Professional Documents
Culture Documents
ON
Submitted To:
Submitted By:
Lovedeep Singh
(Assistant Professor)
(BATHINDA)
INDEX
S.NO
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2.
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CHP. NO
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TOPIC
ACKNOWLEDGEMENT
DECLARATION
PREFACE
COMPANY PROFILE
INTRODUCTION
INVESTMENT OPTION FOR INVESTOER
REVIEW OF LITERATURE
OBJECTIVES & RESEARCH METHODOLOGY
ANALYSIS & INTERPRETATION & FINDINGS
SUGGESTIONS AND RECOMMENDATIOBS
LIMMITATIONSA OF THE STUDY
BIBLOGRAPHY
ANNEXURE
PAGE. NO
1-2
3-7
8-10
11-21
22-26
27-37
38-39
40-41
42-43
ACKNOWLEDGEMENT
I take this opportunity to express my deep sense of gratitude to everyone who supported
and guide me to complete this project successfully. I am thankful for their aspiring guidance,
invaluably constructive criticism and friendly advice during the project work. I am sincerely
grateful to them for sharing their truthful and illuminating views on a number of issues related to
the project.
I am highly grateful and indebted to my project guide Mr. Gagandeep Singh, Branch
Manager of Karvy Stock Broking, Patiala and for their excellent and expert guidance in helping
me in completion of project report.
I would also thank the whole team of Karvy Stock Broking, Patiala who has continually
helped me in completing the project report. And I am also thankful to my parents and my friends
who have continually support and encouraged me in completing the report.
Lovedeep Singh
DECLARATION
I hereby declare that the project report entitled Investors perception towards various
investment parameters submitted in partial fulfillment of the requirement for the degree of
master of business administration (Integration Course) University school of business studies,
Talwandi sabo is my original work and has been submitted for the award of any other degree at
any other institute or university.
Lovedeep Singh
MBA (IC) 3rd
813
PREFACE
The successful completion of this project was a unique experience for me because by
interacting various people; I achieved a better knowledge about this project. The experience
which I gained by doing this project was essential at this turning point of my career this project is
being submitted which content detailed analysis of the research under taken by me.
The research is on the topic INVESTORS PERCEPTION TOWARD VARIOUS
INVESTMENT PARAMETERS.
CHAPTER 1
COMPANY PROFILE
COMPANY PROFILE
6
The four chartered accountants founded Karvy Consultants Limited in 1982. A group of
Hyderabad based practicing Chartered Accountants started Karvy taxation services initially.
Later, it forayed in to the register and share transfer activities and subsequently into financial
services. All along Karvys strong work ethics and professional background leveraged with
information technology enabled it to deliver quality to the individual.
A decade of commitments, professional integrity and vision helped Karvy achieve a
leadership position in its field when it handled the largest number of issue ever handled in the
history of the Indian Stock market in a year. Therefore, Karvy made inroads into a host of capital
market services corporate and retail, which proved to be a sound business synergy. Today Karvy
has access to millions of shareholder, beside companies, banks, financial institution and
regulatory agencies. Over the past one and half decade, Karvy has involved as a veritable link
between industries, finance and people. In January 1998, Karvy became the first Depository
participants in Andhra Pradesh. As ISO: 9002 Company,
Karvy ranks among the top player in almost all the fields it operates. Karvy
Computershare Limited is Indias largest registrar and transfer agent with a client base of nearly
500 blue chip corporate, managing over 2 crore accounts. Karvy Stock Brokers Limited, member
of National Stock Exchange of India and the Bombay Stock Exchange, ranks among the top 5
stock brokers in India. With over 6, 00,000 active accounts, it ranks among the top 5 Depositary
Participant in India, registered with NSDL and CDSL. Karvy Com trade, Member of NCDEX
and MCX ranks among the top 3 commodity brokers in the country. Karvy Insurance Brokers is
registered as a Broker with IRDA and ranks among the top 5 insurance agent in the country.
Registered with AMFI as a corporate Agent, Karvy is also among the top Mutual Fund mobilize
with over Rs. 5,000 crores under management. Karvy Realty Services, which started in 2006, has
quickly established itself as a broker who adds value, in the realty sector. Karvy Global offers
niche off shoring services to clients in the US. Karvy has 575 offices over 375 locations across
India and overseas at Dubai and New York. Over 9,000 highly Qualified people staff Karvy.
ORGANISATION
7
Karvy was started by a group of five chartered accountants in 1979. The partners decided to
offer, other than the audit services, value added services like corporate advisory services to their
clients. The first firm in the group, Karvy Consultants Limited was incorporated on 23rd July,
1983. In a very short period, it became the largest Registrar and Transfer Agent in India. This
business was spun off to form a separate joint venture with Computer share of Australia, in 2005.
Karvys foray into stock broking began with marketing IPOs, in 1993. Within a few years,
Karvy began topping the IPO procurement league tables and it has consistently maintained its
position among the top 5. Karvy was among the first few members of National Stock Exchange,
in 1994 and became a member of The Stock Exchange, Mumbai in 2001. Dematerialization of
shares gathered pace in mid-90s and Karvy was in the forefront educating investors on the
advantages of dematerializing their shares. Today Karvy is among the top 5 Depositary
Participant in India.
While the registry business is a 50:50 Joint Venture with Computer share of Australia, we
have equity participation by ICICI Ventures Limited and Barings Asia Limited, in Karvy Stock
Broking Limited. Karvy has always believed in adding value to services it offers to clients. A
top-notch research team based in Mumbai and Hyderabad supports its employees to advise
clients on their investment needs. With the information overload today, Karvys team of analysts
help investors make the right calls, be it equities, mf, insurance. On a typical working day Karvy:
KARVY GROUP
1. KARVY CINSULTANT LIMITED
As the flagship company of the Karvy Group, Karvy Consultant Limited has always
remained at the helm of organization affairs, pioneering business policies, works ethic and
channels of progress. Karvy as a leader in the registry business now transferred this business into
a joint venture with Computer share Limited of Australia, the worlds largest registrar. Today, we
service over 6 lacks customer accounts in this business spread across over 250 cities/towns in
India and are ranked amongst the largest Depository Participant in the country, Deal in Register
and investment services. We are rated as India's "Most Admired Registrar" for overall excellence
in volume management, quality processes and technology driven services. Our services include
Initial Public Offers (IPOs) processing, share holder servicing, effecting corporate actions,
investor information services and host of technology enabled services to facilitate efficient and
effective service delivery
2. KARVY STOCK BROKING LIMITED
They offer trading on a vast platform National Stock Exchange, Bombay Stock
Exchange and Hyderabad Stock Exchange. Information is given as a constant feedback to
our customers, through daily reports delivered thrice Daily- The Pre- session Report,
where market scenario for the day is predicated, the Mid- session Report, times to arrive
during lunch break, where the market forecast for the rest of the day is given and the
Post- session Report, the final report for the day, where the market and the report itself is
reviewed. To add to this repository of information, we publish a monthly magazine
Karvy------ The Finapolis Which analyzes the latest stock market trends and takes a
close look at the various investment options, and product available in the market while a
weekly report, called Karvy Bazaar Baatein keeps you more informed on the
immediate trends in the stock market. In addition, our specific industry reports give
comprehensive information on various industries. Beside this, we also offer special
portfolio analysis packages that provide daily technical advice on scrips for successful
portfolio management and provide customized advisory services to help you make the
The institutional broking services desk is a specialized business unit at KARVY that
operates out of Mumbai, the financial capital of India and is staffed with best-of-industry
equity market professionals and highly skilled dealers. KARVY also supports
institutional traders through their institutional sales and research teams with information
and insightful reports on stocks, sectors and industry verticals. KARVYs institutional
broking clientele include some major domestic Mutual Funds, Insurance Companies,
Banks and FIIs in India.
11
Investment is the stepping stone to achieving one's financial dreams. Mutual funds offer an
opportune way to long-term wealth creation. However, with more and more funds flooding the
market, the task of selecting the most suitable scheme gets even more complicated. Mutual Fund
Advisory Service at Karvy guides you through this maze and ensures that your investments are
backed by our quality research. We, at Karvy help you to reach your goals by offering:
Products of 33 AMCs
Research reports (existing funds & NFOs; strategy reports etc.)
Customized mutual fund portfolios
Portfolio revision (depending on changing market outlook and evolving trends)
Access to online consolidated portfolio statement
13
KRIL is your personal real estate advisor guiding and hand holding you through real estate
transactions and offering valuable investment opportunities.
Building on the KARVY brand as a leading industry benchmark for world class customer
servicing and quality standards, KRIL brings to investors a reputation of reliability, dependability
and honesty. Our understanding of the needs and preferences of our clients and our teams of
qualified realty professionals help us to establish fruitful relationships with buyers and sellers of
properties alike.
A single stop shop for realty services offering:
Transacting Options: Choose to buy, sell or rent properties (residential and commercial)
Investing Options: Give your investments a good opportunity with properties marketed
by KRIL.
Financing Options: Get unmatched deals for financing your investment
Research Options: We undertake valuation and feasibility studies, area analysis and
customized analysis on behalf of clients.
KRIL has ongoing relations with builders and developers across the country which will help
you place your investments in the most genuine properties for a good value appreciation at the
right place and at the right price. KRIL is committed to the guiding principles of quality, timely
service delivery, fair pricing, transparency and integrity.
9. KARVY INSURANCE BROKING PRIVATE LIMITED
At Karvy Insurance Broking (P) Ltd. we provide both life and non-life insurance products to
retail individuals, high net-worth clients and corporate. With the opening up of the insurance
sector and with a large number of private players in the business, we are in a position to provide
tailor made policies for different segments of customers. In our journey to emerge as a personal
finance advisor, we will be better positioned to leverage our relationships with the product
providers and place the requirements of our customers appropriately with the product providers.
14
With Indian markets seeing a sea change, both in terms of investment pattern and attitude of
investors, insurance is no more seen as only a tax saving product but also as an investment
product. By setting up a separate entity, we would be positioned to provide the best of the
products available in this business to our customers.
Our wide national network, spanning the length and breadth of India, further supports these
advantages. Further, personalized service is provided here by a dedicated team committed in
giving hassle-free service to the clients.
10. KARVY PORTFOLIO MANAGEMENT SERVICE LIMITED
KARVY is a premier integrated financial services provider, and ranked among the top five in
the country in all its business segments. KARVY owes its success to its professionally managed
team of experts, who have been chosen from some of the most reputed institutions and firms
across India.
In today's intricate and volatile market your investment requires constant monitoring and
attention. The demand made on your time and energy by other business may not leave you with
capacity to attend to your personal portfolio with the degree of care you deem appropriate. We at
KARVY understand your situation and offer PMS services taking the same level of care and
attention you would devote to monitoring your portfolio.
Green Wallet is an Endeavour specially designed by Karvy to enhance the wealth of a niche
segment of investors. This service primarily meant for HNIs (High Net worth Individuals) offers
customers a wide range of schemes. These unique schemes seek to achieve higher returns
through broad based participation in equity markets. This is achieved by creating a diversified
equity portfolio of small, medium and large capitalized companies.
11. KARVY DEPOSITORY SERVICES LIMITED
Stock Broking Limited provides depository services to investors as a Depository Participant
with the National Securities Depository Limited (NSDL) and Central Depository Services (India)
Limited (CDSL). The Depository system in India links Issuers, National level Depositories,
Depository Participants and Clearing Houses / Clearing Corporation of Stock Exchanges. Our
15
demat services are accessible through any of our network of over 575 branches / investor service
centers located in over 375 cities and towns across the country.
Our demat services business has the distinction of having all its operations ISO 9001:
2000 certified with state-of-the-art technology and operations capabilities. Our demat services
has innovated over time and we provide online access to account statements and transaction
alerts through SMS to its clients.
KARVYs Demat services offer you a secure, convenient and paperless way to keep track
of your investments in shares and other security instruments over time, without the hassle of
handling paper based transcripts.
We provide the following services:
Dematerialization of Shares
Dematerialization of Shares
Transfer of Shares
Pledging of Shares
Electronic Custodial Services
Maintenance of Beneficial Holdings
Electronic Credit against Corporate Actions
Build-in-house processes that will insure transparent and harmonious relationship with its
clients and investor to provide high quality of services.
16
Establish a partner relationship with its investors service agent and vendors that will help
in keeping up it commitments to the customers.
Provide high quality of work life for all its employees and equip them with adequate
knowledge and skills so as to respond to customers needs.
Continue to uphold the values of honesty and integrity and strive to establish unparalleled
standard and business ethics.
Use state-of-the art information technology in developing new and innovative financial
products and services to meet the changing needs of investors and clients.
Strive to be a reliable source of value-edit products and services and constantly guide the
individuals and institutions in making judicious choices of same.
Strive to keep all stakeholders (share holders, clients, investors, employees, suppliers and
regulatory authorities) proud and satisfy.
DEVELOPMENT ACTIVIES
Karvy has sought to broaden the scope of its activities by examining all sectors of the economy
and by introduction new concepts, new instruments and in some cases new institution to
response to perceived needs. In this regards, karvy developmental activities have encompassed
such diverse areas as financial investment, insurance, depository participants services, skill
development activities etc.
It has also been a pioneer in setting up PAN. TAN services, and also setting up specialized
institution in certain key sections.
17
1.
2.
3.
Financial centre.
4.
Banking centre.
5.
ACHIEVMENTS
Handling the reliance account, this accounts for nearly 10 million account holders.
1. IDBI equity
2. Morgan Stanley mutual fund
3. Bank of Baroda
4. Bank of Punjab Ltd.
5. Corporation Bank.
6. Indus land Bank Ltd.
7. Jammu & Kashmir Bank Ltd.
8. Housing and Urban development corporation (HODCO) Ltd.
9. Madras Refineries Ltd.
10. BPL Ltd.
11. Birla 3M Ltd.
12. Essar shipping Ltd.
13. Essar stels Ltd.
14. Hindustan Petroleum Corporation Ltd.
15. Infosys technologies Ltd.
16. Jindal Vijay Nagar Steels Ltd.
17. Nagarjun fertilizers and chemicals Ltd.
18. Rajshree Polyfil LTD.
ICICI Bonds-96.
ICICI Bonds-97-II.
DEMAT ACCOUNT
Demat account is very much similar to saving current account of a bank, with the only
difference being that it deals with securities in electronics form and not money .A demat
account is just polite farewell to paperwork and a warm welcome to greater efficiency and for
that matter, security. A Dmat account a unique, capital-market-investor-oriented
Benefits of the Demat account:
You can also receive your bonuses and rights into your depository account as a direct
credit, thus eliminating risk of loss in transit.
You can also expect a lower interest charge for loan taken against demat shares as
compared to interest for loan against physical shares .this could result in a saving of about
0.25% to 1.5% some banks have already announced this .
20
RBI has increased the limit of loans against dematerialized securities as collateral to rs.2
mn per borers as against Rs.1 mn per borers in case of loans against physical securities.
RBI has also reduce the minimum margin to 25% for loans dematerialized securities as against
50% for loans against physical securities.
21
CHAPTER 2
INTRODUCTION
INTRODUCTION
Investment
An investment is an asset or item that is purchased with the hope that it will generate income or
appreciate in the future. In an economic sense, an investment is the purchase of goods that are
22
not consumed today but are used in the future to create wealth. In finance, an investment is a
monetary asset purchased with the idea that the asset will provide income in the future or
appreciate and be sold at a higher price.
Investor
An investor is any person who commits capital with the expectation of financial returns.
Investors utilize investments in order to grow their money and/or provide an income during
retirement, such as with an annuity. A wide variety of investment vehicles exist including (but
not limited to) stocks, bonds, commodities, mutual funds, exchange-traded funds (ETFs),
options, futures, foreign exchange, gold, silver, retirement plans and real estate. Investors
typically perform technical and/or fundamental analysis to determine favorable investment
opportunities, and generally prefer to minimize risk while maximizing returns.
Investment criteria
Investment criteria are the defined set of parameters used by financial and strategic buyers to
assess an acquisition target. Sophisticated buyers will usually have two sets of criteria:
The parameters that are disclosed publicly to intermediaries such as investment bankers,
so they know what the buyer is looking for in order to source deals that fit; and
The parameters developed for internal review that allows a buyer to quickly determine if
the acquisition should be pursued further.
The most common publicly disclosed investment criteria include the geography, size of the
investment or company targeted, and industry. Some buyers also disclose criteria regarding the
investment type which may include management buyouts (MBO), distressed opportunities, or
succession situations.
23
CHAPTER 3
INVESTMENT OPTION
FOR INVESTOR
A saving Bank account is meant for the people of the lower and the middle class who
wish to save a part of their current income to meet their future needs and also intend to earn
an income from their saving. The banks, therefore, impose certain restriction on the saving
bank account and also offer a reasonable at of interest.
3. Recurring Deposit or Cumulative Deposit Accounts
It is variant of the saving bank account. It is intended to indicate the habit of saving on
the regular basis as an inducement if offered in the form of comparatively higher rate of
interest.
4. Current Account
A current account is a running and active account that may be operated upon any number
of time.
minimum deposit is Rs-500/- and maximum is Rs-70,000/- in financial years. The amount of
deposit can be varied to suit the convenience of the account holders. The account in which
deposit are not made for any reason in treated as discontinued account and such account
cannot be closed before maturity.
1. Equity Shares
Secondary market refers to the stock exchanges where investors can buy/sell shares that
are listed on them. Equity shares have dominated Indias stock market. As a result of
significant change in the past, particularly computerization, online trading, dematerialization
and depository participation, investors are now dealing with a much more transparent and
efficient secondary markets. Equity shares yield returns in two ways: one, Dividends
declared by the companies usually at the end of the year and two the capital gains on sale of
equity shares. Liquidity of investment in equity shares depends upon the trading volumes of
the share.
An investor needs to be aware of the companies and their performance. Companies
performance should be monitored closely in order to track the investment performance.
2. Debt. Instrument
Debt instrument represent contracts where one party in the investor another party is the
issuer. Debt instrument are a way for markets and participant to easily transfer the ownership
of debt obligation from one party to another. Debt obligation transferability increases
liquidity and gives creditors a means to debt obligation from one party to another. When a
debt instrument is used as a medium to facilitate debt trading debt obligation can be moved
from one party to another quickly and efficiently. The debt contract specifies the rate of
interest, time of interest payment.
3. Maturity Fund
Mutual fund is a investment company that pools money from shareholders and invests in
a variety of securities, such as stocks, bonds and money market instruments. In Short, mutual
funds is a common pool of money in to which investor with common investment objective
place their contributions that are to be invested in accordance with the started investment
objective of the scheme the investment manager would invest the money collected from the
26
investor in to assets that are defined/ permitted by the stated objective of the scheme. Mutual
fund is a suitable investment for the common man as it offers an opportunity to invest in a
diversified, professionally managed basket of securities at a relatively low cost.
CHAPTER 4
REVIEW OF LITERATURE
27
REVIEW OF LITARATURE
There have been various studies in the past on investment, their utility and affects on the
investors and the economy at large. In this chapter an attempt has been made to review the past
related studies on the research area in order to see the potential for future research area in order
to see the potential for future research. Some of the related studies were reviewed.
Terrance (1998)
The main focused to examine this study the behavior of individual investors and find
them exhibiting disposition effects, that is, they realized their profitable stocks need aa
investment at a much higher rate than their unprofitable ones. The disposition effect is found to
influence market price; yet its economics significance is likely to be the greatest for individual
investors.
28
Revealed that stressed the importance of brand effect in determining the competitive
position of the AMCs. Their study reveals that brand image factor, through cannot be easily
captured by computable performance measures, influence the investors perception and hence his
fund/scheme selection.
Chalam (2003)
Analyzed that factors influencing the investment equity shares/mutual funds are return
capital appreciation, and tax saves purpose, liquidity, marketability and safety. Majority of the
investors prefer in real estate investment, followed by mutual fund schemes, gold and precious
metals. Majority of investors in Equity Shares are employee. They preferred only growth options
compared to income options. Majority of the investors are very much interested to take the reinvestment benefit rather than regular dividend.
Gelade and young (2005)
Examined the relationship between organization climate, employee attitude, customer
satisfaction and sales performance and concluded that teamwork climate, job enablers and
support climate are organizational climate variables, commitment is an employee attitude and
customer satisfaction and sales achievement are organizational performance measures.
Mohanty (2006)
Equity Shares are non availability of tailor-made schemes, no guarantee of returns, no
control over cost, problem of managing large corpus, volatility of return depend on market
conditions, which is subject to frequent market volatility and mostly investment period is
medium term where expected return is more.
Sa prasm (2008)
29
It examined the security market globally has been very volatile in the recent past
thousand point movement either way in the domestic market in a single day have become order
of the day the retail investor are generally always at the receiving end this kind of high vitality as
the market takes the beating the meltdown of Bombay stock exchange Sensex and national
stock exchange nifty led to erosion of several crores of retail investors health this is the reason
of security and exchange board of India has felt the need to cut the cost of buying mutual fund
schemes to makes it a viable vehicles of investment for the retail investor to participate in the
equity.
Singh (2012)
30
Analyzed that the Indian investors and observed that most of the respondents do not have
much awareness about the various function of Stock Market and they are bit confused regarding
investment in shares. The study found that some demographic factors like gender, income and
level of education have their significant impact over the attitude towards shares. On the contrary
age and occupation have do not found influencing the investors attitude. The study noticed that
return potential and liquidity have been perceived to be most lucrative benefits of investment in
shares and the same are followed by flexibility, transparency and affordability.
CHAPTER 5
31
OBJECTIVES &
RESEARCH
METHODOLOGY
32
RESEARCH METHODOLOGY
The quality and reliability of research study is dependent on the information collected in
a scientific and methodological manner. Scientific planning of designing of research method is a
blue print for any research study. Proper time and attention given in designing this research.
Selection of methodology for a particular project is made easy by sorting out a number of
alternative approaches, each of them having its own advantage and disadvantages. Efficient
design is that which ensure that the relevant data are collected accurately. Research is the
solution of the problem, whether created or already generated.
(1) Research Design
Research design is the first and foremost step in methodology adopted and undertaking
research study. It is overall plan for the collection and analysis of data in the research project.
Thus it is an organized, systematic approach to be the formulation, implementation and control
of research project.
In fact a well planned and well balanced research design guards against collection of
irrelevant data and achieves the result in the best possible way.
33
The research design is a master plan specifying the method and procedures for collecting
and analyzing needed information. The research design in this project is DESCRIPTIVE and
Descriptive research includes surveys and fact-finding inquiries of different kinds.
35
CHAPTER 6
ANALYSIS AND
INTERPRETATION &
FINDING
36
1. Occupation
Frequency
Percent
37.1
Valid
Percent
37.1
Cumulative
Percent
37.1
Government employee
26
Private employee
Businessmen
16
19
22.9
27.1
22.9
27.1
60.0
87.1
Retired
12.9
12.9
100.0
Total
70
100.0
100.0
37
Occupation
Govt. Employee
Private Employee
Businessmen
Retired
ANALYSIS:
For my analysis purpose I have 80% respondent out of which 70 respondents are
interested in investment in shares. Out of those 70, most interested investors are government
employees i.e. 37.1% and least interested in Shares are retired people i.e. 12.9% and rest 10
respondent are interested to invest in other securities because they think thet they earn more
profit then Equity shares.
2. Age Group
20 40
40 60
Above 60
Total
Frequency
Percent
31
22
17
70
44.3
31.4
24.3
100.0
38
Valid
Percent
44.3
31.4
24.3
100.0
Cumulative
Percent
44.3
75.7
100.0
Age Group
20 - 40
40 - 60
Above 60
ANALYSIS:
From the above graph, it is observed that 44.3% of the respondents are in the age group
of 20 40 years, 31.4% of the respondents are in the age group 40 60 years and 24.3%
of the respondents are above 60 years. Majority of the respondents are between 40 60
years.
3. Education
Frequency
Percent
10.0
Valid
Percent
10.0
Cumulative
Percent
10.0
Illiterate(uneducated)
Metric/senior secondary
12
17.1
17.1
27.1
Graduation
31
44.2
44.2
71.3
Post Graduation
17
24.2
24.2
95.5
Doctorate
4.5
4.5
100.0
Total
70
100.0
100.0
39
Education
Illiterate
Metric/Senior secondary
Graduation
Post Graduation
Doctorate
ANALYSIS;
From the above graph, it is observed that 44.2% of the respondents are Graduate, 24.2%
of the respondents are Post graduate, 10% of the respondents are illiterates and 3% of the
respondents are Doctorate. Majority of the respondents are Graduate.
4. Annual household income
Frequency
Percent
13
20
23
14
70
18.6
28.6
32.9
20.0
100.0
40
Valid
Percent
18.6
28.6
32.9
20.0
100.0
Cumulative
Percent
18.6
47.1
80.0
100.0
ANALYSIS:
From the above graph, it is observed that 18.6% respondents fall under income group of
less than 1.5 lakh 28.6% of our total respondents fall under 1.5-3 lakh income group,
32.9% (maximum) respondents fall under income group of between 3 to 5 lakh and 20%
respondents fall under income group above 5 lakh.
Yes
No
Total
Frequency
Percent
69
1
70
98.6
1.4
100.0
41
Valid
Percent
98.6
1.4
100.0
Cumulative
Percent
98.6
100.0
Interested in Investment
Yes
No
ANALYSIS:
This graph shows that, it is observed that 98.6% of the respondents invested in shares and
1.4 of total respondents didnt invest in any share.
Fixed deposit
Property
Shares
Insurance
Mutual Funds
Total
Frequency
Percent
5
2
51
4
8
70
7.1
2.8
72.9
5.7
11.5
100.0
42
Valid
Percent
7.1
2.8
72.9
5.7
11.5
100.0
Cumulative
Percent
7.1
9.9
82.8
88.5
100.0
Investment
Fixed Deposit
Property
Shares
Insurance
Mutual funds
ANALYSIS:
In this graph, out of 70 respondents, it is observed that 72.9% respondents prefer to invest
into shares, 7.1% respondents prefer to invest into fixed deposit, 11.5%respondents prefer
to invest in mutual funds and 8.5% respondents prefer to invest into property & insurance
7. Which in more profitable?
Fixed deposit
Mutual funds
Shares
Commodity
Total
Frequency
Percent
7
11
48
4
70
10.0
15.7
68.6
5.7
100.0
43
Valid
Percent
10.0
15.7
68.6
5.7
100.0
Cumulative
Percent
10.0
25.7
94.3
100.0
More Profitable
Fixed deposit
Mutual Funds
Shares
Commodity
ANALYSIS:
From the above table, out of 70 respondents, it is observed that 68.6% of respondents are
saying Shares, 15.7% of respondents are saying Mutual funds, 7% of respondents are
saying fixed deposit & other 4% are saying commodity in more profitable.
Frequency
Percent
21
14
22
13
70
30.0
20.0
31.4
18.6
100.0
44
Valid
Percent
30.0
20.0
31.4
18.6
100.0
Cumulative
Percent
30.0
50.0
81.4
100.0
Objective/Motive
ANALYSIS:
In the above graph, it is observed that 30% of the respondents are investing for the
purpose of long term profits, 20% invest for the purpose of generating regular income,
31.4% of maximum respondents are those who invest to secure their future & 18.6% of
the respondents who are least in number invest for tax benefit.
9. How do you prioritize the reason for investment?
Saving for future
Tax saving
Return
Future outlook
Brand value
Risk factor
2.557143
3.142857
2.942857
3.742857
4.428571
4.185714
45
ANALYSIS:
In above figure shows that, out of 70 respondents, after finding the mean saving for
future has got 2.557143 mean and tax incentives has got 3.142857mean, return has got
2.942857 mean, future outlook has got 3.742857 mean, brand value has got 4.428571
mean (maximum) & risk factor has got 4.185714 mean.
Yes
No
Total
Frequency
Percent
67
3
70
95.7
4.3
100.0
46
Valid
Percent
95.7
4.3
100.0
Cumulative
Percent
95.7
100.0
Yes
No
ANALYSIS:
In this graph, it is observed that out of 70 respondents who are interested in investment
into shares, 95.7% respondents are saying that equity shares units are safe and 4.3%
respondents are saying equity shares are not safe.
Frequency
Percent
13
38
19
70
18.6
54.3
27.1
100.0
47
Valid
Percent
18.6
54.3
27.1
100.0
Cumulative
Percent
18.6
72.9
100.0
Expected Return
ANALYSIS:
In this graph, 18.6% of respondents get less than 10% return, 27.1% of the respondents
expect return above 30% and 54.3% respondents get return between 10-30%. So majority
of respondents get 10-30% return.
Minimum risk
Moderate risk
High risk
Total
Frequency
Percent
29
30
11
70
41.4
42.9
15.7
100.0
48
Valid
Percent
41.4
42.9
15.7
100.0
Cumulative
Percent
41.4
84.3
100.0
Risk
Minimum Risk
Moderate Risk
High Risk
ANALYSIS:
From the above graph, out of 70 respondents, it is observed that 41.4% respondents can
bear minimum risk, 42.9% majority of respondents can bear moderate risk and 15.7%
respondents can bear high risk.
Prospectus/self analysis
Newspaper
Investment advisor
TV
Friends
Total
Frequency
Percent
22
12
15
11
10
70
31.4
17.1
21.4
15.7
14.3
100.0
49
Valid
Percent
31.4
17.1
21.4
15.7
14.3
100.0
Cumulative
Percent
31.4
48.6
70.0
85.7
100.0
Information
Prospectus/self Analysis
Newspaper
Investment advisor
TV
Friends
ANALYSIS:
In the graph, out of 70 respondents, it is observed that 31.4% majority of respondents
collect information through prospectus/self-analysis, 17.1% respondents collect
information through newspaper, 21.4% respondents take information through investment
advisor, 15.7% respondents take information through TV and 14.3% least of respondents
collect information through Friends.
14. What is the most important criterion for you for selecting a particular equity
shares?
Past performance
Service
Promoters Background
Any other
Total
Frequency
Percent
28
20
11
11
70
40.0
28.6
15.7
15.7
100.0
50
Valid
Percent
40.0
28.6
15.7
15.7
100.0
Cumulative
Percent
40.0
68.6
84.3
100.0
Past Performance
Service
Promoters Backgraound
Any other
ANALYSIS:
In the above graph, 40% of the respondents purchase or invest in Shares for past
performance and 15.7% respondents purchase or invest in shares for promoters
background and any other and 28.6% purchase or invest in shares for sevice.
Satisfied
Dissatisfied
Neither Satisfied nor
Dissatisfied
Total
Frequency
Percent
38
3
29
54.3
4.3
41.4
Valid
Percent
54.3
4.3
41.4
70
100.0
100.0
51
Cumulative
Percent
54.3
58.6
100.0
Level of Satisfaction
Satisfied
Dissatisfied
Neither Satisfied nor
Dissatisfied
ANALYSIS:
From above graph, it is observed that 54.3% majority of respondents are satisfied to
purchase a mutual fund and 4.3% of the respondents are not satisfied to purchase a share.
16. What deficiencies do you find in your equity shares?
Track record
Transparency
Service Quality
Any other
Total
Frequency
Percent
16
19
18
17
70
22.9
27.1
25.7
24.3
100.0
52
Valid
Percent
22.9
27.1
25.7
24.3
100.0
Cumulative
Percent
22.9
50.0
75.7
100.0
Track record
Transparancy
Service Quality
Any other
ANALYSIS:
From the graph out of 70 respondents, 27.1% respondents are saying transparency is the
major deficiency in shares and 22.9% respondents are saying track record of other
deficiencies in equity share, 24.3% respondents are saying that any other reason are
deficiencies in shares & 25.7 of the respondents saying service quality is the deficiencies
of shares.
17. Is the commission charged by the trading site reasonable?
Yes
No
Total
Frequency
Percent
44
26
70
62.9
37.1
100.0
53
Valid
Percent
62.9
37.1
100.0
Cumulative
Percent
62.9
100.0
Yes
No
ANALYSIS:
From this graph, it is observed that 62.9% of respondents are saying commission charged
by the trading site and 37.1% of the respondents are saying there is no commission
charged by trading site.
FINDINGS
Retired respondents are least interested into invest in Equity shares because they want
regular income.
Majority of 20 40 years respondents are interested into invest in equity shares because
they want capital appreciation.
12.5% of the respondents dont invest into equity shares because they earn more profit
through FD, mutual funds, property & insurance.
Majority of respondents invest into shares for secure future and tax saving
People rely more on information supplied by investment adviser & than by self analysis.
54
37.1% respondents are satisfied by trading site because there is no extra charge by this
site.
54.3% people are satisfied with equity shares, 41.4% people are neither satisfied nor
dissatisfied.
The main problem that the people find with shares in lack of Knowledge.
28.6% people think that FD is more profitable than Shares.
According to Survey 97.1% people think that the future of shares is bright.
In India most of the people having lack of awareness about shares.
12.5% people were not considering investing in shares because they have had bad
experience or they simply dont have money to invest.
CONCLUSION
Through the research I found that shares are one of the important financial instruments for
investment. People have shifted from traditional sources of investment to new financial
instruments like Mutual funds, Equity shares and Commodities etc.
The study was conducted to fulfill the objectives; the information was gathered from the
investors. This study was conducted on the investors of Patiala city only. Mostly respondents
were on government jobs so they mostly prefer to equity shares and mutual funds. Because they
think shares are more profitable than PPF, NSE & FD etc.
55
The main reason of investment in Shares is return, diversification & risk management but people
are not well aware of these benefits. So if these people are provided required awareness &
knowledge About share can act as a most preferred investment option.
On the basis of survey conducted and study of secondary data, some problems were identified
with the people, like lake of knowledge about shares, procedural complication etc. so following
suggestions are give to Karvy stock broking ltd.
The Karvy stock Broking create mere awareness among people but still there are many
people who are not aware about shares.
Karvy stock Broking should keep in view the recruitments of the rural sector also while
designing the schemes.
To promote overall growth, investor should be strengthened.
56
In the bear market, there is a need to educate investor about risk adjust return and total
portfolio return to enable them to take informed decision.
Karvy stock Broking should develop a wide broking network.
The procedural complications should also be reduced.
People should be encouraged for investing for 3 6 years for good return.
57
People also did not give proper response for Questionnaire & interview, because of short
time.
The people in high income band are not easily approachable under this method and to
that extent the data may prove inadequate.
The survey is totally depending on the response given by the respondents, which may
sometimes lead to wrong conclusions due to negligence of the people who are surveyed.
BIBLIOGRAPHY
Desai Vasant, Indian Financial System Himalaya Publishing House, New Delhi. Fisher
Donald E. and Jordan Ronald j., Security Analysis and Portfolio Management Prentice
Hall of india, Pvt. Ltd. Sixth Edition, New Delhi.
Desigan Gnana, Kalaselvi S and Anuya L (2006), Women Consumers Perception
Towards Investment: An empirical Study, Indian Journal of Marketing, April.
International Journal of Multidisciplinary Research, Vol. 1 Issue8,
Journal of Law and Economics, Vol. 23
Gorden E. and Natrajan K. (2010), Financial Markets and services, Vikas publishing
House pvt. Ltd., New Delhi.
Pandian, Punivathy (2013) financial service and management, vikas publishing house
pvt ltd, New Delhi.
Kothari C.R. (2003), New Age International pvt. Ltd., Research Methodology.
Kothari C.R. (1997) Second edition, research methodology methods and techuniques.
M.Y. KHAN, Financial Services, Tata McGraw-hill Publishing Company Limited
(2005), 3rd edition.
SEBI NCAER,2000, Survey of Indian Investors, SEBI, Mumbai.
V.A.Avadhani (2003). Himalaya publicities, Security Analysis And portfolio
Management.
Karvy The Finapolis
Karvy Business Associates Manual
The Economic Times
Business Standard
Fact sheet and statements of various funds houses.
Web Sites:
www.the-finapolis.com
www.karvy.com
www.mutualfundsindia.com
www.moneycontrol.com
www.yahoofinance.com
www.threeconomictimes.com
www.rediffmoney.com
www.bseindia.com
www.nseindia.com
59
www.investopedia.com
www.amfiindia.com
www.altavista.com
www.sebi.gov
ANNEXURE
60
62
Friday
16/1/2016
Saturday
Today I study about what kind of work doing in the Karvy. Also take
25/1/2016
Monday
Today we study about market hours, first trade & last trade. We also
27/1/2016
Wednesday
Today we study about Bulk purchasing & futures. We also study about
28/1/2016
Thursday
Today we study about top 10 Gainers & Losers of nifty and watch
29/1/2016
Friday
30/1/2016
Saturday
1/2/2016
Monday
2/2/2016
Tuesday
3/2/2016
Wednesday
4/2/2016
Thursday
5/2/2016
Friday
6/2/2016
Saturday
8/2/2016
Monday
9/2/2016
Tuesday
10/2/2016
Wednesday
11/2/2016
Thursday
12/2/2016
Friday
13/2/2016
Saturday
15/2/2016
Monday
16/2/2016
Tuesday
Calling for guiding the clients and advised them for using of demat
17/2/2016
Wednesday
18/2/2016
Thursday
account.
accounts.
presentation about Karvy.
64
19/2/2016
Friday
20/2/2016
Saturday
22/2/2016
Monday
Watch gainer, loser & global markets. Open some new & Re-KYC
23/2/2016
Tuesday
Watch gainer, loser & global markets. Open some new & Re-KYC
24/2/2016
Wednesday
Watch gainer, loser & global markets. Open some new & Re-KYC
25/2/2016
Thursday
26/2/2016
Friday
27/2/2016
Saturday
29/2/2016
Monday
Watch gainer & losers of the day & foreign markets. Calling to Re-
1/3/2016
Tuesday
Watch gainer & losers of the day & foreign markets. Calling to Re-
2/3/2016
Wednesday
Watch gainer & losers of the day & foreign markets. Attend some calls
3/3/2016
Thursday
Watch gainer & losers of the day & foreign markets. Calling to Re-
4/3/2016
Friday
Watch gainer & losers of the day & foreign markets. Calling to Re-
5/3/2016
Saturday
8/3/2016
Tuesday
their employees.
65
9/3/2016
Wednesday
Watch gainer & losers of the day & foreign markets. Attend call of
10/3/2016
Thursday
11/3/2016
Friday
Watch gainer & losers of the day & foreign markets. Attend call of
12/3/2016
Saturday
14/3/2016
Monday
Watch gainer & losers of the day & foreign markets. Attend call of
15/3/2016
Tuesday
Watch gainer & losers of the day & foreign markets. Attend call of
16/3/2016
Wednesday
17/3/2016
Thursday
Watch gainer, loser & global markets. Open an account. Attend some
18/3/2016
Friday
Watch gainer, loser & global markets. Open some new & Re-KYC
19/3/2016
Saturday
21/3/2016
Monday
Watch gainer, loser & global markets. Attend some client. Calling to
22/3/2016
Tuesday
Watch gainer, loser & global markets. Calling to new client which
23/3/2016
Wednesday
28/3/2016
Monday
_________________On Leave______________
29/3/2016
Tuesday
Watch gainer, loser & global markets. Attend some client. Calling to
clients.
and tell them about Karvy
clients.
and installed software on their laptop.
clients.
clients.
Patiala
new client.
accounts. Attend some new client.
client about services of Karvy.
clients. Give rate of shares to clients.
persons are interested to deal with Karvy.
presentation about services of Karvy.
66
30/3/2016
Wednesday
31/3/2016
Thursday
1/4/2016
Friday
Today is very important day for us. Area head & cluster head came in
2/4/2016
Saturday
Today we set a canopy in the front of Dena Bank. And open Some new
4/4/2016
Monday
5/4/2016
Tuesday
6/4/2016
Wednesday
Watch gainer, loser & global markets. Attend some client. Calling to
7/4/2016
Thursday
Watch gainer, loser & global markets. Attend some client. Calling to
8/4/2016
Friday
9/4/2016
Saturday
Today is very hard day because head office gives a target to us for 3
11/4/2016
Monday
12/4/2016
Tuesday
Watch gainer, loser & global markets. Calling to new client which
13/4/2016
Wednesday
18/4/2016
_________________On Leave______________
Monday
20/4/2016
Wednesday
67