A Project Report On Targeting and Positioning Strategy of Reliance Money

FINAL PROJECT REPORT
ON
Targeting and Positioning Strategy Product/Services offered by Reliance Money
of
Financial
IN PARTIAL FULFILMENT OF MS (Marketing) (MS-2nd year 2007-2009) FOR Reliance Money, Hyderabad.
BY SAMIR ANAND (0911) MS (MARKETING)
The ICFAI School of Marketing Studies Hyderabad
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The ICFAI School of Marketing Studies
FINAL PROJECT REPORT

ON
Targeting and Positioning Strategy of Financial Product/Services offered by Reliance Money
IN PARTIAL FULFILMENT OF MS(Marketing) (MS-2nd year 2007-2009) FOR Reliance Money, Hyderabad.
BY SAMIR ANAND (0911) MS (MARKETING)
CORPORATE GUDE: MR. RAVINDER SONI
FACULTY GUIDE: DR. K.RANDHEER
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PREFACE
Private sector is one of the fastest growing sectors in the country. After the Liberalization the Private industry still holds vast opportunities for young and experienced professionals. On the life insurance side public sector life insurance Corporation of India is, of course, the largest player with a history of over 50 years. After Privatization, the PSU has been making efforts to improve efficiency and customer services. Among the private life insurance player Reliance life insurance is the key player. Reliance money - Anil Dhirubhai Ambani Group offers most dynamic web based trading environment to its customers .The Reliance Money stock trading websites uses special security features 'Security Token', which makes you online trading experience more secure without complexity. Reliance ADG provide the vast opportunities to the new aspirants of the business administration. The financial Sector is full of competition even if there are a lot of opportunities to the job in Reliance Money and It is the platform to go on the highest peak in the life of any coming one. Reliance Money is a single window that provides the multisystem facilities of the financial Products. There are many companies in the market which are providing the financial product like insurance, demat account services, mutual funds, general insurance, Portfolio management services(PMS), wealth management, gold coins, Money changing , Money Transfer, and the others. Hence Reliance Money provides many financial products on the single window. Reliance money deals with the product and Investment options are available in... Equity (Stock) Trading Derivatives Trading Special feature is available first time to track your positions online, in real time. Forex Trading Commodity Trading IPO's Mutual Funds Insurance
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AKNOWLADGEMENT
Sometimes words fall short to show gratitude, the same happened with me during this project. The immense help and support received from Reliance Money Limited overwhelmed me during the project. It is a great opportunity for me to work with Reliance money, pioneers in the field of stock trading, a part of Reliance Capital Ltd. I am extremely grateful to the entire team of Reliance Money at Hyderabad who have shared their expertise and knowledge with me and without whom the completion of this project would have been virtually impossible. My sincere gratitude to Mr. Lalit Soni (Cluster Head, Hyderabad) for providing me with an opportunity to work with Reliance Money Limited as a company project guide who has provided me with the necessary information and his valuable suggestion and comments on bringing out this report in the best possible way. I am highly indebted to Mr. Ravinder Soni (Relationship Manager of Reliance Money) and company project guide, who has provided me the necessary information and his valuable suggestion and a good support in understanding the basics of the Reliance Money easily. In this context, as a student of The ICFAI School of Marketing Studies, Hyderabad I would first of all like to express my thank fullness to Dr. K.Randheer for assigning me such a worthwhile title (Targeting and Positioning strategies of Financial Products/Services offered by Reliance Money)to work upon in Reliance Money . I am also thankful to other associates (PFA) who had helped me in this project. I express my sincere gratitude to our Director Dr.T.R.K Rao and Dean Dr.K.Rajanath for allowing me to carry on this project.
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INDEX
S.NO 1 2 3 4 5 6 7 8 9 10 11 12 CONTENTS
ABSTRACT SCOPE OF THE STUDY INTRODUCTION: TARGETING & POSITIONING STRATEGY OF R-MONEY COMPANY PROFILE, SCOPE OF STUDY, OBJECTIVES, MUTUAL FUND, LIFE INSURANCE, MY WORK AT RELIANCE MONEY LITERATURE REVIEW RESEARCH AND METHEDO LOGY DATA ANALYSIS RESEARCH FINDINGS SUGGESTIONS AND RECOMMENDATIONS QUESTIONNAIRE BIBLIOGRAPHY, JOURNALS AND OTHER REFERENCES
PAGE NO 6 7 8-10 11-41 42-48 49-52 53-55 55-61 62-63 64 65-66 67-68
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ABSTRACT
This project has been a great learning experience for me; at the same time it gave me enough scope to implement my analytical ability. This project as a whole can be divided into two parts: The first part gives an insight about the mutual funds and its various aspects. It is purely based on whatever I learned at Reliance Money. One can have a brief knowledge about Mutual funds and all its basics through the project. Other than that the real servings come when one moves ahead. Some of the most interesting questions regarding mutual funds have been covered. Apart from Mutual Funds a light has also been through on Life Insurance Policies. All the topics have been covered in a very systematic way. The language has been kept simple so that even a layman could understand. All the datas have been well analyzed with the help of charts and graphs. The second part consists of data and their analysis, collected through a survey done on 200 people. It covers the topic Awareness and Impact level among people about Mutual Funds and Life Insurance Policies. The data collected has been well organized and presented. Hope the research findings and conclusions will be of use. It has also covered why people dont want to go in invest? The advisors can take further steps to approach more and more people and indulge them for taking their advices.
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SCOPE OF THE STUDY

The scope of the study refers to the job that to know about the activities of the organization. The study means that the analysis of the products of the company on which he/she has to focus. During the MSP days the volunteer need to find out the corporate strategies of the running company and the mile stone which the company has covered during its journey. In the summer training, it is necessary for the student that he /she involve with the experience guys to get the knowledge about the company. That is how the company has got the success, Or if it is going in the loss, why. During this MSP period I have found that the reliance group is the biggest group in Indian companies. I felt that I can learn the more in the Reliance Money and Reliance Mutual Fund. Reliance Money and Reliance Mutual fund is the part of the Reliance Capital Limited which is a growing company in the financial products.
Reliance Anil Dhirubhai Ambani group is also deals in communication, energy, natural resources, media, and entertainment, healthcare and infrastructure.
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INTRODUCTION
TARGETING DONE BY RELIANCE MONEY
Reliance Money is Targeting on : Small Cities (tier 2, tier 3 cities) though it already has a great recognition tier-1 cities and metros. It is the only wing of Reliance Capital which targets on NRIs, Foreign collaborations and have branches in foreign countries like Singapore, Malaysia and US. The company is also focusing to leverage as it is also franchises to target various differential markets and its customers. The company is expanding its branch network and also, more importantly, its franchisee network. Reliance Money has over 10,000 outlets now, of which 500-600 are owned by the company. Moreover the company is very much focused on doing business at Retail level as the collaboration of R-Money with STIC travel group is a live example of it. Last but not the least the company is offering financial products and services which are very required by the common people so its target population is differential SEC (SPECIAL ECONOMIC CLASSES) on the basis of various Demographics, Income groups, Occupation, etc.
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POSITIONING DONE BY RELIANCE MONEY
Positioning is the next step after Targeting. Here for this purpose Reliance Money has done various activities (like as some of which are done in their promotional activities) some of which are; It is the brand name of the company RELIANCE which is Indias biggest company. Here when it comes the time of choosing financial products/services and moreover when a person compares with other companies definitely his one of the preferences/choice is Reliance Products/Services. The company has positioned itself as the Retail Outlet or a Financial Supermarket where all the needs of a person in terms of taking a financial Product/Service is fulfilled as it offers the differential financial products/services of various companies. Ex. Mutual Fund and Insurance Policies of ICICI, FRANKLIN TEMPLETON, SBI, HDFC, KARVY, TATA AIG, etc. It regularly conducts Seminars, Events (even participates in events) to provide knowledge of its offered products/services and to have a direct face to face contact with the people. This really helps the company to improve its services given to the customer and moreover to improve and modify the products/services to fulfill the demand and wants of the customers and to offer a totally customized products/services. It also pays attention of promotion i.e. it does unique promotion and advertisement which draws the attention of the public anyhow and there
it shows that Yes we are something Different and this is also perceived and positioned in the minds of the consumer.
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AN EXAMPLE: A bundle of hundred rupee notes, a huge chain with a sizeable padlock and a few words were quite enough for the ADAG led Reliance Mutual Funds to unlock its ideas before its target group. A large safe kept at suburban railways stations in Mumbai grabbed just the right eyeballs and pamphlets educating the consumer added to the impact of the campaign. The outdoor campaign that was launched in Mumbai adopted a disruptive method to communicate its message to investors. Hoardings sporting bundles of hundred rupee notes that were chained and locked were set up at important locations such as Mahim, Bandra Kurla Complex and Worli. The tagline read: Unlock your moneys potential. It was a clear call to investors who store their money in fixed deposit schemes and other less productive options.An extensive and expansive outdoor campaign was conducted by Reliance with this latest strategy. The campaign included ground level activities at crowded public places and micro marketing. The creative idea is a collaborative brain child of Reliance and 141 Sercon. Vikrant Gugnani, president, Reliance Mutual Funds, says, We w anted to create awareness among the investing populace. By way of brief, Reliance told the agency that it wanted a disruptive way of targeting investors. The disruption is in the form of standing out starkly and being noticed as a better option to just banking. Gugnani continues, The objective was to bring to peoples attention that instead of money lying idle in the bank, one could invest it wisely in mutual funds. The on-ground campaign had a large safe deposit box, which ran the same positioning line as the hoarding. The safe deposit box was strategically placed at crowded places such as railway stations, bus stops and car parks. Road shows and a moving billboard were also part of the campaign. Pamphlets were distributed at the venues to educate prospective investors about Reliances various systematic investment plans. The campaign has been carried out only in Mumbai as of now. Plans to launch it in other metros such as Delhi, Bangalore and Kolkata have been voiced. Smaller cities such as Chandigarh, Vadodara, Nasik and Guwahati are also on the list. There are also other campaigns in the offing, which will be released soon. So from the above example it is clear that the company always do something unique to attract people.
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COMPANY PROFILE
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About Reliance Money in brief
Reliance Capital
Reliance Mutual fund
Reliance General Insurance
Reliance Reliance Life Insurance Money
Reliance Consumer Finance
Reliance money is a part of the reliance Anil Dhirubhai Ambani Group and is promoted by Mutual Fund Reliance capital, the fastest growing private sector financial services company in India, ranked amongst the top 3 private sector financial companies in terms of net worth. Reliance money is a comprehensive financial solution provider that enables you to carry out trading and investment activities in a secure, cost-effective and convenient manner. Through reliance money, you can invest in a wide range of asset classes from Equity, Equity and commodity Derivatives, Mutual Funds, insurance products, IPOs to availing services of Money Transfer & Money changing. Reliance Money offers the convenience of on-line and offline transactions through a variety of means, including its Portal, Call & Transact, Transaction Kiosks and at its network of affiliates.
Some key steps of the company that are as..
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Success is a journey, not a destination.

the largest financial service provider of India.
If we look for examples to prove this quote then we
can find many but there is none like that of Reliance Money. The company which is today known as
Success sutras of Reliance Money:

The success story of the company is driven by 9 success sutras adopted by it namely
Trust, Integrity, Dedication, Commitment, Enterprise, Hard work, Home work, Team work play, Learning and Innovation, Empathy and Humility and last but not the least its the Network .
These are the values that bind success with Reliance Money.
Vision of Reliance Money

To achieve & sustain market leadership, Reliance Money shall aim for complete customer satisfaction, by combining its human and technological resources, to provide world class quality services. In the process Reliance Money shall strive to meet and exceed customer's satisfaction and set industry standards.
Mission statement:
Our mission is to be a leading and preferred service provider to our
customers, and we aim to achieve this leadership position by building an innovative, enterprising , and technology driven organization which will set the highest standards of service and business ethics.
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Largest Indian brokerage with Million customers & largest distribution Network
8,512 outlets in over 4,250 locations 713,636 broking accounts Daily average volume of Rs. 20 billion Revenue for FY08 Rs. 2.4 billion Break even in first year of operations
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PARTNERS OF COMPANY
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Equity
Reliance Money offers its clients competitively priced Equity broking, PMS and Portfolio Advisory Services. Trading execution assistance provided to clients. In addition Reliance Money provides independent and unbiased view on markets along with trading strategies and entry / exit points for taking an informed decision.
Mutual Funds
A mutual fund is a professionally managed fund of collective investments that collects money from many investors and puts it in stocks, bonds, short-term money market instruments, and/or other securities. Reliance Money offers dedicated research & expert advice on Mutual Funds. Mutual funds are considered to have low risk factors owing to diversification of assets into various sectors and scripts or instruments within.
Insurance
Life-Insurance Reliance Money assists its clients in choosing a customized plan which will secure the familys future and their expenses post-retirement. Clients can choose from different plans of almost all Insurance Companies where they can invest their money. Clients can choose from products and services that channelise their savings and protect their needs while guaranteeing security and returns for life. A team of experts will suggest the best Insurance scheme which suits the clients requirement.
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General Insurance General Insurance is all about protecting against all kind of insurable risks. Reliance Money assists you in areas of Health insurance, Travel insurance, Home insurance and Motor insurance.
Commodities
A single platform to trade on both the major commodity exchanges i.e. NCDEX and MCX. In addition In-house research desk shall provide research reports on all major commodities which shall enable in getting views for trading and diversify clients holdings. Trade Execution assistance is also provided to clients.
Structured Products, Art Investments

Structured Products is a new class of financial products for investors apprehensive of increased volatility in stock markets. Specially designed products could include Equity, Index-linked in nature, Real Estate Funds, Art Funds, Overseas Investments and Infrastructure Investments.
Tax Planning
With a view to provide complete wealth management solutions, Reliance Moneys wealth management offerings include tax related services like: Tax Planning & advisory Filing Tax returns for individuals
Real Estate Advisory Services

Broking Model for lease/rent and buy/sell of property Property Valuation Real-estate Consulting Corporate earnings model, Lease rentals, etc.
Offshore Investments
Reliance Money provides a unique opportunity to invest in international financial markets through the online platform which includes different product ranges.
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MUTUAL FUNDS AN UNDERSTANDING

Like most developed and developing countries the mutual fund cult has been catching on in India. There are various reasons for this. Mutual funds make it easy and less costly for investors to satisfy their need for capital growth, income and/or income preservation. And in addition to this a mutual fund brings the benefits of diversification and money management to the individual investor, providing an opportunity for financial success that was once available only to a select few. Understanding Mutual funds is easy as it's such a simple concept: a mutual fund is a company that pools the money of many investors -- its shareholders -- to invest in a variety of different securities. Investments may be in stocks, bonds, money market securities or some combination of these. Those securities are professionally managed on behalf of the shareholders, and each investor holds a pro rata share of the portfolio -- entitled to any profits when the securities are sold, but subject to any losses in value as well. For the individual investor, mutual funds provide the benefit of having someone else manage your investments and diversify your money over many different securities that may not be available or affordable to you otherwise. Today, minimum investment requirements on many funds are low enough that even the smallest investor can get started in mutual funds. A mutual fund, by its very nature, is diversified -- its assets are invested in many different securities. Beyond that, there are many different types of mutual funds with different objectives and levels of growth potential, furthering your chances to diversify.
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The Concept of Mutual Fund

A mutual fund is a common pool of money into which investors place their contributions that are to be invested in accordance with a stated objective. The ownership of the fund is thus joint and mutual; the fund belongs to all investors.
Mutual Funds Industry in India

The origin of mutual fund industry in India is with the introduction of the concept of mutual fund by UTI in the year 1963. Though the growth was slow, but it accelerated from the year 1987 when non-UTI players entered the industry. In the past decade, Indian mutual fund industry had seen a dramatic improvement, both quality wise as well as quantity wise. Before, the monopoly of the market had seen an ending phase, the Assets Under Management (AUM) was Rs. 67bn. The private sector entry to the fund family raised the AUM to Rs. 470 bn in March 1993 and till April 2004; it reached the height of 1,540 bn. Putting the AUM of the Indian Mutual Funds Industry into comparison, the total of it is less than the deposits of SBI alone, constitute less than 11% of the total deposits held by the Indian banking industry. The main reason of its poor growth is that the mutual fund industry in India is new in the country. Large sections of Indian investors are yet to be intellectuated with the concept. Hence, it is the prime responsibility of all mutual fund companies, to market the product correctly abreast of selling. The mutual fund industry can be broadly put into four phases according to the development of the sector. Each phase is briefly described as under.
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First Phase - 1964-87 Unit Trust of India (UTI) was established on 1963 by an Act of Parliament. It was set up by the Reserve Bank of India and functioned under the Regulatory and administrative control of the Reserve Bank of India. In 1978 UTI was de-linked from the RBI and the Industrial Development Bank of India (IDBI) took over the regulatory and administrative control in place of RBI. The first scheme launched by UTI was Unit Scheme 1964. At the end of 1988 UTI had Rs.6,700 crores of assets under management. Second Phase - 1987-1993 (Entry of Public Sector Funds) Entry of non-UTI mutual funds. SBI Mutual Fund was the first followed by Can bank Mutual Fund(Dec 87), Punjab National Bank Mutual Fund (Aug 89), Indian Bank Mutual Fund (Nov 89), Bank of India (Jun 90), Bank of Baroda Mutual Fund (Oct 92). LIC in 1989 and GIC in 1990. The end of 1993 marked Rs.47, 004 as assets under management. Third Phase - 1993-2003 (Entry of Private Sector Funds) With the entry of private sector funds in 1993, a new era started in the Indian mutual fund industry, giving the Indian investors a wider choice of fund families. Also, 1993 was the year in which the first Mutual Fund Regulations came into being, under which all mutual funds, except UTI were to be registered and governed. The erstwhile Kothari Pioneer (now merged with Franklin Templeton) was the first private sector mutual fund registered in July 1993. The 1993 SEBI (Mutual Fund) Regulations were substituted by a more comprehensive and revised Mutual Fund Regulations in 1996. The industry now functions under the SEBI (Mutual Fund) Regulations 1996. The number of mutual fund houses went on increasing, with many foreign mutual funds setting up funds in India and also the industry has witnessed several mergers and acquisitions. As at the end
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of January 2003, there were 33 mutual funds with total assets of Rs. 1,21,805 crores. The Unit Trust of India with Rs.44, 541 crores of assets under management was way ahead of other mutual funds. Fourth Phase - since February 2003
This phase had bitter experience for UTI. It was bifurcated into two separate entities. One is the Specified Undertaking of the Unit Trust of India with AUM of Rs.29, 835 crores (as on January 2003). The Specified Undertaking of Unit Trust of India, functioning under an administrator and under the rules framed by Government of India and does not come under the purview of the Mutual Fund Regulations. The second is the UTI Mutual Fund Ltd, sponsored by SBI, PNB, BOB and LIC. It is registered with SEBI and functions under the Mutual Fund Regulations. With the bifurcation of the erstwhile UTI which had in March 2000 more than Rs.76, 000 crores of AUM and with the setting up of a UTI Mutual Fund, conforming to the SEBI Mutual Fund Regulations, and with recent mergers taking place among different private sector funds, the mutual fund industry has entered its current phase of consolidation and growth. As at the end of September, 2004, there were 29 funds, which manage assets of Rs.153108 crores under 421 schemes.
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GROWTH IN ASSETS UNDER MANAGEMENT
Note: Erstwhile UTI was bifurcated into UTI Mutual Fund and the Specified Undertaking of the Unit Trust of India effective from February 2003. The Assets under management of the Specified Undertaking of the Unit Trust of India has therefore been excluded from the total assets of the industry as a whole from February 2003 onwards.
Mutual Fund Companies in India

The concept of mutual funds in India dates back to the year 1963. The era between 1963 and 1987 marked the existance of only one mutual fund company in India with Rs. 67bn assets under management (AUM), by the end of its monopoly era, the Unit Trust of India (UTI). By the end of the 80s decade, few other mutual fund companies in India took their position in mutual fund market. The new entries of mutual fund companies in India were SBI Mutual Fund, Canbank Mutual Fund, Punjab National Bank Mutual Fund, Indian Bank Mutual Fund, Bank of India Mutual Fund.
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The succeeding decade showed a new horizon in Indian mutual fund industry. By the end of 1993, the total AUM of the industry was Rs. 470.04 bn. The private sector funds started penetrating the fund families. In the same year the first Mutual Fund Regulations came into existence with reregistering all mutual funds except UTI. The regulations were further given a revised shape in 1996. Kothari Pioneer was the first private sector mutual fund company in India which has now merged with Franklin Templeton. Just after ten years with private sector players penetration, the total assets rose up to Rs. 1218.05 bn. Today there are 33 mutual fund companies in India.
Major Mutual Fund Companies in India

ABN AMRO Mutual Fund ABN AMRO Mutual Fund was setup on April 15, 2004 with ABN AMRO Trustee (India) Pvt. Ltd. as the Trustee Company. The AMC, ABN AMRO Asset Management (India) Ltd. was incorporated on November 4, 2003. Deutsche Bank A G is the custodian of ABN AMRO Mutual Fund. Birla Sun Life Mutual Fund Birla Sun Life Mutual Fund is the joint venture of Aditya Birla Group and Sun Life Financial. Sun Life Financial is a global organization evolved in 1871 and is being represented in Canada, the US, the Philippines, Japan, Indonesia and Bermuda apart from India. Birla Sun Life Mutual Fund follows a conservative long-term approach to investment. Recently it crossed AUM of Rs. 10,000 crores. Bank of Baroda Mutual Fund (BOB Mutual Fund) Bank of Baroda Mutual Fund or BOB Mutual Fund was setup on October 30, 1992 under the sponsorship of Bank of Baroda. BOB Asset Management Company Limited is the AMC of BOB
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Mutual Fund and was incorporated on November 5, 1992. Deutsche Bank AG is the custodian. HDFC Mutual Fund HDFC Mutual Fund was setup on June 30, 2000 with two sponsorers namely Housing Development Finance Corporation Limited and Standard Life Investments Limited. HSBC Mutual Fund HSBC Mutual Fund was setup on May 27, 2002 with HSBC Securities and Capital Markets (India) Private Limited as the sponsor. Board of Trustees, HSBC Mutual Fund acts as the Trustee Company of HSBC Mutual Fund. ING Vysya Mutual Fund ING Vysya Mutual Fund was setup on February 11, 1999 with the same named Trustee Company. It is a joint venture of Vysya and ING. The AMC, ING Investment Management (India) Pvt. Ltd. was incorporated on April 6, 1998. Prudential ICICI Mutual Fund The mutual fund of ICICI is a joint venture with Prudential Plc. of America, one of the largest life insurance companies in the US of A. Prudential ICICI Mutual Fund was setup on 13th of October, 1993 with two sponsorers, Prudential Plc. and ICICI Ltd. The Trustee Company formed is Prudential ICICI Trust Ltd. and the AMC is Prudential ICICI Asset Management Company Limited Incorporated on 22nd of June, 1993. Sahara Mutual Fund Sahara Mutual Fund was set up on July 18, 1996 with Sahara India Financial Corporation Ltd. as the sponsor. Sahara Asset Management Company Private Limited incorporated on August 31,
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1995 works as the AMC of Sahara Mutual Fund. The paid-up capital of the AMC stands at Rs 25.8 crore. State Bank of India Mutual Fund State Bank of India Mutual Fund is the first Bank sponsored Mutual Fund to launch offshor fund, the India Magnum Fund with a corpus of Rs. 225 cr. approximately. Today it is the largest Bank sponsored Mutual Fund in India. They have already launched 35 Schemes out of which 15 have already yielded handsome returns to investors. State Bank of India Mutual Fund has more than Rs. 5,500 Crores as AUM. Now it has an investor base of over 8 Lakhs spread over 18 schemes. Tata Mutual Fund Tata Mutual Fund (TMF) is a Trust under the Indian Trust Act, 1882. The sponsorers for Tata Mutual Fund are Tata Sons Ltd., and Tata Investment Corporation Ltd. The investment manager is Tata Asset Management Limited and its Tata Trustee Company Pvt. Limited. Tata Asset Management Limited's is one of the fastest in the country with more than Rs. 7,703 crores (as on April 30, 2005) of AUM. Kotak Mahindra Mutual Fund Kotak Mahindra Asset Management Company (KMAMC) is a subsidiary of KMBL. It is presently having more than 1, 99,818 investors in its various schemes. KMAMC started its operations in December 1998. Kotak Mahindra Mutual Fund offers schemes catering to investors with varying risk - return profiles. It was the first company to launch dedicated gilt scheme investing only in government securities. Unit Trust of India Mutual Fund UTI Asset Management Company Private Limited, established in Jan 14, 2003, manages the UTI Mutual Fund with the support of UTI Trustee Company Private Limited. UTI Asset Management
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Company presently manages a corpus of over Rs.20000 Crore. The sponsorers of UTI Mutual Fund are Bank of Baroda (BOB), Punjab National Bank (PNB), State Bank of India (SBI), and Life Insurance Corporation of India (LIC). The schemes of UTI Mutual Fund are Liquid Funds, Income Funds, Asset Management Funds, Index Funds, Equity Funds and Balance Funds. Standard Chartered Mutual Fund Standard Chartered Mutual Fund was set up on March 13, 2000 sponsored by Standard Chartered Bank. The Trustee is Standard Chartered Trustee Company Pvt. Ltd. Standard Chartered Asset Management Company Pvt. Ltd. is the AMC which was incorporated with SEBI on December 20,1999. Franklin Templeton India Mutual Fund The group, Franklin Templeton Investments is a California (USA) based company with a global AUM of US$ 409.2 bn. (as of April 30, 2005). It is one of the largest financial services groups in the world. Investors can buy or sell the Mutual Fund through their financial advisor or through mail or through their website. They have Open end Diversified Equity schemes, Open end Sector Equity schemes, Open end Hybrid schemes, Open end Tax Saving schemes, Open end Income and Liquid schemes, Closed end Income schemes and Open end Fund of Funds schemes to offer. Morgan Stanley Mutual Fund India Morgan Stanley is a worldwide financial services company and its leading in the market in securities, investment management and credit services. Morgan Stanley Investment Management (MISM) was established in the year 1975. It provides customized asset management services and products to governments, corporations, pension funds and non-profit organizations. Its services are also extended to high net worth individuals and retail investors. In India it is known as Morgan Stanley Investment Management Private Limited (MSIM India) and its AMC is Morgan Stanley Mutual Fund (MSMF). This is the first close end diversified equity scheme serving the needs of
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Indian retail investors focusing on a long-term capital appreciation. Escorts Mutual Fund Escorts Mutual Fund was setup on April 15, 1996 with Escorts Finance Limited as its sponsor. The Trustee Company is Escorts Investment Trust Limited. Its AMC was incorporated on December 1, 1995 with the name Escorts Asset Management Limited. Alliance Capital Mutual Fund Alliance Capital Mutual Fund was setup on December 30, 1994 with Alliance Capital Management Corp. of Delaware (USA) as sponsored. The Trustee is ACAM Trust Company Pvt. Ltd. and AMC, the Alliance Capital Asset Management India (Pvt) Ltd. with the corporate office in Mumbai. Benchmark Mutual Fund Benchmark Mutual Fund was setup on June 12, 2001 with Niche Financial Services Pvt. Ltd. as the sponsored and Benchmark Trustee Company Pvt. Ltd. as the Trustee Company. Incorporated on October 16, 2000 and headquartered in Mumbai, Benchmark Asset Management Company Pvt. Ltd. is the AMC. Canbank Mutual Fund Canbank Mutual Fund was setup on December 19, 1987 with Canara Bank acting as the sponsor. Canbank Investment Management Services Ltd. incorporated on March 2, 1993 is the AMC. The Corporate Office of the AMC is in Mumbai. Chola Mutual Fund Chola Mutual Fund under the sponsorship of Cholamandalam Investment & Finance Company Ltd. was setup on January 3, 1997. Cholamandalam Trustee Co. Ltd. is the Trustee Company and AMC is
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Cholamandalam AMC Limited. LIC Mutual Fund Life Insurance Corporation of India set up LIC Mutual Fund on 19th June 1989. It contributed Rs. 2 Crores towards the corpus of the Fund. LIC Mutual Fund was constituted as a Trust in accordance with the provisions of the Indian Trust Act, 1882. . The Company started its business on 29th April 1994. The Trustees of LIC Mutual Fund have appointed Jeevan Bima Sahayog Asset Management Company Ltd as the Investment Managers for LIC Mutual Fund. GIC Mutual Fund GIC Mutual Fund, sponsored by General Insurance Corporation of India (GIC), a Government of India undertaking and the four Public Sector General Insurance Companies , viz. National Insurance Co. Ltd (NIC), The New India Assurance Co. Ltd. (NIA), The Oriental Insurance Co. Ltd (OIC) and United India Insurance Co. Ltd. (UII) and is constituted as a Trust in accordance with the provisions of the Indian Trusts Act, 1882.
Future of Mutual Funds in India

By December 2004, Indian mutual fund industry reached Rs 1, 50,537 crore. It is estimated that by 2010 March-end, the total assets of all scheduled commercial banks should be Rs 40, 90,000 crore. The annual composite rate of growth is expected 13.4% during the rest of the decade. In the last 5 years we have seen annual growth rate of 9%. According to the current growth rate, by year 2010, mutual fund assets will be double.
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Let us discuss with the following table: Aggregate deposits of Scheduled Com Banks in India (Rs.Crore) Mar04
Month/Year
Mar-98 Mar-00 Mar-01 Mar-02
Mar-03
Sep-04
4-Dec
Deposits Change in % over last yr Source - RBI
605410 851593 989141 1131188 1280853 -
1567251 1622579
15
14
13
12
18
Mutual Fund AUMs Growth Month/Year MF AUM's Change in % over last yr Source Mar-98 Mar-00 Mar-01 Mar-02 Mar-03 Mar-04 Sep-04 4-Dec 68984 93717 26 83131 94017 13 12 75306 137626 151141 149300 25 45 9 1 AMFI
Some facts for the growth of mutual funds in India

100% growth in the last 6 years. Number of foreign AMCs is in the queue to enter the Indian markets like Fidelity Investments, US based, with over US$1trillion assets under management worldwide.
Our saving rate is over 23%, highest in the world. Only channelizing these savings in mutual funds sector is required.
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We have approximately 29 mutual funds which is much less than US having more than 800. There is a big scope for expansion.
'B' and 'C' class cities are growing rapidly. Today most of the mutual funds are concentrating on the 'A' class cities. Soon they will find scope in the growing cities.
Mutual fund can penetrate rural like the Indian insurance industry with simple and limited products.
SEBI allowing the MF's to launch commodity mutual funds. Emphasis on better corporate governance. Trying to curb the late trading practices. Introduction of Financial Planners who can provide need based advice.
CATAGORIES OF MUTUAL FUNDS
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WHY INVEST IN MUTUAL FUNDS Investing in mutual has various benefits, which makes it an ideal investment avenue. Following are some of the primary benefits: Professional investment management One of the primary benefits of mutual funds is that an investor has access to professional management. A good investment manager is certainly worth the fees you will pay. Good mutual fund managers with an excellent research team can do a better job of monitoring the companies they have chosen to invest in than you can, unless you have time to spend on researching the companies you select for your portfolio. That is because Mutual funds hire full-time, high-level investment professionals. Funds can afford to do so as they manage large pools of money. The managers have realtime access to crucial market information and are able to execute trades on the largest and most cost-effective scale. When you buy a mutual fund, the primary asset you are buying is the manager, who will be controlling which assets are chosen to meet the funds' stated investment objectives.
Reliance Mutual Fund

Reliance Mutual Fund (RMF), a part of the Reliance - Anil Dhirubhai Ambani Group, is India's leading Mutual Fund, with average Assets under Management of Rs. 90,813 crores for the month of June 2008, and an investor base of over 6.7 million. Reliance Mutual Fund offers investors a well rounded portfolio of products to meet varying investor requirements. Reliance Mutual Fund has a presence in 300 cities across the country and constantly endeavors to launch innovative products and customer service initiatives to increase value to investors. Reliance Mutual Fund schemes are managed by Reliance Capital Asset Management Ltd., a wholly owned subsidiary of Reliance Capital Ltd.
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Types of Mutual Funds on the Basis of Risk Vs Return

Sector Funds Diversified Equity Funds Balanced Funds MIPs Gilt Funds
R e t u
Income Funds
r n s Risk
Floaters Money Market Funds
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Types of Reliance Mutual Funds

1. Reliance Growth Fund 2. Reliance Vision Fund 3. Reliance Banking Fund 4. Reliance Diversified Power Sector Fund 5. Reliance Pharma Fund 6. Reliance Media & Entertainment Fund 7. Reliance NRI Equity Fund 8. Reliance Equity opportunities Fund 9. Reliance Index Fund 10. Reliance Tax Saver (ELSS) Fund 11. Reliance Equity Fund 12. Reliance Long Term Equity Fund 13. Reliance Regular Saving Fund
There are two types of investment in Mutual Funds.

Lump Sum Systematic Investment Plan(SIP)
Lump sum: In Lump sum the investment is only one times that
is of Rs. 5,000. and if the investment is monthly then the investment will be 6,000/-.
Systematic Investment Plan(SIP) :

We have already mentioned about SIPs in brief in the previous pages but now going into details, we will see how the power of compounding could benefit us. In such case, every small amounts invested regularly can grow substantially. SIP gives a clear picture of how an early and regular investment can help the investor in wealth creation. Due to its unlimited advantages SIP could be
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Redefined as a methodology of fund investing regularly to benefit regularly from the stock market volatility. In the later sections we will see how returns generated from some of the SIPs have outperformed their benchmark. But before moving on to that lets have a look at some of the top performing SIPs and their return for 1 year:
Scheme Reliance diversified power sector retail Reliance regular savings equity principal global opportunities fund DWS investment opportunities fund BOB growth fund
Amount
NAV
NAV Date
Total Amount
1000 1000 1000 1000 1000
62.74 22.208 18.86 35.31 42.14
30/5/2008 30/5/2008 30/5/2008 30/5/2008 30/5/2008
14524.07 13584.944 14247.728 13791.157 13769.152
In the above chart, we can see how if we start investing Rs.1000 per month then what return well get for the total investment of Rs. 12000. There is reliance diversified power sector retail giving the maximum returns of Rs. 2524.07 per year which comes to 21% roughly. Next we can see if anybody would have undertaken the SIP in Principal would have got returns of app. 18%. We can see reliance regular savings equity, DWS investment opportunities and BOB growth fund giving returns of 13.20%, 14.92%, and 14.74% respectively which is greater than any other monthly investment options. Thus we can easily make out how SIP is beneficial for us. Its hassle free, it forces the investors to save and get them into the habit of saving. Also paying a small amount of Rs. 1000 is easy and convenient for them, thus putting no pressure on their pockets. Now we will analyze some of the equity fund SIP s of Birla Sunlife with BSE 200 and bank fixed deposits In a tabular format as well as graphical.
- 34 -
Working of a Mutual Fund
Advantages of Mutual Funds
Diversification: The best mutual funds design their portfolios so individual investments will react differently to the same economic conditions. For example, economic conditions like a rise in interest rates may cause certain securities in a diversified portfolio to decrease in value. Other securities in the portfolio will respond to the same economic conditions by increasing in value. When a portfolio is balanced in this way, the value of the overall portfolio should gradually increase over time, even if some securities lose value.
Professional Management: Most mutual funds pay topflight professionals to manage their investments. These managers decide what securities the fund will buy and sell.
Regulatory oversight: Mutual funds are subject to many government regulations that protect investors from fraud.
Liquidity: It's easy to get your money out of a mutual fund. Write a check, make a call, and you've got the cash.
Convenience: You can usually buy mutual fund shares by mail, phone, or over the Internet.
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Low cost: Mutual fund expenses are often no more than 1.5 percent of your investment. Expenses for Index Funds are less than that, because index funds are not actively managed. Instead, they automatically buy stock in companies that are listed on a specific index.
Transparency Flexibility Choice of schemes Tax benefits Well regulated
Drawbacks of Mutual Funds Mutual funds have their drawbacks and may not be for everyone:
No Guarantees: No investment is risk free. If the entire stock market declines in value, the value of mutual fund shares will go down as well, no matter how balanced the portfolio. Investors encounter fewer risks when they invest in mutual funds than when they buy and sell stocks on their own. However, anyone who invests through a mutual fund runs the risk of losing money.
Fees and commissions: All funds charge administrative fees to cover their day-to-day expenses. Some funds also charge sales commissions or "loads" to compensate brokers, financial consultants, or financial planners. Even if you don't use a broker or other financial adviser, you will pay a sales commission if you buy shares in a Load Fund.
Taxes: During a typical year, most actively managed mutual funds sell anywhere from 20 to 70 percent of the securities in their portfolios. If your fund makes a profit on its sales, you will pay taxes on the income you receive, even if you reinvest the money you made.
- 36 -
Basics of Life Insurance

What is Life Insurance?
An amount of money paid to someone (called beneficiary) when the Life Assured (in whose name the insurance policy is taken) dies. This amount can be used to pay the expenses related to Life assureds death or can be invested to generate income that will replace your salary. Life Insurance is an important tool in any investors portfolio & can be used for - wealth creation, asset building, provide for contingencies and retirement planning.
The main reason to buy Life Insurance is to provide income replacement for your loved ones
Types of Life Insurance Policies

Most Insurance policies are a combination of Savings & Protection. Products are formulated by either increasing or decreasing either one of these components. These combinations can be broadly divided into 4 groups ULIPs Term Insurance Endowment Policies : Whole Life; Unit Linked etc
Annuities & Pension.
- 37 -
Products of Life Insurance

Life Insurance products are usually referred to as plans of insurance. These plans have two basic elements; one is the Death Cover providing for the benefits being paid on the death of the insured person within a specified period. The other is the Survival Benefit providing for the benefit being paid on survival of a specified period. Plans of insurance that provide only death cover are called Term Assurance Plans. Plans of insurance that provide only survival benefits are called Pure Endowment Plans
Term Life Insurance

Term Life Insurance provides protection for a specified period of time. A death benefit is paid to the beneficiary if the insured dies within a specified period of time while the policy is still in force.
Whole Life Insurance

Whole Life insurance is a permanent life insurance and provides protection for life. As long as premiums are paid, a death benefit is paid to the beneficiary.
ULIPs
A ULIP is a life insurance which provides a combination of Life Insurance protection and investment. Money can be invested in the following fund:- Equity Fund, Debt Fund, Money Market Fund (Liquid Fund) and Balance Fund.
Annuities
Annuities are practically the same as pension. Pension provides periodical payments to the employees, who have retired. They are paid as long as the recipient is alive. Annuities are called the reverse of Life Insurance.
- 38 -
VARIOUS INSURANCE PLANS OFFERED BY RELIANCE MONEY (i.e. of RELIANCE LIFE INSURANCE)
Protection Plans
Protects family even when youre not around by investing in Reliance Protection Plans. Choose a limited period plan or a lifetime protection plan depending on your needs. The latest Protection Plans are as below 1. Reliance Term plan 2. Reliance Simple Term plan 3. Reliance Special Term plan 4. Reliance Credit Guardian plan 5. Reliance Special Credit Guardian plan 6. Reliance Endowment plan 7. Reliance Special Endowment plan 8. Reliance Connect 2 Life plan 9. Reliance Whole Life plan 10. Reliance Wealth + Health plan 11. Reliance Cash Flow plan
Savings & Investment Plans

Reliance Savings & Investment Plans help you to set aside some money to achieve specific goals in life, which means that you can enjoy life and provide for your familys daily needs. The savings and investment Plans are as below 1. Reliance Total Investment Plan Series I - Insurance 2. Reliance Wealth + Health plan 3. Reliance Automatic Investment plan 4. Reliance Money Guarantee plan
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5. Reliance Cash Flow plan 6. Reliance Market Return plan 7. Reliance Endowment plan 8. Reliance Special Endowment plan 9. Reliance Whole Life plan 10. Reliance Golden Years Plan 11. Reliance Golden Years Plan Value 12. Reliance Golden Years Plan Plus
13. Reliance Connect 2 Life plan
Retirement Plans
Invest today in Reliance Retirement Plans and save money to enjoy life even after retirement. You will never have to depend on another person or make any compromises to maintain your current lifestyle. The latest Retirement Plans are as below 1. Reliance Total Investment Plan Series II Pension 2. Reliance Golden Years Plan 3. Reliance Golden Years Plan Value 4. Reliance Golden Years Plan Plus 5. Reliance Wealth + Health plan 6. Reliance Automatic Investment Plan
7.
Reliance Money Guarantee Plan
Child Plans
Save systematically and secure your childs future needs by investing in Reliance Child Plans. You can always be there for your child when he or she needs you. The Childs plans are as below 1. Reliance Child plan 2. Reliance Secure Child plan 3. Reliance Wealth + Health plan
- 40 -
Market Return Plan

Under This plan the investment risk in the investment portfolio is borne by the policyholder.
key features
Twin benefit of market linked return and insurance protection A unit linked plan, different from traditional life insurance products with maximum maturity age of 80 years. Option to create your own portfolio depending on your risk appetite. Choose from four different investment funds Flexibility to switch between funds Option to pay regular as well as single premium & top- ups Option to package your policy with accidental rider Flexibility to increase the sum assured and liquidity to with draw money partially.
WHO CAN BUT THE PRODUCT

Minimum age at entry Maximum age at entry Maximum age at maturity 30 years 65 years 80 years
WHAT IS THE POLICY TERM

Minimum policy term Maximum policy term 5 years 40 years
- 41 -
MY WORK AT RELIANCE MONEY

During the MSP period of 3 month i.e. from 24th July to 24th October I have gone through various stages Job role. I was basically given the work to Target various Consumer Groups, Markets and Different Organizations to whom and where the company can pitch its differential financial products/services as well as to create Awareness about the company and its offerings in the regard to Promote which create a Position in minds of the consumer. Moreover I was given some training classes about Mutual funds and Life Insurance. I have worked for two financial product/service offered by R-Money which are MUTUAL FUND LIFE INSURANCE (I AM JUST IN THE INITIAL STAGE OF IT). As Targeting and Positioning are always followed by Segmentation, so I firstly took criteria of segmentation for targeting and positioning purpose on various aspects some of which are; 1. SEC (SPECIAL ECONOMIC CLASS) -- Different working classes like: Service Class : Top Level Personals (i.e. at Strategic Level) Middle Level Personals (i.e. at Tactical Level) Lower Level Personals (i.e. at Operational Level) 2. Business Class: Entrepreneurs (Small Businessmen and some small firms Basically)
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3. 1.
Self Employed On the basis of Demographics: Age Factor: I segmented people as per 3 age criteria which are , (2535)years (3545) years, (4560) years
2. 3. 4.
Education Level Gender: Male and Female Income: According to the earnings and income of the product. According to the parameters taken above I have targeted people in various places of Hyderabad like, Banjara Hills, Begum pet, Balanagar, Punjagutta , Somajiguda, Erramanzil, Himayat Nagar, Ameerpet, Yellariguda for creating awareness and position of Mutual Funds and Life Insuarances offered by R-Money. Moreover this process also lead to the work of Lead Generation for the company and which could also be used by me for cross selling of the products/services to them.
- 43 -
Given below are some facts and comparison of Mutual Funds with other investment is mentioned which is done by me.
MUTUAL FUND VS/S OTHERS

Return Safety Volatilit y Equity High Low High Liquidit y High Convenie nce Moderat e Bonds Moderat e Co. Debentur es Co. FDs Moderat e Bank Deposits PPF Moderat e Life Insuranc e Gold Moderat e Real Estate Mutual Funds High High Moderat e High Modera te High High High Modera te High Modera te Low Low Gold Low High Low High Low Modera te Low Moderat e High Low High Low High Low Low Low Moderat e High Moderat e Moderat e High Modera te Modera te Modera te Low Low High
- 44 -
INSTRUMENT RETURN Equity Bonds Debenture High
SAFETY Low
VOLATILITY LIQUIDITY High Moderate High/low Moderate Low High High
Moderate High
Moderate Moderate Moderate High High Low Moderate
Bank Deposits Low Mutual funds High
Mutual fund is the preferred avenue for investment because:

Mutual fund combines the advantage of each of products. They dispense the short coming of the other avenues The returns get adjusted to the market movements. The post tax returns are higher as compared to the other avenues. Investment can be averaged out. Minimizing the risk element.
- 45 -
Some Facts and findings about Life Insurance done by me are given below;
LIFE STAGES IN LIFE INSURANCE
Introduction of dependents. Start of financial planning balance between asset creation & protection
Peak earning age range. High asset creation & build up of liabilities. Critical stage for dependents
Asset base build up & liabilities reduced/ taken care of. Need for retirement planning more than protection.
No dependents/ liabilities therefore need for insurance is less
Need for protection low. Greater need for regular income flow.
25-30
18-25 (Unmarried) Married couples with no kids
30-45 years
Couples with children
45 yrs
above couple
and
Matured
Retired
Endowment / ULIPs
Endowment / ULIPs + Term
Annuities
At each stage, requirements, responsibilities and Financial needs differ - 46 -
METHODOLOGY
AGE STATUS INSURANCE NEEDS
SUGGESTED PRODUCTS Short Term Endowment Product
18yrs - 25yrs
Unmarried
1.Go on a holiday 2.Buy a new Car 3.Set up a new house 4.Set up Interiors 5.Buy jewellery
25yrs -30yrs
Married
1.High Debt, high expenditure Phase 2.Family dependency on your income 3.Low accumulated wealth 4.Need for Planning Requirement
Temporary term or whole life Product
30yrs - 45yrs
Matured couple
1.Retirement Planning 2.Wealth transfer or saving vehicles 3.Returns on investment 4.Opting for guaranteed Product
Profits or Unit Linked Endowment/ Deferred annuities
60yrs and above
Post Retirement
1.Protection in case you live long 2.Protection for spouse in case of death 3.Wealth accumulation for children
1.Single Premium annuities 2.Long term care products 3.Whole life products
Need Analysis in Life Stages

- 47 -
Life Stage Example
Term Endowment
Annuity
Hello, I am Philip, sailor. Have seen the world. Always on cruise and keep worrying about family and the loans. I need financial Savera has just come to Protection if I do not return from our lives. As proud one voyage Worked for almost 25 parents, We need to years, now want to protect her as well as live. I want something create her own financial that will make my life standing Chinta (tension)-free after my retirement.
- 48 -
LITRATURE REVIEW
Journal of Research into New Media Convergence: The International Technologies This very journal is basically an interview which is done by Patrick Crogan to Samuel Weber. The title is Targeting, Television and Networking: An Interview with Samuel Weber. Here a light is thrown on various aspects by the interviewee on the targeting, media and networking. According to him; The target is someone who doesnt fit the usual criteria. So one dont have the same kind of search procedures as in the normal hiring process. The target of opportunity can be a function of affirmative action policy or be somebody whose qualifications are unusual enough that one would not find them with a regular search process following criteria peculiar to an individual discipline. On the one hand the association of targeting with the aim of controlling the future, controlling the environment by identifying a target, localizing it and hitting it or reaching it, depending on what area a person is in, and on the other hand the notion of opportunity, which suggests the unpredictable emergence of an event that cant be entirely planned. The coupling of the two terms suggests that targeting, rather than just designating an abstract activity in which, unencumbered by constraints of time and space, he identify something that he/she wants to accomplish or goals to be reach and then everything is done to achieve that, involves responding in a very determinate situation spatially and temporally to an unpredicted, unforeseen event, trying to get that event in some sense under control. The word opportunity itself is interesting because it already condenses this idea of the unpredictable, singular event being turned into an occasion to do something else. An opportunity means precisely to be able to do something with the event. Quite literally, the word suggests a portal, op-port-unity; a gateway through which one can pass into another domain. The latter can
- 49 -
be construed as a realm of goals, and then the opportunity is instrumentalized, like the target. But it can also suggest an area that may not be definable strictly or primarily in terms of goals, aims or ends. In the latter case, you cant be absolutely sure that you are going to be able to reach your target or even that there is one. So you have this tension between the two terms, target and opportunity. In the financial domain as well, where the maximization of profit in the short term takes precedence over all other considerations and has come to undermine the very foundations of the capitalist economy that produced it in the first place. The current financial crisis deriving from the use of subprime mortgages is an excellent example of this tendency. Targeting in this sense seeks to eliminate the uncertainties of time by considering it primarily as short term and thus as amenable to the accomplishment of certain goals, the maximization of profit primarily, without worrying about what comes next. One reaction to this is the growth of ecological concerns, about sustainable growth, but these are then quickly exploited by the very same system dominated by finance capital and short-term profit maximization. Overall, the journal speaks about concept of targeting and opportunities in common. Though the real methodology is not been specified to do targeting but the concepts it has Discussed are really helpful for one who wants to do a project on targeting.
- 50 -
Culture & Psychology

JOURNAL OF Positioning in Accounting for Redemption and Reconciliation The journal speaks out the combination of culture and psychology in the regard of Positioning, i.e.; how these both play a vital role while understanding the concept of positioning. The author has tried to clear the concept of positioning through Accounting for Redemption and Reconcialition.
The Social Practice of Reconciliation

Reconciliation is a ubiquitous social phenomenon, woven into the fabric of social lives, and is emblematic of the human condition. It ranges from inter-personal relationships observed in everyday life to a wider social context of business, economics, politics, government, international relations and diplomacy.
The Concept of Positioning

The concept of positioning is introduced as a metaphor to enable an investigator to grasp how persons are located within conversations as observably and subjectively coherent participants in jointly produced storylines. The act of positioning refers to the assignment of parts or roles to speakers in the discursive construction of personal stories. Here positioning theory to the analysis has been applied in order to understand the nature of the experience of reconciliationwhat it is to remember the problematic past and what it is to be reconciled with it. Harr and Van Langehove note that there are three ways of expressing and experiencing ones personal identity or unique selfhood (Harr & van Langenhove, 1991; van Langenhove & Harr, 1993). They are by stressing ones agency in claiming responsibility for some action; by indexing ones statements with the point of view one has on their relevant world; or by presenting a description/evaluation of some past event or episode as a contribution to ones biography. I will show in the following analysis of an extract how such indexing and marking of ones agency are empirically observed in the redemption narrative.
- 51 -
Furthermore, Harr and van Langenhove state that the positioning has larger theoretical implications for the moral sensibility of a person in taking a particular position in a given conversational setting. Positioning is a metaphor for oscillating subjectivity located in time and place/space. The utterance is indexed with his or her spatial and temporal location, and as a claim about a state of affairs it is indexed with its speakers moral standing (Harr & van Langenhove, 1991, 1999). Such indexing allows us to look at the ways in which a speaker takes responsibility for the reliability of his or her claim. A discourse produced in the interview is not treated as the single account representing the truth. The discursive act of positioning thus involves a reconstructive element: the biographies of the one being positioned and the positions may be subject to rhetorical redescriptions (van Langenhove & Harr, 1993). The question, then, is to examine how this rewriting is understood with regard to personal identity and selfhood (van Langenhove & Harr, 1993, p. 85). As in recent work exemplified in critical and discursive psychology, positioning does not assume a stable, fixed identity or individual state of mind, but is situated in discursive practices. Positioning indeed strikes a chord with this view of multiple, unfixed, fleeing and dynamic identity. Yet, van Langenhove and Harr identify that [t]here seems to be a tension between the multiplicity of selves as expressed in discursive practices and the fact that across these discursive practices a relatively stable self-hood exists as well. Overall all the concepts dealing with the understanding of positioning has been systematically and beautifully analyzed that even a layman could gain the knowledge. Hence, this article is indeed a perfect help material for a project.
- 52 -
RESEARCH METHEDOLOGY
Objective of research;
The main objective of this project is concerned with getting the opinion of people regarding Mutual Funds and Life Insurance , to target them and create awareness while with the generation of leads. I have tried to explore the general opinion about Mutual Funds and Life Insurance. It also covers why/ why not investors are availing the services of financial advisors. Along with it a brief introduction to Indias largest financial intermediary, RELIANCE MONEY has been given and it is shown that what are mutual funds and life insurance and how they work
Scope of the study:

The research was carried on in the Southern Region of India. It is restricted to Hyderabad. I have visited people randomly nearby my locality, different shopping malls, small retailers etc.
Data sources:
Research is totally based on primary data. Secondary data can be used only for the reference. Research has been done by primary data collection, and primary data has been collected by interacting with various people. The secondary data has been collected through various journals and websites and some special publications of R-MONEY.
- 53 -
Sampling:
Sampling procedure: The sample is selected in a random way, irrespective of them being investor or not or availing the services or not. It was collected through mails and personal visits to the known persons, by formal and informal talks and through filling up the questionnaire prepared. The data has been analyzed by using the measures of central tendencies like Mean, median, mode. The group has been selected and the analysis has been done on the basis statistical tools available.
Sample size:
The sample size of my project is limited to 200 only. Out of which only 135 people attempted all the questions. Other 65 not investing in MFs and dont have a Life Insurance policy attempted only 2 questions.
Sample design:
Data has been presented with the help of bar graph, pie charts, line graphs etc. Hypothesis: H0: Targeting and Positioning Strategy based on investment in Mutual Fund and Life Insurances is significant.
Limitation:
Time limitation. Research has been done only at HYDERABAD.
- 54 -
Some of the persons were not so responsive. Possibility of error in data collection. Possibility of error in analysis of data due to small sample size.
Data Analysis
1. Null Hypothesis: The opinion of customers for all positioning factors is Similar. Alternative Hypothesis: The opinion of customers for all positioning Factors is not similar. Statistical Test: One way ANOVA Alpha level: .05 Confidence value: 2.71 Test value: 4.37 Result: The test results show that, the opinion of customers for all positioning factors is similar and can be considered to be true representative of the population.
- 55 -
2. Have you ever invested/ interested to invest in mutual funds or have taken a life insurance policy?
YES NO
135 65
- 56 -
3. What is the most important reason for not investing in mutual funds or taking a life insurance policy? (Only for above 65 participants)
Lack of knowledge about mutual funds/do not like insurance policy? Enjoys investing in other options Its benefits are not enough to drive you for investment No trust over the fund managers and the company
25
10 18
12
- 57 -
4. Where do you find yourself as a mutual fund investor or an insurance policy owner?
Totally ignorant Partial knowledge of MFs Aware of only scheme in which invested Good knowledge of MFs
28 37 46 24
- 58 -
5. Where from you purchases mutual funds and take insurance policies?
Directly from the AMCs and Insurance companies Brokers only ( large intermediaries) Broker/ sub-brokers Other sources
33 28 59 15
- 59 -
6. Which feature of the mutual funds allure you most?
Diversification Professional management Reduction in risk and transaction cost Helps in achieving long term goal
42 29 34 30
- 60 -
7. According to you which are the most suitable stage to invest in mutual funds or take an Insurance policy?
Young unmarried stage Young Married with children stage Married with older children stage Pre retirement stage
55 32 21 27
- 61 -
Research findings and conclusions:

As the test result shows that there is significant difference among the opinion of the customers regarding the positioning factors, the following conclusions will elaborate the positioning factors which are given more preference by consumers.
At the survey conducted upon 200 people, 135 (67.5%) are already mutual fund investors/an insurance policy owner or are interested to invest in future or take an insurance policy and the remaining 65 are not interested in doing either of it. So there is enough scope for the company to target those 65 participants (32.5%) to convert them into investors through their convincing power and great communication skills.
Now, when those 65 people were asked about the reason of not investing in mutual funds or taking an Insurance policy, then most of the people held their ignorance responsible for that. They lacked knowledge and information about the mutual funds and were confused due to various Insurance policies available in the market. Whereas just 10 people enjoyed investing in other option. For 18 people, the benefits arousing from these investments were not enough to drive them for investment in MFs and Insurance and 12 people expressed no trust over the fund managers decision and the company. Again the financial advisors of the company can tap upon these people by educating them about mutual funds and create trust regarding the investment in an Insurance policy.
- 62 -
Out of the 135 persons who already have invested in mutual funds/or taken an Insurance policy are interested to invest, only 18% have sound knowledge of MFs and various Insurance policies, 34% people are aware of only the schemes in which they have invested. 27% possess partial knowledge whereas 21% stands nowhere in knowledge about MFs and as far as the Insurance polices are concerned they are still confused.
33 participants buy forms directly from the AMCs, 28 from brokers only, 55 from brokers and sub-brokers even then 15 people buy from other sources. The brokers and sub brokers have the maximum reach so they should try to make those investors aware f the happenings, even the AMCs should follow it.
When asked about the most alluring feature of MFs, most of them opted for diversification, followed by reduction in risk, helps in achieving long term goals and helps in achieving long term goals respectively.
Most of the investor preferred to invest at a young unmarried stage. Even 32 persons were ready to invest at a stage of young married with children but person with older children avoid investing due to increased expenses. But again the number rose to 27 at pre-retirement stage.
- 63 -
Recommendations & Suggestions
The most vital problem spotted is of ignorance. Investors should be made aware of the benefits. Nobody will invest until and unless he is fully convinced. Investors should be made to realize that ignorance is no longer bliss and what they are losing by not investing. Mutual funds and Insurance policies offer a lot of benefit which no other single option could offer. But most of the people are not even aware of what actually a mutual fund is and moreover they are still unaware of the combination of Mutual Fund + Insurance Policy, i.e. SIP+INSURE PLAN. They only see it as just another investment option. So the advisors should try to change their mindsets. The advisors should target for more and more young investors. Young investors as well as persons at the height of their career would like to go for advisors due to lack of expertise and time. The advisors may try to highlight some of the value added benefits of MFs such as tax benefit, rupee cost averaging, and systematic transfer plan, rebalancing etc. these benefits are not offered by other options single handedly. So these are enough to drive the investors towards mutual funds. Investors could also try to increase the spectrum of services offered. Now the most important reason for not availing the services of advisors was spotted was being expensive. The advisors should try to charge a nominal fee at the beginning. But if not possible then they could go for offering more services and benefits at the existing rate. They should also maintain their decency and follow the code of ethics so that the investors could trust upon them. Thus the advisors should try to attract more and more persons and turn them into investors and finally their clients.
- 64 -
Questionnaire:
Name : Age : Income per annum : Gender : Occupation : Contact No : Have you invested /are you interested to invest in mutual funds or to take an Insurance policy? Yes [ ] No [ ] (plz. attempt the next question)
What is the most important reason for not investing in mutual funds and in Insurance policies? Lack of knowledge about mutual funds/insurance Enjoys investing in other options Its benefits are not enough to drive you for investment No trust over the fund managers [ ] [ ] [ ] [ ]
Where do you find yourself as a mutual fund investor/an insurance policy owner? Totally ignorant Partial knowledge of mutual funds [ ] [ ]
Aware only of any specific scheme in which you invested [ ] Fully aware
- 65 -
[ ]
Where from you purchase mutual funds/insurance policy? Directly from the AMCs [ ] Brokers only Brokers/ sub-brokers Other sources [ ] [ ] [ ]
Which feature of the mutual funds allure you most? Diversification Professional management [ ] [ ]
Reduction in risk and transaction cost [ ] Helps in achieving long term goals [ ]
According to you which are the most suitable stage to invest in mutual funds/take an Insurance policy? Young unmarried stage [ ]
Young Married with children stage [ ] Married with older children stage [ ] Pre-retirement stage [ ]
- 66 -
Bibliography
Market Research (Naresh Malhotra) Consumer Behavior Marketing Management (Philip Kotler)
Websites:
www.reliancemoney.com www.mutualfundsindia.com www.valueresearchonline.com www.moneycontrol.com www.morningstar.com www.yahoofinance.com www.theeconomictimes.com www.rediffmoney.com www.bseindia.com www.nseindia.com www.investopedia.com www.scribd.com www.online.sagepub.com www.google.com www.reliancemoney.co.in
- 67 -
Journals & other references:
The Economic Times, Jan 2007 issue R-Money factsheet and journals, year 2006, vol.3, page- 33-45 Business Standard, June 2006 issue The Telegraph, 5th, Feb 2007 Business India, September,2004 issue Fact sheet and statements of various fund houses.2008 Money Today, March, 2007, page 22-31 Investment India, June 2005, Page 56-59
- 68 -

A Project Report On Targeting and Positioning Strategy of Reliance Money

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FINAL PROJECT REPORT

Targeting and Positioning Strategy Product/Services offered by Reliance Money

The ICFAI School of Marketing Studies Hyderabad

The ICFAI School of Marketing Studies

FINAL PROJECT REPORT

Targeting and Positioning Strategy of Financial Product/Services offered by Reliance Money

CORPORATE GUDE: MR. RAVINDER SONI

FACULTY GUIDE: DR. K.RANDHEER

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SCOPE OF THE STUDY

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POSITIONING DONE BY RELIANCE MONEY

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About Reliance Money in brief

Reliance Mutual fund

Reliance General Insurance

Reliance Reliance Life Insurance Money

Reliance Consumer Finance

Some key steps of the company that are as..

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Success is a journey, not a destination.

If we look for examples to prove this quote then we

Success sutras of Reliance Money:

Vision of Reliance Money

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Structured Products, Art Investments

Real Estate Advisory Services

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MUTUAL FUNDS AN UNDERSTANDING

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The Concept of Mutual Fund

Mutual Funds Industry in India

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GROWTH IN ASSETS UNDER MANAGEMENT

Mutual Fund Companies in India

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Major Mutual Fund Companies in India

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Future of Mutual Funds in India

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Mar-98 Mar-00 Mar-01 Mar-02

Deposits Change in % over last yr Source - RBI

605410 851593 989141 1131188 1280853 -

Some facts for the growth of mutual funds in India

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CATAGORIES OF MUTUAL FUNDS

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