Transcript of "Comparitive analysis of stock broking firms"
Theme Paper<br />Report <br />on<br />Comparative analysis of various stock broking companies on the basis of activation charges, brokerage, and services<br />with respect to<br /> ANGEL BROKING<br />Submitted to <br />Dr. Subhash Sharma<br />in partial fulfillment of the requirement for the Theme Paper during the Post Graduate Program in Management.<br />On<br />10th May, 2010<br />Indian Business Academy<br />Submitted By<br />Bhavya Kalra<br />FPB0911/024<br />Section-A<br />Dean’s Certificate <br />This is to certify that, Ms. Bhavya Kalra is a bonafide student of Indian Business Academy, Bangalore and is presently pursuing a Post Graduate Program in Management.<br />Under my guidance, she has submitted her project titled “Comparative analysis of various stock broking companies on the basis of activation charges, brokerage, and services with respect to Angel Broking”, in partial fulfillment of the requirement for the Theme Paper during the Post Graduate Program in Management. <br />This report has not been previously submitted as part of another degree or Diploma of another business school or university.<br />______________________<br />(Dr. Subhash Sharma )<br />Dean <br />Indian Business Academy <br />Lakshmipura, Thataguni post <br />Kanakapura main road <br /> Bangalore 560 062<br />Mentor’s Certificate <br />This is to certify that, Ms. Bhavya Kalra is a bonafide student of Indian Business Academy, Bangalore and is presently pursuing a Post Graduate Program in Management. <br />Under my guidance, she has submitted her project titled “Comparative analysis of various stock broking companies on the basis of activation charges, brokerage, and services with respect to Angel Broking”, in partial fulfillment of the requirement for the Theme Paper during the Post Graduate Program in Management. <br />This report has not been previously submitted as part of another degree or Diploma of another business school or university. <br /> <br />_____________<br /> (Prof. K.R.Nath)<br />Faculty <br />Indian Business Academy <br />Lakshmipura, Thataguni post <br />Kanakapura main road <br /> Bangalore 560 062<br />Declaration <br />I Bhavya Kalra, the undersigned, a student of Indian Business Academy, Bangalore, declare that this project report titled “Comparative analysis of various stock broking companies on the basis of activation charges, brokerage, and services with respect to Angel Broking” is submitted in partial fulfillment of requirement for the Theme Paper during the Post Graduation Program in Management. <br />This is my original work and has not been previously submitted as a part of any other degree or diploma of another Business school or University. <br />The findings and conclusions of this report are based on my personal study and experience.<br />____________<br />(Bhavya Kalra)<br />FPB0911/024<br />Section-A<br />PGPM 2009-11 <br />INDIAN BUSINESS ACADEMY <br />Lakshmipura, Thataguni Post <br />Kanakpura Main Road, <br />Bangalore- 560062 <br />Acknowledgement<br />I sincerely acknowledge the help received from various persons and sources in collecting data’s and information in completing this satisfactory Project.<br />The project report entitled “Comparative analysis of various stock broking companies on the basis of activation charges, brokerage, and services with respect to Angel Broking”<br />The entire project report owes its credit for the chlorite guidance and encouragement rendered by my mentor Prof. K.R.Nath. I record my sincere thanks to him with deep gratitude.<br />I also take the opportunity to acknowledge my sincere and deep sense of gratitude to the faculty Prof. Ramesh whose perception and sagacity is always opened for us. <br />I would also like to thank our Dean Dr. Subhash Sharma for giving me an opportunity to do this project, and for their valuable guidance in successful completion of project.<br />Last but not least I would like to thank all the faculties of institute, and friends for their kind co-operation throughout the project.<br />Executive Summary<br />There is growing competition between brokerage firms in post reform India. For investor it is always difficult to decide which brokerage firm to choose. <br />Research was carried out to find which brokerage house people prefer and to figure out what people prefer while investing in stock market. <br />This research suggest that people are reluctant while investing in stock and commodity market due to lack of knowledge.<br />Main purpose of investment is returns and liquidity, commodity market is less preferred by investors due to lack of awareness. The major findings of this study are that people are interested to invest in stock market but they lack knowledge.<br />Through this research I came to know what are positive and strong points of the Angel broking ltd., on the basis of which SWAN analysis(Strengths, weakness, achievements & next step) is done.<br />TABLE OF CONTENTS<br /> <br /><ul><li>Sr. No.ParticularsPg. No.1Dean’s Certificate22Mentor’s Certificate33Declaration44Acknowledgement55Executive Summary66Objectives87Research Methodology98Industry Profile109Company ProfileIntroductionVision, Business Policy, Quality Assurance Policy, CRM Policy of companyServices provided by the company1110Different Players in Industry1811Activation & Other charges of different companies2312Data Analysis3013Findings3414SWAN Analysis3515Conclusion3616Annexure3717Bibliography39</li></ul>OBJECTIVE <br /> <br />The objective of the study is briefly discussed below:<br /><ul><li>To make a comparative study to know the different companies activation charges, inclusion of services and comparison with SEBI approval. </li></ul>To understand, analyze the rules and regulation of SEBI w.r.t. investment banking<br />To know the prescribed brokerage visa vis rates collected by brokerage companies <br />To know about the services provided by brokerage firms to its customers related to online trading<br />To know the modes of operations & limitation on timing & related areas<br />To compare the convenience & ease of operation between online & offline trading <br />To get the knowledge of various Mutual Funds of different AMCs as well as their load charges i.e. entry load and exit load<br />Research Methodology<br /> Sampling design<br />Types of sampling<br /><ul><li>Random Sampling</li></ul>Research Approach<br /><ul><li>Descriptive approach</li></ul>Techniques to be used in research approach<br /><ul><li>Survey and interview</li></ul>Sampling Unit <br />Questionnaire<br />In this project Questionnaire is used as the research instrument. These questionnaires include Close Ended as well as Open Ended questions. The questionnaire is attached at the end of Annexure. <br />Sample Size Determination<br />Let desired level of precision = <br />Confidence level = 95%<br />z value associated with the confidence level = 1.96<br />Suppose 85 % of the people agree to provide information for survey. <br />Thus, value of p = 85<br />Thus, value of q = 100-p = 15<br />Therefore, sample size = n= z2(p*q)/e2<br /> n = (1.96)2(85*15)/52<br /> = 4898.04/25<br /> n = 195.92 = 200 approx.<br />Data collection<br />Primary Data Collection<br /><ul><li>Structured questionnaire for the customer.</li></ul>Secondary data collection<br /><ul><li>Journals
News papers</li></ul>.PRIMARY SOURCE:<br />The data required for this stage was regarding the detail study of existing activation charges, brokerage rates, and services of various competitors of the ANGEL STOCK BROKING. And to know the behavior and perception of the customers towards the products and services provided by the ANGEL STOCK BROKING. The data have been collected in the form of questionnaires that was prepared. Though the primary source was not enough for the study but it did give some accurate conclusions.<br />The questionnaire is attached at the end as Annexure.<br />The above questions were really helpful in the conclusion part of the study. Some customers were very cooperative but some didn’t even bother to give a look. Overall, the study was a success as far as primary source was concerned.<br />SECONDARY SOURCE:<br />The secondary data was collected with the help of various books, websites, bank journals, broachers and employees of the bank. The data collected from the websites and books was good enough to be included in the study analyzed and concluded but the data got from the employees of the companies was most accurate and reliable. Various newspapers, magazines, websites, bank journals, etc were checked out for information regarding the comparative analysis of various players in stock market.<br />The secondary source didn’t provide any personal views of the customers on the existing activation charges, brokerage rate, services but were a great help in completing the report and getting the details.<br />Industry Profile<br />Indian stock Market Overview <br />The Bombay Stock Exchange (BSE) and the National Stock Exchange of India Limited (NSE) are the two primary exchanges in India. In addition, there are 22 Regional Stock Exchanges. However, the BSE and NSE have established themselves as the two leading exchanges and account for about 80% of the equity volume traded in India. The NSE and BSE are equal in size in terms of daily traded volume. <br />The average daily turnover at the exchanges has increased from Rs851crore in 1997-98 to Rs1284crore in 1998-99 and further to Rs2273crore in 1999-2000. NSE has around 1500 shares listed with the total market capitalization of around Rs9, 21,500crore.<br /> <br />The BSE has over 6000 stocks listed and has a market capitalization of around Rs9, 68,000crore. Most key stocks are traded on both the exchanges and hence the investor could buy on either of the exchanges. Both exchanges have a different settlement cycle, which allows investors to shift their position on the bourses. The primary index of BSE in BSE Sensex comprises 30 stocks. NSE has the S&P NSE 50 Index (Nifty), which consists of fifty stocks. The BSE Sensex is the older and most widely followed index. Both these indices are calculated on the basis of market capitalization and contain the heavily traded shares from key sectors. <br />-76200157480<br />The markets are closed on Saturdays and Sundays. Both the exchanges have switched over from the open outcry trading system to a fully automated computerized mode of trading known as BOLT (BSE On Line Trading) and NEAT (National Exchange Automated Trading) system. It facilitates more efficient processing, automatic order matching, faster execution of trades and transparency. <br />The scrip traded on the BSE has been classified into ‘A’, ‘B1’, ‘B2’, ‘C’, ‘F’, and ‘Z’ groups. The ‘A’ group shares represent those, which are in the carry forward system (Badla). The ‘F’ group represents the dept market (fixed income securities) segment. The ‘Z’ group scrip is the blacklisted companies. The ‘C’ group covers the odd lot securities in ‘A’, ‘B1’, & ‘B2’ groups and Rights renunciations. The key regulator governing Stock Exchanges, Brokers, Depositories, Depository participants, Mutual Funds, FIIs and other participants in Indian secondary and primary market is the Securities and Exchange Board of India (SEBI) Limited. <br />Company Profile<br />Angel Broking's tryst with excellence in customer relations began in 1987. Today, Angel has emerged as one of the most respected Stock-Broking and Wealth Management Companies in India. With its unique retail-focused stock trading business model, Angel is committed to providing ‘Real Value for Money’ to all its clients. <br />The Angel Group is a member of the Bombay Stock Exchange (BSE), National Stock Exchange (NSE) and the two leading Commodity Exchanges in the country: NCDEX & MCX. Angel is also registered as a Depository Participant with CDSL. Angel Group <br />Angel Broking Ltd.<br />Angel Commodities Broking Ltd.<br />Angel Securities Ltd.<br />The Angel Group has emerged as one of the top 5 retail stock broking houses in India, having memberships on BSE, NSE and the two leading commodity exchanges in the country i.e. NCDEX and MCX. Angel Broking Ltd is also registered as a depository participant with CDSL. It is the only 100% retail stock broking house offering a gamut of retail centric services like Research, Investment Advisory, and Wealth Management Services, E-Broking & Commodities to individual investor.<br />The group is promoted by Mr. Dinesh Thakkar and professionally managed by a team of 1877+ direct employees. It has a nation wide network comprising 12 Regional Centre, 60 branches, 2452+ registered sub brokers and business associates and 6276+ active trading terminals which cater to the requirements of 209226+ retail clients.<br />Vision<br />To Provide Best Value for Money To Investors Through Innovative Products, Trading / Investment Strategies, State-of-the-art Technology And Personalized Service.<br />Business Policy<br />Ethical practices & transparency in all our dealings<br />Customer interest above our own<br />Always deliver what we promise<br /><ul><li>Effective cost management</li></ul>Quality Assurance Policy<br />We are committed to being the leader<br />In providing World Class Product & Services<br />Which exceed the expectations of our customers<br />Achieved by teamwork and<br />A process of continuous improvement<br />CRM Policy<br />A Customer is the most Important VisitorOn Our Premises.He is not Dependent on us butWe are dependant on him.He is not interruption in our workHe is the Purpose of it.He is not an outsider in our businessHe is part of it.We are not doing him a favor by servingHe is doing us a favor by giving us an Opportunity to do so.<br />Products offered by angel:<br />1) On line and off –line trading<br />2) PMS (Portfolio Management Services)<br />3) PAS (Portfolio Advisory Services)<br />4) Mutual Fund<br />Services Provided By Angel Broking<br /> E-Broking<br /> Multiple exchanges on single screen <br /> Intra-day calls & flash news <br /> Historical charts with technical tools <br /> Research<br /> Daily services <br /> Technical services <br /> Fundamental services<br /> Investment Advisory Services<br />Angel offers personalized advisory services to HNI investors and actively assists them in managing their portfolio <br /> Commodities<br /> State-of-the-art Internet trading platform <br /> Trading & educational seminar <br /> Efficient risk management <br /> Demat Services<br /> Hassle free automated pay-in <br /> Wide branch coverage <br /> Centralized billing & accounting <br /> Value Added Back Office Services<br /> Web enabled centralized back-office <br /> Centralized help desk services <br /> E-contract notes cum bills <br />DAILY SERVICES<br /> Market Outlook At 9:30 PM<br />A crisp pre-market report that arms our clients with sensitive information before the opening bell. <br />Key corporate developments, policy announcements, geo-political news and views are analyzed for their impact on the market.<br /> Technical Report At 6:00 PM<br />This report analyses trading patterns, historical background, market position of key stocks and offer short term (1 to 5 days) as well as medium term (10 to 20 days) views. Tracking individual scripts as well as the Sensex and Nifty, its insight cuts through the market maze. <br /> Deravative Analysis Report<br />The report provides FII activity in derivative segments, change in open interest, put call ratio, cost of carry of stock and index based derivative products. <br />Our derivative analysts use the above tolls to project the movement during the next trading sessions<br />FUNDAMENTAL SERVICES<br />The Sunday Weekly Report<br />This weekly report is ace of all the reports. It offers a comprehensive market overview and likely trends in the week ahead. <br />It also presents top picks based on an in-depth analysis of technical and fundamental factors. <br />It gives short term and long-term outlook on these scripts, their price targets and advice trading strategies. <br />Another unique feature of this report is that it provides an updated view of about 70 prominent stocks on an ongoing basis. <br />The Industrial Watch<br />This report provides an in-depth look at specific industries, which are likely to outperform others in the economy. <br />It analyses their strength and weaknesses and ascertains their future outlook. The final view is arrived at after thorough interaction with industry experts. <br />Stock Analysis<br />Angel’s stock research has performed very well over the past few years and angel model portfolio has consistently outperformed the benchmark indices. The fundamentals of select scripts are thoroughly analyzed and actionable advice is provided along with investment rationale for each scrip.<br />Flash News<br />Key developments and significant news announcement that are likely to have an impact on market / scripts are flashed live on trading terminals. Flash news keeps the market men updated on an online basis and helps them to reshuffle their holdings. <br />TECHNICAL SERVICES<br />Intra-Day Calls<br />For day traders angel provides intraday calls with entry, exit and stop loss levels during the market hours and our calls are flashed on our terminals. Our analysts continuously track the calls and provide the recommendations according to the market movements. Past performance of these calls in terms of profit/loss is also available to our associates to enable them to judge the success rate.<br />Posting Trading Calls<br />Angels “Position Trading Calls” are based on a through analysis of the price movements in selected scripts and provides calls for taking positions with a 10 - 15 days time span with stop losses and targets. These calls are also flashed on our terminals during market hours. <br />Derivative Strategies<br />Our analyst take a view on the NIFTY and selected scripts based on derivatives and technical tools and devise suitable “Derivative Strategies” , which are flashed on our terminals and published in our derivative reports.<br />COMMODITIES SERVICES<br />Agro Tech Speak<br />Mainly gives the investors insight into and a forecast for agro commodities viz. pulses(urad channa etc); reports on oil complex (soyabean castor etc.) along with spices with reports on kapas guar seed.<br /> Call Evaluation<br />A report designed for evaluating the calls given by the angel research team where the reports are classified in 3 broad categories viz. achieved , triumph, not achieved along with the trade recommendations<br /> Commodities Tech Speak<br />This report mainly equips the investors dealing in MCX segment in commodities like gold, silver, crude oil, copper etc with the market insight and expert recommendation on the trading strategies.<br />Competitors<br /> ANGEL BROKING’S COMPETITORS ARE ICICI DIRECT.COM, INDIABULLS, SHARKHAN, ANAND RATHI, AND 5PAISE.COM, INSIGHT SHARE BROKING, RELLIGARE AND MANY MORE.<br /> <br /> <br /> <br /> <br />Comparative analysis of various stock broking companies on the basis of activation charges, brokerage, services<br /> <br />Different Players in Share Industry<br />In the share market there are many DP’s amongst which ANGEL STOCK BROKING is one of them? There are many competitors in the market which are giving direct competition to the company, but because of the research based services and wealth management services Offered by Angel Stock Broking(Services Truly Personalized), it is unique in the market. <br />In the competitor’s list there are big names such as:<br />India bulls, Share khan, HDFC, Kotak Street, 5 paisa, ICICI DIRECT etc.<br />Brief introduction of ANGEL STOCK BROKING competitor:<br />Share khan Depository Services offers dematerialization services to individual and corporate investors.<br />Share khan, one of India's leading brokerage houses, is the retail arm of SSKI. With over 240 share shops in 110 cities, and India's premier online trading portal www.sharekhan.com, our customers enjoy multi-channel access to the stock markets.<br />Background of HDFC<br />HDFC was incorporated in 1977 with the primary objective of meeting a social need – that of promoting home ownership by providing long-term finance to households for their housing needs. HDFC was promoted with an initial share capital of Rs. 100 million.<br />About HDFC Sec.<br />HDFC sec is a brand brought to you by HDFC Securities Ltd, which has been promoted by the HDFC Bank & HDFC with the objective of providing the diverse customer base of the HDFC Group and other investors a capability to transact in the Stock Exchanges & other financial market transactions <br /> <br />Kotak Securities Ltd., a strategic joint venture between Kotak Mahindra Bank and Goldman Sachs (holding 25% - one of the world's leading investment banks and brokerage firms) is India's leading stock broking house with a market share of around 8%. Kotak Securities Ltd. has been the largest in IPO distribution.<br />Kotak Securities has 122 branches servicing more than 1,70,000 customers and a coverage of 187 cities. Kotaksecurities.com, the online division of Kotak Securities Limited offers Internet Broking services and also online IPO and Mutual Fund Investments.<br />India Info line was founded by a group of professionals in 1995, a seemingly distant past in the Internet age. Our meticulous research was published and distributed in printed form to a client base comprising the who's who of Indian business including leading MNCs, investment banks and consulting firms.<br />In early 1999, when Internet penetration in India was at its infancy and the future unknown, we took the hard decision of killing our earlier business model and embracing the Internet. We discontinued delivery of reports in printed form and made available quality research at the click of a mouse. Thus, was born www.indiainfoline.com.<br />We forayed into investment transaction space in early 2000 to complete the value chain.<br />www.5paisa.com was launched for online trading in mid-2000.<br />India Info line Securities Pvt Ltd is a 100% subsidiary of India Info line Ltd, which is engaged in the businesses of Equities broking and Portfolio Management Services. It holds memberships of both the leading stock exchanges of India viz. the Stock Exchange, Mumbai (BSE) and the National Stock Exchange (NSE). It offers broking services in the Cash and Derivatives segments of the NSE as well as the Cash segment of the BSE.<br />India bulls Financial Services Ltd. is a public company and listed on the National Stock Exchange, Bombay Stock Exchange, Luxembourg Stock Exchange and London Stock Exchange. The company ranks at 82nd position in the list of most valuable companies in India has a market capitalization of approx US $ 800 million. The consolidated net worth of the company is approx US $ 400 million.<br />India bulls, along with its subsidiary companies, offer consumer loans, brokerage and depository services, personal loans, home loans and other financial products and services to the retail markets.<br />India bulls Resources Ltd, a 100 per cent subsidiary of India bulls Financial Services Ltd., has been established with the objective of evolving as an independent oil company over time. The immediate short-term goal is to partner with oil companies who are willing to come to India and bid in the current NELP-6 round. <br />Through its group companies, India bulls are also engaged in real estate development. The company is in the process of developing modern commercial complexes in the heart of Mumbai. India bulls Estates Pvt Ltd. the real estate arm of India bulls Financial Services will set up an integrated township spread across 100 acres in Sonepat, 15 km from Delhi. <br />ICICI WEB TRADE LIMITED is a company that is venture of ICICI Bank, ICICI Limited to produce an integrated offering of e-broking services. This service is the combination of these entire three organizations. Promotions are looked after ICICI web Trade that has made e-invest facility, commonly known as ICICI Direct.com possible. This company is 100% subsidiary of ICICI Limited. The company enables to have the facility of having all the facilities online. One can view his banking transactions online, view the Demat balance with the latest market values and at the same time buy and sell shares online. This company has pioneered the concept of e-broking in India. The company went online with NSE on 15th April 2000.<br /> <br />Ranbaxy Promoter Group is India's leading business house having diversified interests in Pharmaceuticals, Healthcare, Pathological Labs and Financial Services through Ranbaxy Laboratories Limited, Fortis Healthcare Limited, SRL Ranbaxy Limited and Religare Enterprise Limited respectively. Religare is driven by ethical and dynamic process for wealth creation. Based on this, the company started its endeavor in the financial market.<br />Religare Enterprises Limited (A Ranbaxy Promoter Group Company) through Religare Enterprises Limited, Religare Finvest Limited, Religare Commodities Limited and Religare Insurance Broking Limited provides integrated financial solutions to its corporate, retail and wealth management clients. Today, we provide various financial services which include Investment Banking, Corporate Finance, Portfolio Management Services, Equity & Commodity Broking, Insurance and Mutual Funds. Plus, there’s a lot more to come your way.<br />Religare is proud of being a truly professional financial service provider managed by a highly skilled team, who have proven track record in their respective domains. Religare operations are managed by more than 3000 highly skilled professionals who subscribe to Religare philosophy and are spread across its country wide branches.<br />Today, we have a growing network of more than 300 branches and more than 580 business partners spread across more than 300 cities/towns in India and a fully operational international office at London.<br />Activation ,brokerage and other charges of different stock broking companies<br /> ANGEL BROKING<br />CRITERIAANGEL STOCK BROKINGDemat a/c opening charges660Brokerage intra day, deliveryClassic plan: 3p ,20pFreedom plan; 1p,10pAMC(Annual Maintenance Charges)Rs.225Trading funding intra day, delivery6times,4 times(minimum stock Rs 50000)Interest rate18 %paDebit periodT+2 DAYSMode of tradingBoth online and offlineMargin money5000,5000,10000Software installation chargesNo extra charges<br />CRITERIARELIGARE SECURITIES LTDDemat a/c opening charges299,499,999Brokerage intra day, deliveryClassic plan: 5p ,50pFreedom plan; 3p,30pAMC (Annual Maintenance Charges)No amcTrading funding intra day, delivery6times,4 times(minimum stock rs 500000)Interest rate18 %paDebit periodT+2 DAYSMode of tradingBoth online and offlineMargin money5000,5000,10000Software installation chargesNo extra charges<br />CRITERIAICICI DIRECTDemat a/c opening chargesRS 750/-Brokerage intra day, delivery 50P,75PAMC(Annual Maintenance Charges)RS 500/-Trading funding intra day, delivery3-4 times of the available funds.Interest rate18% p.a.Debit periodT+2 DAYSMode of tradingBoth Online & OfflineMargin money-Software installation charges-<br />CRITERIAKotak securities .comDemat a/c opening chargesRS 550Brokerage intra day, delivery2.5P,25PAMC(Annual Maintenance Charges)RS 30pmTrading funding intra day, delivery7times,4 timesInterest rate21%Debit periodT+2Mode of tradingOfflineMargin moneyRs8000/-Software installation charges_<br />CRITERIAHDFC securitiesDemat a/c opening chargesRs 799/-Brokerage intra day, delivery15p,50pAMC(Annual Maintenance Charges)NilTrading funding intra day, delivery10times,4 timesInterest rate-Debit periodT+ 2daysMode of tradingBothMargin money5000,10000Software installation charges-<br />ANAND RATHI<br />CRITERIAAnand RathiDemat a/c opening chargesRs 633/Brokerage intra day, delivery3p(1p),30p(10p)AMC(Annual Maintenance Charges)-Trading funding intra day, delivery6 times,4 timesInterest rate18%p.a.Debit periodT+2Mode of tradingBothMargin money5000Software installation charges1000<br />ALLIANZ SECURITIES<br />CRITERIAALLIANZ SECURITIESDemat a/c opening chargesRs 500/-Brokerage intra day, delivery3-2P,30-20PAMC(Annual Maintenance Charges)NILTrading funding intra day, delivery10 times,4 timesInterest rate-Debit periodT+2Mode of tradingOFFLINEMargin moneyNILSoftware installation charges-<br />Data Analysis <br />Awareness regarding share market among the people of Bangalore<br />According to the data that have been collected, all the people who were contacted are aware of share market in Bangalore. <br />Awareness regarding online trading 10% or 90%<br /> <br />Survey shows that of the people those who are aware of share market 90% people have knowledge of online share trading & 10% people have no proper knowledge of online share trading.<br />.Security in which people invest<br />Equity 28%<br />Mutual Fund 20%<br />Fixed Deposit 13%<br />Insurance 31%<br />Others 8%<br /> <br />People like to invest more in insurance sector rather than share market.<br />Preferred mode of trading <br /> A. Online 90% <br /> B. Offline 10%<br />Above the figure shows that still 90% of people prefer to trade through online trading rather than using broker.<br />Best brokerage house <br />Share khan 09%<br />India Bulls 20%<br />ICICI Direct 21%<br />Religare 25%<br />Angel Broking 16%<br />Others 09%<br />We can see that broking house the best preferred among the people of Bangalore is Religare with 25% followed by ICICI-Direct, India bulls, Angel Broking, Share khan, and other respectively.<br />Satisfaction level of the customers.<br />Satisfaction level of the customer<br />yes 72%<br />no 6%<br />uncertain 22%<br />72% people are satisfied with their broking house where as 22% of the people are not sure as they are first time investors and the remaining 6% are not satisfied.<br />Investment decisions<br />Self 19%<br />Brokers 9%<br />Economic Policies 45%<br />Friends/Relatives 27%<br />45% of the investment decisions of the people are influenced by the economic policies of the government followed by friends/relatives, self brokers.<br />Findings<br /><ul><li>According to the data that have been collected, all the people who were contacted are aware of share market in Bangalore.
Survey shows that of the people those who are aware of share market 90% people have knowledge of online share trading & 10% people have no proper knowledge of online share trading.
People like to invest more in insurance sector rather than share market.
Still 90% of people prefer to trade through online trading rather than using broker.
The best preferred broking firm among the people of Bangalore is Religare with 25% followed by ICICI-Direct, India bulls, Angel Broking, Share khan, and other respectively.
72% people are satisfied with their broking house where as 22% of the people are not sure as they are first time investors and the remaining 6% are not satisfied.
45% of the investment decisions of the people are influenced by the economic policies of the government followed by friends/relatives, self brokers.</li></ul>SWAN Analysis<br />The concept of SWAN analysis is introduced by our honorable Dean, Dr. Subhash Sharma. The SWAN model has following elements:<br />S:Strengths<br />W:Weaknesses<br />A:Achievements<br />N:Next step/Next initiative<br />Strengths<br /><ul><li>Service
Branding</li></ul>Achievement<br />Angel Broking has been awarded the prestigious ‘Major Volume Driver’ award for the five consecutive year for 2008-2009 by The Bombay Stock Exchange. This coveted title conferred upon Angel by the BSE since 2004-2005. <br />Next Step/next initiative<br />The people have proposed a number of recommendations to improve the product of ANGEL BROKING. Though the present product caters to the interests of its customers to a certain extents, it could attract more if the proposed suggestions are taken into account. Some of the most feasible suggestions are given below:<br />The brokerage charges could be made at par with other competitors.<br />The documentation process should be made a bit easy, so that the account can be opened without much difficulty.<br />The services provided by company are still not up to that mark, the working of back office is very slow, due to which account opening time takes too much time. This service could be made fast.<br />The company could make their approach more efficient. The executives could be trained very well for at least a week and in the beginning, before independently going to any customer the executives should go with their team leaders.<br />Angel Stock Broking could make a different service department, which will work for the customer to solve all their problems related to Angel‘s product <br />The image of Angel Stock Broking could be made through effective advertisement in print & electronic media. <br />Conclusion:<br />In online trading “Angel Broking” have mainly competition with Religare, ICICI-Direct, Indiabulls. Angel Broking has an advantage of being in this industry for more than 8 decades. It has launched its website in 2000 and was among the first player in the online share trading. The “ANGEL BROKING” has decided to spend its advertisement budget through four media i.e. Television, Print, Web and Outlets. ANGEL BROKING is only broker in which no margin needs to keep.<br />ANNEXURE<br />Questionnaire<br />Q1. In which of these Financial Instruments do you invest into?<br /> <br /> Shares Mutual Funds Bonds Commodities<br />Q2. Which type of trading you prefer?<br /> <br /> Online Offline<br /> <br />Q3. Which Broker do you prefer for commodities?<br /> ICICI Direct ShareKhan Indiabulls<br /> Kotak Securities Religare Angel Broking<br /> Any other__________ <br /> Q4. What differentiates your company from others?<br /> <br /> Brokerage Research Report Extra Facilities<br /> Account Opening Charges Others<br />Q5. How often do you trade?<br /> Daily Weekly Monthly Yearly <br />Q6. What percentage of your earnings do you invest in commodity trading?<br /> Up to 10% Up to 25% Up to 50% Above 50% <br /><ul><li>Sharekhan ICICI Direct India BullsKotak MahindraAngel BrokingOthers (Please specify) Q7. How do you rate these commodity trading companies?</li></ul> 1. 2. 3. <br /> 4. 5. 6._____ <br />Q8. What additional features do you want to add in Commodity Trading?<br />Personal Information<br /> <br /> Name:<br /> Age:<br /> Sex: Male Female<br /> Phone No:<br /> Occupation: <br />BIBLIOGRAPHY<br />www.google.com<br />www.angeltrade.com<br />www.icicibank.com<br />www.icicidirect.com<br />www.nseindia.com<br />www.bseindia.com<br />www.indiabulls.com<br />www.sharekhan.com<br />David Luck (2007), “Market Research”, Tata Mc Graw Hill Publishing Co Ltd, New Delhi.<br />