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PROJECT REPORT ON

SUBMITTED BY:SAUMYA TRIPATHI B.COM(HONS)

AMITY UNIVERSITY,LUCKNOW,UTTAR PRADESH

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Acknowledgement

I wish to thank various people for helping in this project report. I would like to thank kotak securities for giving me such a wonderful project throught which I got to learn many things. This project report taught me many this which I was not aware off. Last but not the least all my friends for helping me to make this project.

Saumya tripathi

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TABLE OF CONTENT

Cover page Acknowledgement Introduction of kotak group Introduction of kotak securities Accolades Our offering SWOT Analysis Marketing mix (4 p) Competitors Analysis Introduction of the concern department Hierarchy Description of various duty/responsibility Description of working Scope and Objective Requirement of online trading Competitive Analysis Competitor Strategy Conclusion Bibliography

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INTRODUCTION OF KOTAK

Kotak Mahindra Group

Kotak Mahindra is one of India's leading financial organizations, offering a wide range of financial services that encompass every sphere of life. From commercial banking, to stock broking, to mutual funds, to life insurance, to investment banking, the group caters to the diverse financial needs of individuals and corporates. This company was promoted by Uday Kotak, Sidney A. Pinto and Kotak & Company. The group has a net worth of over Rs. 7,500 crore and has a distribution network of branches, franchisees, representative offices and satellite offices across cities and towns in India and Offices in New York, London, San Francisco, Dubai, Mauritius and Singapore. The Groupservices around 6.7 million customer accounts. Key group companies and their businesses Kotak Mahindra Bank Industrialists Harish Mahindra and Anand Mahindra took a stake in year 1986 and thats why the company changed its name to Kotak Mahindra Finance Limited. The Kotak Mahindra Group's flagship company, Kotak Mahindra Finance Ltd which was established in 1985, was converted into a bank- Kotak Mahindra Bank Ltd in March 2003 becoming the first Indian company to convert into a Bank. Its banking operations offer a central platform for customer relationships across the group's various businesses. The bank has presence in Commercial Vehicles, Retail Finance, Corporate Banking, Treasury and Housing Finance. Kotak Mahindra Capital Company (KMCC) is India's premier Investment Bank. KMCC's core business areas include Equity Issuances, Mergers & Acquisitions, Structured Finance and Advisory Services. Kotak Securities Ltd. is one of India's largest brokerage and securities distribution houses. Over the years, Kotak Securities has been one of the leading investment broking houses catering to the needs of both institutional and non-institutional investor categories with presence all over the country through franchisees and coordinators. Kotak Securities Ltd. offers online and offline services based on well-researched expertise and financial products to non-institutional investors. Kotak Mahindra Prime Limited (KMP) (formerly known as Kotak Mahindra Primus Limited) has been formed with the objective of financing the retail and wholesale trade of passenger and multi utility vehicles in India. KMP offers customers retail finance for both new as well as used cars and wholesale finance to dealers in the automobile trade. KMP continues to be among the leading car finance companies in India. Kotak Mahindra Asset Management Company (KMAMC), a subsidiary of Kotak Mahindra Bank, is the asset manager for Kotak Mahindra Mutual Fund (KMMF). KMMF manages funds in excess of Rs 30,000 crore and offers schemes catering to investors with varying risk-return profiles. It was the first fund house in the country to launch a dedicated gilt scheme investing only in government securities.

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Kotak Mahindra Life Insurance Limited is a joint venture between Kotak Mahindra Bank Ltd. and Old Mutual plc. Kotak Life Insurance helps customers to take important financial decisions at every stage in life by offering them a wide range of innovative life insurance products, to make them financially independent. Kotak's International Business With a presence outside India since 1994, the international subsidiaries of Kotak Mahindra Bank Ltd. operating through offices in London, New York, Dubai, San Francisco, Singapore and Mauritius specialize in providing asset management services to specialist overseas investors seeking to invest into India. The offerings are differentiated India investment solutions that span all major asset classes including listed equity, private equity and real estate. The subsidiaries also lead manage and underwrite international issuances of securities. With its commendable track record, large presence on the ground and a team of dedicated staff in India, Kotaks international arm is suitably positioned for managing assets in the Indian Capital markets.

Board of Directors &

Dr. Shankar Acharya, Non-Executive Part-time Chairman Mr. Uday Kotak, Executive Vice-Chairman and Managing Director Mr. Anand Mahindra Mr. Cyril Shroff Mr. Shivaji Dam Mr. C. Jayaram, Executive Director Mr. Dipak Gupta, Executive Director Mr. Asim Ghosh Dr. Sudipto Mundle

GROUP MANAGEMENT
Mr. Uday Kotak Executive Vice Chairman & Managing Director Mr. C. Jayaram Mr. Dipak Gupta

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The journey so far

Kotak securities ltd .

Kotak Securities Limited, a subsidiary of Kotak Mahindra Bank, is the stock broking and distribution arm of the Kotak Mahindra Group. The company was set up in 1994. Kotak Securities is a corporate member of both The Bombay Stock Exchange and The National Stock Exchange of India Limited. Its operations include stock broking and distribution of various financial products - including private and secondary placement of debt and equity and mutual funds. Currently, Kotak Securities is one of the largest broking houses in India with wide geographical reach. The company has four main areas of business: (1) Institutional Equities, (2)Retail (equities and other financial products), (3) Portfolio Management and (4) Depository Services.

Institutional Business This division primarily covers secondary market broking. It caters to the needs of foreign and Indian institutional investors in Indian equities (both local shares and GDRs). The division also incorporates

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a comprehensive research cell with sectoral analysts who cover all the major areas of the Indian economy. Client Money Management This division provides professional portfolio management services to high net-worth individuals and corporate. Its expertise in research and stock broking gives the company the right perspective from which to provide its clients with investment advisory services. Retail distribution of financial products Kotak Securities has a comprehensive retail distribution network, comprising 870 offices (own and franchisees) across 309 cities and towns, servicing 590,000 customers. This network is used for the distribution and placement of a range of financial products that includes company fixed deposits, mutual funds, Initial Public Offerings, secondary debt and equity and small savings schemes. Depository Services Kotak Securities is a depository participant with the National Securities Depository Limited and Central Depository Services (India) Limited for trading and settlement of dematerialized shares. Since it is also in the broking business, investors who use its depository services get a dual benefit. They are able to use its brokerage services to execute transactions and its depository services to settle these. Kotak Securities' width, volume and quality of offerings regularly earn it accolades from industry monitors. Kotak Institutional Equities Kotak Institutional Equities, among the top institutional brokers in India. It mainly covers secondary market broking and the marketing of equity offerings, including IPOs, to domestic and foreign institutional investors. Its full-fledged research division comprises 26 analysts engaged in macro-economic studies, industry-and company-specific equity research. Kotak Institutional Equities has full financial service capability, which includes derivatives, facilitating market access through affiliates and the distinctive offering of corporate access to investors. The division services over 250 clients including FIIs, domestic institutions and mutual funds. The division has sales desks in Mumbai, London and New York, with the India desk also servicing clients in Hong Kong, Singapore, Japan and Australia. In Kotak Securities, We see investing from your perspective, and make recommendations based on your needs. One of our important goals is to simplify investing for you; along with this we also provide long term values to our customers.

We have a million reasons why people choose kotak securities: Stability Innovators in the Industry Reliability Value Service Robust Technology Centralized Risk Management System Exceptional Research

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Large Presence We are also a depository participant with National Securities Depository Limited (NSDL) and Central Depository Services Limited (CDSL), providing dual benefit services wherein the investors can avail our brokerage services for executing the transactions and the depository services for settling them. We process more than 400000 trades a day which is much higher even than some of the renowned international brokers. We are present in 331 cities with 843 offices all over the country. Our employee strength extends beyond 2750. Kotak Securities Limited has Rs. 2599 crore of Assets under Management (AUM) as of 30 th June, 2009. The portfolio Management Service provides top class service, catering to the high end of the market. Portfolio Management from Kotak Securities comes as an answer to those who would like to grow exponentially on the crest of the stock market, with the backing of an expert.

Our Accolades include:

UTI MF CNBC TV18 Financial Advisor Awards - Best Performing Equity Broker (National) for the year 2009 Finance Asia Award (2009)-Best Brokerage Firm In India Best Brokerage Firm in India by Asia money in 2008, 2007 & 2006 Best Performing Equity Broker in India CNBC Financial Advisor Awards 2008 Avaya Customer Responsiveness Awards (2007 & 2006) in Financial Services Sector The Leading Equity House in India in Thomson Extel Surveys Awards for the year 2007 Euro money Award (2007 & 2006) - Best Provider of Portfolio Management: Equities Euro money Award (2005)-Best Equities House In India Finance Asia Award (2005)-Best Broker In India Finance Asia Award (2004)- India's best Equity House Prime Ranking Award (2003-04)- Largest Distributor of IPO's

Kotak securities have been the first in providing many products and services which have now become industry standards. Some of them are: Facility of Margin Finance to the customers Investing in IPOs and Mutual Funds on the phone SMS alerts before execution of depository transactions Mobile application to track portfolios Auto Invest - A systematic investing plan in Equities and Mutual funds Provision of margin against securities automatically against shares in your Demat Account

OFFERS OF KOTAK SECURITIES :

Once you invest with Kotak Securities, you can enjoy access to a wide range of products and services to help you make the most of your investments.

Easy Equity & Derivatives

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Investing in equity & derivatives was never so easy. As the Best broker in India* our products and services are focused at making investments in equity & derivatives. Research: "What do I Buy?" Isn't this a common question we all have while investing inequity & derivatives? SMS Alerts: You can get expert tips and recommendations as SMS on your mobile phone so that you know what to invest in at all times. Competitive Brokerages: We bring you brokerage rates which are among the most competitive in the industry. Our low brokerage rates let you concentrate on investing your savings without worrying about the cost of investment. Call and Trade: You can capitalize on market opportunities even when your computer is inaccessible. Call & Trade essentially provides you the convenience of trading in equity & derivatives by making a simple phone call. M-Trade: It is exclusively designed to give you instant access to the stock market through your mobile phone, thereby allowing you to catch every little market movement when you are on the move.

Easy Derivatives Trading

If you are not averse of taking risks, Derivatives - A financial contract between two or more parties and it is derived from the future value of an underlying asset. can prove to be a good investment option especially with our research.

Easy IPO
Investing in IPOs IPO is an abbreviation for an initial public offering. An IPO (also known as floatation) is the process by which a company goes public i.e. offers its shares to the public for sale for the first time. is not complex anymore, Kotak Securities has made investing in IPOs very simple. We also provide with you with information on IPO News , Forthcoming IPOs and a lots more.

Easy Portfolio Management

Investing in equities requires time, knowledge and constant monitoring of the market. For those who need an expert to help to manage their investments, portfolio management services (PMS) comes as an answer. Given the unpredictable nature of the market it requires solid experience and strong research to make the right decision. In the end to make the right move in the right direction at the right time. About Kotak Securities Portfolio Management. Kotak Securities is one of Indias oldest portfolio management companies with over a decade of experience. It is also one of the largest, with Assets Under Management of over Rs. 3300 Crores. At the very base of a financially sound portfolio lies the identification of ones investment objective. We help you identify your investment objectives and also outline important requirements like liquidity, capital appreciation, current income, time span and fiscal implications and then suggest an appropriate scheme.

Benefit

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An Investment Relationship Manager will ensure that you receive all the services related to your investment needs A dedicated website and a customer services desk allows you to keep a tab on your portfolios performance is tailored after a thorough research backed by the expertise from Research team An experienced team of portfolio managers ensure your portfolio is tracked, monitored and optimized at all times The personalized services also translates into zero paper work and all your financial statements will be e-mailed

SWOT Analysis

STRENGTH:
Kotak Securities Research Centre- the special research cell where some of India's finest financial analysts bring you intensive research reports on how the stock market is faring, when is the right time to invest, when to execute your order and more.. Trade in D.P.: Unlike other securities in kotak all trade activities of trade are done in there own D.P. .No transactions are done in pool a/c. Transparency is guaranteed or assured, there are no hidden charges in kotak securities. 0 balance bank account while on opening a Dmat a/c you get facility to open an bank a/c in kotak Mahindra bank which can be maintained on 0 zero balance, along with you get ATM card and credit card + other facility by depositing initial amount 0f rs. 5000/- which can be withdrawn later. You can open your trading, Demat and Bank account with a single entity. This reduces your need for maintaining separate accounts with different entities. Easy loan & early payments: If there are share present in your D.P., you can get loan against that share and equities from kotak Mahindra bank, with in an day or two. According to SEBI, all shares and securities are transferred to and from D.P. in T+2 days, but in kotak you can get that payment with in a day with help of kotak bank. Pay-in & pay-out: - There are only pay-out charges prevailed in kotak, no pay-in charges are entrained like other securities. You do not have to transfer margin money to and from your accounts. Your margin money is automatically reflected in your accounts. Transactions are seamless and you do not lose time in unnecessary transactions.

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Provides off-line and on-line account. Through its web portal company provides a single platform for investments in equities, Mutual Funds and currency derivatives. Available margin can be used for any of the three segments. Saxos global trading platform provided by the company allows direct access to equities, ETF's and REITS spanning 24 stock exchanges across the USA, Europe, Asia and Australia. Kotak also provides a Call & Trade facility to its customers wherein they can place and track their orders through phone when they are away from home. Kotak Securities provide daily SMS alerts, market pointers, periodical research reports, stock recommendations etc. Kotak provides exclusive online tool to monitor what is happening in the market and also investor can view gains/losses in real-time. Customer support chat helps customers to resolve issues faster.

WEAKNESS:
Lack of awareness among the people is the biggest limitation found in this sector. Most of the people is not aware about the, importance and the necessity of the investment in their life. They are not aware how useful investment can be for their family member in time of crises. Increased competition Today the competition in the stock market sector has became very stiff. Currently there are more than 14 stock broking companies working in India. Today each and every company is trying to increase their relationship manager and sales executive so that they can increase their reach in the market. This situation has created a scenario in which to sell became very difficult.

OPPORTUNITY:
Increasing interest people are getting attracted towards the share market due to its high returns more than any other form of investment like in bank, mutual fund, insurance plans etc.

THREAT:
Threat of stability of the system: failure of some weak research has often threatened the stability of the system. Rise in inflation figures which would lead to decrease in interest of person in particular segment. Increase in the number of foreign players would pose a threat to the private players. Perception of the people towards share market sector People do not get benefit of tax saving just as a insurance sector. So today also there is always a rush to buy an Insurance Policy only at the end of the financial year like January, February and March where as people avoid to open an DP a/c in this months.

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Marketing mix
Various product and services: Auto Invest
Presenting Auto Invest - an Online Trading Account based on Systematic Investment Planning, in Gold ETFs Gold ETFs are open-ended mutual fund schemes that will invest the money collected from investors in standard gold bullion. These are passively managed funds and are designed to provide returns that would closely track the returns from physical gold in the spot market (Exchange Traded Funds), Equities and Mutual Funds. Assistance in investments, coupled with Systematic Investing, truly makes this product a very good option for investors. AutoInvest provides a combination of Gold ETFs, Stocks and Mutual Funds recommended by our Advisors, depending on an investor's risk appetite and investment view. AutoInvest is unique from a general SIP in a way that it assesses the risk profile and investment objectives of the investor, an important practice that Mutual Funds fail to carry. We offer 4 distinct Investment Portfolios based on your risk taking ability. Benefits of Auto Invest SIP Styled Investments Diversified investment with compounding effect. Example Option to Invest In Gold ETFs Option to purchase Gold Bars/Coins at the time of redemption of Gold ETFs Wide Array of Portfolio Selections The Investor holds his stocks in a Demat Account unlike Mutual Funds Investment amount starts as low as Rs. 5000 How Do You Get Gold Bars/Coins On sale of Gold ETFs through us, you will be given a 2-3% discount coupon which you can take to any Kotak Mahindra Bank branch if you wish to purchase gold. The discount coupon will be given to you for the trades executed during the day. Investing in Gold ETFs give you all the advantages of investing in gold while eliminating drawbacks of physical gold -- cost of storage, liquidity and purity. Gold ETFs allow investment in gold in small denominations, which makes it easy on the wallet . Investing in GOLD ETFs gives investors tax advantages over investing in physical gold. Gold ETFs are transparent investment vehicles that will have to conform to rigid regulations on investment norms and valuations. This assures the quality of gold that the fund will invest in and transparency in calculation of NAVs

Kotak Gateway Account

As Investor, you will have access to all the research and trading facilities to execute your trades. You can decide what to buy, when to buy etc. either based on your own research or use Kotak Securities research. Kotak Securities Gateway Account, an Online Trading Account opens the gateway to a world of investing opportunities for you. You may be anywhere, anytime and still manage to place your trades using the Internet or our Call and Trade Facility.

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Your benefits: Kotak Securities Knowledge Center, which helps you learn more about stock markets and investments. Enjoy higher returns by investing early - through Easy IPO. Our Research Reports on the economy, select industries and companies help you make informed investment decisions while dealing in Easy Equity. Research advice via SMS alerts, you don't miss out on important buying and selling opportunities. Buy and sell stocks on phone using Call & Trade. Access to 14 top-performing mutual funds through Easy Mutual Fund. Low brokerage rates. Exposure of upto 12 times your initial margin on select stocks with Super Multiple Now, you can trade Currency Derivatives as well through your kotak gateway account Charges: You can activate Kotak Securities Gateway with any amount between Rs 20,000 to 5,00,000/- as margin. This can be in form of cash deposit or the value of the shares you buy. BROKERAGE STRUCTURE Delivery < 1lakh 0.59% Gateway A/C 1 - 5 lakh 0.55% 5 - 10 lakh 0.45% 10 - 20 lakh 0.36% 20 - 60 lakh 0.27% 60 lakh - 2 crore 0.23% > 2 crore 0.1 8% Privilege A/C Intraday brokerages < 25 lakhs 0.06% both sides Gateway A/C 25 lakhs - 2 crores 0.05% both sides 2 crores - 5 crores 0.04% both sides > 5 crores 0.03% both sides Privilege A/C Futures Intraday brokerages Settlement < 2 crores 0.07% both sides 0.09% both sides Gateway A/C 2 - 5.5 crores 0.045% both sides 0.073% both sides 5.5 - 10 crores 0.036% both sides 0.046% both sides 10 - 25 crores 0.027% both sides 0.046% both sides Privilege A/C > 25 crores 0. 23% both sides 0.032% both sides Options Monthly Premium Volume Intraday Brokerage% Settlement Brokerage% Minimum Brokerage Per Lot (Intraday) Minimum Brokerage Per Lot (Settlement) Upto 4Lacs 2.5 2.5 100 100 Gateway 4Lacs-11Lacs 2.25 2.5 100 100 11Lacs-20Lacs 1.8 2.3 100 100 20Lacs-50Lacs 1.35 2.3 80 100 Privilege > 50Lacs 1.15 1.6 70 100 Here Premium Volume is considered as (Premium x Lot Size x No. of Lots). As per this new structure you will be charged either a fixed minimum brokerage per lot or the new brokerage ratebased on the

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monthly premium value slabs you achieve, whichever is higher. Even if a client starts with a Gateway/ value account, it is possible that he may avail brokerages as low as 0.18%in the cash delivery segment (and 0.03% in the intraday cash square up segment) depending on his trading volumes. The minimum brokerage that is applicable in Kotak Gateway Account is 4 paise on delivery and 4 paise in the cash segment.

Kotak Privilege Circle Account

Understanding your individual investing needs, at Kotak Securities make sure you get to enjoy premium and top of the line trading services only with Kotak Securities Privilege Circle. It is an internet based trading account.Executing your trades Independently with the Kotak Privileged Account gets you the lowest charges in the industry as well as privileged services that only a few enjoy. Your benefits A dedicated Privilege Circle customer service desk offers you assistance in opening accounts, handling day-to-day problems, and more. Independent market expertise and support through a dedicated relationship manager. Place orders phone through Call & Trade. Access to Easy IPO and 14 top-performing mutual funds through Easy Mutual Funds. Our Research Reports on the economy, select industries and companies. Research advice via Kotak Securities SMS alerts, so you don't miss out on important market movements.

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6 times exposure on the margin. Access to K.E.A.T Premium - an exclusive premium analysis tool with 52 Indicators for Technical Analysis, Derivative Chains, Multiple Watch lists, and more. Margin finance at attractive rates. Lowest delayed payment interest. Exposure of upto 12 times your initial margin on select stocks with Super Multiple

Charges
You can activate Kotak Securities Privilege Circle with any amount more than Rs. 10,00,000/- as margin, by way of cash or stock. Kotaksecurities.com offers you one of the most competitive brokerage rates in the market. As a Privilege Client, you can avail one of brokerages as low as 0.18% in the cash delivery segment and 0.03% in the intraday segment. Detailed below is the brokerage charge on various account types. BROKERAGE STRUCTURE Delivery < 1lakh 0.59% Gateway A/C 1 - 5 lakh 0.55% 5 - 10 lakh 0.45% 10 - 20 lakh 0.36% 20 - 60 lakh 0.27% 60 lakh - 2 crore 0.23% > 2 crore 0.18% Privilege A/C Intraday brokerages < 25 lakhs 0.06% both sides Gateway A/C 25 lakhs - 2 crores 0.05% both sides 2 crores - 5 crores 0.04% both sides > 5 crores 0.03% both sides Privilege A/C Futures Intraday brokerages Settlement < 2 crores 0.07% both sides 0.09% both sides Gateway A/C 2 - 5.5 crores 0.045% both sides 0.073% both sides 5.5 - 10 crores 0.036% both sides 0.046% both sides 10 - 25 crores 0.027% both sides 0.046% both sides Privilege A/C > 25 crores 0 .023% both sides 0.032% both sides Options Monthly Premium Volume Intraday Brokerage% Settlement Brokerage% Minimum Brokerage Per Lot (Intraday) Minimum Brokerage Per Lot (Settlement) Upto 4Lacs 2.5 2.5 100 100 Gateway 4Lacs-11Lacs 2.25 2.5 100 100 11Lacs-20Lacs 1.8 2.3 100 100 20Lacs-50Lacs 1.35 2.3 80 100 Privilege > 50Lacs 1.15 1.6 70 100 The minimum brokerage that is applicable in Kotak Privilege Circle Account on delivery is 4 paise and 3 paise in the cash segment Even if a client starts with a Gateway/ value account, it is possible that he may avail brokerages as low as 0.18%in the cash delivery segment (and 0.03% in the intraday cash square up segment) depending on his trading volumes. The minimum brokerage that is applicable in Kotak Gateway Account is 4 paise on delivery and 4 paise in the cash segment.

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Additional charges (for both) Service Tax of 10.30% of brokerage will be charged in addition. Securities Transaction Tax (STT) @ 0.125% of turnover will be charged in addition to the brokerage on all delivery trades STT @ 0.025% of turnover will be charged in addition to the brokerage on sell leg of all non delivery trades in the cash market STT @ 0.017% of turnover will be charged in addition to the brokerage on sell leg of all non delivery trades in the derivative market

Special a/c for NRI

Procedures & Documentation You can get started with the account once the following formalities are completed: 1. NRI- Trinity Account - A combination of Banking , Demat and Trading accounts, these will be provided to you by Kotak Securities, so that your online trading experience is seamless and effortless. 2. Request Letter for PINS permission Note: We will open your PINS account and Savings account with Kotak Mahindra Bank Limited. Brokerage for NRI Basic Account A/c Opening Charges Average Quarterly Maintenance in Saving A/c Rs. 3250/- Rs. 10,000/Brokerage - 1 % of the turnover or INR 0.10 (10 paisa) per share, which ever is higher. > Above Rates are inclusive of Pins Charges > Demat Charges Extra > 10.30% Service Charges on Brokerage > Transaction Tax (STT) of 0.125%

Trinity Account
A 3 in 1 account is an account for internet based trading that integrates your Trading, Bank and Demat account. With a Trinity Account your transactions will be seamless and very convenient. Advantages of a 3 in 1 account You can open your trading, Demat and Bank account with a single entity. This reduces your need for maintaining separate accounts with different entities. You do not have to transfer margin money to and from your accounts. Your margin money is automatically reflected in your accounts. Transactions are seamless and you do not lose time in unnecessary transactions.

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KEAT
If you are a first time-investor, use this free online tool to monitor what is happening in the market and also view your gains and losses in real-time. KEAT Pro KEAT Pro, a free, easy-to-use integrated web based trading platform allows online trading customers to trade in Equity, Derivatives and Currency Derivatives. KEAT Pro is a high speed trading platform allows you to monitor the market real time. You can check live market rates of scrips /contracts in NSE , BSE & NSE Currency, create multiple watch lists and simultaneously place orders, view order reports, view positions etc. KEAT Premium KEAT Premium is an exclusive online tool that makes extensive use of detailed technical charts to help you monitor what is happening in the market. It also enables you to view your gains and losses in real-time.

Twin Advantages
This facility is for online trading customers, with Twin Advantage, all online customers not only get exposure on their margin as cash, but they will also benefit by obtaining margin on the stocks they have in their demat account. Twin Advantage offers the following advantages: With a margin of Rs. 50000 and Stock of 100000

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Earlier Margin Cash Rs. 50000 Stock 100000 Total Rs. 150000

Exposure = 4 times Rs. 200000 0 Rs. 200000

With Twin Advantage, You can now also take a 75% margin against your stock amount plus 4 times the exposure against it. Earlier Margin Exposure = 4 times Cash Rs. 50000 Rs. 200000 Stock 75000 Rs. 300000 (75% margin given against 1 Lac stock) Total Rs. 150000 Rs. 500000

Get additional exposure on your stocks You can now get up to 75% margin against the stocks in the Twin Advantage. Based on our valuation of particular scripts, we will constantly be revising the multiples offered on the scripts on a timely basis taking into consideration many factors.

Kotak Securities Research Centre

The Kotak Securities Research Centre - the special research cell where some of India's finest financial analysts bring you intensive research reports on how the stock market is faring, when is the right time to invest, when to execute your order and more. Depending on what kind of investor you are, we bring you fundamental, technical research. As an investor with Kotak Securities, you get access to these research reports exclusively. You get access to the following reports. Intraday calls, Daily Technical View, Morning Insight, Weekly Technical Report, Sectoral Reports, Stock Ideas, Derivative Reports, Portfolio Advice, Research For Investors, Regular research reports, Ideal for investors, Macro economic research, Industry or sector research ,Company research

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Competitors Analysis

ICICI DIRECT
ICICI Direct (or ICICIDirect.com) is stock trading company of ICICI Bank. Along with stock trading and trading in derivatives , it also provides facility to invest in IPOs, Mutual Funds and Bonds. ICICIDirect.com website is the primary tool in investing in any product. Trade In: BSE and NSE Type of Account ICICI Direct offers 3 different online trading platforms to its customers: Share Trading Account Share Trading Account by ICICIDirect is primarily for buying and selling of stocks.. This account allows Cash Trading, Margin Trading, Trading, Spot Trading, Buy Today Sell Tomorrow and Call and Trade on phone. They also provide installable application terminal based application for high volume trader. Wise Investment Account Along with stock trading and IPO investing in BSE and NSE, Wise Investment account also provide options to invest in Mutual Funds and Bonds online. Online Mutual funds investment allows investor to invest on-line in around 19 Mutual Fund companies. ICICI Direct offers various options while investing in Mutual Funds like Purchase Mutual Fund, Redemption and switch between different schemes, Systematic Investment plans, Systematic withdrawal plan and transferring existing Mutual Funds in to electronic mode. This account also provides facility to invest in Government of India Bonds and ICICI Bank Tax SavingBonds. ICICIDirect.com website is the primary tool to invest in Mutual Funds, IPOs, Bonds and stock trading. Active Trader Account Active Trader account gives more personalized investment options to the investors. It allows investor to use online and offline stock trading. It also provides with independent market expertise and support through a dedicated Relationship Manager from ICICI. Brokerage and fees Account opening fees: Rs 750/- (One time non-refundable) Brokerage: ICICIDirect.com brokerage varies on volume of trade and inclusive of demats transaction charges, service taxes and courier charges for contract notes. It ranges from 0.1% to 0.15% for margin trades, 0.2% to 0.425% for squared off trades and 0.4% to 0.85% on delivery based trades. For Online Stock Trading with ICICI, investor needs to open 3 accounts ICICI Bank Account, ICICI Direct Trading Account and ICICI Demat Account (DP Account). Advantages of ICICI Direct 1. 3-in-1 account integrates your banking, broking and demat accounts. All account from ICICI and very well integrated. This feature makes ICICI the most interesting. player in online trading facility. There is absolutely no manual interfere require. This is truly online trading environment. 2. Unlike most of the online trading companies in India which require transferring money to the broker's pool or towards deposits, at ICICIDirect you can manage your own demat and bank

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accounts through ICICIdirect.com. Money from selling stock is available in ICICI bank account as soon as the ICICIDirect receive it. 3. Investment online in IPOs, Mutual Funds, GOI Bonds, and Postal Savings Schemes all from one website. General Insurance is also available from ICICI Lombard. 4. Trading is available in both BSE and NSE. Disadvantages of ICICI Direct 1. Getting access to ICICIDirect.com website during market session can be frustrating. 2. ICICI Direct brokerage is high and not negotiable. 3. Not all stocks are available under Margin Plus.

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INDIABULLS
Indiabulls is India's leading Financial Services and Real Estate Company having presence over 414 locations in more than 124 cities. Indiabulls Financial Services Ltd is listed on the National Stock Exchange, Bombay Stock Exchange, Luxembourg Stock Exchange and London Stock Exchange.

Type of Account
Indiabulls Equity Trading Account Indiabulls Equity Trading Account is standard Online trading account from India bulls and along with online trading it also provides priority telephone access that gives you direct access to your Relationship Manager and full access to 'Indiabulls Equity Analysis' Application Trading Terminal Power Indiabulls Power Indiabulls trading terminal is the most advanced new generation trading platform with great speed. This trading terminal is built in JAVA. Power Indiabulls is extremely reach in features including Live Streaming Quotes, Fast Order Entry and execution, Tic by Tic Live Charts, Technical Analysis, Live News and Alerts, Extensive Reports for Real-time Accounting. Account opening fees : Rs 1200/- (One time non-refundable) as below: 250/- Equity Trading Account opening charge 200/- Demat Account opening charge 750/- Software changes Advantages of Indiabulls Equity Trading Account 1. Brokerage is less compare to other online trading companies. 2. Provide trading terminal 'power bulls', a java based software. It's very fast in terms of speed and execution.

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HDFC SECURITIES
HDFC Securities (HDFCsec) is Equity Trading Company of HDFC Bank. HDFC Securities provide both online trading and trading on phone. The HDFC Securities trading account has a unique 3-in-1 feature that integrates your HDFC Securities trading account with your existing HDFC bank savings account and existing Demat account. Funds / shares are seamlessly moved from the linked Demat/Bank account to execute the transactions. HDFCsec provides Cash-n-Carry on both NSE and BSE, Day trading on both NSE and BSE, Trade on Futures & Options on the NSE and Online IPO Investment. Features on HDFC Securities online trading 1. Seamless Transactions - By integrating your accounts, we ensure minimal waste of time during movement of your funds and shares. 2. Speed - Orders are placed electronically, so proceeds are available instantly. 3. No manipulation - To prevent any mismanagement, we will send you an email confirmation, the minute your order is executed. 4. Safety and Security - HDFC Securities offer the highest level of security such as 128-bit encryption technology. 5. Dedicated and Separate contact numbers - for trading over the phone as well as for customer care. Account opening fees Rs. 799/- (Including trading account, bank account and DP account with HDFC) Please note: HDFC Bank savings account required a quarterly minimum balance of Rs. 2,500/-.

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5PAISA
5paisa is Online Stock Trading Company of India Infoline Securities Private Ltd., Owner of popular business portal Indiainfoline.com. Besides high quality investment advice from an experienced research team, the site offers real time stock quotes, market news and multiple tools for technical analysis. Trade In: BSE and NSE Trading Terminals: 5Paisa offers 2 different online trading terminals to its customers: Investor Terminal (IT) Investor Terminal is 5Paisa's equity trading terminal for low volume trader. This is web based terminal and could access from anywhere. This product provides limited features in comparison of Trader Terminal, which is another product provided by 5Paisa. Trader Terminal (TT) Trader Terminal is design for high volume equity traders or day traders. Trader Terminal provides high volume trading with powerful interface and fast order execution. Few popular features of trader terminal are: o Fast trade execution with instant trade confirmation. o Live streaming quotes and price watch on any number of stocks. o Intra day charts, updated live, tick-by-tick o Live margin, position, marked to market profit & loss report o Set any number of price alerts on any number of scrips. o Flexibility to customize screen layout and setting. o Facility to customize any number of portfolios & watch lists. o Facility to cancel all pending orders at one click. o Facility to square off all transactions at one click. O Top Gainers, Top Losers, Most Active, updated live. o Index information; index chart, index stock information live. o Market depth, i.e. Best 5 bids and offers, updated live for all stocks. o Online access to both accounts and DP to check live updated Ordand Trade Book. o Facility to place after market orders. o Online fund transfer facility from leading Banks including ICICI, HDFC, CITI and UTI. o Online intra-day technical calls. o Historical charts and technical analysis tools. Brokerage and Account opening fees: 1. Account opening fees: Rs 500/- one time non refundable. 2. 5 paisa offer competitive rates. They charge only 5 paisa for Rs 100 of trade done, which is 0.05%. brokerage. In case of trade that result in delivery, they charge an additional 0.20% for back office and securities handling. Advantages of 5paisa 1. Very fast execution speed. 2. Rates are very competitive then other providers. 3. Easy online fund transfer facility from leading Banks including ICICI, HDFC, CITI and UTI banks. 4. Free facility of subscribing to mutual funds, equity IPOs and other investment products. Disadvantages of 5paisa

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1. No intra-day tick by tick charts in Investor Terminal (IT). 2. Investing in IPO and Mutual Funds is not so easy like in ICICI Direct. 3. Learning 5paisa Trading Terminal is little hard. IPO / Mutual Funds investment through 5Paisa (India Info Line) 1. 5Paisa provides free facility of subscribing to mutual funds, equity IPOs and other Investment products using internet banking account of ICICI, HDFC, CITI and UTI banks. 2. While applying for IPO shares online through 5Paisa, Investor are taken to there Corresponding banks homepage. Investors can use there net banking user id & password & transfer funds directly using any of these banks. 3.5Paisa members can use the similar steps to invest in Mutual Funds IPO

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SHAREKHAN
Sharekhan is online stock trading company of SSKI Group, provider of India-based investment banking and corporate finance service. ShareKhan is one of the largest stock broking houses in the country. S.S. Kantilal Ishwarlal Securities Limited (SSKI) has been among Indias leading broking houses for more than a century. Sharekhan's equity related services include trade execution on BSE, NSE, Derivatives, Commodities, depository services, online trading and investment advice. Trading is available in BSE and NSE. Along with Sharekhan.com website, ShareKhan has around 510 offices (share shops) in 170 cities around the country. Share khan has one of the best state of art web portal providing fundamental and statistical information across equity, mutual funds and IPOs. You can surf across 5,500 companies for indepth information, details about more than 1,500 mutual fund schemes and IPO data.
Trade In: BSE and NSE

Type of Account ShareKhan Classic account Allow investor to buy and sell stocks online along with the following features like multiple watch lists, Integrated Banking, demat and digital contracts, Real-time portfolio tracking withprice alerts and Instant credit & transfer. a. Online trading account for investing in Equities and Derivatives b. Free trading through Phone (Dial-n-Trade) I. Automatic funds tranfer with phone banking (for Citibank and HDFC bank customers) II. Simple and Secure Interactive Voice Response based system for authentication III. get the trusted, professional advice of our telebrokers IV. After hours order placement facility between 8.00 am and 9.30 am c. Integration of: Online trading + Bank + Demat account d. Instant cash transfer facility against purchase & sale of shares e. IPO investments f. Instant order and trade confirmations by e-mail g. Single screen interface for cash and derivatives. ShareKhan Speed Trade account This accounts for active traders who trade frequently during the day's trading session. Following are few popular features of Speed Trade account. a. Single screen interface for cash and derivatives b. Real-time streaming quotes with Instant order Execution & Confirmation c. Hot keys similar to a traditional broker terminal d. Alerts and reminders e. Back-up facility to place trades on Direct Phone lines Brokerage: Some stock trading companies charge direct percentage while others charge a fixed amount per Rs 100. Sharekhan charges 0.5% for inter day shares and 0.1% for intra day or you could say Sharekhan charges 50 paise per Rs 100. Advantages of Sharekhan: 1. Online trading is very user friendly and one doesn't need any software to access. 2. They provide good quality of services like daily SMS alerts, mail alerts, stock recommendations etc. 3. Sharekhan has ability to transfer funds from most banks. Unlike ICICI Direct, HDFC

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Sec, etc., so investor not really needs to open an account with a particular bank as it can establish link with most modern banks. Disadvantages of Sharekhan: 1. They charge minimum brokerage of 10 paisa per stock would not let you trade stocks below 20 rs. (If you trade, you will loose majority of your money in brokerage). 2. Lots of hidden rules and charges. 3. They do not provide facility to book limit order trades during after-hours. 4. Classic account holders cannot trade commodities. 5. Cannot purchase mutual funds online.

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Requirement for opening online account

Internet has given a whole new meaning to the financial service industry and changed it in a manner that was never predicted. The online way of doing trade has gained huge popularity due to the comfort and convenience it has offered to the consumers and supplier across the globe. Online Stock trading when came into existence took over the market and crossed the threshold of conventional brokerages in an unbelievable way. Online Stock Trading added ease, speed, and convenience to the industry of commerce. Online stock trading brokers have an edge over the conventional brokers and realizing the benefits of internet, they are also creating an online presence for themselves. Since mid 90s, when Online Stock Trading came into being, it drastically transformed the financial services industry and created a strong foothold in the commercial market. Online Stock Trading created a virtual world of trading that is within the reach anyone and everyone. All you need to have is an internet connection and you can log on from anywhere and anytime and carry out your trades stocks Online. Online Stock Trading gave the Online stock trading brokers an easy and economical way to carry out trade by just holding online trading accounts. There was a rapid boom in the Online Stock Trading scenario due the lower commission structures in comparison to the conventional brokerages. There was also a tremendous increase in the Online Stock Trading accounts and there was a major hike in the transaction volumes. Depository Services Dematerialization and trading in the demat mode is the safer and faster alternative to the physical existence of securities. Demat as a parallel solution offers freedom from delays, thefts, forgeries, settlement risks and paper work. This system works through depository participants (DPs) who offer demat services and the securities are held in the electronic form for the investor directly by the Depository. Kotak Depository Services offers dematerialization services to individual and corporate investors. We have a team of professionals and the latest technological expertise dedicated exclusively to our demat department, apart from a national network of franchisee, making our services quick, convenient and efficient. our commitment is to provide a complete demat solution Which is simple, safe and secure.

ADVANTAGES OF ONLINE STOCK TRADING

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Easy Access: Online stock trading brokers have an easy access to the market with advent of internet as all they need to have is an Online Stock Trading account. The traders can check out real time stock quotes and go through historical stock price trends; this will give them a fair idea about the deal they are entering into. They can also assess the market analysis and do their own research on various firms. They can also interact with the online stock trading brokers via forums or chat rooms. Eliminate middlemen: Online stock trading brokers have eliminated the long line of middlemen involved in stock trading otherwise. It allows the traders to invest wisely and make buying and selling of stocks much easier and simpler. It allows the traders to directly contact online stock trading brokers whenever and wherever without any hassle. Lower commission: Making an Online Stock Trading account is much more economical then going in for the help of a conventional broker who are always looking for chance to make money out of the client. On the other hand, online stock trading brokers only charge a fixed amount of commission and help you in making deals that are beneficial for you. Traditional brokerage houses turn out to be very expensive which gives the online stock trading brokers leverage incomparison. Rich Information Source: Online Stock Trading has bridged the gap between the traders and the commercial market. With the help of internet the traders can gain any type of information related to stocks, companies, market trends, etc. Wider Investment Choice: Online Stock Trading gave the traders a wider choice in terms of investment. They can invest in stocks, bonds, mutual funds, mortgages, insurance, derivatives, futures, options, etc. depending upon their choice. Online investment phenomenon offered an extensive variety of products to the traders. Quick trade execution: Online Stock Trading has significantly speeded up the process of commerce. .

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COMPETATIVE ANALYSIS

BASIC STRUCTURE A/C CHARGES BROKRAGE DELIVERY/ INTRADAY SERVICE TAXES % SST

ICICI DIRECT 750 0.75 0.15 10.02 0.01

KOTAK SEC. 750 0.04 0.40 10.02 0.01

INDIA BULLS 500 0.50 0.05 10.02 0.01

HDFC SEC 750 0.75 0.15 10.02 0.01

5PAISA 0.425 0.251 0.071 10.02 0.01

SHER KHAN 750 0.50 0.05 10.02 0.01

CASH SEGMENT DELIVERY TRADE NON-DELIVERY TRADE MIN.ORDER

ICICI DIRECT o.o8% 0.15% Rs 500

KOTAK SEC. 0.40% 0.04% Rs 500 NIL 0.05%

INDIA BULLS 0.08% 0.15% Rs 500 N.A N.A

HDFC SEC N.A N.A Rs 500 N.A 0.05%

5PAISA 0.50% 0.10% N.A N.A 0.05%

SHER KHAN N.A N.A N.A 10paisa N.A

MIN.BROKERAGE Rs 25 N.A BROKERAGE 1%

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COMPETITOR STRATEGIES
According to me ICICI DIRECT and INDIA BULLS are the main competitor of the KOTAK SECURITIES .Accounting charges of all the banks are close to the figure of Rs. 700-750 and if KOTAK SECURITIES has to win the race in the competition they have to lower down their accounting charges to between Rs. 600-700. Brokerage charges of the entire competitor are similar with the KOTAK SECURITIES i.e. . 04-0.40 % except ICICI that is charging .65%. So the strategy to compete with ICICI is to provide more service with the same brokerage. KOTAK SECURITIES should select a strategy of POSITION DEFENCE.KOTAK SECURITIES should be focused on customer satisfaction and the product availability and treat their customer as GOD. The best way of competing with the competitor is to make your customer satisfied, which results in the loyalty of your customers for your company. KOTAK SECURITIES should continuously do a RESEARCH AND DEVELOPMENT PROGRAMME, which will result in the information about the customers. For that they should appoint R&D depts. Which will continuously do this work? ICICI Direct brokerage is high and not negotiable, whereas in kotak securities brokerage are negotiable for high trading /turnover customer. Not all stocks are available under Margin Plus whereas in kotak securities customer can access each and every script. Learning kotak securities Trading Terminal is very easy unlike 5paisa which is hard for a new investor. There are lots of rules and hidden charges prevailed in securities like Sharkhan, Adatiya Birla but, in kotak securities transparency is assured. The brokerage involved in ICICI is very high i.e. 0.75% ( Motilal Oswal brokerage is very less just .2% for delivery).Which result that we can not do day trading as a result. The options are also very less flexible as compared to kotak securities. In ICICIDirect, customer also face problem like if you go for intra day trading and the stock price falls, you cant take the delivery and have to sell at lower price. If you go for buy today sell tomorrow feature, you cant sell the same day. And the high brokerages eat away your profit. Another problem faced in online trading is whenever there is huge volatility in the market, the site stops working most of the time. I would suggest not to go for ICICIDirect as these people charges hell lot of brokerage as compared to other brokers especially like kotak securities. It is common practice of the ICICIDirect that they Sometimes in intraday trades square off your positions before 3:00 pm and sometimes it accidentally keep it open and settle it on next day. After considering this problem Kotak securities is the best available option in market. ICICIDirect are often recommended to the long term investor as its safe and secure except for high brokerage and if you are going to day trade then forget about ICICI.

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BROKERAGE CHARGES

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CONCLUSION

From the above study, it can be concluded that although kotak securities has earned a very good reputation in market in terms of consumer satisfaction, research. But it has long way to go in terms of awareness and get established and standardized.

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BIBLIOGRAPHY

Books
Security Analysis And Portfolio Management SMU MODULE Other Sources Securities Market (Basic) Module: --NCFM Economic Times. Business world. Training Kit Provided by the kotak securities Websites: www.kotaksecurities.com www.sharekhan.com www.equitymaster.com www.icicidirect.com www.hdfcsecurities.com www.indiabulls.c