Basic Problem and Solution

• We propose that fund should be managed by a group of 6 students by conducting the extensive interviews and seeing the past
performance of the student which he/she has delivered in the markets . The recommendations made by the other student should
also be taken in the account but final decision regarding the management of the fund should rest in the hand of 6 students .

• Transparency Issues : Finatix club should get a demat account openend from the pan card of either Finatix Club or IIM Raipur
,this will resolve the transparency issues as nobody else will be credit/debit the account from the fund apart from IIM Raipur
and fund members should follow the weekly reporting about the fund about reporting the performance and accounts . Also we
are planning to propose a system in fund mangers will have to put in minimum amount in the fund so as to build the trust among
the students and this will increase the accountability also . The structure is mentioned below
Below 2 lakh - 15 %
2 Lakh – 5lakh -10 %
Above -5 lakh – 5 %
• Profit distribution : The fund should follow the NAV system the way it is followed in mutual fund system ,where the profit will be
distributed among the shareholders on the ratio of the contribution they have made in the fund.

• Engagement : The engagement and popularity of the fund will directly depend upon the amount which it is managing . We have
an idea through which both engagement and funds can be raised at practically at zero cost .
Registered Partner: Finatix can become the registered partner with discount brokerage firm Upstox . The cost of becoming the
registered partner with Upstox is only Rs 2000. After registering as sub broker , Finatix should try to get the demat account opened
of every student at campus and this should start by approaching the members of various clubs and committees . Post this other
students should be reached out.
Increasing Engagement

The account opening charges can be waived off if the bulk no.of accounts are getting opened and as registered partner of
Upstox , Finatix will get a sum Rs 600-800 per account . So if around 300 people opens the demat account ,Finatix will get
sum of Rs 2 lakh which is sufficient to kick start the fund atleast . And as Finatix is not liable for this amount to anyone this
can be straight away used for investing and trading purpose .
This will also improve the engagement as now people will have the demat account so they can track markets live and interest
in market will increase and students will also start contributing more to the fund .This will improve the first hand experience
of Students
• Guest Lectures : The Finatix can also reach out many investors and traders who are doing in markets and ask them to
have a seminar for students . This will improve the understanding about the markets and also act as motivational factor
that career can be made out of the markets .
• Proposal to Management : We are bringing in transparency by getting the demat account opened in the name of Finatix or
IIM Raipur and along with this we are setting a bare minimum which the fund managers should put in fund just to ensure
they perform well .
Also by registering as the partnership for the broker we can get an upfront amount of Rs 2 lakh which will give the finatix
club a initial money through which we can enhance the engagement and simultaneously not being liable to someone .
Recurring Revenue Model : If we are able to implement this model in our college this will generate the recurring source of
income to the club as club will be earn to 50 percent brokerage for the total amount of brokerage will be generated over a
period of time . This will bring in the financial freedom for the club along with larger funds to manage .