
economic growth and higher productivity levels.

 Facilitate company growth:-

Companies view acquisitions as an opportunity to expand product lines, increase distribution
channels, hedge against volatility, increase its market share, or acquire other necessary
business assets. A takeover bid or a merger agreement through the stock market is one of the
simplest and most common ways to company growing by acquisition or fusion.

 Redistribution of wealth:-
By giving a wide spectrum of people a chance to buy shares and therefore become part-
owners (shareholders) of profitable enterprises the stock market helps to reduce large income
inequalities .Both casual and professional stock investors through stock price rise and
dividends get a chance to share in the profits of promising business that were set up by other
people.

 Corporate governance:-

2
 By having a wide and varied scope of owners, companies generally tend to improve on their
management standards and efficiency in order to satisfy the demands of these shareholders
and the more stringent rules for public corporations by public stock exchange and the
government. Consequently, it is alleged that public companies (companies that are owned by
shareholders who are members of the general public and trade shares on public exchange)
tend to have better management records than privately-held companies (those companies
where shares are not publicly traded, often owned by the company founders and / or their
families and heirs, or otherwise by a small group of investors) . However, some well-
documented cases are known where it is alleged that their has been considerable slippage in
corporate governance on the part of some public companies.

 Creates investment opportunities for small investors:-

As opposed to their businesses that require huge capital outlay, investing in shares is open to
both the large and small stock investors because a person buys the number of shares they can
afford. Therefore the Stock Exchange provides an extra source of income to small savers.

 Government raises capital for development projects:-

Governments at various levels may decide to borrow money in order to finance infrastructure
projects such as sewage and water treatment works or housing estates by selling another
category of securities known as bonds .These bonds can be raised through the Stock Exchange
whereby members of the public buy them , thus loaning money to the government . The
issuance of such municipal bonds can obviate the need to directly tax the citizens in order to
finance development, although by securing such bonds with the full faith and credit of the
government instead of with collateral, the result is that the government must tax the citizens
or otherwise raise additional funds to make any regular coupon payments and refund the
principal when the bonds mature.

 Barometer of the economy:-

At the stock exchange, share prices rise and fall depending, largely, on market forces. Share
prices rise tend to rise or remain stable when companies and the economy in general show
signs of stability and growth .An economic recession, depression, or financial crisis could
eventually lead to a stock market crash. Therefore the movement of the general tend in the
economy .The listing requirements are the set of conditions imposed by a given stock
exchange upon companies that want to be listed on that exchange .Such conditions sometimes
include minimum number of shares outstanding, minimum market capitalization, and
minimum annual income.

INTRODUCTION TO THE COMPANY:-

3
COMPANY PROFILE:-

Reliance Money is promoted by Reliance Capital; one of India's leading and

fastest growing private sector financial services companies, ranking among the
top 3 private sector financial services and banking companies, in terms of net
worth. Reliance Capital is a part of the Reliance Anil Dhirubhai Ambani Group.

Thus, Reliance Money provides a comprehensive platform, offering an

investment avenue for a wide range of asset classes. Its endeavor is to change the
way India transacts in financial market and avails financial services. Reliance
Money offers a single window facility, enabling you to access amongst others,
Equities, Equity and Commodity derivatives, Offshore Investments, IPO’s,
Mutual Funds, Life Insurance and General Insurance products.

Advantages offered by Reliance money over other companies:

• Cost Effective
• Convenience
• Security
• Single Window for Multiple Products
• 3 in 1 Integrated Access
• Demat Account with Reliance Capital
• Other Services like research, live news from Reuter and Dow Jones, etc.

Reliance Capital

Reliance
Reliance Reliance
Reliance Reliance
Mutual fund
Money Consumer
General Insurance Life Insurance
Mutual Fund Finance

Some key steps of the company that are as…..

4
“Success is a journey, not a destination.” If we look for examples to prove this quote
then we can find many but there is none like that of Reliance Money. The company which is
today known as the largest financial service provider of India.

• Success sutras of Reliance Money:

The success story of the company is driven by 8 success sutras adopted by it namely trust,
integrity, dedication, commitment, enterprise, hard work and team play, learning and
innovation, empathy and humility. These are the values that bind success with Reliance
Money.

• Vision of Reliance Money:

To achieve & sustain market leadership, Reliance Money shall aim for complete customer
satisfaction, by combining its human and technological resources, to provide world class
quality services. In the process Reliance Money shall strive to meet and exceed customer's
satisfaction and set industry standards.

• Mission statement:
“Our mission is to be a leading and preferred service provider to our customers, and we aim to
achieve this leadership position by building an innovative, enterprising , and technology
driven organization which will set the highest standards of service and business ethics.”

PRODUCT OFFERING:-

5
Product Offering includes the number of variety available at Reliance money,
Udaipur. Which are provided to the customers as the alternatives to invest money
with the saving and growth purpose.

1. Trading Portal (with almost negligible brokerage )

• Equity Broking
• Commodity Broking
• Derivatives ( Futures & Options )
• Offshore Investments (Contract For Differences)
• D-Mat Account.

2. Financial Products
• Mutual Funds
• Life Insurance
o ULIP plan
o Term Plan
o Money Back Plan
• General Insurance
o Vehicle/Motor Insurance
o Health Insurance
o House insurance
• IPO’s
• NFOs

3. Value-Added Services
• Retirement Planning
• Financial Planning
• Tax Saving
• Children Future Planning

4. Credit Cards

5. Gold coins retailing

6
Equity

Reliance Money offers its clients competitively priced Equity broking, PMS and Portfolio
Advisory Services. Trading execution assistance provided to clients. In addition Reliance Money
provides independent and unbiased view on markets along with trading strategies and entry / exit
points for taking an informed decision.

Mutual Funds

A mutual fund is a professionally managed fund of collective investments that collects money
from many investors and puts it in stocks, bonds, short-term money market instruments, and/or
other securities.

Reliance Money offers dedicated research & expert advice on Mutual Funds. Mutual funds are
considered to have low risk factors owing to diversification of assets into various sectors and
scripts or instruments within.

A mutual fund is a common pool of money into which investors place their
contributions that are to be invested in accordance with a stated objective.
Then the ownership of the fund is just “joint” and “mutual”; the fund belongs
to all investors.

7
Insurance:-

Life-Insurance:-

Reliance Money assists its clients in choosing a customized plan which will secure the family’s
future and their expenses post-retirement. Clients can choose from different plans of almost all
Insurance Companies where they can invest their money. Clients can choose from products and
services that channelize their savings and protect their needs while guaranteeing security and
returns for life. A team of experts will suggest the best Insurance scheme which suits the client’s
requirement.

General Insurance:-

General Insurance is all about protecting against all kind of insurable risks. Reliance Money
assists you in areas of Health insurance, Travel insurance, Home insurance and Motor insurance.

FINANCIAL INFORMATION:-

The company which is today known as the largest financial service provider of India. Reliance
Capital has interests in asset management and mutual funds, life and general insurance, private
equity and proprietary investments, stock broking, depository services, distribution of financial
products, consumer finance and other activities in financial services. Reliance Mutual Fund is
India's no.1 Mutual Fund. Reliance Life Insurance is India's fastest growing life insurance
company and among the top 4 private sector insurers.

The Reliance – Anil Dhirubhai Ambani Group is among India’s top three private sector business
houses on all major financial parameters, with a market capitalization of Rs.325, 000 crores (US$
81 billion), net assets in excess of Rs.115,000 crores (US$ 29 billion), and net worth to the tune
of Rs.55,000 crores (US$ 14 billion) Reliance Money is a comprehensive electronic transaction
8
platform offering a wide range of asset classes. Its Endeavour is to change the way India transacts
in financial markets and avails financial services. Reliance Money is a single window, enabling
you to access, amongst others in Equities, Equity & Commodities Derivatives, Mutual Funds,
IPOs, Life & 8 General Insurance products, Offshore Investments, Money Transfer, Money
Changing and Credit Cards.

Reliance Money is the largest brokerage and distributor of financial products in India with more
than 2.5 million customers and the largest distribution network. Reliance Consumer finance has a
loan book of over Rs. 8,000 crores at the end of June 2008. Reliance Capital 16 has a net worth of
Rs.6,862 crores (US$ 1.6 billion) and total assets of Rs. 19,940 crores (US$ 4.6 billion) as of June
30, 2008 and over 26,000 employees. Money has increased its market share among private
financial companies to nearly Convenient & effective – Anytime & anywhere financial
transaction capability. Launched in April 2007. It provides the Flat fees system. It has 2.2 million
customers in 1 year of official launch. It has over 5,000 outlets across 700 towns/cities. Average
daily turnover – in excess of Rs 2,000 crores. Considering the entire life market, including the Rs.
12,890 crores booked by life insurance Corporation, Reliance life insurance market share works
out to around 6.25% .The life insurance market continuous to be dominated by LIC which has
about 67% share this only a marginal dip from its 73% share in end-July . These comparisons are
only for first year or new business premium.

Reliance Money, A Reliance Capital Limited company is the financial services division of the Rs
10'000 Crore Reliance Anil Dhirubhai Ambani Group. Reliance Money has over 22 lakhs
customers and more then 10'000 branches in around 5000 cities in India. Company is among the
largest broking and distribution house of financial products and having share of more then 3% of
total stock market volume at BSE & NSE.

The Reliance Money stock trading websites uses special security features 'Security Token',
which makes your online trading experience more secure without complexity. Stock Trading
through RelianceMoney.com is available for BSE and NSE stock exchanges. Offline trading is
also available through Reliance Money partners in more then 5000 city across India and through
phone by dialing 022-39886000.

CHAIRMAN'S PROFILE:-

9
Regarded as one of the foremost corporate leaders of contemporary India, Shri Anil Dhirubhai
Ambani is the chairman of all listed companies of the Reliance ADA Group, namely, Reliance
Communications, Reliance Capital, Reliance Energy, Reliance Natural Resources and Reliance
Power.He is also Chairman of the Board of Governors of Dhirubhai Ambani Institute of
Information and Communication Technology, Gandhi Nagar, Gujarat. Till recently, he also held
the post of Vice Chairman and Managing Director in Reliance Industries Limited (RIL), India's
largest private sector enterprise. Anil Dhirubhai Ambani joined Reliance in 1983 as Co-Chief
Executive Officer, and was centrally involved in every aspect of the company's management If
we look for examples to prove this quote then we can find many but there is none like that of
Reliance Money.

10
11
WHAT IS A DEMAT ACCOUNT:-

DEMAT REFERS TO A DEMATERIALISED ACCOUNT.

Just as you have to open an account with a bank if you want to save your money, make cheque
payments etc, you need to open a demat account if you want to buy or sell stocks. So it is just like
a bank account where actual money is replaced by shares. You have to approach the DPs
(remember, they are like bank branches), to open your demat account.

Let's say your portfolio of shares looks like this: 40 of Infosys, 25 of Wipro, 35 of HLL and 100
of ACC.

All these will show in your demat account.

So you don't have to possess any physical certificates showing that you own these shares. They
are all held electronically in your account.

As you buy and sell the shares, they are adjusted in your account.

Just like a bank passbook or statement, the DP will provide you with periodic statements of
holdings and transactions.

NEED OR IMPORTANCE OF DEMAT ACCOUNT:-

Nowadays, 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.

Procedure for getting Demat account:-

1. Fill demat request form (DRF) (obtained from a depository participant or DP with whom
your depository account is opened).

2. Deface the share certificate(s) you want to dematerialize by writing across Surrendered for
dematerialization.

3. Submit the DRF & share certificate(s) to DP. DP would forward them to the issuer / their
R&T Agent.

4. After dematerialization, your depository account with your DP, would be credited with the
dematerialized securities.

12
What are the documents require to open a DP/ Demat A/c ?
 Proof of identity (copy of any one proof):
1) Passport
2) Voter ID Card
3) Driving license
4) PAN card with photograph
5) Identity card/document with applicant's photo, issued by Central/State government
and its departments.

 Proof of address (copy of any one proof):

1) Ration card
2) Passport
3) Voter ID card
4) Driving license
5) Bank passbook
6) Verified copies of electricity bills/ residence telephone bills (not more than two months
old)/Leave and license agreement/ agreement for sale.
7) Identity card/document with address, issued by Central/State government and its
departments.

 2 Passport-size photograph
 Nominee details
Name of nominee.
Date of birth
Nominee’s parent’s name
Occupation
Contact number

 Copy of PAN card

one must remember to take original documents to the DP for verification. Your DP will
carry-out "in-person verification" of account holder(s) at the time of opening your account.

ADVANTAGES OF DEMAT ACCOUNT:-

13
 • A Demat Account offers a secure and convenient way to keep track of shares .

• It provides the immediate transfer of securities.

• On transfer of security there is no stamp duty.

• Cost reduction on transaction.

• Nomination facility is available.

• Reduction in paperwork involved in transfer of securities.

• Elimination of risks associated with physical certificates such as bad delivery, fake
securities, delays, thefts etc.

• Any change in address recorded with DP gets registered electronically with all companies
in which investor holds securities 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 account of shares, arising out of

bonus/split/consolidation/merger etc.

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

• You will receive the statement of account of your transactions/holdings periodically

RELIANCE DEMAT ACCOUNTS:-

14
Overview of Demat Account:- 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 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.

Procedure:-1. Fill demats request form (DRF) (obtained from a depository participant or DP

with whom your depository account is opened).

2. Deface the share certificate(s) you want to dematerialize by writing across Surrendered for

dematerialization.

3. Submit the DRF & share certificate(s) to DP. DP would forward them to the issuer / their R&T

Agent

4. After dematerialization, your depository account with your DP, would be credited with the

dematerialized securities.

Reliance Money Demat Account Services:-

15
Reliance Money – 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 & commodity derivatives, IPO’s 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 reliance money. Simply open a reliance

money account and enjoy the convenience of handling all your key financial transactions through

this one window.

Benefits of having a reliance money account:-

•IT’S COST EFFECTIVE:-

You pay comparatively lower transaction fees. As an introductory offer, we invite you to pay a

flat fee of just Rs. 500/- and 750/- and transact through reliance money. This fee is valid for two

months or a specified transaction value.

The table below for details.:-

Limit card Validity Delivery Non delivery

500rs 12months 2lakh 2lakh
1000rs 2months 10lakh 90lakh
2500rs 6months 30lakh 2.7crore
5000rs 12months 70lakh 6.3crore
10000rs 12months 2crore 18crore

Reliance Money Brokerage and fees

Reliance Money, the financial services division of Anil Dhirubhai Ambani Group-promoted
Reliance Capital, is bringing to the market pre-paid cards in denominations of Rs500, Rs1000,Rs
2500,Rs 5000,Rs 10000.

16
These cards would offer brokerage at one-third of the rate being charged by institutional and
individual brokerage houses. Sample this.

• For a pre-paid card worth Rs500, an investor can trade up to Rs2 lakh in both non delivery
and delivery option.
• The Rs1000 worth pre-paid card, total trading limit would reach Rs 1 crore, of which Rs
90lakhs is for the non delivery segment and Rs10 lakh for delivery-based activities.
• For Rs2500 pre-paid card, total trading limit is fixed at Rs3 crore, of which Rs2.70crore is
for the non delivery option and Rs 30 lakhs for delivery option.
• For the Rs 5000 pre-paid card, the total trading limit is Rs 7 crore, out of which Rs
6.30crore is for non delivery option and Rs 70 lakhs for delivery option.
• For the Rs.10000 pre paid card, the total trading limit is Rs 20crore,out of which Rs 18
crore is for non delivery option and Rs 2 crore for delivery option.

Reliance Money offers most competitive brokerage rates - 0.01paise for intraday trades and
0.05paise for delivery trades.

Target low level of retail penetration in India - less than 3 percent of household financing savings
makes it into equity markets Reliance Money consumers can trade in equities, commodities and
offshore Investments , IPO’s, Mutual Funds, Insurance, Money transfer and Money Changing -
all through single window, both offline and online.
Reliance Money has already tied-up with CMC Capital Plc UK to offer offshore Investment
products to Indian consumers as per guidelines.
Reliance Money offers lowest brokerage rates in today's online stock trading industry in India.
The brokerages are as low as 0.075% for delivery based trading and 0.02 for now delivery. For
more detail about Reliance Money’s brokerage and fees visit the below section of this webpage.

Reliance Money Demat Account Charges:

Fee Head DP Charges

Annual Services Charges - For Individuals / HUFs / Trust Rs. 200/-

Annual Services Charges - For NRIs / Foreign Nationals, Corporate / Others Rs. 1000/-

17
Transaction Charges - SELL (Market & Off Market)
Rs. 25/-
For instructions given in physical form.

Transaction Charges - SELL (Market & Off Market)

For instructions received through Internet/ online trading through Reliance Rs. 15/-
Securities Ltd.

• ITS OFFERS SINGLE –

Through reliance money’s associates, you can transact in equity, equity and commodities

derivatives, offshore investments mutual funds, IPO’s life insurance, general insurance, money

transfer, money changing and credit cards, amongst others.

•ITS CONVENIENT:-

You can access reliance money’s services through

•The internet

•Transaction kiosks

•The phone (calls & transact)

•Our all – India network of associates On an assisted trade (through the call centre or our network

of associates) a charge of Rs 15 per executed trade applicable.

•ITS SAFE: - Your account is safeguarded with a unique security number that changes every 32

seconds. This number works as a dynamics password to keep your account extra safe.

18
• You get your own demat account with reliance capital at an annual fee of just Rs. 50/-.

• Its provides you a demat account.Its provides you a 3-in-1 facility

• You can access your banking, trading and demat account through a single window and transfer

funds across accounts seamlessly.

• It provide you value- added services At www.reliancemoney.com,

• Reliable research, including views of external experts with an enviable track record

• Live news updates from Reuters and Dow Jones

• CEO’s / 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

Convenient trading/investments –

Kiosks (similar to ATM’s):- Reliance Money Provide the kiosks (similar to ATM’s) Facilities,

to their customer through which the customers can trade on available kiosks at the particular

19
Branch of Reliance Money. The company are going to open these kiosks in the market as the

ATM’s of the Banks.

Reliance Money provides 3 different trading platforms for equity trading:

 Insta Trade

 Fast Trade

 Easy trade

Points To Remember:-

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

20
2. Only securities registered in the name of the account holder can be dematerialized.

3. 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.

4. Dematerialization would be done only when the issuer / their R&T Agent is satisfied of

genuineness of securities & ownership status.

5. All the joint holders should sign the DRF.

6. The pattern of holding in the DRF should match the pattern of holding on the share

certificate & the pattern in which account is opened.

7. 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 afteror 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.

8. 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.

9. In case there is any problem in processing the DRF, contact your DP and if he cannot

resolve the problem you may contact NSDL. (national securities and Depository ltd.)

Benefits:- Demat account has become a necessity for all categories of investors for the

following reasons/ benefits:

21
• SEBI has made it compulsory for trades in almost all scrip’s 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 effected 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.

22
How reliance money scored over others?

1. Two way authentication:

23
 Reliance offers its customers with a token (an electronic gadget) that
generates a password, which are a third level of security in addition to the
customer log in and a password provided. The password generated by the
token is valid only for a period of 20 seconds. If the web page expires, for
the fresh login, a new password generated by the token has to be keyed in
by the customer.

2. Lowest brokerage:

Reliance offers the lowest brokerage of 1 paisa which is very less with
respect to the other DPs in the market.

3. User friendly software:

The portal offered is very easy to understand and use.

4. Forex and offshore investment:

Reliance provides the offshore facility which no other AMC is providing in

the market.

5. Better research and news:

Reliance offers news from the DOW JONES and REUTERS.

Seeking to bring share trading closer to consumers just like ATMs, Reliance
Capital's stock brokerage arm Reliance Money launched Internet trading services
through web-enabled retail kiosks.

COMPETITORS OF RELIANCE MONEY:

24
Reliance Money serves a vast range of all financial products like advisory services, Mutual funds,
Demat Accounts, Insurances, Gold etc, so all the companies who offer these services are the
competitors of the Reliance Money. There are many competitors for Reliance Money on this basis
and almost all of them offer the services which Reliance Money offers.

Few Major competitors are:

• India bulls

• Anand Rathi securities

• ICICI Securities.
• Sharekhan
• Kotak Securities
• India Infoline
• HDFC

MY WORK AT RELIANCE MONEY:-

I was supposed to operate from reliance money AMER branch. We were made
aware about all the products Reliance Money was providing with a more stress on
their core product i.e. Demat account, Mutual funds etc.

TARGETS:-
• 3Demat Accounts
• 3SIP or Mutual Fund worth Rs15, 000minimum. (each of 5000rs)
• Life Insurance Premium worth Rs 18000 to 20,000

I was supposed to use the database provided by the company to make cold
calls or by directly meeting people to get new leads.

The questionnaire used is attached in appendix A.1

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.

25
 • 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.

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 Reliance Money Being a Private company and a new
entrant may be able to sustain or not.

• Insurance means LIC for people.

• Past experience, word of mouth.

• Misguidance by agents.

• People do not want insurance products.

• Lack of knowledge and awareness about general and life insurance.

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

• People relate the problems of mobile phones of Reliance Communication

with Reliance Money.

• High opening charges of reliance demat account.

• Confusion of customers regarding the brokerage and other charges of

demat account.

• New investors have fear of trading.

26
Customer Acquisition Process:-

• Educate the prospects on the products and services.

• Customize the approach to each of the different customers involved in the

sales process.

• Establish a knowledge base for sales people, resellers and partners.

• Ramp up the new salespeople more quickly and keep them on road.

• Track the prospects as they move through the sales process.

• Harvest other types of information from your market to help the company
close

business more quickly. The data of the prospects can be used for research
and development purpose.

• Enabling the consistent flow of information to the customer and

encouraging feedback from them.

• Helping the customers do the Financial Planning for future.

27
28
Research Methodology:-

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.

TITLE OF THE STUDY:-

The title of my study is completely based on Demat account of Reliance company.

OBJECTIVE OF RESEARCH:-

• To find the market potential and market penetration of Reliance Money

product offerings in Udaipur.

• 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, Indiainfoline, Religare, Alan kit,
Unicon.

• To expand the market penetration of Reliance money.

• To provide pricing strategy of competitors to fight cut throat competition.

• To increase the product awareness of Reliance money as single window

shop for investment solutions.

DATA COLLECTION METHOD:-

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 Data collection process creates the need for follow up procedures, which will become a base for
all other treatments like analytical aspects of the research unless otherwise the whole research
work is merely become waste.

We have chosen personal interviewing & self administered questionnaire for collection of data.

 PERSONAL INTERVIEW METHOD:-

A personal interview is a two way process initiated by an interviewer to obtain
information from the participant, both participant and interviewer are strangers to each
other .The greatest value lies in the depth of information and detail that can be secured.
The Interviewer can easily grab the necessary information face to face from the
interviewee regarding the product line on which research is going.

 SELF ADMINISTERED QUESTIONNAIRE:-

We have designed a questionnaire related to our objectives of research study in a
sophisticated and in an understandable manner and also in a proper sequence so that the
participant can go through in a pittance of time and answer it quickly without any
hesitation. The participant gives us the relevant information along with filling up of
questionnaires without any help of is the basic advantage of self administered
questionnaire. This questionnaire includes Open ended as well as close ended questions
which helps us in getting the relevant information for Data Analysis. Special care has been
taken to avoid Double Barreled Questions.

SOURCES OF DATA:-

Data collected from different sources is termed as primary data and secondary data.

Primary data:-

Generally we collected this primary data by conducting the personal interviews as well by using
self administered questionnaires, primary data collection is one of the most important bases for
further analysis. Basically this type of data is collected directly from participant .Without primary
data no research would be completed.

DATA SOURCES:-

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Research is totally based on primary data. Secondary data can be used only for the Reference.
Research has been done by primary data collection, and primary data has been collected by
interacting with various people.

SAMPLING:-

 Sampling procedure:-

The sample is selected in a random way, irrespective of them being investor or not or availing the
services or not. It was collected through personal visits to the known persons, by formal and
informal talks and through filling up the questionnaire prepared.

 Sample size:-

The sample size of my project is limited to 20 only.

TYPES OF RESEARCH:- Descriptive Research

STEPS IN RESEARCH PROCESS:-

SCOPE OF THE
STUDY

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 • The research was carried out in UDAIPUR city only. I have visited people randomly
nearby my locality, different shops, small retailers etc.

• The scope of the study refers to the job that to know about the activities of the
organization. The study means that the analysis of the products of the company on which
he/she has to focus.

• During the summer training the volunteer need to find out the corporate strategies of the
running company and the mile stone which the company has covered during its journey.
In the summer training, it is necessary for the student that he /she involve with the
experience guys to get the knowledge about the company. That is how the company has
got the success, Or if it is going in the loss, why.

• In my training period I have found that the reliance group is the biggest group in Indian
companies. I felt that I can learn the more in the Reliance Money.

• Reliance Money Lmtd. is the part of the Reliance Capital Limited which is a growing
company in the financial products.

• Reliance Anil Dhirubhai Ambani group is also deals in communication, energy, natural
resources, media, and entertainment, healthcare and infrastructure.

LIMITATIONS OF STUDY:-

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

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33
Strengths:- Weakness:-

• Co-operative and • Unpredictable sensex

Experienced branch
managers • Inexperienced Staff

• Good data base • Lack of advertisement so most of

consumers are not aware of Reliance
• Reliance brand Demat.
• Low pricing • Lack of Loyal clientage

• Unpredictable sensex • Developing product

• Slow customer services

Irresponsiveness

Opportunities:- Threats:-

• Untapped market • Reach

• Increased spending power • Stiff competition from existing players

in the market
• Changing mind of
customers

On the basis of above SWOT analysis and study of the available data I have come to the
following conclusions:

34
 ANALYSIS AND DATA INTERPRETATION
Q1. In which of these financial instruments do you invest into?

(A)Shares (B) Mutual Funds (C) Bonds

(D)Derivatives (E) In a & b (F) In a, b & c

DATA INTERPRETATION: - In the survey when I asked to the customer

about their sources of investment I found that 65% of investors or customers
invest their savings in the combination of shares only. 20% of investors are
satisfied by investing in mutual funds & shares both. Similarly 10% & 5% are
interested in mutual funds & in the combination of shares, mutual funds, & bonds
respectively. Diversification of the investment depends upon the market
condition. But in today’s market condition no one is interested to invest in bonds
& derivatives only.

35
Q2. Which banking demat account offered you a large number of
services?

(a) Reliance money (b) HDFC

(c) ICICI (d) Kotak Mahindra

DATA INTERPRETATION: - When I asked to the customers regarding the

services provided by various companies such as:- Reliance money, HDFC, ICICI,
& Kotak mahindra. I found, According to the 60% of investors or customers
kotak mahindra gave them a large number of services. After it 25% of the total
sample is in favour of ICICI Company. And HDFC & Reliance money have only
10% & 5% support of the customers.

36
Q3. Which bank provides you a better e-mail facility?

(a) Reliance money (b) HDFC

(c) ICICI (d) Kotak Mahindra

bettere -mail facility

Reliancemoney HDFC ICICI Kotakmahindra

5%

25%
25%

45%

DATA INTERPRETATION:- Through survey I found that 45% of the

investors agree that the best E-mail facility is provided by the ICICI, after it
25%-25% of the population is in favour of HDFC and Kotak mahindra, and 5% of
the investors are in favour of E-mail facility of the Reliance money.

Q4. Are you aware of online share trading?

(a) Yes (b) No

37
 Awareofonlinetrading
Yes NO

45%

55%

DATA INTERPRETATION:- Through survey I came to know that only 55%

of the population is aware of online trading, whereas 45 % is not.

Q5. Which company provides you a large no of products?

(a) Reliance money (b) HDFC

(c) ICICI (d) Kotak Mahindra

38
DATA INTERPRETATION:- Through survey I found that 50% of the
investors agree that large number of products are provided by the ICICI
company to its customers, after this 20% of population is with HDFC and other
20% of population is in favour of Kotak Mahindra and the rest 10% of the
population is with Reliance Money.

Q6. Heard about reliance money?

(a) Yes (b) No

39
 awareof reliancemoneybrand
Yes No

36%

64%

DATA INTERPRETATION:- During the survey when I asked to the

investors, I found that 64% of the total population is well aware about the
Reliance Money brand, where as 36% of the population is not.

Q7. Do you know about the facilities provided by reliance money?

( a)Yes (b)No

40
DATA INTERPRETATION:- Through survey I found that 50% of the
investors and customers are aware about the services provided by the Reliance
money, where as rest of total population is not completely well aware about the
services given by reliance money to their customers.

Q8. With which company do you have your demat account?

(a) Reliance money (b) HDFC (c) ICICI

(d) Kotak Mahindra (e)others

41
 Demataccount
RELIANCE MONEY HDFC ICICI Kotakmahindra Others

5%
15%
20%

25%

35%

DATA INTERPRETATION:- Through survey when I asked to different

customers or users of DEMAT account I came to know that 35% of population
have their DEMAT account with ICICI, 25% of investors have it with HDFC,
20% of population have their DEMAT account in Kotak mahindra, 15% with
Reliance Money and 5% have it with other company’s.

Q9. Are you currently satisfied with your share trading company?

(a) Yes (b) No

42
 sarisfactionwitha/c
Yes No

5%

95%

DATA INTERPRETATION:- In survey I found that 95 % of the investors

or population is fully satisfied with their current share trading company and its
services, whereas 5% of the population is dissatisfied with their current trading
company.

Q10. What percentage of your earnings do you invest in share trading?

Up to 10% Up to 25% Up to 50% Above 50%

30% 70% 0% 0%

43
DATA INTERPRETATION:- Through survey, when I asked to the investors
that how much of their earnings they invest. I found that 70% of the investors
invest up to 25% of their earning in share trading. Where as 30% of the investors
say that they invest only up to 10% of their earnings in share trading.

Q11. How often do you trade?

Daily Weekly monthly Yearly

45% 25% 20% 10%

44
DATA INTERPRETATION:- Through survey I found that most of the
population taken into survey trade often daily, that is 45%. Where as 25% of the
investors trade weekly, 20% trade monthly and 10% of the investors trade often
once in year.

45
46
 KEY ISSUES AND CONCLUSIONS
HUGE POTENTIAL:
• All though relatively new entrants in the market, Reliance is slowly but surely gaining a
strong hold because it is finally able to grasp the investment climate in Delhi. Secondly
the branch managers at all the branches are very knowledgeable with a lot of experience in
the financial markets so under their leadership can definitely expand its base

• The entire workforce consists of mostly youngsters, which means they can be encouraged
and motivated to do good work because they have a long way to go and most of them are
eager to climb the ladder.

• Right now Reliance is at its nascent stage and will surely grab the major market under its
belt very soon like in other fields.
Huge investments taking place:
• The Stock Market has been very buoyant until now especially in the past 3 years. This
particular trend is very favorable because a soaring SENSEX means higher returns, which
encourages the investors to invest their money in the market. Although in the past 3
months the market has shown very unpredictable trend and has already lost over 1000
points.

• So in order to make the best the only thing required is to recruit more field staff who
should be trained in a proper way to get better results.

• In case of insurance, it requires push selling because people always associate it with
emergencies and unpleasant situations like death and they don’t want to think about such
situation let alone prepare for them, which means it requires a lot of conviction on part of
the executives.

Large untapped market:

• People have just opened up to the idea of ULIPs because till now they knew only two
kinds of insurance plans, endowment and term plans so the concept of high returns with
protection is very new to them and slowly and slowly these are becoming popular so there
is a huge market waiting to be tapped.

• In the past few years there has been a tremendous inflow of funds in the Indian market
which has lead to the sky rocketing SENSEX. In fact there has been a tremendous
response from the investors not only in shares but mutual funds as well. The Rs5700Cr
infused in the market through the Reliance Equity mutual Funds is an example of the
growing trust of investors who earlier shied from such investments due to stock market
fiascos like the Harshad Mehta scam or the US64 disaster in which investors lost huge
amounts of money as well as their trust in financial instruments.

47
 • With the FDI limits being relaxed, a lot of avenues will open up in the insurance sector
and insurance companies are expected to come up with new plans with a great deal of
customization and flexibility.

Reliance Demat Account is better than other Demat account. Reliance Money 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 can be concluded by that Reliance Money is still growing industry in India

Reliance Demat account have less brokerage rate.

It provide a security with the use of special type of key.

RECOMMENDATION:-

The most vital problem spotted is of ignorance. Investors should be made aware of the benefits.
Nobody will invest until and unless he is fully convinced. Investors should be made to realize that
ignorance is no longer bliss and what they are losing by not investing.

• After sales services and follow up calls are important for getting new references so trained
telesales should be appointed for this purpose whose sole work should be to make feedback
calls.

• While interacting with the investors I found that most of the customers are unaware about
the Mutual fund. Some of the people look upon mutual funds and equity trading as
gambling. Thus a mutual fund awareness program can help to increase the penetration of
mutual funds in the market.

• Reliance should declare in black ink that they will charge just 1 paisa per transaction.
People tend to think that there must be some hidden charges.

• Rs750 account opening charges are too high when targeting a corporate so the company

should be flexible on this amount.

• Reliance should provide periodic training for updating the product knowledge of various
financial advisors.

48
• Company should have a scheme of rewards and recognition to employees and the field
persons to boost their motivation.
• There must be proper advertisement of the company by various media like Exhibition, Press
releases, Newspaper, and Television etc.

• Though majority of the customer were satisfied with the existing function but the
organization should use some marketing strategies such as discount scheme on amount of
transaction made in a month by the regular customer. So it will enable the customer to retain
in the organization and to attract new customer.

• There should be regular training programme like Workshops, Seminars, and Meetings etc.
for the sake of development of the organization and also for the development of the
employees’ performance simultaneously.

• There should be a good research team who has to survey the market an d know about the
client’s satisfaction level and also found out the potential customer.

• There must be a good infrastructure of the company to get the attention of the public and
the office should be at residential area so that customer gets the service easily.

49
50
 Abbreviations

DEMAT ACCONUT:- Dematerialized Account

DP:- Depository Participant

ULIP:- Unit linked insurance plan

NSDL:- National Securities And Depository Limited

DRF:- Demat Request Form

PAN:- Permanent Account Number

IPO’S:- Initial public offers

SEBI:- Securities And Exchange Board Of India.

FDI:- Foreign Direct Investment

51
 QUESTIONNAIRE

NAME:-

GENDER:-

OCCUPATION:-

Q.1. In which of these financial instruments do you invest into?

(a) Shares

(b) Mutual funds

(c) Bonds

(d) Derivatives

Q.2. Which banking Demat account offered you a large no. of services?

(a) Reliance money

(b) HDFC

(c) ICICI

(d) Kotak mahindra

Q.3. Which bank provides you a better email facility?

(a) Reliance money

(b) HDFC

(c) ICICI

(d) Kotak Mahindra

Q.4. Are you aware of online Share trading?

(a) Yes

(b) No

52
Q.5. Which company provides you a large number of product?
(a) Reliance Money

(b) HDFC

(c) ICICI

(d) Kotak Mahindra

Q6. Heard about reliance money?

(a) Yes

(b) No

Q.7. Do you know about the facilities provided by Reliance money?

(a) Yes

(b) No

Q.8. With which company do you have your DEMAT account?

(a) Reliance Money

(b) HDFC

(c) ICICI

(d) Kotak Mahindra

(e) Others

Q.9. Are you currently satisfied with your share trading company?

(a) Yes

(b) No

Q.10. What percentage of your earnings do you invest in share trading?

(a) Up to 10%

(b) Up to 25%

(c) Up to 50%

(d) Above 50%

53
Q.11. How often do you trade?

(a) Daily

(b) Weekly

(c) Monthly

(d) Yearly

Q.12. Any suggestions:-

___________________________________________________________________
_
___________________________________________________________________
_
___________________________________________________________________
_.

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 BIBLIOGRAPHY

www.google.com
www.reliancecapital.com
www.yahoo.com
www.scribd.com
www.iloveindia.com

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