Final Project

CHAPTER 1.
INTRODUCTION
N.M.D.COLLEGE GONDIA
Page 1
INVESTMENT IN GENERAL:
Investment is the commitment of money or capital to purchase financial instruments or other assets in order to gain profitable returns in form of interest and income or appreciation of the value of the instrument. It is related to saving or deferring consumption. Investment is involved in many areas of the economy such as business management and finance no matter for households, firms, or governments. An investment involves the choice by an individual or an organization such as a pension fund, after some analysis or thought, to place or lend money in a vehicle, instrument or asset, such as property, commodity, stock, bond, financial
derivatives (e.g. futures or options), or the foreign asset denominated in foreign currency, that has certain level of risk and provides the possibility of generating returns over a period of time. In the case of investment, rather than store the good produced or its money equivalent, the investor chooses to use that good either to create a durable consumer or producer good, or to lend the original saved good to another in exchange for either interest or a share of the profits. In the first case, the individual creates durable consumer goods, hoping the services from the good will make his life better. In the second, the individual becomes an entrepreneur using the resource to produce goods and services for others in the hope of a profitable sale. The third case describes a lender, and the fourth describes an investor in a share of the business. In each case, the consumer obtains a durable asset or investment, and accounts for that asset by recording an equivalent liability. As time passes, and both prices and interest rates change, the value of the asset and liability also change.
INVESTMENT IN FINANCE:
In finance, investment is the commitment of funds by buying securities or other monetary or paper (financial) assets in the money markets or capital markets, or in fairly liquid real assets, such as gold or collectibles. Valuation is the method for assessing whether a potential investment is worth its price. Returns on investments will follow the risk-return spectrum. Types of financial investments include shares, other equity investment,
and bonds (including bonds denominated in foreign currencies). These financial assets are then expected to provide income or positive future cash flows, and may increase or decrease in value giving the investor capital gains or losses.
Page 2
Investments are often made indirectly through intermediaries, such as banks, mutual funds, pension funds, insurance companies, collective investment schemes, and investment clubs. Though their legal and procedural details differ, an intermediary generally makes an investment using money from many individuals, each of whom receives a claim on the intermediary. Within personal finance, money used to purchase shares, put in a collective investment scheme or used to buy any asset where there is an element of capital risk is deemed an investment. Saving within personal finance refers to money put aside, normally on a regular basis. This distinction is important, as investment risk can cause a capital loss when an investment is sold, unlike saving(s) where the more limited risk is cash devaluing due to inflation. In many instances the terms saving and investment are used interchangeably, which confuses this distinction. For example many deposit accounts are labeled as investments account by banks for marketing purposes. Whether an asset is a saving(s) or an investment depends on where the money is invested: if it is cash then it is savings, if its value can fluctuate then it is investment.
Instruments studied at Ventura Securities Limited :

1. Equity/shares trading : Equity investments generally refers to the buying and holding of shares of stock on a stock market by individuals and firms in anticipation of income rom dividends and capital gain as the value of the stock rises. It also sometimes refers to the acquisition of equity (ownership) participation in a private (unlisted) company or a startup (a company being created or newly created). When the investment is in infant companies, it is referred to as venture capital investing and is generally understood to be higher risk than investment in listed going-concern situations.
N.M.D.COLLEGE GONDIA Page 3
2. Derivatives:: In financial terms, a derivatives is a financial instrument - or more simply, an agreement between two people or two parties - that has a value determined by the price of something else (called the underlying). It is a financial contract with a value linked to the expected future price movements of the asset it is linked to - such as a share or a currency. There are many kinds of derivatives, with the most notable being swaps, futures, and options. However, since a derivative can be placed on any sort of security, the scope of all derivatives possible is near endless. Thus, the real definition of a derivative is an agreement between two parties that is contingent on a future outcome of the underlying. 3. Mutual fund:: A Mutual Fund is a trust that pools together the savings of a number of investors who share a common financial goal. The money collected is then invested in capital market instruments such as shares, debentures and other securities based on their objective. The income earned through these investments and the capital appreciation realized are shared by its unit holders in proportion to the number of units owned by the investors.
Page 4
4. Insurance:: Insurance is defined as the equitable transfer of the risk of a loss, from one entity to another, in exchange for payment. An insurer is a company selling the insurance; an insured or policyholder is the person or entity buying the insurance policy. The insurance rate is a factor used to determine the amount to be charged for a certain amount of insurance coverage, called the premium. The transaction involves the insured assuming a guaranteed and known relatively small loss in the form of payment to the insurer in exchange for the insurer's promise to compensate (indemnify) the insured in the case of a large, possibly devastating loss. The insured receives a contract called the insurance policy which details the conditions and circumstances under which the insured will be compensated.
SCOPE OF PROJECT:
This project gives an overview about the investment in capital markets through various financial instruments. The project gives an comparative analysis of tracking the stock market and investing in such stocks with varying risks and returns as per the risks. Among the many financial instruments available in the market the instruments studied at Ventura securities are equity, derivatives, mutual funds and insurance. According to perspective of people the
investment paths differ from person to person. This project also tells about the general information about the stock market, pointer used for online trading of Ventura securities limited, derivatives market , mutual funds information, investments in mutual funds, insurance and investment opportunities in insurance. This data then helps the general investor to predict in which bracket of investment he fits in, and can make better investment for himself. The rate of returns varies in all the financial instruments and period for which the investor is investing his money. Stocks are extremely sensitive to the different ups and downs of the market over the short-term. Since market conditions are changed with respect to any change in inflation or interest rates, this may have an impact on the value of the stocks you hold. Other factors that influence the performance of the market are different events happening both on domestic and foreign arenas.
Page 5
All of these factors are out of the scope of control of both investors and companies. Thus even the well-performing companies can be helpless in the conditions of a falling market which depreciates the value of their stocks. As a result many financial experts don't recommend stock investing to individuals that foresee the need of money in the short-term. This is so, since the dynamics of the market conditions may end you up with less money exactly at the time you need to retrieve them. In order to become an educated stock investor you should always keep in mind that stocks are an investment tool that gives the best results over the long-term. Only then their positive rewards can be felt. It is also advisable to move your assets to more secure investments when you foresee that you will need some cash out of your stock investments. Some potential parking places include fixed income mutual funds, pension plans , fixed income investments (e.g. bonds, bank CDs) or other products that are characterized by substantial stability. Many financial investors now a days believing mutual fund as a best investment path for the new investor who doesnt have much information about the market or who dont have enough time to spend for tracking the market and then investing in best stock. Mutual fund on the other hand has a fund manager who pulls money from the retail investor and invest in those stocks who are very diversified portfolio and having good track records during the period of time. Insurance on other hand is not just investment but a basic need of the person which helps him to cover the risk over a given period of time. Insurance companies introducing the ULIPS which invest the funds from the people and invest it into stock market. A planning of three to five years ahead of the time you will need the money is recommended. Reasonable judgment is required in order to make a good prediction on when exactly you will need the money so that you can plan ahead the reallocation of assets. After you have determined that you should select the stable products to which you can transfer your assets.
OBJECTIVES OF PROJECT:
Any investment decision will be influenced by three objectives safety/security, income and growth of capital . A best investment decision will be one, which has the best possible compromise between these three objectives. Individually these objectives are very powerful in influencing the investors. Collectively they work against each other forcefully, as can be seen below. Hence the acclaim A best
Page 6
investment decision will be one, which has the best possible compromise between these three objectives. When selecting where to invest our funds we have to analyze and manage these three objectives. Safety: Central to any investment objective, we have to basically ensure the safety of the principal. One can afford to lose the returns at any given point of time but s/he can ill afford to lose the very principal itself. By identifying the importance of security, we will be able to identify and select the instrument that meets this criterion. For example, when compared with corporate bonds, we can vouch safe the safety of return of investment in treasury bonds as we have more faith in governments than in corporations. Hence, treasury bonds are highly secured instruments. Also considering in stock market which is highly volatile the so called best investment which is safer is mutual fund and insurance. Hence safety is one of the main objective investors look for investing in market or any other financial instruments.
Income : The safest investments are also the ones that are likely to have the lowest rate of income return, or yield. Investors must inevitably sacrifice a degree of safety if they want to increase their yields. This is the inverse relationship between safety and yield: as yield increases, safety generally goes down, and vice versa. In order to increase their rate of investment return and take on risk above that of money market instruments or government bonds, investors may choose to purchase corporate bonds or preferred shares with lower investment ratings. Investment grade bonds rated at A or AA are slightly riskier than AAA bonds, but presumably also offer a higher income return than AAA bonds. Similarly, BBB rated bonds can be thought to carry medium risk but offer less potential income than junk bonds, which offer the highest potential bond yields available, but at the highest possible risk. Junk bonds are the most likely to default. Most investors, even the most conservative-minded ones, want some level of income generation in their portfolios, even if it's just to keep up with the economy's rate of inflation. But maximizing income return can be an overarching principle for a portfolio, especially for individuals who require a fixed sum from their portfolio every month. A retired person who requires a certain amount of money every month is well served by holding reasonably safe assets
Page 7
that provide funds over and above other income-generating assets, such as pension plans, for example
Growth of capital : this discussion has thus far been concerned only with safety and yield as investing objectives, and has not considered the potential of other assets to provide a rate of return from an increase in value, often referred to as a capital gain. Capital gains are entirely different from yield in that they are only realized when the security is sold for a price that is higher than the price at which it was originally purchased. Selling at a lower price is referred to as a capital loss. Therefore, investors seeking capital gains are likely not those who need a fixed, ongoing source of investment returns from their portfolio, but rather those who seek the possibility of longer term growth. Growth of capital is most closely associated with the purchase of common stock, particularly growth securities, which offer low yields but considerable opportunity for increase in value. For this reason, common stock generally ranks among the most speculative of investments as their return depends on what will happen in an unpredictable future. Blue-chip stocks, by contrast, can potentially offer the best of all worlds by possessing reasonable safety, modest income and potential for growth in capital generated by long-term increases in corporate revenues and earnings as the company matures. Yet rarely is any common stock able to provide the near-absolute safety and income-generation of government bonds.
SECONDARY OBJECTIVES
Tax Minimization: An investor may pursue certain investments in order to adopt tax minimization as part of his or her investment strategy. A highly-paid executive, for example, may want to seek investments with favorable tax treatment in order to lessen his or her overall income tax burden. Making contributions to an IRA or other tax-sheltered retirement plan, can be an effective tax minimization strategy.
Page 8
Marketability / Liquidity: Many of the investments we have discussed are reasonably illiquid, which means they cannot be immediately sold and easily converted into cash. Achieving a degree of liquidity, however, requires the sacrifice of a certain level of income or potential for capital gains. Common stock is often considered the most liquid of investments, since it can usually be sold within a day or two of the decision to sell. Bonds can also be fairly marketable, but some bonds are highly illiquid, or non-tradable, possessing a fixed term. Similarly, money market instruments may only be redeemable at the precise date at which the fixed term ends. If an investor seeks liquidity, money market assets and non-tradable bonds aren't likely to be held in his or her portfolio.
Relationship: There is a tradeoff between risk (security) and return (yield) on the one hand and liquidity and return (yield) on the other. Normally, higher the risk any investment carries, the greater will be the yield, to compensate the possible loss. That is why, fly by night operators, offer sky high returns to their investors and naturally our gullible investors get carried away by such returns and ultimately lose their investment. Highly secured investment does not carry high coupon, as it is safe and secured. When the investment is illiquid, (i.e. one cannot get out of such investment at will and without any loss) the returns will be higher, as no normal investor would prefer such investment. These three points security, liquidity and yield in any investment make an excellent triangle in our investment decision-making. Ideally, with given three points of any triangle, one can say the center of the triangle is fixed. In our investment decision too, this center the best meeting point for S, L and Y is important for our consideration. However, if any one or two of these three points are disturbed security, liquidity and yield in any investment the center of the triangle would be disturbed and one may have to revisit the investment decision either to continue the investment or exit the investment. All these points security, liquidity and yield are highly dynamic in any market and they are always subject to change and hence our investor has to periodically watch his/her investment and make appropriate decisions at the right time.
Page 9
If our investor fails to monitor her / his investment, in the worst circumstances, s/he may lose the very investment. Thus, we will return to our original statement - A best investment decision will be one, which has the best possible compromise between these three objectives security, liquidity and yield.
Page 10
CHAPTER . 2 INTRODUCTION TO INDUSTRY
Page 11
SEBI
The government of India established the securities and exchange board of India, the regulatory body of stock markets in 1988. within a short period of time. SEBI became an autonomous body through the SEBI act passed in 1992,within defined responsibilities that cover both the development & regulation of the market while also giving the board independent powers. Comprehensive regulatory measures introduced by SEBI ensured that end investors benefited from the safe and transparent dealings in securities.
The basic objectives of the Board were identified as:: 1. to protect the interests of investors in securities. 2. to promote the development of securities market. 3. to regulate the securities market. SEBI has contributed to the improvement of the securities market by introducing measures like capitalization requirements, margining and establishment of clearing corporations that reduced the risk of credit. Today, the board continues on its two-fold mission of integrating the securities market at the national level and also diversifying the trading products to increase the number of traders ( including banks, financial institutions, insurance companies, mutual funds, primary dealers eye) transacting through the exchanges. In the context the introduction of derivatives trading through Indial Stock Exchanges permitted by SEBI in 2000 AD has been a real landmark.
Page 12
The main functions of SEBI are as follows, 1. Regulates Capital Market 2. Checks Trading of securities. 3. Checks the malpractices in securities market. 4. It enhances investor's knowledge on market by providing education. 5. It regulates the stockbrokers and sub-brokers. 6. To promote Research and Investigation.
Page 13
CHAPTER 3. STOCK EXCHANGES
Page 14
BOMBAY STOCK EXCHANGE

Heritage
The oldest stock exchange in Asia (established in 1875) and the first in the country to be granted permanent recognition under the Securities Contract Regulation Act, 1956, Bombay Stock Exchange Limited (BSE) has had an interesting rise to prominence over the past 133 years. While BSE is now synonymous with Dalal Street, it was not always so. The first venues of the earliest stock broker meetings in the 1850s were in rather natural environs - under banyan trees in front of the Town Hall, where Horniman Circle is now situated. A decade later, the brokers moved their venue to another set of foliage, this time under banyan trees at the junction of Meadows Street and what is now called Mahatma Gandhi Road. As the number of brokers increased, they had to shift from place to place, but they always overflowed to the streets. At last, in 1874, the brokers found a permanent place, and one that they could, quite literally, call their own. The new place was, aptly, called Dalal Street ( Brokers' Street). In 2002, the name "The Stock Exchange, Mumbai" was changed to Bombay Stock Exchange. Subsequently on August 19, 2005, the exchange turned into a corporate entity from an Association of Persons (AoP) and renamed as Bombay Stock Exchange Limited. BSE, which had introduced securities trading in India, replaced its open outcry system of trading in 1995, with the totally automated trading through the BSE Online trading (BOLT) system. The BOLT network was expanded nationwide in 1997.
Page 15
Prominent Position
The journey of BSE is as eventful and interesting as the history of India's securities market. In fact, as India's biggest bourse, in terms of listed companies and market capitalisation, BSE has played a pioneering role in the development of the Indian securities market. It is surely BSE's pride that almost every leading corporate in India has sourced BSE's services in capital raising and is listed with BSE. Even in terms of an orderly growth, much before the actual legislations were enacted, BSE had formulated a comprehensive set of Rules and Regulations for the securities market.. It had also laid down best practices which were adopted subsequently by 23 stock exchanges which were set up after India gained its independence. BSE, as a brand, has been and is synonymous with the capital market in India. Its SENSEX is the benchmark equity index that reflects the health of the Indian economy.
BSE continues to innovate

Became the first national exchange to launch its website in Gujarati and Hindi and now Marathi. Purchased of Marketplace Technologies in 2009 to enhance the in-house technology development capabilities of the BSE and allow faster time-to-market for new products. Launched a reporting platform for corporate bonds christened the ICDM or Indian Corporate Debt Market. Acquired a 15% stake in United Stock Exchange (USE) to drive the development and growth of the currency and interest rate derivatives markets. Launched 'BSE StAR MF' Mutual fund trading platform, which enables exchange members to use its existing infrastructure for transaction in MF schemes. BSE now offers AMFI Certification for Mutual Fund Advisors through BSE Training Institute (BTI). Co-location facilities for Algorithmic trading. BSE also successfully launched the BSE IPO index and PSU website. BSE revamped its website with wide range of new features like 'Live streaming quotes for SENSEX companies', 'Advanced Stock Reach', 'SENSEX View', 'Market Galaxy', and 'Members'. Launched 'BSE SENSEX MOBILE STREAMER'.
Page 16
Other activity
With its tradition of serving the community, BSE has been undertaking Corporate Social Responsibility (CSR) initiatives with a focus on Education, Health and Environment. BSE has been awarded by the World Council of Corporate Governance the Golden Peacock Global CSR Award for its initiatives in Corporate Social Responsibility (CSR).
NATIONAL STOCK EXCHANGE

The National Stock Exchange of India Limited is a Mumbai-based stock exchange. It is the largest stock exchange in India in terms of daily turnover and number of trades, for both equities and derivative trading.[1]. NSE has a market capitalization of around Rs 47,01,923 crore (7 August 2009) and is expected to become the biggest stock exchange in India in terms of market capitalization by 2009 end.Though a number of other exchanges exist, NSE and the Bombay Stock Exchange are the two most significant stock exchanges in India, and between them are responsible for the vast majority of share transactions. The NSE's key index is the S&P CNX Nifty, known as the Nifty, an index of fifty major stocks weighted by market capitalization.
NSE is mutually-owned by a set of leading financial institutions, banks, insurance companies and other financial intermediaries in India but its ownership and management operate as separate entities. There are at least 2 foreign investors NYSE Euronext and Goldman Sachs who have taken a stake in the NSE. As of 2006, the NSE VSAT terminals, 2799 in total, cover
Page 17
more than 1500 cities across India [5]. In October 2007, the equity market capitalization of the companies listed on the NSE was US$ 1.46 trillion, making it the second largest stock exchange in South Asia. NSE is the third largest Stock Exchange in the world in terms of the number of trades in equities.[6]It is the second fastest growing stock exchange in the world with a recorded growth of 16.6%.
ORIGINS
The National Stock Exchange of India 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. In April 1993, it was recognized as a stock exchange under the Securities Contracts (Regulation) Act, 1956. NSE commenced operations in the Wholesale Debt Market (WDM) segment in June 1994. The Capital market (Equities) segment of the NSE commenced operations in November 1994, while operations in the Derivatives segment commenced in June 2000. INNOVATIONS NSE has remained in the forefront of modernization of India's capital and financial markets, and its pioneering efforts include: Being the first national, anonymous, electronic limit order book (LOB) exchange to trade securities in India. Since the success of the NSE, existent market and new market structures have followed the "NSE" model. Setting up the first clearing corporation "National Securities Clearing Corporation Ltd." in India. NSCCL was a landmark in providing innovation on all spot equity market (and later, derivatives market) trades in India. Co-promoting and setting up of National Securities Depository Limited, first depository in India. Setting up of S&P CNX Nifty. NSE pioneered commencement of Internet Trading in February 2000, which led to the wide popularization of the NSE in the broker community. Being the first exchange that, in 1996, proposed exchange traded derivatives, particularly on an equity index, in India. After four years of policy and regulatory debate and formulation, the NSE was permitted to start trading equity derivatives
Being the first and the only exchange to trade GOLD ETFs (exchange traded funds) in India. NSE has also launched the NSE-CNBC-TV18 media centre in association with CNBCTV18. NSE.IT Limited, setup in 1999 , is a 100% subsidiary of the National Stock Exchange of India. A Vertical Specialist Enterprise, NSE.IT offers end-to-end Information Technology (IT) products, solutions and services.
MARKETS OF NSE.
Currently, NSE has the following major segments of the capital market: Equity Futures and Options Retail Debt Market Wholesale Debt Market Currency futures MUTUAL FUND STOCKS LENDING & BROWING August 2008 Currency derivatives were introduced in India with the launch of Currency Futures in USD INR by NSE. Currently it has also launched currency futures in EURO, POUND & YEN. Interest Rate Futures was introduced for the first time in India by NSE on 31st August 2009, exactly after one year of the launch of Currency Futures. NSE became the first stock exchange to get approval for Interest rate futures as recommended by SEBI-RBI committee, on 31 August,2009, a futures contract based on 7% 10 Year GOI bond (NOTIONAL) was launched with quarterly maturities.
WORKING HOURS OF NSE

NSE's normal trading sessions are conducted from 9:00 am India Time to 3:30 pm India Time on all days of the week except Saturdays, Sundays and Official Holidays declared by the Exchange (or by the Government of India) in advance. The exchange, in association with BSE
Page 19
(Bombay Stock Exchange Ltd.), is thinking of revising its timings from 9.00 am India Time to 5.00 pm India Time. There were System Testing going on and opinions, suggestions or feedback on the New Proposed Timings are being invited from the brokers across India. And finally on Nov 18, 2009 regulator decided to drop their ambitious goal of longest Asia Trading Hours due to strong opposition from its members. On Dec 16, 2009, NSE announced that it would pre-pone the market opening at 9am from Dec 18, 2009. So NSE trading hours will be from 9:00 am till 3:30 pm India Time. However, on Dec 17, 2009, after strong protests from brokers, the Exchange decided to postpone the change in trading hours till Jan 04, 2010. NSE new market timing from Jan 04, 2010 is 9:00 am till 3:30 pm India Time.
INDICES
NSE also set up as index services firm known as India Index Services & Products Limited (IISL) and has launched several stock indices, including : S&P CNX Nifty(Standard & Poor's CRISIL NSE Index) CNX Nifty Junior CNX 100 (= S&P CNX Nifty + CNX Nifty Junior) S&P CNX 500 (= CNX 100 + 400 major players across 72 industries) CNX Midcap (introduced on 18 July 2005 replacing CNX Midcap 200)
Page 20
CHAPTER 4.
Introduction to Company. VENTURA SECURITIES LIMITED
Page 21
ABOUT VENTURA
Ventura Securities Ltd. (Ventura) commenced operations in 1994 as a stock broking house. On its journey from then to now, Ventura has seen the capital markets mature and investors' requirements become more diverse. It has kept up with the times and today, it offers a whole range of investment products and services.
Ventura has a 25,000 sq ft head office a Vikhroli, Mumbai which houses its corporate office and all operations Our registered office is strategically situated in the Central Business District of Mumbai We have set up branches in select metros and have business partners across the length and breadth of the country We have been appointed as a national level distributor for all mutual funds We have been enlisted as a corporate agency for life insurance We are a corporate member of both the BSE and the NSE. This enables us to trade in equities, derivatives, currency products and offer depository services Ventura Commodities Pvt. Ltd., an associate company, is a trading member of MCX and NCDEX We have in-house, customized and ready to use software to enable seamless processes and flawless execution We adhere to a well-defined risk management system and settlement mechanism thereby enabling fully compliant operations
Directors:
Sajid Malik, Director is a member of the Institute of Chartered Accountants of India. He has more than fifteen years of varied experience in corporate advisory structured finance and private equity transaction. He has an international exposure to developed markets in Europe, US and the Far East and has been personally involved in international equity offerings and cross border acquisitions. He is the CEO of Genesys International Limited, a company focused on outsourcing of GIS and engineering design services. He is a non-executive director of Ventura Securities Limited. Hemant Majethia, Director is a member of the Institute of Chartered Accountants of India. He has more than fifteen years of experience in capital markets intermediation, equity research. Mr. Majethia is the CEO of Ventura Securities Limited and is responsible for the day to day operations and is responsible for creating an all India network of sub-brokers and creating
the distribution strength of Ventura Securities Limited. He has been instrumental in establishing broking centers and branches for Ventura Securities Limited across the country. It was his vision to create an all India network of brokers relationship and build the distribution strength of Ventura. Juzer Gabajiwala, Director is a member of the Institute of Chartered Accountants of India and The Institute of Company Secretaries of India. He has more than fifteen years experience in the field of finance and investment, having exposure to the industrial segment prior to entering the capital markets. Mr. Gabajiwala is responsible for setting up the entire Mutual Fund distribution business at Ventura and a network for PAN India operation. Mr. Gabajiwala is also responsible for setting up the wealth management business and the NRI desk.
Ventura Philosophy
Building and valuing true partnerships When it comes to our business partners, we see our success reflected in their progress. We have facilitated them all the way with technology and marketing strategies and in turn have been rewarded with their performance and loyalty. 'Think and it's there' approach We envisage all our clients' diverse needs - ranging from financial planning to wealth management - well in advance and provide them with resources, tools and solutions to fulfill them. Constant innovation
Change for the better has become a way of life at Ventura. Innovations have always been customer centric which has been amply reflected in the upgradation of systems to facilitate our network partners.
Team Ventura Our dedicated and well trained people represent the pillar of strength and success at Ventura. Each of our members has internalized our mission and are constantly striving to build on it.
Page 23
Value Added Services A. Online platforms: 1. "Pointer" - Our online equity trading engine. Trade at lightning speed, enjoy a unique investing experience. 2. Mutual Funds - Invest across various investment plans and also get a detailed online analysis. 3. Commodities - Browser and exe-based online trading softwares for clients as well as network partners to facilitate seamless execution on MCX and NCDEX. B. www.ventura1.com: A comprehensive website providing a plethora of information for a cross section of investors; providing product / market information and tools to access data in a user friendly manner. C. Customer web access: Through a common login, clients have access to a host of services such as portfolio details; digital contracts; transaction statement; tax report etc. D. Newsletters: Daily / weekly / monthly newsletters covering equities / mutual funds / commodities. These are also available on the web. E. SMS updates: Regular updates on market happenings and trading / investments calls, trade confirmations. F. Research reports: Detailed fundamental analysis on companies / industries at periodic intervals. G. Baatein bazaar ke Ventura se: An interactive chat room available to our network partners during trading hours for instant access to news on a real time basis. H. In-house training / seminars: Product training / investor conferences covering diverse topics like technical analysis / industry overview / overall financial markets.
Page 24
UBUSINESS RULES FOR ONLINE TRADING PLATFORM 'POINTER'

Account Opening documentation charges (Client Registration Fees) is Rs. 450/- which includes Rs. 300/- towards demat documentation and Rs. 150/- towards Trading account. We levy a Software Access Charge; this charge is credited back to the client account to the extent of the brokerage generated during the opted period. Please find on page 2, the various software access charge plans that we offer. Kindly select the access charge plan chosen by you. Minimum Brokerage: Brokerage will be charged as per the Plan selected by the client subject to a minimum brokerage of 2 paise per share for delivery based transactions and 1 paise per share for Intra Day.U Scripts listed on the BSE and NSE in the cash market and which are available for trading in POINTER are categorized in A-B-C-D groups. Margin applicable is based on the group as under: Group A B C D No. of times exposure 4 3 2 1
The scrip list is also available for download through our website and the link is http://www.ventura1.com/download/scrips.xlsUT we reserve our right to revise the scrip list without any prior intimation. For trading on the Derivatives Market, the applicable margin is defined as per the NSE SPAN margin file. We reserve the right to levy additional margin. Payment gateway tie-ups are presently available with various banks, for transfer of funds online (pay-in and pay-outs). Your designated bank account will be mapped for pay-in and pay-out. Cheque /Demand Drafts payments are not entertained in the online system of Trading.
Page 25
We follow a T+2 system for funds pay-in in the cash segment. The funds need to be transferred before 9 a.m. on T+2 to avoid deactivation of POINTER terminal. However, it is always in your interest that the fund towards your pay-in obligation is transferred to our account on T+1 day.
In case of F&O; the shortfall occurred in your account during the day must be paid immediately on demand or before the start of the market on the next trading day, whichever is earlier.
The effect of the funds transferred to Ventura from the clients bank account is immediate, and thereby reflects in the clients margin. This enables the client to trade immediately. In case this does not happen due to any connectivity issue, clients need to contact the branch immediately.
Ventura Securities Ltd. Page 1 of 2 In case of a demand for a pay-out before 5 p.m., the funds shall be credited to the client's bank account on the next working day, subject to availability of clear credit balance in the account of the client. The client's bank account will be credited towards funds payout on receipt of payout demand from the client.
In the event the client buys shares on T day and sells before receiving delivery in Demat A/c, commonly known in the market parlance as BTST, there is a possibility of auction as the actual delivery of shares may not be received. The costs associated with the auction will be to the clients account.
Other Charges includes Exchange charges, SEBI fees, Stamp Duty, Investor Protection Fund, Education Cess and Clearing Member Charges as per current applicable rates which are subject to revision.
On expiry of account, to avoid inconvenience the account will automatically be renewed under the same plan until further intimation provided by client. If a client's terminal has been deactivated frequently, he would be placed under the category of 100% margin.
Page 26
The above terms & conditions are subject to change at the sole discretion of Ventura Securities Ltd.
INVESTMENT IN EQUITY.
Equity is also known as stocks, are shares in the company. It is the certificate of the ownership of the corporation. In the simple terms , when you invest in a companys stock or buy its shares you own part of a company. In simple words when you buy the shares of the company you become the shareholder of the company. Thus as a shareholder, you share a portion of the profit the company may make 4, as well as a portion of the loss a company may take. Equities have the potential to grow in value over a period of time. Its also provide your portfolio with the growth necessary to reach your long term financial goals.
Page 27
Research studies have proved that the equities have outperformed most other forms of investment in long term. This may be best illustrated by following example: a) Over a 15 year period between 1990 to 2005, Nifty has given an annualized return of 17%. b) Mr. Raju invests in Nifty on January 1, 2000 (index value 1592.90). The Nifty value as of end December 2005 was 2836.55. Holding this investment over this period Jan 2000 to Dec 2005 he gets a return of 78.07%. Investment in shares of ONGC Ltd for the same period gave a return of 465.86%, SBI 301.17% and Reliance 281.42%.
Therefore,
Equities are considered the most challenging and the rewarding when compared to other investment options. Research studies have proved that investments in some shares with a longer tenure of investment hav yielded far superior r returns than any other investment.
However, this does not mean all equity investments would guarantee similar high returns. Equities are high risk investments. One needs to study them carefully before investing. Since 1990 till date, Indian stock market has returned about 17% to investors on an average in terms of increase in share prices or capital appreciation annually. Besides that on average stocks have paid 1.5% dividend annually.
Dividend is a percentage of the face value of a share that a company returns to its shareholders from its annual profits. Compared to most other forms of investments, investing in equity shares offers the highest rate of return, if invested over a longer duration.
Page 28
Factors Influence The Price Of Stock Broadly There Are Two Factors: (1) Stock Specific And (2) Market Specific. Stock Specific Factor
The stock-specific factor is related to peoples expectations about the company, its future earnings capacity, financial health and management, level of technology and marketing skills .The market specific factor is influenced by the investors sentiment towards the stock market as a whole. This factor depends on the environment rather than the performance of any particular company. Events favorable to and economy, political or regulatory environment like high economic growth, friendly budget, stable government etc. can fuel euphoria in the investors, resulting in a boom in the market. On the other hand, unfavorable events like war, economic crisis, communal riots, minority government etc. depress
MARKET SPECIFIC.
The market irrespective of certain companies performing well. However, the effect of market-specific factor is generally short-term. Despite ups and downs, price of a stock in the long run gets stabilized based on the stock specific factors. Therefore, a prudent advice to all investors is to analyze and invest and not speculate in shares.
BID PRICE AND ASK PRICE

The Bid is the buyers price. It is this price that you need to know when you have to sell a stock. Bid is the rate/price at which there is a ready buyer for the stock, which you intend to sell. The Ask (or offer) is what you need to know when you're buying i.e. this is the rate/ price at which there is seller ready to sell his stock. The seller will sell his stock if he gets the quoted Ask price.
Page 29
If an investor looks at a computer screen for a quote on the stock of say XYZ Ltd, it might look something like this:
Bid (Buy side) Ask (Sell side) ______________________________________________________ Qty. Price (Rs.) Qty. Price (Rs.) _____________________________________________________________ 1000 50.25 2000 50.35 500 50.10 1000 50.40 550 50.05 1500 50.50 2500 50.00 3000 50.55 1300 49.85 1450 50.65 _____________________________________________________________ Total 5850 8950 _____________________________________________________________
Here, on the left-hand side after the Bid quantity and price, whereas on the right hand side we find the Ask quantity and prices. The best Buy (Bid) order is the order with the highest price and therefore sits on the first line of the Bid side (1000 shares @ Rs. 50.25). The best Sell (Ask) order is the order with the lowest sell price (2000 shares @ Rs. 50.35). The difference in the price of the best bid and ask is called as the Bid-Ask spread and often is an indicator of liquidity in a stock. The narrower the difference the more liquid or highly traded is the stock.
DIVERSIFICATION
It is a risk management technique that mixes a wide variety of investments within a portfolio. It is designed to minimize the impact of any one security on overall portfolio performance. Diversification is possibly the best way to reduce the risk in a portfolio. A good investment portfolio is a mix of a wide range of asset class. Different securities perform differently at any point in time, so with a mix of asset types, your entire portfolio does not suffer the impact of a decline of any one security. When your stocks go down, you may still have the stability of the bonds in your portfolio. There have been all sorts of academic studies and formulas that demonstrate why diversification is important, but it's really just the simple practice of "not putting all your eggs in one basket." If you spread your investments across various types of assets and markets, you'll reduce the risk of your entire portfolio getting affected by the adverse returns of any single asset class.
Page 30
MOST COMMON TERMS USED WHILE TRADING IN EQUITY MARKET. Market capitalization
It is the market value of the stock, indicating the size of the stock available. Market capitalization = market price of the stock * the number of the stocks outstanding shares. EXAMPLE:: if a stock A has a current market price of Rs 20 per share, and there are 1,00,000 shares in the hand of public investors, then stock A has a market capitalization of 20,00,000.
Small Cap Stocks

The stocks of the small company that have the potential to grow rapidly are classified as small cap stocks. These stocks are the best option for an investor who wishes to generate significant gains in the long run. Generally companies that have market capitalization in the range of upto 250 crores are small cap companies.
Mid cap stocks

Mid cap stocks are typically stocks of medium sized companies. These are stocks of well known companies, recognized as seasoned players in the market. Generally companies that have a market capitalization in the range of 250-4000 crores are mid cap stocks. Mid cap stocks also include baby blue chip companies, companies that show steady growth backed by a good track record.
Large cap stocks

Stocks of the largest companies(many blue chip firms) in the market such as TATA, RELIANCE, ICICI are classified as large cap stocks. The sheer volume of the large-cap stocks does not let them grow as rapidly as smaller capitalized companies and the smaller stocks tend to outperform them over time. Investors however gain the advantages of reaping relatively higher dividends compared to small and mid cap stocks.
Page 31
Bull and Bear markets

The uses of bull and bear to describe markets have been derived from the manner in which each of these animals attacks its opponents. If the trend is up , it is considered a bull market. And if the trend is down , it is considered a bear market.
Rolling settlements
A rolling settlements implies that all trades have to settled by the end of the day. Hence the entire transaction , where the buyer has to make payments for the securities purchased and the seller has to deliver the securities sold, have to completed in a day. In India , we have to adopted the T+2 settlement cycle, which means that a transaction entered on day1 has to be settled on day1+2 working days , when funds pay in or securities pay out takes place.
Short selling
An investor sells short when he anticipates that the prices of the shorted stock will fall from the existing price. He borrows a share and sells it. As the share price dips, he buys the same share at a lower price and returns it back, while pocketing a profit in the bargain. Selling short is an effective tool for the traders as it allows us to profit from declining stock and index prices.
Margin trading
Margin trading is trading with borrowed funds/securities. It is almost like buying securities on credit. Margin trading can be lead to greater returns , but can also be very risky.
Market order
A market order is an order to buy or sell a stock at the current market prices. It signals your broker to execute the order at the best price currently available.
Limit order
To avoid buying and selling a stock at a price higher or lower than you wanted, you need to place a limit order rather than a market order. A limit order is an order to buy or sell a security at a specific price. However limit order guarantees a price but cannot guarantees execution of the
Page 32
trade, because the scrip might not reach the desired price on that particular trading day owing to market related factors.
Stop loss order

A stop loss order is a normal order placed with a broker to sell a security when it reaches a certain predetermined price Trigger price. The Stop loss trigger is your defense mechanism an amount at which you will be able to sustain yourself against such anticipated market movements. Your stop loss instruction is an order to sell when the price of contracts reaches a pre determined level the trigger price.
DERIVATIVES
A derivative is a financial instrument whose value depends on the values of other underlying variables. As the name suggests it derives its value from an underlying asset. Let us try and understand a Derivatives contract with an example: Anil buys a futures contract in the scrip SATYAM COMPUTERS. He will make a profit of Rs 500 if the price of Satyam Computers rises by 500. If the price remains unchanged Anil will receive nothing. If the stock price of the company falls by Rs 800 he will lose Rs 800. As we can see , the above contract depends upon the price of the Satyam Computers scrip which is the underlying security. Similarly , futures trading can be don fen the indices also. Nifty futures is a very commonly traded derivatives contract in the stock markets.
Page 33
Types of Derivatives. Futures and Options Futures

A futures contract is a type of derivative instrument or financial contract where two parties agree to transact a set of financial instruments or physical commodities for future delivery at a particular price. The example stated below will simplify the concept:Ravi wants to buy a laptop which costs Rs 50000 but owing to cash shortage at the moment, he decides to buy it at a later period say 2months from today. However, he feels that after 2 months the price of laptop may increase due to increase in manufacturing costs. To be on the safer side, Ravi enters into a contract with the laptop manufacturer stating that 2 months from now he will buy the laptop for Rs 50000. In other words he is being cautious and agrees to buy the laptop at the todays price from now. The forward contract thus entered into will be settled at maturity. The manufacturer will deliver the asset to Ravi at the end of two months and Ravi in turn will pay cash delivery.
Terms used in Futures Derivatives

Index futures: Index futures are futures contracts where the underlying is a stock index (Nifty
or Sensex) and helps trader to take a view on the market as a whole.
Lot size: Lot size refers to the quantity in which an investor in the markets can trade in a
derivative of a particular scrip. For ex Nifty Futures have a lot size of 100 or multiples of 100. Hence if a person were to buy 1 lot of Nifty Futures , the value would be 100* Nifty Index value at that point of time.
Expiry period in futures: Each contract entered into has an expiry period. This refers to the
period within which the futures contract must be fulfilled. Futures contract may have a durations
of 1 month, 2 month, or at the most 3 months. Each contracts expires on the last Thursday of the expiry month and simultaneously a new contract is introduced for the trading after expiry of a contract.
Options
An option is a part of a class of securities called derivatives. The concept of derivatives can be explained with this example. For instance , when you are planning to buy some property you might have a nonrefundable deposit to hold it for a short time while you evaluate other options. Options are the contracts that give the holder the right to buy or sell a fixed amount of a certain stock at a specific price with a specified time. A put option gives the right to sell the security , a call option gives the right to buy the security. However this type of contract gives the holder the right , but not the obligation to trade stock at a specific price before a specific date.
Types of Options Call Option and Put Option

A call option gives the holder the right to buy the underlying stock at the strike price anytime before the expiry date. Generally Call Options increase in value as the value of the underlying instrument increases. By contrast , the Put Option gives the holder the right to sell shares of the underlying stock at the strike price on or before the expiry date. The put option gains in value as the value of the underlying stock decreases. A Put Option is one where one can insure a stock against the subsequent price fall. If the value of your stock goes down , you can exercise your put option and sell it at the price level decided upon earlier. If in case the stock price moves higher , all your lose is just the premium amount that you paid.
Page 35
Terminology used in Options Open interest

The total number of Options contracts and or futures contracts that are not closed or delivered on a particular day and hence remain to be exercised, expired or fulfilled through delivery is called open interest.
Option premium
The price that a person pays for a call option/ put option is called option premium. It secures the right to buy/ sell that particular stock at a specified price called the strike price.
Strike price
The strike price is the specified price at which the holder of a stock option may purchase the stock. The stated price per share for which underlying stock may be purchased or sold by the option holder upon exercised of the option contract is called strike price.
Spot price
Spot price is the current price at which a particular commodity can be bought or sold at a specified time and place.
Settlement Price
The last price paid for a contract on any trading day. Settlement prices are used to determine open trade equity, margin calls and invoice prices for deliveries.
Page 36
MUTUAL FUND
Definition
A Mutual Fund is a trust that pools together the savings of a number of investors who share a common financial goal. The money collected is then invested in capital market instruments such as shares, debentures and other securities based on their objective. The income earned through these investments and the capital appreciations realized are shared by its unit holders in proportion to the number of units owned by the investors.
Types of Mutual Fund. Open Ended Funds

An open-end fund is one that is available for subscription all through the year and is not listed on the stock exchanges. The majority of mutual funds are open-end funds. Investors have the flexibility to buy or sell any part of their investment at any time at a price linked to the fund's Net Asset Value.
Close Ended Funds

A closed-end fund has a fixed number of shares outstanding and operates for a fixed duration (generally ranging from 3 to 15 years). The fund would be open for subscription only
Page 37
during a specified period and there is an even balance of buyers and sellers, so someone would have to be selling in order for you to be able to buy it. Closed-end funds are also listed on the stock exchange so it is traded just like other stocks on an exchange or over the counter. Usually the redemption is also specified which means that they terminate on specified dates when the investors can redeem their units.
Interval funds
These schemes combine the features of open-ended and closed-ended schemes. They may be traded on the stock exchange or may be open for sale or redemption during pre-determined intervals at NAV based prices.
Growth and Equity oriented funds

The aim of growth funds is to provide capital appreciation over the medium to longterm. Such schemes normally invest a major part of their corpus in equities. Such funds have comparatively high risks. These schemes provide different options to the investors like dividend option, capital appreciation, etc. and the investors may choose an option depending on their preferences. The investors must indicate the option in the application form. The mutual funds also allow the investors to change the options at a later date. Growth schemes are good for investors having a long-term outlook seeking appreciation over a period of time.
Income OR Debt oriented Funds

The aim of income funds is to provide regular and steady income to investors. Such schemes generally invest in fixed income securities such as bonds, corporate debentures, Government securities and money market instruments. Such funds are less risky compared to equity schemes. These funds are not affected because of fluctuations in equity markets. However, opportunities of capital appreciation are also limited in such funds. The NAVs of such funds are affected because of change in interest rates in the country. If the interest rates fall, NAVs of such funds are likely to increase in the short run and vice versa. However, long term investors may not bother about these fluctuations.
Page 38
Balanced Funds
The aim of balanced funds is to provide both growth and regular income as such schemes invest both in equities and fixed income securities in the proportion indicated in their offer documents. These are appropriate for investors looking for moderate growth. They generally invest 40-60% in equity and debt instruments. These funds are also affected because of fluctuations in share prices in the stock markets. However, NAVs of such funds are likely to be less volatile compared to pure equity funds.
Money Market / Liquid Fund / income funds

These funds are also income funds and their aim is to provide easy liquidity, preservation of capital and moderate income. These schemes invest exclusively in safer short-term instruments such as treasury bills, certificates of deposit, commercial paper and inter-bank call money, government securities, etc. Returns on these schemes fluctuate much less compared to other funds. These funds are appropriate for corporate and individual investors as a means to park their surplus funds for short periods.
Equity Linked Saving Schemes (ELSS)

Equity linked saving schemes (ELSS), these schemes are open-ended growth schemes with a mandatory 3-year lock- in. These schemes offer the benefit of section 80(C) of IT Act, up to a maximum of Rs 100000. Repurchase: Repurchases are permitted after a period of 3 years.
Lock-in-period: The units under ELSS are prohibited from trading, pledging and transfer during the lock in period of 3 years.
Index Funds
Funds replicate the portfolio of a particular index such as the BSE Sensitive index, S&P NSE 50 index (Nifty), etc. These schemes invest in the securities in the same weight age comprising of an index. NAVs of such schemes would rise or fall in accordance with the rise or fall in the index.
Page 39
Sectoral specific funds

These are schemes whose objective is to invest only in the equity of those companies existing in a specific sector, as laid down in the funds offer document. For example, an FMCG sectoral fund shall invest in companies like HLL, Cadburys, Nestle etc., and not in a software company like Infosys. Currently there exist approximately four broad classifications of basic sectors namely technology, media & telecom (TMT), fast moving consumer goods (FMCG), basic industry (that invest in core industries like petrochemicals, cement, steel, etc.) and pharmaceuticals.
Fund of Funds (FoF) scheme
A scheme that invests primarily in other schemes of the same mutual fund or other mutual funds is known as a FoF scheme. A FoF scheme enables the investors to achieve greater diversification through one scheme. It spreads risks across a greater universe.
TWO WAYS TO INVEST IN MUTUAL FUND LUMPSUM

It is nothing but investing all your money at one go. Say you have Rs 5 lakh with you and you decide to invest the entire amount in stocks or mutual funds or gold together then you are making lump sum investments. What you get in return are units (if you are buying into a mutual fund) at the then prevailing net asset value (NAV). But investing through lump sum way creates more risk as it will buy the units at the current market price and the invested fund will wholly depends on the desired market price at the time of maturity or when the investor wants to redeemed his fund from the scheme. However investing in mutual fund through lump sum way also yields huge returns at time. As where there is high risk the returns investor may get is also hand sum. According to the research done by various analysts investing through lump sum is highly avoided because the risk involved is high.
Page 40
SYSTEMATIC INVESTMENT PLAN (SIP)

Systematic investment plan means giving fund at the regular intervals of time avoiding the risk of loss of fund which is boost by the cost averaging of the market price of that fund. HDFC MF SIP is similar to a Recurring Deposit. Every month on a specified date an amount you choose is invested in a mutual fund scheme of your choice. The dates currently available for SIPs are the 1st, 5th, 10th, 15th, 20th and the 25th of a month. Youll be amazed to learn about the many benefits of investing through HDFC MF SIP.
Benefit 1. Become A Disciplined Investor Being disciplined Its the key to investing success. With the HDFC MF Systematic Investment Plan you commit an amount of your choice (minimum of Rs. 500 and in multiples of Rs. 100 thereof*) to be invested in any firm of their choice. Think of each SIP payment as laying a brick. One by one, youll see them transform into a building. Youll see your investments accrue month after month. Its as simple as giving at least 6 postdated monthly cheques or newly launched ECS system by RBI .It is an automatic debit system which debit your account and transfer that amount to the fund in which it has been invested. Its the perfect solution for irregular investors.
2. Reach Your Financial Goal

Imagine you want to buy a car a year from now, but you dont know where the down payment will come from. HDFC MF SIP is a perfect tool for people who have a specific, future financial requirement. By investing an amount of your choice every month, you can plan for and meet financial goals, like funds for a childs education, a marriage in the family or a comfortable postretirement life. The table below illustrates how a little every month can go a long way.
Page 41
Monthly Savings - What your savings may generate Savings per month (for 15 years) Total amount invested (Rs. in Lacs) 6.0% Rate of return 8.0% 10.0%
(rupees in lacs ,15 year later )* 5000 4000 3000 2000 1000 9.0 7.2 5.4 3.6 1.8 14.6 11.7 8.8 5.8 2.9 17.4 13.9 10.4 7.0 3.5 20.9 16.7 12.5 8.3 4.2
*Monthly installments, compounded monthly, for a 15-year period. 3. Take Advantage of Rupee Cost Averaging
Most investors want to buy stocks when the prices are low and sell them when prices are high. But timing the market is time consuming and risky. A more successful investment strategy is to adopt the method called Rupee Cost Averaging. To illustrate this well compare investing the identical amounts through a SIP and in one lump sum. Imagine Suresh invests Rs. 1000 every month in an equity mutual fund scheme starting in January. His friend, Rajesh, invests Rs. 12000 in one lump sum in the same scheme. The following table illustrate how their respective investments would have performed from Jan to Dec:
Page 42
Sureshs Investment Month Jan-04 Feb-04 Mar-04 Apr-04 May-04 Jun-04 Jul-04 Aug-04 Sep-04 Oct-04 Nov-04 Dec-04 NAV 9.345 9.399 8.123 8.750 8.012 8.925 9.102 8.310 7.568 6.462 6.931 7.600 Amount 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 Units 107.0091 106.3943 123.1072 114.2857 124.8128 112.0448 109.8660 120.3369 132.1353 154.7509 144.2793 131.5789
Rajeshs Investment Amount 12000 Units 1284.1091
*NAV as on the 10th every month. These are assumed NAVs in a volatile market
Page 43
At the end of the 12 months, Suresh has more units than Rajesh, even though they invested the same amount. Thats because the average cost of Sureshs units is much lower than that of Rajesh. Rajesh made only one investment and that too when the per-unit price was high. Sureshs average unit price = 12000/1480.6012 = Rs. 8.105 Rajeshs average unit price = Rs. 9.345
4. Grow Your Investment With Compounded Benefits

It is far better to invest a small amount of money regularly, rather than save up to make one large investment. This is because while you are saving the lump sum, your savings may not earn much interest. With HDFC MF SIP, each amount you invest grows through compounding benefits as well. That is, the interest earned on your investment also earns interest. The following example illustrates this. Imagine Neha is 20 years old when she starts working. Every month she saves and invests Rs. 5,000 till she is 25 years old. The total investment made by her over 5 years is Rs. 3 lakhs. Arjun also starts working when he is 20 years old. But he doesnt invest monthly. He gets a large bonus of Rs. 3 lakhs at 25 and decides to invest the entire amount.
Page 44
Both of them decide not to withdraw these investments till they turn 50. At 50, Nehas Investments have grown to Rs. 46,68,273* whereas Arjuns investments have grown to Rs. 36,17,084*. Nehas small contributions to a SIP and her decision to start investing earlier than Arjun have made her wealthier by over Rs. 10 lakhs. *Figures based on 10% p.a. interest compounded monthly.
5. Do All This Effortlessly

Investing with HDFC MF SIP is easy. Simply give us post-dated cheques or opt for an Auto Debit from your bank account for an amount of your choice (minimum of Rs. 500 and in multiples of Rs. 100 thereof*) and well invest the money every month in a fund of your choice. The plans are completely flexible. You can invest for a minimum of six months, or for as long as you want. You can also decide to invest quarterly and will need to invest for a minimum of two quarters.
Page 45
INSURANCE
Insurance is a form of risk management primarily used to hedge against the risk of a contingent, uncertain loss. Insurance is defined as the equitable transfer of the risk of a loss, from one entity to another, in exchange for payment. An insurer is a company selling the insurance; an insured or policyholder is the person or entity buying the insurance policy. The insurance rate is a factor used to determine the amount to be charged for a certain amount of insurance coverage, called the premium. Risk management, the practice of appraising and controlling risk, has evolved as a discrete field of study and practice.
PRINCIPLE OF INSURANCE
Insurance involves pooling funds from many insured entities (known as exposures) in order to pay for relatively uncommon but severely devastating losses which can occur to these entities. The insured entities are therefore protected from risk for a fee, with the fee being dependent upon the frequency and severity of the event occurring. In order to be insurable, the risk insured against must meet certain characteristics in order to be an insurable risk. Insurance is a commercial enterprise and a major part of the financial services industry, but individual entities can also self-insure through saving money for possible future losses.
Page 46
Risk which can be insured share seven common characteristics.

1. Large number of similar exposure units. Since insurance operates through pooling resources, the majority of insurance policies are provided for individual members of large classes, allowing insurers to benefit from the law of large numbers in which predicted losses are similar to the actual losses. Exceptions include Lloyd's of London, which is famous for insuring the life or health of actors, actresses and sports figures. However, all exposures will have particular differences, which may lead to different rates. 2. Definite Loss. The loss takes place at a known time, in a known place, and from a known cause. The classic example is death of an insured person on a life insurance policy. Fire, automobile accidents, and worker injuries may all easily meet this criterion. Other types of losses may only be definite in theory. . 3. Accidental Loss. The event that constitutes the trigger of a claim should be fortuitous, or at least outside the control of the beneficiary of the insurance. The loss should be pure, in the sense that it results from an event for which there is only the opportunity for cost. Events that contain speculative elements, such as ordinary business risks, are generally not considered insurable. 4. Large Loss. The size of the loss must be meaningful from the perspective of the insured. Insurance premiums need to cover both the expected cost of losses, plus the cost of issuing and administering the policy, adjusting losses, and supplying the capital needed to reasonably assure that the insurer will be able to pay claims. For small losses these latter costs may be several times the size of the expected cost of losses. There is little point in paying such costs unless the protection offered has real value to a buyer. 5. Affordable Premium. If the likelihood of an insured event is so high, or the cost of the event so large, that the resulting premium is large relative to the amount of protection offered, it is not likely that anyone will buy insurance, even if on offer. Further, as the accounting profession formally recognizes in financial accounting standards, the premium cannot be so large that there is not a reasonable chance of a significant loss to the insurer. If there is no such chance of loss, the transaction may have the form of insurance, but not the substance. (See the U.S. Financial Accounting Standards Board standard number 113)
Page 47
6. Calculable Loss. There are two elements that must be at least estimable, if not formally calculable: the probability of loss, and the attendant cost. Probability of loss is generally an empirical exercise, while cost has more to do with the ability of a reasonable person in possession of a copy of the insurance policy and a proof of loss associated with a claim presented under that policy to make a reasonably definite and objective evaluation of the amount of the loss recoverable as a result of the claim. 7. Limited risk of catastrophically large losses. Insurable losses are ideally independent and non-catastrophic, meaning that the one losses do not happen all at once and individual losses are not severe enough to bankrupt the insurer; insurers may prefer to limit their exposure to a loss from a single event to some small portion of their capital base, on the order of 5 percent. Capital constrains insurers' ability to sell earthquake insurance as well as wind insurance in hurricane zones. In the U.S., flood risk is insured by the federal government. In commercial fire insurance it is possible to find single properties whose total exposed value is well in excess of any individual insurers capital constraint. Such properties are generally shared among several insurers, or are insured by a single insurer who syndicates the risk into the reinsurance market.
Legal
When a company insures an individual entity, there are basic legal requirements. Several commonly cited legal principles of insurance include::
Indemnity the insurance company indemnifies, or compensates the insured in the case of
certain losses only up to the insured's interest
Insurable interest the insured typically must directly suffer from the loss. Insurable
interest must exist whether property insurance or insurance on a person is involved. The concept requires that the insured have a "stake" in the loss or damage to the life or property insured. What that "stake" is will be determined by the kind of insurance involved and the nature of the property ownership or relationship between the persons.
Page 48
Utmost good faith the insured and the insurer are bound by a good faith bond of honesty
and fairness
Contribution insurers which have similar obligations to the insured contribute in the
indemnification, according to some method
Subrogation the insurance company acquires legal rights to pursue recoveries on behalf of
the insured; for example, the insurer may sue those liable for insured's loss Causa Proximal or Proximate Cause the cause of loss (the "peril") must be covered under the insuring agreement of the policy, and dominant cause must not be excluded
TYPES OF INSURANCE
Auto insurance protects you against financial loss if you have an accident. It is a contract between the insured and the insurance company. You agree to pay the premium and the insurance company agrees to pay losses as defined in the policy. Auto insurance provides property, liability and medical coverage Home insurance provides compensation for damage or destruction of a home from disasters. In some geographical areas, the standard insurances exclude certain types of disasters, such as flood and earthquakes that require additional coverage. Maintenance-related problems are the homeowners' responsibility. The policy may include inventory, or this can be bought as a separate policy, especially for people who rent housing. In some countries, insurers offer a package which may include liability and legal responsibility for injuries and property damage caused by members of the household, including pets. Health insurance policies by the National Health Service in the United Kingdom (NHS) or other publicly-funded health programs will cover the cost of medical treatments. Dental insurance, like medical insurance, is coverage for individuals to protect them against dental costs. Life insurance provides a monetary benefit to a decedent's family or other designated beneficiary, and may specifically provide for income to an insured person's family, burial,
Page 49
funeral and other final expenses. Life insurance policies often allow the option of having the proceeds paid to the beneficiary either in a lump sum cash payment or an annuity. Annuities provide a stream of payments and are generally classified as insurance because they are issued by insurance companies and regulated as insurance and require the same kinds of actuarial and investment management expertise that life insurance requires. Annuities and pensions that pay a benefit for life are sometimes regarded as insurance against the possibility that a retiree will outlive his or her financial resources. In that sense, they are the complement of life insurance and, from an underwriting perspective, are the mirror image of life insurance.
Page 50
Chapter 5.
RESEARCH METHODOLOGY
.
Page 51
RESEARCH METHODOLOGY.
Research refers to search for knowledge. Research is an original contribution to the existing stock of knowledge making for its advancement. It is the pursuit of truth with the help of study, observation, comparison and experiment. In short, the search for knowledge through objective and systematic method of finding solution of the problem is research. The advance learners dictionary of current English gives the meaning of research a careful investigation or inquiry especially through search for new facts in any branch of knowledge. The research study of Comparative Analysis of Instruments which includes Equity, Derivatives and Mutual fund is combination of analytical and practical study with Ventura Securities Limited. It includes the research study of equity, derivatives and mutual fund as whole. These are the main products of the company which needs to be analyzed properly before going to make clients to understand it. The research study covers the products definition, details, market research , risk involved in investment in such products, diversification of products, data collection of clients from primary and secondary mode, and the interpretation of clients over such products.
Steps involved for Research design.

1. Analysis of products which includes equity, derivatives and mutual fund. 2. Market research of the products. 3. Research in diversification. 4. Data collection of clients by primary and secondary mode. 5. Analysis of clients interest in products. 6. Interpretation and conclusion of the research study.
Page 52
Analysis of Products. Investment in Equities. Product Research

Equity is a share outstanding provided by the company to meet their short term and long term finances. Investors buy such shares from the link provided by NSE and BSE. The main mediators between the trading in equities are the broker firms. Firm such as Ventura Securities provide link directly to the NSE and BSE for the investors to trade in the market. Research founds out that the whole process is under the guidance of SEBI. SEBI is securities and exchange board of India which has build certain rules and regulations for the trading in NSE and BSE. It also take cares of the investors interest and keeps an eye on the trading on BSE and NSE. Investment in equities can be risky but the returns can also be much above the expectations. As it is righty said High Returns involves High Risk. Any kind of investment in equity market is subject to market risk only , no company is responsible for the loss or the gain in the invested fund of the investor. Research study indicates that the fluctuation in the market is due to Internal and External environment. Internal environment includes Companys progress, its long term investment, debtors, creditors, profits made by the company over the period etc. These data can be obtained from the Companys balance sheet and Profit and Loss Statements. Proper analysis of such things helps investors to predict about the companys performance in the market. External Environment includes the impact of the economy on the whole market and then the companys performance. It includes Government intervention, Foreign investors, Foreign market and inflation. This impact is bound to happen and cant be ignored. However such impact is already predicted by market watchers and hence investors gain the advantage about the investment in Company. However investment in the Equity market can also be of moderate risky and low risky also. This can only happen if the investor has the good knowledge of market and making their investment much diversified. Diversification is most important tool for the investors to attain moderate or less risk and gaining moderate and low returns respectively. This can be explained by the following example.
Page 53
Suppose Amit wants to invest in the equity market with the investment of Rs 1, 00,000. He has now two options whether to invest all fund to single company or to systematically invest funds by the diversification process. Investment in single Company involves very high risk. But he wanted to play it safe thats why he decided to diversified his investment. He buys the shares of company of different sectors for instance Banks, Soft wares, Petroleum, Power , Telecom etc. So even if one of the sector fails to perform and generate negative returns, rest of sectors will provide positive returns and thus Amit attains low returns but with very low risk. Ventura Securities has good investment plans with no charges of opening Dmat account, no software charges, and very less brokerage compared to other brokerage firms. Investor has to pay some depository amount as the security which is refunded on the amount of brokerage generated in 1 year. Plans starts with minimum amount of Rs 1000 to maximum limit of Rs 72000. Suppose investor starts with the Rs 1000 plan and if he generates Rs 1000 brokerage in 1 year, the whole amount will be refunded to him. Such plan attracts many clients as they are getting brokerage benefit and also the best service. The Ventura software called pointer helps the investors to trade online irrespective of place. Software is very user friendly and very easy to understand.
Market research of equity

The research says that not many people is interested in investment in equity market being one of the major factor is risk involved in equity. People feel that investing in such market will lose their money. Other reason being people not interested in equities is lack of time, and less knowledge of the share market. However a good investor having a fair knowledge of share market and with a long term approach of investing in market generates more returns than people investing in the FDs and Bank savings.
Page 54
Derivatives.
Product research
Derivative market involves trading in bulk or in lot. Unlike in equities one can buy or sell as much shares as he wants but in derivatives trading has to be done in lots. 1 lot contains numbers of share. For example Nifty has a lot of 50 shares. Derivative market is huge in terms of turnover and trading. For trading in the derivative market one has to have huge amount , however delivery can be taken by just paying the margin for the particular company. Suppose if investor wish to buy the shares of RIL in derivative market then, he has to buy the lot of share of RIL. The current price of RIL is Rs 1000 and the lot contains 300 shares , with margin of 20% , then the total investment worth Rs 3,00,000. However he is not supposed to pay all the amunt, he can buy the lot by just paying the margin price i.e. 15000.
Derivative market is of two types. 1. 2. Futures Options
In Futures a contract is made between the buyer and seller ,in which buyer agrees to purchase from the seller , a number of shares at a certain time in future for a predetermined price which is agreed when the transaction takes place. While in Options a contract which gives you the right but not the obligation to buy or sell the shares or an index, at a specified price on or before the given date in future. So, if you have purchased an option contract you have the right to simply ignore the terms of the contract if the price of share goes against you. Ofcourse one has to pay a price called premium for this privilege.
Page 55
Market research
As already discussed in the market research of equities same goes for the derivative also. However it is found that the investment in the Derivative market is highly risky than in the equities. As the fund invested is huge so the loss or profit made will also be huge. But still Option contract is getting more popularity, as investors are playing more aggressively to earn more profits in the quick time. This can be verified by analyzing the market share of the options when it compared with the other instruments. Generally the Derivative market is 3-4 times greater than the equity market. This shows that the derivative market is having the positive impact on the mind of the investors.
Page 56
MUTUAL FUNDS.
Product research
A Mutual fund uses the money collected from the investors to buy those assets , which are specifically permitted by its stated investment objective. Mutual fund is emerging as the favorite investment vehicle it is because of the many advantages it has over the other forms and avenues of investing. As the description of Mutual fund is already done in the previous context, so the whole focused is now in the products which Ventura securities has told to sell. Till date the best mutual fund investment is HDFC TOP 200 FUND and RELIANCE REG SAVING FUND. HDFC TOP 200 FUND is an open ended growth scheme which has a 5 star rating by the Value Research Rating in equity and diversified category. The main objective of the fund as per the company suggests that to generate long term capital appreciation from a portfolio of equitylinked instruments primarily drawn from the companies in BSE 200 Index.
As the name suggests HDFC Top 200 invests money in the top 200 firms of the BSE Index. The portfolio of the top 10 holdings of the fund is as follows Equity and Equity related State Bank of India Infosys Technologies Ltd ICICI Bank Oil and Natural Gas Corp. L&T Bank Of Baroda ITC Ltd. Reliance Industries Ltd. LIC housing Finance Ltd. HDFC Ltd. N.M.D.COLLEGE GONDIA Company Banks Softwares Banks Oil Construction project Banks Consumer non durable Petroleum Products Finance Finance % to NAV 6.55 6.09 5.80 4.67 4.26 3.61 3.08 3.01 2.57 2.55 Page 57
The remaining investment is also in major firms in the BSE index. As the fund is highly diversified the risk involvement is very less as compared to other forms of investments. In adition to that HDFC Top 200 has always beat the SENSEX in the long run. The research shows the returns of the fund over a period of time as follows
Period Last 6 months Last 1 year Last 3 years Since inception
NAV 143.76 92.798 109.925 10.00
Returns 25.33% 94.45% 17.91% 26.32%
Benchmark returns 23.38% 88.51% 9.58% 15.79%
MARKET RESEARCH
The investment in the Mutual Fund is considered to be the most safest among all the forms of investment. This is due to the fact that the fund collected is utilized in a very systematic way with the well diversified strategy.So most of the people are attracted towards the mutual fund. As investment in mutual fund starts from the minimum amount of Rs 500 in Reliance and Rs 1000 in HDFC. In adition to this there is no brokerage charges and no other delivery charges has to be paid. It is the safest instrument for the investment in share market and also provide some good returns over a period of time. People are more tend to invest in such funds as it provides some tax benefits, regular saving, also pension plans and balanced funds which helps to gain more benefits than direct investment in equity or saving in the FDs or in the Bank account. It is also found that HDFC Top 200 fund is more popular among the people as the fund has provided some good returns to the investor over a period of time. Research also stated that more students are attarcted towards such funds as they are in the growth stage and can invest their money for the long term.
Page 58
DATA COLLECTION
COLLECTION OF DATA
There are several ways of collecting the appropriate data which differ considerably in context of money, cost, time and other sources at the disposable of the researcher. There are two types of data:
Primary data Secondary data Primary data

Primary data are those which are collected afresh and for the first time, and thus happen to be original in character. In case of descriptive research, researcher performs survey whether sample survey or census survey, thus we obtain primary data either through Observation Direct communication with respondent Personal interview
Collection of data of the clients from the existing contacts, from the activities such as canopy , presentations given in the firms such as Software , Banks and Showrooms and from the leads given by the company.
Secondary data
Secondary data are those which have already been collected by someone else and have already been passed through statistical process.Data collected from the internet, and the data from the existing clients, telephony, making appointments with the clients etc. In this project report, both types of data have been used. But mainly the primary data is mainly utilized as communicating directly with the clients is more beneficiary and helps in
Page 59
making them understand about the products. As it is also found out that communicating directly helps the clients to understand properly.
Limitations
The research has very few limitations as Company provided all the necessary data and tools required for the project. However the only limitation was the time constraint, as the understanding of the share market, about the products and then the research requires lot of time. Also the taking appointments via telephone or emails require more time. Some Companies were spontaneous about the proceedings about the presentation of the products but some were not so spontaneous and therefore couldnt give presentations to such firms. Hence there is no such limitations regarding the research methodology and data collections tools and techniques.
Page 60
CHAPTER. 6 DATA ANALYSIS AND INTERPRETATION
Page 61
DATA ANALYSIS AND INTERPRETATION

The comparison of the financial instruments can be obtained by data analysis and the interpretation of the research design. The data collected through primary and secondary mode is saved and then after the proper analysis, is then utilized. The information about the products is analysed through various comparative graphs and charts, past performances, and the observations. The study is then divided into two parts
1. Product analysis. 2. Client analysis. Product Analysis

Data collected about the products are then well organised and studied. In Equities, the share market information is studied then the software provided by Ventura securities Ltd is properly learnt. In adition to that Equity research has been done in which factors such as risk management, portfolio management, investment period, Market enviornment,and Tax benefits are taken into consideration. With the proper risk taking abilities of the clients , his portfolio can be managed and some good returns is expected if the investment is done over a longer period of time. Market environment included the factors that are responsible for the fluctutations in the share market. These are Internal and External Environment which is a driving force to occer changes in the market. These factors are already discussed in the previous chapters. It is also found that there are two type of capital gains in the equity.
Short Term Capital Gain

When the investor invests his money in some company by holding some shares of that company for a period less than one year, and generates some returns such returns is called short term capital gain. That is If some one buy shares of particular Company called Ventura Securities Ltd in month of january and then wish to sell the shares within one year , as he found that the returns are worth enough to sell the shares then the returns is called the short term capital gain.But such capital gain is taken under the Tax and is liable for the taxation.
Page 62
Long Term Capital Gain

When the investor invests his money in any firm for a period more than a year then the gain which accounts for the investment is called long term capital gain. In contrary to short term capital gain , long term capital gain is not liable for any taxation under 80C. That means no tax has to paid once invested for a long term. Hence it is always advisable that long term investment is best to enjoy more returns and tax benefits as well. Derivative analysis is same as that of equity , only thing is that the risk involvement is more. However with proper knowledge of derivative market , one can easily earn money in such market. For instance If one has the proper knowledge of Option contract , he can earn a very good returns from that. As share market is highly depends on the various factors , it is not wrong to say that our Indian share market runs more on the sentiments of the investor. Hence one can then predict properly on which side the market will move, either on bull side or bear side. If one knows that well he can easily call or put in Option contract. And as the market goes up call will executed and as the market goes down put option is executed. Hence such derivative market is trading at a turnover of more than 3 times than the plain equity. The short term and long term capital gains are similar for the Derivative market also.
Mutual fund Analysis includes the study of various Mutual funds products such as HDFC TOP 200, HDFC GROWTH FUND, RELIANCE GROWTH FUND AND RELIANCE REG SAVING FUND. From the above funds HDFC TOP 200 is highly in demand, as the fund provides very balanced portfolio. This fund invests money in top 200 holdings of the BSE and it also provides a good returns over a period of time. Although Reliance reg saving is also somewhat similar to the HDFC top 200 but people are more interested on HDFC than Reliance fund. In adition to that the corplus amount invested in HDFC Top 200 is more than Rs 6000 cr., with returns in between 20 % to 25 % which is overwhelming. HDFC also provides various services to attracts the customers such as mobile alerts, emails regular NAV value of their fund etc.
Page 63
CLIENT ANALYSIS
The data collected from the primary and secondary mode is then analysed properly and systematic plan sheet has been formed to make use of the data to its best utilization. Data from the various sources is then organized properly such as appointment details of clients, telecalling details, presentation details in the Firms are well arranged as per the schedule. After the telecalling some appointments has been taken on particular date. But the appointments got from telecalling is very less, as not many people are interested in share market investment. So it starts from our own references taking appointments and then make them understand about the various products. It is found that many people are interested in mutual fund investment than the direct share market trading. As most of the clients are servicemen they had an excuse of not having time for trading purpose. So they are easily convinced for the investment in mutual fund. As they found out that without doing anything they will be benefited from the fund. It is also analysed that the businessmen are more tend to trading in equity and derivative markets, as they are bound risk takers , they find investment in share market as an opportunity to meet their short term as well as long term goals. More people are unaware of the mutual fund schemes but proper knowledge make them understand the importance of investment in such schemes. For the clients to understand properly inflation is best tool to make them scared of the future and to think of investment in such return worthy
funds. While those having the knowledge of mutual fund, they were easily ready to investment in mutual funds.
One of the most important part of client analysis is about the relationship with them . Generally people in India dont trust any person at one go ,so its better to make those clients which you knows well and can listen to what you are saying. Sometimes what happens new clients ready for the appointments but they are least interested in investing as they think such funds are made only to fraud the people. But if such clients are in some relation with yours by any means such as existing clients who had already an DMAT account in our firm, relatives etc , they will listen to you properly and can respond you in positive manner. Once such clients are obtained , ask them only for the further references this will not only increase the contacts but also creates a great chance of getting good investors, as previous clients will tell them about the benefits he got from the fund. This is called TOMA which is very important to make clients productive.
Page 64
CHAPTER 7. CONCLUSION
Page 65
CONCLUSION
The study of the Comparative analysis of Financial instruments like equity market , derivative market and mutual funds is based on the rate of returns given by all the forms, safety convenience , volatility and the liquidity. Unlike investing in the Banks deposits, Post office services, FDs etc where the returns are very less than the equity market but still they are in the strong position as per the market capitalization is concerned. More than 70-90% people are depositing their money in FDs , and Bank deposits even though the returns are very less. But those who has knowledge of the share market and those who are aware of the returns are investing heavily in such markets. Overall comparison is taken then investing in mutual fund has benefited more customers than the direct trading in the equity market. Although the returns are high in the direct trading more people are not interested in taking the risk to invest in share market. When talking about the liquidity and volatility , equity market is more volatile and liquid and hence it is also called as cash market. There are three golden things drawn from the project 1. Invest early . 2. Invest for long term. 3. Invest smartly for better returns. When comparison is made between the products , it is found that each product is having importance depending totally upon the nature of the customers or investors. If the investors is seeking for the high returns over a short period of time , then investing in equity or derivative market is suitable for them. While if the investors are seeking for the moderate returns over a long period of time , as the person doesnt have the capability to bear the risk , then investment in mutual fund is best option for them. Many people interpret that investing in real estate is more beneficiary than in share market but for investing in real estate is more risky than the share market also the liquidity is also very low. For investing in real estate one requires the huge amount, and one has to pay the regular tax for the possession of that property.
All the study based conclusion can be easily understood by the following table.
Page 66
PRODUCTS EQUITY COMPANY FDs BANK DEPOSITS INSURANCE GOLD REAL ESTATE MUTUAL FUNDS
RETURN HIGH MODERATE MODERATE LOW MODERATE HIGH LOW MODERATE MODERATE LOW HIGH LOW HIGH HIGH
SAFETY CONVENIENCE LOW LOW HIGH HIGH HIGH MODERATE HIGH
VOLATILITY HIGH LOW LOW LOW MODERATE HIGH MODERATE
LIQUIDITY HIGH OR LOW LOW HIGH MODERATE MODERATE LOW HIGH
Page 67
CHAPTER 8. SUGGESTIONS
Page 68
SUGGESTIONS
Ventura Securities Limited is one of the finest brokerage house in India. The objective of company is to build relationships and strive towards customer delight, through constant innovation on a strong foundation of dedicated and trained resources. The suggestions to the Company is to do some advertising and make Ventura Security as a brand of the brokerage house. Company should put banners across the roads with nice caption that can grab the attention of the people, some canopy activities also helps to make people aware of the basis of the Company. Regular wealth checkup activities done by some interns also helps to build the relationship with the people. Company is mainly on the customer relationship hence more activities such as providing free cards to existing customers of specific occasions such as Diwali , Holi or any festival. Company should provide fast service to the clients regarding the submitting of forms, providing receipts of the payment as soon as possible this will not only make them happy and satisfied but also create positive impact on their mind. The above suggestions are external which makes the clients aware of the company and to maintain the good customer relationship.
There are some suggestions which are internal i.e. within the organization which helps to create good working atmosphere in the Company. As the Company is already providing incentives to the employees who have performed well over that period. However other allowances should also be taken into consideration. This includes travelling allowances and mobile charges. As the phones available in the company is sometimes not sufficient so employees has to use their own phones. In addition to this proper invertors and battery backup should be established as current battery back up is not sufficient also Companys most of work is online and trading is done online so continuous supply of electricity is required. If this suggestions is taken into consideration then the employees also get more motivated and healthy working atmosphere is established.
Page 69
CHAPTER 8. BIBLIOGRAPHY
Page 70
Books
Books
Author Ravi M. Kishore
Publication
Edition
Mag azine
Financial Management Research Methodology Business world Business today
Taxman's C. R. Kothari
6th Edition
New Age International 3rd Edition Publication 20th Dec 2012 to 28th Feb 2013 20th Dec 2012 to 28th Feb 2013
News papers
Economics times News paper Times of India 1st Dec 2012 to 28th Feb 2013 1st Dec 2012 to 28th Feb 2013
Websites
www.moneycontrol.com www.google.com www.amfiindia.com 15th Dec 2012 to 20th Feb 2013 15th Dec 2012 to 20th Feb 2013 15th Dec 2012 to 20th Feb2013
Page 71
Page 72

Final Project

Uploaded by

Copyright:

Available Formats

You might also like

Final Project

Uploaded by

Document Information

Original Description:

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Final Project

Uploaded by

Copyright:

Available Formats

CHAPTER 1.

Instruments studied at Ventura Securities Limited :

CHAPTER . 2 INTRODUCTION TO INDUSTRY

CHAPTER 3. STOCK EXCHANGES

BOMBAY STOCK EXCHANGE

BSE continues to innovate

NATIONAL STOCK EXCHANGE

WORKING HOURS OF NSE

UBUSINESS RULES FOR ONLINE TRADING PLATFORM 'POINTER'

BID PRICE AND ASK PRICE

Small Cap Stocks

Mid cap stocks

Large cap stocks

Bull and Bear markets

Stop loss order

Types of Derivatives. Futures and Options Futures

Terms used in Futures Derivatives

Types of Options Call Option and Put Option

Terminology used in Options Open interest

Types of Mutual Fund. Open Ended Funds

Close Ended Funds

Growth and Equity oriented funds

Income OR Debt oriented Funds

Money Market / Liquid Fund / income funds

Equity Linked Saving Schemes (ELSS)

Sectoral specific funds

TWO WAYS TO INVEST IN MUTUAL FUND LUMPSUM

SYSTEMATIC INVESTMENT PLAN (SIP)

2. Reach Your Financial Goal

Rajeshs Investment Amount 12000 Units 1284.1091

4. Grow Your Investment With Compounded Benefits

5. Do All This Effortlessly

Risk which can be insured share seven common characteristics.

Steps involved for Research design.

Analysis of Products. Investment in Equities. Product Research

Market research of equity

Derivative market is of two types. 1. 2. Futures Options

Period Last 6 months Last 1 year Last 3 years Since inception

NAV 143.76 92.798 109.925 10.00

Returns 25.33% 94.45% 17.91% 26.32%

Benchmark returns 23.38% 88.51% 9.58% 15.79%

Primary data Secondary data Primary data

CHAPTER. 6 DATA ANALYSIS AND INTERPRETATION

DATA ANALYSIS AND INTERPRETATION

1. Product analysis. 2. Client analysis. Product Analysis

Short Term Capital Gain

Long Term Capital Gain

SAFETY CONVENIENCE LOW LOW HIGH HIGH HIGH MODERATE HIGH

VOLATILITY HIGH LOW LOW LOW MODERATE HIGH MODERATE

LIQUIDITY HIGH OR LOW LOW HIGH MODERATE MODERATE LOW HIGH

Author Ravi M. Kishore

Financial Management Research Methodology Business world Business today

You might also like