Report on Summer Training

On
Market scenario and effect of increase in price of hand
knitting yarn

Submitted to Punjab Technical University

In the partial fulfillment of the

Requirements for the award

of
Degree
of

Master of Business Administration

Submitted by:
Rahul Singh
University Registration No.95042238665

DEPARTMENT OF MANAGEMENT

RIMT (Regional) Institute of Management & Technology,Mandi Gobingarh

MANDI GOBINGARH(2010)
 A Project Report On:
Online trading

(With special reference to KARVY)

Interim report SUBMITTED BY:

Kuljinder singh
MBA

Under the guidance of:

Mr. Akhilesh Srivastva Prof. Pushpinder jeet Sharma
Product head( OT),Northern region faculty,RIMT,GOBINDGARH
KARVY, CHANDIGARH

REGIONAL INSTITUTE OF MANAGEMENT AND

TECHNOLOGY, MANDI GOBINDGARH
 ACKNOWLEDGEMENT:

If words are considered as a symbol of approval and token of

appreciation then let the words play the heralding role expressing my
gratitude

The world of capital market war far from me but I got an opportunity to
understand the capital market at KSB. While training I learnt many
things about capital market and its structure. So I am very thankful to
KSB association limited for giving me such opportunity.

First of all I thank to that Gracie god who blessed me with all kinds of
facilities that had been provided to me for completion of my report.

I am also grateful to Akhilesh Srivastava for permitting me to take the

training at KARVY STOCK BROKAGE LTD.

I want to express my sincere gratitude to all the staff members of LSE

for spending their precious time and sharing the value able information
with me and in helping my project to be a success.

PREFACE:

For management career, it is important to develop managerial

skills. In order to achieve positive and concrete results, along with
theoretical concepts, the exposure of real life situation existing in
corporate world is very much needed. To fulfill this need, this practical
training is required.
I took training in KARVY STOCK BROAKING LIMITED
located in Chandigarh.fortune to get training in a very healthy
atmosphere. I got ample opportunity to view the overall working of the
stock market.
This report is the result of my 45 days of summer training in
WHY PEOPLE ARE BENDING TOWARDS ONLINE TRADING
Several broking houses now offer online trading facilities. You can trade
online with e-brokerages such as ICICI Direct, Kotakstreet, India bulls,
India info line’s 5paisa.com and HDFC securities.
If you are already comfortable trading with your regular broker, here are
few reasons why you may consider switching to trading online, or at
least another avenue of trading. an obvious advantage of online trading
is that your transaction would be virtually paperless. Your trading
account would be linked to your demat and bank account, ensuring a
smooth transaction process. This is especially helpful in the extent T+2
settlement system, where you have just two days to settle your
transaction.
The normal process of issuing of delivery note, in case of a sale, or
arranging for a payment in case of purchaser of shares, is all taken care
of the minute your order is executed online. The absence of manual
intervention ensures that you are completely in control of all transaction.
There is also little room for error, as your order is always confirmed
before it is executed. You can also make better decision as you have a
clear record of all your previous transaction. When you trade offline, a
demat statement is normally sent to you only on a quarterly basis
.keeping track of your portfolio can be a hassle in such a case. The inter
net can provide a new sense of control over your financial future. The
amount of investment information available online is truly astounding.
Its one of the best aspect of being a wired investor for the first time in
history, any individual with an internet connection can:
Know the price of any stock at any time
Review the price history of any stock in chart format
Follow market events in-depth
Receive a wealth of free commentary and analysis about stock markets
and globe economy.
Conduct extensive financial research on any company
Talk with other investors around the world
At investsmart you can get real-time stock quotes, daily roundups of the
stock market, experts commentary, and a deep community of fellow
investors.

Convenience is probably the greatest advantage online trading offers

investors. if don’t have time to trade during market hours ,perhaps you
are at work, you can log on the web-trading site and place your order
offline, during off market hours. Your order would join the queue and be
expected the next day. You would need to enjoy a good relationship with
your broker, for you to be able to reach him in the late hours. For non-
resident Indians (NRI), trading online is perhaps their easiest option to
invest in the Indian stock markets.
What is more, the time difference, in some cases, can work to their
advantage .Antony, an NRI-based in New York, places his order in the
evening after work, when it is day time India and the markets are open.
We also have access to considerable information online. By just logging
on to ICICI direct online, for instance, we can get the latest news,
market information and company research.
Moreover, if our connection is maddeningly slow and we want to get
your order executed immediately, most e-brokerages also provide a
facility to trade offline by placing our order via the phone.

PROCESS OF ONLINE TRADING

An investor interesting in trading through Internet shall have to, firstly
register himself with an Internet brokerage firm. Some formalities such
as filling the account opening form of the e-broker, copies of identity
proof, copy of residence proof are made to register himself with the e-
trader. Secondly, the investor would be required to open a bank account
with a scheduled bank and sufficient balance should be kept in the
account. Thirdly he would be required to open account with a depository
participant because only dematerialized shares can be traded on Internet.

So, generally following steps are followed while doing the trading
through the Internet:
Step-I:
Those investors interested in doing the trading over Internet system, that
is,NEAT - ISX (NSE), should approach the brokers and register with the
Stock Broker.
Step-2:
After registration, the broker will provide to them a login name,
password and a personal identification number (PIN).
Step-3:
Actual placement of an order, Using the place order window as under
can then place an order:
(a) First by entering the symbol and series of stock and other parameters
such as quantity and price of the scrip on the place order window.
(b) Second, fill in the symbol, series and the default quantity.
Step-4:
It is the process of review. Thus, the investor has to review the order
placed by clicking the review option. He may also re-set to clear the
values.
Step-5:
After the review has been satisfactory; the order has to be sent by
clicking on the send option.
Step-6:
The investor will receive an "Order Confirmation" 'message along with
the order number and the value of the order.
Step- 7:
In case the order is rejected by the Broker or the Stock Exchange for
certain reasons such as invalid price limit, an appropriate message will
appear at the bottom of the screen. At present, a time lag of about ten
seconds is there in executing the trade.
Step-8:
It is regarding charging payment, for which there are different modes.
Some brokers will take some advance payment from the, investors and
will fix their trading limits. When the trade is executed, the broker will
ask the investor for transfer of funds by the investor to his account.
 Questionnaire

Dear respondent,

I am student of MBA. I am working on the project of

“On-Line trading”. You are requested to fill the questionnaire
to enable, to undertake the study on the said Project.
Name……………………….
Occupation………………
Address ……………………
Phone no………………….

1. where are you invest your money in stock market ?

(a) equity (b) derivatives
(c) commodities (e) mutual funds

2. In which trading you will prefer?

(a) Online trading (b) offline trading
(c) Both

3. For how long you have been trading with online

(a) 1 year (b) 2 year

(c) 3 year (c) 4 year

4. How often do you trade?

(a)Daily (b) Weekly
(c) Monthly (d) More than
one month
5.How will you describe your experience with on-line trading
(a) very easy to operate
(b) very difficult to operate
(c) not secure
(d) Any other
 6. According to you online trading setteled in Indian investor
phsyche
(a) Yes (b) No

7. What shortcomings do you feel in Indian On-line Trading ?

(a) line trading
(b) Shortage of domestic technical
expertise
(c) Shortage Of Infra structure
(d) If any other

8. Which media would you prefer the most for investor?

(a) T.V (b) Newspaper
(c) Magazines (d) Journals