CHAPTER:1

COMPANY PROFILE
_______________________________________________________
INTRODUCTION
Success is a journey, not a destination. If we look for examples to prove this
quote then we can find many but there is none like that of karvy. Back in the year 1981, five
people created history by establishing karvy and company which is today known as karvy, the
largest financial service provider of India.
SUCCESS SUTRAS OF KARVY
The success story of karvy is driven by 8 success sutras adopted by it namely trust,
integrity, dedication, commitment, enterprise, hard work and team
play, learning and innovation, empathy and humility. These are the
values that bind success with karvy.
9
VISION OF KARVY
To achieve & sustain market leadership, Karvy shall aim for complete customer satisfaction, by
combining its human and technological resources, to provide world class quality services. In
the process Karvy shall strive to meet and exceed customer's satisfaction and set industry
standards.
MISSION STATEMENT
Our mission is to be a leading and preferred service provider to our customers, and we aim to
achieve this leadership position by building an innovative, enterprising , and technology driven
organization which will set the highest standards of service and business ethics.
10
THE SUCCESS LADDER
COMPANY OVERVIEW
Karvy was established as karvy and company by five chartered accountants during the year
1979-80, and then its work was confined to audit and taxation only. Later on it diversified into
financial and accounting services during the year 1981-82 with a capital of rs.150000. It
achieved its first milestone after its first investment in technology. Karvy became a known
name during the year 1985-86 when it forayed into capital market as registrar.
11
EVOLUTION OF KARVY
It is well said that success is a journey not a destination and we can see it being proved by
karvy. Under this section we will see that how this karvy and company of 1980 became
karvy of 2008. Karvy blossomed with the setting up of its first branch at Mumbai during the
year 1987-88. The turning point came in the year 1989 when it decided to enter into one of the
not only emerging rather potential field too ie; stock broking. It added the feather of stock
broking into its cap. At the same time it became the member of Hyderabad Stock Exchange
through associate firm karvy securities ltd and ..it went on adding services one after
another, it entered into retail stock broking in the year 1990. Karvy investor service centers
were set up in the year 1992. Karvy which already enjoyed a wide network through its investor
service centers, entered into financial product distribution services in the year 1993. One year
more and karvy was now dealing into mutual fund services too in the year 1994 but it didnt
stopped there, it stepped into corporate finance and investment banking in the year 1995.
Karvys strategy has always been being the first entrant in the market.
Karvy again hit the limelight by becoming the first registrar in the country
to be awarded ISO 9002 in the year 1997. Then it stepped into the other
most Happening sector ie; IT enabled services by establishing its own BPO units and at a gap
of just 1 year it took the path of e-Business through its website www.karvy.com . Then it
entered into insurance services in the year 2001 with the launch of its retail arm karvy- the
Finapolis: your personal finance advisor. Then in the year 2002 it launched its PCG(Private
Client Group) which looks after its High Net worth Individuals .and maintain their portfolio
and provides them with other financial services. In the year 2003, it commenced secondary
debt and WDM trading.
12
It was a decade which saw many Indian companies going global..so why the largest financial
service provider of India should lag behind? Hence, karvy launched karvy global services
limited after entering into a joint venture with Computershare, Australia in the year 2004.the
year 2004 also saw karvy entering into commodities marketing through karvy comtrade.
Year 2005 saw karvy establishing a separate branch for its insurance services under the head
karvy insurance broking ltd and in the same year, after being impressed with the rapid growth
of karvy stock broking limited, PCG group of Hong Kong acquired 25% stake at KSBL. In the
year 2006, karvy entered into one of the hottest sector of present time ie; real estate Through
Karvy realty& services (India) ltd. Hence, we can see now karvy being established as the
largest financial service provider of the country.
13
NOW KARVY GROUP CONSISTS OF NINE HIGHLY RENOWNED
ENTITIES WHICH ARE AS FOLLOWS:
1. : The first securities registry to receive ISO 9002 certification in
India. Registered with SEBI as Category I Registrar, is Number 1 Registrar in the Country. The
award of being Most Admired Registrar is one among many of the acknowledgements we
received for our customer friendly and competent services.
2. : karvy stock broking ltd. Consists of five units namely stock
broking servics, depository participant, advisory services, distribution of financial products,
advisory services and private client goups.
3. : it is registered with SEBI as a category 1 merchant
banker. Its clientele includesinclude leading corporate, State Governments, foreign institutional
investors, public and private sector companies and banks, in Indian and global markets.
14
4. : karvy insurance broking ltd is also a part of karvy stock
broking ltd. At Karvy Insurance Broking Limited both life and non-life insurance products are
provided to retail individuals, high net-worth clients and corporates.
5. : The company provides investment, advisory and brokerage
services in Indian Commodities Markets. And most importantly, it offer a wide reach through
our branch network of over 225 branches located across 180 cities.
6.: Karvy Global is a leading business and knowledge process
outsourcing Services Company offering creative business solutions to clients globally. It
operates in banking and financial services, inurance, healthcare and pharmaceuticals, media ,
telecom and technology. It has its sales and business development office in New York, USA
and the offshore global delivery center in Hyderabad, India
7. : Karvy Realty (India) Limited is engaged in the business of
real estate and property services offering:
 Buying/ selling/ renting of properties
Identifying valuable investments opportunities in the real estate sector
15
Facilitating financial support for real estate and investments in properties
Real estate portfolio advisory services
8. : it is a joint venture between Computershare, Australia and
Karvy the BPO services are managed by karvy global services ltd. Summarizing it in a
diagram, it can Consultants Limited, India in the registry management services industry.
9. Karvy Private Wealth provides you with Comprehensive
Financial Planning services that analyses your financial health thoroughly and helps you plan
your investments to meet your medium term and long-term goals. As part of this
comprehensive financial planning, we also provide recommendations on your current portfolio,
restructuring of current loans and advice on tax optimization.
16
ORGANISATION STRUCTURE OF KARVY
talking about the organization structure of karvy, we have the board of directors as the supreme
governing body , the chairman being Mr. C Parthasarthy, Mr. M. yugandhar as the managing
director, Mr. M. Ramakrishna. Prasad V. potluri as directors.
The board of diretors head the karvy group, karvy computershares limited, karvy investors
services Ltd., karvy comtrade, karvy stock broking Ltd., and karvy global services Ltd.
Karvy group being the flagship company looks after the functional departments such as
corporate affairs, group human resources, finance & accounting, training & development,
technology services and corporate quality.
Karvy computershare private limited facilitates mutual fund services, share registry and issue
registry whereas merchant banking is looked after by karvy investor services ltd. Karvy stock
broking ltd heads its another branch too ie. Karvy insurance broking ltd. The services offered
by KSBL are: stock broking, depository, research, distribution, personal client group and
institutional desk. And finally be presented as:
17
SPECTRUM OF SERVICES OFFERED BY KARVY
Karvy being the top registrar and transfer agent, functions as registrar in most of the issues in
the country. Talking about the mutual fund services offered by karvy, we can get the products
of 33 AMCs over here. it deals in both closed ended funds as well as open ended too. Now one
must be thinking why to get the mutual funds from karvy instead of getting it directly from
AMCs? we have great reasons for it: the first one being ; if we avail the services of karvy then
we can get the information about all the AMCs and their products at a single place along with
expert recommendations whereas at an AMC we can get information about the products of that
specific AMC only. And the second being wide network of karvy.nowadays we can find
karvy offices at remote areas too.
18
Along with these, karvy is very well handling the role of depository participant. Being
registered with both the depositories i.e.; NSDL (national securities depository ltd) and CDSL
(central depository services ltd), karvy can have access to both. Its wide network also facilitates
it in distribution of retail financial products.
Karvy believes in being updated always. So it is always ready to use latest technologies so
that its clients always be in touch with the latest happenings along with karvy. It offers ebusiness
through internet through its website: www.karvy.com . Other than it, it also provides
its various services through SMS.
Karvys services are not limited to its investors only rather its offerings are for its corporate
clients and distributors too. it is very well aware of the fact that in this era of neck to neck
competition, we cant ignore any of the aspects of our business.so theres a offering for
everybodyeveryones welcome at karvy.
WHY SHOULD INVESTORS CHOOSE FOR KARVY?
Excellence is next to nothing.and here at karvy everybody tries their best to offer excellent
services to its clientele through its offerings maintaining the karvy culture which includes:
1. Controlled and low cost service culture: karvy is there to serve its client at the minimum
possible cost. it controls cost by its various cost- cutting techniques and minimization of
avoidable costs.
2. Large volume processing capability: being the largest financial service provider in the
country, it has the unique distinction of operating its activities on a large scale which benefits
all the parties cordially.
3. Adherence to strict time schedule: karvy knows that time is money and tries it best to finish
the task within the stipulated time schedule.
19
4. Expertise in coordinating multi-location responses: karvy has got a wide network and hence
one can find its branches at most of the places in India. Thus it enjoys its presence everywhere
and coordinates among itself in solving the queries and in responding to any situation.
5. Expertise in managing independent entities such as banks, post-office etc.: the work culture
of karvy and the ethics followed inside karvy makes its workforce compatible with everybody,
so the karvy people establishes good coordination with independent entities too.
6. Pooling of group resources: karvy group consists of eight subsidiaries, so it can easily pool
up its resources for accomplishment of its goals, whenever needed. The groups can help each
other whenever there are peaks and lows, and even in the case when they have huge targets just
as we saw few years back, Tata group pooling its resources to acquire Corus.
HOW KARVY ACHIEVED IT?
The core competency of karvy lies in the following points due to which it enjoys a competitive
edge over its competitors. The following culture adopted by karvy makes it all time favorite
among its clientele:
1. Professionally managed by qualified and trained manpower.
2. Uniquely structured in-house software and hardware department
3. Query handling within 48 hrs.
4. Strong secretarial, accounting and audit systems.
5. Unique work culture of working 7 days a week in 3 shifts.
6. Unmatched network spreading all over India.