KARNATAKA UNIVERSITY, DHARWAD

KOUSALI INSTITUTE OF MANAGEMENT STUDIES

SUMMER IN PLANT PROJECT
A REPORT ON
“A STUDY ON INDIAN SECURITIES MARKET”
AND
“STUDY ON INVESTORS PERCEPTION TOWARDS STOCK MARKET”

A Project Report Submitted to the Karnataka University, Dharwad

For partial fulfilment of

MASTER OF BUSINESS ADMINITRATION

During the academic year 2019-2020

Submitted by:

Ms. SANDHYA ANCHI

Reg. No: 19MBA034

UNDER THE GUIDANCE OF

Internal Guide:
Dr. A. M. KADAKOL
Kousali Institute of management Studies,
Karnataka University, Dharwad.
 KARNATAKA UNIVERSITY, DHARWAD
KOUSALI INSTITUTE OF MANAGEMENT STUDIES

Dr. R.R. KULKARNI 91+8360-2215305

Director 91+8360-2440011

Professor of KIMS, Dharwad Email id: - [email protected]

Ref No: KIMS/MBA/2019-2020 DATE: 01/08/2020

CERTIFICATE
This is to certify that Ms. Sandhya Anchi, student of 2nd semester has
completed her summer in plant project training. She has prepared and
submitted project assigned to her entitled A STUDY ON INDIAN SECURITIES
MARKET AND A STUDY ON INVESTORS PERCEPTION TOWARDS STOCK MARKET
in partial fulfilment of the requirement for the award of degree of “MASTER OF
BUSINESS ADMINISTRATION” as prescribed by Karnataka university, dharwad
during the academic year 2019-2020.
Registration No-19MBA034

Dr. R. R. Kulkarni
Director

Examiners
1. ___________________ 2. ____________________
 KARNATAKA UNIVERSITY, DHARWAD
KOUSALI INSTITUTE OF MANAGEMENT STUDIES

Dr. A. M. Kadakol 91+8360-2215305

Professor 91+8360-2440011

Kims, KUD dharwad Email id: [email protected]

Ref No: KIMS/MBA/2019-2020 DATE: 01/08/2020

CERTIFICATE

This is to certify that Ms. Sandhya Anchi, a bona-fide student of MBA (CBCS) 2nd
semester (2019-2020 Batch) of our Institute. This Project report “A STUDY ON
INDIAN SECURITIES MARKET” AND “THE STUDY ON INVESTORS PERCEPTION
TOWARDS STOCK MARKET” has been prepared and submitted by her in partial
fulfilment of the requirement for the award of Master of Business
Administration of Karnataka University, Dharwad under my supervision and
guidance.

Dr. A. M. Kadakol
Name: Sandhya Anchi
Reg: 19MBA034
MBA 2nd SEM
Batch: 2019-2021
KIMS, KUD.

DECLARATION

I here by declare that the dissertation titled “STUDY ON INDAIN SECURITIES

MARKET” AND “A STUDY ON INVESTORS PERCETION TOWARDS STOCK
MARKET” has been carried put by me during the academic year 2019-2020,
under the guidance of Dr.A. M. Kadakol, Profession at Kousali Institute of
Management Studies, Karnataka University Dharwad.
I am Submitting this Project Report to Karnataka University, Dharwad as the
partial fulfilment of the MBA degree.

(Sandhya Anchi)
 Preface
Today India has become globalize country. The process of globalization very
highly affected. Corporate world of both, India and exotic corporate world
means today’s neoteric business world. This corporate world plays a decisive
role in globalization.
This corporate world is now becoming more and more competitive
regarding this competition business houses need more professionalized people
for their managerial work. Highly professionalized people come from business
school. Business school offers training for all business aspects. So, from this
angle our Karnataka university has granted MBA program.
Theoretical knowledge is not enough. After study we must go practical
world. At that time, they have difficulty in practical works. This MBA program
provides an opportunity for this type of practical knowledge.
The rationable behind visiting the company and preparing the Project Report is
to study the INDIAN SECURITIES MARKET AND THE STUDY ON INVESTORS
PERCEPTION TOWARDS STOCK MARKET.
 ACKNOWLEDGEMENT

The satisfaction and joy that accompanies the successful completion of my

SUMMER IN PLANT PROJECT would be incomplete and short-lived without the
mention of people made it possible.

First and foremost, I would like to thank our beloved guide and professor KIMS
Dr. A. M Kadakol for providing constant guidance and support in successful
completion of this project and helping me in every possible and guiding me
immense help and moral support.

I would like to thank all teaching staff members of KIMS. Thanks to everyone
who has been a great source of strength directly and indirectly all through this
work.
 EXECUTIVE SUMMARY

For preparing the project report, I have choosen the AngelBroking Limited
company and started searching about the company the main objective of my
study is to know about the ‘Indian Securities Market’ and to Know about ‘the
Investors Perception towards stock market’.

The project report starts with the basic information regarding the research
approach, the sample size of my research is 30 and I have used simple random
sampling method for my research and the sources for data collection is both
primary source and secondary source., after this a have shown the data
analysis of each questionnaire and for analysis I have used percentile method
and at last I have written findings and some of the limitations which I have
faced during my research work.

I Hope that the information incorporated in this project report would be

appreciated as I have put in may be efforts in leaving no stone unturned as I
consider it to be true, fair and relevant in its content and context to the best of
my knowledge and ability.
 INDEX

SL. No Particulars Page No

1. Preface 5

2. Acknowledgement 6

3. Executive Summary 7

4. Introduction of Stock Market 9

5. Company Profile 35

6. Objectives of the study 45

7. Research and methodology 47

8. Data analysis and interpretation 50

9. Findings 70

10. Conclusion 71

11. Recommendation 72

12. Limitations 73

13. Bibliography 74

14. Annexure 75
 PART – 1

STOCK MARKET
 Introduction to Stock market:

A Stock market is a market in which Stock are bought and sold. It is also
called Industrial securities market, because it is the market for the
trading of company stocks i. e. corporate securities; both these
securities listed on stock exchange as well as those only traded privately.
The term “Stock market” is often used as synonymous to “Stock
Exchange. But there is a difference in the two terms. Stock exchange is a
corporation in the business of bringing buyers and sellers of stock
together. It is a major part of stock market, but not whole of it. But a
stock market besides stock exchanges also includes the market for new
issue of securities. Thus, the stock market can be divided into two
constituents as follows: -

1. Primary Market or New Issue Market

2. Secondary Market or Stock Exchange

 Primary Market

Primary Stock Market are also called new issue markets. A primary market is
the market in which assets are sold for the first time. In other words, it is that
market in which new shares, debentures etc are bought and sold. The essential
function of the primary market is to arrange for the raising of new capital by
corporate enterprises, whether new or old. The firms raising funds may be new
companies or old companies, planning expansion. The issues of the new firms
are called “initial Issues”. Initial capital is raised by issuing ordinary and
preference shares only, whereas further capital can be raised by selling all
three types of industrial securities. The new companies need not always be
entirely new enterprises. They may be private firms already in business but
going public to explain their capital base. Going public means becoming public
limited companies to be entitled to raise funds from general public in the open
market.

The volume of initial issues has mostly been smaller than that of
further issues; it has mostly accounted for 30 to 40 percent of the total issues
till 1988-89, 10 to 28 percent during 1990 – 97, and 1% to 48% after 1998.
Thus, the rang of fluctuations in the share of initial (and, there of further)
issues in total issues has been, as in case of other aspects of stock market
activity, very wide indeed; this share has varied between 10 to 63% during
1957-1997. There has been an inverse relationship between the volume of iitial
and further issues in most of the years.
Financial Instruments in new issue: - A no. of securities is issued by companies
in the new issue markets. This include:

Equity shares: - Equity shares represent the ownership position in the

company. The holders of the equity shares are the owners of the company,
and they provide permanent capital. They have voting rights and service
dividends at discretion of the board of directors.

Preference Share: - The holders of the preference shares have a preference

over the equity in the event of the liquidation of the company. The preference
dividend rate is fixed and known. A company may issue preference with a
maturity period (called redeemable preference share). A preference share may
also provide for the accumulation of dividend. It is called cumulative
preference share.

Debentures: - Debentures represent long-term loan given by the holder of

debentures to the company. The rate of interest is specified, and interest
charges are treated deductible expenses in the hands of the company.
Debentures may be issued without an interest rate. They are called Zero
interest debentures. Such debentures issued at a price much lower than their
face value. Therefore, they are also called deep-discount debentures/bonds.

Convertible Securities: - A debenture or a preference share may be issued with

the feature of being convertible into equity shares after a specified period at a
given price. Thus, a convertible debenture will have features of debenture as
well as equity.
Warrants: - A company may issue equity shares or debentures attached with
warrants. Warrants entitle an investor to buy equity shares after a specified
period at a given price.

Cumulative convertible preference shares(CCPS): - CCPS is an instrument

giving regular returns at 10% during the gestation period from 3years to 5years
and equity benefit thereafter introduced by the government in 1984 CCPS has,
however, failed to catch the investor’s interest mainly because the rate of
return was considered to be too low in the initial years and the provision for
conversion into equity was also unattractive if the failed to perform well.

Zero coupon bonds and convertible warrants: - These are two new
instruments that have been floated by certain companies. Their overall impact
and popularity will be known only in the years ahead.
 I.P.O.’s (Initial public offer)

A company proposing to raise resources by a public issue should first select the
type of securities i. e. share and / or debentures to be issued by it. The decision
regarding the issue of shares to be made at Par or Premium should be decided
keeping in view the SEBI guidelines.

The whole process of issue of shares can be divided into two parts:

1. Pre issue activities

2. Post issue activities

All activities beginning with the planning of capital issues, till the opening of
the subscription list are pre issue activities, while all activities subsequent to
the opening of the subscription list may be called post issue activities.
 Secondary stock market (stock exchange)

A stock exchange is an organized market for sale and purchase of listed existing
shares and other corporate securities. It is platform for bringing together the
buyers and sellers of securities. The securities which may bought and sold in
stock exchange generally includes shares and debentures of public companies.
These may include government securities and bonds issued by municipalities,
public corporation, utility undertakings etc. Only listed securities are dealt in
stock exchanges. The listed securities are those securities that appear on the
approved list of stock exchange.

The association or body of individuals generally organise it. Hence it is

defined has an association or body of individuals established for the purpose of
assisting and controlling business buying, selling and dealing in securities.

The stock market play an important role in the mobilization of financial

resources for the corporate sector. They provide an organized market for
transactions in shares and other securities.
Organisation and structure of stock exchanges in India: -

The no. of stock exchanges in India has increased from nine in 1979-80 to
25 tills now. Presently, the stock market in India consists of twenty three
regional stock exchanges and two national exchanges, namely, the National
Stock Exchange (NSE) and over the country exchange of India(OTC) The
Bombay stock Exchange (BSE) is the largest stock exchange, in the country,
where maximum transactions, in terms of money and shares take place.

The other major stock exchanges are Calcutta, Madras and Delhi stock
exchanges. India has now largest no. of organised and recognized stock
exchanges in the world. All of them are regulated by SEBI. They are organised
either as voluntary, non-profit making marketing organisation (VIZ., Mumbai,
Ahmadabad, Indore), or public limited companies (VIZ., Calcutta, Delhi,
Bangalore), or company limited by guarantee (VIZ. Chennai, Hyderabad).
Various stock exchanges in India are as follows: -
Name of the stock exchange Incorporated Type of organisation
1. Bombay stock exchange 1875 Voluntary non-profit
organisation
2. Calcutta stock exchange 1908 Public Ltd. company
3. Madras stock exchange 1937 Company Ltd.by guarantee
4. Ahmedabad 1897 Voluntary non-profit
organisation
5. Delhi 1947 Public Ltd. company
6. Hyderabad 1943 Company Ltd.by guarantee
7. Madhya Pradesh stock 1930 Voluntary non-profit
exchange (Indore) organisation
8. Bangalore 1957 Private converted into public
Ltd. company
9. Cochin 1978 Public Ltd. company
10.Utter-Pradesh stock 1982 Public Ltd. company
exchange (kanpur)
11.Ludhiana 1983 Public Ltd. company
12.Guahati 1984 Public Ltd. company
13.Kannar stock exchange 1985 Public Ltd. company
(mangalore)
14.Pune 1982 Company Ltd.by guarantee
15.Magadh stock exchange 1986 Company Ltd.by guarantee
(Patna)
16.Bhubaneshwar 1989 Company Ltd.by guarantee
17.Saurashtra stock exchange 1989 Company Ltd.by guarantee
(kutch)
18.Jaipur stock exchange 1983 Public Ltd. company
19.Vadodra 1990 ND
20.Coimbtore 1996 ND
21.Meerut 1991 ND
22.National 1994 ND
23.Over the Counter Exchange 1992 ND
Main Stock Exchanges in India

In India mainly two stock exchanges: -

• BSE i. e BOMBAY STOCK EXCHANGE

• NSE i. e NATIONAL STOCK EXCHANGE

BOMBAY STOCK EXCHANGE LIMITED

Introduction
India’s economy has been one of the talks of the business world. Starting with
the information technology and moving rapidly to outsourcing, this foreign has
truly emerged in the past 2 years. With the globalization on the rise and a
strong demand for information Technology and outsourcing, India will look
attractive not only for investors but for businesses looking to go overseas. This
expansion will not only help India’s economy as, money is invested into the
country, but companies will benefit due to lower operating costs and higher
revenue.

India is benefiting from this shift of home front to the idea of our sourcing.
With India surging, so is the Bombay Sensex, has it reflected the state of the
economy.

The Bombay Stock Exchange is known as the oldest exchange in

Asia. It traces it’s history to the 1850’s, when four Gujarati and one parsi
stockbroker would gather under banyan trees in front of Mumbai’s Town Hall.
The location of these meetings changed many times, as the no. of brokers
constantly increased.
 The group eventually moved to Dalal Street in 1874 and 1875 became an
official organisation known as ‘The Native Share and StockBrokers Association’.
Later the name changed to Bombay Stock Exchange or the BSE. In 1930, BSE
building was established in today’s present downtown Mumbai. Premchand
Roychand was the loading stockbroker of that time, and he assisted in setting
out traditions, conventions and procedures for trading of stock at Bombay
Stock Exchange.

In 1956, the government of India recognized the Bombay Stock Exchange has
the first stock exchange in the country under the Securities Contracts
Regulation Act. The Bombay Stock Exchange changed into the E trading system
in 1995. The Bombay Stock Exchange Sensitive Index was initially composed of
30 stocks in April 1979. These 30 stocks in various sectors are 1/5 the market
cap of the Sensex. Currently, India has 10000 Listed companies on the Bombay
Stock exchange. This is the largest amount of total companies in one exchange.
The technology that is operated in the BSE is getting advanced as stock
information can be accessed in 417 cities and towns in India (BSE Sensex).

The Sensex broke 2000 Rs on January 15, 1992 because of the liberal
economic policy proposed by the Finance Minister (BSE Sensex).

This mark seemed important because it allowed the economy to open to new
ideas and trade with other countries. The import and export companies in
India began trading and gaining revenue.
 On December 30, 1999, the Sensex reached 5000 Rs because BJP lead the
coalition that won majority in the nation’s election (BSE Sensex). This was big
movement because the BJP coalition was heavily focused on bringing the
economy back to its feet. India was beginning to grow and see a more
promising future as the economy started to shift Information Technology. This
field not only helped India grow and develop, but it was in demand and many
countries began to utilise its attributes. India was beginning to boom, and the
Sensex was on the rise.

On January 2, 2004, the “Info Tech” boom took place and India was the
founder of this main sector. India was not only developing the inner services in
the country, but information technology began spreading widespread around
the world. Companies were beginning to come into India and establish a hub
for business. Billions of dollars were being invested not only into the country,
but also into the stock market. This strong movement made India’s economy
look attractive to foreign investors.

The boom was not only affecting the IT sector, but telecom and energy
started coming around. Reliance did not only offer telecom, but energy started
to develop. The company was started by Dhirubhai Ambani in early 1980s but
did not start expanding until 1999 (Reliance industries Ltd). Reliance was
climbing high and hitting new targets as the company was soaring in India and
controlling the market share in energy and telecom. Dhirubhai Ambani set out
high standards and a strong vision for his company to succeed, but he could
not see what the future of Reliance was going to be because he died on July 6,
2002.
The company was left in the hands of his sons: Mukesh and Anil Ambani, who
wanted to follow in the footsteps of their father and carry out his dreams.
Unfortunately, Mukesh and Anil saw different visions and parted ways.

The company was split into the three groups: Reliance Infocom, Reliance
Industries Ltd, Reliance Energy on June 20, 2005 (Reliance Industries Ltd).
Reliance Infocom consists of broadband and telecommunications in India and
other Asian countries. The telecom sector is an emerging market because of
the high growth in IT and process development. With technology in demand in
India, Reliance can control the market share in cellular technology and service,
broadband, local phone service, and other communication services. Mukesh
Ambani heads industrial division of the company, which includes Reliance
industries Ltd. Reliance industries Ltd is a private sector that in one of India’s
leaders in conglomerates.

Other products offered by this company are petrochemicals and garments

(Reliance Energy). Anil is also the head of Reliance energy with provides
electricity to many areas in India. This is vast and growing field for the
company because of the major control in providing electricity for India. News
of the split between the two brothers hit Mumbai and the Sensex exploded to
7000 Rs (BSE Sensex). Investors sought more areas of interest in the Indian
market and stated buying up shares in various sectors. The split provides very
worthy because the India’s main market not only consisted of information
system, but now it had a foot in energy and basis materials. Reliance now had
many fields to put its hands in the foreign market and grow but the moves it
made had the Sensex rolling and attractive play for long term investment.
 With unstable world oil prices and interest rates hike going on, many
investors decided that it was time to looking more investment aboard than in
one’s country. The precious metal index that includes gold, copper, silver, and
platinum all started to move. India was one of the main consumers and
importers of these metals. The use of the metal and world demand affected
the Sensex as it climbed above 8000Rs on September 8, 2005 (BSE Sensex). The
foreign investors saw India as a main target of investment because the market
was relatively cheap compared to the domestic market. The growth rate of
India was also more than the domestic market.

Lastly, India had a steady GPD figure. Unlike china, India’s growth rate and
steady market rate made it a favourable target for investment. The foreign
investment trend continued from September to November 28, 2005, when the
Sensex surpassed the 9000Rs mark (BSE Sensex). The sector that sparked this
rally was the banking and brokerage sector.

The Sensex is continuing to grow despite interest worries and the

momentum is pushing stocks and commodities higher. On February 7, 2006,
the Sensex rallies to the 10000Rs mark (BSE Sensex). The momentum swing
continues as it heads for the budget meeting and the economic report show no
signs of slow growth in India’s economy. The Sensex now shares its market
capitalization with foreign and domestic investors. This move not only affected
the shares on Sensex, but India American depository Receipts (ADR’s) were
soaring on the NASDAQ. On March 27, 2006, the Sensex rose above 11,000Rs
on Wipro’s and Infosys’s better than expected earnings report (BSE Sensex).
Profit doubled from the previous year and the companies were hitting new
milestones. The demand for the It continues in the world and the major
contracts are given to the best of breed in the sector.
 India’s rapid pace market did not stop from there. All sector traded on the
Sensex started going up. Shortly after the 11,000 mark, a new breed of foreign
investors entered the Indian market. The bears of Asia started to upgrade the
Sensex as an outperform rating which to many people on wall street means
buy. The movement hit Mumbai and the Sensex crossed 12,000 Rs (BSE
Sensex).

January 8, 2008 is considered a golden day in the history of the Indian

stock markets as the Sensex touched a record 21,077,53 in intra-day trading. It
closed the day at 20,873. Analysts expected the Sensex to tough 25,000 by the
end of 2008; some even saw it toughing 27,000. But Aggarwal had warned
then that “because of a sudden crisis of confidence, there would fight of
foreign institutional investor (FII) money out of the country”.

He pointed out that if $12 billion of FII money was to leave within a quarter,
the stock market would drop by approximately 30 percent to the level of
14,000. By July 8, 2008, Aggarwal’s predictions came true. And then the world
economy sucked into the vortex of one of the worst recessions in recent times.

On October 24, the Sensex plunged by 1070.63 points (10.96 percent) to close
at 8,701.07 and sank further to a low of 8160 on March 9, 2009. Since it has
climbed gradually to hover very close to the 18,000-mark in April 2010.
 Introduction
National Stock Exchange if India (NSE) is India’s largest stock Exchange &
world’s third largest stock exchange in terms of transactions. Located in
Mumbai, NSE was promoted by leading financial Institutions at the behest of
the government of India and was incorporated November 1992 as a tax-paying
company. In April 1993, NSE was recognized as a stock exchange under the
securities contracts (Regulation) Act-1956, NSE commenced operations in the
wholesale Debt Market (WDM) segment in in June 1994. Capital Market
(Equities) segment of the NSE commenced operations in November 1994,
while operations in derivatives segment commenced in June 2000. NSE has
played a catalytic role in reforming Indian securities market in terms of
microstructure, market practices and trading volumes. NSE has set up its
trading system as a nation-wide, fully automated screen-based trading system.
It has written for itself the mandate to create world-class Stock Exchange and
use of it has an instrument of change for the industry through competitive
pressure.

NSE is set up on a demutualised model wherein the ownership, management

and trading rights are in the hands of three different sets of people. This has c
eliminated any conflict of interest.
The Organization:
The National Stock Exchange of India Limited has genesis in the report of the
high-powered study group on Establishment of New Stock Exchanges, which
recommended promotion of a National Stock Exchange by financial institutions
(FIs) to provide access to investors from across the country on an equal
footing. Based on the recommendations, NSE was promoted by leading
financial institutions at the behest of the government of India and was
incorporated in November 1992 as a tax-paying company unlike other stock
exchanges in the country.

Objectives of National Stock Exchange:

• Establishing Nationwide trading facility for all types of securities.
• Ensuring equal access to investors all over the country through an
appropriate telecommunication network.
• Providing fair, efficient & transparent securities market using electronic
trading system
• Enabling shorter settlement cycles and book entry settlements
• Meeting International benchmarks and standards
• Within a very short span of time, NSE been able to achieve its objectives
for which it was set up. Indian capital Market are a far cry from what
they were 12 years back in terms of market practices, infrastructure,
technology, risk management, clearing and settlement and investor
services. To ensure continuity of business, NSE has built a full fledged
BCP site operational for last 7 years.
NSE’s Market:
NSE provides a fully automated screen-based trading system with national
reach in the following major market segments: -

• Equity OR capital markets (NSE’s market share is over 65%)

• Future & Options OR Derivatives market (NSE’s market share over
99.5%)
• Wholesale Debt Market (WDM)
• Mutual Fund (MF)
• Initial Public Offers

NSE Groups
 ▪ NSCCL
The National Securities Clearing Corporation Ltd. (NSCCL), a wholly
owned subsidary of NSE, was incorporated in August 1995. It was set up to
bring and sustain confidence in clearing and settlement of securities; to
promote and maintain, short and consistant settlement cycles; to provide
counter-party risk guarantee, and to operate a tight risk containment system.
NSCCL commenced clearing operation in April 1996.
NSCCL cariees out the clearing and settlement of the trades exicuted in
the Equties and Derivatives segments and operates Subsidiary General Ledger
(SGL) for settelemt of trades in government securities. It assumes the counter-
party risk of each member and guarantees finacial settlement. It also
undertakes settlemt of transations on other stock exchanges like, the over the
Counter Exchange of India.

NSCCL has successfully brought about an and- gradation of the clearing

and settlement produces and has brought Indian financial market in line with
International markets.

It was setup with the following objectives:

▪ To bring and sustain confinence in clearing and settlemt of securities;
▪ To promote and maintain, short and consistant settlement cycles;
▪ To provide counter-party risk guarantee, and
▪ To operate a tight risk containment system.

NSCCL commenced clearing operations in April 1996. It has since completed

more than 1800 settlements (Equities segment) without delays or disruptions.
Clearing:

Clearing is the process of determination of obligations, after which the

obligations are discharged by full settlement.

NSCCCL has two categories of clearing members: trading members and

custodian. The trading members can pass on its obligation to the custodians if
the custodian confirms the same to NSCCL. All the trades whose obligation the
trading member proposes to pass on to the custodian are forwarded to the
custodian by NSCCL for their confirmation. The custodian is required to
confirm the trade on T+1-day basis.

Once, the above activities are completed, NSCCL starts its function of clearing.
It uses the concept of multi-lateral netting for determining the obligations of
counter parties. Accordingly, a clearing member would have either pay-in or
pay-out obligations for funds and securities are determined last test by T+1 day
and are forwarded to them so that they can settle their obligations on the
settlement day (T+2).

IISL:

India Index Services and Products Ltd. (IISL) is a joint venture between the
National Stock Exchange of India Ltd. (NSE) and CRISIL Ltd. (formerly the credit
rating information services of India Ltd). IISL has been formed with the
objective of providing a variety of indices and index related services and
products for the capital markets.

IISL has a consulting and licensing agreement with Standard and Poor’s (S and
P), the world’s leading provider of investible equity indices, for co-branding
IISL’s equity indices.
IISL- Products and Services:

IISL offers a wide range of products and services which are key support tools
for the equity markets. We provide reliable, accurate and valuable data on
indices and index related services to cater to the needs of various segments of
users. Our speciality is indices based on Indian equity markets, which may be
used for benchmarking, trading or research. Use of IISL data or name or indices
requires a license or subscription.

NSDL:

In order to solve the myriad problems associated with trading in physical

securities, NSE joined hands with the Industrial development bank of India
(IDBI) and the Unit Trust of India (UTI) to promote dematerialisation of
securities. Together they set up National Securities Depository Ltd (NSDL), the
first depository in India.

NSDL commenced operations in November 1996 and has since established a

national infrastructure of International standard to handle trading and
settlement in dematerialised from and thus eliminated the risk to investors
associated with fake / bad / stolen paper.

DotEx International Ltd:

“The data and info-vending products of the National Stock Exchange are
provided through a separate company DotEx International Ltd., a 100%
subsidiary of NSE, which is professional set-up dedicated solely for this
purpose”.
NSE.IT Ltd:

NSE.IT, a 100% subsidiary of International stock exchange of India Ltd (NSE), is

the Information Technology arm of the largest stock exchange of the country.
A leading-edge technology user, NSE houses state-of-the-art infrastructure and
skills. NSE.IT possesses the wealth of expertise acquired in the last six years by
running the trading and clearing infrastructure of largest stock exchange of the
country. NSE.IT is uniquely positioned to provide products, services and
solutions for the securities industry. There has been a long felt need for top-of-
the-line products, services and solutions in the area of trading, broker front-
end and back-office, clearing and settlement, web-based trading, risk
management, treasury management asset liability management, banking,
insurance etc. NSE.IT’s expertise in these areas is the primary focus. The
company also plans to provide consultancy and implementation services in the
areas of Data warehousing, Business Continuity plans, Stratus Mainframe
Facility Management, Site Maintenance and Backups, Real Time Market
Analysis and Financial News over NSE-Net, etc.

NSE.IT is an export orientated Unit with STP and plans to go global for various
IT services in due course. Soon the company plans to release new products for
Brokers Back-office operations and enhance NeatXS / Neat iXS to support
straight through processing on the net.
 Derivatives

Introduction
BSE created history on June 9, 2000 by launching the first Exchange traded
index derivatives contracts i. e futures on the capital market benchmark index
the BSE Sensex. The inauguration of trading was done by Prof. J. R Varma,
member of SEBI and chairman of the committee responsible for formulation of
risk containment measures for the derivatives market. The first historical trade
of 5 contracts of June series was done on June 9, 2000 at 9:55:03 a. m.
between M/s Kaji & Maulik securities Pvt Ltd and M/s Emceez share &
StockBrokers Ltd. at the rate of 4755.

In the sequence of production innovation, the exchange commenced reading

in index options on Sensex on June 1, 2001. Stock option were introduced on
31 stocks on July 9, 2001 and single stock futures were launched on November
9, 2002.

September 13, 2004 marked another milestone in the history of Indian capital
market, the day on which the Bombay Stock Exchange launched weekly
options, a unique product unparallel in derivatives market, both domestic and
international. BSE permitted trading in weekly contracts in options in the
shares of four leading companies namely Reliance, Satyam, State Bank of India,
and Tisco in addition to the flagship index-Sensex.
 Types of Products:

Index Futures

A future is a standardized contact to buy and sell a specific security at a future

date at an agreed price. An index future is, as the name suggests, a future on
the index i. e. the underlying is the index itself. There is no underlying security
or a stock, which is to be delivered to fulfil the obligations as index future are
cash settled. As other derivatives the contract derives its value from the
underlying index. The underlying indices in this case will be the various eligible
indices and as permitted by the regulator from time to time.

Index options

Options contracts give its holder the right, but not the obligation, to buy or sell
something on or before specified date at a stated price. Generally, index
options are European style. European option style are those option contracts
that can be exercised only on the expiration date. The underlying indices for
index options are the various eligible indices and as permitted by the regulator
from time to time.

Stock Futures

A stock future contract is a standardized contact to buy and sell a specific stock
at a future date at an agreed price. A stock future is, as the name suggests, a
future on a stock i.e the underlying is a stock. The contact derives its value
from the underlying stock. Single stock futures are cash settled.
Stock options

Options on individual stocks are options contracts where the underlying are
individual stock, based on eligibility criteria and subject to the approval from
the regulator, stocks are selected on which options are introduced. these
contracts are cash settled and are American style. American style options are
those options contracts that can be exercised on or before the expiration day.

How does trade takes place?

Trading of shares in a stock exchange takes place through registered

stockbrokers, transfer agent etc. Buyers get in touch with a broker and gives
him all the detail of shares he want to buy. Then the broker strikes a

requisite deal and receives share certificate, and transfer from. After
deducting, documents to the buyers. As for seller, he also gets in touch with
broker and gives him details along with share certificates and transfer forms.
Once the deal is struck, broker receives the payment and deducts his
commission.

Floor Trading:

Apart, from NSC, and OTC, trading takes place mainly through on open outcry
system on the trading floor of the exchange during the official trading hours.
There are several “national” trading posts for different securities where the
buyer and seller get in contact with each other. These buyers and sellers are
authorised Brokers or Agents or a shareholder. Buyer mutually agreed upon
prices. In stock, where jobbing is done, the “jobber” plays an important role.
This is floor trading, where buyer and seller transact face to face using a variety
of signals.
Screen Based Trading:

In a screen-based system, the trading ring is replaced by the computer screen

and distant participants can trade with each other through the computer
network. Many participants geographically separated can trade simultaneously
at high speeds. The screen-based trading system are of two types:

• Quote driven system, and

• Ordered driven system,

Under the QUOTE DRIVEN system for trading, market makers input two-way
quotes in the system. Market players, then contact the market makers over
telephone, negotiable, and trace. Under the ORDER DRIVEN system, client
place their orders with the brokers, which are then fed, into the system.

Securities Consumer Finance Mortgages Real estate

Development

*Open an Account *Personal Loan *Home Loans *Commercial

*Markets *Auto Loan * Loans Against *Residential

Property

*Internet Trading *Commercial Vehicle * Hotels

Loan

*Research
 PART – 2

ANGELBROKING
LIMITED
 Angel Broking Limited

Introduction About the Company:

Angel Broking Limited is Established in 1987. It is one of the Indian

StockBroking firm, the company is a member of the Bombay Stock Exchange
(BSE), National Stock Exchange of India (NSE), National commodity and
derivatives exchange limited (NCDEX) and multi commodity exchange of India
Limited (MCX). It is a depository participant with Central depository Services
Limited (CDSL). Angel Broking is a technology led financial services company
that provides broking and advisory services, mutual funding, loan against
shares (Thought one of four subsidiary Angel Fincap private limited), and
financial products distribution to the clients under the brand “Angel Broking”.
Angel broking are offered through online and digital platforms and network of
more than 11,000 sub brokers, as June 30,2018.

The company has more than 8,50,000 downloads of Angel broking mobile app
and more than 4,50,000 downloads of ANGEL BEE app, which enables clients to
avail services digitally. Through Angel Broking network of sub brokers and over
110, a pan India presents in over 1800 cities town of as June 30,2018. As of
June 18,2018, angel broking limited managed Rs.113.02 billion in client assets
and over 1.11 million active broking account.

The experience of over two decades has helped to integrate knowledge and
expertise in the broking industry with technology the company provides to
their retail clients thought various platforms. Firm has enhanced client
engagement and experience through application of technology to all our
services, including the launch of mobile application for broking services in the
year of 2011. KYC authentication and complete client on boarding through the
electronic and digital medium in the year 2015 and 2016.
Vision and Mission of Angel Broking Ltd

Vision: To provide Best value for money to investors through innovative

products, trading/ investment strategies, state-of-the-art technology and
personalized services.

Mission: To have complete harmony between quality in process and

continuous improvement to deliver exceptional services that will benefit our
client.

❖ HISTORY:
Entrepreneur Dinesh Thakkar started his business in 1987 with a capital of Five
Lakhs Indian Rupees and lost half of the money within eight months. In 1989,
he started off again as a sub-broker. Later, Angel Broking was incorporated as
a wealth management, retail and corporate broking firm in December, 1997. In
November 1998, Angel Capital and Debt Market Ltd. gained membership
of National Stock Exchange as a legal entity. The company opened its
commodity broking Division in April 2004. In November 2007, Birla Sun Life
Insurance joined hands with Angel Broking for distribution of its insurance
products. In 2007 the World Bank arm International Finance
Corporation bought 18% stake in Angel Broking. In January 2013, a probe
found the company and two other entities involved in fraudulent and unfair
trade practices in transactions of shares of Sun Infoways during Feb-May 2001.
As a result, SEBI restrained from taking new clients for a period of two
weeks. Angel filed an appeal against the SEBI order which was dismissed by the
Securities appellate tribunal. Recently Angel Broking has filed for an IPO with
SEBI for an amount of Rs 600 crore. This offer includes issuance of new shares
worth Rs 300 crore and stake sale by promoters and IFC selling Rs 120 crore
worth of stake.
 AWARDS

• 2009 - 'Broking House with Largest Distribution Network' Award and 'Best
Retail Broking House' Award at BSE IPF-D&B Equity Broking Awards

• 2012 - BSE IPF-D&B Equity Broking Award for ‘Best Retail Broking House

• 2012-13 - Among BSE Top 10 Performers in Equity Segment (Retail Trading)

FY 2012-13

• 2013 - BSE-IPF D&B Equity Broking Award for ‘Broking House with Largest
Distribution Network

• 2013 - BSE-IPF D&B Equity Broking Award for 'Best Retail Equity Broking
House

• 2013-14 - Awarded ‘Top Three Clients Traded Members in Equity’ by the

BSE

• 2014 - BSE-IPF D&B Equity Broking Award for ‘Broking House with Largest
Distribution Network
• 2014 - Global Marketing Excellence Award for 'Best Mobile trading
application

• 2017 - MCX Commodity broker of the year award

: BROAD OF DIRECTORS:

➢ Chairman and Managing Director: - Dinesh D. Thakkar

➢ Director and chief executive officer: - Vinay Agarwal

➢ Independent Director: - Uday Sankar Roy

➢ Independent Director: - Kamalji Sahay

➢ Independent Director: - Anish Motwani

➢ Non-Executive Director: - Ketan Shah

Why choose Angel Broking Pvt Ltd

▪ Angel Broking has Advance technology within depth market knowledge.

▪ Familiar and easy to use Trading environment.
▪ Best use of technology to give seamless trading experience.
▪ It also provides Single Trading Account
▪ It offers flexible brokerage plans:
Angel Elite, Angel Premier, Angel Preferred, Angel Classic
▪ Open an Account with Angel Broking in just 1 hour by advance
bio-matric data excess system.
▪ The latest innovation of Angel Broking is ARQ Artificial Intelligence
investment engine. Designed to give investment recommendation as
specially for individual investors.
▪ It provides Education and Tutorial videos.
▪ It has its Best Advisory Team to guide.
Products of Angel Broking Limited:

➢ Equity Trading
➢ Currency Trading
➢ Commodities Trading
➢ F&O Trading

❖ Equity Trading:

What is an equity account?

As we said before, you need an equity trading account to be able to trade. This
account enables you to buy and sell shares of companies and also hold them in
a dematerialised format.

Equity account opening involves signing up for trading and demat accounts.
These two will then get linked to your savings bank account (with your
consent) for transferring funds. Thanks to a fully digitised process, brokerage
firms like Angel Broking provide integrated platforms for opening equity
accounts.

Benefits of opening an equity trading account:

Now that you know what an equity account is let’s look at benefits. It is
essential to do your homework and choose the best options. Among other
things, established brokerage houses like Angel Broking have full transparency
about their pricing and operations. Their websites are interactive and
continuously updated. They can provide the right guidance backed by top-
notch market analysis and market experts’ opinions. Finally, the best
brokerage houses offer reasonable account opening and transaction brokerage
rates.
 ❖ Currency trading Account:

What is currency trading account?

A forex account is one that holds deposits in one or more currencies for
trading. These trades are based on the movement of the foreign exchange
market. With this type of account, you can now unlock vast and potentially
significant returns from global markets. These and other factors draw investors
to forex trading.

What are the benefits of opening a forex trading account with Angel Broking?
• Low Commission: A large brokerage house like Angel Broking offers
moderately lower commissions. These allow investors to trade in forex
markets if they have a currency account
• No Middlemen: There are no middlemen involved when you
are trading with Angel Broking, which facilitates seamless transactions
• Standardised Lot Size: Angel Broking gives standardised lot sizes for ease
of trading. These range from 1000-100,000 units of currency
• Low Transaction Costs: Transaction Costs tend to be as low as 0.07%
• High Liquidity: A forex account tends to cater to a highly liquid market.
This enables trades with full price discovery
• Instant Transactions: Transactions online are instantaneous
• Low Margin, High Leverage: Given that the margins are nominal, you can
afford to take higher calculated risks when trading through your
currency account
 • Online Access: Angel Broking provides 24/7 web-enabled back-end
service
• Interbank Market: Access to the interbank market, a global network of
institutional currency traders, makes sure there is enough liquidity
• No insider trading
• Limited regulation
• No account maintenance charges for the first year

❖ Commodity trading account:

To trade in commodities, you need to open a commodity trading account with

a broker.
This type of trading is essentially in futures and options of products like
agriculture (wheat, cotton, etc.), minerals (petroleum), and precious metals
(gold, silver, etc.).

Commodity futures and options

Before you open a commodity account, you need to know a little bit
about derivatives. There are two main types of products – futures and options.
Futures contracts give you the right to purchase or sell a certain amount of a
commodity at a predetermined date in the future. Options give you the right,
but not the obligation, to buy or sell a specific commodity at a predetermined
price in the future.

Futures and options are traded on commodity exchanges like Multi-

Commodity Exchange (MCX) and National Commodity and
Derivatives Exchange (NCDEX). Only members (brokers) can trade on these
exchanges, so you need to open commodity trading account with a broker like
Angel Broking.
 ❖ Derivatives Trading Account:

What is a derivatives trading account?

Derivative (Futures & Options) trading involves buying or selling derivative

products. The idea is to hedge portfolio risks and make substantial gains from
price volatility by paying nominal margins. They are called derivatives because
they derive their value from underlying assets like equity, bonds, currency or
commodities. To trade in derivatives, you will need an options or futures
trading account.
 PART-3

RESEARCH OBJECTIVES
 RESEARCH OBJECTIVES

MAIN OBJECTIVE OF THE RESEARCH

➢ To know about the Indian Securities Market

➢ To know about the investor’s perception towards the stock market.

OTHER OBJECTIVES
➢ To study the investment habit of the people in the stock market
➢ To know about the people’s preference for investment whether
investment or trading
➢ To understand the frequency of investment in the market
➢ To analyse from total saving how much portion of amount people invest
in stock market
➢ To understand the expected return of people from investment
➢ The preference of people for investment in a sector
➢ To analysis the preferred price range of shares by people
➢ To define certain views for making money in stock market
 PART-4

RESEARCH
AND
METHEDOLOGY
 Research Methodology

Methodology:
Survey method was adopted for the study. Survey work with a
structured questionnaire was administrated to collect primary data. This study
is totally based on primary data collected from the respondents.

❖ Research Approach
To achieve this objective, I have conducted a survey and then collected
data and analysed it and lastly find out the needed results.

❖ Sampling Method
I have used simple random sampling method for my research

❖ Sources of data collection

Data sources of are two types
1. Primary data sources
2. Secondary data sources
1. Primary data sources:
Primary data can be collected through the questionnaire. Which contain
the different question about the investment behaviour and investment
strategy. Primary data sources are very helpful for research. This
provides information related to the investor’s perception towards stock
market.

2. Secondary data sources:

Secondary data can be collected through e-learning. It provides
information regarding Angel Broking Private Limited.

❖ Sample size:
I used 30 samples for my study

❖ Statistical tool used for data analysis

Percentile method
 PART-5

DATA ANALYSIS
AND
INTERPRETATION
 Data Analysis and Interpretation

1. What is your profession?

Profession No. of persons

Businessman 6

Serviceman 9

Professional 12

Other 3

Profession

10%
20%

Businessman

40% Serviceman
30% Professional
other
Analysis:
This diagram shows that 20% respondents are businessman and 30% are
serviceman, 40% are professionals and 10% are belongs to other.

2. Annual Income

Income No. of persons

Below Rs.50000 7

Rs.50000-300000 13

Rs.300000-500000 9

More than Rs.500000 1

Annual Income

Below Rs.500000
Rs.50000-300000
Rs.300000-500000
More than Rs.500000
Analysis:
As per the above chart 23.3% persons having income Below Rs.50000 and
about 43.33% of persons are having income of Rs.50000-300000 while
about 30% of persons having income of Rs.300000-500000 and about 3.35% of
persons having income of More than Rs.500000.

3. What are the various alternatives for investing your money?

Options No. of persons

Banks 9

Real estate 1

Shares 8

Insurance 2

Mutual fund 10
 Options

33% 30%
Banks
Real Estate
3% Shares
7%
Insurance
27%
Mutual Funds

Analysis:
This diagram shows that 30%responses said that they are investing their
savings in banks, 3% persons are investing in Real estate and 27% of people are
investing in shares, 7% people are investing in insurance and other 33% of
people are investing in Mutual funds.

4. What you prefer more?

Preference No. of persons

Investment 10

Trading 3

Both 17
 Preference

33%
Investment
57% Trading
Both
10%

Analysis:
As per my research 33.3% persons prefer investment while 10% persons
prefer trading and only 56.7% persons prefer both investment and trading. So,
we can conclude that majority of the people prefer to in Both rather than
investment and trading in the stock market.
 5. Who brings you in stock market?

Source No. of persons

Advertisement 7

Friends & Relatives 18

Newspaper 4

Other 1

SOURCES
Other
Newspaper 3%
Advertisement
14% 23%

Friends &
Relatives
60%

Analysis:
As per above chart about 60% persons would like to invest in stock market
as per opinion of their friends and relatives while 14% persons would like to
invest as per newspaper and magazines and 23%persons do not like to invest
through advertising and about 3% persons invest as per opinion of other.
6. On what basis you take your investment decision?

Base No. of persons

Brokers 7

Newspaper/ magazines 1

Internet 5

Companies news result 4

Own study 13

Base

23%

44%
3%

17%

13%

Brokers Newspaper/ magazines Internet Companies news result Own study

Analysis:
Above chart shown the various factors and its impact on investment and how
investor consider such factor while investing. The chart suggests that people
much like to invest according to their own study of stock market.

7. From total savings how much portion of amount would you like to invest
in stock market?

Investment in stock market No. of persons

10-20% 12

20-40% 12

40-60% 5

60-80% 1

80-100% 0
 Investment in stock market

60-80%
80-100%
40-60% 3%0%
17%
10-20% 10-20%
40%
20-40%
40-60%
20-40%
60-80%
40%
80-100%

Analysis:
As per above chart about 40% persons invest 10-20% of their saving while
about 40% persons invest 20-40% of their saving and about 16.7% persons
invest 40-60% of their saving and above 3.3% persons invest 60-80% of their
saving and none of the persons don’t want to invest 80-100% of their saving.
8. Which brokerage company do you prefer?

Brokerage Company No. of persons

Angel Broking Pvt Ltd 9

Sharekhan 0

HDFC securities 10

Kotak securities 6

Others 5

Brokerage Company

Other
17% Angel Broking Pvt Ltd
30%
Kotak securities
20% Sharekhan
0%

HDFC securities
33%

Angel Broking Pvt Ltd Sharekhan HDFC securities Kotak securities Other
Analysis:
As per above chart about 30% persons prefer to invest in Angel Broking Pvt
Ltd while none of the person want to prefer Sharekhan Ltd and about 33.3%
persons want to invest in HDFC Securities, and 20% persons want to invest in
Kotak Securities while about 16.7% persons want to invest in other companies.

9. How much investment have you made in the market so far?

Investment No. of persons

0-2 lakh 23

2-4 lakh 4

4-6 lakh 1

More than 6lakh 2

 INVESTMENT
More than 6lakh
4-6lakh

2-4lakh

0-2lakh

Analysis:
As per my research about 76.7% persons would like to invest up to 0-2
lack while 13.3% persons would like to invest 2-4 lack and about 3.3% persons
would like to invest 4-6 lack while about 6.7% persons would like to invest
more than 6 lack. So, company should focus on those customers who would
like to invest in stock market.
10.From below mentioned share price range which range do you prefer for
buying shares?

Price range No. of persons

Below Rs. 50 10

Rs.50-100 10

Rs.100-500 8

More than Rs.500 2

Price range
7%

33%
27%

33%

Below Rs.50 Rs.50-100 Rs.100-500 More than Rs.500

Analysis:
As per above chart about 33% persons are interested to buy Below Rs.50
ranged shares while about 33% persons want to interested to but Rs.50-100
ranged shares and about 27% persons want to buy Rs.100-500 ranged shares
while 7% persons want to buy more than Rs.500 ranged shares.

11.At current level which sector do you prefer more for investment?

Sector No. of persons

Banking & construction 14

Energy & power 3

Real estate 2

Capital goods 3

FMCG 5

Telecom 3

Other 0
 sector

other
Telecom
10% 0% Banking & construction
FMCG
Banking & Energy & power
17%
construction
Real estate
capital gods 46%
10% capital gods
Real estate
Energy & power FMCG
7%
10% Telecom
other

Analysis:
As per above chart about 46.7% persons want to invest in Banking and
construction sectors while about 10% persons want to invest in Energy and
power sectors and about 6.7% persons want to invest in Real estate sector and
about 10% persons want to prefer Capital goods sectors and about 16.7%
persons want to prefer FMCG sector and about 10% persons want to prefer
telecom sector while about none of the persons prefer other sectors.
12.How frequently do you in the market?

Frequency of Investment No. of persons

Weekly 2

Monthly 16

Quarterly 4

Half yearly 4

Yearly 4

Frequency of investment

13% 7%

13% weekly
monthly

13% 54% Quaterly

Half yearly
Yearly
Analysis:
As per my research about 6.7% persons would like invest weekly in stock
market while 53.3% persons would like to invest monthly in stock market and
about 13.3% persons would like to invest quarterly in stock market while about
13.3% persons would like to invest half yearly in stock market and about 13.3%
persons would like to invest yearly in stock market.

13.How much return you expect on your investment decision?

Expected Return No. of persons

5-8% 4

8-16% 11

16-20% 11

More than 20% 4

 Expected Return
More than 20% 5-8%
13% 13%

16-20% 8-16%
37% 37%

5-8% 8-16% 16-20% More than 20%

Analysis:
As per my research 13% persons expect 5-8% return while 37% persons
expect 8-6% return and about 37% persons expect 16-20% return and about
13% persons expect more than 20% return.
14.What are your views for making money in stock market?

➢ Give more time to your investment

➢ Investment in dividend yield stock as possible, it’s one of the best
investments for making money.
➢ Some we can’t believe to invest money, there is a lot of chances of loss
➢ Selecting good companies to invest
➢ Useful for investment by watching everyday business news and money
control views.
➢ Making money in short term investment
➢ Must closely follow market and study company’s financial status and
future for companies.
➢ Identifying and investing at the right time.
➢ To make money, take chances
➢ Buy in correction
➢ Stock market is a place to make easiest money in the harder way.
➢ Its good to invest in stock market with good knowledge and experience.
➢ Buy at every decline and sell at every upside.
➢ Long term investment in powerful companies in recession time.
➢ Invest your money systematically
➢ Invest in long term to get better return
➢ Avoid penny and speculative shares
➢ Have patience to make money in stock market
 Findings

➢ I found that most of the investors in stock market are from service class
people and professionals.

➢ I found that most of the investors invest their money in banks for safety
purpose and for earning regular income and some investors invest their
savings in a stock market for earning huge amount of profits irrespective
of its risk factor. Inspite of Banks and Shares, Real estate and Mutual
funds also get a great response for investment.

➢ I found that most of the investor get information about stock market
from Friends & Relatives and some investors get information directly
from the Advertisements.

➢ I found that most of the investor invest their savings in stock market for
long term benefit and tax benefits and some invest for short term gains.
 CONCLUSION

At last the conclusion of this Project is that most of the investors invest their
savings in shares by getting information from Friend & Relatives. Most of the
population want to invest their savings in Banks because of low risk and regular
returns. Investment in Share and Mutual Funds also get a positive response
from investors. Investors invest in shares on the bases of News provided by the
TV and Newspaper. The Fundamentals and technical analysis provided by the
Broking company also plays a vital role in the base of investment in shares.
Most of the investors are not ready to invest in Stock Market at its present
position but on the other hand some investors are ready to invest in stock
market at its present position in order to earn high profits irrespective of risk in
future. As the investors of today’s era have no time to watch on shares
regularly that’s why they hire Broking Companies to reduce that tensions of
share market and also to get knowledge about market from the executives of
the Broking company and the Initial Public Offerings (IPO) of the companies.
 Recommendations

➢ I want to suggest to the Broking companies to give more and more

advertisement in television and Newspapers because most of the
investors are getting information from Friends and Relatives and
Advertisement as these are easiest and cheapest source of information.

➢ I want to suggest to the Broking companies to give information to the

investors about stock market which is based on some fundamentals and
do not encourage the investor to buy of sell the stock for earning
brokerage etc.

➢ I want to suggest to the Broking companies to give information to the

investors properly and don’t encourage them to sell or buy any stock
without their knowledge and take care of their savings for their benefits.

➢ I want to suggest to the Broking companies that most of the population

believes that the Broking companies are the good source to buy shares
from market, so they must take care of each aspect to satisfy the client.
 Limitations

➢ Some respondents may have distorted the figures / facts or may not
have disclosed the true information because of the hesitation to tell the
right data.

➢ As most of the times respondents were busy and were unable to spend a
considerable amount of time. So, they may not have been able to give
the exact figures / facts.

➢ The method of data collection was a slow procedure as a considerable

amount of time was lost in filling up the questionnaire.
 BIBLOGRAPHY

Website:

➢ www.angelbroking.com
➢ www.bseindia.com
➢ www.nseindia.com
 ANNEXURE

➢ Questionnaire
 QUESTIONNAIRE

Hello everyone
I am Sandhya Anchi, student of Kousali institute of management
studies dharwad. As a part of my study for the summer in plant project, I m
conducting a survey on “Investors perception towards the stock market”. So
please fill the form to complete my project.

1. What is your profession?

o Businessman
o Serviceman
o Professional
o Other_______________________

2. Annual Income

o Below Rs.50000
o Rs.50000-300000
o Rs.300000-500000
o More than Rs.500000

3. What are the various alternatives for investing your money?

o Banks
o Real estate
o Shares
o Insurance
o Mutual fund
4. What you prefer more?

o Investment
o Trading
o Both

5. Who brings you in stock market?

o Advertisement
o Friends & Relatives
o Newspaper
o Other______________________

6. On what basis you take your investment decision?

o Brokers
o Newspaper / magazines
o Internet
o Companies news result
o Own study

7. From total savings how much portion of amount would you like to invest
in stock market?

o 10-20%
o 20-40%
o 40-60%
o 60-80%
o 80-100%
 8. Which brokerage company do you prefer?

o Angel Broking Pvt Ltd

o Sharekhan
o HDFC securities
o Kotak securities
o Other___________________

9. How much investment have you made in the market so far?

o 0-2 lakh
o 2-4 lakh
o 4-6 lakh
o More than 6lakh

10.From below mentioned share price range which range do you prefer for
buying shares?

o Below Rs.50
o Rs.50-100
o Rs.100-500
o More than Rs.500
11.At current level which sector do you prefer more for investment?
o Banking and construction
o Energy and power
o Real estate
o Capital goods
o FMCG
o Telecom
o Other__________________

12.How frequently do you invest in the market?

o Weekly
o Monthly
o Quarterly
o Half yearly
o Yearly

13. How much return you expect on your investment decision?

o 5-8%
o 8-16%
o 16-20%
o More than 20%

14. What are your point of views for making money in stock market?