A PROJECT REPORT

On Demat Account

A project Report submitted in partial fulfillment of the requirements for the award of the degree of

ACKNOWLEDGEMENT

I would like to express my appreciation and gratitude to various people who have shared their valuable time and made possible this project ,through their direct indirect cooperation .

My honorable Sir Mr. Puneet Sharma (HOD) and Mr Jayad ali(Placement Officer of S.S.C.E.T Badhani(Pathankot), for allowing me to work on this project and provide necessary help.

I thank my respected faculties, dear friend & colleagues, who help me in every possible ways , support me and encouraged me to explore new dimensions.

SUSHIL KUMAR MBA 2nd Semester

ROLL NO: 80503317057 ORGANISATION CERTIFICATE

INDEX1) Certificate.2) Declaration3) Preface4) Company profile.5) Company History6) Executive summary.7) Reliance ADA group..8) Reliance money9) Chairman profile.10) Top management profile11) Vision.12) Reliance money product offering.13) Advertisement of reliance money.14) Introduction of share market15) What is trading.16) Depository system.17) Process of demat account opening18) Reliance demat account..19) Scheme and features.20) Document required...21) Operations..22) Reliance demat Account opening process23) Special news..24) Point to be remember25) Benefit of reliance demat account.26) Comparative study withI. ICICI directII. Sharekhan..III. IndiabullsIV. 5paisa.com..V. Motilal oswal..VI. HDFC securities..27) Comparison with table28) Research methodology.I. Type of research.II. Method of data collection.III. Tool of analysis..IV. Research design..V. Data analysis and interpretation.29) Observations.30) Suggestions.31) Limitations.32) Conclusion..33) Bibliography..34) Annexure.

35) Questionnaire.

36) Contact list..

37) Original synopsis... CERTIFICATEThis to certify that SUSHIL KUMAR ,M.B.A II Semester ,S.S.C.E.T Badhani (Pathankot) under P.T.U Jalandhar has done project on Reliance Money and has successfully completed his project on Reliance Demat account

This report is completed under my on .It is only for academic purpose and is a bonfires work done by researcher .

Project Guide

Mr. Puneet Sharma

Faculty

S.S.C.E.T

DECLARATION

I am Sushil Kumar do here by declare that the project work entitle on the Reliance Demat Accountat Pathankot is the original work done by me.This project report presented as a partial fulfillment requirement for the degree of Master of Business administration.

Sushil kumar MBA 2nd semester

S.S.C.E.T

PREFACEThe successful completion of this project was a unique experience for me because by visiting many place and interacting various person, I achieved a better knowledge about sales. The experience which I gained by doing this project was essential at this turning point of my carrier this project is being submitted which content detailed analysis of the research under taken by me.

The research provides an opportunity to the student to devote his/her skills knowledge and competencies required during the technical session.

The research is on the topic Reliance Demat Account

INTRODUCTION

COMPANY PROFILE

The Reliance Anil Dhirubhai Ambani Group is among Indias top three private sector business houses on all major financial parameters, with a market capitalization of Rs.325,000 crores (US$ 81 billion), net assets in excess of Rs.115,000 crores (US$ 29 billion), and net worth to the tune of Rs.55,000 crores (US$ 14 billion)

Reliance Money is a comprehensive electronic transaction platform offering a wide range of asset classes. Its Endeavour is to change the way India transacts in financial markets and avails financial services. Reliance Money is a single window, enabling you to access, amongst others in Equities, Equity & Commodities Derivatives, Mutual Funds, IPOs, Life & General Insurance products, Offshore Investments, Money Transfer, Money Changing and Credit Cards

Reliance Money is a group company of Reliance Capital; one of India's leading and fastest growing private sector financial services companies, ranking among the top 3 private sector financial services and banking companies, in terms of net worth. Reliance Capital Ltd. has interests in asset management, life and general insurance, private equity and proprietary investments, stock broking and other financial services. Reliance Capital is one of Indias leading and fastest growing private sector financial services companies, and ranks among the top 3 private sector financial services and banking companies, in terms of net worth. The company has interests in asset management and mutual funds, life and general insurance, private equity and proprietary investments, stock broking and other activities in financial servicesReliance Money Transacting and investing simplified.

Get ready to change the way you transact and invest in financial products and services. Whether you wish to transact in equity, equity & commodity derivatives, IPOs offshore investments or prefer to invest in mutual funds, life & general insurance products or avail money transfer and money changing services, you can do it all through reliance money. Simply open a reliance money account and enjoy the convenience of handling all your key financial transactions through this one window.

Reliance Money, a Reliance Capital company and part of the Reliance Anil Dhirubhai Ambani Group is a comprehensive financial services and solution provider. It is a one-stop-shop, providing end-to-end financial solutions (including mobile and web-based services). It has the largest non-banking distribution channel with over 10,000 outlets and 20,000 touch points spread across 5,165 cities/ towns; catering to the diverse needs of over 3 million existing customers.Reliance Money endeavors to change the way investors transact in financial markets and avails financial services. It provides customers with access to Equity, Equity and Commodity Derivatives, Offshore Investments, Portfolio Management Services, Wealth Management Services, Investment Banking, Mutual Funds, IPOs, Life and General Insurance products and Gold Coins. Customers can also avail Loans, Credit Card, Money Transfer and Money Changing services. Reliance Capital ranks among the top 3 private sector financial services and banking companies, in terms of net worth. Reliance Capital has interests in asset management and mutual funds, life and general insurance, private equity and proprietary investments, stock broking, depository services, distribution of financial products, consumer finance and other activities in financial services.

Reliance Capital is one of India's leading and fastest growing private sector financial services companies, and ranks among the top 3 private sector financial services and banking groups, in terms of net worth.Reliance Capital, a constituent of S&P CNX Nifty and MSCI India, is a part of the Reliance Anil Dhirubhai Ambani Group (www.relianceada.com) and is one of India's leading and fastest growing privates sector financial services companies.

Reliance Capital has interests in asset management and mutual funds; life and general insurance; private equity and proprietary investments; stock broking; depository services; distribution of financial products; consumer finance; and other activities in financial services.

Reliance Mutual Fund is India's biggest Mutual Fund. Reliance Life Insurance is one of India's fastest growing life insurance company and among the top four private sector insurers. Reliance General Insurance is one of India's fastest growing general insurance company and among the top 3three private sector insurers. Reliance Money is one of the leading retail brokerage houses and distributors of financial products in India with over 3 million customers. Reliance Consumer finance has a loan book size of Rs. 8,511 crore (US$ 1.8 billion) as on June 30, 2009. Reliance Capital has a net worth of Rs. 7,500 crore (US$ 1.6 billion) and total assets of Rs. 25,074 crore (US$ 5.2 billion) as on June 30, 2009.Reliance Money is a group company of Reliance Capital, one of India's leading and fastest growing private sector financial services companies, ranking among the top 3 private sector financial services and banking companies, in terms of net worth. Reliance Capital is a part of the Reliance Anil Dhirubhai Ambani Group.Reliance Money is a comprehensive electronic transaction platform offering a wide range of asset classes. Its endeavor is to change the way India transacts in financial markets and avails financial services.

Reliance Money is a single window, enabling you to access, amongst others in Equities, Equity & Commodities Derivatives, Mutual Funds, IPOs, Life & General Insurance products, Offshore Investments, Money Transfer, Money Changing and Credit Cards

The Reliance Anil Dhirubhai Ambani Group is one of India's top 3 business houses, and has a market capitalization of over Rs.2,90,000 crore (US$ 75 billion),net worth in excess of Rs.40,000 crore (US$ 10 billion), cash flows of Rs. 9,000 crore (US$ 2.2 billion), net profit of Rs. 5,000 crore (US$ 1.3 billion) and zero net debt.

Reliance Money, A Reliance Capital Limited Company, is the financial services division of Reliance Anil Dhirubhai Ambani (ADA) Group. Reliance ADA group is among top 3 business houses in India with wide range of presence across various sectors. Groups major interests ranges from communications (Reliance Communications) and financial services (Reliance Capital Ltd), to generation, transmission and distribution of power (Reliance Energy), infrastructure and entertainment.

Reliance Money has over 22 lakhs customers and more than 10'000 branches in around 5000 cities in India. Company is among the largest broking and distribution house of financial products and having share of more than 3% of total stock market volume at BSE & NSE.

RelianceMoney.com is the web based investment portal (with Online Stock Trading) from Reliance Money. This website enables its customer to invest & manage most of the services provided by Reliance Money including Equity (Stock) Trading, Commodity Trading, Derivatives, Mutual Fund Investment, IPO Investment, Life Insurances, General insurances, Money Transfer, Forex exchange, Gold Coins and Credit Cards Services. Company recently entered in to Wealth Management with tools like investment in equity-linked portfolio management services, structured products, insurance and mutual funds.

The Reliance Money stock trading websites uses special security features 'Security Token', which makes your online trading experience more secure without complexity. Stock Trading through RelianceMoney.com is available for BSE and NSE stock exchanges. Offline trading is also available through Reliance Money partners in more than 5000 city across India.

Reliance Money Technical Analysis (A paid service)Relance Money offers a simplified, automated, sophisticated technical analysis to Indian retail broking consumers with the help of Recognia's Technical Analysis tools. Recognia, a Canada based company, has proprietary pattern recognition technology capable of recognizing patterns in the price charts of any publicly traded financial instrument including stocks, bonds, funds, commodities, currencies and indexes.

The technical services are available for introductory free 7-day trial period to Reliance Money users. Post the trail period, this service is available to users at a nominal subscription of Rs. 99 for 3 months/ Rs. 179 for 6 months/ Rs. 299 for a year, i.e., less than Re 1 a day.

COMPANY HISTORY

Reliance Capital Limited was incorporated in year 1986 at Ahmedabad in Gujarat as Reliance Capital & Finance Trust Limited. The name RCL came into effect from January 5, 1995. In 2002, RCL shifted its registered office to Jamnagar in Gujarat before it finally moved to Mumbai in Maharashtra, in 2006.

In 2006, Reliance Capital Ventures Limited merged with RCL and with this merger the shareholder base of RCL rose from 0.15 million shareholders to 1.3 million.

RCL entered the Capital Market with a maiden public issue in 1990 and in subsequent years further tapped the capital market through rights issue and public issues. The equity shares were initially listed on the Ahmedabad Stock Exchange and The Stock Exchange Mumbai. Presently the shares are listed on The Stock Exchange Mumbai and the National Stock Exchange of India.

RCL in the initial years engaged itself in steady annuity yielding businesses such as leasing, bill discounting, and inter-corporate deposits. Later, in 1993 diversified its business in the areas of portfolio investment, lending against securities, custodial services, money market operations, project finance advisory services, and investment banking.

RCL was accredited a Category 1 Merchant banker by the Securities Exchange Board of India (SEBI). It had lead managed/co-managed 15 issues of an aggregate value of Rs. 400 crore and had underwritten 33 issues for an aggregate value of Rs. 550 crore. All these companies were listed on various exchanges.

RCL obtained its registration as a Non-banking Finance Company (NBFC) in December 1998. In view of the regulatory requirements RCL surrendered its Merchant Banking License.RCL has since diversified its activities in the areas of asset management and mutual funds, life and general insurance, private equity and proprietary investments, stock broking, depository services, distribution of financial products, consumer finance and other activities in financial services.

Reliance Group Holdings has grown from a small office data-processing equipment firm in 1961 into a major insurance and financial-services group in one generation under one chief. The holding company is best known for its insurance group, which includes separate subsidiaries for property and casualty insurance, life insurance, and title and mortgage insurance. Reliance's insurance operations constitute the nation's 27th-largest property and casualty operation. The parent company also includes a development subsidiary in commercial real estate. Reliance's international consulting group contains several subsidiaries in energy, environment, and natural resources consulting. A financial arm invests in other businesses, primarily television stations.

By the time he received a bachelor of science degree in economics from the University of Pennsylvania's Wharton School of Finance in 1959, Saul Steinberg was already in the business of leasing computers, then a new concept. In 1961, at age 22, Steinberg founded the Leasco Data Processing Equipment Corporation. The company grew rapidly, expanded its capabilities, and in 1965 went public.

By 1968, Leasco sought to diversify its fields of business. Among its major purchases in the last two years of the 1960s was Reliance Insurance Companies of Philadelphia, which included Reliance Insurance Company and its subsidiaries. Leasco bought 91% of Reliance in September 1968, and the balance in winter 1981. Reliance insurance had been writing insurance since 1817, officially incorporating in 1820, and became the company's largest subsidiary.

Reliance Insurance started as the Fire Association of Philadelphia in 1817, organized by 5 hose and 11 engine fire companies. It became the nation's first association of volunteer fire departments. Its office was the front room of Caleb Carmalt, one of the founders. The association first met in his house on September 17, 1817. Michael Fox, president of Diligent Engine Company, was elected chairman. The new group took the place of several previous associations that had never succeeded because of internal squabbles among members.

The association started with no money, and trustees pledged their property as security. The founders agreed not to pay dividends until the company accumulated $15,000 in capital. The original 13 trustees agreed that dividends should go to the unpaid firemen. As a benefit, members received a 5% discount on their own property fire insurance. In addition to underwriting fire insurance, the association served as mediator between its member engine and hose companies; as rivals to get to a fire first to collect the commission, fire companies often damaged each other's equipment and assaulted each other.

The association adopted a fire mark with a fireplug attached to a hose and the initials F.A. on both sides for homeowners to place on their facades to let firefighters--and potential arsonists--know the houses were insured. Samuel Bleight, a storeowner with a weaving business in his basement, bought the first policy for his three-story building. The company took ten risks its first year.

The first time the association applied to the state legislature for a charter, it failed after the representative from Philadelphia stated that "the petitioners were men unworthy of public confidence and destitute alike of public spirit and mental worth." Association members immediately launched a successful campaign to defeat the representative in his next bid for reelection. Existing insurance companies also fought the charter. They "may have feared the Fire Association's influence on their own business, though they gave as their real cause of opposition . . . the fact that the new organization was without cash capital," according to The Fire Association of Philadelphia, a corporate history published in 1917 to celebrate its first century. On March 27, 1820, the governor of Pennsylvania signed a charter for The Trustees of the Fire Association of Philadelphia.

The company wrote 29 risks the first year of its charter. Business grew steadily, and by 1832, it wrote 583 policies. Although the first companies joined the association without charge, it subsequently imposed an entrance fee. By November 1829, 44 companies were members. By 1850, the association amassed a surplus of $100,000.

That year, the Great Fire of Philadelphia started at a store and spread to a warehouse where it caused an explosion and created panic. The fire spread so fast that it could be seen across the Delaware River in Trenton, New Jersey, and tremors were felt in Wilmington, Delaware. The largest fire in Philadelphia history up to that time, it destroyed 367 buildings, killed between 17 and 33 people, some drowning after jumping into the river. More than 100 people were reported injured, and losses were valued at $1.5 million, of which the association owed about $100,000, enough to wipe out the surplus it had accumulated. The trustees, however, promptly secured a loan based on their own personal liability, and paid all claims. This step created so much goodwill that its business expanded rapidly in the next few years.

During the Civil War, association members operated ambulances to transport the wounded to hospitals when they arrived in Philadelphia. In 1871, the city of Philadelphia organized its own fire department. The trustees voted to continue the association as a stock company under an amended charter. The state legislature approved the new charter on May 5, 1871. Four of the previous trustees and nine other stockholders were elected to the board of directors. At that time, the association became solely an insurance company and started writing policies outside Philadelphia. Its assets at the time totaled $1.71 million.

Business got a boost as a result of the Great Chicago Fire of 1871. The association soon developed a field of agents to write policies across the country. For the first two years, shareholders received dividends twice a year of $5 a share, which increased gradually to $10 in 1876.

As the company history reported, the association was able to pay large claims promptly when they came due. These included $309,000 after the great Baltimore Fire in 1904 and $1.84 million following the 1906 San Francisco Earthquake and Fire. By 1917, the association reported business of $4 million a year. It had expanded its coverage to include marine, tourist baggage, registered mail, explosion, sprinkler leakage, tornado, earthquake, and automobile insurance.

In 1919, the association started a subsidiary, Victory Fire Insurance Company, which had the same officers as the parent company. In the 1920s, it founded another subsidiary, Reliance Insurance Company and added riot and civil commotion insurance to its offerings. The year of the 1929 stock market crash, the association made $93,605 in underwriting profit, but this sum was more than offset by its $410,000 losses in investments.

World War II took its toll on the insurance business, including the association, which lost money between 1942 and 1946. By 1947, it broke even, and 1949 "was by far the banner year in the company's long history," Best's Insurance Reports, 1950-1951 edition, stated. In 1950, the association merged its subsidiaries into the parent company. The Fire Association of Philadelphia changed its name to Reliance Insurance Company in 1958.

From then on, the insurance company grew both through acquisition and establishment of subsidiaries. In the property and casualty field, it bought General Casualty Company of Wisconsin in 1956--sold in 1990 to Winterthur Swiss Insurance Company for $630 million--and United Pacific Insurance Company in 1967.

Reliance also started Eureka Insurance Company in Wisconsin in 1959, which changed its name to Planet Insurance Company in 1963. Since 1973, Planet has written Reliance's commercial mass-marketing business. In 1976, Planet took over Reliance's standard business in Texas. Another subsidiary, Regent Insurance Company, also started in 1963 in Wisconsin, writes auto, fire, inland marine, workers' compensation, and other insurance. Reliance started General Casualty Company of Illinois, sold in 1990, and Reliance Insurance Company of Illinois. The property and casualty operations evolved so that Reliance Insurance Company handled most eastern operations; General Casualty was responsible for most midwestern business until its sale; and United Pacific took care of the West.

The company's strategy was expansion in selected specialty lines. In 1971, the parent company formed Reliance Financial Services Corporation, an intermediate holding company for its insurance branches. The insurance operations are governed by a complicated structure, in which Reliance Group Holdings owns Reliance Group, Inc., which in turn owns Reliance Financial Services Corporation, which in turn owns Reliance Insurance Company and its subsidiaries.

In 1972, the Reliance insurance group divided its pool so that Reliance Insurance Company and its subsidiaries handled most standard lines, while United Pacific Insurance Company handled the nonstandard and other operations. Other property and casualty subsidiaries included Reliance Insurance Company of New York, founded in 1978, and Reliance Lloyds, founded in 1980.

In December 1973 Leasco Corporation changed its name to Reliance Group, Inc. The move represented corporate strategy to move away from computer-related services and into financial ones in the early 1970s, and recognition that insurance constituted the biggest part of the group. Three years later, Reliance Group founded Commonwealth Land Title Insurance Company, which would become the lead company in the group for mortgage and title insurance.

In 1981, Steinberg, still chairman of the board and chief executive officer decided to make the company private. He founded Reliance Group Holdings, Inc., a holding company for his and his family's stock that acquired all outstanding shares of Reliance Group, Inc., through cash purchase, debentures, or preferred shares of Reliance Group Holdings. In 1982, Reliance insurance group expanded its life insurance business, as United Pacific Life Insurance Company marketed annuities for savings and retirements. The same year, the company incorporated Reliance Life Insurance Company of Rhode Island. The next year, it founded United Pacific Reliance Life Insurance Company of New York.

In 1986 the company went public again. Reliance Group Holdings, Inc. sold slightly more than 20% of its stock with a 15 million-share offering. Steinberg, his family and their trust retained the rest.

To find specialty markets suitable for Reliance's selective growth strategy, the group founded Reliance National Insurance Company late in 1987. It entered insurance markets of professional liability, construction, transit, health, technical property, and risk management. The value of Reliance's investments took a nose dive with the stock market crash of 1987. The company's net income per share decreased from $1.68 in 1987 to 32s; in 1988 and to 29s; in 1989. Like the insurance market in general, Reliance's underwriting market worsened in the late 1980s, as a result of disaster payments from hurricanes and the 1989 San Francisco earthquake.

In 1989, the insurance group included these divisions: property and casualty, life, and title and mortgage. Property and casualty wrote $1.79 million in premiums in 1989, using more than 3,000 independent agents. Reliance Insurance Company remained the biggest part of the group, which also included specialized risk and surety companies such as Reliance National Insurance Company, bought by the company in 1988 to write specialty lines. It was originally known as Hanseco Reinsurance Company, then John Hancock Reinsurance Company until Reliance changed the name in 1989 to make it sound like part of the family. Also writing specialty property and casualty coverage were Reliance Reinsurance Corporation and Cananwill, a premium finance company. Reliance aimed to be a sole source for its agents by giving them all of the lines they needed through one subsidiary or another.

Expansion continued in 1989. The life insurance group founded United Pacific Financial Services, which offered securities and insurance to financial institutions through its broker-dealer, Reliance Life Distributors, and its insurance agency, Reliance Marketing Management. That year the life insurance group's assets totaled $5.77 billion.

In 1989 the California Department of Insurance (CDI) accused United Pacific Life Insurance of earning an annual rate of return about $10 million in excess of what it determined to be "fair and reasonable." However, CDI deferred the case while it reexamined its method of determining fair rates of return. The title and mortgage-insurance branch grew with the purchase of Transamerica Title Insurance Company from Transamerica Corporation in 1990. The move boosted the size of the operation by almost 50%. In previous years the business of this segment had contracted; pretax income fell from $27.5 million in 1987 to $25.3 million in 1988 to $20.5 million in 1989. Reliance's 1989 annual report attributed the decline to "a decrease in commercial and residential real estate activity and increased price competition in commercial title insurance." Additionally in the mid-1980s Commonwealth Mortgage Assurance Company, the mortgage insurance arm, had experienced losses because of declines in the real estate market.

At the same time that the insurance business was growing, Reliance Group Holdings and its predecessors were developing other areas of business. The company bought Container Transport International in the 1960s, and turned it into the world's largest container transport company before selling it in 1979. Leasco purchased several specialized management consulting firms, which became the Reliance Consulting Group. The group provided three types of consulting: energy, environment, and natural resources; professional personnel services; and commercial productivity. The branches included RCG International, Inc., which, like Reliance Insurance, grew through acquisition of select specialized companies. Two more divisions, Herbert W. Davis & Company and Werner International, provided quality and cost-control consulting to manufacturers. The consulting group grew steadily, netting $67 million in revenues and $3 million in pretax profits in 1989.

In 1977, the company moved into real estate, forming Continental Cities Corporation, which became Reliance Development Group, Inc. This division handled all real estate operations of the parent company and other subsidiaries. The subsidiary additionally designed, developed, and managed commercial buildings. Projects the firm was developing in 1989 included office complexes in Tucson, Arizona, and Fort Worth, Texas. The group was working on residential and retail facilities, including ten shopping centers in the United States. Additional projects included the Oriental Warehouse in San Francisco's financial district, involving renovation of a historic brick structure combined with new construction of 420 apartments and commercial space, and mixed-use development for a tract of more than 500 acres in the Dulles International Airport corridor near Washington, D.C.

Reliance Capital Group, L.P. constituted the investment branch of the Reliance conglomerate. Its major holding consisted of Telemundo Group, Inc., a 36-station Spanish television network headquartered in New York, including the largest television station in Puerto Rico. In December 1989, Reliance Capital sold its investment, Days Corporation, parent company of Days Inn of America, the world's third-largest hotel chain; it had been purchased in 1984. The company nearly tripled the value of its investment in the sale, netting a $20 million pretax profit.

The company planned to continue its long-time strategy of growth through selective acquisitions and expansion. Under this strategy, it developed from a young man's computer leasing company into a major conglomerate.

Principal Subsidiaries: Reliance Insurance Company; Reliance National Insurance Company; General Casualty Companies; Reliance Surety Company; Reliance Reinsurance Corporation; Cananwill; United Pacific Life Insurance Company; United Pacific Reliance Life Insurance Company of New York; United Pacific Financial Services; Commonwealth Land Title Insurance Company; Transamerica Title Insurance Company; Commonwealth Mortgage Assurance Company; Commonwealth Relocation Services, Inc.; Reliance Development Group, Inc.; RCG International, Inc.; RCG/Hagler Bailly; RCG/Moody-Tottrup; RCG/Personnel Sciences; RCG/Vectron; Herbert W. Davis & Company; Werner International, Inc.; Telemundo Group, Inc.

EXECUTIVE SUMMARY

This report is structural as well as procedural study about the extent of flexibility and transparency present inside the framework of financial industry. Organization is constantly changing. These changes often result from events which alter the establishment status quo in some way such as the introduction of new technology process changes organization merges or restructuring.Reliance money in its span of two years has undergone many innovations whether it is in its field of technologies or whether it is customer satisfaction. In this period of our training we have learnt all the operations done by reliance money i.e. opening of D-MAT account, filling forms, verification of the form, rectification of the form, checking the status of the clients, handling the queries of the customers, gaining knowledge about the various products of reliance money like IPO, Commodities, Derivatives, Life insurance, etc. and this report also presents a brief idea about the issue of credit cards.During my project we also came to know about the customer service which the company provides to its customers. As far as data collection is concerned we have both primary as well as secondary data in this report. I have collected primary data by interactive sessions with the working officials of the company and secondary data are collected which are more qualitative in nature from the manuals, internet, corporate articles and other preserved data by the company.

Reliance money is equally aware of the needs of its customers and helps them in giving meaning and content. This company has steadily progressed over the years from strength to strength. It provides online share trading facility to the customers. Reliance money is also into life insurance which provides a very good opportunity to the customers by giving them a life cover and securing the future of their families. As I dealt with both of these two products of reliance money so I got a good exposure about the general expectations of a customer and what he usually experienced while dealing into investment products. To meet these expectations reliance money is into the concept of franchisees where private franchisees are given to individuals so that the coverage area of reliance money can be increased and word load on employees can be decreased in order to increase Relationship Management. RELIANCE ADA GROUP

RELIANCE MONEYReliance Money is a group company of Reliance Capital, one of India's leading and fastest growing private sector financial services companies, ranking among the top 3 private sector financial services and banking companies, in terms of net worth. Reliance Capital is a part of the Reliance Anil Dhirubhai Ambani Group.Reliance Money is a comprehensive electronic transaction platform offering a wide range of asset classes. Its endeavor is to change the way India transacts in financial markets and avails financial services.

Reliance Money is a single window, enabling you to access, amongst others in Equities, Equity & Commodities Derivatives, Mutual Funds, IPOs, Life & General Insurance products, Offshore Investments, Money Transfer, Money Changing and Credit Cards

The Reliance Anil Dhirubhai Ambani Group is one of India's top 3 business houses, and has a market capitalization of over Rs.2,90,000 crore (US$ 75 billion),net worth in excess of Rs.40,000 crore (US$ 10 billion), cash flows of Rs. 9,000 crore (US$ 2.2 billion), net profit of Rs. 5,000 crore (US$ 1.3 billion) and zero net debt.

Reliance Money, A Reliance Capital Limited Company, is the financial services division of Reliance Anil Dhirubhai Ambani (ADA) Group. Reliance ADA group is among top 3 business houses in India with wide range of presence across various sectors. Groups major interests ranges from communications (Reliance Communications) and financial services (Reliance Capital Ltd), to generation, transmission and distribution of power (Reliance Energy), infrastructure and entertainment.

Reliance Money has over 22 lakhs customers and more then 10'000 branches in around 5000 cities in India. Company is among the largest broking and distribution house of financial products and having share of more then 3% of total stock market volume at BSE & NSE.

RelianceMoney.com is the web based investment portal (with Online Stock Trading) from Reliance Money. This website enables its customer to invest & manage most of the services provided by Reliance Money including Equity (Stock) Trading, Commodity Trading, Derivatives, Mutual Fund Investment, IPO Investment, Life Insurances, General insurances, Money Transfer, Forex exchange, Gold Coins and Credit Cards Services. Company recently entered in to Wealth Management with tools like investment in equity-linked portfolio management services, structured products, insurance and mutual funds.

The Reliance Money stock trading websites uses special security features 'Security Token', which makes your online trading experience more secure without complexity.

Stock Trading through RelianceMoney.com is available for BSE and NSE stock exchanges. Offline trading is also available through Reliance Money partners in more then 5000 city across India.

CHAIRMAN OF THE COMPANY

Regarded as one of the foremost corporate leaders of contemporary India, Shri Anil D Ambani, 50, is the chairman of all listed companies of the Reliance ADA Group, namely, Reliance Communications, Reliance Capital, Reliance Infrastructure, Reliance Natural Resources, Reliance Power and Reliance Big Entertainment. He is also Chairman of the Board of Governors of Dhirubhai Ambani Institute of Information and Communication Technology, GandhiNagar,Gujarat.

An MBA from the Wharton School of the University of Pennsylvania, Shri Ambani is credited with pioneering several financial innovations in the Indian capital markets. He spearheaded the country's first forays into overseas capital markets with international public offerings of global depositary receipts, convertibles and bonds. Under his chairmanship, the constituent companies of the Reliance ADA group have raised nearly US$ 3 billion from global financial markets in a periodoflessthan15months.

He is credited with having pioneered a number of path-breaking financial innovations in the Indian capital markets. He spearheaded the country's first forays into the overseas capital markets with international public offerings of global depositary receipts, convertibles and bonds.

He is a member of: Wharton Board of Overseers, The Wharton School, USA

Central Advisory Committee, Central Electricity Regulatory Commission

Board of Governors, Indian Institute of Management, Ahmedabad

Board of Governors Indian Institute of Technology, Kanpur

In June 2004, he was elected for a six-year term as an independent member of the Rajya Sabha, Upper House of India's Parliament a position he chose to resign voluntarily on March 25, 2006.Awards and Achievements Conferred the 'CEO of the Year 2004' in the Platt Global Energy Awards

Rated as one of 'India's Most Admired CEOs' for the sixth consecutive year in the Business Barons - TNS Mode opinion poll, 2004

Conferred 'The Entrepreneur of the Decade Award' by the Bombay Management Association, October 2002

Awarded the First Wharton Indian Alumni Award by the Wharton India Economic Forum (WIEF) in recognition of his contribution to the establishment of Reliance as a global leader in many of its business areas, December 2001

Selected by Asia week magazine for its list of 'Leaders of the Millennium in Business and Finance' and was introduced as the only 'new hero' in Business and Finance from India, June 1999

TOP MANAGEMENT PROFILE

Reliance Capital is anchored by a team of experienced and committed visionaries who are dedicated towards scaling the company to greater heights through innovation and excellence; thereby creating value for all our stakeholders.

Amit Bapna (Chief Financial Officer, Reliance Capital)

Amit Bapna, 34, is the Chief Financial Officer at Reliance Capital. He has been with Reliance Capital since 2004 and with the Group since 1999. As CFO, he provides financial direction, oversight and control for Reliance Capital and Group companies and strategic leadership for Treasury. He has over eleven years of experience in varied business environmentsmanufacturing and financial services.

He earlier worked in the capacity of CFO of Reliance Capital Asset Management Ltd and Reliance Consumer Finance where he played a key role and had been a significant contributor to the exponential growth of our Asset management business and has brought in operational & process disciplines, which has been invaluable to the Consumer Finance business.

Prior to that he worked in the Corporate Treasury of Reliance Industries Ltd.

Amit is a chartererd accountant by qualification. He is interested in Travelling, Dining out and watching movies.

Arun Hariharan (President, Quality and Knowledge Management, Reliance Capital)

Arun Hariharan, 42, is President, Quality and Knowledge Management at Reliance Capital. The company has achieved significant business results from Quality and KM initiatives such as Lean Six Sigma and IdeaExpress including over Rs. 100 crore in savings so far. Thousands of employees have participated in these initiatives. Two of Reliance Capitals businesses have won the Economics of Quality commendation Award from the Government of India and also been selected for the Asian Network for Quality Congress, in Japan in 2009.

Before joining Reliance Capital in October 2005, Arun led one of the most successful Six Sigma Quality & KM programs in Indian industry at Bharti AirTel. These have now become case-studies at leading business schools, including IIMs. His total work experience spans 23 years across different companies and roles.

He is frequently invited to speak at Quality and KM events. He has thrice been Chairperson at the International Quality and Productivity Councils Six Sigma conferences around the world. Recently, he was a key speaker at the World Congress for Total Quality and Corporate Governance.

He is the author of several papers and articles in leading international journals on the topics of Quality Leadership and KM. This includes his white paper on Quality lessons for Leadership published by the American Society for Quality.

Aruns educational qualifications include an MS (Finance) and MBA, both from the University of Illinois at Chicago, USA. His other interests are reading, travel, and music.

K. Achuthan (Chief People Officer, Reliance Capital)

K. Achuthan, 40, is the Chief People Officer at Reliance Capital. He has been with Reliance Capital since 2006. As the Human Resources Leader, he is responsible for conceptualizing and implementing state of the art and relevant Human Resource strategies to accelerate growth at Reliance Capital. He has eighteen years of HR leadership experience in diverse business environmentsmanufacturing, consulting, and financial services. He has worked in India, South East Asia, and in North East Asia. He has held a variety of roles ranging from organization development and staffing, management consulting, union relations, and HR leadership.

Achuthans last job was at General Electric. He is a post-graduate in social work from Madras University. He is also a trained CAP coach and facilitator. He has delivered several training sessions on Change Acceleration, Work-Out and Facilitative Leadership skills.

Achuthans is interested in hiking, photography, and playing the keyboard.

K. A. Somasekharan (Chief Executive Officer, Reliance General Insurance)

K. A. Somasekharan, 59, has 30 years of experience in General Insurance. Soma took over as CEO of Reliance General Insurance in April 2005. He is instrumental in making Reliance General Insurance grow, fast. Under Soma's inspiring leadership, RGI's top-line has grown nearly 12 times to Rs. 1,915 crore as on March 31, 2009, becoming the third largest private General Insurance company.

Soma's biggest achievement though is the creation of a network of 200 offices across 172 cities with 7,800 intermediaries along with setting up RGI's retail business virtually from scratch.

Before becoming the CEO of Reliance General Insurance, Soma served as Vice President, Corporate Marketing of RGI in Mumbai. Prior to this, he was associated with United India Insurance and last served in the capacity of Regional Manager. When free, he reads books and magazines of all genres.

Keshav Sanghi (Chief Executive Officer, Reliance Equities International)

Keshav Sanghi, 40, is the CEO of Reliance Equities International, which is the institutional stock broking and investment banking subsidiary of Reliance Capital. This was set up in 2008 to complement Reliance Capital's existing Financial Services businesses. Keshav is building an institution with a competent team by winning mindshare, respect and trust through being Clear, Concise and Confident

Keshav's primary responsibility is to lead a team of committed professionals towards achieving shared goals of being the best in a competitive environment. The team wants to differentiate their services from the rest of the street; they aim to add value to their client's investment decision by charting their own path towards Excellence.

Keshav was earlier the MD and Head of Equities at Deutsche Bank in India. He graduated with a degree in Finance from the University of Texas at Austin. He is an avid reader, is training for the sprint triathlon, and is also an amateur magician.

K. V. Srinivasan (Chief Executive Officer, Reliance Consumer Finance)

K. V. Srinivasan, 44, is the CEO of Reliance Consumer Finance and of Reliance Home Finance; both are subsidiaries of Reliance Capital.

KV has been leading the consumer finance business since December 2007. He has been instrumental in building a strong team to accelerate growth, responsibly. KV oversees both the companies that are building a quality portfolio of assets, and delivering significant return on investments.

He has been with the Reliance Capital for the past four years. Earlier, he was the COO of Reliance Life insurance, during which time that company became India's fastest growing life insurance company-having grown from 11th to 4th place. Before joining Reliance Capital, he was the Financial Controller and Company Secretary of Citicorp Finance, a Citibank subsidiary.

KV has done his MBA from IIM, Ahmedabad. He is an outdoor and fitness enthusiast, and is very passionate about music.

Lav Chaturvedi (Chief Risk Officer, Reliance Capital) Lav Chaturvedi, 33, is the Chief Risk Officer for Reliance Capital since October 2008. He is responsible for assessing and managing enterprise-wide risks at the group level covering various risks such as credit, market, operations, etc. across all businesses and geographies and risk aggregation for centralized risk and capital management. He is responsible for integral Internal Audit function at group level. He has been instrumental in developing best-in-class risk management capabilities and culture by creating a clear direct line of sight from risk management to stakeholder value. Before this, he was the Head, Risk Management in Reliance Mutual Fund, which he joined in January 2007.

Lav has worked with Ips Sendero, subsidiary of Fiserv (a Fortune 500 company), in Scottsdale, Arizona, USA at the senior management level, providing strategic and tactical consulting on balance sheet management to the clients and assisting in the resolution of advanced analytical and policy issues. He has rich and in-depth exposure to the entire spectrum of commercial as well as financial functions in the corporate finance, banking and consulting industries at the domestic as well as international level.

Lav has an MBA from Syracuse University, New York. He is also a Chartered Financial Analyst from the CFA Institute, USA. He is a steering committee member of PRMIA's Mumbai Chapter (Professional Risk Managers' International Association).

Lav is a great sports enthusiast and loves to play tennis, basketball, and racket-ball.

Madhusudan Kela (Head - Equity Investments, Reliance Capital Asset Management)

Madhusudan Kela, B.Com, MMS, is the Head of Equity Investments at Reliance Capital Asset Management Ltd. He has accumulated over 13 years valuable experience in sales and dealing. His last assignment was with Reliance Capital Ltd as Vice President, looking after Equity Investments. Prior to joining the Reliance Group, Kela spent valuable time with Peregrine Securities as the Vice President, Equity Sales and Dealing. Before Peregrine, he held similar positions with UBS Securities and Motilal Oswal.

Malay Ghosh (President, Reliance Life Insurance)

Malay Ghosh, 49 is the President of Reliance Life Insurance. He is an ardent believer in a collaborative managerial style, but his focus remains on all-round growth with profitability.

He joined Reliance Capital in April 2008 as Deputy CEO of Reliance Life Insurance where he led its Sales, Distribution, Retention and Product Development functions. He played a pivotal role in steering the company on the growth path despite challenging market conditions and ensured remarkable success. In FY 08-09 the company grew by 28% when the industry contracted by 6%.

With over 24 years experience in the life insurance industry he brings to the table rich exposure, knowledge and operational excellence. His last job was with Bajaj Allianz Life Insurance where as Head of Sales he spearheaded the company on the growth path with his aggressive sales and distribution acumen.

Malay holds a Masters degree in Statistics from the Indian Statistical Institute, Kolkata. He is an avid reader and enjoys listening to Rabindra Sangeet. He has a keen interest in teaching due to his passion for spending time with young minds. He is also associated with an NGO working in the area of poverty alleviation and primary education as its Chief Mentor.

Noorul Ameen (Chief Executive Officer, Reliance Capital Services)

Noorul Ameen, 35, is the CEO of Reliance Capital Services. This was started in 2008 to cross-sell Reliance Capital's different offerings to the shareholders, customers, and employees of the entire Reliance-Anil Dhirubhai Ambani Group. In one year, RCS has got 60,000 customers that are served by 2,000 employees from 47 offices in the country.

Noorul was earlier with Bajaj Allianz, where he headed its specialized distribution arm, Bajaj Allianz Financial Distributors. He has always been in the financial services industry.

Noorul has completed his studies from Bangalore. He is always optimistic, enthusiastic and very passionate about his work, though he is hardly able to spare some time towards his other passion for driving on long drives, listening to music. He also loves watching cricket, besides having interest in golf and Snooker too

Rajnikant Patel (President, Reliance Capital)

Rajnikant Patel, 48 is President of Reliance Capital. He is heading the Exchange Initiatives of Reliance ADA Group at Reliance Capital as a separate business vertical. He has set up a new exchange called Reliance Spot Exchange which aims to bring the physical markets (mandis) to a national level through a single electronic screen and build national infrastructure for the Spot Markets. Hejoined Reliance Money in October 2008.

An accomplished banker, Rajnikant had a long stint with the banking regulator, Reserve Bank of India. He has also worked with both Public sector banks and with Multinational Bank like State Bank of Saurashtra, Bank of Maharashtra, and BNP PARIBAS. Prior to joining Reliance Capital, he was the MD & CEO of Bombay Stock Exchange (BSE). He spearheaded the Corporatization and Demutualization of BSE making BSE the first Indian Exchange to do so. He has been a member of the Working committee of the World Federation of the Exchanges (WFE) and the longest serving Chairman of South Asian Federation of Exchanges (SAFE).

He is the recipient of awards like Indira Super Achiever Award and Accor HR Excellence-CEO with HR Orientation Award. He is the Distinguished Fellow of the Institute of Directors, London. He holds Masters in Commerce with a degree in Law and Banking.

An avid reader, he loves motorcycling. He has even participated in a National Motorcycle Rally. He is also interested in photography and occasionally writes poetry.

Sam Ghosh (Chief Executive Officer, Reliance Capital)

Sam Ghosh, 50, is the Group Chief Executive Officer of Reliance Capital. He joined the company in April 2008.

Before joining Reliance Capital, Sam was the Regional CEO of Middle East and India Sub Continent region of Allianz, a German insurance company. Earlier, he was the CEO of Bajaj Allianz's India operations. Prior to that he was involved in setting up operations for Allianz in South East Asia. He spent ten years in Australia in various capacities with Allianz from CFO to managing subsidiary companies as well as operations in the Pacific Rim.

Sam Ghosh is a Chartered Accountant from England. He is an avid reader of all genres in his spare time.

Sandeep Phanasgaonkar (Chief Technology Officer, Reliance Capital)

Sandeep Phanasgaonkar is President & Chief Technology Officer for Reliance Capital Ltd. Sandeep is responsible for all IT initiatives at Reliance Capital.

Sandeep has over 24 years of experience in applying IT solutions for finance, banking and BPO and IT-enabled services. He began his career with the State Bank of India and has worked with Tata Infotech, iFLEX Solutions and with Deutsche Bank as its Regional-Asia Technology Head. He joins Reliance Capital from Genpact where he was the Global Chief Information Officer. Sandeep led the critical IT Transition of Genpact from GE and was responsible for global IT delivery and driving operating efficiencies across India and the global locations of the company.

Sandeep's current role as CTO for Reliance Capital requires him to drive both Line-of-Business (LOB) specific initiatives and pan-Capital, strategic initiatives for the enterprise. This leverages synergy between different Line-of-Business functions, creating a differentiating value proposition for the company's services and products and also a whole, new service and relationship proposition for the customer. He is also focusing very keenly on driving productivity and taking cost out of IT and business operations and giving a whole new meaning to the phrase "doing more with less".

Sandeep is an MBA from Jamnalal Bajaj Institute of Mgmt Studies, Mumbai.

Sanjay Jain (Chief Marketing Officer, Reliance Capital)

Sanjay Jain, 42, is the Chief Marketing Officer of Reliance Capital. He works very closely with all Relaince Capital companies in defining their marketing and brand strategies.

Sanjay has been with Reliance Capital since August 2008. He brings eighteen years of strong and diverse experience as a marketing and management executive with extensive experience in marketing, product and brand development, new launches, strategic planning, developing new business opportunities and project management.

His last job was with Bajaj Allianz as Marketing Head. Hes also worked with other leading organisations like The Coca-Cola Co., Ogilvy, and the Times of India Group and Bajaj Allianz.

Sanjay loves adventure sports, going out to watch games with friends at the stadiums, exploring new territories, and watching Bollywood movies.

Sudip Bandyopadhyay (Managing Director , Reliance Money)

Sudip Bandyopadhyay, 45 is the Managing Director of Reliance Money. He has been with Reliance Capital since May 2005 and spearheads its broking, distribution, OTC (over-the-counter) and exchange business, under the brand, Reliance Money. He has been responsible for making Reliance Money into India's largest broking and distribution house in three years.

Sudip has been instrumental in taking Reliance Money international through various innovative tie-ups and acquisitions. Reliance Sudip was also responsible for the acquisition of AMP Sanmar that launched Reliance's foray in the Life Insurance segment.

He has 22 years of experience in the financial sector. Prior to joining Reliance Capital, Sudip was heading Treasury and Investment at ITC. A Charted Accountant and Cost Accountant by profession, Sudip started his career as a management trainee with Hindustan Unilever.

An avid reader, Sudip believes that books have played a key role in shaping his life and making him the person he is today. He attributes his success to his learnings from books such as Pather Panchali, Overload, Moneychangers, etc., read by him during various phases of his life.

Sundeep Sikka (Chief Executive Officer, Reliance Capital Asset Management)

Sundeep Sikka, 37, is the Chief Executive Officer of Reliance Capital Asset Management, which runs Indias largest mutual fund, Reliance Mutual Fund. Before becoming the CEO in January 2009, he was the Deputy CEO of the company. Sundeep has been with RCAM since October 2003 and in that time he has been instrumental in expanding RCAMs footprints in both domestic and international territories.

Sundeep and has more than fifteen years of leadership experience with NBFCs and Banks. Sundeep brings a proven track record of success and a broad understanding of the company's business. Prior to RCAM, Sundeep has held a number of other senior management positions; his last stint was with ICICI Bank.

Sundeep has an MBA from Pune University. His hobbies are reading and traveling.

Vikrant Gugnani (Chief Executive Officer, International Business- Reliance Capital)

Vikrant Gugnani, 39, is the CEO, International Businesses for all of Reliance Capital and its subsidiaries. He is currently involved in building local asset management, stock broking and wealth management businesses in identified geographies for the group.

Before this, Vikrant spent almost four years as the CEO of Reliance Capital Asset Management Company. In that time, the assets under management in the company grew from $ 3 billion to $ 22 billion; the number of customers rose from 0.7 million to 7.5 million and profits grew from $ 3 million to $28 million. During his tenure, Reliance Mutual Fund was rated as the 'Most Trusted Brand' in the MF category for three years running by an independent survey conducted for ET by AC Nielsen-Org Marg.

A Chartered Accountant, Vikrant has managed money for the last 17 years. Before joining Reliance Capital, he'd spent nine years with Citibank.

Vikrant has been listed by the Asian Investor magazine as one of the "25 most influential people in asset management in Asia" in May 2009 and was voted "CEO of the Year" for 2008 by Asia Asset Management (an Asian Pensions & Investments Journal). He is on the Mutual Funds Committee of the Confederation of Indian Industry.

Vikrant is passionate about traveling and playing golf.

VISION

Reliance Capital's vision is that:

By 2012, it will be a company that is known as:

"The largest, most profitable, innovative, and most trusted financial services company in India and in the emerging markets".

In doing so, the company expects to reach the following targets by 2012:

1. 50 million customers.

2. 75,000 employees

3. A profit after tax of Rs. 5,000 crore for that financial year.

4. A valuation of Rs. 100,000 crore for the company and its subsidiary businesses.

In achieving this vision, the company will be both customer-centric and innovation-driven.

RELIANCE MONEY PRODUCT OFFERING 1. Trading Portal (with almost negligible brokerage )

Equity Broking

Commodity Broking

Derivatives ( Futures & Options )

Offshore Investments (Contract For Differences)

D-Mat Account.

2. Financial Products

Mutual Funds

Life Insurance

ULIP plan

Term Plan

Money Back Plan

General Insurance

Vehicle/Motor Insurance

Health Insurance

House insurance

IPOs NFOs

3. Value-Added Services

Retirement Planning

Financial Planning

Tax Saving

Children Future Planning

4. Credit Cards5. Gold coins retailing ADVERTISMENT OF RELIANCE MONEY

.Success is a journey, not a distination RELIANCE MONEY DEMAT ACCOUNT

EASY WAY FOR SHARE TRADING INTRODUCTION OF SHARE MARKETShare Market. Overview:

Share Market Overview would give an overall idea about the share market, its

Participants, types; etc. Share market is the market for securities where organized issuance

and trading of shares takes place. It plays an important role in canalizing capital from the

Investors to the business houses which consequently leads to the availability of funds for

Reliance Securities Reliance Commodities Reliance Financial Services Providing investors the Facility of anytime anywhere online Trading in all major asset classes Commodity related trading, Distribution, warehouse receipt Financing will be provided Registered NBFC under Reliance Money which will be in the Distribution and funding Business. Division of Reliance Money business expansion. Shares are certificates which represent ownership rights of the holder in a company.

Basically, Share Market can be divided into two parts:-

1. Primary Market: It is the market where new issues of securities are offered to the

investors.

2. Secondary Market: An investor of a secondary market buys a security from another

Participant of the same and not from any issuing corporation (as in case of Primary Market).

Generally, stocks are of two types:-

a) Common Stock: It gives an ownership right to the holders of the stock. The holders are entitled to receive dividends whenever the company announces.

b) Preferred Stock: These stocks also give ownership right to its holders. Its holders enjoy the privilege of receiving dividends from the company in preference to any other common share holders.

TRADINGShare market is the market for securities where organized issuance and trading of shares

takes place. Shares are certificates which represent ownership rights of the holder in a

company. It plays an important role in channelizing capital from the investors to the

Business houses which consequently lead to the availability of funds for business

expansion.

Shares in the Share Market are traded through:-

(a) Stock Exchange: These are organized market places where stocks, bonds are other

equivalents are traded between the buyers and sellers where exchange acts as counterparty

to both the participants in case of any default.

(b) Over-the -Counter (OTC): These are not centralized exchanges and the trade takes

place through a network of dealers.

There are mainly two types of trading:-

1. Intraday trading: In this type of trading an investor buy and sell stocks during the

same day. Intraday Traders are of two types :-

Scalp Traders: Investors who perform many trades per day for scalping out small profits out of the bid-ask spread, from each trade are known as scalp traders.

Momentum Traders: Investors who pounce on those stocks which move significantly in one direction and book desired profit are called momentum traders. They do this within a day.

2. Delivery trading: In this type of trading an investor buys the share for holding

Purposes. Delivery Traders are:-

i. Technical Traders: They believe that buying/selling signals are present within the graphs and charts of the stock.ii. Fundamental Traders: They perform trade on the basis of study of fact-sheets of the company like historical profit graph, balance sheet, anticipated earningreports, stock splits, mergers and acquisitions, etc.

iii. Swing Traders: They are basically fundamental traders who take delivery of trades for a span of short period generally more than one day.

Share Broking Company offers two types of share trading facilities:-(a) Offline Share Trading: In this form of trading the customer has to place order to the dealer of the stock broking firm either in person or over phone. Offline trading is the main form of investing the money in securities. Offline trading offers many benefits as well.

1. The one benefit that an investor appreciates the most is that they are not alone when making investment decisions.

2. There are experienced and professional brokerage companies that handle their investments for them.

3. Investors are not faced with the challenge of making these vital investment decisions; especially, if they do not have the experience necessary to make the appropriate investments.

4. Also, there is someone there to answer any questions that may cause concerns.

(b) Online Share Trading: The client could place his order on his own from any place he wants, provided he has a computer with an Internet connection. Online Trading has made it easy for private investors to gain straight access to a range of different security markets that were, at one point, only reserved by the use of investment professionals.

Online trading has dramatically changed over the last decade. It continues to be

redefined. Services have expanded to include integrated management of additional

financial accounts. It has subsequently expanded in conjunction with ground-breaking

improvements to the traditional trading interface, such as telephone interface systems.

There are several wonderful reasons to invest online rather than offline trading.

1. Instant online access: - You can gain instant access to your account, the value of your portfolio updates immediately before your eyes.

2. Enter online trades at anytime during Market hours: - You can enter online trades at anytime and from anywhere. This is very convenient if you live in a different time zone than the country you are trading in. It especially fits for investors with busy schedules.

3. With online trading you are in charge: - You are in control of your investments. No sales pitches and no hassle. You decide where to invest your money.Thus, online stock trading is the easy way to buy and sell shares from the comfort of your home. Finding a company that provides us with a secure trading account can be difficult. There are many companies that offers us excellent services for trading, but we need to find which will meet our needs and requirements .Instead of going with a company based on their reputation we should see what they can offer us because our needs as a trader will be radically different from someone traders who have different levels of experience and who have different proclivities toward risk and security. Its not that we always want to look towards the most economical rate of trading but rather work with a reputed organization like RELIANCE MONEY.

DEPOSITORYA depository is an organisation which holds securities of investors in electronic form atthe request of the investors through a registered Depository Participant. It also provides services related to transactions in securities.

In the Depository System, the securities of a shareholder are held in the electronic form by conversion of physical securities to electronic form through a process called 'dematerialization' (demat) of share certificates and facilitates transactions electronically without involving any share certificate or transfer deed.

Depository system is playing a significant role in stock markets around the world and hence has become popular and prevalent in many advanced countries. In India the National Securities Depository Ltd. (NSDL), promoted by Industrial Development Bank of India, Unit Trust of India, and National Stock Exchange is the first depository. A second Depository by name Central Depository Services (India) Ltd, promoted by The Stock Exchange, Mumbai and Bank of India has been registered recently and will commence its operations shortly. Investors have choice of two depositories now

National Securities Depository Limited (NSDL) and

Central Depository Services (I) Limited (CDSL) Constituents of Depository system:- Depository

Depository Participants (DPs)

Share Registrar/Issuers

Investor

Clearing Corporation/Member

Role of Depository

The Depository performs its functions through a network of Depository Participants (DPs) who interact with the Clearing Members and Investor. The Depository carries out following functions through its participants:- Enabling the surrender and withdrawal of securities through the process of demat and demat to and from the depository system. Maintaining investors' holdings in the electronic form through computers,

Effecting settlement of securities traded on the stock exchanges.

Carrying out settlement of "off market trades" (i.e. trades not done on the stock exchanges)

Advising periodically to the Share Registrar / Issuer about the beneficial owners of the securities.

DEPOSITORY PARTICIPANTS

CDSL/NSDL's demat services are extended through its agents called Depository Participants (DP). The DP is the link between the investor and CDSL/NSDL. An investor who opens a demat account with a DP can utilize the services offered by CDSL/NSDL. While the DP processes the instructions of the investor, the account and records thereof is maintained with CDSL/NSDL. A DP is thus a "service centre" for the investor.Role of Depository participants:

Similar to brokers, who act on behalf of a client in the stock market, a Depository Participant is also a representative in the depository system. Financial Institutions / Banks / Custodian / Stock Brokers etc. can become DPs provided they meet the necessary requirements and guidelines prescribed by SEBI. DP serves as a link between the investor and the Company through NSDL for dematerialization of shares and other electronic transactions. DP provides various services with regard to your holdings such as.

Maintaining the securities account balances Enabling surrender (dematerialization) and withdrawal (rematerialisation) of

securities to and from the depository.

Delivering and receiving shares.

Keeping updated with regard to status of holdings periodically.

PROCESS OF DEMAT ACCOUNT OPENINGTo utilize the services offered by a depository, any person having investment in any security or intending to invest in securities needs to have a demat account with a CDSLDP. This holder of such demat account is called as "Beneficial Owner (BO)". A BO can maintain a demat account with zero balance in such account. A BO can open more than one account with the same or multiple DPs, in the same name/s and order, if he/shedesires so. The investor can approach any DP/s of his/her choice to open a demat account.

DematerializationDematerialization is a process by which physical certificates (of shares / debentures / other securities) are converted into electronic balances. A BO has to submit the request for dematerialization by submitting the demat request form (DRF) duly completed along with the concerned physical certificates, to his/her DP.

Processing Delivery & Receipt InstructionsTo settle trades done on a stock exchange (on-market trades) and trades, which are directly settled between two BOs (off-market trades), BOs submit duly completed delivery instructions in the prescribed form to DP. For receipt of securities into his/her account, a BO can give one time "standing instruction" to DP. Once such a standing instruction is given to the DP, there is no need to submit separate instructions for receipt every time the investor buys securities.

Account StatementGenerally a DP sends to the BO, a statement of his account, monthly, if there is any transaction in the account or every quarter if the account is not operated during that period.

RematerialisationRematerialisation is the process by which the electronic balances held in the demat account can be converted back into physical certificates.PledgingIf the BO decides to pledge any securities in his BO account, he can avail of the same by submitting the pledge creation form duly completed, to his DP.

NominationBO accounts also have a facility for nomination in favor of any person.

Transmission of securitiesCDSL offers a facility for transmission of balances held in BO account/s (to other BO Account/s) if so required due to death, lunacy, bankruptcy, insolvency or required due to operation of any law.Change in AddressA BO who wishes to register his change in address submits his/her request in writing to his/her DP. The changes entered by the DP in the CDSL system will be automatically downloaded to all the companies in which the BO is holding securities. This facility offered by CDSL saves money, time and effort for the BO.

Bank Account DetailsSEBI has made it mandatory for companies to print details of bank account of the BO on dividend/interest warrants etc. to prevent possibilities of misuse of the warrants. All BOs should submit a request in writing to the DP if they wish to record / change their bank account details.

Every investor who wants to hold shares in Demat form must open account with a DP of his/her choice. The DP provides all the services relating to transmission of shares and for this service DP levy some charges which is to be paid by the account holder, and charges for annual maintenance which is to be paid by account holder, in turn the DP provide clients with passbook and delivery instruction slips to operate from his Demat a/c .

Dematerialization or demat is a process to convert the securities held in physical form into an electronic form or to directly allot securities in electronic record form. These electronic records of securities are shown as electronic balances in the demat account through a depository participant (DP). DP provides a link between the account holder (beneficiary owner or BO) and the company on one hand and National Securities Depository Limited (NSDL) or Central Depository Services Limited (CDSL) on the other hand.

D-MAT Account OpeningA demat account are opened on the same lines as that of a Bank Account. Prescribed Account opening forms are available with the DP, needs to be filled in. Standard Agreements are to be signed by the Client and the DP, which details the rights and obligations of both parties. Along with the form the client, requires to attach Photographs of Account holder, attested copies of proof of residence and proof of identity needs to be submitted along with the account opening form.

In case of corporate clients, additional attachments required are - true copy of the resolution for Demat a/c opening along with signatories to operate the account and true copy of the Memorandum and Articles of Association is to be attached Reliance Money is a Participant of Central Depository Services Limited (CDSL). CDSL was promoted by Bombay Stock Exchange Limited (BSE) jointly with leading banks such as State Bank of India, Bank of India, Bank of Baroda, HDFC Bank, Standard Chartered Bank, and Union Bank of India and Centurion Bank. CDSL was set up with the objective of providing convenient, dependable and secure depository services at affordable cost to all market participants. D-Mat account opening process of Reliance

Money is as follows.

D-Mat A/C Provided By Reliance MoneyReliance Money provide its customers with the D-Mat A/C, through which they can invest their money in any Financial Instrument like Equity, Derivatives, IPOs, Life Insurance , General Insurance etc. Reliance Money handles all the key financial transactions through this Single Window. D-Mat A/C is an account in which securities are kept in Electronic form.

Scheme1. Cost of Having D-Mat A/C :

Opening Charges: With reliance money the A/C opening charges are Rs.750. These charges are for life time. Annual Maintenance Charges: With Reliance Money the A.M.C. is just Rs.200 that is lowest in The Share Broking Industry.

No brokerage and Service Charge: Reliance Money is the first and foremost company that charges Brokerage and Service charge 0.01 paisa on the Sale and Purchase of Security, otherwise the Industry wide Brokerage rate lies between 0.10 to 0.75 paisa on Delivery based Trading and 0.01 to 0.50 paisa on Intraday Trading.

2. Flat Fee Structure : The current leaders in the retail broking segment like ICICI Direct, India Info line and India bulls offer a pay per use model where the customer pays a percentage of the amount transacted by him. Whereas Reliance Money, aims to tap investors in the smaller towns and cities through a

flat fee structure instead of percentage or per transaction brokerage systemFLAT FEETIME VALIDITYTURNOVER VALIDITY

TRADING LIMIT

Rs.500

12 Months

Rs.3,00,000

Delivery: up to 3 lacs

or

Intraday: up to 3 lacs

The current leaders in the retail broking segment like ICICI Direct, India Info line and India bulls offer a pay per use model where the customer pays a percentage of the amount transacted by him. Whereas Reliance Money, aims to tap investors in the smaller towns and cities through a

flat fee structure instead of percentage or per transaction brokerage system.Flat Fee SchemeFLAT FEE TIME VALIDITYTURNOVER VALIDITYTRADING LIMIT

Rs.1000

2 Months

Rs.1,00,00,000

Delivery: 10 lacs

Intraday: 90 lacs

Rs.1350

6 Months

Rs.3,00,00,000

Delivery: 30 laces

Intraday: 2.7 Crore

Rs.2500

12 Months

Rs.6,00,00,000

Delivery: 60 lacs

Intraday: 5.4 Crore

Flat Fee is charged based on the Turnover of an Investor. This model is as follows:

Flat Fee Scheme

Special Scheme for Small Investors

FLAT FEE

TIME VALIDITYTURNOVER VALIDITYTRADING LIMIT

Rs.500

1 year

Rs.5,00,000

BOTH

3. 3 -Tier Service :

Reliance Money provides its customers with a three tier service i.e. interlinked D-Mat A/C, Trading A/C and Savings Bank A/C. This makes the customer free to trade online and makes the trading more hassle free.

Reliance Money has its tie up with three banks i.e. HDFC, IDBI and UTI Bank and customer need to have his Savings Bank Account with any of these Banks for enjoying this three tier service.

4. Convenient :Customer can access the services of Reliance Money through:

The Internet-mail at www.reliancemoney.com The Transaction Kiosk

The Phone (Call & Transact)-call on 3988 6000 or SMS Money to 6636.

The All India Network of Associates on an assisted trade (through the Call Centre or the network of associates) a charge of Rs.12 per executed trade will be applicable.

5. Safe: For Security Purpose, Reliance Money provides: User ID

Password

Security Token Key that has a unique, six digit no. This no. changes every 32 seconds and works as a dynamic password for keeping the account extra safe.

6. Single Window access: Through Reliance Moneys associates customer can

transact in :

Equity

Equity and Commodity Derivatives

Mutual Funds

IPOs

Life Insurance

General Insurance

Money Transfer

Money Changing

Credit Cards amongst others.

7. Free Tips: Customer gets free tips, current market information and reports on their:

Mobiles

E-Mail IDs

8. Value Added Services: Customers can get some value added services on www.reliancemoney.com Reliable Research, including views of external experts with an enviable track record.

Live News Updates from Reuters and Dow Jones.

CEOs/Expert views on the Economy and Financial Market.

Tools that help customers to plan their investments, tax, retirement etc. in the personal finance section.

Risk Analyzer for analysis of Risk Profile.

Asset Allocations to build an appropriate investment portfolio.

DOCUMENT REQUIREDFor opening a D-Mat A/C with Reliance Money, following documents are needed:

Photocopy of PAN Card (both-front and back side)

An address proof: (any one of them)

Passport

Voter ID Card

Driving License

Bank Statement

Rent Agreement

Telephone Bill (MTNL or BSNL)

3 Coloured Passport size photographs of the First Holder of Account, 1 Photograph of Second Holder (if any) and 1 photograph of Third Holder (if any).

A Cheque (S/B) worth Rs.1000.OPREATIONThe various operations provided by Reliance money is as follows

1) Internet trading

2) Client Account Opening

3) Clearing And Settlement

4) Capital gain on securities transaction

5) LevIies on securities transaction

6) Trading policy for employees

INTERNET TRADING Client order is routed to exchange through brokers trading system.

Client has real time market information.

Client can monitor his position and can see profit and loss on line.

Client has to have internet access to trade through our internet trading platform.

Client can maintain secrecy of his transactions and portfolio.

Client can access the trading system and put trade anywhere and anytime.

Funds and securities are transferred online from client account to broker account and vice versa hence avoid manual work of cheque and DP slip.

CLIENT ACCOUNT OPENING Prospective client has to have three account

Trading account

DP account and

Bank account with payment gateway bank

DP account has to be with Reliance Capital

Reliance Money has tie up with 3 banks.. HDFC,UTI and IDBI

Separate KYC for Equity,Fx and commodities

Receipt of KYC by branch from DSA/Sales Executives

Checking of KYC

Cheque deposit in our designed bank

Dispatch of KYC to CBO on daily basis through DTDC courier only

CBO process the client information, generate customer ID, trading account, DP account and password.

Who can open a trading account?

Individual

HUF

NRI

Corporate

Proprietorship-Only Trading Account Clearing and Settlement

Clearing: A process to find out how much and who has brought or sold securities through our broking platform

How much money is to be paid or is to be received to/from clients and Exchange

How much securities is to be delivered or to be received to/from clients and exchange

Settlement is pay of funds and securities from the clients and then to the exchange

Pay out of funds and securities from the exchange and to clients.

Capital Gain

Capital gain/loss is the difference between sale proceeds and cost of acquisition of asset.

On sale of securities investor has to pay either short term or long term capital gain tax if he earns profit.

Long term capital loss can be set off against long term capital gain only Short Term Capital Gain

Short term capital Gain. When securities are hold for less than one year and sold

Tax is paid @10% on the short term capital gain from sale of securities.

Securities should be old through recognized stock exchange and subject to securities transaction tax

Short term capital loss can be sent off against short term capital gain Long Term Capital Gain

When securities are sold after holding for more than one year

If shares are sold through recognized SE and STT is payable then no tax is payable on long term capital gain otherwise IT @ 20% has to be paid.

Levies on securities transaction Service tax: 12% of brokerage

Education cess:2% of service tax

STT : 125% of delivery value 0.025% of trading one side (sale) 0.017% of trade for F& O (sale)

Stamp duty : 0.01% on delivery transaction 0.002% on trading F & O

Employees Trade Policy Objective: Inside information , diversion

Applicability: Employee and dependent.

Exempted transaction: IPO, MF, Bonds, and PF.

Approval: HOD, Compliance officer.

Securities holding period: 3 days and 30 days.

Restricted transaction: Group Company.

Disclosure: Joining time and every year 31st march.

RELIANCE ACCOUNT OPENING PROCESS

The account opening process followed at Reliance Money is as follows

Accept application forms

Process-

Document checking

Verification

Rectification of errors

Processing completed

Sent to the processing house located at Mumbai

Account opening at CBO(Central Back Office)

After the forms being sent to Mumbai the following process is adopted..

Application inwardThere are two persons who collect these forms and then forward these forms for their

entries.

EntryThere are persons who maintain an excel sheet for the entries of the forms in the format which includes the various details as- application number, branches ,region ,zone, client name ,cheque number etc which is then forwarded to all branches .

ScrutinyAfter doing entries in the excel sheet the forms are being sent for scrutiny. There is a team of 10 -15 people who are responsible for scrutinization.

The scrutinization includes Whether the forms are properly filled or not.

Is there any signature missing.

Whether there is a cross signature or not in the corrections etc.

The documentation is completed

Then the franking and stamping is done by fixing the different stamps of the DP. Once the team finds the process completed then the form is sent for scanning otherwise the forms are sent back to the branches for rectification.

ScanningIn this process the first three pages of the summary sheet viz (Form no 1) are scanned for presenting the pages in DMS.

DMSAfter the form is scanned then they are presented in DMS (document management system) which is a software used to maintain the record of the client which includes the address, phone number, name of client which is used for further processing..Checker: (process for checking the details)There are 3 to 4 persons who again check the entries done in DMS and if any rejection is found then again it is send back to the DMS and if no rejections found then it is send for further processing that is pan validation.

PAN ValidationIn this step there are two persons who check the PAN card of clients from the Income Tax site for its validation. This is the step where the form can again be rejected and sent back to branches.

AuthorizationIn this process, there are 3 to 4 person who send request to CDSL for authorization in which a report is generated in every 45 minutes from CDSL that the form is approved and account is opened. And in this report CDSL gives the client code for every client.

Once the code is generated the details are sent for preparation of Client master report

which is issued to every client.

This client master contains all detail of client including his bank details, nominee detail, BO Id, client ID etc.

Then the client master report is sent to the department where the security key are mapped .This is a special feature of reliance Money DP account which provide security to the client and the password are prepared for cases.

This key is given with the kit known as welcome kit to client which includes client master, DRF (Demat request form), DIS (delivery instruction slips).

Once the kit is fully equipped then it is dispatched to the client through courier.

The password of the client is dispatched on the other day of dispatch of kit.

With the dispatch of kit the account opening process is completed. NOW MAKE TRADING WITH RELIANCE DEMAT ACCOUNT SPECIAL NEWS FOR RELAINCE DEMAT CUSTOMES

Monday, April 16, 2007 Reliance Money launches