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7/29/2019 karvyprojectreport-100722032417-phpapp02-111130072109-phpapp02

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SUBMITTED TO: -JIWAJI UNIVERSITYGWALIOR (MP.)

SUBMITTED BY: -BHOOPENDRA PATHAKM.B.A. (III SEM)


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DECLARATION

I Bhoopendra pathakdeclare that the Project Report entitled DMAT SERVICE IN KCLwith

special reference to Karvy Consultant LTD. And its competitive funds are submitted by me in the

partial fulfillment of Master of Business of Administration from Maharana Pratap College of Technology

Gwalior.

I further declare that all the information, facts & figures furnished in this project Report are based

on my intensive research findings.

Bhoopendra Pathak

M.B.A.III sem.

M.P.C.T. Gwalior


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ACKNOWLEDGEMENT

I take this opportunity to express my gratitude to Mr. NITIN TEMAK (Brach Manager) for

assigning this important project to me.

I am very grateful to Mr.Avnish sir, Mr. Jitu sir, Mr. Sandeep sir, and I am also thankful to

Mr. Kanik karkhur sir and staff member of KCL for their valuable suggestions in the execution of

project work.

Finally, I would like to express my sincere Thanks to Mr. N.C. JAIN (H.O.D. of MPCT M.B.A. Dept.)

who gave me a proper guidance & support to complete my project.

I would like to thanks to Mr. Umesh Sharma Sir, Mr. Sourab Goyal Sir, Trilok sir, and I am

also thankful to Miss Gunjan Tiwari Madam and all faculty of M.B.A. Dept for his guidance given

during the project.

Lastly, I am grateful to all the respondents who helped me by providing the information & giving

their valuable time.

Bhoopendra Pathak

M.B.A.III sem

M.P.C.T. Gwalior


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PREFACE

Education becomes more meaningful when its theoretical aspects are

combined with the practical experiences .This provides an opportunity to the student

to improve there understanding of the studies.

Master of business administration of finance is course which combines with

theory and its application as its contents of study in the field of management as a

part of this course every aspirant has to go undergo AT LEAST FIVE WEEKS

Summer Training in organization of repute the purpose of this training is to

expose the student of management to real business situation and to provide insight

in to the various functions carried out with in the organization.

I am fortunate enough to gat the opportunity of my Summer Training in

the KARVY CONSULTANTS LTD..


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CONTENT

About Karvy consultants ltd.

Company profile. Organization Karvy group. Quality policy of the karvy. Strategy of the company. Developments activities. Achievements. Karvy security ltd.

Demat account overview

Demat services of karvy.

Research Methodology.

Types of Research Sources of data. Tools used. Objectives of the project. Significance of project. Limitation of the project. Data collection. Customer satisfaction

Findings

Conclusion

Recommendation.

Bibliography


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COMPANY PROFILE

The four chartered accountants founded Karvy Consultants Limited in 1982. A

group of Hyderabad based practicing Chartered Accountants started Karvy taxation

services initially. Later, it forayed in to the register and share transfer activities and

subsequently into financial services. All along Karvys strong work ethics and

professional background leveraged with information technology enabled it to deliver

quality to the individual.

A decade of commitments, professional integrity and vision helped Karvy

achieve a leadership position in its field when it handled the largest number of issue

ever handled in the history of the Indian Stock market in a year. Therefore, Karvy

made in roads into a host of capital market services corporate and retail, which

proved to be a sound business synergy. Today Karvy has access to million of

shareholder, beside companies, banks, financial institution and regulatory agencies.

Over the past one and half decade, Karvy has involved as a veritable link between

industries, finance and people. In January 1998, Karvy became the first Depository

participants in Andhra Pradesh. As ISO: 9002 Company,

Karvy ranks among the top player in almost all the fields it operates. Karvy

Computershare Limited is Indias largest Registrar and Transfer Agent with a client

base of nearly 500 blue chip corporate, managing over 2 crore accounts. Karvy Stock

Brokers Limited, member of National Stock Exchange of India and the Bombay Stock

Exchange, ranks among the top 5 stock brokers in India. With over 6, 00,000 active

accounts, it ranks among the top 5 Depositary Participant in India, registered with

NSDL and CDSL. Karvy Comtrade, Member of NCDEX and MCX ranks among the top

3 commodity brokers in the country. Karvy Insurance Brokers is registered as aBroker with IRDA and ranks among the top 5 insurance agent in the country.

Registered with AMFI as a corporate Agent, Karvy is also among the top Mutual Fund

mobilize with over Rs. 5,000 crores under management. Karvy Realty Services, which

started in 2006, has quickly established itself as a broker who adds value, in the

realty sector. Karvy Global offers niche off shoring services to clients in the US. Karvy

has 575 offices over 375 locations across India and overseas at Dubai and New York.

Over 9,000 highly qualified people staff Karvy.


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ORGANISATION

Karvy was started by a group of five chartered accountants in 1979. Thepartners decided to offer, other than the audit services, value added services like

corporate advisory services to their clients. The first firm in the group, Karvy

Consultants Limited was incorporated on 23rd July, 1983. In a very short period, it

became the largest Registrar and Transfer Agent in India. This business was spun off

to form a separate joint venture with Computer share of Australia, in 2005. Karvys

foray into stock broking began with marketing IPOs, in 1993. Within a few years,

Karvy began topping the IPO procurement league tables and it has consistently

maintained its position among the top 5. Karvy was among the first few members of

National Stock Exchange, in 1994 and became a member of The Stock Exchange,

Mumbai in 2001. Dematerialization of shares gathered pace in mid-90s and Karvy

was in the forefront educating investors on the advantages of dematerializing their

shares. Today Karvy is among the top 5 Depositary Participant in India.

While the registry business is a 50:50 Joint Venture with Computer share of

Australia, we have equity participation by ICICI Ventures Limited and Barings Asia

Limited, in Karvy Stock Broking Limited. Karvy has always believed in adding value toservices it offers to clients. A top-notch research team based in Mumbai and

Hyderabad supports its employees to advise clients on their investment needs. With

the information overload today, Karvys team of analysts help investors make the

right calls, be it equities, mf, insurance. On a typical working day Karvy:

* Has more than 25,000 investors visiting our 575 offices

* Publishes / broadcasts at least 50 buy / sell calls

* Attends to 10,000+ telephone calls

* Mails 25,000 envelopes, containing Annual Reports,

Dividend cheques/ advises, allotment / refund advises

* Executes 150,000+ trades on NSE / BSE

* Executes 50,000 debit / credit in the depositary accounts

* Advises 3,000+ clients on the investments in mutual funds

First ISO - 9001: 2000 Certified Registrar in India


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KARVY GROUP

Karvy group comprises the following:-

KARVY CONSULTANTS LIMITED

As the flagship company of the Karvy Group, Karvy Consultant Limited has

always remained at the helm of organization affairs, pioneering business policies,

works ethic and channels of progress. Karvy as a leader in the registry business now

transferred this business into a join venture with Computer share Limited of

Australia, the worlds largest registrar. Today, we service over 6 lacks customer

accounts in this business spread across over 250 cities/towns in India and are ranked

amongst the largest Depository Participant in the country, Deal in Register and

investment services. We are rated as India's "Most Admired Registrar" for overall

excellence in volume management, quality processes and technology driven services.

Our services include Initial Public Offers (IPOs) processing, share holder servicing,

effecting corporate actions, investor information services and host of technology

enabled services to facilitate efficient and effective service delivery.

KARVY STOCK BROKING LIMITED

They offer trading on a vast platform National Stock Exchange, Bombay Stock

Exchange and Hyderabad Stock Exchange. Information is given as a constantfeedback to our customers, through daily reports delivered thrice Daily- The Pre-

session Report, where market scenario for the day is predicated, the Mid- session

Report, times to arrive during lunch break, where the market forecast for the rest of

the day is given and the Post- session Report, the final report for the day, where the

market and the report itself is reviewed. To add to this repository of information, we

publish a monthly magazine Karvy------ The Finapolis Which analyzes the latest

stock market trends and takes a close look at the various investment options, and

product available in the market while a weekly report, called Karvy Bazaar Baatein


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keeps you more informed on the immediate trends in the stock market. In addition,

our specific industry reports give comprehensive information on various industries.

Beside this, we also offer special portfolio analysis packages that provide daily

technical advice on scrips for successful portfolio management and provide

customized advisory services to help you make the right financial moves that are

specifically suited to your portfolio.

The institutional broking arm of KARVY Stock Broking offers corporate houses

and institutions dealing capabilities on India leading stock exchanges (NSE and BSE)

in the cash and derivatives segments. This unit has devised a process driven

approach to address the needs of institutional investors who have unique and

specialized investment needs.

The institutional broking services desk is a specialized business unit at KARVY

that operates out of Mumbai, the financial capital of India and is staffed with best-of-

industry equity market professionals and highly skilled dealers. KARVY also supports

institutional traders through their institutional sales and research teams with

information and insightful reports on stocks, sectors and industry verticals. KARVYs

institutional broking clientele include some major domestic Mutual Funds, Insurance

Companies, Banks and FIIs in India.

KARVY INVESTORY SERVICES LIMITEDKarvy Investor Services Limited, a SEBI registered Merchant Banker is a 100%

subsidiary of Karvy Consultants Limited and is among the top 10 merchant Bankers

in India today. The parent Company i.e. Karvy Consultants Limited was founded by a

group of professionals in 1982 and today it has evolved as integrated financial

services company of repute, offering various financial services to suit every

requirement/need of our customers. By virtue of its access to millions of Indian

Shareholders, in addition to companies, banks and financial institutions, Karvy has in

the process built up a positive reputation with regulatory authorities and other

government agencies. Our emphasis on the quality of the services, we offer, has

been instrumental in helping us to attain the leadership in the financial services

sector.

We have a track record of handling 70 public/rights issues as Merchant

Bankers. During the last two years we have handled the share buyback issues of TTK

LIG Limited, Sirpur Paper Mills Limited, Bhagyanagar Metals Limited, A V Thomas

Group-Nelliampathy Tea and Produce Company Limited, Chordia Food Products


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Limited, Heritage Foods (India) Limited, Titanor Components Ltd, Punjab

Communications Limited, etc. to name a few.

We have also handled/are handling the Rights/Public issues of Dhanalakshmi

Bank, Dhandapani Finance, Moschip, Karur Vysya Bank, Lux Hosiery Industries Ltd,

Sah Petroleums Limited, Paradyne InfoTech Limited, Yash Papers Limited, SPL

Industries Limited, Provogue (I) Limited, Tulip IT Services Limited, Gati Limited as

lead managers to name a few. We have also been appointed as advisor to some of

the GOI disinvestments. We have actively marketed bond issues of corporations from

the States of Maharashtra, Karnataka & Gujarat and debt issues of all the Financial

Institutions like IDBI, ICICI, IFCI, REC, PFC, SIDBI, etc.

As an Investment Banker, Karvy provides;

Management of Capital Issues

Management of Buybacks, Takeovers and Delisting offers

Private Placement of Debt and Equity

Mergers and Amalgamations, Loan Syndication

KARVY COMMODITIES BROKING PRIVATE LIMITED-

Focused on taking commodities trading to new dimensions of reliability andprofitability. We have made commodities trading, an essentially age-old practice, into

a sophisticated and scientific investment option.

Here we enable trade in all goods and products of agricultural and mineral

origin that include lucrative commodities like gold and silver and popular items like

oil, pulses and cotton through a well-systematized trading platform. Our

technological and infrastructural strengths and especially our street-smart skills make

us an ideal broker.

Our service matrix is holistic with a gamut of advantages, the first and foremost

being our legacy of human resources, technology and infrastructure that comes from

being part of the Karvy Group.

Our wide national network, spanning the length and breadth of India, further

supports these advantages. Regular trading workshops and seminars are conducted

to hone trading strategies to perfection. Every move made is a calculated one, based

on reliable research that is converted into valuable information through daily, weekly

and monthly newsletters, calls and intraday alerts. Further, personalized service isprovided here by a dedicated team committed to giving hassle-free service while the


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brokerage rates offered are extremely competitive. Our commitment to excel in this

sector stems from the immense importance those commodities broking has to a

cross-section of investors, farmers, exporters, importers, manufacturers and the

Government of India itself. Visit us atwww.karvycomtrade.com

KARVY MUTUAL FUND SERVICES

Investment is the stepping stone to achieving one's financial dreams. Mutual

funds offer an opportune way to long-term wealth creation. However, with more and

more funds flooding the market, the task of selecting the most suitable scheme gets

even more complicated. Mutual Fund Advisory Service at Karvy guides you through

this maze and ensures that your investments are backed by our quality research.

We, at Karvy help you to reach your goals by offering:

* Products of 33 AMCs

* Research reports (existing funds & NFOs; strategy reports etc.)

* Customized mutual fund portfolios

* Portfolio revision (depending on changing market outlook and evolving

trends)

* Access to online consolidated portfolio statement

IPO INTRODUCTION PVT LTD

An Initial Public Offer (IPO) is a means of collecting money from the public by a

company for the first time in the market to fund its projects. In return, the company

gives the share to the investors in the company.

In an IPO, the Lead managers decide the price of the issue. In a book building

offer, the syndicate members decide the indicative price range and the investors

decide the price of the issue through a tender method.

A draft prospectus provides the information on the financials of the company,

promoters, background, tentative issue price etc. It is filed by the Lead Managers

with the Securities & Exchange Board of India (SEBI) to provide issue details.

Overview of the draft prospectus can be seen on www.sebi.gov.in (SEBI's web site
http://www.karvycomtrade.com/http://www.karvycomtrade.com/http://www.karvycomtrade.com/http://www.karvycomtrade.com/


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click here). The final prospectus is printed after obtaining the clearance from SEBI

and the Registrar of Companies (ROC).

KARVY FIXED INCOME SECURITYIES & TRADING (K-FIST)

It was started in December 2002 with a roll out from 7 dedicated centers of

Karvy. The Retail Debt Market division which is centralized at the HO in Hyderabad

provides fixed income products to its clients and is primarily a fund based activity.

The deal sizes vary from Rs.10,000 to Rs.5 cores.

Products - Central Government securities, State Development Loans, State

Guaranteed bonds, Public Sector Undertaking Bonds, Financial Institution Bonds, and

Bank bonds of SLR/Non-SLR category, both taxable and tax-free.

Target clients - Provident Fund Trusts, Educational & Religious trusts, charitable

trusts, and Co-operative banks, Regional Rural Banks, Corporate, and High Net worth

Individuals Standard Operating Procedures - Based on the specific needs of the

prospects Quotes of all categories of bonds are sent. The selection of instrument is

done and post negotiation (if any) the settlement date is finalized. Contract notes areexchanged and written confirmations are obtained before initiating the trade

settlement. On the agreed settlement date, the funds and securities are exchanged

between the parties. Primarily all the trades are in the electronic mode only. The

Wholesale Debt Market division is centralized at Mumbai and is a voice based order

matching activity which is fee based. The deal size is a minimum of Rs.5 cr. And the

reporting is done on the NSE.

Products - Central Government securities, State Development Loans, State

Guaranteed bonds, Public Sector Undertaking Bonds, Financial Institution Bonds, and

Bank bonds of SLR/Non-SLR category, both taxable and tax-free.

Target clients - Co-operative banks, commercial banks, Corporate, Financial

Institutions, Insurance companies and Asset Management Companies.

Standard Operating Procedures - The dealers generate 2-way quotes during the

trading hours and match the institutional buyers and sellers. The deal contract notes

are generated and exchanged between the 2 parties. The fees are collected by

raising debit notes on a monthly basis.


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KARVY REALITY (INDIA) LIMITED

(KRIL) is promoted by the KARVY Group, Indias largest integrated financial

services group. The group carries forward its legacy of trust and excellence ininvestor and customer services delivered with a passion for services and the highest

level of quality that align with global standards. KRIL is engaged in the business of

real estate and property services.

* Buying/ selling/ renting of properties

* Identifying valuable investments opportunities in the real estate sector

* Facilitating financial support for real estate and investments in properties

* Real estate portfolio advisory services.

KRIL is your personal real estate advisor guiding and hand holding you through

real estate transactions and offering valuable investment opportunities.

Building on the KARVY brand as a leading industry benchmark for world class

customer servicing and quality standards, KRIL brings to investors a reputation of

reliability, dependability and honesty. Our understanding of the needs and

preferences of our clients and our teams of qualified realty professionals help us to

establish fruitful relationships with buyers and sellers of properties alike.

A single stop shop for realty services offering:* Transacting Options: Choose to buy, sell or rent properties (residential and

commercial)

* Investing Options: Give your investments a good opportunity with properties

marketed by KRIL.

* Financing Options: Get unmatched deals for financing your investment

* Research Options: We undertake valuation and feasibility studies, area

analysis and customized analysis on behalf of clients.

KRIL has ongoing relations with builders and developers across the country

which will help you place your investments in the most genuine properties for a good

value appreciation at the right place and at the right price. KRIL is committed to the

guiding principles of quality, timely service delivery, fair pricing, transparency and

integrity.

KARVY INSURANCE BROKING PRIVATE LIMITED


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At Karvy Insurance Broking (P) Ltd. we provide both life and non-life insurance

products to retail individuals, high net-worth clients and corporate. With the opening

up of the insurance sector and with a large number of private players in the

business, we are in a position to provide tailor made policies for different segments

of customers. In our journey to emerge as a personal finance advisor, we will be

better positioned to leverage our relationships with the product providers and place

the requirements of our customers appropriately with the product providers. With

Indian markets seeing a sea change, both in terms of investment pattern and

attitude of investors, insurance is no more seen as only a tax saving product but also

as an investment product. By setting up a separate entity, we would be positioned to

provide the best of the products available in this business to our customers.

Our wide national network, spanning the length and breadth of India, further

supports these advantages. Further, personalized service is provided here by a

dedicated team committed in giving hassle-free service to the clients.

KARVY PORTFOLIO MANAGEMENT SERVICE LIMITED

KARVY is a premier integrated financial services provider, and ranked among

the top five in the country in all its business segments. KARVY owes its success to itsprofessionally managed team of experts, who have been chosen from some of the

most reputed institutions and firms across India.

In today's intricate and volatile market your investment requires constant

monitoring and attention. The demand made on your time and energy by other

business may not leave you with capacity to attend to your personal portfolio with

the degree of care you deem appropriate. We at KARVY understand your situation

and offer PMS services taking the same level of care and attention you would devote

to monitoring your portfolio.

Green Wallet is an Endeavour specially designed by Karvy to enhance the

wealth of a niche segment of investors. This service primarily meant for HNIs (High

Net worth Individuals) offers customers a wide range of schemes. These unique

schemes seek to achieve higher returns through broad based participation in equity

markets. This is achieved by creating a diversified equity portfolio of small, medium

and large capitalized companies.


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KARVY DEPOSITORY SERVICES LIMITED

Stock Broking Limited provides depository services to investors as a Depository

Participant with the National Securities Depository Limited (NSDL) and CentralDepository Services (India) Limited (CDSL). The Depository system in India links

Issuers, National level Depositories, Depository Participants and Clearing Houses /

Clearing Corporation of Stock Exchanges. Our demat services are accessible through

any of our network of over 575 branches / investor service centers located in over

375 cities and towns across the country.

Our demat services business has the distinction of having all its operations ISO

9001: 2000 certified with state-of-the-art technology and operations capabilities. Our

demat services has innovated over time and we provide online access to account

statements and transaction alerts through SMS to its clients.

KARVYs Demat services offer you a secure, convenient and paperless way to

keep track of your investments in shares and other security instruments over time,

without the hassle of handling paper based transcripts.

We provide the following services:

* Dematerialization of Shares

* Dematerialization of Shares

* Transfer of Shares

* Pledging of Shares

* Electronic Custodial Services

* Maintenance of Beneficial Holdings

* Electronic Credit against Corporate Actions


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QUALITY POLICY OF THE COMPANY:-

To achieve and retain leadership, Karvy shall aim for complete customer

satisfaction, by combining its human and technological resources, to provide superior

quality financial service, in the process, Karvy will strive to exceed customers

expectation.

Quality Objectives:-

As per the quality policy, Karvy well:

Build-in-house processes that will insure transparent and harmonious relationshipwith its clients and investor to provide high quality of services.

Establish a partner relationship with its investors service agent and vendors that willhelp in keeping up it commitments to the customers.

Provide high quality of work life for all its employees and equip them with adequateknowledge and skills so as to respond to customers needs.

Continue to uphold the values of honesty and integrity and strive to establishunparalleled standard and business ethics.

Use state-of-the art information technology in developing new and innovativefinancial products and services to meet the changing needs of investors and clients.

Strive to be a reliable source of value-edit products and services and constantlyguide the individuals and institutions in making judicious choices of same.

Strive to keep all stakeholders (share holders, clients, investors, employees, suppliersand regulatory authorities) proud and satisfy.


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STRATEGY OF THE COMPANY:-

Karvy believes that the foremost ingredient for success in the has been the co-

operation ability to continuously evolve both organizational structure and product

offerings, thereby remaining on the cutting financial services.

Karvy believes that three capitals viz., financial, human and technology, would drive

the financials services sector in the future and draw the boundaries for achieving

leadership.

Karvy believes that customized solutions are now the key drivers for market share

and profit margins.

DEVELOPMENT ACTIVITIES:-

Karvy has sought to broaden the scope of its activities by examining all sectors of the

economy and by introduction new concepts, new instruments and in some cases new

institution to response to perceived needs. In this regards, karvy developmental

activities have encompassed such diverse areas as financial investment, insurance,

depository participants services, skill development activities etc.

It has also been a pioneer in setting up PAN. TAN services, and also setting

up specialized institution in certain key sections.

1. TIN facilitation centre.2. Stock broking centre.3. Financial centre.4. Banking centre.5. Registrar of the issues.

A separate department is present with the sole intent of providing financial

services to various charitable, educational and social welfare organizations.


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ACHIEVEMENTS:-

Largest mobilize of funds as per PRIME DATABASE. First ISO- 9002 certified Registrar in India. A category- 1- Merchant banker. A category- 1- Registrar to public issues. Ranked as the most admired Registrar by MARG Handled the largestever public issue-IDBI. Handled over 500 public issues as Registrars. Handling the reliance account, this accounts for nearly 10 million account holders. First depository participants in Andhra Pradesh. Major issues managed as arrangers:o Kerala state Electricity Board.o Power Finance Corporation.o A.P. water resources development corporationo A.P. state electricity board.o Haldia petrochemicals Ltd. Major issues managed as co-managers.o

Indus land Bank Ltd.o ICICI Bonds-March97.o ICICI Bonds-dec.97.o ICICI safety Bonds-April 98, July98, Oct.98, Dec.98, Jan.99.o The Jammu & Kashmir BankLtd. Major issues handled and registrar to issues.o IDBI equityo Morgan Stanley mutual fundo Bank of Barodao Bank of Punjab Ltd.o Corporation Bank.o Indus land Bank Ltd.o Jammu & Kashmir Bank Ltd.o Housing and Urban development corporation (HODCO) Ltd.o Madras Refineries Ltd.o

BPL Ltd.

o Birla 3M Ltd.


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o Essar shipping Ltd.o Essar stels Ltd.o Hindustan Petroleum Corporation Ltd.o Infosys technologies Ltd.o Jindal Vijay Nagar Steels Ltd.o Nagarjun fertilizers and chemicals Ltd.o Rajshree Polyfil LTD.

KARVY SECURITIES LTD

Karvy has secured over Rs. 500 crore in the following debt issues

Andhra Pradesh Road Development Corporation Ltd. ICICI Bonds ( Private placement ) ICICI Bonds-96. ICICI Bonds- 97-I ICICI Bonds-97-II. ICICI Safety Bond-March 98.

ICICI Bond 96. IDBI Flexi Bond-I IDBI Flexi BondII IDBI Flexi BondsIII Kerala state electricity Board. Krishna Bhgya Jala Nigam Ltd. Power Finance Corporation Ltd. Andhra Pradesh Water Resources Development Corporation Andhra Pradesh state Electricity Board.


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OVERVIEW OF DEMAT ACCOUNT


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DEMAT ACCOUNT:-

Demat account is very much similar to saving current account of a bank, with the

only difference being that it deals with securities in electronics form and not money

.A demat account is just polite farewell to paperwork and a warm welcome to

greater efficiency and for that matter, security. A Dmat account a unique, capital-

market-investor-oriented

Benefits of the Demat account:-

No loss of share certificates. No delay in transfer of shares. No possibility of forgery on various document dealing to bad deliveries, legal

disputes.

No possibility of theft of share certificates. No prevalence of fake certificates in the markets No mutilation or loss of share certificates in transit. You can also receive your bonuses and rights into your depository account as a

direct credit, thus eliminating risk of loss in transit.

You can also expect a lower interest charge for loan taken against demat shares ascompared to interest for loan against physical shares .this could result in a saving of

about 0.25% to 1.5% some banks have already announced this .

RBI has increased the limit of loans against dematerialized securities as collateral tors.2 mn per borers as against Rs.1 mn per borers in case of loans against physical

securities.

RBI has also reduce the minimum margin to 25% for loans dematerialized securitiesas against 50% for loans against physical securities


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DEMAT SERVICES OF KARVY


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DEMATERIALISATION

Dematerialisation is a process in which you can convert physical share

certificates into electronic shares. Shares should have been transferred in your name

/ joint names before sending it for dematerialisation.

You have the option to hold shares either in the physical OR in the

dematerialized form. This is as per the Depositories Act, 1996.However, when you

buy shares you may receive delivery in the demat form as per the option of the

seller.

REMETRIALISATION:

It is the process by which a client can get his electronic holdings converted

into physical certificates. The client has to submit the rematerialisation request to the

DP with whom he has an account. The DP enters the request in its system which

blocks the clients holdings to that extent automatically. The Issuer / R& T agent

then prints the certificates, dispatches the same to the client and simultaneously

electronically confirms the acceptance of the request to NSDL. Thereafter, the clients

blocked balances are debited.

PLEDGE:

To deposit personal property as security for a personal loan of money. If the loan is

not repaid when due, the personal property pledged shall be forfeit to the lender. A

client (pledged) having a beneficiary account with a Depository Participant can

pledge securities in electronic form against loan / credit facilities extended by a

pledge, which too has a beneficiary account with a Depository Participant.


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HOW TO OPEN KARVY DEMAT ACCOUNT

Step 1.Account opening forms are available at all karvy centers fill up the account

opening form and submit the same with some formalities. If your shares are held in

joint names, the account should be opened in the same order of names.

Step 2. An account number will be allotted to you which have to be quoted in all

your future demat related correspondence with Karvy.

Step 3. Submit a dematerialization request form (DRF) for the conversion of the

shares certificates into electronic form.

Step 4. After the necessary verification has been done by the registrar/ company, an

appropriate entry is made into your demat account.

FORMALITIES THAT ARE REQUIRED TO BE COMPLETED TO OPEN A

ACCOUNT:-

To open a Depository Account, you have to submit the duly filled inAccount Opening form along with the following documents:

Residential Proof - Copy of Ration Card, Passport, Driving License, Telephone Bill,Electricity Bill or Rental Agreement

Photo Identity Proof - Copy of Driving License, Passport or Ration Card

Why to open a demat account with karvy?

Karvy is Indias premier financial institution. It was setup in1982 and today

has and first depository participants ,no.1 registrar and ISO 9002 company in India

.And also has many achievement with over 10 lakh investors having entrusted to

keep stock there. Moreover, you have the convenience of operating you demat

account from any of the karvy centers spreading across 46 cities in India

Online Demat service in karvy: -

Karvy provide facility to online demat services


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Karvys electronic Custodial Services are:

Convert your physical holding into electronic holding (which is called"dematerialisation" of securities)

Keep custody of your holdings in electronic form. Transfer the shares in the electronic form from one account to another. Facilitate pledge of your electronic securities. Give electronic credit of new share allotments such as public issues, bonus, rights

etc.

Convert your electronic holding into physical holding (which is called"rematerialisatoin of securities.

Buying and selling of shares by karvys Demat account:

After you open an account with karvy, you can buy and sell shares inelectronic form .in order to sell shares in the demat mode you need to provides your

depository with the number of shares sold by you.

When you share in the depository mode, you must, similarly provide the

depository with the details so that shares purchased will be credited to your account.

It is advisable to give a standing instruction at the time of account opening to

automatically receive the credit to your demat account.

The debit or credit to your account is affected immediately after the se

Benefit by selling demats shares:-

Brokers have no fear of bad delivery while selling demat shares. Due to this, they

offer lower brokerage to you.As bad deliveries are eliminated shares is not returned

due to objections, resulting in saving of costs and follow up.

Why should I buy shares in the demat form:-


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The single biggest reason over buying shares in the physical form is that demat

shares credited to your account within 2 to 3 days after the end of the settlement.

This is unlike the average 30 to 40 days taken in receiving back physical shares from

the R&T Agent and sometimes with objections.Further; possibility of loss or theft of

the certificates is eliminated. This is in addition to the 0.50% stamp duty savings,

which works out to Rs.50 for transfer of shares worth of Rs.1ttlement...

By demat account you can get following facilities:-

Transaction statement: you can view transaction in your account for a period of15 days. Various options are available in transaction statement when you want.

Status of request: you can also get status of your transactions by status orRequests.

Personal details: provides your various client related information like client name,client address, joint holders name, account type, bank account details for a give

client id.

Customer ledger: all your financial transactions pertaining to your demat accountlike Bills, Payments, waivers etc. are available in customer ledger.

How will I know that karvy has updated my account after each transaction?

Karvy will provide you a statement account periodically.

DRF

In order to get your shares converted from the physical to the electronic form, you

have to submit your certificates alongwith a request form asking for the conversion.

This request form is called a DRF or a Demat Request Form.


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DEPOSITORY SERVICE CHARGES FOR RESIDENTS RETAIL CUSTOMERSAND CORPORATE:

S no. Charge Head Standard

Charges

Frequent/

Sub-brokers

1. A/c opening. Rs. 100 Rs.100

2. Annual service charge. Rs.300 RS.1250

3. Custody Fee( an A/c with ISINs will

be assume to have one ISIN)

Rs.2.25 per ISINs

per quarter

RS.2.25 per

ISIN per quarter

4. Agreement stamp paper As per respective

state Act

As per

respective state

Act

5. Buy- Market and Off-market (%of

transaction value of each ISIN)-

maximum rs. 500/- for debt

instrument.

0.02 %( Min. Rs.

20)

Nil

Sellmarket and off market (%of

transaction value of each IsIN)-Max

Rs. 500 for debt instrument

..0.

04%( Min Rs.10 )

for each instruction

...0.0

2% (Min Rs. 5 )

for each

instruction

6. Rejection / fails. Rs. 20 Rs 10

7. Extra charges for processing of

TIFDs Submitted late (%of

transaction value )

* On the execution date (accepted

at clients risk )

Rs.10per IsIN / R. 10 per ISIN

8. For each request form. Rs. 35 Rs. 35

9. Extra for each certificate. Rs. 2 Rs.2

10. Dematerialization. Rs.20 Rs.20

11. Closure of account. Nil Nil

12. Pledge creation / closure/

confirmation/ invocation (%Of value

for each ISIN in each request).

o.o2 % ( Min

Rs.20)

0.02% (Min Rs.

20)

13. Addition account statement. Rs.20 Rs.20


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NSDL CHARGES ARE CHARGEABLE EXTRA AT ACTUAL .PRESENT NSDL CHARGES

ARE:

The value of shares and charges and calculated as per NSDL formula and rates. There will be a charge of Rs.100/-for dishonor of any cheque . The depository

services are liable to discontinuation if Karvy is unable to recover charges from the

customer, for any reason whatsoever. There will be a charge of Rs. 100/- resumption

of services in such cases.

Any service, which is not mentioned above, will be charge separately as per the ratesapplicable from time to time.

Karvy reserves the right to revise the tariff structure from time to time with a noticeof 30 days. The notice may be given by ordinary post or by an advertisement in a

national daily.

Sell-Market and Of - Market Rs. 8/-per debit instruction nil for commercial

paper and short term debt instruments.

Remat Rs. 10/-per certificate

Pledge Creation Rs.25/-per instruction

Custody Fee( on the basis of ISINs

in the account on the last Saturday

of each month)

Rs. 1/-per ISINs


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RESEARCH METHODOLOGY

The main objective of a research is to find out the truth which is hidden and which

has not been discovered. According to advance learners dictionary of current English

the definition of research is:-

A careful investigation or enquiry especially through search for new facts in any

branch of knowledge

1. Marketing research:-Marketing managers often commission formal marketing studies of specific problems

and opportunities. They may request a market survey, a product preference test, or

an advertising evaluation.

Marketing research is the function which links the consumers, customers and public

to the marketer though information- used to identified and define marketing

opportunities and problems, generate ad evaluate marketing actions :- monitor

marketing performance and improve understanding of marketing as a process.

Effective marketing research includes five steps, which should be kept in mind to

conduct a marketing research in a perfect manner.

a. Define the problem and research objective.b. Develop the research plan.c. Collect the information.d. Present the findings.

Types of research

The customer research was carried out in two phases:

a. An exploratory research was carried out to know what customer looks for in

financial company and whether customers are satisfied or not with there products


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b. the other was a diagnostic study to identify the factors responsible for

satisfactions or dissatisfaction of customer .

SOURCES OF DATA

The data needed data this study has been collected from two main sources :-

1. Primary sources.2. Secondary sources.

Primary data has been collected through wall structured Tele marketing,campaigning, direct interview method.

Secondary data has helped in collecting information regarding history of the

company, division of the company etc. of market position of other financial

companies

TOOLS USED

Whatever we design of research study it is necessary to collect

relevant data. theus it is useful to consider methods of collecting data and the quality

of information produced,

a. Questionnaires:- It is the basic methods of collecting data in marketing research .Questionnaires are the basis method of collecting data in marketing research.

Questionnaires are distinguished by the facts that asking question to people who

have the desired information collects data. When questioning researches collects

data ask questions. They keep track of the objects or actions in which they are

interested. Sometimes individual makes the observation on the other occasions

mechanical devices note and record the desired information.

In this study the data was collected by means of questioning since the method of

observation is also used for checking the awareness regarding the financial products.

The questionnaires were filled by using tested personal interviews.


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b. Contact methods:- to get information contacts is necessary it can be either bytelephone or by personal contacts. I prefer personal interview method to get the

necessary information from the people. The data was collected through personal

interview by asking the questions.

c. Telemarketing:- To get information I also use this method by calling them throughtelephone in their homes, offices, institutions etc. and made them aware from the

demate and the financial product.


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OBJECTIVES OF THE PROJECT

1. To know the opinion of the consumer regarding the demate and financial product.2. To know what consumer look for while denmating their shares.3. To know the satisfaction/dissatisfaction level of consumers towards the financial

companies.

4. To know the factors responsible for the satisfaction/dissatisfaction of the consumers5. To know the potential market of the karvy.

SIGNIFICANCE

This area demands maximum benefits at minimum cost. An investor as to

decide in this electronic trading environment where he is sake with his share holding

and where we can get best service at minimum cost. So my study is about whether

the consumer is satisfied with all these services that he is getting from different

depository participant in Morena and Gwalior

Consumer satisfaction can be defined as more that expected that is one get

more what he is expecting. So an investor finds himself satisfy when he get services

at there home and in the because share market is the moist volatile market.

LIMITATION

Due to short time I was not able cover all area. Not financially support given by the company. Due to lack of awareness and interest on the part of respondents created problem in

the collection.


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DATA COLLECTION:

I collect the data through questionnaire, which is fill up by the people of the Morena

and Gwl. City. the purpose of data collection is know the satisfaction of customer

towards the Demat services in Gwalior .The questionnaire is fill up the 75people.

In data collection I asked the some question about the satisfaction of customertoward the demat services.

DATA ANALYSIS

I have analyzed the data in following manner using following satisfaction and

dissatisfaction grounds:-

1. Choosing criteria.

2. Dissatisfaction ground.

3. Rating among companies.

4. No of a/c opened in Morena.

SAMPLING APROACH

There are basically two approaches to sampling:-

a. Probability Sampling.b. The sampling for the Customers Survey was selected by random sampling. Random

number was generated for selecting the sample. A sample size of 50 customers

survey.

c. Description of the coverage.


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I have covered the local area of Morena.


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CUSTOMER SATISFACTION

1. Name2. Gender3. Occupation4. Age

Yes No

60% 40%

B) Do you know about the demat account ?

Yes No

40% 60%

60%

40%

0%

10%

20%

30%

40%

50%

60%

70%

Yes No

Series1


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(C) Why do You invest in share market?

D) What do you think Demat account is safe?

Yes No Cant say

40% 20% 40%

40%

60%

0%

10%

20%

30%

40%

50%

60%

70%

yes No

Series1

90%

10%

00%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Profile For

General

Investment

Other (Tax

Savings)

Series1

Profile For generalinvestment

Other(taxsaving)

90% 10% ---


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D) Why you choose Karvy Demat service?

Good will Charges Service Safety

25% 30% 20% 25%

E) What type of Karvy Demat service?

40%

20%

40%

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

yes No can't say

Series1

25%

30%

20%

25%

0%

5%

10%

15%

20%

25%

30%

35%

good

will

Cha

rges

Servic

es

Safety

Series1


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Highly satisfy Satisfy Dissatisfy

60% 30% 10%

F) Reason for Dissatisfaction:-

Charge LessAwareness Lack ofTrading Recently

5% 20% 70% 5%

60%

30%

10%

0%

10%

20%

30%

40%

50%

60%

70%

highly

satisfy

satisfy Dissatisfy

Series1

5%

20%

70%

5%

0%

10%

20%

30%

40%

50%

60%

70%

80%

Charge

s

Less

awaren

ess

Lack

ofT

rading

Recently

Series1


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Comparative study of Demate Account investment (occupationalinvestment)

OCCUPATION INVESTMENMT

Service group 45%

Business group 40%

Other 15%


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Comparative study Demat account awareness*(Age group)

Age group Awareness

20-30 year 20%

30-40year 40%

More than 40 year 40%

FINDINGS

1. People are interested in share market by but they are not much aware about theshare market procedure.

2.

The money problem with share market a big problem3. Trading problem is also a big problem.4. Other group people like agricultural are not aware and interested in share market.

0%

5%

10%

15%

20%

25%30%

35%

40%

45%

20-30

year

30-

40year

More

than 40

year

Series1


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RECOMMENDATIONS

Thedetail study of the project idea to the following recommendation:-

1. The company should come up with some good strategies to create awareness amongpeople regarding the financially Demat.

2. The company as soon as possible should try to convert itself into a bank so thatmany people come in contract and joint with company.

3. They should try to provide some extra services to their customers.4. The company should concentrate more on after sales services.

CONCLUSION

Concerning my project title CONSUMER SATISFACTISFACTION REGARDING

DEMAT SERVICES IN MORENA the survey conducted by me as I found that the

consumer satisfactions the only way for the success of any organization in the

present time. And I came to the following conclusion which is as follows

1. Response was very good from the customer regarding financial product because inthis time every one wants more return on less investment and in case of demat they

want true time to open the demat ( like at the time of issues ).

2. Karvy gaining good response in the demat field by providing good services.3. I concluded by this that research that services and returns got more importance than

goodwill.

4. In the last six month it has opened the maximum number of Demat account at thetime of new public issues than any other companies.

5. I also conclude that many financial services at one place is the another reason of itspopularity .


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BIBLIOGRAPHY

Books:

1. Sharma D.D. Marketing Research, 3rd Edition, Publication Sultan Chand & SonPublication.

2. Kothari C.R. Research Mythology, 3rd Edition, New age Publication.3. Kotler Philip Marketing Management, millennium Edition, Prentice Hall inc.

Publication.

4. Kanuk & Shiftmen, Consumer Behaviour, 4th Edition, Tata Mc Graw Hill Publcation.Websites:-

www.karvy.com

www.nsdl.com

Magazines:

Business world.

News paper

Business line.
http://www.karvy.com/http://www.karvy.com/http://www.nsdl/http://www.nsdl/http://www.nsdl/http://www.karvy.com/

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