Escolar Documentos
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EXECUTIVE SUMMERY
The organization where I conducted my project was Aditya Birla Money. The
project focuses on the “Study On Online and Offline Share Trading”, Pune.
The security and exchange board of India has permitted such trading on
January-31-2000. After that many players have offered these services to the
investors. Is trading through Internet safe? What if someone steal my investments
or, does anyone else have access to my accounts? If these are the questions that
stop you from online share trading then the solutions are here. Which decade you
are living in? Internet trading today is one of the largest mediums of investments
and nothing can compete with it.
The Objective of Project is:
➢ To study the existing online & offline share trading scenario with respect to
Aditya Birla Money.
➢ To study the importance of IT in investment.
Findings
1. The study found that rating of Online and Offline Trading by the respondent.
It clearly tells that 52% people agree to do Online Trading and 46% Disagree
to do offline Trading.
2. The study found that 28% respondents prefer Online Trading because it is
Time Saving and 54% respondents prefer Offline Trading because of
Brokerage.
3. The study found that 70% respondent prefers more Technology while doing
investment.
Suggestions:
1. The company has to make aggressive marketing so that everyone is aware of the
online share trading.
2. Thus awareness gives the opportunity for the acceptance of the online share
trading.
Conclusion:
So they need to know, what are the awareness level & the customer response
about Stock Market and Trading. I collected the information by a structured
questionnaire that included requirements what the company needed & the
questionnaire is attached in the appendix.
Company Profile
Aditya Birla Money Mart Limited ‘ABMML’ (formerly Birla Sun Life
Distribution Company Limited) is a wholly owned subsidiary of Aditya Birla
Nuvo Ltd. (Nuvo). Earlier it was established as a joint venture between Aditya
Birla Nuvo and Sun Life (India) Distribution Investments. In March 2009, Nuvo
purchased the remaining 50.001 per cent stake from its joint venture partner. The
company was launched in the year 1999 with the vision to be 'the first preference
of our customers’ as a leading integrated provider of financial services through
superior value creation and technology.
Aditya Birla Money Mart Limited offers wealth management, financial planning
and investment solutions, mainly through a range of products like mutual funds,
insurance, PE funds, alternate investments, select fixed deposits and IPOs and
structured products. The company provides life insurance products of Birla Sun
Life Insurance, sourced through its wholly owned subsidiary BSDL Insurance
Advisory Services Ltd (BSDLIAS), licensed to act as a Corporate Agent of Birla
Sun Life Insurance Company Limited.
The Corporate & Institutional section caters to banks, financial institutions and
other companies; Wealth Management service focuses on HNIs; while the Retail
section offers solutions through Channel Partners and branches.
Noteworthy achievements
Among the top distributors in the country with AUM (Assets Under
Management) of Rs 18000 cr from 3.25 lakh investors
Network of 47 branches in 35 cities across India and growing, besides over 7800
business associates
A US$ 29 billion corporation, the Aditya Birla Group is in the League of Fortune
500. It is anchored by an extraordinary force of 130,000 employees, belonging to
30 different nationalities. In the year 2009, the Group was ranked among the top
six great places for leaders in the Asia-Pacific region, in a study conducted by
Hewitt Associates, RBL Group and Fortune magazine. In India, the Group has
been adjudged the best employer in India and among the top 20 in Asia by the
Hewitt-Economic Times and Wall Street Journal Study 2007.
Over 60 per cent of the Group's revenues flow from its overseas operations. The
Group operates in 25 countries – India, UK, Germany, Hungary, Brazil, Italy,
France, Luxembourg, Switzerland, Australia, USA, Canada, Egypt, China,
Thailand, Laos, Indonesia, Philippines, Dubai, Singapore, Myanmar, Bangladesh,
Vietnam, Malaysia and Korea.
In India:
• Largest cement producer
• Largest premium, branded apparel company
• The second-largest producer of viscose filament yarn
• The second-largest in the chlor-alkali sector
• Among the top five cellular operators
• Among top 10 Indian BPO companies by revenue size
• Among the top five asset management and private sector life
insurance companies
• Among the top three supermarket chains in the retail business
Rock solid in fundamentals, the Aditya Birla Group nurtures a culture where
success does not come in the way of the need to keep learning afresh, to keep
experimenting.
Beyond Business:
Transcending business for over 50 years now, the Group has been and continues
to be involved in meaningful welfare-driven initiatives that distinctly impact the
quality of life of the weaker sections of society in India, South-East Asia and
Egypt.
In India, the Group's social projects span 2,500 villages. It reaches out to six
million people annually through the Aditya Birla Centre for Community
Initiatives and Rural Development, spearheaded by Mrs. Rajashree Birla. Its focus
is healthcare, education, sustainable livelihood, infrastructure and espousing
social causes.
The Group runs 42 schools, which provide quality education to over 45,000
children in India's interiors. Of these, 18,000 children receive free education. An
additional 8,000 students receive merit scholarships. Likewise at its 18 hospitals
in India, more than 500,000 patients are given extremely subsidised medical care.
The Group transcends the conventional barriers of business and reaches out to the
marginalised because of its conviction of bringing in a more equitable society.
The Company has a strong distribution network of over 800 own branches and
franchisee network, a large customer base in excess of 1,80,000, a strong
technology backbone and a range of products delivered through a robust online
and offline model. The Company boasts of immense talent pool and vertical
specialists which add to its positioning as a major player in this segment.
Aditya Birla Money is listed on National Stock Exchange of India Limited [NSE]
and The Bombay Stock Exchange Limited [BSE]. It is also registered as
Depository Participant with both NSDL and CDSL.
• Trading facility in Equity segment on and Derivative segment on NSE & BSE
through a single platform
• Trading facility in commodity segment, including bullion, oils, gaur seed etc.
through its subsidiary, Aditya Birla Commodities Broking Limited
• Depository Participant [DP] services of NSDL and CDSL
• Online bidding for IPO and Mutual funds
• Subscription based brokerage plans
• Distribution of Mutual Funds
• Insurance
Mutual Funds (through Birla Sun life Asset Management Company Limited
(“BSLAMC”))
Our foray in to asset management services is through the joint venture with Sun
Life Finanical
Incorporated Canada wherein we have 50% stake in it. As on August 31, 2006,
BSLAMC manage Rs 17,099 Crores of assets under us, with an investor base of
over 0.1 crore customers.
Our joint venture offers a range of investment options, which include sector
specific equity schemes, income plans, debt and treasury products, and offshore
funds. It currently has a range of 35 investment schemes including two offshore
funds, designed to cater to every need of the investor. We also offer portfolio
advisory services for high net-worth investors, which is a rapidly growing
business segment for the Company. We are the India’s first asset management
Company to be awarded the ISO 9001:2000 certification by DNV Netherlands.
Our Vision
“To be a leader and role model in financial services sector with a broad based
and integrated business”
Our Mission
“To deliver superior value to our customers,
Share holders, employees and society at large.”
Our Values
➢ Integrity – Conduct business in an Ethical & Transparent manner.
➢ Commitment – Towards all Stakeholders and to our Business to provide a
healthy, profitable environment.
➢ Passion – Bring in passion in all our activities. Keep Clients and Partners the
foremost in all dealings.
➢ Seamless-ness – Work seamlessly across functions to provide "A" Class Service.
➢ Speed – Deliver promises on time.
Income from Mar 200 Rs. 4.75 0.0 0.00 0.00 0.00 3.36
Transaction Charge 9
Account Opening Mar 200 Rs. 1.13 0.0 0.00 0.00 0.00 0.80
Charges 9
V Sat Rent/Bandwith Mar 200 Rs. 0.65 0.0 0.00 0.00 0.00 0.46
Charges 9
Referral Fee Mar 200 Rs. 0.48 0.0 0.00 0.00 0.00 0.34
9
Dividend Mar 200 Rs. 0.06 0.0 0.00 0.00 0.00 0.04
9
Set Up Cost Mar 200 Rs. 0.00 0.0 0.00 0.00 0.00 0.00
9
Income from Mar 200 Rs. 0.00 0.0 0.00 0.00 0.00 0.00
Operations 9
Compare Company
Services
Enterprise Application Services
Enterprise Solutions
• Time/effort required
• Organizational stability
SAP Services
To maximize benefits from your SAP system, you need a partner who
understands your industry and is able to add value through a combination of
business domain, functional, technical, and SAP solution expertise. Minacs is a
partner who quickly understands your business challenges and delivers the
appropriate SAP solutions.
Implementation Services
Drawing on our Aditya Birla Group experience and our strategic focus, we
provide SAP implementation services in the following industries:
Support Solutions
Testing
• Functional testing
• Test planning
• Test pilot
• Security testing
• Regressive testing
Solution Integration
• SOA-enablement/migration
• Increasing the ROI of existing investments in IT: feasibility studies and post-
implementation audits
Area of Operation
Macro-economic data for the US and Europe show some recovery of economic
activity compared to the last year. The acute phase of financial crisis has
apparently passed by, and global economic recovery is under way. Financial
markets have stabilized. Interbank liquidity has reached a level close to its
“normal” pre-crisis range. Currencies, which fell against the U.S. Dollar in the
immediate aftermath of the crisis, have largely recovered to their pre-crisis levels.
Also, borrowing costs for emerging market borrowers have stabilized over the last
few quarters. International capital flows to developing countries have also
improved with a rapid run-up during the last months of 2009.
The continuing situation over Greece and some other European countries remains
a concern but countered action is being taken to deal with this. US unemployment
claims still remain a concern within US but still the improvement in the jobless
claims in early 2010 gives hopes of economic revival . The Fed’s move to keep
interest rates near- zero indicates the government focus on supporting the
economic recovery which is in nascent stage. China’s GDP expansion by 8.4% in
FY10 once again made it the fastest growing economy in the world. The growth
was driven by financial stimulus packages to infrastructure projects and also an
easy money policy. But the recent indications are one of tightening from the
Chinese central bank to prevent unnatural build up of asset prices. A revaluation
of Yuan is also a factor to reckon with.
Infrastructure Facility
IT Infrastructure Management
If you want your IT infrastructure to do more for your business, you need a
partner who can provide strategic as well as business solutions. Minacs can
transform your present infrastructure or cost landscapes (e.g. to restructure capex/
opex imbalances).
• Server management
• Network services
Messaging services:
Database services:
• Monitoring
• Basic administration
• Proactive monitoring
• Performance tuning
• Automation
• Advanced administration
• Antivirus
• Content filtering
RIM practices:
Organization Structure
BOARD OF DIRECTORS
Composition, Category, Size of the Board
The Board of Directors of the Company is a balanced Board, comprising of a
Managing Director and Non-Executive Directors which includes independent
professionals. As on March 31, 2010, there were six Directors on the Board, out
of which two are Independent, three are Non-Executive and one is a Managing
Director. The Company do not have an appointed Chairman and the same is
appointed for each such Board Meetings.
None of the Directors of the Board is a member of more than 10 Committees or a
Chairman of more than 5 Committees (as specified under clause 49) across all
Companies in which he is a Director. All Directors have made necessary
disclosures regarding their Directorship and Committee positions occupied by
them in other Companies.
The details of other Directorships, positions held either in Committees of
Board of Directors as well as attendance at Board Meetings/Annual General
Meeting are as follows:
Name of the Category No. of No. of No. of Last AGM Director Board
Directorships Committee Attend- Meetings held in other Membership dance
Companies# held in other (Yes/No) Companies
Held Attended
The Board of Directors met four times during the year ended March 31, 2010 i.e
on April 21, 2009, July 15,2009, October 14, 2009 and January 19, 2010. The
maximum gap between the two Board Meetings was not more than four months.
Organization Chart
Chairman of Board
Skills
Kumar Mangalm Birla
Experienced Management and Technical Team
STRATEGY
To managed a diversified portfolio of businesses over a period of time classified
into two broad segments i.e. “High Growth Businesses” and “Value Businesses”.
While the high growth businesses have potential to grow and expand requiring
funds to meet their plans, value businesses are those businesses, which have
matured and are generating stable surplus. Our strategy is to increase the share of
High growth businesses in total revenue by deploying surplus cash from Value
businesses to grow the high growth businesses.
SWOT Analysis
Strengths
Strong Brands
We believe that as a consolidated Company, our continuing efforts on brand
building have resulted in the development and strengthening of a range of strong,
distinctive brands like ‘Louis Philippe’, ‘Van Heusen’, ‘Allen Solly’, ‘Peter
England’ in Garment business, ‘RAY ONE’ in the Rayon business, ‘Birla
Carbon’ in the Carbon Black business, ‘Linen Club’ in the Textile business and
‘Shaktiman’ in the Fertilizer business, which we believe enables us to derive
benefits in the market space, through greater consumer confidence and in certain
cases a premium pricing for our various products as against our competitors. We
believe we are able to leverage our brands to launch new products and extend into
new product categories like transforming our brands in Garments business from
pure shirts brands to wardrobe brands by introducing range of products namely
suits, jackets, t-shirts, accessories etc, which are further being transformed to life
style brands by introducing perfumes, shoes. Also, Allen Solly mainly a men’s
brand was extended to offer women apparels. We believe that in the process of
building these brands we have gained valuable insight into our clients / consumer
behaviour, which we leverage and utilize to drive business in today’s competitive
markets. Our brands have also won various awards and recognitions in both
national and international forums.
Integrated Manufacturing
Focus on Quality
We believe that we have established our reputation as a reliable manufacturer of
products. All of our units namely carbon black, textile, fertilizer, rayon, insulator.
We have received various accreditations for our manufacturing units. For more
details on the various certifications received by us, please refer to the section
titled “History and Corporate matters” on page 95 of this Draft Letter of Offer. 30
Our management team across our businesses brings with them experience in their
respective business segments. We believe that our management team is well
placed to provide strategic leadership and direction to explore new emerging
opportunities in these sectors as well as constantly improve our current
operations. We have witnessed low attrition of key management personnel and
have also recruited several professionals with domain expertise in critical areas.
We believe these provide us with a significant competitive edge.
OUTLOOK
After an exciting 2009-10 which saw most equity markets around the globe
recover sharply from their March lows, the markets move into 2010-11 with hope
of a steady global economic recovery translating into pickup in business and
investment cycles.
Corporate earnings have been good and the strong GDP growth and IIP numbers
send signals that the economy is positively on revival phase. A stable government
that is focused on moving ahead with the divestment process and stepping up
infrastructure spending should support the recovery.
In India, while the view is positive on equity markets over the medium term,
2010-11 promises to be an interesting year as well as a challenging one. With this
background, and having posted encouraging numbers for the year ended March
31, 2010, your company is poised for growth and expansion in 2010-11. The
Company now see the need more than ever to work on the 5 pillars of our
business - Brand, Product, Distribution, Operations, Service and People – in a
focused and sustained manner. The Company plans to augment its research and
product offerings to match the best in the industry. Your Company will increase
its footprint mainly through business partners. However, additional branches are
being added predominantly in Western and Northern India which represent a large
opportunity for broking. This would also help to enhance the Company’s presence
in these geographies.
The key concerns across markets at this point stem from the surge in inflation and
the timing of exit of the easy monetary policy by the central banks. This is the
time when real assets like commodities will be in focus and all financial markets
are likely to stay volatile.
The Company’s operations are linked to the general market and economic
conditions and any positive or negative move can impact revenues. However, the
Company looks for diversification and appropriate strategies to minimize the
impact.
Technology obsolescence is another area of concern in broking industry and can
create impediments to growth. However, your Company continues to assess
technology and other ancillary requirements on a regular basis and take
investment decisions at the appropriate time.
The market conditions and the Company’s plans for expansion and growth in
2010-11 are dependent on many external factors. Many of those factors will be
regularly monitored as they will be the key for delivery of our desired results. The
Company however continuously does a SWOT analysis, for ensuring a
sustainable growth by exploring various opportunities available in the market
under the applicable regulatory framework.
Like in any other business your Company is no stranger to risks. The Company
encounters market risk, credit risk and operational risks in its daily operations.
The typical risks themes around broking business are
• Volatility in markets
• Inadequate client profiling and KYC documentation
• Failure to execute transactions in line with prescribed processes and procedures
• Technology failures
The Company’s philosophy and approach to risk and its management is one of
informed investing. The
Company’s policies, procedures and systems are built around this theme. Some of
the broad guiding principles that are enumerated in the Company’s Risk
Management framework are as below:
• Systematic and structured risk policy framework
• Proper and informed client selection process
• Appropriate monitoring and surveillance for minimization of losses
• Pro-active handling of operational risk
Achievement Awards
Aditya Birla Group, India's first multinational corporation, traces its origins back
to the tiny village of Pilani in the Rajasthan desert, where Seth Shiv Narayan Birla
started cotton trading operations in 1857. Today, the Group's footprint extends to
25 countries and its revenues are US$ 29 billion. We retrace the highlights of this
remarkable journey, starting from the present:
2010
• Mr. Kumar Mangalam Birla, Chairman of the Group, was conferred
the All India Management Association (AIMA) Managing India
Award 2010 for ' Business Leader of the Year'. AIMA confers these
awards to persons who are “exemplary leaders who have made a
fundamental difference”.
2009
• Grasim's pulp and fibre division has won the highly prestigious Asian
CSR Award. The Asian CSR Awards, Asia's Premier CSR Awards
program, is a project of the Asian Institute of Management, Manila.
• The Ministry of Labor and Social Welfare, Government of Thailand
will be conferred “The Best Labor Relations and Welfare Award,
2009” on Indo Thai Synthetic Company Limited.
• Birla Sun Life Mutual Fund has been named "The Asset Management
Company of the Year, India", by the Hong Kong based magazine,
"The Asset", in the country awards category of their "Triple A
Investment Performance Awards 2009".
• CNBC TV18 Crisil recognised Birla Sun Life Mutual Fund as "The
Mutual Fund House of the Year" in 2008 and 2009 (for 2007 and
2008), creating history as the only fund house to have won this
recognition in two consecutive years.
• The Birla Sun Life Equity-Linked FMP won the "Best Local
2008
• The President of India, Mrs. Pratibha Patil conferred the much
coveted Rotary International Polio Eradication Champion Award on
Mrs. Rajashree Birla in an elegant function at the Rashtrapati Bhavan
(Delhi), attended by the Chairman, select Rotarians and WHO
officials.
2007
• The Aditya Birla Group was honoured with the India Today Group's
Readers Digest Gold award in recognition of the work that truly
exemplifies the highest values of society as well as those of Reader's
Digest. The award was received by Mrs. Rajashree Birla,
Chairperson, Aditya Birla Center for Community Initiatives and Rural
Development, at the Pegasus Corporate Social Responsibility Awards
2007 function.
• Hindalco awarded the CII - Sorabji Green Business Centre "National
Award for Excellence in Water Management 2007".
• In May 2007, Novelis became a Hindalco subsidiary with the
completion of the acquisition process. The transaction makes
Hindalco the world's largest aluminum rolling company and one of
the biggest producers of primary aluminum in Asia, as well as being
India's leading copper producer.
2006
• Hindalco in a joint venture with Almex USA Inc.
• TransWorks Information Services announces success of bid to acquire
Minacs Worldwide.
• Grasim Industries Limited, India; Thai Rayon Public Company
Limited, Thailand and P.T. Indo Bharat Rayon, Indonesia form a JV
with Hubei Jing Wei Chemical Fibre Company, China, for VSF.
• Hindalco awarded the Greentech Safety Silver Award for its
outstanding safety performance during 2005-06.
2005
Indian Rayon re-christened as Aditya Birla Nuvo.
Aditya Birla Group to set up a world-class aluminium project in
Orissa.
The Aditya Birla Group signs a framework agreement to acquire St
Anne Nackawic Pulp Mill, Canada.
2004
• Board reconstituted with Mr. Kumar Mangalam Birla taking over as
Chairman.
• Completion of the implementation process to demerge the cement
business of L&T and completion of open offer by Grasim, with the
latter acquiring controlling stake in the newly formed company
UltraTech.
• Grasim, Nagda, received the FICCI Annual Award 2003-2004 in
recognition of corporate initiaitve in rural development.
• Aditya Birla Chemicals (India) Limited, Rehla, Jharkhand, has
received the FICCI Annual Award 2003-2004 in recognition of
corporate initiative in family welfare.
• Hindalco recieves India CFO Award 2004 for excellence in finance in
a large corporate.
• Scheme of Arrangement announced to merge Indal with Hindalco.
• Indian Rayon completes its brownfield expansion of 40,000 TPA at
Hi-Tech Carbon, Gummidipundi, taking total capacity to 1,60,000
TPA.
• Deming Award for Indo Gulf.
• Indal wins FICCI Award 2002-2003 for 'Corporate Initiative in Rural
Development'.
2003
• Mr. Kumar Mangalam Birla, Chairman of the Group, is selected as
Business India's Businessman of the Year - 2003.
• Mr. Kumar Mangalam Birla is selected as The Economic Times'
Business Leader of the year.
• The Group is ranked 16th in India's first ever survey of 'Great places
to work in', published in Business World magazine. The Group's joint
venture concern, Birla Sun Life Insurance, is ranked 9th in the same
study.
• The Group is ranked 20th in a study on the 'Best Employers in India',
conducted by Hewitt Associates and Business Today.
• Hindalco receives the Asian CSR Award for its "Rural Poverty
Alleviation Programme". The Asian CSR Awards are Asia's premier
awards programme on Corporate Social Responsibility.
2002
Regulations, 1997.
• Grasim increases stake in L&T to 14.15 per cent (351.84 lakh shares).
• Landmark corporate restructuring of Hindalco and Indo Gulf. The
fertiliser business of Indo Gulf to be demerged into a separate
company called Indo Gulf Fertilisers. Indo Gulf's copper business to
be merged with Hindalco, creating a non-ferrous metals powerhouse.
• Grasim divests its Gwalior unit to Melodeon Exports Limited, and
consolidates textile operations at a single location in Bhiwani, MP,
which will manufacture both 'Grasim' and 'Graviera' brands.
• PSI Data Systems acquires Birla Technologies Ltd, bringing the
Group IT services business under one umbrella.
• Indal acquires a controlling stake in Anapurna Foils Ltd (AFL), to
augment its position in the foil and packaging sectors. Subsequently
AFL is merged with Indal.
• The Group receives The Economic Times' "Corporate Citizen" of the
year award.
2001
• Grasim acquires 2.50 crore shares -- representing just over 10 per cent
of the equity -- in L&T from Reliance Industries Ltd.
• Birla Consultancy & Software Services spun off; becomes a separate
entity called Birla Technologies Ltd.
• Indian Rayon acquires a stake in PSI Data Systems, in one of the
largest cash transactions in the Indian technology sector.
• Grasim closes its pulp plant at Mavoor as a part of its restructuring
initiatives.
2000
• Indian Rayon acquires Madura Garments and selected overseas brand
rights, taking the Group to the top of the league in the branded
apparels sector.
• The Group forays into e-business through a strategic alliance of its
software arm, Birla Software and Consultancy Services (BCSS), with
Lawson Software (USA).
• 'Gyanodaya', the Institute of Management Learning of the Adiya Birla
Group, is inaugurated.
• Hindalco acquires Indal. The Indal board is reconstituted. Mr Kumar
Mangalam Birla becomes Indal's new chairman. The Group holding
goes up to 74.6 per cent, and further increases to 96 per cent in FY'03.
• The Insurance Regulatory Development Authority (IRDA) grants
registration in principle to Birla Sun Life Insurance Company. Indian
Rayon acquires major world rights for international apparel brands
Louis Philippe, Allen Solly and Peter England.
• The Group announces its intention to launch a 450 MW `Green
[Power Project' in Karnataka.
• The merger of Birla AT&T and Tata Cellular is completed.
1999
• A joint venture with financial services major Sun Life of Canada is
inked, as part of the overall restructuring of the Group's financial
services business.
1998
• The Group forms a 50:50 joint venture company with Tembec Inc. of
Canada, called A.V. Cell Inc., to supply pulp for the Group's VSF
operations.
• Grasim acquires Dharani Cement and Shree Digvijay Cement to
consolidate the group's leadership position in cement.
• The cement businesses of Indian Rayon and Grasim are consolidated
into a single division of Grasim – the biggest restructuring ever by
any corporate entity in India.
• The Group forays into copper with the commissioning of Indo Gulf's
1996
• To honour the memory of the late Aditya Birla, a new corporate logo
– Aditya, the rising sun – is launched.
• All group companies are consolidated under the umbrella of the
Aditya Birla Group, led by Mr Kumar Mangalam Birla.
• P.T. Indo Liberty Textiles is incorporated to manufacture yarn in
Indonesia.
1995
• The Group enters the telecommunications sector through a joint
venture with AT&T (USA).
• Thai Sulphites & Chemicals is incorporated to manufacture sodium
sulphite and sodium metabisulphite.
1994
• The Birla Growth Fund is renamed Birla Global Finance Limited, as
its span of operations expands.
• Alexandria Carbon Black, the Group's first joint venture with the
Egyptian government, is established.
1992
• Thai Epoxy and Allied Products commences production of Epoxy
Resins in Thailand.
1991
• Pan Century Oleochemicals commences production of fatty acids and
glycerine in Malaysia.
1990
• Mr Kumar Mangalam Birla gets actively involved in the Group's
operations.
1989
• Thai Peroxide commences manufacturing of hygrogen peroxide
solutions in Thailand.
1988
• The government liberalises the petroleum industry. The Aditya Birla
Group enters into a joint venture with Hindustan Petroleum
Corporation Ltd to set up a three-million-tonne refinery, Mangalore
Refineries and Petrochemicals Ltd (MRPL), at Mangalore, Karnataka.
1987
• Indian Rayon is renamed as Indian Rayon and Industries Limited
(IRIL), to reflect its wide horizon of activities.
• Thai Acrylic Fibre is incorporated to produce fibre and tow.
1986
• The Birla Growth Fund is set up to finance industrial equipment, plant
and machinery and consumer durables, as well as for stock market
operations.
1985
• India's first gas-based fertiliser plant in the private sector – Indo Gulf
– goes on stream at Jagdishpur, UP.
1984
• Thai Polyphosphates and Chemicals commences production of
sodium phosphates in Thailand.
1982
1978
• Thai Carbon Black, the Group's first carbon black company is
incorporated in Thailand.
1977
• Pan Century Edible Oils is incorporated in Malaysia, going on to
become the world's largest single-location palm oil refinery.
1975
• The Indo Phil Group of companies, the first Indo-Filipino joint
venture commences production of spun yarn.
1974
• Thai Rayon, the Group's Viscose Rayon Staple Fibre business is
incorporated in Thailand.
1973
• P.T. Elegant Textiles is established to manufacture spun yarn. It
marks the Group's first venture in Indonesia.
1969
• Aditya Birla sets up Indo-Thai Synthetics Company Ltd, the group's
first overseas company.
1967
• Hindalco sets up a captive power plant at Renusagar - a significant
strategic move.
1966
1965
• Aditya Birla, grandson of the legendary Ghanshyamdas Birla, starts
the Eastern Spinning Mills & Industries.
1962
• Hindalco commences production at its aluminium complex at
Renukoot, UP.
1958
• Hindalco is incorporated.
1947
• Grasim is incorporated. It commences operations with a small rayon
weaving unit at Gwalior, MP.
1919
• Ghanshyamdas Birla, grandson of Shiv Narayan Birla, sets up the first
Birla jute mill, marking his entry into the manufacturing sector. Rapid
business expansion follows.
1857
• The foundation of the Birla Group of Companies is laid by Seth Shiv
Narayan Birla – cotton trading operations commence at Pilani,
Rajasthan.
Financial Summary
Latest Results:
(Rs. In Crores)
Gross Sales 25.51
Other Operating Income 0.00
Other Income 1.19
Total Income 26.70
Total Expenditure 19.73
PBIDT 6.97
Interest 1.21
PBDT 5.76
Depreciation 1.62
Tax 1.37
Fringe Benefit Tax 0.00
Deferred Tax 0.00
Reported Profit After Tax 2.77
Extra-ordinary Items 0.00
Adjusted Profit After Extra-ordinary item 2.77
(Rs. In Crores)
Reserve & Surplus 0.00
Face Value 1.00
PBIDTM(%) 27.32
PBDTM(%) 22.58
PATM(%) 10.86
Quarterly Results:
(Rs. In Crores)
Particulars Mar 2010 Sep 2009 Mar 2009
Excise Duty 0.00 0.00 0.00
Other Income 2.21 1.31 1.25
Total Income 49.89 51.10 28.74
Total Expenditure 38.32 38.85 27.45
PBIDT 11.57 12.25 1.29
Interest 1.38 1.23 2.36
PBDT 10.19 11.02 -1.07
Depreciation 2.79 2.89 2.28
Tax 2.11 2.74 -1.29
Deferred Tax 0.69 0.51 0.03
Reported Profit After Tax 4.60 4.88 -2.33
Extra-ordinary Items 0.00 0.00 0.00
Balance Sheet:
Particulars Mar 201 Mar 200 Mar 200 Mar 200 Mar 200 Mar 200
0 9 8 7 6 5
SOURCES OF
FUNDS
Share Capital 5.54 5.54 5.54 5.54 4.77 4.77
Reserves Total 49.38 39.90 39.56 23.16 19.17 13.39
Equity Share 0.00 0.00 0.00 0.00 0.00 0.00
Warrants
Equity Application 0.00 0.00 0.00 0.00 0.00 0.00
Money
Total Shareholders 54.92 45.44 45.10 28.70 23.94 18.16
Funds
Secured Loans 5.00 0.00 40.30 43.14 33.80 13.24
Unsecured Loans 35.00 5.00 0.00 0.05 5.04 0.00
Total Loan Funds 40.00 5.00 40.30 43.19 38.84 13.24
Total Liabilities 94.92 50.44 85.40 71.89 62.78 31.40
APPLICATION OF
FUNDS :
Loan / Non-Current 0.00 0.00 0.00 0.00 0.00 0.00
Assets
Fixed Assets
Gross Block 58.85 53.58 46.31 34.58 25.37 15.68
Less: Accumulated 24.34 18.87 14.28 10.77 8.28 5.39
Depreciation
Less:Impairment of 0.00 0.00 0.00 0.00 0.00 0.00
Assets
Particulars Mar 201 Mar 200 Mar 200 Mar 200 Mar 200 Mar 200
0 9 8 7 6 5
Capital Work in 1.32 0.16 0.00 0.00 0.79 0.79
Progress
Investments 2.01 2.03 2.05 1.04 1.52 1.01
Current Assets,Loans
& Advances
Inventories 0.00 0.00 0.00 0.00 0.00 0.00
Sundry Debtors 81.46 23.91 55.46 52.50 82.73 32.06
Cash and Bank 76.96 40.72 93.63 43.46 22.56 15.17
Balance
Loans and Advances 32.93 24.91 19.11 27.79 33.52 11.51
Total Current Assets 191.35 89.54 168.20 123.75 138.81 58.74
Less: Current Liab. &
Provisions
Current Liabilities 127.06 70.49 111.18 61.92 84.74 33.79
Provisions 1.86 1.36 1.58 12.01 9.43 5.14
Total Current 128.92 71.85 112.76 73.93 94.17 38.93
Liabilites &
Provisions
Net Current Assets 62.43 17.69 55.44 49.82 44.64 19.81
Miscellaneous 0.00 0.00 0.00 0.00 0.00 0.00
Expenses not written
off
Deferred Tax Assets 1.15 1.74 0.44 0.35 0.95 0.53
Deferred Tax 6.50 5.89 4.56 3.13 2.21 1.03
Liability
Net Deferred Tax -5.35 -4.15 -4.12 -2.78 -1.26 -0.50
INTRODUCTION
One reason why many people are never seriously interested in share trading
apart from the risk is that although they are curious, they know it is a hassle to go
some place to trade and handle all those paper certificates. Also, many don't have
the time for all this.
It can be your home, office or Internet café; you are ready to go to your account to
buy or sell shares or to just watch how your portfolio is performing. There is
absolutely no paper involved whatsoever except for the initial application you
sign and give for the purpose of taking a web trade account.
Only thing you would need to do is send your money to the bank account so that
you have the money in the account to be able to buy your favorite stocks. Your
share trading system will be linked to your bank account and once you have the
money in the account it can be made immediately available for purchase of shares
The security and exchange board of India has permitted such trading
on January-31-2000. After that many players have offered these services to the
investors. Is trading through Internet safe? What if someone steal my investments
or, does anyone else have access to my accounts? If these are the questions that
stop you from online share trading then the solutions are here. Which decade you
are living in? Internet trading today is one of the largest mediums of investments
and nothing can compete with it. Its security and reliability can be proved by, the
increasing number of users every month. More than 5,000 people are registered
every month for online Investments. Apart from being totally secured, easy access
and speedy moves makes it more popular among day traders and other stock
investors.
➢ To study the existing online & offline share trading scenario with respect to
Aditya Birla Money.
➢ To study the importance of IT in investment.
1) PRIMARY DATA
A primary data is the data collected afresh. It is collected for the first time from
the original source. Primary data is the data that the researcher is collecting
themselves using methods such as ,
2) SECONDARY DATA
A secondary data is that data that is required to conduct the study and can be
obtained from books, journals, magazines, records etc. Secondary data is data
taken by the researcher from secondary sources, internal or external. Secondary
data is collected from following sources: -
➢ The most significant limitation has been the individuals involved in this study
were very busy and did not spare much time in discussion.
➢ The sample size selected for the survey was too small as compared to large
population.
➢ The project was carried out only in the Pune, so findings on data gathered can be
best true for Pune only and not applicable to other parts of state and country.
➢ Indian stock market is a market where sentiments play a major role in price;
hence 100% accurate predictions cannot be made about its future path.
THEORITICAL BACKGROUND
CONCEPTUAL BACKGROUND:
Share Market is nothing but you are investing the money on which company you
trusted that there is a growth of this company in future. If you choose the right
company you will earn or else you will loss. There is also fluctuation in the
market due to the Currency value against dollar
➢ 1 year ago
OFF-LINE TRADING
Doing share trading with the help of broker or through phone is called Offline
trading.
In other words trading will be done by another person on your behalf based
on the instructions given by you, and then the other person can be a broker. The
broker will do buying and selling of shares on your behalf depending on the
instructions given by you.
If you want to do offline share trading then you need to open the demat
account.
S T O C K E X C H A N G E
B R O K E R B R O K E R
S U B - B R S O U K B E - BR R S O U K B E - BR R S O U K B E - BR R O K E
C L I E N T C L I E N T C L I E N T C L I E N T
C L I E N T C L I E N T C L I E N T C L I E N T
ONLINE-TRADING
Doing share trading with help of computer, Internet connection and with
trading/demat account is called Online Share Trading.
If you would like to do online share trading then you should have a computer,
Internet connection and online trading account.
S T O C K E X C H A N G
B R O K E R B R O K E R
C U S T OC MU SE TR OC MU SE TR OC MU SE TR O
CONCEPT
1) DEMAT
2) DEMATERIALISATIONS: -
3) STOCK BROKER: -
Stockbrokers are the intermediaries who are allowed to trade in securities on the
exchange of which they are members, they buy and sell on behalf of their clients.
4) MUTUAL FUNDS: -
Mutual funds are financial intermediaries who collect the saving of small
investors and invest them in a diversified portfolio of securities to minimize risk
and maximize returns for their participation.
5) PRIVATE PLACEMENT: -
Many companies choose to raise capital for their operation by taking through
various intermediaries by taking what in marketing terms would be known as
wholesale route. The retail route of approaching the public is expensive as well as
time consuming. This is called in financial Market as private placement.
6) INTERNET BROKIN: -
With the Internet becoming ubiquitous institution have set up securities trading
agencies that provide online trading facilities to their clients from their homes.
7) SPEED-e-: -
8) IdeAs:-
NSDL offers a secured based service for a clearing member of stock exchange
and to account holders. This service called Ideas enable clearing member and
beneficial account holder to view details of their accounts directly on the Internet.
Share Market Trading includes buying and selling of company shares either
through Stock Exchange or Over-the-Counter (OTC). It is also called the equity
trading. Shares are a certificate, which represents ownership rights of the holder in
the company.
Share Market is the market for securities where organized issuance and
trading of shares takes place either through exchanges or over-the-counter in
electronic or physical form. It plays an important role in channelizing capital from
the investors to the business houses, which consequently leads to the availability
of funds for business expansion.
1. Primary Market: -It is the market where new issues of securities are offered to
the investors.
These are organized market places where stocks, bonds are other equivalents are
traded between the buyers and sellers where exchange acts as a counter-party to
both the participants in case of any default. The contracts are standardized and not
customized ones. For example, NYSE, NASDAQ, NSE, NIKKEI, etc.
These are not centralized exchanges. Here, the trade takes place through a
network of dealers. Generally, the OTC contracts are bilateral customized
contracts and not standardized ones.
Gives an ownership right to the holders of the stock and hence the shareholders
are entitled to the earnings of the company according to their stake. Holders also
get dividends on those stocks as and when given by the company. Liquidity of
common stocks are very high and can be bought and sold at any time of the
market hours.
1) Buyer: - An investor who buys a script in the belief that the market will rise. If
his hinge becomes right then he makes profit otherwise he suffers loss.
2) Seller: - Seller of a stock sells in the hope that the stock price will go down.
3) Stock Broker Brokers are persons or firms who execute buy/sell order on
behalf of the investors and charge a commission for rendering the service.
(a) Offline Share Trading:- In this form of trading the customer either goes to
the share broker's place and sits before the share trading terminal and asks the
dealer to place orders in his account. Or rings the share broker, ask the share
quotes and other relevant information’s, and accordingly places orders over the
phone.
(b) Online Share Trading The client could avail the share market and could
place his order on his own from any place he wants, provided he has a computer
with an Internet connection.
Here, the investors put their orders through the brokers and these share brokers in
turn place and execute orders on behalf of them on the floor of the exchange.
These brokers gather in a particular place on the trading floor known as Trading
Post. There is a person called as the Specialist present in the trading post who
does the matching of the buy and sell orders. This type of auction method is called
Open Outcry Method.
➢ Open - The first price at which the stock opens when market opens in the
morning.
➢ High - The stock price reached at the highest level in a day.
➢ Low - The stock price reached the lowest level in a day.
➢ Close - The stock price at which it remains after the end of market timings or the
final price of the stock when the market closes for a day.
➢ Volume - Volume is nothing but quantity.
➢ Bid - The Buying price is called as Bid price.
➢ Offer - The selling price is called offer price.
➢ Bid Quantity - The total number of shares available for buying is called Bid
Quantity.
➢ Offers Quantity - The total number of shares available fo selling is called Offer
Quantity.
➢ Buying and selling of shares -
Buying is also called as demand or bid and selling is also called as supply or
offer. First selling and then buying (this only happens in day trading)
is called as shorting of shares or short sell.
➢ Share Trading - Buying and Selling of shares is called share trading .
➢ Transaction - One complete cycle of buying and selling of shares is called One
Transaction .
➢ Squaring off - This term is used to complete one transaction. Means if you buy
then have to sell (means square off) and if you sell then you have to buy (means
square off).
➢ Limit Order - In limit order the buying or selling price has to be mentioned and
when the share price comes to that price then you will execute your order with the
mentioned price.
➢ Market Order - When you put buy or sell price at market rate then the price get
executes at the current rate of market. The market order gets immediately
executed at the current available price.
➢ Stop Loss Orders - Stop loss orders ("stops") are limits set by traders at which
they will automatically enter or exit trades - an order to buy or sell is placed in the
market if price reaches a specified limit.
A stop loss order is set to limit a trader's potential loss. The stop loss is
placed below the current price (to protect a long position) or above the current
price (to protect a short position).
RESEARCH DESIGN
Exploratory Design:
The research was generally used to clarify thoughts and opinions about the
research problem. I carried-out depth interview and approached clients asked
questions about share trading, which helped to explore the research and enjoyed
while doing the project in the organization.
Descriptive Design:
RESEARCH METHODOLOGY
We are using survey method to collect primary data.
Sample: we have chosen 50 people as our respondents for our survey who
represents the population of Pune.
Sample unit: Pune.
Research objectives are clearly stated before designing the questionnaire.
Information was collected from the sample size of 50 respondents, which included
both males and females.
Information obtained from the respondents was analyzed and interpreted with the
help of the SPSS Software.
Simple tabulations were calculated for each question and cross tabs were provided
as and where necessary.
Findings revealed by the tabulations were listed in a summarized form as
recommended Actions.
Table No: 1
A Table showing distribution of respondent as per average monthly
investment
Frequencies
Analysis:
The above table shows that 50% respondents have investment less than
Rs.10000 and 30% respondents have their portfolio size between 10000 to
50000.Also 10% respondents have their portfolio size in between 50000-100000
or more than 100000. 10%
Interpretation: 10%
Table No: 2
A Table showing distribution level of respondent as per their
Awareness level about the different corporate brokers providing the
facilities of online share trading
Frequencies
Analysis:
From the graph it shows that people who are with the online trading highly
awareness with Aditya Birla Money and it is about 34% ,then next come the
Kotak Mahindra 18%, Reliance Money about 16% and then comes with ICICI
direct 12%, Share khan 12%, and Religare about 8% .
Interpretation:
It clearly shows that Aditya Birla Money is market leader and Kotak
Mahindra is a follower and next to it is Reliance Money, ICICI, Share Khan and
then Religare.
Table No: 3
A Table showing distribution level of respondent as per their
frequency of doing trade
Analysis:
The above chart shows the percentage of Online and Offline Trading of 50
respondents.
5 7 8
5 people do daily online trading, 7 people do weekly online trading, 8 people do
monthly online trading, and 15 people do sometime both online and offline
trading.
Interpretation:
It clearly shows that professional people prefer more online for trading than
offline, and other people prefer rare both online and offline for trading.
Table No: 4
A Table showing distribution level of respondent rating online trading
option.
Frequencies
Analysis:
The above chart shows the rating of Online Trading by the respondent. 12%
Strongly Agree, 52% Agree, 14%, Uncertain, 12% Disagree, 10% Strongly
Disagree.
Interpretation:
Table No: 5
A Table showing distribution level of respondent rating offline trading
option.
Frequencies
Analysis:
The above chart shows the rating of Offline Trading by the respondent. 10%
Strongly Agree, 12% Agree, 20%, Uncertain, 46% Disagree, 12% Strongly
Disagree. 12% 10%
12%
Interpretation:
Table No: 6
A Table showing distribution level of respondent as per their factors
influences Online Trade
Frequencies
Analysis:
This pie chart shows that the influencing factors to trade online out of 35
respondent 28% Time Saving, 3% Brokerage, 20% Price Fluctuating, 23%
Flexible, 26% Accessibility for which respondents prefer more Online Trading
service.
Interpretation:
Analysis of pie chart tells us clearly that respondent prefers more Online Trading
because it is Time Saving.
Table No: 7
A Table showing distribution level of respondent as per their factors
influences Offline Trade
Frequencies
Analysis:
This pie chart shows that the influencing factors to trade offline out of 15
respondent 13% Time Saving, 54% Brokerage, 13% Price Fluctuating, 7%
Flexible, 13% Accessibility for which respondents prefer more Offline Trading
service.
Interpretation:
Analysis of pie chart tells us clearly that respondent prefers more Online Trading
because of Brokerage.
Table No: 8
A Table showing distribution level of respondent as per the
technology while doing investment.
Frequencies
Technology is Helping
Respondent Frequency percentage
Yes 35 70%
No 15 30%
Analysis:
This pie chart shows that 74% respondent says ‘Yes’ and 26% respondent says
‘No’ and the technology helps for which respondents prefer more Online Trading
service.
Interpretation:
Analysis of pie chart tells us clearly that respondent prefers more Technology
while doing investment.
Table No: 9
Frequencies
Stock Market
Factors Frequency percentage
Very Risky 10 20%
Somewhat Risky 15 30%
Moderate 10 20%
Somewhat Safe 9 18%
Very Safe 6 12%
Analysis:
This pie chart shows the respondent believes towards Stock Market. Out of 50
Respondents- 20% say very risky, 30% say somewhat risky, 20% say moderate,
18% say somewhat safe and 12% say very safe.
Interpretation:
Findings
1. The research study found that people prefer to invest in fixed return investment rather
than in share .So from that it could be predicted that through there are many fluctuation in
the share market but still people prefer to invest in it for the long term gain purpose, so it
is a positive signal for the online trading.
2. The study found that Aditya Birla Money have 34 % market share so it is market leader
and Kotak Mahindra have 18% market share so it is a follower and next to it is Reliance
Money 16%, ICICI & Share Khan 12% and then Religare 8%.
3. The study found that 35 respondents do trading online and 15 respondents do trading
offline but professional people prefer more online for trading than offline, and other
people prefer rare both online and offline for trading.
4. The study found that rating of Online and Offline Trading by the respondent. It clearly
tells that 52% people agree to do Online Trading and 46% Disagree to do offline Trading.
5. The study found that 28% respondents prefer Online Trading because it is Time Saving
and 54% respondents prefer Offline Trading because of Brokerage.
6. The study found that 70% respondent prefers more Technology while doing investment.
7. The study found that 30% respondent think investing in Stock Market is somewhat risky.
Suggestions
1. The company has to make aggressive marketing so that everyone is aware of the
online share trading.
2. Thus awareness gives the opportunity for the acceptance of the online share
trading.
3. On the other hand it shows that there is less awareness about the derivatives
segment so it is advice to the online broker to give the facilities to the trader.
Conclusion
The concept of Online Trading is a unique concept with providing quality service
to people with affordable price. It launched its Branches in different areas of Pune
like Shivaji Nagar, Chinchwad, and Aundh. As the competition is common in all
sectors, the Aditya Birla Money is also having tough competitors like Kotak
Mahindra, ICICI, Reliance Money, Share Khan, and Religare and other than these
it faces competition from unorganized Trader, but the Aditya Birla Money with its
best service quality policy and principle it maintaining its brand image in market.
Keeping all the above in mind it planning to create awareness. As per the survey
of 50 samples size of the respondent shows all positive signals for the online
trading. The respondents are much aware about the Trading and Stock Market, so
they are willing to purchase the products in it. Finally from Aditya Birla Money
the respondents are looking for good quality services, reasonable price and
personnel cabin for online share trading. By looking into all above factors there is
potential market for Aditya Birla Money in Pune.
Annexure
Name: -
Age: -
Occupation: -
(If ‘YES’ continue with next question and if ‘NO’ go to last question)
c) Monthly d) sometime
Agree Disagree
b) Offline
Strongly Agree Uncertain Disagree Strongly
Agree Disagree
a) Time saving
b) Brokerage
c) Price fluctuating
d) Flexible
e) Accessibility
BIBILOGRAPHY
A) Magazine: -
1) Business today
B) Websites:-
1) www.adityabirlamoney.com.