CHAPTER 01

INTRODUCTION TO CUSTOMER RELATIONSHIP MANAGEMENT

Customer relationship management (CRM) is an approach to manage a company's interaction with current
and potential customers. It uses data analysis about customers' history with a company to improve business
relationships with customers, specifically focusing on customer retention and ultimately driving sales
growth.

One important aspect of the CRM approach is the systems of CRM that compile data from a range of
different communication channels, including a company's website, telephone, email, live chat, marketing
materials, and more recently, social media. Through the CRM approach and the systems used to facilitate
it, businesses learn more about their target audiences and how to best cater to their needs.

CRM is based on the premise that, by having a betterunderstanding of the customers’ needs and desires we
can keep them longer and sell more to them.

Traditionally, marketers have been trained to acquire customers, either new ones who have not bought the
product category before or those who are currently competitors’customers. This
hasrequired heavy doses of mass advertising and price-orientedpromotions to customers and channel
members. Today, the tone of the conversation has changed from customer acquisition to retention. This
requires a different mindset and a different and new set of tools. A good thought experiment for an executive
audience is to ask them how much they spend and/or focus on acquisition versus retention activities.

According to one industry view, CRM consists of:

Helping an enterprise to enable its marketing departments to identify and target their best customers,
manage marketing campaigns with clear goals and objectives, and generate quality leads for the sales team.

Assisting the organisation to improve tele sales,account and sales management by optimizing shared by
multiple employees,and streamling existing processes(for example taking orders using mobile devices)

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Allowing the formation of individualized relationships withcustomers, with the aimof improving customer
satisfaction andmaximizing profits; identifying the most profitable customersand providing them the
highest level of service.

Providing employees with the information and processesnecessary to know their customers, understand
their needs, andeffectively build relationships between the company, itscustomer base, and distribution
partners.

HISTORY OF CRM

Customer Relationship Management (CRM) is one of thosemagnificent concepts that swept the business
world in the 1990’s withthe promise of forever changing the way businesses small and largeinteracted
with their customer bases. In the short term, however, itproved to be an unwieldy process that was better
in theory than inpractice for a variety of reasons. First among these was that it wassimply so difficult and
expensive to track and keep the high volume of records needed accurately and constantly update them. In
the lastseveral years, however, newer software systems and advancedtracking features have vastly
improved CRM capabilities and the realpromise of CRM is becoming a reality. As the price of newer,
morecustomizable Internet solutions have hit the marketplace;competition has driven the prices down so
that even relatively small businesses are reaping the benefits of some custom CRM programs.

Advances in the 1990’sIn the 1990’s companies began to improve on CustomerRelationship Management
by making it more of a two-way street.Instead of simply gathering data for their own use, they began
giving back to their customers not only in terms of the obvious goal of improved customer service, but in
incentives, gifts and other perks forcustomer loyalty. This was the beginning of the now familiar
frequentflyer programs, bonus points on credit cards and a host of otherresources that are based on CRM
tracking 3333 customer activity andspending patterns. CRM was now being used as a way to
increasesales passively as well as through active improvement of customerservice.

Real Customer Relationship Management as it’s thought of today really began in earnest in the early
years of this century. Assoftware companies began releasing newer, more advanced solutionsthat were
customizable across industries, it became feasible to really use the information in a dynamic way. Instead

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of feeding informationinto a static database for future reference, CRM became a way tocontinuously
update understanding of customer needs and behavior.Branching of information, sub-folders, and custom
tailored featuresenabled companies to break down information into smaller subsets sothat they could
evaluate not only concrete statistics, but informationon the motivation and reactions of customers. The
Internet provideda huge boon to the development of these huge databases by
enablingoffsite information storage, where before companies had difficulty supporting the enormous amo
unts of information. The Internetprovided new possibilities and CRM took off as providers beganmoving
toward Internet solutions. With the increased fluidity of
theseprograms came a less rigid relationship between sales, customerservice and marketing. CRM enable
d the development of new strategies for more cooperative work between these differentdivisions through
shared information and understanding, leading toincreased customer satisfaction from order to end
product.

Today, CRM is still utilized most frequently by companies thatrely heavily on two distinct features:
customer service or technology.The three sectors of business that rely most heavily on CRM -- anduse it
to great advantage -- are financial services, a variety of hightech corporations and the telecommunications
industry. The financialservices industry in particular tracks the level of client
satisfactionand what customers are looking for in terms of changes andpersonalized features. They also
track changes in investment habitsand spending patterns as the economy shifts. Software specific to
theindustry can give financial service providers truly impressivefeedback in these areas.

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Definition: -

“CRM is concerned with creating improved shareholder

valuethrough the use of customer centric business processes and thedevelopment of appropriate
relationships with consumers.”

Implementing CRM:

CRM requires an integration of a firm's resources; people,operations and marketing capabilities to deliver
added value to thecustomers. CRM should provide businesses and organizations with
a‘single view’ of their customers and across irrespective of theinteractive channel or medium through
which the customer accessesthe service or product. For example, a business (e.g. hotel) customer’sprofile
and personal references should be accessible to the business(or hotel) irrespective of channel i.e. whether
the customer booksonline, calls in or walks into any location should not make adifference to the service
provided based on the personal profile of the business client.

It is enabled through:

• Information
• Processes
• Technology
• Applications

A firm that wants to implement CRM must align it's businessprocesses cross-
functionally in the best possible way to allow increased customer focus with an aim to deliver added
value to thecustomer.To implement CRM, the following steps must be followed:

• Develop a CRM framework

• Align current business processes
• Design new cross-functional business processes (whererequired)
• Develop Functional Specifications (client-side services)
• Develop Technical Specifications
• Match Technical Specifications to available technology (Systems, software, etc)
• Product Configuration
• Data Migration and Integration and Training.

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• Reduced Cost of Service:

a customer relationship strategy should reduce the cost of service for both the organization andit’s
customers and increase satisfaction levels.

• Service as a differentiator

The more competitive a market becomes the more a business will need to rely on its
superiorproduct quality and quality of service to differentiate itself fromother businesses and
providers.

• Tie-in’s over time:

The greater the effort a customer spends ona relationship over time, the greater the customer’s stake
inhelping to ensure that the relationship works and the moreconvenient and loyal the customer
becomes.

Pitfalls to avoid:

Many CRM programs fail for two reasons:

1.Lack of supportive business processes:

Because business processes and organizational goals are not part of a strategic CRM plan tied to
organizational goals and objectives.

2.Lackof an enterpriseperspective:

Relationship Marketingto be effective, it requires that the organization creates aseamless enterprise view.
A lot of CRM programs fail becausethey are assembled with disparate components that aren'tdesigned to
work together as part of a complete CRM systemdesigned to meet organizational objectives.

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 CREATE A DATA BASE

ANALYSIS

CUSTOMER SELECTION

CUSTOMER TARGETING

RELATIONSHIP MARKETING

PRIVACY ISSUE

METRICS

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 Customer Retention Programs

FREQUENCY
LOYALTY
PROGRAM

CUSTOMER CUSTOMIZATIONS
SERVICES

CUSTOMER
RELATIONSHIP
MANAGEMENT
SATISFACTION

COMMUNITY
REWARDS
BUILDING
PROGRAMS

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 CHAPTER 02

OBJECTIVES OF CRM

CRM, in its broadest sense, means managing all interactionsand business with customers.

This includes, but is not limited

to,improving customer service. A good CRM program will allow a business to acquire customers, service
the customer, increase the value of the customer to the company, retain good customers, anddetermine
which customers can be retained or given a higher level
of service. A good CRM program can improve customer service by facilitating communication in several
ways:

• Provide product information, product use information, andtechnical assistance on web sites that
are accessible 24 hours aday, 7 days a week
• Identify how each individual customer defines quality, and
thendesign a service strategy for each customer based on theseindividual requirements and
expectations.
• Provide a fast mechanism for managing and scheduling follow-up sales calls to assess post-
purchase cognitive dissonance,repurchase probabilities, repurchase times, and repurchasefrequenc
ies.
• provide a mechanism to track all points of contact between acustomer and the company, and do it
in an integrated way sothat all sources and types of contact are included, and all
usersof the system see the same view of the customer (reducesconfusion).

• Userfriendly mechanism for registering customercomplaints (complaints that are not registered wi
th thecompany cannot be resolved, and are a major source of customer dissatisfaction).

• Provide a fast mechanism for handling problems andcomplaints (complaints that are resolved
quickly can increasecustomer satisfaction).

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• Provide a fast mechanism for correcting service deficiencies(correct the problem before other cust
omers experience thesame dissatisfaction).
• Use internet cookies to track customer interests and personalizeproduct offerings accordingly
• Use the Internet to engage in collaborative customization orreal-time customization
• Provide a fast mechanism for managing and schedulingmaintenance, repair, and ongoing support
(improve efficiency and effectiveness)
• Mechanism to evaluate Potential KOMs.
• To develop integrated Database.
• Assessing the need of Potential KOMs.
• Ways to meet those needs.
• Identify the softer elements.
• Devising a way to Retain and grow with those KOMs.
• Moving further ahead Satisfaction Delightment LOYALITY
• To develop Strategy and action plan on quarter & annual basis.
• To gain knowledge about consumer behaviour
• To know ,how to maintain relationship with customer
• To Know,the needs analysis of customer
• To understand,with the help of feedback from that why customer are not trading with Angel
• To know the customer perception about companys product and services

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FEATURES OF CRM:-
1. Customer Needs- An organization can never assume what actually a customer needs. Hence it is
extremely important to interview a customer about all the likes and dislikes so that the actual needs can
be ascertained and prioritized. Without modulating the actual needs it is arduous to serve the customer
effectively and maintain a long-term deal.

2. Customers Response- Customer response is the reaction by the organization to the queries and
activities of the customer. Dealing with these queries intelligently is very important as small
misunderstandings could convey unalike perceptions. Success totally depends on the understanding and
interpreting these queries and then working out to provide the best solution. During this situation if the
supplier wins to satisfy the customer by properly answering to his queries, he succeeds in explicating a
professional and Emotional relationship with him.

3. Customer Satisfaction- Customer satisfaction is the measure of how the needs and responses are
collaborated and delivered to excel customer expectation. In today's competitive business marketplace,
customer satisfaction is an important performance exponent and basic differentiator of business strategies.
Hence, the more is customer satisfaction; more is the business and the bonding with customer

4. Customer Loyalty- Customer loyalty is the tendency of the customer to remain in business with a
particular supplier and buy the products regularly. This is usually seen when a customer is very much
satisfied by the supplier and re-visits the organization for business deals, or when he is tended towards
re- buying a particular product or brand over times by that supplier. To continue the customer loyalty the
most important aspect an organization should focus on is customer satisfaction. Hence, customer loyalty
is an influencing aspect of CRM and is always crucial for business success.

5. Customer Retention- Customer retention is a strategic process to keep or retain the existing customers
and not letting them to diverge or defect to other suppliers or organization for business. Usually a loyal
customer is tended towards sticking to a particular brand or product as far as his basic needs continue to
be properly fulfilled. He does not opt for taking a risk in going for a new product. More is the possibility
to retain customers the more is+ the probability of net growth of business.

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6. Customer Complaints- Always there exists a challenge for suppliers to deal with complaints raised
by customers. Normally raising a complaint indicates the act of dissatisfaction of the customer. There can
be several reasons for a customer to launch a complaint. A genuine reason can also exist due to which the
customer is dissatisfied but sometimes complaints are launched due to some sort of misunderstanding in
analyzing and interpreting the conditions of the deal provided by the supplier regarding any product or
service. Handling these complaints to ultimate satisfaction of the customer is substantial for any
organization and hence it is essential for them to have predefined set of process in CRM to deal with these
complaints and efficiently resolve it in no time.

7. Customer Service- In an organization Customer Service is the process of delivering information and
services regarding all the products and brands. Customer satisfaction depends on quality of service
provided to him by the supplier. The organization has not only to elaborate and clarify the details of the
services to be provided to the customer but also to abide with the conditions as well. If the quality and
trend of service go beyond customer's expectation, the organization is supposed to have a good business
with customers.

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 CHAPTER 03

IMPORTANCE OF CRM:-

Looking at some broader perspectives given as below we can easily determine why a CRM System
is always important for an organization.

• A CRM system consists of a historical view and analysis of all the acquired or to be acquired
customers. This helps in reduced searching and correlating customers and to foresee customer
needs effectively and increase business.

• CRM contains each and every bit of details of a customer, hence it is very easy for track a customer
accordingly and can be used to determine which customer can be profitable and which not.

• A CRM system is not only used to deal with the existing customers but isalso useful in acquiring
new customers. The process first starts with identifying a customer and maintaining all the
corresponding details into the CRM system which is also called an 'Opportunity of Business'. The
Sales and Field representatives then try getting business out of these customers by sophistically
following up with them and converting them into a winning deal. All this is very easily and
efficiently done by an integrated CRM system.

• The strongest aspect of Customer Relationship Management is that it is very cost-effective. The
advantage of decently implemented CRM system is that there is very less need of paper and
manual work which requires lesser staff to manage and lesser resources to deal with. The
technologies used in implementing a CRM system are also very cheap and smooth as compared
to the traditional way of business.

• All the details in CRM system is kept centralized which is available anytime on fingertips. This
reduces the process time and increases productivity.

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• Efficiently dealing with all the customers and providing them what theyactually need increases the
customer satisfaction. This increases the chance of getting more business which ultimately
enhances turnover and profit.

• If the customer is satisfied they will always be loyal to you and will remain in business forever
resulting in increasing customer base and ultimately enhancing net growth of business.

• In CRM system, customers are grouped according to different aspects according to the type of
business they do or according to physical location and are allocated to different customer
managers often called as account managers. This helps in focusing and concentrating on each and
every customer separately.

• In today's commercial world, practice of dealing with existing customers and thriving business by
getting more customers into loop is predominant and is mere a dilemma. Installing a CRM system
can definitely improve the situation and help in challenging the new ways of marketing and
business in an efficient manner. Hence in the era of business every organization should be
recommended to have a full- fledged CRM system to cope up with all the business needs.

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Limitations of CRM

Customer relationship management are strategies that companies employ when dealing with customers.
Many limitations with CRM solutions exist and overcoming these challenges has become a point of
interest in business.

Function

CRM helps a business acquire customer information, such as purchase habits and marketing strategies.
However, limitations can cause a CRM to fail, including company employees who do not commit to a
CRM, poor communication of the system to the employees or strict rules that do not allow for flexibility
or changing of the CRM when necessary.

Considerations

Every CRM system has limitations that could include the functionality of a product, the cost to implement
it, or whether it fits a particular business model. When selecting a particular CRM, a business must
consider how long it will take to configure and setup the CRM, and how complex it is for end users.

Types

An outsourced CRM solution allows a company to quickly implement a system, but it may not work for
larger companies with the in-house skills and time to develop a CRM solution. Off-the-shelf CRM
solutions integrate into an existing business, but the system may not have all of the functionality a
business requires. Custom CRM software can be tailored to specific company needs, but is often the most
expensive CRM.

User Generated Limitations:

Limitations also arise from the user standpoint. When reviewing the interface and usability of different
software, if the process of entering customer information or other frequent tasks is too complex or
cumbersome, it will create an entirely new set of user-created limitations including lack of commitment
to the CRM. How many features does the administrative user interface offer? Is it easy or difficult to

14
support or maintain the system? A usability review process will help save your business time and money
especially on the training front, reduce the learning curve and ensure the CR1-1system is actually
improving workplace efficiencies. Businesses should also be keen on the way they communicate
important CRM procedures to employees to avoid additional limitations due to human factors.Don't
establish too many rules or strict procedures that limit the flexibility of your Users or prohibit higher-
rates of adoption.

Implementation Limitations:

Because custom CRM software is often too expensive for most businesses, operating on a budget, we
also recommend working with your technical expert on the limitations surrounding implementation.
Consider how long it will take to configure or set up the system, or if there are any limitations on the
customizations you seek. Many platforms, Salesforce included, will allow your business to implement
and customize within a shorter timeframe, and offer more functionality (fewer limitations) with higher
licensing models.

Don't let the negativity of "limitations" persuade your business away from the many positive benefits of
CRM. Planning ahead and educating yourself from the beginning will help your business secure the
appropriate solution for your needs. With the vast amount of information and options available, it's no
surprise that many businesses end up hiring a CRM consultant who knows all the pro's and con's, and
who can help businesses overcome these limitations.

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 CHAPTER 04

INTRODUCTION TO THE INDUSTRY

Broking industry is growing for last ten year with leaps & bounces to Indian economy and stock market.
Brokerage houses are known as intermediaries between market and investor and play a key role in execute
the functions to carry on the stock market. All the brokerage houses having different sort of charges and
fee according to their facilities and efficiency provided to investors. They manage the portfolio, risk
management and providing guidance to investor for dealing in security market the major players of Indian
broking industry are as follows:-

1. Motilal Oswal Securities Limited

2. Bonanza Portfolio Limited

3. Religare Limited

4. Hem Securities Limited

5. Angle Broking Limited

6. India bulls Securities Limited.

7. Anand Rathi Securities Limited

8. Share khan Limited

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 MOTILAL OSWAL FINANCIAL SERVICES LTD

Motilal Oswal Securities Ltd. (MOSL) was founded in 1987 as a small sub broking unit, with just
two people running the show. Focus on customer-first-attitude, ethical and transparent business
practices, respect for professionalism, research-based value investing and implementation of
cutting-edge technology has enabled us to blossom into an almost 2000 member team.

• Registered Office :-

Palm Spring Centre, 2nd Floor, Palm Court Complex, New Link Road, Malad (West),
Mumbai - 400 064.

• Motilal Oswal Towers, Junctin Off, Khale Road, Prabhadevi, Mumbai - 400025

COMPANY PROFILE

Motilal Oswal Securities Ltd. (MOSL) was found in 1987 as a small sub-broking unit, with just two
people running the show. Focus on customer-first-attitude, ethical and transparent business practices,
respect for professionalism, research-based value investing and implementation of cutting-edge
technology has enabled it to blossom into an almost 2000 member team.

Motilal Oswal Securities Ltd. is a well diversified financial services firm offering a range of financial
products and services such as Wealth Management, Broking & Distribution, Commodity Broking,
Portfolio Management Services, Institutional Equities, Private Equity, Investment Banking Services and
Principal Strategies.

17
We have a diversified client base that includes retail customers (including High Net worth Individuals),
mutual funds, foreign institutional investors, financial institutions and corporate clients. We are
headquartered in Mumbai and as of September 30th, 2010, had a network spread over 591 cities and
towns comprising 1,504 Business Locations operated by our Business Partners and us. As at September
30th, 2010, we had 666,633 registered customers.

In 2006, the Company placed 9.48% of its equity with two leading private equity investors based out of
the US – New Vernon Private Equity Limited and Bessemer Venture Partners. The company got listed on
BSE and NSE on September 9, 2007. The issue which was priced at Rs.825 per share (face value Rs.5 per
share) got a overwhelming response and was subscribed 27.18 times in turbulent market conditions.

The issue gave a return of 21% on the date of listing. As of end of financial year 2008, the group net
worth was Rs.7 bn and market capitalization as of March 31, 2008 was Rs.19 bn. Credit rating agency
Crisil has assigned the highest rating of P1+ to the Company‟s short-term debt program. Shareholding
Pattern at on 31st December 08. As of December 31st, 2008; the total shareholding of the Promoter and
Promoter Group stood at 70.37%. The shareholding of institutions stood at 10.07% and non-institutions at
19.56%

MOTILAL OSWAL SECURITIES LIMITED PRODUCT AND SERVICE

EQUITY Trading Platform offers online Equity & Equity Derivatives trading facilities for investors. This
high-end, efficiently integrated application makes trading convenient, quick and hassle free.

• Equity Advisory Group: In keeping with its tradition of personalized service, Motilal Oswal
Securities Limited provides Customized Equity Advisory Group to clients based on their profile.
Equity Research is an inherent strength of MOSt. Our advisory team has highly trained equity
professionals, who act as your Equity Advisor.

• Centralized Advisory Desk (CAD):The MOSt Equity Advisory Group is based in Mumbai at
largest dealing and advisory floor of India. This centralized advisory team caters to peculiar
Investment need of every HNI & MNI client and business partner; in a seamless, speedy and
reliable manner using state-of-the-art technology and telecommunication infrastructure.

18
• Online: MOSt Online is the techno savvy alternate of our broking services. Online service is for a
segment of investors who have different expectations from an equity wealth manager restricting
their willingness and ability to sort to premium advisory services.

Benefits

MOSt Advisory Group is equipped to augment and alter the investments in an effort to create
healthy portfolio. MOSt Equity Advisor adjusts the portfolio to value addition and erosion across
the researched companies. On the trading side the ideas are picked out of bouquet of products
suitable to the trading appetite.

Customers will receive regular portfolio valuation reports to enable you to monitor performance
and view the progress towards the investment objective.

DERIVATIVE Futures &Options (F&O):

Futures & options are derivatives, which use equity as their underlying. Hence our Equity
Advisory Group (EAG), will also act as your advisors for F&O & help you take informed
decisions while trading in these derivative instruments.

Why F&O: Since derivatives instrument provide good leverage opportunity, it is a great tool for
speculation. Leverage is a double edge sword for which one requires an equity advisor. Our
advisors will also help you with various strategies like Bull Spread, Bear Spread, Cover call
writing, hedging strategies etc. This is to help you to make better trading returns.

Client Profiling:

MOSt Equity Advisor determines each EAG client's profile before deciding the set of derivative
strategies that will ideally suit him/her. Hence if you have a good risk appetite & are willing to
take riskier bets in the expectations of better returns we will suggest aggressive strategies like
buying naked futures.

19
 • Trading: The MOSt Equity Advisor is an expert in providing trading ideas, and at the same time
monitoring those ideas as per your profile.

• Integrated Approach: We use integrated approach in our trading strategy using a combination of
futures, writing calls, buying puts to help you reach your trading goal.
• Portfolio Tracking Software: Your F&O position will be continuously monitored using Portfolio
Tracking Software

.ONLINE TRADING My Broker:

Welcome to Motilal Oswal Securities Ltd. and Trade online through our MyBroker platform. Be your
own broker with complete research support from MOSL which helps you to make right decision at right
time. You can choose your trading a/c which suits your trading habit‟s & preference and trade anywhere,
anytime. Buying and selling is as easy as click of a button.

• MyBroker Easy works very fast on low speed internet connection.

• MyBroker Mobile Helps you to buy or sell through your mobile phone

• MyBroker Desktop works best on high speed internet connection and suited best for heavy traders

• MyBroker Spectrum is suited best for investors and traders who want live market watch and faster
execution.

• IPO Offerings

• Apply for IPO‟s online without filling up physical forms or writing out cheques.
• Check your IPO order status details .
• Modify/cancel your bids online .
• Transfer funds online to your IPO account.

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Mutual Funds Offerings

• Transfer funds online to your MF account .

• Get the latest news and information in the world of Mutual Funds.

• Avail of top class research on various Mutual Funds.

INSURANCE

Motilal Oswal Securities added Life Insurance during April 2008 to our Wealth Management Portfolio
thereby filling the gap in our basket of the products and thus providing comprehensive financial planning
to our clients covering not all wealth creation solutions, but also wealth protection through proper risk
management process.

MOSL through our insurance partners offers insurance coverage and wealth creation opportunities to
meet your different financial goals during the various stages of your life. The plans offer you the control
to manage your protection and investment in one account. It is designed to remove your worries and
making you secure in the knowledge that you and your loved ones are protected against any untoward
events.

COMMODITIES

Ever since the dawn of civilization commodities trading have become an integral part in the lives of
mankind. The very reason for this lies in the fact that commodities represent the fundamental elements of
utility for human beings. Over the years commodities markets have been experiencing tremendous
progress, which is evident from the fact that the trade in this segment is standing as the boon for the
global economy today. The promising nature of these markets has made them an attractive investment
avenue for investors. Earlier investors invested in those companies, which specialized in the production of
commodities. This accounted for the indirect investments in commodity assets.

21
About MOCBPL Unique Experience

Motilal Oswal Commodities Broker Pvt. Ltd. (MOCBPL) is a fully owned subsidiary of Motilal Oswal
Financial Services Ltd. and has been providing commodity trading facilities and related products and
services on MCX and NCDEX. Besides access to the best of research in the form of Daily Fundamentals
& Technical Reports on highly traded commodities, our clients also get access to our exclusive
Customized Trading Advice on both the trading platforms.

• Solid Research: Client at MOCBPL gets access to the best of research in the form of Daily
Fundamental and Technical Research Reports on highly traded commodities.

• One Stop Shop: MOCBPL provides end-to-end advice for all the commodities to all our
prestigious individual investors. Privileged customers also get exclusive & customized advice.

• Dual Membership: MOCBPL has membership to MCX and NCDEX exchanges which gives the
clients to take advantage of the dual exchange trading facility provided by us.

• Personalized Service: We provide personalized service through dedicated relationship managers

for quick and efficient execution of transactions and for regular follow ups.

22
MUTUAL FUNDS

Investments can seem complicated and mystical. Since all the traditional investment avenues like bank
deposits, RBI Bonds, NSC, KVP etc are becoming unattractive with the interest rate falling continuously,
one needs to look for other investments alternatives. Mutual funds offer the ideal platform to participate
in the Equity & Debt market indirectly through professional management.

Mutual funds are becoming the most popular investment vehicles offering various kinds of schemes with
different investment objectives. Investments through Mutual funds are one of the safest, easiest and
convenient ways of making successful investments. The investments are in congruence to the laid down
investment objectives securing the goals & objectives of the unit holders.

At Motilal Oswal Securities Ltd, we understand the importance of financial goals of our privileged clients
and provide you comprehensive solutions to all your financial needs. Through our tailor made portfolios,
we serve your needs better and help you make informed investment decisions. Our dedicated Mutual fund
desk gives you Solid advice backed services thus giving you the edge that you always wanted.

Services Offered

• Need based advisory, fully backed with solid research.

• Dedicated Mutual fund advisors to understand your needs and help you ild a tailor made portfolio.

• Monthly review of portfolios.

• Monthly Fact-sheet covering our analysis of various funds.

• Knowledge sharing through educational seminars and workshops.

23
MOSL PMS

Motilal Oswal Securities runs three types of PMS schemes meant for investors with different investment
preferences. While our Value PMS scheme is meant for investors with long-term interest in the market,
our Bull’s Eye PMS scheme is meant for investors who want to take moderate risk and generate healthy
returns from the equity market from time to time. Discover Value PMS Scheme is create wealth for
investors, which comes through consistent over long term.

Its clients, investor community and some of the most prestigious publications like Asia money and
Institutional Investors amongst others acknowledge Motilal Oswal Securities as one of the leading
research based equity broking house in India. With about 15% of our revenue invested in our research
capability, we have some of the sharpest resources that produce excellent research insights on companies.
The same is then passed to our highly rated portfolio management and investment advisory team that
works on its personalized investment strategy

Research Products and how to use them

Daily Market Information : Our intelligence network gets latest market news and information during
the market hours, from various sources, for intra-day traking.

Morning Calls : MOSt relationship Managers determine the picks and sells for the day, based on the
morning meeting with our fundamental and technical analysis teams.

Market Diary: You get a brief on previous day’s market action along with our investment
recommendations for positional trades. Please note that these are based purely on technical analysis. This
is e-mailed to you.

Derivatives Trader : You can follow the actions for the F&O segment from this. Choose your pick from
the list and just follow the directions given. Regular followups come right behind on following days. This
is emailed to you.

Monthly and Periodically Sector Scan: The product is based on technical analysis of various sectors
through in-house built sectoral indices. Scrip specific recommendations are done 18 on a top-bottom
approach with a medium term positional trade outlook based upon weekly charts. Frequency of the
product is on as-and-when basis, that is when there is something interesting the sector.

24
Most Value : It is one of the most valued retail research offerings. We share Mr. Raamdeo Agrawal’s
view on markets, along with model portfolios built for different risk profiles with a medium to long-term
perspective. You also benefit form the theme articles written on equity investments. Also, the numbers
are format for all scrips covered by Inquire. This is both e-mailed and printed for you

25
DEPOSITORY

“MODES”- Motilal Oswal Depository Services In the times of T+2 having a demat account linked to
your trading account becomes really convenient. The non-trading clients can also avail of MODES.

Today MODES is available at all business locations of Motilal Oswal. In terms of number of accounts
MODES is the second biggest Depository Participant in CDSL with over 150,000 accounts. The trust
they have in Motilal Oswal is reflected by their cumulative holding in MODES worth over Rs. 3400
crores.

Holder of a MODES account receives regular account reports and an efficient service at all times. Clients
having holdings over Rs. 10 lac receive special SMS service. They get recommendations on their
holdings based on Motilal Oswal Research rated the "Most Independent Research - Local Brokerage" by
Asia Money Brokers Poll 2006.

BENEFITS

As an investor you will enjoy many benefits if you buy and sell shares in the depository mode. The
following are some of the benefits you will enjoy:

• No bad deliveries
• No risk of loss, mutilation or theft of share certificates
• No stamp duty for transfer of shares
• Reduced paper work
• Fast settlement cycles
• Low margin on securities pledged with banks
• Increase in liquidity of your securities because of faster transfer and istration of securities in your account
• Instant disbursement of non-cash benefits like bonus and rights into your account.

LOAN AGAINST SHARES

Loan Against Securities (LAS) is getting instant liquidity from your investment without selling them. All
you have to do is pledge your securities in favour of Motilal Oswal Financial Services Limited (MOFSL).
This enables you to enjoy all corporate benefits accrued on your securities and still avail loan against
them. No EMI or prepayment charges applicable. Interest will be charged only on the actual amount and
that too for the time it is utilized

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Process

Account Opening We at MOFSL understand your needs and help you meet your liquidity requirements.

As an Individual or Corporates, you can avail LAS in 3 simple steps:

• Open a Trading and Demat account with Trading Member and depository Participant.
• Sign Master Loan Agreement with MOFSL.
• Open Bank Account with a designated bank.

Benefits of LAS with MOFSL

• Exhaustive list of approved securities.

• Loan go up to 75% of securities amount.
• Pay interest only on the amount outstanding and only for the time used.
• Interest is calculated on the daily outstanding balance and debited to your account at the end of every
month.
• Can also be availed against open ended mutual fund schemes.
• Enjoy all corporate benefits like bonus, dividends etc accrued on your securities

PRIVATE EQUITY

Motilal Oswal Private Equity Advisors Private Limited (“MOPEAPL”) is the private equity arm of
Motilal Oswal Financial Services Limited (“MOFSL”). Started in 2006, it has quickly emerged as one of
the most active private equity funds in the country with the primary investment objective of achieving
long-term capital appreciation by providing financial, strategic and operational assistance to emerging
companies in the Mid Market (“MMEs”) space and Real Estate sector.

• Currently manages and advices two funds:

India Business Excellence Fund India Business Excellence Fund [“IBEF”] is a sector agnostic fund with a
corpus of INR 5.5 bln (US$125 mln) from both Indian and Overseas investors. IBEF makes investments
in Indian MMEs looking for growth capital and has made eight investments since its inception in January
2007 in companies across various industries.

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Key features of the fund are:

• The fund can invest at the early stage of land acquisition giving it a competitive edge
• Flexibility of investments in terms of size, timing, method and partnering with midsized
developers will provide easier entry and exit strategies
• Diversified portfolio of assets spanning across geography, asset class and type providing lower
risk and higher returns
• Focused on residential and commercial projects, opportunistic investments in retail and other
assets with a moderate timeframe for completion
• Focus on top 15 urban agglomerations due to high growth in urbanization
• Fund large-midsized regional developers looking for equity partnership and also large size
developers having fund requirements for land acquisitions.

INVESTMENT BANKING

Motilal Oswal Investment Advisors Private Limited (MOIAPL) Founded in June 2006, MOIAPL offers
comprehensive Investment Banking solutions and transaction expertise covering private placement of
equity, debt and convertible instruments covering international & domestic capital markets, mergers &
acquisitions advisory and restructuring advisory & implementations.

The team comprises of multi-disciplinary professionals with extensive collective banking and corporate
finance advisory experience. An in-depth understanding of different sectors within the Investment
Banking team underpinned by the two decade old research strength of the group company, Motilal Oswal
Securities Limited enables us to provide customized financial solutions to our clients across industries.

To pursue our mission, the team inculcates the following values with utmost sincerity:-

• Integrity: We honour our commitments and work on transactions keeping in mind the long term
interests of the clients.
• Client Orientation: We start with gaining a thorough understanding of the client‟s needs and
then offer solutions keeping in mind the priorities and suitability to them.

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• Knowledge based solution offering: Our quest for offering the optimum solutions is supported
by the knowledge and research on the underlying business and products, resulting in high quality
financial and strategic advice.
• Quality: Our endeavour to follow the best global service standards and processes resulting in
outstanding execution support for the transactions.
• Passion: We are passionate about our work. This results in innovative solutions and greatly
enhances the probability of transaction closures.

Domestic Capital Markets

We are a Category-I Merchant Banker registered with the Securities and Exchange Board of India
(SEBI) authorizing the company to manage, advice and underwrite domestic capital market issues.
We have expertise in Initial Public Offerings, Qualified Institution Placements, Follow-On Public
Offerings, Rights Issues, Open Offers and Buy Backs.

International Capital Markets

We work with Indian Corporates to tap overseas investors through listing an FCCB or GDR issue on a reputed
international stock exchange. We have placed FCCBs with overseas investors leveraging our strong
relationships with overseas process agents, international lawyers and listing agents 30

Private Equity Syndication

We leverage our extensive network of relationships with Private Equity Funds to raise growth capital for our
clients to fund their expansion strategies.

Structured Finance Syndication

We have built a strong reputation for advising and executing complex Structured Finance transactions.
Implementation of a structured finance solution allows corporate clients to postpone or limit equity raising
thereby leading to lower dilution.

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Mergers and Acquisitions

Advisory We focus on providing solutions and support in implementing strategic decisions of our
clients on target evaluation, acquisition, strategic alliances, divestitures, restructuring, de-mergers,
privatization and mitigation of potential takeover threats. We are active on both buy-side and sell-side
mandates leveraging our industry knowledge, deep relationships and extensive experience in
facilitating and financing acquisitions.

Financial Restructuring Advisory

We specialize in helping companies come out of financial distress. We work with our clients in all
aspects of the transaction including structuring, valuation, negotiations for most optimal settlement
and fund raising to facilitate implementation of the proposed solution.

Real Estate Advisory

We assist firms in raising funds for real estate construction / development projects at the „holding
entity‟ level as well at the „project SPV‟ level. We work with our clients through all stages of the
transaction from developing a nuanced understanding the client‟s cash flow requirements to capital
structuring of the transaction, evaluating of various funding raising options and execution of the
transaction up to assisting in documentation, regulatory clearances and eventual funding.

MOTILAL OSWAL SECURITIES LIMITED’S STRENGTHS:-

• Analytical advisory
• Professional knowledge
• Brand affiliation
• Well Trained.
• Good Investor Base.
• Highly Determined.
• Well Established Network.
• Exclusive Concept.
• Diversified Operations Team.

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MOTILAL OSWAL SECURITIES LIMITED’S SUPERIOR TECHNOLOGY AND ROBUST
RISK MANAGEMENT TOOLS

We recognize the need to have a sophisticated technology network in place to meet our customer needs as
well as to

Effective use of Technology

• Our IT infrastructure includes a world class data centre, offline and online trading platforms with
99.8% planned uptime and a cost effective combination of VSAT, leased lines, VPN and other
modes to provide superior connectivity to our wide spread business network.
• Over 8500 terminals are managed through this network across various equity & commodity
• Dedicated data center at Malad, Mumbai with 28,500 sq ft area.

Robust risk management system

• Monitor and control risk exposure through a variety of separate but complementary financial,
credit, operational, compliance and legal reporting systems 
• Real-Time Risk Management - Gives users information on clients‟ open positions 
• Risk management department analyses this data in conjunction with our risk management policies
and takes appropriate action where necessary to minimise risk.

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Motilal Oswal Securities Limited Core Purpose And Values:-

Core Purpose:

To be a well respected and preferred global financial services organization enabling wealth creation for
all our customers.

• Integrity :- A Company honouring commitment with highest ethical and business practices.
• Teamwork:- Attaining goals collectively and collaboratively.
• Meritocracy:- Performance gets differentiated, recognized and rewarded in an apolitical
• Passion & Attitude:- High energy and self motivated with a “Do It” attitude and entrepreneurial
spirit.
• Excellence in Execution:- Time bound results within the framework of the company ’s value
system.

Motilal Oswal ,Trustee, Chairman & Managing Director

Motilal Oswal is an associate director and is the Chairman of the Board of Motilal Oswal Trustee
Company Limited. He is also Managing Director of Motilal Oswal Financial Services Ltd. He has varied
experience of over 2 decades in the financial service sector. Mr. Oswal has served on the governing board
of the Bombay Stock Exchange (BSE) as a Director. He has also been member of the National Stock
Exchange (NSE) committee for F&O and a member of the Managing Committee of Indian Merchants'
Chamber (IMC).

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He is a board member and a Director of Jain International Trade Organisation (JITO). He is also a
Director on the Board of various Companies.

Mr. Oswal has received the "Rashtriya Samman Patra" awarded by the Government of India for being
amongst the highest Income Tax payers in the country for a period of 5 years from FY95–FY99.

The Indian Council of Management Executives (ICME) has awarded the „Knight of the Millennium‟ to
Mr. Oswal for the Capital Market.

ACHIEVEMENTS

• Motilal Oswal Won Highest No Of Awards In Zee India`S Best Market Analyst Awards.
• Motilal Oswal wins GOLD for marketing effectiveness at the Global ACEF customer engagement
awards (Awarded for Think Equity. Think Motilal Oswal TV Ad)
• Motilal Oswal Securities Ltd wins the Best performing National Financial Advisor - Equity
Broker at the CNBC TV18 Financial Advisory Awards 2016-17

2009:
Motilal Oswal Securities Ltd. rated as No.1 Broker in ET Now - Starmine Analyst Awards 2009

Motilal Oswal 5th Annual Global Investor Conference was held in Mumbai were around 80 Indian
Corporates participated and over 400 investors from all over the world attended

Motilal Oswal Securities Ltd. enters 'Limca Book of Records' for creating India's largest dealing room in
Mumbai

MOSL was 'Rated No.1 – Best recommendations Mid & Small Caps' and won awards in 3 out of 4
categories at the Starmine India Broker Rankings 2009 from Thomson Reuters

2008:
MOSL awarded the prestigous Nasscom - CNBC TV 18 IT User Award – 2008

MOSL awarded 'The Best Franchisor in Financial Services' by Franchisee World Magazine 2008 for the
second consecutive year

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MOSL creates one of India's largest Equity Dealing & Advisory rooms, spread over 26,000 sq ft in
Malad, Mumbai

Motilal Oswal's India Business Excellence Fund raised USD 125 million, 25% higher than the initial
target of USD 100 million

D & B survey rates MOSL as India's top Broking House in terms of total number of trading terminals

MOSL alliance with IDBI Bank to offer Online Trading Services

AsiaMoney Brokers poll 2007 rates Motilal Oswal Securities Ltd. - Best Overall Country Research -
Local Brokerage

2007:

The Strategic partnership between MOSL and SBI - EZtrade - reaches an important milestone i.e. In less
than a year it has managed to sign up more than 10,000 customers

Starts Knowledge First campaign

Motilal Oswal was percieved as the most Research driven stock trading player - Starcom Mediavest
Survey

Introduces a separate brand for Private Client Group – Purple

Motilal Oswal Commodities Broker Pvt Ltd (MOCBPL) bagges Globoil India's prestigious 'Outstanding
Commoditiy Broking House 2007' Award

Motilal Oswal Financial Services ltd. gets listed on the BSE & NSE

Mr. Motilal Oswal - Chairman and Managing Director has been appointed as a member of the Managing
Committee of Indian Merchant Chambers

Motilal Oswal Financial Services Ltd files RHP with SEBI for an IPO
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Motilal Oswal Financial Services Ltd. features as a case study in Harvard Business School

Motilal Oswal Financial Services Ltd ties up with Punjab National Bank to offer online trading to its
customers

2006:

Motilal Oswal Financial Services Ltd ties-up with State Bank of India to offer online trading

Motilal Oswal Financial Services Ltd was declared as the Best Research House forIndian Stocks in 2006
as per AQ Research

Avaya Global ranked MOSL as the second best company in the Financial Sector for customer
responsiveness

Asiamoney Brokers poll 2006 rates Motilal Oswal Securities – Most Independent Research- Local
Brokerage

Introduces unique 1 paisa trading scheme for online Derivatives trading

Launches the India Business Excellence Fund (IBEF), a US$ 100 mn India focused Private Equity Fund

Investment Banking business advises Aban in their majority controlling stake of Sinvest ASA – one of
the largest investment banking deals of 2006

Places 9.48% with two leading private equity investors - New Vernon Private Equity Limited and
Bessemer Venture Partners

Issues about 13% of companies equity to employees as ESOPs

Acquires a leading south Indian brokerage firm - Peninsular Capital Markets. Also acquires 1 more
brokerage firms in UP

Enters Private Equity and Investment Banking businesses

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Value PMS gives 390% returns to its investors between Feb 2003 and March 2006

Relaunches its e-Broking service through a nationwide campaign. First advice-based online

.MARKETING DEPARTMENT

The main aim of marketing activities at Motilal oswal is that the customer should get enough guidance to
join the company and how he can get the best service than any other stockbroker. This year MOFSL
introduced a new brand philosophy. The relentless focus on research and insight, which is the DNA of the
company, has manifested itself in the brand idea - „Knowledge First‟. This simple philosophy of
'Knowledge First' has been brought alive through a multimedia campaign in TV, print, outdoor and the
web.

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LATEST PRODUCT OF MOTILAL OSWAL FOR CUSTOMERS

• TRADE GUIDE SIGNAL(TGS)

• ADVICE ON COMBINATION EQUITY(ACE)
• MOBILE APP FOR INVESTORS AND TRADERS

Trade Guide Signal:-

Trade Guide Signal (TGS) is a premium subscription based tool exclusive for MOSL Trading Account
holders. Traders are losing money because most of them are disorganized and make instant trading
decisions influenced by hope, greed and fear. What separates the profit makers is that they are organized
traders and have their own trading plan as per their trading style. Trade Guide signal provides you robust
technology to design and execute yo9ur trading plan on a single platform.

Trading plan is a set of rules which clearly defines what, when & how trading is to be done. This plan,
backed by robust technology can transform you into an organised and hence, more efficient trader. The
Trading Guide Signal Trader Test enables identification of one 's trading style. It analyses a trader 's
personality on 7 factors and gives a complete snapshot of strengths and weaknesses.

Why you need Trade Guide Signal

'One Click Multiple Order ' execution

This innovative functionality is high on efficiency and ease. When a signal is generated, a prefilled batch
order form opens automatically based on the setting done in the trading planner. All you have to do is
click 'Send '. So, trading happens on autopilot based on intelligent algorithms.

Automatic entry signal generation

Every stock has a unique volatility range. When the price crosses the range and behaves abnormally in
either direction, then Buy/Sell entry signal is generated with a calculated entry stop loss.

Trailing Stop Loss

Entry Stop loss is the maximum possible loss from the trade. Stop loss is revised when price moves in the
direction of your trade and is called trailing stop loss.
The entry stop loss % for each stock is different based on its volatility. Trade Guide gives you calculated
real time stop loss trailing for each stock, after performing lakhs of complex calculations to understand its
volatility.

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Activates 'No Trading Zone '
During sideways market Trade Guide generates lesser number of signals due to an inbuilt "No Trading
Zone" strategy. TradeGuide generates signals only when there is strength in the trend.

3 winning strategies
TradeGuide Signal is built on 3 tenets

1. Positional (trading for few weeks)

2. Swing (trading for few days)
3. Intraday (trading for few hours)

The positional signals are

• Generated on all F&O stocks with a stop loss of 1.5 % to 6 %

• These trade signals are suitable for those who wish to take positions for a few weeks
• Positional traders are interested in making profits from the primary trend rather than day to day
fluctuations
• Stoploss revision mechanism is slow to capture larger price momentum

Swing signals are

• Generated on all F&O stocks, 3 Indices, 4 currencies and 9 commodities with a stop loss of 1 % to
5%
• These trading signals are suitable for those who wish to take positions for a few days
• Swing traders are interested in short term trends and price momentum.
• Stoploss revision mechanism is fast to ancash substantial gains from price momentum

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Intraday Signals are

• Generated on all F&O stocks, 3 Indices, 4 currencies and 9 commodities with a stop loss of 0.05 %
to 1.5 %
• The signals are generated after 30 minutes of market open.
• No new signals are generated after 30 minutes prior to market closed and timeout exit occurs 15
minutes prior to market closed.
• Intraday signals are suitable for those who wish to trade and exit on the same day

Understanding signal tracker

Entry Time: Displays the entry time when the signal was generated.
Entry Price: The price at which the Entry signal was generated.
Stop Loss: The Stop loss for the signal generated or the signal which is open.
Entry Stop loss %: The Stop loss in terms of percentage to the entry price.
Peak Price: The highest price reached by the stock after the signal was generated and before the exit
signal.
Peak profit %: The highest profit percentage that could have been achieved, if exited at the peak price.
Risk Reward(R:R): Ratio of stop loss % to current profit/loss %
Peak R:R: the highest value of R:R since the signal was generated until exit.
Risk Reward %: The risk to reward multiple in terms of percentage.
Status: Displays whether it is a Long or Short signal.
Action: (only in Existing Signals Row): Displays what action was taken as "Exited " or "Stop loss
Triggered ".

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ADVICE ON COMBINATION EQUITY(ACE)

ACE Cash is an Algo based portfolio which aims to deliver superior returns by recommending an
exclusive basket of growth oriented stocks.

• Minimum investment of Rs. 5 Lakhs

• Apt for retail investors with medium to high risk appetite

• Generates higher returns over long term (1-3 years) horizon with no lock in period

• Amount invested in 4 installments based on appropriate market timing without any emotional bias

• Optimal asset allocation mix with the perfect combination of large cap and mid cap stocks

• Effective use of liquid bees to make your money work round-the-clock

• Complete transparency with power of discretion to act upon every recommendation.

ACE Derivatives - Key Highlights

ACE Derivatives is a pre-packaged algo based portfolio ideal for investors who are looking to have
higher exposure and generate favorable returns with an investment horizon of 1-3 years.

• Minimum investment of Rs. 15 Lakhs

• Positions are taken in contracts across 5-10 stocks from Nifty Basket
• Portfolio hedging with use of options to hedge your risk optimally
• Only buying of future contracts, no short selling
• Complete transparency with power of discretion to act upon every recommendation
• Real time tracking dashboard to track the progress of your portfolio anytime.

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 • MOBILE APPLICATION:-

Multi-asset trading

Trade across all asset classes with the convenience to place After Market Orders (AMO)

My Snapshot

Get a smart summary of your trading account including portfolio, positions, margins or pending orders

Multi-asset watchlists

Create up to 4 watchlists with LIVE streaming quotes across asset classes

Secured trading

Benefit from a simplified one-time login and highly secured one-step trade authentication

LIVE market streaming

Stay tuned with comprehensive market information across all segments and Global indices

Trade reports

Enjoy quick access to trading reports such as Order Book, Trade Book, Position Summary and Margins

Solid recommendations at your fingertips

Wide range of actionable advice across asset classes, time horizons and risk profiles

Instant & secure fund transfers

In-built funds transfer facility with 60+ affiliated banks so that you don’t miss any trading opportunity

Repository of research reports

Benefit from our award winning research across 225+ companies and 21+ sectors

Last visited stocks watchlist

Our app intuitively creates a watchlist of your recent searches to help you track them even faster

News

Read smartly categorized news and also get important news in relation to your current holdings

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 CHAPTER 5

CONCLUSION

From this study it can be concluded that the Customer Relationship

Management in MOTILAL OSWAL is satisfactory. The organisation is using various CRM Practices like
Customization of the product, maintaining interactions with the customer regularly and providing good
affective services etc. Customer

Relationship Management has a certain impact on the profitability of the MOFSL.Customer response rate
towards marketing activities is also improving.There are various factors affecting the Customer
Relationship Management like working environment of the company, support from top management and
co-ordination among the departments of the company. Information Technology is not used as much as it
should be. The company is using traditional tools of CRM like Quantitative Research, Personal Interviews.
The company should use modern tools like Data Mining, Contact Center, E-CRM and Web based Survey
Tools.
Technical solutions deployed by MOFSL today are flexible, user-friendly and meant to facilitate specific
workflow and requirements in implementation process. In order to simplify lives, MOFSL have begun to
implement end-to- end technologies through all departments with the intension of removing human error
from processes. Previously, existing manual environments could not have been adequate for future
visions, growth plans and strategies. For a firm to succeed in adopting a CRM philosophy of doing a
business, companies management must first understand CRM as a holistic concept that involves multiple,
interlocking disciplines, including market knowledge, strategic planning, business process improvement,
product design and mutually beneficial relationship, pricing analysis, technological implementation,
human resource management, customer retention and salesmanagement training. Turning the business
strategy into actionable items is a difficult undertaking for which CRM works as a magic van.

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 BIBLOGRAPHY

• CUSTOMER RELATIONSHIP MANAGEMENT

• GOOGLE
• WWW.MOTILAL OSWAL.COM
• WWW.CNBCTV 18.com

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