CHAPTER-1

INTRODUCTION

1
 INTRODUCTION
This is a very good project to evaluate the market share of the company and the level

of customer service in different companies. Political Pvt Shares. Ltd. Ltd. Is a brand name in the

securities market. Indiabulls, ICICI Direct are the other major players in this region. Net, Karvy,

Infoline, India, etc. This initiative includes numerous business resources such as study mails,

internet banking, electronic terminals, etc. I addressed the different roles of the business in my

research, primarily taking the share broking into account. The contrast of different firms would

allow a good picture of the company's customer position which would offer the foundation for

developing plans and keeping the product more profitable.

Throughout the research, I have explored our consumer view of the various services the business

provides and the market condition. It helps to evaluate businesses from the customer's point of

view. Such research is important since consumers have the power of veto to approve or deny a

good or service.The comparison of the company's services and its market share will help the

company to make further decisions in order to increase its market share and the level of

customer satisfaction. This study will also help the company in this respect to find out what

strategies other main competitors use and how successful they are.

The research also supports students who wish to analyze the financial exchange and various

broking firms. This is also useful for consumers as they may pick a successful broking house that

fulfills their needs by reading this attentively.Every research project is focused on other issues.

There is no need for study if there is no problem. To make a first analysis, we can clearly

identify the problem and then start some test. I

based on equities for this very report. This is the first move for a individual who wants to enter

the stock market. In it I took the facilities provided by various firms, their brokerage and other

prices.
2
 NEED FOR THE STUDY

Strengthen shareholder understanding of the various threats inherent in the broking businesses.
Understand the full openness and automation of the broking business. Offer investors basic
information about danger in a broking business. Understand both the stock sector and various
exchange strategies. Convert our hypothesis into concrete experience.

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 OBJECTIVE OF THE PROJECT
1. The project primarily concentrated on the specific reasons that
rendered it ineffective among the other stock broker firms.
2. The aim was to increase the company's client base and also to know
about the stock market.
3. I have effectively carried out the project and tried to figure out the
various reasons that make Religare a little poor against its rivals so that any big measures can be
taken to eliminate them.
4. I have continued to focus on different measures to expand the
consumer base so that it will create a decent return for them.
5. Knowledge about the company's market position.
6. And get to know the offerings provided by other big securities
companies.
7. To test the degree of happiness of the population.

4
 HYPOTHESIS
HO: No difference is made between economic research and moral securities.
H1: Gaps occur between strategic research and moral securities.

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 SCOPE OF THE STUDY

My initiative was primarily associated with growing Religare's consumer base. I used to call
to try and reassure a variety of clients. We had to experience a rigorous learning stage as it
was not at first convenient to speak to different customers as people are usually ignorant of
the business and the demat account and are scared of participating in the sector.

But we first focused out how to communicate and attempt and reassure them on any level.
We have researched Religare's rivals and told the various Partnership Managers what
separated Religare from the other stock dealers and what isolated it from them.

We talked to some clients and reached several arguments in favour of Religare who were
useful to me in carrying out my analysis and supplying the business with any evidence to
help them better themselves.

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 RESEARCH METHODOLOGY

It is really necessary to gather accurate and relevant data in every study work. No
analysis of work is possible without evidence. Two forms of data may be used for the
analysis. What are Such

Primary Data

Those are the details gathered for the first time. This form of data is not historically
accessible and will be obtained by the researcher himself. They are original in nature and
obtained from diverse outlets such as:

1. Questionnaire
2. Interview
3. Schedule
4. Expert opinion
Secondary

A researcher who performs an investigation or a review will determine in advance what data
he requires for his analysis. These data may be obtained from various sources, but it is
important that the data will be genuine, otherwise they would provide a less humorous
outcome.

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 LIMITATIONS OF STUDY
1.To grasp the overall operation of the equity market, the 60-day duration is not adequate.

2. In fact, very few participants and agents have comprehensive research information.

3. The research was performed only in Hyderabad and the area of research was limited.

4.The data received by the investor and the agents can not be deemed 100% accurate.

5. The research was undertaken to clarify the danger in the investment business and customers,
which is part of the stock securities sector.

8
 CHAPTER-2
THEORETICAL FRAME WORK & REVIEW OF
LITERATURE

9
 REVIEW OF LITERATURE

INTRODUCTION TO CAPITAL MARKETS

Financial System

The financial structure for of economy comprises different members, such as

1) Financial Entities

2) Financial Firms

3) Financial markets

4) Financial Instruments

5) Financial services

6) Financial Regulations

Indian financial markets consists of capital and money markets while India's financial structures

consist of organizations running finance Financial Regulations

Stock market tax anomy can be interpreted technically, sectorally and institutionally. We may

separate capital markets into one functionally.

1.Business resources (long term)

2. Money business (short term)

What is Capital Market?

A stock sector works with financial instruments, minus currencies and coins. The investment

assets contain savings deposits, trust trusts, trust bonds, mutual shares, insurance plans,

shareholdings, debentures and other instruments. When the stock markets are well managed and

operate efficiently, that is a symbol of a stable economy in finance. The stock exchange gives

strong capital market flexibility and is directly proportional to its partnership. India has a multi-

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share trading network of over 24 regional stock exchanges. Capital markets in our nation are

typically often recognized as the security / stock exchange.

The Indian Capital Markets can be listed in three respects.

1. Demand of capital

2. Market Primary

3. The secondary exchange

Money market

The money sector is part of the banking system consisting in shares or stock markets. It deals
with short-term financial assets that can quickly be turned into currency. Money markets are
locations where liquidity and short-term financial instruments are exchanged that are as liquid as
oil. It offers a forum for lendsers or creditors ' short-term excess assets and short-term lenders '
needs, the securities may be exchanged at low rates and are extremely liquid.
Primary market

The stock market introduces fresh shares to be offered. Primary market gives debt issuers;
government and companies the ability to collect capital to fulfill their funding needs and/or
discharge those responsibilities.
We will sell securities on a favorable or discount / prime basis, and such securities will take
different types, such as bonds, debt etc. You may issue securities on the domestic and/or foreign
market.

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Secondary Market
Secondary market implies a sector where shares are exchanged after initial public offerings on
the main market and/or stock exchange listed. In the secondary sector, the bulk of trade takes
place. The secondary sector covers stock and bond markets.
RISK MANAGEMENT

Danger is described as the "possibility of defeat." This is not a bad risk in itself, it is necessary to
success and failure is always a key element of learning, however the possible negative effects of
risk must be weighed against the potential benefits of their related opportunities. It is crisis
control. Risk reduction.
Principles of Risk management are as follows

1 Global Perspective

1 See growth in the sense of global changes–Recognizing the importance and possible
consequences of the negative results of future opportunities 1 More insight-plan about
tomorrow, recognize uncertainty, predict potential outcomes — Manage project capital and
plans when expecting uncertainty
2 Open Communications

Promote free flow of information at and across all project stages-Encourage formal, informal and
effective interactions-use human voice-value mechanisms (bring specific perspectives and
experience for risk recognition and management)
3 Integrated management

Make risk control an important and necessary aspect of the control of projects-applying risk
management approaches and techniques to the technology and community of projects

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4 Continuous processes

Continuous diligence-Systematic detection and risk control in all stages of the project life cycle

5 Shared product vision

Joint view of the commodity centered on common intent, shared responsibility and reciprocal
cooperation
6 Team work

Working together to accomplish a common goal-pooling expertise, talents and awareness

Functions of Risk Management are as follows

i. Identify–scan and find threats until complications occur

ii. Research–Turn vulnerability evidence into details for decision-making. Assess effect,
probability and timeline, identify and evaluate risks. Plan-Turn knowledge on risk
into decision-making and mitigation (both present and future) and execute activities

iii. Watch-Track risk assessments and mitigating steps v. Test-Adjust for risk reduction
program anomalies.
vi. Communicate-Offers knowledge and input on risk events, existing threats and potential
hazards both internally and externally to the enterprise.
RISK MANAGEMENT IN A BROKING FIRM
Danger management in a broking industry in India is a new phenomenon, as it presents greatest
risk to the stock sector and the control of regulatory bodies and exchange was deemed most
important. As a consequence, NSE adopted risk management initiatives that were standard
globally but missing from the Indian Stock Industry for the first time in India. NSCCL has

13
developed an integrated risk control program that is continuously updated to avoid business
failures. These steps have been taken to reduce the possibility to brokers. At the same time, SEBI
has issued certain Investor Security guidance to cover investor risks. The following risk
reduction steps have been taken by NSE
Margins

NSE has stated specific margins for various items, such as future stocks and options, etc.
Margins range from stock to stock and method The categorization of stocks for the enforcement
of margins The average margins charged by participants consists of:1. Margins depend on
fluctuations and business factors. Risk Benefit Margins 2. Regular profit including the
sum of the VaR profit and mark for the business margin is payable.

Risk Risk Ratio VaR ratio refers on all rolling settlement securities. For the benefit of the VaR
range, all shares are grouped into three classes.

The VaR-based margin is rounded to the next large integer (for instance: if the VaR-based
margin levels becomes 10.01, it is rounded off to 11.00) and restricted to 100 percent.
The VaR margin rate as stated above shall be paid on all available transactions at the net
outstanding place (buy value-selling value) of the respective customers on the securities. The net
places at a consumer basis with a product are met and then a participant would be allowed to
measure the total value with a margin estimate for all consumers.

For eg, if a member has 1000 securities and 1000 securities in a customer B's selling place in the
same sector, the member's net place in the securities will be taken in 2000. The buying position
of client A and the selling position of client B would not be networked with the same
confidentiality. This will be condensed to arrive at the disclosure of the participant for the
estimation of the range. Tax Levels of VaR and Profit Margin for Business Share is determined
on the basis of the mark at the Member's business loss. The notional loss mark is the notional
loss that the Member will suffer when the accumulated net role of the Member in all securities
was closed at the end of the day at the trading price for securities as declared by the NSE at the

14
end of the day. The market mark is determined by marking every trade in the script at the end of
the trading at the closing price of the document. Unless the stock was not sold on a particular
day, the nearest valid trading price at NSE is deemed to be the closing price.

In the situation where a member's net remaining status is zero in every protection, the disparity
between acquisition and selling value will be treated as a notional loss in the estimation of the
payable mark to market margin.

Some Risk management are also taken by BSE they are as follows

1. Know your client scheme

Under the policy, exchange representatives are expected to collect specific details from
consumers before beginning purchases with new customers. With current clients, a common
protocol will always be practiced. Such details shall be made accessible if submitted to the
exchange authorities. Unless the broker does not furnish the same stuff, he is taken seriously.

2. The exchange has described the procedure i.e. if the agreement with a specific client in an
arrangement reaches Rs 10 laks, in order to validate the materials specified in an order, the
participant shall submit the photocopies of the distribution actions and ownership certificates to
the company / registrar. The underlying principle behind the implementation of this protocol is to
avoid the entry of fake / forged / stolen securities into the business.

3. Review Review of the members ' broker documents for conformity with risk control
protocols 4 is performed by the agency. Compensation Currently the company has
compensation plans in order to support itself in the event of fire failure, disruption to information
infrastructure and a full scheme addressing liabilities to the market, the member traders and the
clearinghouse.

The risks protected under the policy's simple cover are listed below.

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Membership Damage due to employee unfaithfulness— Membership damage due to their client's
fake / forged / stolen shares— direct financial damages suffered by a members ' broker due to
actual injury, devastation, robbery or disruption in respect to securities and currency.
Loss due to the lack of transit shares-losses due to incorrect trades-losses kept as final receiver
on trade for mistake by an implementing Party-loss due to mistakes and negligence-
Administrators and officials responsibility protect

Measures taken by SEBI for Investors protection are as follows

The Government of India and SEBI have underlined the need for supervision of the secondary
market and transparency of stock exchange transactions The measures taken by SEBI are as
follows: to monitor and track stock exchange transactions and to minimize investor risks
1. Regulation on insider trading with the intention of fully curbing and prosecuting guilty
offenders
2. Uniform hours of trading in all the country's stock markets to monitor arbitration.
3. Registration of the industry participants-traders, non-members traders, sub-commercial
representatives, registrars of problems and merchant banks, fund managers, underwriters,
debenture trustees, custodians, etc..
4. Indirect control by way of regular stock markets by the setting of premiums, fees and
fines.
5. Gradual restructuring to eliminate paperwork and maintain consistency of dealings is
now essentially complete, as all capital markets are computerized.
6. Brokers contact notes separately to list brokerage.
7. Counter-exchange mutual paperless market in India, Regional Stock Exchange, BSE,
DSE and elsewhere.
8. Brokers store funds in a different bank account for clients.
9. Stock trade on securities markets is banned 10. Stress over a shorter cycle of
relocation.
11. Selectively allowed dematerialization of securities. By March 2001, roughly 3500
corporations will be traded in Demat mode.

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12. Stern measures against confused traders, stock exchanges, companies, commercial banks,
etc.
13. Control on illegal business activities
14. Total transparency and stock exchange automation.
15. Active smooth payment margin method.
16. Circuit breaker program to test market rate
17. Implementation of the updated transportation network and the electronic loan borrowing
process (ALBM).
18. Implementation of trading on the Internet.
19. Derivative trading in 30, 60 and 90-day index-based futures.
20. Conduct responsible principles of governance.

Recent Development steps taken by SEBI for Investor protection

1.SEBI also agreed to nominate an administrative authority to administer the signing

promise and certificate verification services to get rid of slow deliveries. SEBI's designated
managers work on behalf of the regulator in order to address issues arising from signature
malfunction
2. Relocation of Investor Protection Fund SEBI's committee on analysis on origin and usage
of investor security funds for stock exchange guidelines have been created— Trust system
funds will be set up and operated under the Indian Trust Act of 1882 with separate trustees—
daily donations by active Member Brokers and stock exchanges — Fund only for use of
individual trustees
Trustees must insure that the fund is not utilized in unsafe or member-related activities but
instead on approved ways.
Time period for investor statements to be stated.
3. Investor Service Centers SEBI also classified all bonds as service centers for investors to
enable investors to provide a mechanism for tracking and reviewing their concerns, as well as
links to financial reports and other details regarding government policy, laws, laws, etc.

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 4. Growing corporation will designate a Compliance Officer to check reports and market-
level details regarding the product at the stock exchange. This growing inspired rumours
regarding businesses that help control costs.

5. SEBI Corporate Governance has recommended responsible corporate governance

principles to include clarity and best working practices for all public firms.

6. SEBI has taken measures to inform investors through many education campaigns and
publications

1.2 Literature Review

No one has done research on this subject yet.

I read different documentation issued by the Religare Sec manager in the literature review.
In this, I reaffirm the Religare Sec's Demat form. And use various websites.
Through this I even read the various NCFM modules.
The following books have read:
i) FINANCIAL SERVICES AND MARKETS
Author:-Dr. Gurusamy
(ii)RESERCH METHODOLOGY METHODOLOGY METOHDS & TECHNIQUES
Author:-C.R.Kothari, ii) Gupta Gupta

1.3 Statement of the Problem

In the Indian stock sector, there are many financial protection firms. Yet citizens don't have
simple capital market awareness. So they do not appreciate the various risks involved in the
service of the broking business. Thanks to lack of sufficient direction, most citizens treat the
stock market as a gamble.

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 1.4 Objectives of the Project

1. To get to learn the job of a broking business.

2. The broking business requires knowing different threats.

3. To consider the different threats for the broking company's investment firms.

4. Management and elimination of known threats.

1.5 Research Hypotheses

The stock market is rising quite quickly, both in terms of sales and in the business industry. The
activities have reached throughout the world. There is also an spike in different broking
businesses. Running a brokering service is a very dangerous work as the danger is involved with
any commercial operation.

1.6 Scope of the Study

The organization will perform industry analyses via this initiative. Managers will provide an
outline of risk control in relation to the function of broking companies. You often understand
what details an investor should have to escape the harm.

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 CHAPTER-III

INDUSTRY PROFILE

&

COMPANY PROFILE

20
 INDUSTRY PROFILE

In 2015, stocks that respond to interest rate fluctuations, along with chosen debt
programs, are expected to be the winners, with the Reserve Bank of India expecting a relaxation
in its monetary policy.

Investment managers also stated that the economic outlook has increasing, but the new year will
be tougher for equity investors because valuations of several companies are rich after the popular
rally in 2014. Investors should also be worried about the rise in interest rates in the US and the
low global crude petroleum prices.
India is one of the most popular emerging markets in 2014. In 2014, the Sensex has risen by
34%. Smaller companies were also better off with the BSE Mid Cap index increasing to 56% and
the BSE Small Cap index growing to 75%.

While oil prices have strengthened Indian economic prospects, India can not be spared if an
imminent sell-off occurs. The market observers regarded likely interest rate cutbacks by the
Reserve Bank of India (RBI) as the primary catalyst for the economy and the markets. The scale
of the monetary policy easing may decide the severity of the settlement in shares of the so-called
interest-rate-sensitive sectors. We forecast market inflation to remain in the 5-5%, and anticipate
RBI to lower rates by 50 basis points in 2015, "said Dhawal Dalal, V-P and Fixed Income
Director at the DSP BlackRock Mutual Fund. If interest rates decline by 50 basis points,
investors could see a 5% capital gain for their portfolio of long-term legitimate funds.

"This change has been just as true for global markets as gold lost its shine in 2013 and markets
returned with a hit," Jayant Manglik, Religare Securities Chairman, told Religare Retail
Distribution.

"Gold and equity markets are like any other year pursuing opposing patterns and this year was no
different except that both shifted ways," he added.

Improved global economic growth has brought back a risk tolerance among institutional
investors, removing liquidity from safe havens such as gold into underperformance.

21
In 2012, Sensex had earned over 25%, almost double the gold increase of around 12.95%. The
average in silver was about 12.84 a year last year.

"Markets displayed tremendous strength especially after July-August 2013, when RBI took some
aggressive steps to stabilize its rapidly depreciating rupee," said Hiren Dhakan, Associate Fund
Manager, Bonanza Portfolio. "When the US Fed suggested that it might tape their stimulus
scheme in light of improving economy, a knee jerk reversal was seen in most risky assets,
including St.
The mid-cap and small-cap business sector indexes declined by about 10 percent and 16 percent
in 2013, respectively.
International institutional investors purchased Rs 1.1 lakh crore securities (almost USD 20
billion) up to December 19. In 2012 Rs 1.28 lakh crore (USD 24.37 billion) had been pumped.

Evolution Indian capital exchanges are one of Asia's largest equity markets. His past dates back
nearly 200 years ago. The earliest records of defense transactions in India are poor and vague.
The East India Corporation was the largest entity at the time and its loan shares were exchanged
at the end of the 18th century.
In 1830 the company was kept in Bombay with corporate stocks and stakes in Bank and Cotton
presses. While in 1839 the exchange list was wider, between 1840 and 1850 only half a dozen
brokers were known by banks and merchants.
In the 1850s, the company and trading industry grew rapidly and attracted those in the sector and
by 1860, the number of brokers rose to 60.

The US Civil War escalated and the flow of cotton from the United States of Europe was
stopped; the' Trade Mania' began in India. The number of brokers grew to about 200 to 250.
Nevertheless, a devastating recession occurred at the conclusion of the American Civil War in
1865 (for instance, Bank of Bombay Share that had impacted Rs 2 850 could now be sold on Rs
87).
At the conclusion of the American Civil War, the brokers who thrived in the Civil War of 1874
collapsed into a position on a street (now better known as Dalal Lane). In 1887, the Bombay
Native Share and Stock Brokers ' Association was officially founded (alternatively regarded as
"The Stock Exchange"). The Stock Exchange was purchased in 1895 on the same street and

22
founded in 1899. The Bourse of Bombay was therefore integrated.

23
Among leading cities in stock market operations Ahmadabad was more relevant in relation to the
cotton textiles industry next to Bombay. Since 1880, Ahmadabad became host to several mills
and soon pushed ahead. The need for a stock exchange was resolved when new mills were
floating in Ahmadabad and "The Ahmadabad Share and Stock Brokers ' Association" was
established in 1894.

In Mumbai and Ahmadabad, the cotton weaving industry moved to Calcutta. The other main
manufacturing sectors in Calcutta were both the tea and coal industries. In the 1870s, after the
Share Mania of 1861-65, a strong jute share boom accompanied by a tea share boom in the 1880s
and 1890s and a coal boom between 1904 and 1908. Several of the leading brokers founded "The
Calcutta Stock Exchange Association" in June 1908.

The industrial revolution began in India at the beginning of the twentieth century with the
Swadeshi movement, and the inauguration of Tata Iron and Steel Company Limited in 1907
marked an significant stage in industrial growth under Indian industry.

Indian cloth, coal, cotton, paper and flour mills and other industries experienced tremendous
growth during the First World War.

In 1920, the then demure city of Madras had the delight of an exchange of 100 participants in the
form and theme of the "Madras Stock Exchange." However, as the bubble ended, the number of
participants declined by 1923 from 100 to 3.

The stock market improved in 1935, particularly in South India, where the number of textile
mills was rapidly growing and several planting companies floated. In 1937, the Madras Stock
Exchange Association (Pvt) Limited again operated a stock market. (Named Madras Stock
Exchange Limited in 1957).

The Lahore Stock Exchange was founded in 1934. The business was merged in 1936 with the
Punjab Stock Exchange Company.

24
Indian Stock Exchanges - An Umbrella Growth
In 1939, the Second World War broke out. It gave a fast boom and then a decline. But in
1943, as India was completely deployed as a supply center, the situation shifted drastically.

Owing to the stringent restrictions on wheat, bullion, seeds and other product they became the
only choice for their operations on the stock market. They were eager to enter the company and
numerous others swelled their number. Many new organisations have been formed for this
reason and Stock Exchanges have circulated throughout the world.

The firm was merged into the Uttar Pradesh Stock Exchange Limited (1940), Nagpur Stock
Exchange Limited (1940) and Hyderabad Stock Exchange Limited (1944).

Two stock exchanges-the Delhi Stock and Share Brokers ' Association Limited and the Delhi
Stocks and Shares Exchange Limited-were floated in Delhi Delhi and later merged into a Delhi
Stock Exchange Association Limited in June 1947.

The bulk of exchanges witnessed almost absolute eclipse through crisis. Scenario after
independence Throughout the partition of the land, Lahore Exchange was closed and later moved
to Delhi and integrated with the Delhi Stock Exchange.

The corporation was founded in 1957 and recognised in 1963.

Some of the other bonds were languished until 1957 when they filed for approval by the central
government under the Securities Contracts Act (Regulation) of 1956. The Act recognized only
Bombay, Calcutta, Madras, Ahmadabad, Delhi, Hyderabad and Indore, well-established
exchanges. Any of the other Organisations had to allow approved stock exchanges on a
concessional basis, but all those pseudo-bursary exchanges, operating under the unitary
management theory, were denied approval by the State and ceased to operate afterwards.

Thus eight recognised stock exchanges (mentioned above) existed in India in the early sixties.
The number stayed largely unchanged for almost two decades. During eighties, however, many
stock exchanges were established: Cochin Stock Exchange (1980), Uttar Pradesh Stock
Exchange Association Limited (at Kanpur, 1982), and Pune Stock Exchange Limited (1982),

25
Ludhiana Stock Exchange Association Limited (1983), Gauhati Stock Exchange Limited (1984),
Kanara Stock Exchange Limited (at Mangalore, 1985), Magadh Stock Exchange Association (at
Patna, 1986), Jaipur Stock Exchange Limited (1989), Bhubaneswar Stock Exchange Association
Limited (1989), Saurashtra Kutch Stock Exchange Limited (at Rajkot, 1989), Vadodara Stock
Exchange Limited (at Baroda, 1990) and recently established exchanges-Coimbatore and
Meerut. There are, thus, 20 1 recognised stock exchanges in India currently bar the Over The
Counter Market of India Limited (OTCEI) and the Regional Stock Exchange of India Limited
(NSEIL).

The table below displays Indian capital markets ' average development trends after
independence. The Table indicates that Indian stock markets have not only increased in number
of stocks but have also increased in the amount of listed firms and in the shares of listed
companies. The table clearly indicates the extraordinary development after 1985 because of the
friendly government policies towards the defense sector industry.

The Indian Capital Market Trade Trend for Indian stock markets is restricted to publicly traded
companies ' issued shares. This is generally classified into two groups, i.e. securities defined
(forward list) and securities not mentioned (cash list). Equity securities for dividend payout are
usually put in a defined category and the remainder under a non-specified segment, with
development focused firms with paid-up capital at a lower Rs.50 million and market
capitalization of at least Rs.100 million and more than 20,000 shareholders.

Two forms of transactions can be conducted on an Indian stock exchange: (a) spot shipments
"for delivery and payment during the time or at the date stated in the contract, which are not
more than 14 days from the date of the contract"; and (a) forward shipments "for delivery and
payment, each may be extended by an additional 14 days to overa The above is only permitted
for those securities. The brokers carrying out the unpaid payments shall pay costs (cantango or
reversal) which are usually calculated by the prevailing interest rate.

A member's stock exchange broker in India can function as a commission agent and purchase
and sell securities to its clients as well as function as a principal, purchase and sell securities on

26
his own account and risk, unlike in New York and London Stock exchanges where a member
may only serve as a jober or broker.

The nature of the Indian Stock Exchange is the traditional old style of face to face trading with
offers and offers by open outcry. In recent years, however, a great deal has been undertaken to
modernize the Indian stock exchanges.

The conventional trading system in Indian capital markets has given way to several technical
inefficiencies, such as liquidity absence, lack of accountability, unduly long periods of payment
and benami trading, which has adversely affected small investors. The first ringless, scripless
electronic stock exchange in the world, named OTCEI, was founded in 1992, by the leading
financial institutions of the world-Unit Trust of India, Industrial Credit and Investment
Corporation of India, Industrial Development Bank of India, SBI Capital Markets, Industrial
Finance Corporation of India and General Insurance Corporation and their associated firms.

Trading at OTCEI takes place through the centers throughout the region. OTCEI shares
exchanged are categorized in • Shares listed — Shares and debentures of companies listed at the
OTC can be bought or sold at every OTC counter around the nation and may not be offered
anywhere• Securities offered-Bonds issued on certain markets and mutual fund groups are
allowed to sell• Debtors introduced•

In contrast with other conventional markets, OTC has a special trading function. That is, the
shares and debentures listed are not exchanged at OTC. The initial certificate is with the
custodian securely. However, a counter receipt is produced at the counter that replaces the share
certificate and is used for all transactions.

The scheme is comparable to the conventional stock market in the case of permissible shares.
The distinction is that within 14 days the distribution and payment process must be finished.

The OTC exchange network has the following advantages as opposed to conventional
Exchanges: OTCEI has a broadly dispersed trading platform across the world, which offers more
transparency and a lower probability of broker charges.

27
• The screen-based scripless trading provides better clarity and market precision.

• When the actual price of the deal emerges on the computer screen, the buyer is conscious of the
specific amount at which it sells.

• Faster method of payment and transition than other exchanges.

• The allocation process is finished in the case of an OTC issue (new issue) within 1 month and
trading starts within 1 month of the issue closing, while with the other markets it takes longer for
the same time.
As a consequence, creditors slowly became conscious of the various benefits of OTCEI, with the
superior exchange process and knowledge clarity.

National Stock Exchange (NSE)

With the liberalization of the Indian economy the Indian capital exchange trade structure has
been unavoidably elevated to international levels. The National Stock Exchange was established
by Industrial Development Bank of India, Indian Industrial Credit and Investment Company,
India's Industrial Finance Company, all the Insurance Companies, identified commercial banks,
among others on the basis of the recommendations of the Pherwani High Power Committee in
1992.

There are two specific types of trading in NSE: (a) the wholesale bond markets and (b) the stock
markets.

Wholesale debt market trades are analogous to capital business activities — companies and
private entities participate in high interest investment assets such as government securities,
treasury bills, public sector bonds, commercial papers and deposit certificates.

28
Recognized NSE representatives are considered business associates who deal on their own
behalf and on behalf of their clients. Participants include trading participants and major players
such as banks which take responsibility for direct settlement.

NSE is exchanged utilizing a completely automated screen-based trading system that supports
the concept of an order-driven economy. Trading representatives will sit in their offices to carry
out the transaction because they are linked to a contact network. The rates the buyer and seller
are prepared to pay are shown on the computer. If the rates conform to the contract are concluded
and a receipt slip is posted at the trading partner's office.

NSE has a range of benefits over conventional trade. • NSE provides a nation-wide automated
capital exchange trading network.

• Investors can exchange from anywhere in the world for the same price as intermarket trades are
simplified and exposure to shares is offered across the nation.

• Delays in correspondence, overdue settlements, and abuse existing in the current trading system
may be avoided with the help of an entire computerized network, by growing operating
performance and knowledge consistency of stock market operations.

Private investors and international investors would not be involved in the financial market
activities because equity exchanges have qualified service. Yet, as one of the key sources of
long-term funding for industrial ventures, India can not afford to destroy the capital market road.
Throughout this context, NSE is growing crucial significance within the Indian framework of
capital markets.

Preamble Sometimes the words ' production' and' employment' are used interchangeably in
economic literature. There is, indeed, a distinction. Urban growth means a gradual increase in per
capita or national wages, whereas sustainable transformation requires constant systemic reform,
with its dynamic urban growth consequences. In other terms, growth is related to free market,
where progress needs some form of control and management of emerging powers. Economic
development is thus a mechanism and inflation is a phenomenon.

29
For a nation, particularly a developing country such as India, to take the country in the direction
of economic development to achieve economic growth is very important. Economic planning
How India's Economic Planning?
Some of the key goals of the Indian strategy is to raise the pace of economic growth, which
implies rising the pace of capital accumulation through growing employment, savings and
expenditure rates. However, the levels of capital accumulation in India are rising with a variety
of problems. People are stripped in misery. A saving potential is exceptionally poor owing to low
wages and strong consumption tendency. The expenditure rate is also small, contributing to
capital deficits and poor profitability. Low output implies low wages and starts the vicious cycle.
Therefore preparation is necessary for India in order to crack this circular economic cycle.

The business system in developed countries is flawed because of its insecurity and unfamiliarity.
Therefore, the preparation of the business system is very necessary to develop and reinforce. In
India, a significant share of the economy is not monitored; the commodity, growth processes,
money and capital markets are not properly coordinated. The dominant pricing system however
struggles to change the overall market for goods and services. Therefore, business imperfections
must be removed in order to boost the economy; capital necessary must be concentrated and
effectively used and systemic rigidities must be solved. This can only be done by preparation.

Money is low in India, so corruption so perceived insecurity are prevalent. Where capital is
limited and labour is abundant, supplying an growing population with productive job prospects is
a challenging activity. This macro issue of India can only be addressed through a unified
development model.

Furthermore, in a country such as India where agricultural reliance is very strong, this segment
can not be overlooked in the cycle of economic growth. The economic development model will
also take into consideration a holistic strategy that ties agriculture and industry together and
contributes to parallel growth. Without adequate infrastructural facilities which only the state can
provide, agriculture and industry can not expand, not to mention, and that can only be achieved
by a well-designed plan strategy. The Government's involvement in providing infrastructure is

30
inevitable since the position of the private sector in India's infrastructure growth is very small
because the private sector considers such infrastructure projects as unprofitable.

India is still a direct example of wealth inequality. It is also the State's responsibility to raising
the wage gaps that exist. It can only be achieved through preparation.

India's development history Developments in India started before Independent India's first Five
Year Plan, well before independence. The notion of collective capital paths for the eventual
eradication of misery is one of the key strategies promoted by progressives at the turn of the
century. In the 1920s and 1930s, the Congress Party formulated a policy for economic growth,
and in 1938 established a National Planning Committee under the presidency of future Prime
Minister Nehru. The Commission had no room to do something more than to plan projects and
studies that put things to an end before the Second World War. But it was still more than a
distant from administration academic workout. In 1938 a temporary government was elected and
the members of the Congress Party retained obligations. After the battle, the Provisional
Government named the Consultative Planning Board in the years before independence. The
Board also created a variety of proposals also that have been quite isolated. And, more relevant
over the long term, the creation of a Planning Council was proposed.

The Planning Committee first started to work properly in 1950. During the first three years of
independent India, the state and economy scarcely had a stable structure at all, while millions of
refugees crossed the newly established borders of India and Pakistan, and while ex-princely
states (over 500 of them) were being merged into India or Pakistan. The Planning Commission as
it currently operates was not constituted until New India, in January 1950, adopted its
Constitution.

Objectives of Indian Planning

The Planing Commission has developed the following principles of Directive:

• To assess the country's material, capital and human resources, including technical personnel,
and to examine the ability to increase those resources which are considered to be insufficient in
relation to nation demand.

31
• to draw up a strategy for the country's most effective and sustainable usage of capital.

• having defined objectives, to decide the steps to be undertaken by the Program and to
recommend the distribution of funding for each stage to be achieved.

• Indicate the causes that threaten to hinder economic growth and assess the requirements for
effectively executing the program under the existing social and political circumstances.

• To assess the design of the process, which is important to insure the effective execution in all
facets of each step of the Program.

• To monitor progress in the execution of each step of the program from time to time and
propose policy changes and interventions that might be needed for these evaluations.

• Render some temporary or supplementary guidance it deems appropriate either to promote the
execution of the delegated duties or to recognize the existing economic circumstances, public
strategies, activities and development programs; or to analyze the particular issues referred to for
guidance by Central or State Governments.

The main long-term targets of Indian Planning are:• Raise National Gdp • Reduce income and
wealth distribution disparities • Eliminate deprivation • Increased job provision; and • Eliminate
bottlenecks for: agricultural growth, producer's efficiency, and balance of payment.

Economic development has been the primary focus across all five-year programs. Global
development has been projected at an average pace of about 5%. In the context of the long time
of recession under the UK law, high priority for Indian economic growth seems strongly justified

32
 COMPANY PROFILE

Religare is a community of financial services emerging markets with a footprint in

Asia, Africa, the Middle East, Europe and the Americas. The Company provides a broad variety
of goods and services in India, which includes broking, fund management, debt solutions,
investment banking and wealth management. In Asia, Religare's biggest sector. Of more than 10
000 workers in diverse fields, Religare represents over one million customers, including
companies and corporations, families and individuals with a large net worth, and institutional
investors.
Vision
" A leading innovation-driven emerging markets financial services company
of outstanding value for all stakeholders worldwide".

Religare was established on 30 January 1984. It is one of India's leading integrated financial
services companies, backed by a legacy and established track record. Religare's companies are
broadly divided into three main vertical components, retail, institutional and capital, which cater
to a broad and diverse variety of customers throughout the world. All companies are run
structurally by separate entities controlled by the holding company Religare Enterprises Limited.

The business provides a broad range of facilities and, due to a integrated network, Religare
operates in over 1,300 places in over 400 towns and counties.

The company has also started to grow internationally as part of its new initiatives. Religare has
successfully collaborated with Aegon, one of the world's leading managers for the development
of a asset management Joint Undertaking in India with Life Insurance, Mutual Fund and Pension
Funds.

The company's mission is to establish Religare as a internationally respected business in the field
of financial services and position it as the' Investment Gateway of India.' The core values of the
vigilance and accountability project-Providing financial services guided by core values of
integrity and honesty Brand Nature-The main product essence is diligence and ethical and
complex mechanisms that generate wealth generation.

33
Public Identity Religare is a Latin term that means "to tie." Its name represents the quality of the
financial services provided by the firm. The term is intended to integrate and put the concept of
income and privilege together in order to coexist and represent the needs of all people and
organizations.

Sign The word Religare is combined with the four-leaf clover sign. The four-leaf clover is used
to describe the unique nature of a financial plan's good fortune. Traditionally, it is a good fortune
to locate a single four-leaf clover since approximately over 100,000 three-leaf clovers are needed
to check for only a four-leaf clover.

34
Awards & Accolades

Religare Invesco Wealth Management Co. Pvt. Pvt. Ltd. was given the 2014 Lipper Fund Prize
for' Midcap and Small Cap-Growth' for' Mejor Investment.'
• The coveted' Editor's Choice Award –goods' has been presented to Jayant Manglik, President-
Retail Supply, by Religare Securities Limited, in the' Zee Business–Best Market Analyst
Awards–2014.'
• At the' 3rd Asian Consumer Engagement Forum Awards' in Dec 2014 Religare Securities
Limited won gold for' the best organized internal communications plan.'

35
• AEGON Religare Life Insurance (ARLI) has been given an E-Business Pioneer Award in the
field of' Overall Insurance Sector Honors' with the 2014 Indian Insurance Competition.
• The' Rising Star Insurer Prize' was presented to Religare Health Insurance at the India
Insurance Awards 2014.
• Finnoviti 2012 was awarded in the "Innovation in Operation" category to Religare Finvest
Limited.
• At the Bloomberg UTV Financial Leadership Awards, Religare Securities Limited was honored
with the Best Investor Education & Segment Expansion–Currency Broker.
• The "Best Commodity Broker" was presented at Bloomberg UTV Financial Leadership
Awards by Religare Commodities Limited.

• At Goafest 2011, Religare Broking TVC (archery creative) won Silver Abby in the category
Audio and Design art.
• The prestigious Starmine Award was given for the' Best Brokerage Analysis Office,' Religare
Capital Markets Limited.
• Religare Commodities Ltd was given the Bloomberg UTV Financial Leadership Prize "The
strongest commodity broker for the year."
Religare Enterprises Ltd showed at the 2010 Asia Retail Congress the Strongest Digital
Marketing Plan.
• Religare Enterprises Ltd. won the prestigious 2010 Master Brand Award and 2011 World
Brand Congress Best Advertising Strategy.

36
RELIGARE SPECTUM

37
RETAIL SPECTRUM

Equity Trading

Trading with Religare in equities also helps you to fulfill your trading needs. A strongly method
oriented, proactive methodology accompanied by strong testing and review and one of the "best
in class" deals provides a superlative service.

Religare already has one of the biggest distribution networks, with over 1.217 outlets in over 392
cities and villages. This ensures that you will join each of these divisions and link extremely
trained and dedicated partnership managers to get the best services. You may also appreciate the
right to conduct your own trade through the Commodities Trading Religare Commodities
Limited (RCL) online platform that Religare launched to facilitate Commodities Trading
dependent on value. As a participant of NCDEX, MCX and NMCE, RCL provides the forum for
the exchange of commodities. Based on the theological ideology, highly trained practitioners aim
to have the best investment options for consumers in the world.

Online investing And trading can never be the same again withreligare 360 degrees www.
Religareonline.com Today you not only can invest and in equities, IPOs, mutual funds, stocks,
etc.

Religare has recently expanded into personal financial advice services. Professional Financial
Services. This meets individuals ' financial concerns by offering guidance on different
investment policies. In order to provide financial solutions for people in accordance with short-
term and long-term targets, Religare's Personal Financial Advisers, often known as financial
managers or financial analysts, leverage their investing expertise, tax law and benefits. Many of
the problems discussed by professionals cover general savings, employment and tax preparation.
Product offerings

38
PHILOSOPHY
Define… Refine…. Achieve
Religare insists that "our clients are individuals, not deposits" and a good partnership in
investment management starts with a strong understanding of increasing customer's individual
desires, priorities and long-term goals. The investing theory of Religare embraces a structured
method in designing a tailor-made plan to meet the specific financial goals and risk aversion.

PROCESS

39
The Religare Edge

• Long legacy guided by diligent and fair market practices

• Large & varied platter of goods and services to select from
• Provided by reliable and objective study.

Their Process

WEALTH SPECTRUM

Wealth Management @ Religare

• Provide investment advisory and consulting advice, collaborate with clients to define and
assess long-term priorities, risk appetite and current properties • Using Religare's fully-fledged,
open-plan software, coupled with a fully-focused user-centered approach to personalized
business solutions.

• Analysis & Resource Allocation• Market reviews • Evaluation & Rebalancing Global Financial
Funds Management Services • Hazard assessment • Analysis & Resource allocation (R&A)-
Potential options for overseas acquisitions Religare's capital customers are ways to participate in

40
foreign financial products (currently just US). Equities, mutual funds and bonds are two of the
main usable tools and consumers have the option of specific asset assignment packages.

Religare provides PMS to tackle specific investor priorities. With a centered business, PMS takes
care of information and strategies are tailored to the specific needs of clients.

Now, Religare PMS covers five risk management schemes–Tiger, Tortoise, Lion, Caterpillar and
Leo. Each scheme takes account of the differing preferences, priorities and risk tolerances of
Religare's Investment Philosophy investors. We conclude that Religare investors are best
supported by a comprehensive investing strategy, which incorporates an appreciation of
investors ' goals and objectives with a detailed research-based strategic approach.

• Common system of screening focused on fundamental studies for rational investment decisions.

• Focus on reducing investment risk across specific evaluation frameworks.

• Conservation of money.

• Trading and usage of derivatives for price management.

• Total to increase investors ' total returns.

Panther Schemes The Panther fund aims at generating better yields by competitive sector-to-
sector positioning and market capitalisation. This is ideal for high-risk buyers with an investment
policy spanning markets and diverse market environments.

Tortoise The Tortoise Market aims at growth of portfolio value over a period of time by diligent
and judicious investing in businesses with strong potential that are inherently sound. The system
is ideal for buyers with a policy of engaging in firms with stable profits, development and
financial results.

Elephant The Elephant fund seeks to achieve stable returns over a longer duration by engaging in
just BSE 100 and NSE 100 chosen securities. This package is ideal for the low-risk investor with
a policy of investing in blue chip businesses because they have stable success and minimize
market price risk.

41
Caterpillar The Caterpillar strategy aims at growing capital valuation by accumulation in a
diversified portfolio over a long period of time. This system is ideal for high-risk buyers. The
investment plan will be an investment in scripts that can be re-evaluated due to market shifts,
future fancy in a given company over the coming years / months, market diversification
contributing to improved operational results, stocks at the beginning of a recovery or stocks that
are actually overlooked in industries.

Leo Leo is aimed at retail buyers and designed to include an appraisal of medium-to-long-term
resources by investing in stocks in the industry. This is a combination of mild and vigorous
tactics for investment. It seeks to provide a diverse portfolio of chosen Tortoise and Panther
assets. Derivatives disclosure shall be provided under appropriate legal limits.

We represent you with a vigilant, straightforward and process-oriented attitude and promise that
your money is cared for.

With its good credibility for an ethical and empirical approach to financial control, PMS gave
you by Religare. Although the business provides you the resources of a 24x7 public
communications advisor, the organization doesn't focus entirely on human skills. For you, this
means less harm, better efficiency and unimpeded consistency. Moreover, you are not restricted
to the investing style of a single person.

The business maintains that part of the brokerage at Religare Portfolio Management Services is
supported by external brokers. This ensures the fund is not excessively churned. In utilizing more
brokers, we have exposure to a wider variety of reports and analysis that allow us to take
smarter, more educated decisions. In fact, the portfolio is designed to achieve the investment
objectives.

Religare Wealth Management Software provides you with regular trading alerts. Rather of
waiting for the end of the month to keep track, you will see where your money is spent.

42
No fee before you benefit*.The fund management strategy of the religare business is so
confident that the organization will not bill you for the services of Religare unless the assets start
generating income. The aim of this division is to institutionalis and to introduce a process-
oriented strategy to meet the needs of the leading firms and organizations, through personalized
investment solutions Religare Portfolio management services invites you to invest through five
specific portfolios to suit your investment needs.

The division wants to be treated as a one-stop buyer and information hub for its consumers who
represent their specific and specialized needs.

The division is organized as a different SBU and comprises of a limited and yet brief community
of high-quality experts from the best in the industry.

The key strengths of Religare's product are:• extremely trained, devoted finance, consulting and
distribution staff• NSE / BSE and derivatives sector management capacities• In-depth,
informative and comprehensive analysis of over 60 stocks across different industries. FMCG,
Restaurants, Internet, Pharma, Automobiles, Cement, Steel Pipes, Transportation, Telecom,
Building and many more are included.

Current clients include many big domestic mutual funds, insurance providers, banks and FIIs.
They provide Religare's corporate customers advanced, streamlined and appropriate strategies.
This is Religare's relentless commitment to continuously boost principles through different
financial options such as corporate leverage, private equity, the IPO, ECB, FCCB, GDR / ADR
etc.

Religare's Investment Banking Division offers the following services:

Corporate Finance

The emphasis is to identify collaborators with Religare's consumers that not only lead to
increased revenue, but who enhance the organization's potential performance. The firm
specializes in organized finance and offers investment analysis, modelling and investment
consulting services.

43
Placement of Debt

44
Service Offerings

Research Services

45
Financial Data

Historically, we have worked as independent businesses. Fortis continued their company.

Any of these were affiliate companies of some of our Supporter Company firms: Securities
Limited, Fortis Comdex Limited and Fortis Finvest Limited. The Company purchased a
controling interest in Fortis Securities Limited, Fortis Comdex Limited and Fortis Finvest
Limited to consolidate our financial services activities under the name of Religare and

46
subsequently purchased a 100% share in these companies and in Religare Insurance Broking
Limited and Religare Venture Capital Private Limited.
Such companies are now the branches of our business. See the segment past and other
Organizational Issues for more information on our acquisitions and subsidiaries, "which
contains: • Stand-alone financial results of the Religare Companies Limited for Fiscal 2003,
2004, 2005, 2006 and 2007 prepared andre-established in compliance with Indian GAAP.
Currency of display Both "rupees" or "Rs." or "INR" refers are to Indian rupees, the Republic of
India's official currency. All ties to',$'' US$,'' USD,' and' USD,' $," "United States." Dollar(s) or
"Free States." Thedollar(s) "shall be the principal currency of the United States of America, the
United States of America.
This Red Herring Prospectus draft includes some U.S. interpretations. British rupees dollars and
other money sums (including US Dollars and other quantities of British rupees).
Those have only been sent to conform with Section 6.9.7.1 of the SEBI Guidelines. Such
interpretations can not be considered to reflect the options, at or at some cost, for Indian Rupees
or U.S. dollar or other sums to be translated into Indian Rupees. All the currency translations
given herein are focused on the exchange rates listed at www.oanda.com, the currency web site,
unless otherwise stated.
Market and Industry Information The information included in the whole Red Herring Prospectus
draft are collected from industry sources, unless otherwise specified. Industry reports usually
note that the knowledge in such reports is derived from sources that are deemed credible but that
its quality and completeness are not assured and its authenticity can not be assured. Although the
organization is confident that the market data included in this Red Herring Prospectus draft is
accurate, no outside source has checked it.
In addition, the degree to which the business data contained in this Red Herring Prospectus draft
is important depends on the reader's experience with and comprehension of the methodologies
and conclusions engaged in gathering these data and methodologies.

47
 CHAPTER-4
DATA ANALYSIS AND INTERPRETATION

48
 1000
900 Brokerage Intraday
800
700 Trading a/c Charges
600 Delivery
500 D-mat a/c charges 1st
400 year
300
200 D-mat a/c charges
100 Afterwards
0 D-mat a/c charges Equity

D-mat a/c charges

Commodity

INTERPRETATION: The key element shaping investor judgment is brokerage. Clear

ICICI. Com pays the largest Intraday and Distribution brokerage. The HDFC Securities
was liable for the lowest brokerage.

49
 Preference of Investment

7% 2%
16% Only shares

Mutual funds
75%
Bonds
Derivatives

Chart 5.1

INTERPRETATION: This indicates that although the demand for mutual funds is
also growing, the most preferred investment is still in the bond market. Thus, savings in
the capital market will certainly be improved in a more open framework.

50
 Awareness Of Online Share
Trading

No
9%

Yes
91%

Chart 5.2

INTERPRETATION: The growth in cyber education has contributed to the rise in

understanding of electronic share trading. The growth in Internet schooling is projected to
further raise this understanding.

51
 AWARENESS OF RELIGARE AS A BRAND

43%
YES
NO
57%

Chart 5.3

Interpretation: This example demonstrates that Religare has fair knowledge of a

leading retail stock broker. The organization will also exploit this brand identity to boost
its market dominance over its rivals.

52
 Awareness of Religare's facilities

17%

Yes
83% No

Interpretation: Since the target market already has relatively poor brand value, consumers will
be conscious of the facilities offered by the organization, suggesting that the business will rely
primarily on sales resources and raise the emphasis on quality recognition rather than brand
knowledge.

53
 Demat Account Market

12% Religare

26% ICICI Direct

31% Kotak Securities
24%
IndiaBulls
Others
7%

Interpretation: This demonstrates that Religare ranks only third among Demat account providers,
even though the Brand Value is fairly high. Perhaps for two key reasons:
1. Failure to foster and concentrate on public recognition
2. Yes–the Organization will then crystallize its goods and indulge in vigorous
advertisement and advertising. Yes–straightforward business strategy.

54
55
56
57
 CHAPTER V
FINDINGS & SUGGESTIONS, CONCLUSIONS

58
 FINDINGS

1. The researcher noticed that the job of a broking firm is particularly dangerous, because
danger is involved in all operations of the business.
2. The risk in the business is then known as an effective risk control function of a broker.
3. The stock market is rising quite quickly, both in terms of sales and in the business
industry.
4.The activities have reached throughout the world. Both these were needed in the form of
advanced technologies when implementing the new technology.
5. Broking is a customer-based service. The latest wave of major valuation raises has also
raised the danger involved. Continuous updating of internal control systems is needed
6. Workers in a broking business are often occupied and under pressures.

59
 SUGGESTIONS

1. An organization’s risk management role will be independent of the trading personnel i.e.
the risk management system workers should be different from the trading plane personnel.
2. To order to insure that they are effective and safe, the senior management will
periodically review the risk assessment mechanism to operation.
3. Senior management is also required to facilitate and engage in constructive conversations
with the board of directors, affiliate distributors, franchisees, risk control personnel and partners
in risk assessment and control processes.
4. Highly trained staff in all aspects of risk reduction and quality regulation, including
dealing desks, partnership officers and manufacturing, as well as in all the back departments.
5. Risk management or control role should be in a position to generate a risk management
report which highlights positions, limitations and excesses centered on a trading operation. This
paper will be sent to senior management, checked, signed and returned to supervisory personnel.
6. Auditors will perform an regular comprehensive risk assessment analysis, emphasizing
division of responsibilities and data accuracy evaluation.
7. The appointed enforcement officer will perform an regular review of trading practices.

60
 CONCLUSIONS

Reporting of telephone calls to distributors and suppliers to settle conflicts at different

rates. Quick and regular communications between risk management, sub brokers and consumers
can help to reduce the time taken to establish limits. Periodic calls by the RELIGARE
SECURITIES to sub dealers and franchisees. Interaction and compliance workers can help to
mitigate the danger to a significant degree.

In terms of threats for dealers, well-trained and less frustrated dealers can tend to minimize
mistakes. It was noticed that most errors arise while they are stressed. HRD wants to help with
this. The employees are named with due caution in the arbitration department and their regular
reviews should be carried out to prevent any workplace misconduct.

Along with the broad consumer base, service satisfaction can help to drive sustainable market
development and reduce risk.

61
ANNEXURE

62
 BIBLIOGRAPHY
&
WEBLIOGRAPHY

Text Books

63