project report of marketing strategies of ashlar group bhupendra dixit anand engg. college
TRANSCRIPT
![Page 1: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/1.jpg)
RESEARCH REPORT“
ON
“A Comparison between Investment & Savings Of ASHLAR GROUP”
In Partial Fulfillment of Award of Master of Business Administration
MBA
(2010-2012)
Under the Supervision ofMr. Atul Narang
Asst. ProfessorDepartment of MBA
By
Bhupendra Kumar Dixit(1000170009)
ANAND ENGINEERING COLLAGEAGRA
Affiliated - Mahamaya Technical University, Noida
![Page 2: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/2.jpg)
DECLARATION
I, Bhupendra Kumar Dixit Student of MBA IVth sem Anand Engineering
College, Agra Batch 2010-12, hereby declare that the Research Project titled “A
Comparison between Investment & Savings Of ASHLAR GROUP”is the
outcome of my own work and the same has not been submitted to any other
University /institution for the award of any degree.
DATE: Bhupendra Kumar Dixit
PLACE: AGRA
![Page 3: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/3.jpg)
ACKNOWLEDGEMENT
This is a great opportunity to acknowledge and to thanks all those persons without
whose support and help this research report would have been impossible. We
would like to add a few heartfelt words for the people who were part of this project
in numerous ways.
I am very grateful to Mr. Atul Narang (Project Guide) , for providing all the
facilities needed during the research.
Bhupendra Kumar Dixit
MBA IVth Sem
![Page 4: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/4.jpg)
PREFACEPREFACE
A research project report is the very important part of any management
programme. It is a Launch Pad for introducing students to a real-life scenario,
which cannot be simulated in the classroom. It not only enables the student to
apply the theoretical knowledge in a practical scenario but also enables them to
learn things beyond books. This is a period where the students add value to them
self and learn management skills as well as the corporate culture.
Only academic knowledge is not enough for the students, it is also necessary for
them to have a slice of the practical corporate world wherein they can apply their
knowledge and put their skills to a test. This is a first step towards corporate world.
A research project report provides an opportunity for students, to satisfy their
inquisitiveness to know more details, exposes them to technical skills, and helps
them to acquire social skills by drawing them into communication with outside
professionals for continuous interaction.
![Page 5: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/5.jpg)
TABLE OF CONTENTS
TOPICS PAGE NO.
INTRODUCTION TO THE TOPIC 6
OBJECTIVE OF THE PROJECT 8
METHODOLOGY 11
LIMITATIONS OF THE PROJECT 13
INTRODUCTION TO HUL 14
DISTRIBUTION NETWORK OF HUL 26
SUGGESTED GIFTING PACKS OF HUL PRODUCTS 57
FINDINGS OF PROJECT 63
SUGGESTIONS 68
CONCLUSION 71
BIBLIOGRAPHY 83
ANNEXURES
![Page 6: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/6.jpg)
OBJECTIVES
To find out the various investment and saving scheme in
Ashlar Group.
To locate the investment and saving sources in Ashlar
Group
To determine the capital structure of company.
To understand the nature of interest, repayment method and
other participative rights associated with financing sources.
To incorporate the various sources through which a company
may meet its financial needs.
![Page 7: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/7.jpg)
RESEARCH METHODOLOGY
COLLECTION OF DATA:-
Primary Data- The data which is collected for the first time and is the original
data.
Personal interaction
Questionnaire
Secondary Data- This is the data which is collected from any other source and is
the duplicate data.
Books
Journals
Internet
Company documents
RESEARCH DESIGN :-
Descriptive Design
Research Instrument :
Neither Structures nor disguised Questionnaire for
retailers.
![Page 8: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/8.jpg)
But there are a specific Questionnaire for house hold customers
for finding their opinion.
SAMPLING PLAN:-
Sampling Method :
Non-Probability Sampling [Convenience & Quota
Sampling]
Sample Size :
100 Dealer
1000 House hold customers
Sample Unit:
Noida
Sample Area : Noida
![Page 9: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/9.jpg)
LIMITATIONS OF THE STUDY
This survey although carried out with fullest possible efforts
and devotion, the limitation of the time, resources available and
limited area chose may lead to limited representation of the
universe. The major limitations from which the study suffers are
as follows.
Time Constraint:-
Time factor has been a very big limitation in the
research/survey like this. The respondents have limited time so
they sometimes refuse to answer the questionnaire, also me as a
surveyor has less time to conduct the survey. So the size of the
sample was restricted to Agra.
Biasness in Information:-
It was felt that respondent did not come up with true
responses, in several case the respondent answered the
questions with the help of other family members and it was
mostly in case of less educated person.
![Page 10: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/10.jpg)
Financial Constraint:-
The financial aspect, which includes the traveling cost, cost of
administrating questionnaire and collection of data through other
resources was also costly.
Constraint Regarding the use of technique:-
The deeper statistical techniques such as analysis using
variance, multiple regressions etc., could not be adopted due to
the constraint of time and efforts. So simple statistical techniques
were used to analyze the data.
Company Profile
![Page 11: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/11.jpg)
ASHLAR group has progressed as one of the foremost executing broker dealer
across India. Here we offer direct market access, refined trading applications and
radical expertise to institutional and individual clients. Our company is also
specialized in offering custom-made solutions that is appropriate to each individual
investor's needs. Our area of proficiency includes Commodity Trading,
Derivatives, innovative thought process and most of all focuses on equities.
We operate from the head office at A-38 Sector -67 Noida -201301. Our office is
set with a prominent spacious location with all the contemporary facilities and
utilities for our valued customers. Besides our branch offices are well-resourced
with NSE Trading terminals, skilled customer support personnel and other
infrastructures.
ASHLAR provides advices for Stocks- Cash and F&O traded in NSE & BSE,
commodities including bullions, metals and agro-commodities traded in MCX and
NCDEX. We offer prompt and efficient services, and a long record of success.
ASHLAR is absolutely a leader in the ground of servicing commodities traders.
Today we have emerged as one of the most valued Stock-Broking Companies in
India. With its exceptional retail-focused stock trading business replica, ASHLAR
is unswerving in providing ‘Real Value for Money’ to all its customers.
There will be a complete market research on permanent basis and we vitally
scrutinize each and every market information. Moreover we also have exposed to
fairly innovative sources of data that helps to keep ahead to identify the market
trends.
Nowadays the fast growing market demands inclusive front to back office
![Page 12: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/12.jpg)
resolution in order to be competitive. ASHLAR identifies the challenges
institutions face, and endeavors to offer the latest revolutionary solutions to have
an impact where it counts, the bottom line.
We aim in offering perfect execution support to meet our various client needs on a
stage of professionalism and reliability.
Infrastructure Facilities ::
ASHLAR offers universal access to the customers and facilities infrastructure
that has VSATs and Leased Lines which is directly connected to NSE trading
hubs.
We have platform on the trading terminals of NSE and CTCL (Computer-
to-Computer Link Facility) that is operated by NCFM and comes with
well-qualified staff.
VPN (Virtual Private Network) facility helps in connecting its branches to
the Head office.
Offices are well-furnished with latest systems, servers and other hardware
and software. You can find the latest Share Broker Accounting package at
ASHLAR
There are manifold access solutions to suit your desires, linking directly
via backbone or through extensive reach with extranet partners.
Infrastructural facilities help in retail equity broking, online investment
portal and depository services.
![Page 13: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/13.jpg)
The e-mail facility is offered in all the branch offices that work both on
local network as well as through internet for fast, smooth and effective
communication.
A team of skilled chartist is being consistently giving better & better
suggestions on shares and other commodities.
Working in partnership
The Ashlar Group has a wide range of skills and expertise specific to the building
and development market. Over the years the we have developed a number of
strategic residential and commercial projects in partnership with land owners.
With gross development values from £1m-£8m, we offer a close and open working
partnership that enables all parties to maximise returns and foster future
relationships. To date we have undertaken projects as diverse as classic heritage
restoration through to to modern new build. By drawing on the Group's
considerable in-house services, we are able to deliver a controlled program that
encompasses all aspects from planning consultancy through to final build.
![Page 14: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/14.jpg)
Vision & Mission ::
To offer the best value for money to the investors through
ground-breaking products trading/investments policies, state of
the art know-how and tailored service.
To have inclusive synchronization between quality-in-process
and in the constant development to deliver outstanding service
that will delight our customers
Committed in providing top-notch products and services which
surpass
the expectations of our customers.
![Page 15: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/15.jpg)
Our Strength ::
The Biggest Strength of our group are the ethical workings & finding
the most profitable solution for everyone .Whether it is day traders,
jobbers or short term & long term investors.
We strongly Believe that potentional of growth is actually unlimited .
Provided we have innovative ideas, conviction and a professional
approach to implement it.
ASHLAR COMMODITIES PVT LTD
ASHLAR SECURITIES PVT LTD
Registered Office:
A-38, Sector-67, Noida-201301
Phone No: 0120-2484747, 7503323232
Fax No: 07503121155
Email: [email protected]
Corporate Office:
411,Arunachal Bhawan, 19,Barakhamba Road, New Delhi-110001
Phone No: 011-47464746
![Page 16: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/16.jpg)
Fax No: 011-43084662
Head Office:
A-38, Sector-67, Noida-201301
Phone No: 0120-2484747, 7503323232
Fax No: 07503121155
Email: [email protected]
URL: www.ashlarindia.com
Branches ::
Meerut:
IInd Floor, Abu Lane, Abu Plaza, Meerut Cantt.Meerut-250002
Phone: +91-01214056788E-mail: [email protected]
Bundelkhand:
Malakpura Mahoba UP-210427
Contact Person : Vineet Kumar TrivediPhone: +91-9415890801E-mail: [email protected]
![Page 17: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/17.jpg)
Product & servicesCommodity Trading ::
With the world's progressive shift toward a market economy and globalisation,
the Commodity Futures market is playing an increasingly important role in
forming prices and hedging risk. Ashlar is a reputed name in the field of
commodity trading. Ashlar is a member of both the leading commodity
exchanges of India, MCX and NCDEX.
Ashlar gives certain benefits to their clients such as: fast and accurate order
execution, instant access to information regarding their account, personalised
attention for large and small investors, and the final decision on when and how to
invest is always the client's choice. Ashlar also equips you with reliable research,
based on technical and fundamental study of all major commodities.
The future for commodity market is bright. It is noteworthy that the Commodity
and Equity markets have been moving in tandem, bucking the global market
trend.
We are currently facilitates trading of following products :
NCDEX
• Agro Products : Barley, Cashew, Castor Seed, Chana, Chilli, Coffee-Arabica,
Coffee-Robusta Cherry AB, Cotton Seed Oilcake, Crude Palm Oil, Coriander,
Expeller Mustard Oil, Groundnut (in shell), Groundnut Expeller Oil, Guar Gum,
![Page 18: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/18.jpg)
Guar Seeds, Gur, Indian Parboiled Rice, Indian Pusa Basmati Rice, Indian Raw
Rice, Indian Traditional Basmati Rice, Indian 28.5 mm Cotton, Indian 31 mm
Cotton, Jeera, Jute Sacking Bags, Masoor Grain Bold, Medium Staple Cotton,
Mentha Oil, Mulberry Green Cocoons, Mulberry Raw Silk, Rapeseed - Mustard
Seed, Pepper, Potato, Raw Jute, Rapeseed - Mustard Seed Oilcake, RBD
Palmolein, Refined Soy Oil, Rubber, Sesame Seeds, Shankar Kapas, Soy Bean,
Sugar, Tur, Turmeric, Urad Desi, V -797 Kapas, Wheat, Yellow Peas, Yellow
Red Maize, Yellow Soybean Meal
• Precious Metals : Gold, Gold (100 gms), Silver, Silver (5kg)
• Base Metals : Electrolytic Copper Cathode, Aluminium Ingot, Nickel Cathode,
Zinc Ingot
• Ferrous Metals : Mild Steel Ingots, Sponge Iron
• Energy Products : Brent Crude Oil, Furnace Oil, Light Sweet Crude Oil,
Thermal Coal
• Polymers : Linear Low Density Polyethylene, Polypropylene, Polyvinyl
Chloride
• Carbon Credits
MCX
Bullion : Gold, Gold Guinea, Gold HNI, Gold M, i-gold, Silver, Silver HNI,
![Page 19: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/19.jpg)
Silver M, Platinum
Oil & Oil Seeds : Castor Oil, Castor Seeds, Coconut Cake, Coconut Oil, Cotton
Seed, Crude Palm Oil, Groundnut Oil, Kapasia Khalli, Mustard Oil, Mustard
Seed (Jaipur), Mustard Seed (Sirsa), RBD Palmolein, Refined Soy Oil, Refined
Sunflower Oil, Rice Bran DOC,
Rice Bran Refined Oil, Sesame Seed, Soymeal, Soy Bean, Soy Seeds
Spices : Cardamom, Coriander, Jeera, Pepper, Red Chilli, Turmeric
Metal : Aluminium, Copper, Lead, Nickel, Sponge Iron, Steel Long
(Bhavnagar), Steel Long (Govindgarh), Steel Flat, Tin, Zinc
Fiber : Cotton L Staple, Cotton M Staple, Cotton S Staple, Cotton Yarn, Kapas,
Raw Jute
Pulses : Chana, Masur, Yellow Peas
Cereals : Maize
Energy : ATF, Brent Crude Oil, Crude Oil, Furnace Oil, Natural Gas, M. E.
Sour Crude Oil
Plantations : Arecanut Jahaji, Cashew Kernel, Coffee (Robusta), Red Arecanut
Raashi, Rubber
Petrochemicals : HDPE, Polypropylene(PP), PVC
![Page 20: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/20.jpg)
Weather : Carbon Credit, Carbon Credits – CER
Others : Guargum, Guar Seed, Gurchaku, Mentha Oil, Potato (Agra), Potato
(Tarkeshwar), Sugar M-30, Sugar S-30
Equity & derivatives ::
Ashlar is the member of NSE and BSE in Capital Market & Derivative Segment
providing their clients first class service. Our success in this business is driven by
our keen understanding of the business and ability to provide clients with
solutions appropriate to fit their needs. We Ashlar are the most competitive
company in the field of Stock Equities and Derivatives.
We are a full service brokers that are committed in providing outstanding service
while offering, the investor an array of investment products to meet their needs.
Our advisors team comprises of expert, skilful, determined, energetic and
passionate people who have extensive experience in the field of Capital Market.
Our stockbrokers provide the clients the advice and support they need to manage
their investments.
Ashlar help the future investors to trade a broad market by making one trading
decision rather than making many decisions involved with investing in numerous
individual stocks . The overwhelming response of our clients has encouraged us
to set new benchmarks in the industry by providing better quality services.
Ashlar have an on-going relationship with institutional and other clients which
includes identifying clients investment requirements, identifying suitable
![Page 21: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/21.jpg)
relevant investment opportunities, keeping clients informed of company and
market developments, maintaining a constant flow of information to our clients;
and transacting buy and sell orders effectively and professionally.
Mutual Funds and IPO's ::
Mutual Funds and IPO’s can be an excellent option if you’re looking for a
diversified investment portfolio which offers liquidity and transparency. Mutual
Funds & IPO’S are one of the most suitable investments for the common man as
they offers an opportunity to invest in a diversified, professionally managed
basket of securities at a relatively low cost. Recent trends in mutual fund flows
suggest that the Indian investor is regaining his appetite for equities. Use Mutual
Funds & IPO’S to plan your financial future.
Currently the investor have been risk-averse and therefore park most of their
saving in Fixed Deposits and other saving Accounts, though the yield from such
investment avenues is very low. However, the recent trend has been such that
more people have been attracted towards investment in the Mutual Funds &
IPO’s. Ashlar provides complete transaction support to our associates and their
clients for investments in primary markets through Mutual funds & IPO’s.
Ashlar offers personalized services for investments (including mutual funds of
all types: Equity funds, Growth and Value Funds, Large- Cap and Small-Cap
Funds, Bond Fund , Foreign Stocks Funds, Money Market Funds, Sector
Funds,& Asset Allocation Funds) & IPO’s.
![Page 22: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/22.jpg)
Research ::
![Page 23: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/23.jpg)
Mutual Fund
DP Forms
Research Intraday
Research Weekly
News Letter
Equity Research
o Company Report
o Sector Report
Other
![Page 24: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/24.jpg)
Research: News Letter
72 Title Date Download
EQUITY NEWS LETTER 2011-07-25
EQUITY NEWS LETTER 2011-07-21
EQUITY NEWS LETTER 2011-07-20
EQUITY NEWS LETTER 2011-07-19
EQUITY NEWS LETTER 2011-07-18
EQUITY NEWS LETTER 2011-07-15
EQUITY NEWS LETTER 2011-07-14
EQUITY NEWS LETTER 2011-07-13
EQUITY NEWS LETTER 2011-07-12
EQUITY NEWS LETTER 2011-07-11
EQUITY NEWS LETTER 2011-07-08
EQUITY NEWS LETTER 2011-07-06
EQUITY NEWS LETTER 2011-06-30
EQUITY NEWS LETTER 2011-06-29
EQUITY NEWS LETTER 2011-06-28
EQUITY NEWS LETTER 2011-06-27
EQUITY NEWS LETTER 2011-06-24
EQUITY NEWS LETTER 2011-06-23
EQUITY NEWS LETTER 2011-06-22
EQUITY NEWS LETTER 2011-06-17
EQUITY NEWS LETTER 2011-06-16
EQUITY NEWS LETTER 2011-06-14
EQUITY NEWS LETTER 2011-06-13
EQUITY NEWS LETTER 2011-06-10
EQUITY NEWS LETTER 2011-06-08
EQUITY NEWS LETTER 2011-06-07
EQUITY NEWS LETTER 2011-06-06
EQUITY NEWS LETTER 2011-06-03
EQUITY NEWS LETTER 2011-06-02
EQUITY NEWS LETTER 2011-06-01
EQUITY NEWS LETTER 2011-05-31
![Page 25: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/25.jpg)
EQUITY NEWS LETTER 2011-05-30
EQUITY NEWS LETTER 2011-05-27
NEWS LETTER 2011-05-26
EQUITY NEWS LETTER 2011-05-25
EQUITY NEWS LETTER 2011-05-24
EQUITY NEWS LETTER 2011-05-23
EQUITY NEWS LETTER 2011-05-20
EQUITY NEWS LETTER 2011-05-19
EQUITY NEWS LETTER 2011-05-18
EQUITY NEWS LETTER 2011-05-17
COMMODITY NEWS LETTER 2011-05-16
EQUITY NEWS LETTER 2011-05-16
EQUITY NEWS LETTER 2011-05-13
EQUITY NEWS LETTER 2011-05-12
EQUITY NEWS LETTER 2011-05-11
EQUITY NEWS LETTER 2011-05-10
COMMODITY NEWS LETTER 2011-05-09
EQUITY NEWS LETTER 2011-05-09
EQUITY NEWS LETTER 2011-05-06
EQUITY NEWS LETTER 2011-05-05
EQUITY NEWS LETTER 2011-05-04
EQUITY NEWS LETTER 2011-05-03
EQUITY NEWS LETTER 2011-05-02
EQUITY NEWS LETTER 2011-04-29
EQUITY NEWS LETTER 2011-04-28
EQUITY NEWS LETTER 2011-04-27
EQUITY NEWS LETTER 2011-04-26
EQUITY NEWS LETTER 2011-04-25
EQUITY NEWS LETTER 2011-04-21
EQUITY NEWS LETTER 2011-04-20
NEWS LETTER 2011-04-19
NEWS LETTER 2011-04-18
EQUITY NEWS LETTER 2011-04-15
![Page 26: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/26.jpg)
EQUITY NEWS LETTER 2011-04-13
EQUITY NEWS LETTER 2011-04-11
EQUITY NEWS LETTER 2011-04-08
NEWS LETTER 2011-04-07
EQUITY NEWS LETTER 2011-04-06
EQUITY NEWS LETTER 2011-04-05
NEWS LETTER 2011-04-04
EQUITY NEWS LETTER 2011-04-01
Internet Trading ::
Trade on BSE NSE, F&O
Direct Execution of Orders
Alerts on Mails Through SMS
Regular Accounts Update
Personalized Services through relationship manager.
Regular Research Expert Advice
Intraday Tick By Tick Chart
Top Gainer & Losser List
New High Low's Report
![Page 27: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/27.jpg)
Other Useful Information
Regular News Flow
Expert opinion & technique
Paperless Working
Savings form an important part of the economy of any nation.
With savings are invested in many forms of investment options
available, the money acts as the driver for growth of the
country. Indian financial scene too presents a plethora of
INTRODUCTION
![Page 28: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/28.jpg)
SWOT analysis of insurance industry:
Premium rates are
increasing and so are
commissions
The variety of
products are
increasing
Customers expects
more services from
their brokers
Companies are slow
respond to changing
needs
Increasing trend of
financial weakness among
the companies
More competitors for
agencies to compete with
banks & internet players
STREN WEAKN
![Page 29: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/29.jpg)
Ability to cross sell
financial services
barely being tapped
Technology is
improving to that
point that paperless
transactions are
available
Client’s increasing
need for insurance
consultant can open
new ways to service
the client and
generate income
Increasing cost and need
for insurance might hit a
point where a backlash
will occur
Increasing expenses and
lower profit margins can
hit smaller agencies and
insurance companies
OPPORTUN THREA
![Page 30: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/30.jpg)
INVESTMENT OPTIONS
INVESTMENT OPTIONS
STOCK MARKET
MUTUAL FUNDS
INSURANCE
FIXED DEPOSITS
![Page 31: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/31.jpg)
There are many investment options available for the people in the
market, but there are mainly five investment options, which are
considered to be as most popular and most effective investment
options available in the current market scenario. In general,
almost 95-98% people do invest in these, since the Expected Rate
of Return is much higher than any other investment options,
irrespective of the amount of risk is very high in some of the
cases. These investment options are:
This investment option is most popular and safest option available
in the market. With almost every working people invest in fixed
deposits; this investment option leads the chart of four
investment options because of its safety and popularity. Though
the amount of return is much lesser than the other three options,
this option heads the table as it has almost no risk of losing the
invested amount. Also, it is the oldest among the other three, so
the trust factor of people is very high.
There are mainly three types of fixed deposits available in the
market, namely, viz.
1. Fixed deposits offered by Banks
FIXED DEPOSITS:
![Page 32: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/32.jpg)
2. Fixed deposits offered by Post Offices
3. Company fixed deposits
Now, we’ll see these three fixed deposit schemes in details.
1. Fixed deposits offered by Company:
Considered as the safest of all options, banks have been the
roots of the financial systems in India. Promoted as the means
of social development, banks in India have indeed played an
important role in not only urban areas, but also in rural
upliftment. For an ordinary person though, banks have acted as
the safest avenue wherein a person deposits money and earns
interest on it. The two main modes of investment in banks,
savings accounts and fixed deposits have been effectively used
by one and all.
However, today the interest rate structure in the country is
headed southwards, keeping in line with global trends. With the
banks offering just above in their fixed deposits for one year,
the yields have come down substantially in recent times. Add
to this, inflammatory pressure in the economy and we have a
position where the savings are not earning. The inflation is
creeping up almost 8% at times, this means the value of
money saved goes down instead of going up. This effectively
mars any chance of gaining investments from the banks.
Company fixed deposits:
Another oft-used route to invest has been the fixed deposit
schemes floated by companies. Companies have used fixed
![Page 33: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/33.jpg)
deposit schemes as a means of mobilizing funds for their options
and have paid interest on them. The safer a company is rated, the
lesser the return offered has been the thumb rule.
However, there are several potential roadblocks are there.
Firstly, of all the danger of financial positions of the company
not being understood by the investor lurks. The investors rely on
intermediaries who more often than not, don’t reveal the entire
truth.
Secondly, liquidity is a major problem with the amount being
received months after the due dates. Premature redemption is
generally not entertained without cuts in the returns offered and
though they present a reasonable option to counter interest rate
risk (especially when the economy is headed for a low interest
regime), the safety of amount has been found lacking. Many
cases like the Ashlar Group and DCM Group fiascoes have
resulted in low confidence in this option.
Now let us look at the Indian Stock Market in details.
STOCK MARKET:
![Page 34: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/34.jpg)
The Indian Stock Market is also the other name for Indian Equity
Market or Indian Share Market. The forces of the market depend
on the monsoons, global funding flowing into equities in the
market and the performance of various companies. The market of
equities is transacted on the basis of two major stock indices,
National Stock Exchange of India Ltd. (NSE) and The Bombay
Stock Exchange (BSE), the trading being carried on in a
dematerialized form. The physical stocks are in liquid form and
cannot be sold by the investors in any market.
The equity indexes are correlated beyond the boundaries of
different countries with their exposure to common calamities like
monsoon which would affect both India and Bangladesh or trade
integration policies and close connection with the foreign
investors. From 1995 onwards, both in terms of trade integration
and FIIs India has made an advance.
Indian Equity Market at present is a lucrative field for the
investors and investing in Indian stocks are profitable for not only
the long and medium-term investors, but also the position
traders, short-term swing traders and also very short term intra-
day traders. In terms of market capitalization, there are over 2500
companies in the BSE chart list with the Reliance Industries
Limited at the top. The SENSEX today has rose from 1000 levels
to 8000 levels providing a profitable business to all those who had
been investing in the Indian Equity Market. There are about 22
stock exchanges in India which regulates the market trends of
different stocks. Generally the bigger companies are listed with
the NSE and the BSE, but there is the OTCEI or the Over the
![Page 35: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/35.jpg)
Counter Exchange of India, which lists the medium and small
sized companies.
In the Indian market scenario, the large FMCG companies reached
the top line with a double-digit growth, with their shares being
attractive for investing in the Indian stock market. Such
companies like the Tata Tea, Britannia, to name a few, have been
providing a bustling business for the Indian share market. Other
leading houses offering equally beneficial stocks for investing in
Indian Equity Market, of the SENSEX chart are the two-wheeler
and three-wheeler maker Bajaj Auto and second largest software
exporter Infosys Technologies.
Thus, the growing financial capital markets of India being
encouraged by domestic and foreign investments is becoming a
profitable business more with each day. If all the economic
parameters are unchanged Indian Equity Market will be conducive
for the growth of private equities and this will lead to an overall
improvement in the Indian economy.
Now apart from all these, the first question that comes in our
mind is,
Why do so many people invest in shares?
Simply put, you want to invest in order to create wealth. While
investing is relatively painless, its rewards are plentiful. To
understand why you need to invest, you need to realize that you
lose when you just save and do not invest. That is because the
value of the rupee decreases every year due to inflation.
Historically shares have outperformed all the other investment
![Page 36: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/36.jpg)
instruments and given the maximum returns in the long run. In
the twenty-five year period of 1980-2005 while the other
instruments have barely managed to generate returns at a rate
higher than the inflation rate (7.10%), on an average shares have
given returns of about 17% in a year and that does not even take
into account the dividend income from them. Were we to factor in
the dividend income as well, the shares would have given even
higher returns during the same period.
Inflation: general rise in prices and wages caused by an increase
in the money supply and demand for goods, and resulting in a fall
in the value of money. Inflation occurs when most prices rise by
some degree across the economy.
Investment options Returns per annum
Stock market 17%
Bank fixed deposits 9%
Gold 5.7%
![Page 37: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/37.jpg)
Stock Market Bank Fixed Deposits Gold0%
2%
4%
6%
8%
10%
12%
14%
16%
18%17%
9%
6%
Returns per annum
Advantages of investing in shares:
There are lots of advantages of investment in share market. Some
of these are:
Dividend income: investments in shares are attractive as much
for the appreciation in the share prices as for the dividends their
companies pay out.
Tax advantages: shares appear as the best investment option if
you also consider the unbeatable tax benefits that they offer.
First, the dividend income is tax-free in the hands of investors.
Second, you are required to pay only a 10% short term capital
gains tax on the profits made from investments in shares, if you
![Page 38: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/38.jpg)
book your profits within a year of making the purchase. Third, you
don't need to pay any long-term capital gains tax on the profits if
you sell the shares after holding them for a period of one year.
The capital gains tax rate is much higher for other investment
instruments: a 30% short-term capital gains tax (assuming that
you fall in the 30% tax bracket) and a 10% long-term capital gains
tax.
Easy liquidity: shares can also be made liquid anytime from
anywhere (on sharekhan.com you can sell a share at the click of a
mouse from anywhere in the world) and the gains can be realized
in just two working days. Considering the high returns, the tax
advantages and the highly liquid nature, shares are the best
investment option to create wealth.
How people earn from the investment in shares?
Shares can give us returns in two forms.
A. Appreciation in share prices: You buy shares with the belief
that their price will increase and that when this happens you will
be able to sell off your shares and earn profit. For example, if you
bought a share for Rs100 three years ago and it is Rs500 today,
then you have earned Rs400 in three years.
B. Dividend: when a company makes profits, it can choose to
share part of its profits with its shareholders by paying out
dividend. This dividend is paid as a percentage of the face value
![Page 39: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/39.jpg)
of the share. For example, a company may declare a dividend of
25%. Then if the face value of its share is Rs10 you will get
Rs2.50 for every share you own of that company, irrespective of
the market price. In itself this might not be much, but over a
longer period of time or if you have a lot of shares, you could earn
quite a bit from the dividend itself. The best thing about dividends
is that they are tax-free in the hands of investors. Dividend yield
stocks are known to give returns higher than fixed deposits
[dividend yield = (dividend per share / market price of the share)
x 100].
What are the expenses during transaction?
Every share transaction attracts some tax or the other. Some of
the main expenses are as follows.
A. Capital gains tax: If you purchase a share and sell it at a
price higher than the purchase price and if this sale is within a
year of the purchase, then a 10% capital gains tax is levied on the
profit that you make. For example, if you bought a share for
Rs100 on January 1, 2005 and sold it for Rs150 on July 1, 2005,
then you have to pay a tax of 10% on the Rs50 profit that you
make. If you sell after a year of purchase, there is no tax on the
long-term gains.
![Page 40: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/40.jpg)
B. Securities transaction tax: Securities transaction tax (STT)
is levied by the government on every transaction you do on a
stock exchange. You don’t have to pay this separately; it’s
collected by your broker. As per the Union Budget 2005 the STT
will be 0.10% on delivery-based transactions and 0.02% on intra-
day transactions.
C. Brokerage: Brokers get a commission on every trade that
they do for you. This commission varies from broker to broker; at
sharekhan.com the brokerage is 0.5% for delivery-based
transactions and 0.10% for intraday transactions. On the
brokerage amount you are required to pay a service tax to the
government (to be collected by the broker). The brokerage varies
depending on the service that the broker provides you. Some
brokers, such as Sharekhan, offer its clients regular updates on
companies, multiple means to transact and customer service
support.
D. Depository fees: Since most of the shares exist in a
dematerialized form, every time you buy or sell shares the
transactions are being noted by your DP. The DPs normally levy a
charge which is an annual charge or a charge on each
transaction.
Risks ---the only disadvantage in investing in shares:
There are two types of risk associated with this kind of
investment: company specific risk and market risk.
![Page 41: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/41.jpg)
Set of risks that deals with a company and its sector are referred
to as company specific risk.
Examples of company specific risk: bad management, bad
marketing strategies, sector disturbances that have an impact on
industry etc.
External factors (economic, global factors) that affect the market
as a whole are referred to as market risk.
Examples of market risk: political instability, high inflation, rupee
depreciation, rising interest rates, global incidents like wars and
disasters that throttle the nation's economy etc.
How company specific risk can be identified?
With careful scrutiny and proper homework, it might be easy to
identify and be forewarned of the risks a company may be
carrying. Specifically check out for the mergers and acquisitions
that do not have a real synergy or are a nightmare after
reconciliation (A O L - Time Warner, Hewlett Packard-Compaq).
Also is suspicious of diversifications that do not really add value to
a company's core offering. A third kind of risk would be with the
companies that have bet their stakes on a single product offering
and are high on debt. Likewise companies that depend on
research could be prone to higher risk, if the research doesn't
come to fruition.
![Page 42: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/42.jpg)
How to identify sector driven risk?
If steel prices rise, auto companies get affected. If low cost
Chinese products invade the country's market, then local fast
moving consumer goods companies might find no takers for their
products. The changing nature of the industry itself may lead to
dipping stock prices; a print publication may see revenue loss if
everyone moves to reading on the Internet.
How to predict market risk?
It is difficult to predict market risks. The only thing we can say
here is that start noticing all the small signs early. If the election
results are feared to lead to a fall in the stock market, notice the
signals beforehand. Read Sebi's bulletins and track companies
whose shares prices are very volatile.
How people can minimize their risk and maximize their
return?
Buy when stocks are falling, sell when these are rising. This works
well when you are a long-term investor and there is an extended
bear or Bull Run. Don't try to second guess or predict that the
market will fall today and rise tomorrow. Even seasoned investors
cannot do that!
2. Don't try to guess the market's favorites
Your instincts might tell you that pharma or technology stocks are
hot due to certain policies or events, but remember millions of
investors have already guessed that and bought these stocks. The
prices of these stocks would therefore be at a higher level when
![Page 43: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/43.jpg)
you buy them. Instead focus on the long term and don't get
swayed by short-term events.
3. Aim for the long haul
Short-term investing is prone to higher risks. When investing in
stocks, aim to get good returns after a period of three to five
years at the minimum. Also churn your portfolio periodically and
based on the progress that a company makes in a quarter or in
six months, decide whether to hold the stock or get out of it.
4. Avoid hot tips
You may have overheard some news about a stock or your friend
may advise that a particular stock is all geared to move up. Avoid
such tips like the plague and your investments will remain safe.
5. Blue-chips are safe bets
Blue-chip companies are there because they have done well in
the past and have a high market capitalization. It is a likely guess
that they will maintain their track record and give you higher
returns even in future. Therefore invest in companies that have a
good track record.
6. Slow and steady stream of investments
![Page 44: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/44.jpg)
Set aside a certain portion of your earnings every month and
invest that sum in shares irrespective of the market conditions.
This way, over a period of time you can amass a substantial
number of shares of the stocks in your portfolio.
7. Think portfolio
Don't put all your earnings in a single stock. Try to have a diverse
portfolio of stocks. This way even if one stock doesn't do well, you
are still well protected. Also invest across sectors, since any
problem in one sector would affect all stocks in the sector. As a
thumb rule, if you have investments of up to Rs50, 000 invest in
two to three stocks. For about Rs150, 000 invest in three to five
stocks, for around Rs500, 000 have five to seven stocks and
around ten stocks for higher amounts.
8. Don’t invest all your savings
Always maintain a core set of reserves. You should never touch
these reserves for investing, so that even in the worst case you
still have some money. Typically these reserves should be your
salary of about six months.
9. Be level-headed
Invest wisely, don't get swayed by rumors and allow Sharekhan to
be your guide at all times. Investment success won't happen
overnight, so avoid overreacting to short term market swings.
![Page 45: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/45.jpg)
Mutual Funds are essentially investment vehicles where people
with similar investment objective come together to pool their
money and then invest accordingly. Each unit of any scheme
represents the proportion of pool owned by the unit holder
(investor).
Mutual Funds in India are financial instruments. These funds are
collective investments which gather money from different
investors to invest in stocks, short-term money market financial
instruments, bonds and other securities and distribute the
proceeds as dividends. The Mutual Funds in India are handled by
Fund Managers, also referred as the portfolio managers. The
Securities Exchange Board of India regulates the Mutual Funds In
India. The share value of the Mutual Funds in India is known as
net asset value per share (NAV). The NAV is calculated on the
total amount of the Mutual Funds in India, by dividing it with the
number of shares issued and outstanding shares on daily basis.
MUTUAL FUNDS IN INDIA – ADVANTAGES:
The Mutual Funds in India offer flexibility by means of
dividend reinvestment, systematic investment plans and
systematic withdrawal plans.
Mutual funds:
![Page 46: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/46.jpg)
These funds are available in small units, so they are
affordable to the small investors.
The fees charged for to the custodial, brokerage and others
services are very low in case of Mutual Funds in India.
These funds have the option of redeeming or withdrawing
money at any point of time.
The Mutual Funds in India have low risk as it is managed
professionally.
Like most developed and developing countries the mutual fund
cult has been catching on in India. The important reasons for this
interesting occurrence are:
Mutual funds make it easy and less costly for investors to
satisfy their need for capital growth, income and/or income
preservation.
Mutual fund brings the benefits of diversification and money
management to the individual investor, providing an
opportunity for financial success that was once available only
to a select few.
Understanding Mutual funds is easy as it's such a straightforward
concept. A mutual fund is a company that pools the money of
many investors, its shareholders to invest in a variety of different
securities.
Investments may be in stocks, bonds, money market securities or
some combination of these.
For the individual investor, mutual funds propose the benefit of
![Page 47: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/47.jpg)
having someone else manage your investments and diversify
your money over many different securities that may not be
available or affordable to you otherwise. A mutual fund, by its
very nature, is diversified -- its assets are invested in many
different securities. Beyond that, there are many different types
of mutual funds with different objectives and levels of growth
potential, furthering your odds to diversify.
Benefits of
mutual funds:
Investing in mutual has various benefits, which makes it an ideal
investment avenue.
Professional investment management :
One of the primary benefits of mutual funds is that an investor
has access to professional management. A good investment
manager is certainly worth the fees you will pay. Good mutual
fund managers with an excellent research team can do a better
job of monitoring the companies they have chosen to invest in
than you can, unless you have time to spend on researching the
companies you select for your portfolio. That is because Mutual
funds hire full-time, high-level investment professionals. Funds
can afford to do so as they manage large pools of money. The
managers have real-time access to crucial market information
and are able to execute trades on the largest and most cost-
effective scale. When you buy a mutual fund, the primary asset
you are buying is the manager, who will be controlling which
assets are chosen to meet the funds' stated investment
objectives.
![Page 48: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/48.jpg)
Diversification :
A crucial element in investing is asset allocation. It plays a very
big part in the success of any portfolio. However, small investors
do not have enough money to properly allocate their assets. By
pooling your funds with others, you can quickly benefit from
greater diversification. Mutual funds invest in a broad range of
securities. This limits investment risk by reducing the effect of a
possible decline in the value of any one security. Mutual fund unit-
holders can benefit from diversification techniques usually
available only to investors wealthy enough to buy significant
positions in a wide variety of securities.
Low Cost :
A mutual fund let's you participate in a diversified portfolio for as
little as Rs.5, 000, and sometimes less.
Convenience and Flexibility :
Investing in mutual funds has its own convenience. While you
own just one security rather than many, you still enjoy the
benefits of a diversified portfolio and a wide range of services.
Fund managers decide what securities to trade collect the interest
payments and see that your dividends on portfolio securities are
received and your rights exercised. It also uses the services of a
high quality custodian and registrar. Another big advantage is
that you can move your funds easily from one fund to another
within a mutual fund family.
![Page 49: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/49.jpg)
Liquidity :
In open-ended schemes, you can get your money back promptly
at net asset value related prices.
Transparency :
Regulations for mutual funds have made the industry very
transparent. You can track the investments that have been made
on your behalf and the specific investments made by the mutual
fund scheme to see where your money is going. In addition to
this, you get regular information on the value of your investment.
Variety :
There is no shortage of variety when investing in mutual funds.
You can find a mutual fund that matches just about any investing
strategy you select. There are funds that focus on blue-chip
stocks, technology stocks, bonds or a mix of stocks and bonds.
The greatest challenge can be sorting through the variety and
picking the best for you.
Mutual fund risks:
Having understood the basics of mutual funds the next step is to
build a successful investment portfolio. Before you can begin to
build a portfolio, one should understand some other elements of
mutual fund investing and how they can affect the potential value
![Page 50: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/50.jpg)
of your investments over the years. The first thing that has to be
kept in mind is that when you invest in mutual funds, there is no
guarantee that you will end up with more money when you
withdraw your investment than what you started out with.
That is the potential of loss is always there. Even so, the
opportunity for investment growth that is possible through
investments in mutual funds far exceeds that concern for most
investors. Here's why.
At the cornerstone of investing is the basic principal that the
greater the risk you take, the greater the potential reward. Risk
then, refers to the volatility -- the up and down activity in the
markets and individual issues that occurs constantly over time.
This volatility can be caused by a number of factors -- interest
rate changes, inflation or general economic conditions. It is this
variability, uncertainty and potential for loss, that causes
investors to worry. We all fear the possibility that a stock we
invest in will fall substantially. Different types of mutual funds
have different levels of volatility or potential price change, and
those with the greater chance of losing value are also the funds
that can produce the greater returns for you over time. You might
find it helpful to remember that all financial investments will
fluctuate. There are very few perfectly safe havens and those
simply don't pay enough to beat inflation over the long run.
Number of available options:
Diversification
Professional Management
Potential of returns
![Page 51: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/51.jpg)
Liquidity
Besides these important features, mutual funds also offer several
other key traits.
Important among them are:
Well Regulated
Transparency
Flexible, Affordable and a Low Cost affair
Structure of the Indian mutual fund industry:
The Indian mutual fund industry is dominated by the Unit Trust of
India, which has a total corpus of Rs. 700bn collected from more
than 20 million investors. The UTI has many schemes in all
categories i.e. equity, balanced, income etc with something open
ended and some being closed ended. The unit scheme 1964
commonly referred to as US 64, which is a balanced fund, is the
biggest scheme with a corpus of about Rs. 200bn. UTI was floated
by financial institution and is govern by a special act of
parliament. Most of its investors believe that the UTI is
government owned and controlled, which, while legally
uncorrected, is true for all practical purposes.
Recent trends in mutual fund industry:
The most important trend in the mutual fund industry is the
aggressive expansion of the foreign owned mutual fund
companies and the decline of the companies floated by
![Page 52: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/52.jpg)
nationalized banks and smaller private sector players. Many
nationalized banks got into the mutual fund business in the early
nineties and got off to a good start due to the stock market boom
prevailing them. These banks did not really understand the
mutual fund business and they just viewed it as another kind of
banking activity. Few hired specialized staff and generally chose
to transfer staff from the parent organizations. The performance
of most of the schemes floated by these funds was not good.
Some schemes had offered guaranteed returns and their parent
organizations had to bail out these AMCs by paying large amounts
of money as the difference between the guaranteed and actual
returns. The service levels were also very bad. Most of these
AMCs have not been to retain staff, float new schemes etc, and it
is doubtful whether, barring a few exceptions, they have serious
plans of continuing the activity in a major way.
The foreign owned companies have deep pockets and have come
in here with the expectation of a long haul. They can be credited
with introducing many new practices such as new product
innovation, sharp Improvement in service standards and
disclosure, usage of technology, broker education and support
etc. In fact, they have forced the industry to upgrade itself and
service levels of organizations like UTI have improved
dramatically in the last few years in response to the competition
provided by these.
Schemes of a Mutual Fund:
• The asset management company shall launch no scheme unless
the trustees approve such scheme and a copy of the offer
![Page 53: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/53.jpg)
document has been filed with the Board.
• Every mutual fund shall along with the offer document of each
scheme pay filing fees.
• The offer document shall contain disclosures which are
adequate in order to enable the investors to make informed
investment decision including the disclosure on maximum
investments proposed to be made by the scheme in the listed
securities of the group companies of the sponsor A close-ended
scheme shall be fully redeemed at the end of the maturity period.
“Unless a majority of the unit holders otherwise decide for its
rollover by passing a resolution”.
Rules Regarding Advertisements:
• The offer document and advertisement materials shall not be
misleading or contain any statement or opinion, which are
incorrect or false.
Investment Objectives and Valuation Policies:
• The price at which the units may be subscribed or sold and the
price at which such units may at any time be repurchased by the
mutual fund shall be made an available to the investors.
Restrictions on Investments:
• A mutual fund scheme shall not invest more than 15% of its
NAV in debt instrument issued by a single issuer, which are rated
not below investment grade by a credit rating agency authorized
![Page 54: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/54.jpg)
to carry out such activity under the Act. Such investment limit
may be extended to 20% of the NAV of the scheme with the prior
approval of the Board of Trustees and the Board of Asset
Management Company.
• A mutual fund scheme shall not invest more than 10% of its
NAV in unrated debt instruments issued by a single issuer and the
total investment in such instruments shall not exceed 25% of the
NAV of the scheme. All such investments shall be made with the
prior approval of the Board of Trustees and the Board of Asset
Management Company.
• No mutual fund under all its schemes should own more than ten
percent of any company’s paid up capital carrying voting rights.
• Such transfers are done at the prevailing market price for
quoted instruments on spot basis. The securities so transferred
shall be in conformity with the investment objective of the
scheme to which such transfer has been made.
So, if we draw a graph of table-2, then we get,
Analysis
![Page 55: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/55.jpg)
fixed deposit stock market mutual funds insurance0
5
10
15
20
25
30
35
40
most prefered investment option
investment options
num
ber o
f peo
ple
Therefore, we can easily see from the chart that majority of
people like to invest in the stock market, even though market
situation is not so good and there is so much risk available.
Now, if we see what % of people like to invest in which
investment option in the following pie chat, then,
![Page 56: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/56.jpg)
fixed deposit25%
stock market36%
mutual funds21%
insurance18%
% of people's preference
So, we can see from the above pie chart that 36% people like to
invest in the stock market, irrespective of the volatility of the
market. Then comes fixed deposit with 25% people likes to play
safe, as it is the safest option available in the market.
Now, let us see which age group is more prone to play safe, which
is, like to invest in fixed deposits.
18-24 24-30 30-40 40 above0
1
2
3
4
5
6
7
investment in fixed deposit
age group
num
ber o
f peo
ple
![Page 57: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/57.jpg)
Therefore, we can see from the above chart that people of age
group 24-30 and above 40 years don’t like to take much risk may
be because these are the settlement periods of their life.
Now, let us see which age group likes to take the highest possible
risk in the following chart.
18-24 24-30 30-40 40 above0
1
2
3
4
5
6
investment in stock mrket
age group
num
ber o
f peo
ple
So, we can see from the above chart that people of age group 30-
40 likes to take more risk, as they became more financially stable
by that age and have fewer responsibilities.
Now, we will see that which age group likes to take moderate risk
in the following chart.
![Page 58: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/58.jpg)
18-24
24-30
30-40
40 above
0 1 2 3 4 5 6
investment in mutual funds
number of people
age
grou
p
So, we can see that people of age group 18-24 like to invest in
mutual fund, as it has moderate risk.
Lastly, in the following chart, we will see that which age group
likes to take very less risk and wants higher return in the long
term.
18-24 24-30 30-40 40 above0
1
2
3
4
5
6
7
investment in insurance
age group
num
ber o
f peo
ple
![Page 59: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/59.jpg)
So, we can see from the above chart that people of age group 30-
40 more likely to invest in insurance, as by that time they think
about the future and long term return.
![Page 60: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/60.jpg)
Conclusions & Recommendations:
Therefore from the survey, whatever I got, here is the gist of all of
them:
People are more inclined to invest in the stock market,
irrespective of the market scenario and the level of risk.
Majority of the people wants higher return in short period of
time that is why they prefer to invest in stock markets and
mutual funds rather than any other form of investments.
People between ages 30-40 think about long term returns as
well as higher return in short period of time that is why they
invest in stock market for short period of time and in
insurance for long term return.
People between ages 18-24 don’t have much money to
invest and they can’t take higher risk, so they invest in
mutual funds which are of moderate risk.
People between ages 24-30 wants to be financially stable
that is why they don’t like to take risk at all. So, they invest
in the bank’s fixed deposit scheme which has almost no risk
and lower return.
![Page 61: PROJECT REPORT of Marketing Strategies of Ashlar Group Bhupendra Dixit Anand Engg. College](https://reader036.vdocument.in/reader036/viewer/2022081502/55cf98e6550346d0339a5261/html5/thumbnails/61.jpg)
Bibliography
www.ashlarindia.com
www.moneycontrol.com
www.investsmartindia.com
www.insurancejournal.com
www.irdaindia.org
IRDA book
Various bank’s websites