A PROJECT REPORT ON TO STUDY REGARDING THE IIFL GOLD LOAN IN LUDHIANA CITY (GILL ROAD)

Submitted to (Shoolini University, Solan, H.P) In partial fulfilment of the degree of Master of business administration (MBA) (Session 2011-2013)

Submitted To: School of Business Management (Shoolini University, Solan, H.P)

Submitted By: - Jai Prakash

M.B.A 3th year School of Business Management (Shoolini University, Solan, H.P)

Declaration
I jai Prakash that this study report title, Gold Loan submitted in partial fullment requirement for the degree of Master of Business Administration (M.B.A) is the record of organizer project study conducts by me under the guidance Mr. Atul Khosla the Present Dean of School of Business management Shoolini University, Solan, Himachal Pradesh, India.

Place: - Solan, H.P

Dean Signature:-

Date: -

Candidate Signature:-

Certificate

This is to certify that the project report title, Gold Loan in the Gill road, Ludhiana city, Punjab, India is submitted to IIFL in the partial fulfillment of the Degree of M.B.A of session(2012). This research work carried on by Jai Prakash under university Roll No 11359 under my supervision. The assistance and help received during the course of investigation has been fully acknowledged. Major Advisor:Mr. Gagan Deep, Branch Manager, IIFL, Gill Road, Ludhiana, Punjab,

Acknowledgment
I would like to thanks to India info line finance ltd. Ludhiana (Punjab) for giving opportunity to carry out the summer internship program in their organization the whole period spent with the organization has been immense learning experience about the gold loan Preparing a project of such kind is not an easy task in itself in and i am sincerely thankful to all those people who helped me lot in preparing and completing this project I am grateful to India info line finance lit who has given me this opportunity to carry out the project "to study regarding the IIFL gold loan in Ludhiana city" (Gill road) Last but not least my sincere thanks to my parents and friends who directly or indirectly helped me to bring this project into the final shape

Table of content
CHAPTER No. Declaration 161 2 3 4 5 6 7 8 Acknowledgement Introduction History of GOLD loan Review of literature Research Methodology Objective Data Analysis &Interpretation Findings & Suggestions Bibliography APPENDIX PARTICULARS PAGE No.

1-15 16-30 31-33 34- 36 37-48 49-52 53-55 56-58

CHAPTER 1
INTRODUCTION Every modern economy is based on a sound financial system a financial system. a set off institutional arrangements through which financial surpluses are mobilized from the unit generating surplus income and transferring them to the others in need of them. The activities which include production, distribution, exchange and holding of financial assets instruments of different kinds by financial institutions, banks and other intermediaries, of other market. Among these organizations, are banks, credit card companies, insurance companies, consumer finance companies, stock brokerages, investment funds and some government sponsored enterprises? The financial markets have two major components; they are money market and capital market. Money market The money market refers to the market where borrowers and lenders exchange short-term funds to solve their liquidity needs. Capital market The capital market is a market for financial investments that are direct or indirect claims to capital. Securities market

It refers to the markets for those financial instruments claims obligations that are commonly and readily transferable by sale. It has two inter dependent and inseparable segments the new issues (primary) market and the stock (secondary) market. the secondary market enables those who hold securities to adjust their holdings in response to changes on their assessment of risk and return. The primary markets provide the channel of sale of new securities. Stock market A stock market, or equity market, is a private or public. Market for the trading of company stock and derivatives at an agreed price, these are securities listed on a stock exchange as well as those only traded privately. The size of the world stock market is estimated at about $36.6 trillion us at the beginning of october2008 FOREX MARKET The foreign exchange market (currency, forex , or FX) market is where currency trading takes place .it is where banks and other official institutions facilitate the buying and selling of foreign currencies . The FX market is one of the largest and most liquid financial markets in the world, and includes trading between large banks, central banks, currency speculators , corporations, governments, and other institutions.

INDIA INFOLINE India info line is one stop financial services shop, most respected for quality if its advice, personalized service and cutting edge technology. Listed in Bombay and national stock exchange with a net worth of INR 200 corer and a market cap of over INR 1970 corer. The company has a network of 976 business locations (branches and sub

brokers) spread across 365 cities and towns. It has more than 8000000 customers .it is registered with NSDL as well as CDSL as a depository participant, providing a one stop solution for clients trading in the equities market first company in India to foray into the online distribution of mutual funds. About IIFL

Company profile Date of Establishment Revenue Corporate Address

1995 156.75 ( USD in Millions ) 75 Nirlon Complex, Off Western Express Highway,Goregaon (E) Mumbai-400063, Maharashtra www.indiainfoline.com Chairperson - Nirmal Jain MD - R Venkataraman Directors - A K Purwar, Chandran Ratnaswami, Falguni Sanghvi, Kranti Sinha, Nilesh Vikamsey, Nirmal Jain, R Venkataraman, Sat Pal Khattar, Sunil Kaul, Sunil Lotke Finance - Stock Broking India Info line (IIFL) is engaged in business of equities broking, wealth advisory services and portfolio management services. The

Management Details

Business Operation Background

company was incorporated in October 1995 as Probity Research & Services and later in April 2000 the name was changed to India Infoline.com. Then in March 2001 the company again changed its name to India Info line. Financials Total Income - Rs. 7998.667211 Million ( year ending Mar 2011) Net Profit - Rs. 1223.618546 Million ( year ending Mar 2011) Sunil Lotke

Company Secretary Bankers Auditors

Sharp & Tannan Associates

India Info line (IIL) is engaged in business of equities broking, wealth advisory services and portfolio management services. The company was incorporated in October 1995 as Probity Research & Services and later in April 2000 the name was changed to India Infoline.com. Then in March 2001 the company again changed its name to India Info line. The company is part of India Info line Group. It has panIndia presence through its distribution network of 607 branches, 151 franchisees located in 346 cities. The company also has presence in Dubai, New York and Singapore. IIL operates portals such as www.indiainfoline.com and www.5paisa.com

The IIFL (India Info line) group, comprising the holding company, India Info line Ltd (NSE: INDIAINFO, BSE: 532636) and its subsidiaries, is one of Indias premier providers of financial services. IIFL offers advice and execution platform for the entire range of financial services covering products ranging from Equities and derivatives, Commodities, Wealth management, Asset management, Insurance, Fixed deposits, Loans, Investment Banking, Gold bonds and other small savings instruments. We have a presence in: Equities our core offering, gives us a leading market share in both retail and institutional segments. Over a million retail customers rely on our research, as do leading FIIs and MFs that invest billions. Private Wealth Management services cater to over 2500 families who have trusted us with close to Rs 25,000 corers ($ 5bn) of assets for advice. Investment Banking services are for corporate looking to raise capital. Our forte is Equity Capital Markets, where we have executed several marquee transactions. Credit & Finance focuses on secured mortgages and consumer loans. Our high quality loan book of over Rs. 6,200 corers ($ 1.2bn) is backed by strong capital adequacy of approximately 20%. IIFL Mutual Fund made an impressive beginning in FY12, with lowest charge Nifty ETF. Other products include Fixed Maturity Plans. Life Insurance, Pension and other Financial Products, on open architecture complete our product suite to help customers build a balanced portfolio.

IIFL has received membership of the Colombo Stock Exchange becoming the first foreign broker to enter Sri Lanka. IIFL owns and manages the website,www.indiainfoline.com, which is one of Indias leading online destinations for personal finance, stock markets, economy and business. IIFL has been awarded the Best Broker, India by Finance Asia and the Most improved brokerage, India in the Asia Money polls. India Info line was also adjudged as Fastest Growing Equity Broking House - Large firms by Dun & Bradstreet. A forerunner in the field of equity research, IIFLs research is acknowledged by none other than Forbes as Best of the Web and a must read for investors in Asia. Our research is available not just over the Internet but also on international wire services like Bloomberg, Thomson First Call and Internet Securities besides others where it is amongst one of the most read Indian brokers. IIFL is a listed company with a consolidated group net worth of about Rs 1,800 corers. The income and net profit during FY2010-11 were Rs. 14.7bn and Rs. 2.1bn respectively. The Group has a consistent and uninterrupted track record of profits and dividends since its listing in 2005. The company is listed on both Exchanges and also trades in the derivatives segment. IIFLs Crisil and ICRA Rating for short term is top rated as CRISIL A1+ and ICRA (A1+) respectively. For long term, IIFL has been rated ICRA (AA-) by ICRA and CRISIL AA-/Stable by CRISIL indicating high degree of safety for timely servicing of financial obligations. IIFL is near you physically: we are present in every nook and cranny of the country, with over 3,000 business locations across 500 cities in India.

You can reach us in a variety of ways, online, over the phone and through our branches. All our offices are connected with the corporate office in Mumbai with cutting edge networking technology. The group caters to a customer base of about a million customers. Our physical presence in key global markets includes subsidiaries in Colombo, Dubai, New York, Mauritius, London, Singapore and Hong Kong. Milestones 1995 -Incorporated as an equity research and consulting firm with a client Base that included leading FIIs, banks, consulting firms and Corporate. Oct, 1956 With Registration No. 11 93797. We commenced our operations as an Independent provider of information, analysis and research covering Indian businesses, financial markets and economy, to institutional Customers. We became a public limited company on April 28, 2000 and the name of the Company was changed to Probity Research and Services Limited. The name of the Company was changed to India Infoline.com 1999 -Restructured the business model to embrace the internet; launched Archives.indiainfoline.com mobilised capital from reputed private Equity investors. 2000 -Commenced the distribution of personal financial products; launched Online equity trading; entered life insurance distribution as a Corporate agent. Acknowledged by Forbes as Best of the Web and ...must read for investors. 2004 -Acquired commodities broking license; launched Portfolio Management Service.

2005 - Listed on the Indian stock markets - India Info line fixes a price band between Rs 70 and Rs 80 for its Forthcoming public issue. The company is coming out with public issue Of 1.18 corer shares with a face value of Rs 10 through the book Building route. The issue is slated to open on April 21 and close on April 27. Enam Financial Consultants Private Ltd would be the sole Book running lead manager to the issue while In time Spectrum Registry Ltd is the registrar to the issue. -India Info line public issue gets 6.6 times oversubscription -IIFL appoints R Mohan as VP -India Info line Ltd has informed that the Company has entered into a Advertising agreement with Times Group where in the Company and other Group companies would spend about Rupees Thirty Corers over the next 5 years in print as well as non print media of The Times Group. -India Info line to buy 75-pc stake in Money tree 2006 -India Info line launches exclusive SMS Value Added Service -India Info line enters into strategic agreement with Saraswat Bank -India Info line to launch stock trading on cell phones -Indiainfoline to roll out MCX, NCDEX, DGCX software -Acquired membership of DGCX; launched investment banking services 2007 -Launched a proprietary trading platform; inducted an institutional Equities team; formed a Singapore subsidiary; raised over USD 300mn In the group; launched consumer finance business under the Money line brand. 2008

-Launched wealth management services under the IIFL Wealth brand; set up India Info line Private Equity fund; received the Insurance Broking license from IRDA; received the venture capital license; Received in principle approval to sponsor a mutual fund; received Best broker- India award from Finance Asia; Most Improved Brokerage- India award from Asia money. - India Info line Ltd has informed that the Board of Directors of the Company have vide circular resolution passed on March 10, 2008 Approved the appointment of Mr. A K Purwar, ex-Chairman of the State Bank of India, as an independent director on the Board of the Company. - India Info line Ltd has informed that pursuant to the resignation Of Mr. Nimish Mehta, Company Secretary and Compliance Officer of the Company. Ms. Falguni Sanghvi has been appointed as the Company Secretary with effect from October 07, 2008. - The Company has splits its face value from Rs10/- to Rs2/-. 2009 -Received registration for a housing finance company from the National Housing Bank; received Fastest growing Equity Broking House - Large firms in India by Dun & Bradstreet 2010 -received in principal approval for membership of the Singapore stock exchange received membership of the Colombo stock exchange 2011 - launched IIFL mutual fund

Pillars of the organization

Mr. Nirmal Jain Chairman & managing darector. India Infoline Ltd.

Mr. Nirmal Jain is the founder and Chairman of India Info line Ltd. He is a PGDM (Post Graduate Diploma in Management) from IIM (Indian Institute of Management) Ahmadabad, a Chartered Accountant and a rank-holder Cost Accountant. His professional track record is equally outstanding. He started his career in 1989 with Hindustan Lever Limited, the Indian arm of Unilever. During his stint with Hindustan Lever, he handled a variety of responsibilities, including export and trading in agro-commodities. He contributed immensely towards the rapid and profitable growth of Hindustan Levers commodity export business, which was then the nations as well as the Companys top priority. He founded Probity Research and Services Pvt. Ltd. (later re-christened India Info line) in 1995; perhaps the first independent equity research Company in India. His work set new standards for equity research in India. Mr. Jain was one of the first entrepreneurs in India to seize the internet opportunity, with the launch of www.indiainfoline.com in 1999. Under his leadership, India Infoline not only steered through the dotcom bust and one of the worst stock market downtrends but also grew from strength to strength Mr. R. Venkataraman Executive director

India Infoline Ltd. Mr. R Venkataraman, Co-Promoter and Managing Director of India Info line Ltd, is a B.Tech (electronics and electrical communications engineering, IIT Kharagpur) and an MBA (IIM Bangalore). He joined the India Info line Board in July 1999. He previously held senior managerial positions in ICICI Limited, including ICICI Securities Limited, their investment banking joint venture with J P Morgan of US, BZW and Taib Capital Corporation Limited. He was also the Assistant Vice President with G E Capital Services India Limited in their private equity division, possessing a varied experience of more than 19 years in the financial services sector The board of director Mr. Nilesh Vikamsey Independent Director,

India Infoline Ltd Mr. Nilesh Vikamsey Board Member since February 2005 - is a practicing Chartered Accountant for 25 years and Senior Partner at M/s Khimji Kunverji & Co., Chartered Accountants, a member firm of HLB International, a world-wide organisation of professional accounting firms and business advisers, ranked amongst the top 12 accounting groups in the world. Mr. Vikamsey headed the audit department till 1990 and thereafter also handled financial services, consultancy, investigations, mergers and acquisitions, valuations and due diligence, among others. He is elected member of the Central Council of Institute of Chartered

Accountant of India (ICAI), the Apex decision making body of the second largest accounting body in the world, 20102013. He is on the ICAI study group member for the introduction of the Accounting Standard 30 on financial instruments recognition and management. Convener of the Study group Formed by ASB of ICAI to formulate comments on various Exposure Drafts, Discussion Papers and other matters pertaining to IFRS originating from IASB, Representative of the Institute of Chartered Accountants of India on the Committee for Improvement in Transparency, Accountability and Governance(ITAG) of South Asian Federation of Accountants (SAFA), Member of Executive Committee & IFRS Implementation Committee of WIRC of Institute of Chartered Accountant of India (ICAI), Accounting and Auditing Committee of Bombay Chartered Accountant Society (BCAS) and also on its Core Group, member of Review, Reforms & Rationalisation Committee, IPR Commit Chamber of Commerce and Industry (BCCI), Member of Legal Affairs Committee of Bombay Chamber of Commerce and Industry(BCCI), Corporate Members Committee of The Chamber of Tax Consultants (CTC), Regular Contributor to WIRC Annual Referencer on Bank Branch Audit, Study/ Sub Group formed by ICAI for Considering Developments on Fair Value Accounting (AS 30) post Sub Prime crisis, Sub Group formed by ICAI for approaching the Government and Regulatory Authorities for Convergence with IFRS.ee of Bombay He is also a Vice Chairman of Financial Reporting Review Board Accounting Standard Board and Member of Accounting Standard Board and various other Standing and Non Standing Committees. Mr. Vikamsey is also a Director of Miloni Consultants Private Limited, HLB Offices and Services Private Limited, Trunil Properties Private Limited, BarKat Properties Private Limited and India Info line Investment Services Limited.

Mr. Kranti Sinha Independent Director,

India Infoline Ltd. Mr. Kranti Sinha Board member since January 2005 completed his masters from the Agra University and started his career as a Class I Officer with Life Insurance Corporation of India. He served as the Director and Chief Executive of LIC Housing Finance Limited from August 1998 to December 2002 and concurrently as the Managing Director of LICHFL Care Homes (a wholly-owned subsidiary of LIC Housing Finance Limited). He retired from the permanent cadre of the Executive Director of LIC; served as the Deputy President of the Governing Council of Insurance Institute of India and as a member of the Governing Council of National Insurance Academy, Pune apart from various other such bodies. Mr. Sinha is also on the Board of Directors of Hindustan Motors Limited and Cinemax (India) Limited. Mr. Arun. K. Purwar Independent Director,

India Infoline Ltd. Mr. Purwar is currently the Chairman of India Venture Advisors Pvt. Ltd., investment manager to India Venture Trust Fund I, the healthcare and life sciences focussed private equity fund sponsored by the Piramal Group. He has also taken over as the Chairman of IL & FS Renewable Energy Limited in March 2008 and India Info line Investment Services Ltd in November 2009. He is working as Independent Director in leading companies in Telecom, Steel, Textiles, Power, and Auto components, Renewable

Energy, Engineering Consultancy, Financial Services and Healthcare Services. He is an Advisor to Mizuho Securities in Japan and is also a member of Advisory Board for Institute of Indian Economic Studies (IIES), Waseda University, and Tokyo, Japan. Mr. Purwar was the Chairman of State Bank of India, the largest bank in the country from November 02 to May 06 and held several important and critical positions like Managing Director of State Bank of Patiala, Chief Executive Officer of the Tokyo branch covering almost the entire range of commercial banking operations in his illustrious career at the bank from 1968 to 2006. Mr. Purwar also worked as Chairman of Indian Bank Association during 2005 2006. Mr. Purwar has received the CEO of the year Award from the Institute for Technology & Management (2004); Outstanding Achiever of the year Award from Indian Banks Association (2004); Finance Man of the Year Award by the Bombay Management Association in 2006. Sunil Kaul Independent Director,

India Infoline Ltd. Mr. Sunil Kaul earned his post graduate degree in management from the Indian Institute of Management, Bangalore and a bachelors degree in technology from the Indian Institute of Technology, Bombay. Sunil Kaul is a Managing Director for Carlyles Asia Buyout fund focused on investments in the financial services sector across Asia. He is based in Singapore. Since joining Carlyle, Mr. Kaul has worked on several notable portfolio investments of Carlyle including HDFC Ltd, Indias leading financial services group, TC Bank, a leading mid-sized bank in Taiwan and

Caribbean Investment Holdings, one of the largest provider of offshore company incorporation and trust services in Asia and India Info line Limited Mr. Kaul serves as a director on the board of TC Bank and a member of its Risk and Executive Committees. He is also a member of the Asia Pacific Infrastructure Partnership. Prior to joining Carlyle, Mr. Kaul served as the president of Citibank Japan, covering the banks corporate and retail banking operations. He concurrently served as the chairman of Citys credit card and consumer finance companies in Japan. He was also a member of Citys Global Management Committee and Global Consumer Planning Group. Mr. Kaul has over 20 years experience in corporate and consumer banking of which more than 10 have been in Asia. He has lived and worked in India, the United States, Japan, Netherlands and Singapore. In his earlier roles, Mr. Kaul served as the Head of Retail Banking for City in Asia Pacific. He has also held senior positions in Business Development for Citys Global Transaction Services based in New York, Transaction Services Head for City Japan and Global Cash Business Management Head for ABN Amro, based out of Holland.

Chapter 2
History of GOLD loan Gold is a brilliant yellow precious metal that is resistant to air and water corrosion. It is a very soft and pure metal. Gold is the most malleable and ductile metal found on earth. Thats why it is expensive and it is alloyed with other metals, usually copper and silver to make it less expensive and harder, a karat is the unit that measures the purity of gold jewellery or else it is hallmarked with a three digit number that indicates the parts per thousand of gold. Some countries hallmark gold with a three digit number that indicates the parts per thousand of gold. The alloyed gold comes in many colours and may not be bright yellow all the time. It has long been a values commodity, particularly in India where it is considered auspicious, and had been in use for centuries in the form of jewellery, coins, bullions, electronics, and dentistry, also for other medical purposes. Though gold is a highly liquid asset, it wasnt until recently that consumers leveraged it effectively to meet their liquidity needs. Lenders provide loans by securing gold assets as collateral. Compared with the rest of the world in India the gold loan market is big business. Until a decade back, most of the lending was in the unorganized sector through pawnbrokers and money lenders. However this scenario changed with the entrance of organized sector players such as banks and non banking finance companies (NBFCs) which now command more than 25% of the market. The organized

gold loan market has grown at 40% CAGR form 2002 to 2010. NBFCs have been a major driving force behind this growth given their extensive network. Faster turnaround time, higher loan to value ratios and the ability to serve non-bankable customers. Of late, banks have improved their gold loan product features and services.Coupled with comparatively lower interest rates charges, bank stand to gain market share at the expanses of NBFCs in the near future. The eligibility criteria required to apply for gold lone in India includes three factors. Firs-tly, the person has to be above 18 years of age. Secondly, the person applying or a gold loan in india should have a ID & address proof and last but not the least the applicant should be working on a regular salary basis , means there should be a constant flow of income. BACKGROUND: GOLD AND THE INDIAN SOCIETY Gold has traditionally been among the most liquid asset and is an accepted universal currency. it has traditionally been consumed by individuals in the form of jewellery, especially in India were it is considered auspicious. Gold is presumed to be a safe haven in times of economic uncertainty, a fact exemplified by a 30% increases the value of gold over the past year India is one of the largest market of gold accounting for approximately 10% of the total world gold stock as of 2010. Rural India accounts for 65% of this gold stock. Though gold price have increased 19% CAGR from 2002 to 2010, gold stock in India has grown at 22% CAGR During the same period to 18000 tons (Rs.32000 billion). The demand for gold has followed a regional trend with southern India accounting for 40% of annual demand, followed by the west (25%), north (20-25%) and east (10-15%). Looking for Gold Loan Market

Major Players The Key Players in the Indian gold loan market include the unorganized sector, banks _ public/private/cooperatives and NBFCs. While the unorganised sector, comprising local pawnbroker and money leader has traditionally dominated the gold loan market for money decades and still commands nearly 75% of the market the organized sector led by NBFCs is catching up fast. The organized sector has grown at a rapid paces of 40% CAGR form the 2002 to 2010 and is expected to grow by 33% to41% CAGR in 2011 And in doing so these companies are challenges the dominance of the large unorganised sector within the organized sector, NBFCs have grown at a repaid rate from 18.4% in FY to 32.2% in FY10. (Source: cognizant 20-20 insight jan.2012) Muthoot finance With a tagline loan in just 5 minutes muthoot fiancs is a Indias largest gold loan company & is the fast choice of Indian who want to make their dream a reality. May the dream be to start their own business or to buy their own home: muthoot finance has helped almost every Indians dream come true, trusted by over 76000 customer every day muthoot finance gold loan has services and products that fit the need of any customers , making it the quickest ,most convenient and safest way to take gold loan Headquartered in the southern Indian state of Kerala, their operating history has evolved over a period of 72 since M George muthoot (the father of our promoter) founder a gold loan business in 1939 under the heritage of a treading business established by his father, ninan mathai muthoot in 1987. since our formation, we have broadened the scale and geographic scope of their retail leading operation so

that, as of march 31, 2008, 2009, 2010, 2011 and in the period ended September 30, 2011 revenue from their gold loan business constituted 95.97% 96.71% 98.08% 98.75% and 99.01% respectively , of their total income, Manappuram Manappuram group was founded by late Mr. V. C. Padmanabhan many decades ago currently managed by his son Mr. V. P. Nandakumar, executive chairman of manappuram general finance & ltd (manappuram or MAGFIL) manappuram, registered as a deposit taking NBFC is the flagship company of manappuram group Headquartered in the state of Kerala in southern India is the largest listed gold loan company in India. Primarily engaged in providing loans against household used jewellery pledged by its customers. Amongst the safest form of asset lending, with both physical custody and beneficial ownership with the lender. MUTHOT FINCORP Muthoot fincorp limited, the flagship company of the Muthoot pappachan group (MGP), is a finance company that caters to the financial needs of retail and institutional customers. They are registered with the reserve bank of India as a systemically important non deposit taking non banking finance company (NBFC) with a paid up capital of Rs 181.25 cores and a net owned fund of Rs 824.00 corers as on 31. 12. 2011 Muthoot fincorp limited has wide network of over 2200 branches (as on 31/3/2012) and expanding more. KARVY FINANCE KARVY, the parent group is one of Indias largest integrated financial services providers with a 25+ year operating history. KARVY covers the entire spectrum of financial services providers with a stock

broking. Commodities broking / finance registry services depository services merchant banking & corporate finance IPO distribution investment banking realty services insurance broking / distribution and distribution of financial products like mutual funds bonds personal finance advisory services BPO / technology services wealth management and loans KARVY has pan India personal with over 575 offices in 375 locations across India and overseas at Dubai and New York and has over 9000 highly qualified staff. Keeping in line with KARVY credo to be a leading and preferred financial services provider the focus of KARVY finance will be to provide the complete spectrum of financial services products to their customers and build a strong nationwide distribution footprint to emerges as the leader in capital markets and retail finance in India Their niche lies in the fulfilment of customers financial needs at all stages of their life by making possible simple and flexible financial solutions tailor made to suit customers requirements INDIA INFOLINE The IIFL (India Info line) group, comprising the holding company, India Infoline Ltd (NSE: INDIAINFO, BSE: 532636) and its subsidiaries, is one of Indias premier providers of financial services. IIFL offers advice and execution platform for the entire range of financial services covering products ranging from Equities and derivatives, Commodities, Wealth management, Asset management, Insurance, Fixed deposits, Loans, Investment Banking, Gold bonds and other small savings instruments. IIFL has received membership of the Colombo Stock Exchange becoming the first foreign broker to enter Sri Lanka. IIFL owns and manages the website, www.indiainfoline.com, which is one of Indias

leading online destinations for personal finance, stock markets, economy and business. IIFL has been awarded the Best Broker, India by Finance Asia and the Most improved brokerage, India in theAsiaMoney polls. India Info line was also adjudged as Fastest Growing Equity Broking House - Large firms by Dun & Bradstreet. A forerunner in the field of equity research, IIFLs research is acknowledged by none other than Forbes as Best of the Web and a must read for investors in Asia. Our research is available not just over the Internet but also on international wire services like Bloomberg, Thomson First Call and Internet Securities besides others where it is amongst one of the most read Indian brokers. IIFL is a listed company with a consolidated group net worth of about Rs 1,800 crores. The income and net profit during FY2010-11 were Rs. 14.7 billion and Rs. 2.1 billion respectively. The Group has a consistent and uninterrupted track record of profits and dividends since its listing in 2005. The company is listed on both Exchanges and also trades in the derivatives segment. IIFLs Crisil and ICRA Rating for short term is top rated as CRISIL A1+ and ICRA (A1+) respectively. For long term, IIFL has been rated ICRA (AA-) by ICRA and CRISIL AA-/Stable by CRISIL indicating high degree of safety for timely servicing of financial obligations. IIFL network over 3,000 business locations spread more than 500 cities in India. You can reach us in a variety of ways, online, over the phone and through our branches. All our offices are connected with the corporate office in Mumbai with cutting edge networking technology. The group caters to a customer base of about a million

customers. Our physical presence in key global markets includes subsidiaries in Colombo, Dubai, New York, Mauritius, London, Singapore and Hong Kong. Difference between the GOLD LOAN and personal loan S.N. BASIS 1 Loan amount GOLD LOAN No limit Rs 5000/onward Cash loan 11.40 to 26.40% based on loan amount No lock in period PERSONAL LOAN Min. Amount Rs 10000/-max up to Rs 1000000/By A/c payee cheque Ranges between 28 to32%

2 3

Mode Rate of interest

4 5

Lock in period Flexibility

Documentation

Ranges between 6 to 12 month Totally flexible Very less EMIs fixed at pre- closure and part the beginning of the closure loan. Address proof ITR form 16 Photo ID ID proof & residence PDC proof Driver licence Salary slip & photograph Previous track record. Possible without penalty No hidden charges even CWT is borne by the company Loan is provided to Usually not possible before 6 month after that with penalty. Quite many processing fee, handling fee, service charges , etc. Only to professionals

Pre-payment

Hidden charges

Customer

profile eligibility all customer

10

11

12 13

14

15 16 17 18

or salaried class people in employment with good companies. Service charges No service charges 2 to 8% loan amount payable the service charges. Interest on part Interest charges only On the entire loan payment on the outstanding amount as fixed in the amount beginning. Penalties No penalties on part Heavy penalty on part and fore closure closure. Personalize Prompt and DMAs and DSAs attention personalized handle the customers attention is given to and not get personal the each and every attraction form the customer bank. Revolving credit Available as Loan has the fixed principle gets tenure and payment revolved on of both interest and payment of interest principal is to be every 3 months made. Verification No field verification Field verification is carried out. Minimum salary No such criteria Monthly NET salary criteria be 1.5 items the EMI. Time duration 10 15 days 15 minutes. Secrecy Absolute secrecy is No secrecy maintained maintained.

Procedure of creating new loan account in gold lone software

 Open the shortcut of gold loan. Put your user ID and password. Click on truncation after that go new lone express entry. Before doing anything we have to press + for further process and
generate gold loan number.

We have to fill customer details with three stages

Client details Address details IP photograph (we browse the photo of customer and gold items one by one) After fill all these details press save GOLD LOAN number will be generated When the gold loan number will generated please ensure before doing further process deduces must be done

If there is any deviation (in terms of ROI, per gram rate and valuation
%age)so, it should enter in to the client details as the first stage Now again we have to fill the details a s under Appraisal form Cash disbursal Bank details (Appraisal form : valuer I Before start anything we have to press on + then enter all the information like item, Gross weight , Net weight, per gram weight after filling these information press save this process should be repeated for each and every item by valuer I Valuer II: now the above noted process should be repeated by valuer II also when we enter the all information on appraisal form finally press the Edit and then Save. Cash disbursal: first press + then enter the denomination of cash to be disbursed to the customer then press disburse cash finally we press Edit and Save.

Bank details: there is no need to fill bank details in the case loan is less than 10 laces, on the other hand if loan above 10 laces then press add new then enter the details then press Edit and save.

Now we should give the print command and get the hard copy for
customers signature the print will generated the following document on six pages. Application form (page 1) DPN(page 1) Appraisal form (page 2) Declaration form (page 3) Borrower copy (page 4)-given to the customer Token card (page 5) original should given to the customer and take Xerox for office record. Cash disbursal receipt(page 6) Total 11 signature are obtaining form the customer on the above documents we should give three documents to the customer. Borrower copy Token card Cash receipt Now we should generate/ complete the following document and upload the same along with the five documents for sanctioning of the loan. I.D proof Address proof Pan card (in the case of above loan is 50000) TVR from CPV report

Various skims of India info line gold loan company

skims Fast trac k Fast Loan Loan track lksh lksh 1 mi III mi IV Read y mon ey Read y mon ey I Read Valu Jaldi y e loan mon loan ey II

Solid Ring bangle s Chain Chain, neckla ce Other Tikica, nose pin R. o. i.
Interes t pay period

220 0

2200 2010 2070 1950 1950 1820 157 0

144 0

213 0

2130 1950 2010 1880 1880 1750 151 0

138 0

210 0

2100 1910 1980 1850 1850 1700 147 0

135 0

2.16 2.16 % %
month ly Quarte rly

2.00 %

1.90 %

1.67 %
monthl y

1.67 %
quarter ly

1.50 %
Monthl y

1.34 1.00 % %
month ly Month ly

Monthl monthl y y

These are the various type of gold testing in India info line Acid test Acids have +ve charge particle gold rubbing with stone and throw them acids if gold colour change them the gold is not original if colour is not change gold is original Flexibility test Gold move in all direction gold is very flexible to move other element can break when move but gold cant be break Sound test We check the sound of gold if gold bangle and other element bangle both are hit any particle we hear the

sound if gold is original it give specific sound if gold is not original it give same sound as they other bangle. Colour test Gold have yellow colour but if gold is duplicate its colour is different from yellow Smell test Gold have specific smell as compared to other element if we have test the gold smell there are the specific machine and cheek the gold smell Salt test When gold mixed in salt if colour change gold is not original if colour not change gold is original Use ability test Branded new gold are very difficult to check the originality of gold but already used gold are easily to check the gold originality Weight test If we see the 50 gram of gold and 50 gram of sugar then size of gold is small as compare to sugar. Rubbing test When gold rubbing with stone if gold is original it appears yellow colour if gold is not original it having different colour.

GLOBAL SCENARIO Loan against gold are traditionally considered taboo in households. Even when gold is pledged it is still done as the last resort. Gold

jewellery at home is considered on par with goddess lakshmi and hence hedging gold for a loan is considered inappropriate. Gold loan market this perception towards gold loan has gradually undergone a change and individuals have started seeing the value of loan against gold as against availing a personal loan the gold loan market that was highly fragmented and dominated by local jewellers, has gradually seen the entry and growth of NBFCs and banks a clear indication of the viability of gold loans as an important loan product. The gold loans market has recently seen a lot of action firm both the consumers and the industry. With gold spiralling upwards borrowers are able to get decent valuation for their gold and the process of getting such a secured loan is also largely hassle free the southern Indian markets have been particularly lucrative for the gold loan business -85%-90% of the gold loan market is in the states of Andhra Pradesh, Tamil nadu and Kerala. According to an estimation of the ICRA management consulting services (IMACS) the organized gold loan market in India stands at $8 billion and is growing at a compound annual growth rate (CAGER) of 40% since 2002 there is still ample potential in this segment and with more banks /NBFCs coming into this business, there could be considerable growth in terms of volume. Why NBFCs are growing By virtue of their business model, NBFCs have grown rapidly over the last few years as evidenced by their increase in market share. The key differentiators for the NBFCs as compared to the banks and cooperatives are. Quick loan approvals and disbursals, with minimal documentation

Multitude of loan options with higher LTVs. Greater accessibility due to better penetration. Better operating cost structure visa-a-vies banks. Flexibility provision of very small and very large loan amounts.

Regulatory environment While there are no means of controlling the unorganized sector the organized sector of banks and NBFCs come under the purview of the reserve banks of India (RBI) which has norms to regulate the gold loan market. NBFCs had been traditionally disbursing gold loans through funds received from banks under priority lending for the agricultural sector. The loans under this category enjoy an interest rate discount of approximately 200 bps over the normal interest rates charged by banks. But to reduce the risk in the system the RBI ruled in February 2011 that bank credit to NBFCs for lending against gold jewellery will not be treated as exposure to the agricultural sector. The resulting higher interest rate for funds is expected to promote better lending practices by NBFCs to creditworthy borrowers. With the continued rapid growth of the gold loan market in India RBI has started examining lenders especially NBFCs for possible concentration risks (i.e. risks due to a sharp decline in the prices of gold for a lender with a large exposure to gold assets pledged against the loans.) All lenders are required to adhere to the KYC norms. NBFCs allegedly have not strictly followed this regulation and hence have been under the RBI s scanner for some time now. Currently NBFCs gold loan are regulated by RBI. However, some state governments require compliance with relevant state money lending statutes .if the state governments succeed in enforcing this regulation the profit margin of NBFCs would be further squeezed. There have been recent

complaints regarding high interest rates and penalty rates charged by NBFCs. this has caught the attention of regulators any regulatory move in this regard would impact the profit margin of NBFCs. Impact analysis: RBIS gold loan regulation for NBFCs In its latest move, RBI has come up with a norm for NBFCs that does not allow them to offer a loan above 60% of the value of gold. Why it is a setback for NBFCs? RBIs guideline is a setback for NBFCs because the new rules require greater capital adequacy for the financing companies and the thresh hold for the value of loan against gold is proposed to be at a lower value. This would mean that ornaments of the same value are expected to result in a lesser loan amount and that to at a slightly higher cost. Check out other aspects where NBFCs could be adversely affected. Earlier NBFCs used to provide up to 80% loan against the gold now it would be reduced to mere 60% of the gold value. Gold loans from banks would now become more attractive than NBFCs until they are allowed to lend more on the value of pledged gold the cost of funding for NBFCs would go up due to the RBIs restriction to allow the NBFCs to finance its gold loan from the banks as an exposure to agricultural loan. NBFCs might have to reduce the interest rate to sustain hold in the gold loan market. Hence the current profit margin would come down significantly. Whats in favour of NBFCs? Though this regulation would it hard on the revenue as well as bottom-line of the NBFCs there still some positive assistive to this move:

NBFCs would continue to enjoy the nice segment advantage due to its deep presence in the gold loan market at present; NBFCs have a 32% share of the total gold loan market. The gold loan would still be cheaper than the personal loan, so the size of market is set to grow bigger in coming days. There are many untapped areas where NBFCs could have a better reach than the banks. The advantage o f trouble free and quick loan processing by NBFCs would give them the edge over the banks. NBFCs can raise funds through market borrowings, i.e. Commercial papers to lower the cost of fund.

Chapter 3
LITERATURE REVIEW
The research project is to study of IIFL gold loan in Ludhiana city kejriwalarun (2012) in his article riches to rags story of the gold loan industry in business standard remarked that the reason people go to GLCS is the next -to-nil tome they take in disbursing loans. Typically, GLCS lend up to 80% of the value of gold, making customers a happy lot. However, last Month, the reserve bank of INDIA (RBI) reduced the loan-to-value for GLCS to 60% of the gold content. Bureau (2012) in his article gold loan firms setting up SRO as RBI tightens screws in economic times concluded that under the lens of the reserves bank , leading gold finance companies have decided to form a self- regulatory organization (SRO) which will frame fair business practices code for the industry John navin (2012) in his article and the RBI on Leander in business world remarked that ,the stock market did not follow the centre banks restrictions on the lone size of gold NBFCs to 60% of the loan to value (LTV) view. The share price of Muthoot finance and Manappuram finance, the largest and second player, fall 11.35% and 6.1% respectively, on 22 March, a day after the RBI announcement. Bureau (2012) in his article RBI move on gold loan will trim companies margins in economic times remarked the gold loan financing companies on Thursday welcomes the latest measures by the reserve bank, saying they will strengthen the industry, but analysts pointed out that the clampdown will erode the margins of these companies and curtail growth Jayakumar john (2011) in his article lure of the yellow metal in business world remarked the gold loan industry has recorded growth of 35% over the past three year and explains how various gold loan companies rises and reach the top positions

Bureau (2011) in his article should you invest in NCD of gold loan Finances Company in economic times concluded that with that we come to another important aspect of debt investing risk. PUS bonds like those of NHAI, PFC enjoy AAA rating, while muthoot finance enjoys a crisil AA rating. Manappuram finance has a CARE AA- rating Regoanil (2010) in his article gold loan: making gold work for you in business world remarked that this perception toward gold loan has gradually undergone a change and individuals have started seeing the value of loan against gold as against availing a personal loan. The gold loan market that was highly fragmented and dominated by local jewellers has gradually seen the entry and growth of NBFCs and bank, a clear indication of the viability of gold loans as an important loan product. Jain T.R. and Aggarwal, Dr S.C., statistics for M.B.A. 2nd edition, VK publication Malhorta Naresh k and Dash satybhushan, marketing research (6th edition) Pearson publication. Kothari C.R., research methodology methods & techniques 2nd edition wishwa prakashan, daryaganj, New Delhi, chapter 4. Page 55-58. Chapter Method of data collocation, collection of data through questionnaire, collection secondary data are referred before the data collocation form from this book

Objectives
In this project, the primary objective is to the consumer awareness regarding gold loan To find out the competitive positions of India info line finance limited Increases the relationship between India info line & other company consumer To find out the most preferred channel.

 To find out what should do to boost India info line finance limited.

Limitation of the study

Time limit is the major constraint As the manager are busy in their duty schedule it is not possible for us to spend more time in interaction and discussion with them some difficulty getting the people answer the survey questions because of their workload and the responsibility they have busy his work As per company rules many information was not disclosed Finding &conclusions are based on superficial knowledge The response given by the respondents may not be 100% accurate and may be biased

CHAPTER 4
RESEARCH METHOEOLOGY
Research methodology is a way to systematically solve the problem. It may be understood has a science of studying how research is done scientifically. This of research methodology is that it helps in identifying the problem, collecting, analyzing the required information data and providing an alternative solution to the problem .It also helps in collecting the vital information that is required by the top management to assist them for the better decision making both day to day decision and critical ones. Report is based on primary as well secondary data, however primary data collection was given more importance since it is overhearing Meaning of research Research is defined as a scientific & systematic search for pertinent information on a specific topic research is an art of scientific investigation. Research is a systemized effort to gain new knowledge. It is a careful inquiry especially through search for new facts in any branch of knowledge. the research for knowledge through objective and systematic method of solution to a problem is a research Research design Research design is the conceptual structure within. Which research is conducted; it constitutes the blueprint for the collection, measurement and analysis of data. As search the design includes an outline of what the researcher will do from writing hypothesis and its operational implication to the final analysis of data Research design can be three types Exploratory research design Descriptive research design Experimental research design

The present study is descriptive in nature, as it seeks to discover ideas and insight to bring out new relationship. For fulfilling the predefined objectives the descriptive research was conducted. An Exhaustive market survey of various costumers enough to provide opportunity for considering different aspects of problem under study The research objectives, questionnaire was designed.

Data collocation
Two type of data collection primary and secondary

Primary data
Primary data refer to the first hand fresh data collected from the field it was collected through the questionnaire method. Questionnaire will includes MCQ, ranking, checklist, and rating type of equation

Secondary data
Secondary data refer to the already published information. Secondary data was collected from various sources magazines, journals, newspaper, internet, government, and industry Research is based on primary Secondary data. Research has been done by primary data collection, and primary data has been collected by interacting with various people in Ludhiana city. The secondary data has been collected through various journals and websites.

Out of total 150 questionnaires distributed only 100 questionnaires were received back. The questionnaires focused on the gold loan, how you know

about the gold loan, benefit of gold loan, why to deal gold loan and the level of satisfaction of the customer.

Data sampling
The target audient for this research includes Ludhiana city people. It was also collected through personal visits to persons, by formal and informal talks and through filling up the questionnaire prepared. The data has been analyzed by using mathematical/Statistical tool.

Sampling unit:-a decision has to take concerning sampling unit

before selecting sample. Here I have my sample unit includes the people of Ludhiana gill road market.

Sample size:- The sample size of my project is limited to 100 people

only. Out of which only 86% people had know about the gold loan. Other 14% people did not have know about the gold loan.

Sampling technique:-the selection of respondents was done on

the basis of convenience sampling. In convincing sampling the samples are being selected on the basis of ease or convenience. The respondents who are easily approachable will be selected in this project.

Chapter 5
DATA INTERPRETATION AND ANALYSIS
1 are you aware about gold loan? option yes response 86 % 86% No 14 14%

awereness response
14% yes no 86%

Analysis: - from the above graph it is clear that 86% of the population are aware about the gold loan and 14% of the population are not Interpretation: - from the above graph we can see that majority are aware about the gold loan and few are not aware about the gold loan.

2 how do you come to know about gold loan? option TV Advertiseme nt 48 48 Wall Direct painting marketin s g 13 13 22 22 Newspape banner Friend r s s& relativ e 5 4 8 5 4 8

respons e %

reasons of awereness
option Direct marketing Friends & relatives 5% 4% 8% 0% 48% 22% 13% TV Advertisement Newspaper Wall paintings banners

Analysis:-it is clear from the table that 48% of the aware only because of tv advertisement, 13% are because of hoardings, 22% are due to direct marketing, 5% are newspaper, 4% are banners and 8% are due to friends and family. Interpretation:-from the above graph it is clear that majority of the population are aware only because of TV advertisement, some are because of direct marketing and very few are because of banners and newspapers.

3 have you ever deal in gold loan? Options Responses % yes 60 60 No 40 40

option 0%

yes

no

40% 60%

Analysis: - from the above graph we can see that 60% of the population have deal and 40%have not deal in gold.

Interpretation: - from the above graph we can see that most of the people are dealing in gold loan and very few are not dealing with gold loan.

4 Do you want to deal in gold loan in future? Options Responses % yes 73 73 No 27 27

future dealing
yes no

27%

73%

Analysis:- from the above graph it is clear that 73% of people are in a favour of dealing with a gold loan in future and 27% are not in a favour. Interpretation:- from the above graph it is clear that most of the population are in favour of future dealing with IIFL .And very small are not in favour

5:-with which company you deal or you wish to deal? Options Muthoot finance Responses 29 % 29 Muthoot Mannapuram Karvy Future IIFL Other fincrop finance group 11 12 8 9 26 5 11 12 8 9 26 5

company
Muthoot finance Mannapuram Future group other 5% 26% 29% 12% 9% 8% 11% Muthoot fincrop Karvy finance IIFL

Analysis:- from the above graph it is clear that 29%of the population dealing with muthoot finance, 26%are dealing with IIFL or wishing to deal with IIFL and few are dealing with karvy, muthoot fincorp, future group Interpretation:- from the above graph it is clear that most of the customer are dealing with muthoot finance and IIFL. And very small are dealing with Mannapuram, Muthoot fincorp, and very few are dealing with future group, karvy.

6 which of the following is the most preferable thing at the time of availing gold loan Options rate of interest 70 28.3 Maximum per gram rate 66 26.7 Flexibility customer dealing 69 27.9 Any other

Responses %

40 16.2

2 0.8

preferances
rate of interest Flexibility Any other 1% 28% 16% 28% 27% Maximum per gram rate customer dealing

Analysis:-from the above graph it is clear that 28.3%of the population are preferring only because of rate of interest ,26.7%are because of max per gram rate,27.9%are because of good customer dealing because few are flexibility16.2%and vary few are other Interpretation:- from the above graph it is clear that most of the population are preferring company only because of rate of interest, some are preferring because of max per gram rate and good customer dealing, and vary few are flexibility and other

7 are you satisfied with the current deal? Options Responses % yes 39 39 No 61 61

current deal
yes no

39%

61%

Analysis: - from the above graph it is clear that 39% of the population are not satisfied with their current deal and 61% of the population are satisfied Interpretation: - from the above graph it is clear that most of the population are not satisfied with their current deal they want to change their current deal and some are satisfied with their current deal.

8 which of the following are Main reason of satisfaction options responses % rate of interest 48 48 Maximum rate 37 37 Flexibility 9 9 customer dealing 6 6

satisfaction factor
rate of interest Flexibility Maximum rate customer dealing

9%

6% 48%

37%

Analysis:-from the above graph it is clear that 48%f the population are satisfied only because of rate of interest 37%are because of max per gram rate6% are because of good customer dealing 9%because few are flexibility and vary few are other Interpretation: - from the above graph it is clear that most of the person are satisfied with rate of interest and max per gram rate. Some are due to good customer dealing, and flexibility, and very few are with others.

9 do you want to change your loan by any other company? Options Responses % yes 75 75 No 25 25

company change
no 25%

yes 75%

Analysis: - from the above graph it is clear that 75% of the population want to change their company and 25%of the population do not want to change. Interpretation: - from the above graph it is clear that most of the population want to change their company and very few want to remain with the same company.

10 are you aware about IIFL? Options Responses % yes 56 56 No 44 44

IIFL awareness
yes no

44% 56%

Analysis: - from the above graph it is clear that 56% of the population are aware about the IIFL and 44%of the population are not aware about the IIFL. Interpretation: - from the above graph we can see most of the population are aware about the IIFL but still the rates of those people are also high who are not aware about the IIFL.

11 have you ever visit in any branch of IIFL? Options Responses % yes 40 40 No 60 60

branch visit
yes no

40% 60%

Analysis: - from the above graph it is clear that60% of the population have not visited any branch of IIFL gold loan company and 40% have visited. Interpretation:- from the above graph we can see that majority of the population have not visited any branch of IIFL gold loan company and few have visited.

12 Do you wish to deal with IIFL? Options Responses % yes 77 77 No 23 23

IIFL dealing
23%

yes 77% no

Analysis: - from the above graph it is clear that people want to go the IIFL because 77% of the population said yes for dealing and very few said no. Interpretation: - from the above graph it is clear that most of the population want to deal with IIFL for the purpose of gold loan and very few are not interested.

CHAPTER6
RESULTS & FINDINGS It is also clear most of people prefer IIFL and Muthoot to take
the gold loan as compare to other companies. IIFL are providing special schemes which are helpful to attract customer. Most of the customers prefer IIFL gold loan because of good per gram rates. There are no charges for entry and exit loans. India info line finances ltd understand the dreams, needs, aspirations, concerns and resources are unique and this is reflected in every move they do for the sake of individual customer. They are treating the customer as their family member and guiding them properly.

It is clear from analysis that most of population are aware

about IIFL in term of gold loan.

In Occupation group most of the Investors were Private

employees, the second most Investors were Govt. employees and the least were associated with Agriculture.

SUGGESTION
The company has provided proper training to new employees so that they can attract customers easily. The company can conduct seminars and workshops so that they can provide information to the people and give answers to queries. The company should increases the advertisement regarding the gold loan in national TV. The company should adopt some strategies to increase the business through existing customers. The company should create the awareness about the gold loan among the general public. They should visit the jewellers. Businessman and other work places so that they can guide them. IIFL should use traditional ways of promotion in rural location. Latest communication are lacking in Ludhiana city

CONCLUSION
Most of the companies which are offering gold loan in India are still at growth stage and hence there are ample of opportunities for all the companies which are offering gold loan to tap customer. The perception of customer is yet to be changed because still they dont feel comfortable in taking gold loan because of traditional approach hence there is a lot of education has to be provided to make people aware of gold loan. To achieve sustainable growth in this sector India info line finance limited needs to endeavour with maximum efforts the company can achieve several milestones in future while maintaining the existing customer relationship.

BIBLIOGRAPHY
Kothari C.R, Research methodology methods and techniques 2004, new age international pvt. Ltd, New Delhi edition 2nd pg 56-57 Malhotra Naresh and dash Satyabhushan marketing research, 2010 Pearson publication edition 2nd pg 40-48 Luck davidet al marketing research, 2004 prentice hall India, edition 7th pg 5359 Kejriwalarun (2012): article riches to rags story of the gold loan industry in business standard Bureau (2012): article gold loan firms setting up SRO as RBI tighten screws in economic time johnnevin (2012): article and the RBI on lenders in business world Jaykumar, jhon (2011): in this article lure of the yellow metal in in business world Bureau (2012): article should you invest in NCDS of the gold loan finance company in economic time Ragoanil (2012) in his article gold loan: making gold work for you in business world

Websites www.indiainfoline.com www.5paisa.com http://www.business-standard.com/india/news/riches-to-rags-storythegold-loan-industary/473351 http://www.crindia.com/commodity/gold.html http://www.moneycontrol.com/master/your money /stocks-newsconsumption.php?cat= gold& at0no:=703262

http://www.moneycontrol.com/master/your money /stocks-newsconsumption.php?cat= gold& at0no:=694868 http://www.business-standard.com/india/news/rbi-norms-to-moderate gold-loan-companies%5cgrowth-crisil/161230/on

APPENDIX Questionnaire
General Information
NAME.............. ADDRESS.................... AGE........... OCCUPTION....................................... CONTACT NO.................... EMAIL...............................................

Q.1are you aware about gold loan? A yes B No

Q.2 how do you come to know about gold loan? A. TV Advertisement B. Wall paintings/hoardings C. Direct marketing D. Newspaper E. banners F. Friends & relatives

Q.3 have you ever deal in gold loan? A. yes B. No

Q.4 Do you want to deal in gold loan in future? (If yes which company) A. yes B. No

Q.5 with which company you deal or you wish to deal? A. Muthoot finance D. Karvy finance G. other (specify) B. Muthoot fincrop E. Future group C. Mannapuram F. IIFL

Q.6 which of the following is the most preferable thing at the time of availing gold loan? A. rate of interest D. customer dealing B. Maximum per gram rate E. Any other (specify) C. Flexibility

Q.7 are you satisfied with the current deal? A. yes B. No

Q.8 which of the following are main reason of satisfaction A. rate of interest D. customer dealing B. Maximum rate C. Flexibility

E. Any other (specify)

Q.9 do you want to change your loan by any other company? A. yes B. No

Q.10 are you aware about IIFL? A. yes B. No

Q.11 have you ever visit in any branch of IIFL? A. yes B. No

Q.12 Do you wish to deal with IIFL? A. yes B. No

(Thanks for your kind cooperation) Signature............................. Date................................