Escolar Documentos
Profissional Documentos
Cultura Documentos
AT
CAPSTOCKS
DECLARATION
JUGUNU S NAIR
Place: Thiruvananthapuram
Date:
ACKNOWLEDGEMENT
Page 2
JUGUNU S NAIR
CONTENTS
CHAPTER
ICM-UIM POOJAPURA
CONTENTS
Page 2
PAGE NO.
INTRODUCTION
1.1
OBJECTIVE OF STUDY
1.2
1.3
1.4
INDUSTRY PROFILE
5-18
COMPANY PROFILE
19-27
ORGANISATION STRUCTURE
28-30
DEPARTMENTAL ANALYSIS
31-76
SWOT ANALYSIS
77-79
7.1
FINDINGS
81
7.2
CONCLUSION
82
REFERENCES
83
ICM-UIM POOJAPURA
Page 2
CHAPTER 1
INTRODUCTION
ICM-UIM POOJAPURA
Page 1
INTRODUCTION
ICM-UIM POOJAPURA
Page 2
METHODOLOGY
ii.
b) Secondary sources
i.
ii.
ICM-UIM POOJAPURA
Page 3
LIMITATIONS OF STUDY
The time was limited for a deep study and analysis of the
organization.
The study was conducted on working days were the
concerned officials were busy with trading activities.
Confidentiality makes difficulty in getting the appropriate
data.
ICM-UIM POOJAPURA
Page 4
CHAPTER 2
INDUSTRY PROFILE
ICM-UIM POOJAPURA
Page 5
Page 6
Shares of companies which are not in the spot list are known
as cash shares or B category shares. They are traded on the
cash basis. The actual delivery of securities and payment has to
be made on or before the settlement date fixed in the case of
cash basis trading.
ICM-UIM POOJAPURA
Page 7
TYPES OF SECURITIES
Securities traded in the stock exchange can be classified as
under:
b. Permitted securities:
The securities listed in some of the recognized stock
exchange
When permitted to be traded by those stock exchanges where
they are not listed are called permitted securities. Such
permission is given if suitable provision exists in the regulations of
the concerned stock exchanges.
TYPES OF DELIVERY
ICM-UIM POOJAPURA
Page 8
MARGINS
MARGIN TRADING
ICM-UIM POOJAPURA
Page 9
Page 10
ICM-UIM POOJAPURA
Page 11
Page 12
TRADING LINE
Page 13
SETTLEMENT SYSTEM
Page 14
ICM-UIM POOJAPURA
Page 15
BSE also provides a facility to the market participants for online trading of odd-lot securities in physical form in A, B,T,
and Z group and in rights renunciations in all groups of scrips in
the equity segment.
ICM-UIM POOJAPURA
Page 16
ICM-UIM POOJAPURA
Page 17
Page 18
ICM-UIM POOJAPURA
Page 19
ICM-UIM POOJAPURA
Page 20
CHAPTER 3
COMPANY PROFILE
HISTORY
ICM-UIM POOJAPURA
Page 21
MANAGEMENT
Page 22
STRATEGIC INTENT
ISO CERTIFICATION
Page 23
Page 24
QUALITY POLICY
CAPSTOCKS is committed to render the best knowledgebased personalized services in stock broking and related financial
services, complying with all relevant requirements, by continually
improving the competence of manpower and effectiveness of
quality management systems, optimizing technology and
infrastructure, thereby enhancing customer satisfaction.
SERVICE PROFILE
ICM-UIM POOJAPURA
Page 25
Online trading
2. Internet trading
3. Depository Services
Page 26
5. Knowledge Centre
Page 27
8. Commodity Trading
You can trade in commodity futures like gold, silver, crude oil ,
rubber etc. and take advantage of the extended trading hours (10
am to 11 pm ) in commodities trading.
ICM-UIM POOJAPURA
Page 28
Page 29
CHAPTER 4
ORGANISATION STRUCTURE
ICM-UIM POOJAPURA
Page 30
MANAGEMENT
Page 31
ICM-UIM POOJAPURA
Page 32
TRADING
DEP
DELIVERY
DEP
DEPOSITORY
DEP
COMMODITI
ES
SURVEILLAN
CE
EQT
RESEARCH
HOD
HOD
HOD
HOD
HOD
HOD
MANAGER
MANAGER
MANAGER
MANAGER
MANAGER
MANAGER
ASST.MNGR
ASST.MNGR
ASST.MANAG
ASST.MNGR
ASST.MAGR
ASST.MNGR
SR.EXECTV
SR.EXECTV
SR,EXECTV
SR.EXECTV
SR.EXECTV
SR.EXECTV
JR.EXECTV
JR.EXECTV
JR.EXECTV
JR.EXECTV
JR.EXECTV
JR EXECTV
OFC.ASST.
OFC.ASST
OFC.ASST
OFC.AAST
OFC.ASST
CLIENT
RELATN
ACCOUNTS
MARKETING
DEPT
HR DEPT
SYSTEMS
HOD
HOD
CONSULTANT
ASST.MNGR
IT MANAGER
MANAGER
MANAGER
HOD
SR.EXECTV
ASST.MANGE
R
ASST.MANAG
ER
SR.EXECTV
SR.EXECTV
JR.EXECTV
JR.EXECTV
OFC.ASST
OFC.ASST
JR.EXECTV
MANAGE
R
ASST.MG
R
FRANCHIS
EE
MANAGER
REG.MNG
R
SR.EXECUTIVE
JR.EXECUTIVE
ICM-UIM POOJAPURA
Page 33
ASST.
ASST.
MNGR
MNGR
NETWORK
ADMINNISTR
A-TOR
SYSTEM
ADMINISTR
A-TOR
CHAPTER 5
DEPARTMENTAL ANALYSIS
ICM-UIM POOJAPURA
Page 34
ICM-UIM POOJAPURA
Page 35
HEAD OF THE
DEPARTMENT
MANAGER
ASSISTANT MANAGER
SENIOR EXECUTIVE
JUNIOR EXECUTIVE
Functions
ICM-UIM POOJAPURA
Page 36
NEAT
Page 37
CORPORATE HIERARCHY
CORPORATE MANAGER
BRANCH MANAGER
DEALER
The trading member has the facility of defining a hierarchy
amongst its users of the NEAT system. This hierarchy comprises:
Corporate manager:
The corporate manager is a term
assigned to a user placed
at the highest level in a trading firm. Such a user receives the end
of day reports
for all branches of the trading member. The facility to set branch
order value
limits and user order value limits is available to the corporate
manager.
Page 38
CONTRACT NOTE
Order Management
Order Management consists of entering orders,
modification, order cancellation and order matching.
Entering Orders
ICM-UIM POOJAPURA
Page 39
order
Order Books
As and when valid orders are entered or received by the trading
system, they are first numbered, time stamped and then scanned
for a potential match. This means that each order has a
distinctive order number and a unique time stamp on it. If a
match is not found, then the orders are stored in the books as per
the price/time priority. Price priority means that if two orders are
entered into the system, the order having the best price gets the
higher priority. Time priority means if two orders having the same
price is entered, the order that is entered first gets the higher
priority. Best price for a sell order is the lowest price and for a buy
order, it is the highest price,
The different order books in the NEAT system are as detailed
below:
ICM-UIM POOJAPURA
Page 40
a)Time Conditions.
ICM-UIM POOJAPURA
Page 41
b)Quantity Conditions
DQ: An order with a Disclosed Quantity @Q) allows the user to
disclose only a portion of the order quantity to the market. For
e.g. if the order quantity is 10,000 and the disclosed quantity is
2,000, then only 2,000 is released to the market. After this
quantity is fully matched, a subsequent quantity of 2,000 is
disclosed. Thus, totally five disclosures with the same order
number are shown one after the other in the market.
c) Price Conditions
Market: Market orders are orders for which price is specified as
'MKT' at the time the order is entered. For such orders, the system
determines the price.
Stop-Loss: This facility allows the user to release an order into
the system, after the market price of the security reaches or
crosses a threshold price called trigger price.
Example: If for stop loss buy order, the trigger is Rs.93.00, the
limit price is Rs.95.00 and the market (last traded) price is
Rs.90.00, then this order is released into the system once the
ICM-UIM POOJAPURA
Page 42
Order Modification
All orders can be modified in the system till the time only during
market hours. Once an order is modified, the branch gets
adjusted automatically. Following is the corporate hierarchy for performing
order modification functionality:
A' dealer can modify only the orders entered by him.
A branch manager can modify his own orders or orders of
any dealer under his Branch.
A corporate manager can modify his own orders or orders of
all dealers and branch managers of the trading member firm.
However, the corporate manager/branch manager cannot
modify order details such that it exceeds the branch order
value limit set for the day. Order modification cannot be
performed by/for a trading member who is suspended or deactivated by the Exchange for any reason.
A buyback having 'BUYBACKORD' in the client account field
cannot be modified to any other client account. Any order
modifications resulting. In price or quantity freeze shall not be
allowed. The user will receive a message "CFO Request Rejected'
for such modification requests.
ICM-UIM POOJAPURA
Page 43
Order Cancellation
Order cancellation functionality can be performed only for orders
which have not been fully or partially traded (for the untraded
part of partially traded orders only) and only during market hours
.
Matching Priority
The best sell order is the order with the lowest price and a best
buy order is the order with the highest price. The unmatched
orders are queued in the system by the following priority:
ICM-UIM POOJAPURA
Page 44
the
the
the
the
ICM-UIM POOJAPURA
Page 45
Trade Modification
ICM-UIM POOJAPURA
Page 46
Trade Cancellation
The user can use trade cancellation screen for cancelling trades
done during the day. If the user is a corporate manager of a
trading member firm, he can request for trade cancellation for the
trades of any dealer of the trading members firm and if he is a
branch manager of a branch, then he can request for trade
cancellation for the trades for any dealer of the branch of the
trading member firm. The user can request for trade cancellation
either from the previous trades screen or by using the function
key provided in the workstation. The trade cancellation request is
sent to the Exchange for approval and message to that effect is
displayed in the message window. The counter party to the trade
also receives the message.
Internet Broking
Page 47
ICM-UIM POOJAPURA
Page 48
DELIVERY DEPARTMENT
Head of department
Manager
Assistant executive
Senior executives
Junior executive
Office assistant
The delivery department deals with the settlement of cash market
transactions. The settlement mechanism in Indian securities
market has witnessed significant changes and several innovations
during the last decade. Till recently, the stock exchanges in India
were following a system of account period settlement for cash
market transactions. T+2 rolling settlement have now been
introduced for all securities. The members receive the
funds/securities in accordance with the pay in/pay- out schedules
notified by the respective exchanges' Given the growing volume
of trades and market volatility, the time gap between trading and
settlement gives rise to settlement risk.
Functions
ICM-UIM POOJAPURA
Page 49
Settlement Cycle
At the end of each trading day, concluded or locked-in trades are
received from NSE by NSCCL. NSCCL determines the cumulative
obligations of each member and electronically transfers the data
to Clearing Members (CMs). All trades concluded during a
particular trading period are settled together. A multilateral
netting procedure is adopted to determine the net settlement
obligations (delivery/receipt positions) of CMs. NSCCL then
allocates or assigns delivery of securities inter se the members to
arrive at the delivery and receipt obligation of funds and
securities by each member. On the securities pay-in day,
delivering members are required to bring in securities to NSCCL.
On pay out day the securities are delivered to the respective
receiving members. Settlement is deemed to be complete upon
declaration and release of pay-out of funds and securities.
Exceptions may arise because of short delivery of securities by
CMs, bad deliveries or company objections on the pay-out day.
NSCCL identifies short deliveries and conducts a buying-in auction
on the day after the payout day through the NSE trading system.
The delivering CM is debited by an amount equivalent to the
securities not delivered and valued at a valuation price (the
closing price as announced by NSE on the day previous to the day
of the valuation). If the buy-in auction price is more than the
valuation price, the CM is required to make good the difference.
All shortages not bought-in are deemed closed out at the highest
price between the first day of the trading period till the day of
ICM-UIM POOJAPURA
Page 50
Normal Market
In a rolling settlement, trade day is T day, T+1 day andT+2 day
for NSCCL. The trades executed each trading day are considered
ICM-UIM POOJAPURA
Page 51
ACTIVITY
DAY
Trading
Rolling settlement
Trading T
Clearing settlement
Custodial services
Delivery services
T+2
days
working
Settlement services
Security and funds pay in
T+2
working
days
T+1 closing price
ICM-UIM POOJAPURA
Page 52
T+3
days
T+4
days
T+5
days
T+6
days
T+8
days
working
working
working
working
working
ICM-UIM POOJAPURA
Page 53
working
HEAD OF DEPARTMENT
MANGER
ASSISTANT MANAGER
SENIOR MANAGER
JUNIOR EXECUTIVE
OFFICE ASSISTANT
Capstocks is a member of the Central Depository Services (India)
Limited (CDSL), offer depository services with minimum Annual
Maintenance Charges and transaction charges. Account holders
can view their holding position through the Internet. They also
offer the "easiest " facility provided by CDSL (electronic access to
securities information and execution of secured transaction)
through which clients can give delivery instructions via the
Internet.
Functions
To transfers the securities from the pool accounts of
members/custodians to the settlement account of the
clearing agency.
ICM-UIM POOJAPURA
Page 54
Page 55
Page 56
ICM-UIM POOJAPURA
Page 57
ICM-UIM POOJAPURA
Page 58
Head of the
department
Manager
Assistant manager
Senior manager
Junior manager
Office assistant
Functions
Trading of commodities
Account Opening
Commodity
FCRA Forward Contracts (Regulation) Act, 1952 defines goods"
as "every kind of movable property other than actionable claims,
money and securities". Futures trading is organized in such
goods or commodities as are permitted by the Central
Government. At present, all goods and products of agricultural
(including plantation), mineral and fossil origin are allowed for
futures trading under the auspices of the commodity exchanges
recognized under the FCRA.
ICM-UIM POOJAPURA
Page 59
Trade Account
To trade in the Futures market the client has to register himself
and open an account with the broking organization known as
trading account. Trading Lot: Each commodity should be sold and
bought in the Futures market at a specific quantity. These
quantities are called trading lots fixed by the exchanges. For
rubber and pepper it is 1 ton, while it is I quintal for cardamom.
Volatility: A measurement of the change in price over a given time
period.
ICM-UIM POOJAPURA
Page 60
ICM-UIM POOJAPURA
Page 61
Products
Oil seeds
Castor Seed, Copra, Cotton Seed, Cumin Seed (Jeera), Groundnut,
Linseed, Rape Avlustard seed, Rape Seed-42, Safflower, Sesame
Seed, Soyabean , Sunflower seed , Yellow Soybean Meal
ICM-UIM POOJAPURA
Page 62
OiI cakes
Castor Oilcake, Coconut Oilcake, Cotton Seed Oilcake ,Groundnut
Oilcake,Linseed Oilcake, Rape/Mustard Seed Oilcake ,Safflower
seed Oilcake, Sesame Oilcake, Soybean Oilcake, Sunflower seed
Oilcake
Metals
Aluminium, Copper, Gold
(
1
Zinc
00Gms),KiloGold,Lead,Nickel,Silve,SteelFlat,Steell,ong,Tin,
Energy
Crude oil, Furnace oil, Natural gas
Spices
Pepper, Cardamom, Turmeric, Red Chilli
Pulses
Gram, Tur/Arha, Urad, Moong, Masoor, Yellow Peas
Others
Rubber, Sacking, Sugar, Gur, Guar seed, Bandani, Wheat, Rice,
Raw Jute, Kapas
ICM-UIM POOJAPURA
Page 63
Traders
Can trade by spending only the margin amount.
ICM-UIM POOJAPURA
Page 64
GOLD
Above ground supply from sales by central banks, reclaimed
scrap and official gold loans
Producer / miner hedging interest
World macro-economic factors - US Dollar, Interest rate
Comparative returns on stock markets
Domestic demand based on monsoon and agricultural output
SILVER
ICM-UIM POOJAPURA
Page 65
COPPER
Price fluctuations of copper in London Metal Exchange
Production level of copper in the world
Growth prospects of the major copper consuming countries
of the world
Growth prospects of the various consuming sectors
NICKEL
ZINC
ICM-UIM POOJAPURA
Page 66
NATURAT GAS
HEAD OF DEPARTMENT
MANAGER
ASSISTANT MANAGER
SENIOR MANAGER
ICM-UIM POOJAPURA
JUNIOR MANAGER
Page 67
OFFICE ASSISTANT
Functions
The Company has a full-fledged Investment Research & Analysis
Department to help their clients to make investment decisions.
Gives information on any share the clients hold or plan to
purchase.
Publish a monthly newsletter' CAPSTOCKS INFOLINE' which
contains their views on the latest trends in the markets, scrip
recommendation, tutorials, news items etc.
Issue a daily newsletter, ' CAPS TREND'.
The department provides classes for clients regarding the
current shares.
Page 68
Investment Objective
The investment goal is to maximize returns through intelligent
stock picking and analysis. The main approach is to invest in a
mix of securities comprising of front line stocks, mid cap stocks
and identified growth stocks.
Page 69
Client Reporting
The client can find out the NAV of their portfolio and how their
investments are faring on a daily basis through email. Where
email facility is not available" company will send a biweekly report
by post, or the information can be made available anytime from
office on request.
ICM-UIM POOJAPURA
Page 70
ICM-UIM POOJAPURA
Page 71
Manager
Assistant manager
Senior manager
Junior executive
Office assistant
A sound risk management system is integral to an efficient
settlement system. NSCCL has put in place a comprehensive risk
management system, which is constantly monitored and
upgraded to pre-empt market failures. It monitors the track record
and performance of members and their net worth; undertakes online monitoring of members' positions and exposure in the market
collects margins from clients and automatically disables members
if the limits are breach.
Functions
To keep companys fund flow and equilibrium
To protect the customer fund.
ICM-UIM POOJAPURA
Page 72
CLIENT RELATION
Head of the department
Manager
Assistant manager
Senior manager
Junior executive
Office assistant
Functions
Account opening
Trading account modification (address, ph.no., bank details,
mail id)
To handle customer grievances and direct them to the
specific department
To provide application of IPO
ICM-UIM POOJAPURA
Page 73
ICM-UIM POOJAPURA
Page 74
ICM-UIM POOJAPURA
Page 75
ASSISTANT
MANAGER
ASSISTANT
MANAGER
NETWORK
ADMINISTRA
TORR
SYSTEM
ADMINISTRAT
OR
FUNCTIONS
For a Share Broking firm the system department has a very bring
role to play Trading is the main process in this type of company
and for this purpose the software ODIN is using. All the branches
are connected to the head office and whatever doing in the
branches, using for the transmission.
4 Type of connectivity is there
1. A SAT
2, VPN [Virtual Private Network]
ICM-UIM POOJAPURA
Page 76
Assistant manager
Senior executives
Junior executives
Functions
ICM-UIM POOJAPURA
Page 77
Exam
Validity
3
3
3
NCDEX (Commodity)
MCX (Commodity)
ICM-UIM POOJAPURA
Page 78
Performance Appraisal:
Performance appraisal is done on the basis of certain factors such
as job knowledge, job responsibility, quality & quantity of work,
ICM-UIM POOJAPURA
Page 79
MARKETING DEPARTMENT
.
ICM-UIM POOJAPURA
80
MARKETING Page
CONSULTANT
MANAGER
Franchisee
AssistantSenior
Regional
HOD
Junior
manager
manager
manager
manager
ICM-UIM POOJAPURA
Page 81
ICM-UIM POOJAPURA
Page 82
HEAD OF THE
DEPARTMENT
Manager
Assistant executive
Senior manager
Junior manager
Money is the lifeblood
of any
organization as it is required to
Office
assistant
purchase raw materials and machines, to pay wages and salaries
etc. the financial statement of the company is prepared under the
convention accrual basis as a going concern.
Functions
The main functions of Finance Department come mainly are
categories, they
Cash Receipts /PaYments
Bank Receipts / Payments
Finalizatian
ICM-UIM POOJAPURA
Page 83
Finalization
Analysis of ledger
Rectification of error
Adjusting and clearing entries
Assisting internal Audit
Assisting statutory audit
Preparation of Trial balance, P&L accountant and Balance
sheet
ICM-UIM POOJAPURA
Page 84
CHAPTER 6
SWOT ANALYSIS
ICM-UIM POOJAPURA
Page 85
Strength
Good relation between employees and top management
Good working conditions
An excellent pool of trained staffs, three forth of them is
certified by NISM, MCX, NCDEX, NMCE examinations.
Capstocks is the second largest Kerala based stock broking
company.
Efficient quality system awarded with ISO certificate.
Good training and induction program for workers
Weakness
Opportunity
ICM-UIM POOJAPURA
Page 86
market
Threat
ICM-UIM POOJAPURA
Page 87
investment
CHAPTER 7
FINDINGS AND CONCLUSION
ICM-UIM POOJAPURA
Page 88
FINDINGS
ICM-UIM POOJAPURA
Page 89
CONCLUSION
ICM-UIM POOJAPURA
Page 90
REFERENCES
WEBPRTALS
www.capstocksindia.com
www.bse-india.com
www.cdslindia.com
www.sebi.com
www.nse-india.com
ICM-UIM POOJAPURA
Page 91
of