mba project
TRANSCRIPT
“A STUDY ON INVESTOR
BEHAVIOUR IN SHARE MARKET
WITH REFERENCE TO
KOTAK SECURITIES, COIMBATORE
MAIN - PROJECT REPORT
Submitted by
SHRI AVINASH NARENDHRAN S V
Reg No: AC10MBF091
In partial fulfillment for the award of degree
of
MASTER OF BUSINESS ADMINISTRATION
IN
MARKETING
Under the Guidance of
K.R.KUMAR
DEPARTMENT OF MANAGEMENT STUDIES
ADHIYAMAAN COLLEGE OF ENGINEERING
(An Autonomous Institution, Affiliated to Anna University of Technology, Coimbatore)
Dr. MGR Nagar, Hosur – 635109
APRIL – 2012
CERTIFICATE
This is to certify that Main - Project report entitled “A STUDY ON
INVESTOR BEHAVIOUR IN SHARE MARKET WITH REFERENCE
TO KOTAK SECURITIES, COIMBATORE” submitted by SHRI
AVINASH NARENDHRAN S.V is the Bonafide work of the Main - Project
done by her/him during the academic year 2010-2012, under my guidance and
supervision in partial fulfilment for the award of DEGREE OF MASTER OF
BUSINESS ADMINISTRATION.
Place : Hosur
Date :
K.R.Kumar Dr. V.Navaneetha Kumar
Faculty Guide Director
Department of Management studies
Submitted for the MAIN - Project Viva-Voce examination held on___________
-------------------- ---------------------------
Internal Examiner External Examiner
DECLARATION
I hereby declare that this Main - Project report on entitled INVESTOR
BEHAVIOUR IN SHARE MARKET WITH REFERENCE TO KOTAK
SECURITIES, COIMBATORE” submitted to Department Of Management
Studies, ADHIYAMAAN COLLEGE OF ENGINEERING, HOSUR in
partial fulfilment of the requirement for the award OF THE DEGREE OF
MASTER OF BUSINESS ADMINISTRATION is a original work done by
me during the period of my study at the college under the supervision and
guidance of Mr.K.R.KUMAR, Lecturer, Department Of Management Studies,
Adhiyamaan College of Engineering, Hosur.
Place: HOSUR
Date:
(SHRI AVINASH NARENDHRAN S.V)
ACKNOWLEDGEMENTS
I take this opportunity with pride and immense pleasure to thank
Dr. G.RANGANATH, Principal, Adhiyamaan College of Engineering,
Hosur for giving this opportunity to know the real experiences from this
project.
I am very much thankful to Dr. V.NAVANEETHA KUMAR Director,
of the Management Studies for his valuable guidance in every step of this
project.
I am highly indebted to my project guide Mr. K.R.KUMAR, who
inspired me and guided me in every step of the project work.
I am thankful to Mr. M.GOBU, Assistant Manager, who gave me this
opportunity to do the project, for supporting me in all aspects and giving me
valuable guidance.
I express my sincere thanks to all the respondents who gave their honest
response to my schedule. I also take this opportunity to thank all those creative
minds and helpful hearts for their assistance in making this project work
successfully.
I am also glad to extend my sincere thanks to my parents, faculty
members and all my friends and my brother and sister who supported me for
completion of my project successfully.
CHAPTER
NO CONTENTS
PAGE
NO
I
INTRODUCTION
Objectives of the Study
Scope of the Study
Limitations of the Study
1
4
5
6
II
PROFILE
Industry Profile
Company Profile
7
13
III REVIEW OF LITERATURE 23
IV RESEARCH METHODOLOGY
Research design
27
V
ANALYSIS AND INTERPRETATION
Table
Charts
31
31
VI FINDINGS
SUGGESTIONS
47
48
VII CONCLUSION 49
REFERENCES
APPENDICES – QUESTIONNAIRE*
TABLE AND CHART CONTENT:
TABLE:
TABLE
NO. CONTENTS
PAGE
NO.
5.1 Type of Investors 31
5.2 The expectation of investors regarding the growth 32
5.3 The perception of the investors respect to the return 33
5.4 The investor‟s knowledge about various investment schemes 34
5.5 The age group of investors 35
5.6 The view of investors if the stock markets crash down 36
5.7 Investors invest their money 37
5.8 Investors having their own Demat account. 38
5.9 Investors having account with Kotak Securities.Com
39
5.10
Other Demat investors have used before having
KOTAKSECURITIES.COM A/C 40
5.11 Investor invest money in Share trading 41
5.12 Trading type investor prefer 42
5.13 The Securities for investment 43
5.14 Investor satisfied with KOTAKSECURITIES.COM Brokerage 44
5.15 Grading the KOTAKSECURITIES.COM 45
5.16 Grading with other Concern 46
CHART:
CHART
NO. CONTENTS
PAGE
NO.
5.1 Type of Investors 31
5.2 The expectation of investors regarding the growth 32
5.3 The perception of the investors respect to the return 33
5.4 The investor‟s knowledge about various investment schemes 34
5.5 The age group of investors 35
5.6 The view of investors if the stock markets crash down 36
5.7 Investors invest their money 37
5.8 Investors having their own Demat account. 38
5.9 Investors having account with Kotak Securities.Com
39
5.10
Other Demat investors have used before having
KOTAKSECURITIES.COM A/C 40
5.11 Investor invest money in Share trading 41
5.12 Trading type investor prefer 42
5.13 The Securities for investment 43
5.14 Investor satisfied with KOTAKSECURITIES.COM Brokerage 44
5.15 Grading the KOTAKSECURITIES.COM 45
5.16 Grading with other Concern 46
CHAPTER-1
INTRODUCTION
Investor behavior is the study of when, why, how, and where people do or do not buy
a product. It blends elements from psychology, sociology, social anthropology and
economics. It attempts to understand the buyer decision making process, both individually
and in groups. It studies characteristics of individual Investors such as demographics and
behavioral variables in an attempt to understand people's wants. It also tries to assess
influences on the investor from groups such as family, friends, reference groups, and society
in general.
Investor behavior study is based on investor buying behavior, with the investor
playing the three distinct roles of user, payer and buyer. Research has shown that investor
behavior is difficult to predict, even for experts in the field. Relationship marketing is an
influential asset for investor behavior analysis as it has a keen interest in the re-discovery of
the true meaning of marketing through the re-affirmation of the importance of the Investor or
buyer. A greater importance is also placed on investor retention, investor relationship
management, personalization, customization and one-to-one marketing. Social functions can
be categorized into social choice and welfare functions.
Each method for vote counting is assumed as social function but if Arrow‟s
possibility theorem is used for a social function, social welfare function is achieved. Some
specifications of the social functions are decisiveness, neutrality, anonymity, monotonicity,
unanimity, homogeneity and weak and strong Pareto optimality. No social choice function
meets these requirements in an ordinal scale simultaneously. The most important
characteristic of a social function is identification of the interactive effect of alternatives and
creating a logical relation with the ranks. Marketing provides services in order to satisfy
investors.
BLACK BOX MODEL:
ENVIRONMENTAL FACTORS BUYER'S BLACK BOX
BUYER'S
RESPONSE Marketing
Stimuli
Environmental
Stimuli
Buyer
Characteristics
Decision
Process
Product
Price
Place
Promotion
Economic
Technological
Political
Cultural
Demographic
Natural
Attitudes
Motivation
Perceptions
Personality
Lifestyle
Knowledge
Problem
recognition
Information
search
Alternative
evaluation
Purchase
decision
Post-purchase
behaviour
Product choice
Brand choice
Dealer choice
Purchase timing
Purchase amount
The black box model shows the interaction of stimuli, investor characteristics, and
decision process and investor responses. It can be distinguished between interpersonal stimuli
(between people) or intrapersonal stimuli (within people). The black box model is related to
the black box theory of behaviorism, where the focus is not set on the processes inside a
consumer, but the relation between the stimuli and the response of the investor. The
marketing stimuli are planned and processed by the companies, whereas the environmental
stimulus is given by social factors, based on the economical, political and cultural
circumstances of a society. The buyer‟s black box contains the buyer characteristics and the
decision process, which determines the buyer‟s response.
The study of investors helps firms and organizations improve their marketing
strategies by understanding issues such as how
The psychology of how investors think, feel, reason, and select between different
alternatives (e.g., brands, products, and retailers);
The psychology of how the investor is influenced by his or her environment (e.g.,
culture, family, signs, media);
The behavior of investors while shopping or making other marketing decisions;
Limitations in investor knowledge or information processing abilities influence
decisions and marketing outcome;
How investor motivation and decision strategies differ between products that differ in
their level of importance or interest that they entail for the consumer; and
How marketers can adapt and improve their marketing campaigns and marketing
strategies to more effectively reach the investor.
One "official" definition of Investor behavior is "The study of individuals, groups, or
organizations and the processes they use to select, secure, use, and dispose of products,
services, experiences, or ideas to satisfy needs and the impacts that these processes have on
the investor and society."
Behavior occurs either for the individual, or in the context of a group (e.g., friends
influence what kinds of clothes a person wears) or an organization (people on the job
make decisions as to which products the firm should use).
Investor behavior involves the use and disposal of products as well as the study of
how they are purchased. Product use is often of great interest to the marketer, because
this may influence how a product is best positioned or how we can encourage
increased consumption. Since many environmental problems result from product
disposal (e.g., motor oil being sent into sewage systems to save the recycling fee, or
garbage piling up at landfills) this is also an area of interest.
Investor behavior involves services and ideas as well as tangible products.
The impact of consumer behavior on society is also of relevance. For example,
aggressive marketing of high fat foods, or aggressive marketing of easy credit, may
have serious repercussions for the national health and economy.
1.1 OBJECTIVES OF THE STUDY
To know about investors behavior towards the stock market.
To known the Investors Perception in stock Market.
To identify the risk taken by the Investors.
To understand in which area the investors are investing.
To identify the basic purpose of their Investment.
To know the expected return of the Investors.
1.2 SCOPE OF THE STUDY
The study helps us to know the state of mind of the investors & their expected charges
regarding Brokerage, Return, Annual maintenance charges, and so on.
It helps the company to understand the Investors perception in Capital Market, so that they
can create for their further improvement.
It may help the company to make further planning and strategy.
1.3 LIMITAION OF THE STUDY
Method of data collection was through personal interview and therefore personal bias
becomes a major limitation.
The major constraint of the study was the availability.
The respondents were less interested in answering the questionnaire, as they felt that it
was an interruption to their regular work.
The number of respondents was limited to 100 only.
The scope of study is restricted only inCoimbatore.
CHAPTER-2
INDUSTRY AND COMPANY PROFILE
2.1 INDUSTRY PROFILE
The Securities Contracts (Regulation) Act, 1956, has defined Stock Exchange as an
"association, organization or body of individuals, whether incorporated or not, established for
the purpose of assisting, regulating and controlling business of buying, selling and dealing in
Securities".
Stock exchange as an organized security market provides marketability and price
continuity for shares and helps in a fair evaluation of securities in terms of their intrinsic
worth. Thus it helps orderly flow and distribution of savings between different types of
investments. This institution performs an important part in the economic life of a country,
acting as a free market for securities where prices are determined by the forces of supply and
demand. Apart from the above basic function it also assists in mobilizing funds for the
Government and the Industry and to supply a channel for the investment of savings in the
performance of its functions.
The Stock Exchanges in India as elsewhere have a vital role to play in the
development of the country in general and industrial growth of companies in the private
sector in particular and helps the Government to raise internal resources for the
implementation of various development programmes in the public sector. As a segment of the
capital market it performs an important function in mobilizing and channelizing resources
which remain otherwise scattered. Thus the Stock Exchanges tap the new resources and
stimulate a broad based investment in the capital structure of industries.
A well developed and healthy stock exchange can be and should be an important
institution in building up a property base alongwith a socialist in India with broader
distribution of wealth and income. Thus Stock Exchange is a vital organ in a modern society.
Without a stock exchange a modern democratic economy cannot exist. The system of joint
stock companies financed through the public investment as emerged has put the vast means
of finances almost to enterpreneurs' needs.
Finance from external sources mainly from the investing public can become possible
only when an institute like Stock Exchange provides opportunities for the conversion of
scattered savings into profitable investments with the promises of a reasonable yield and
minimum element of risk. Such a mechanism as provided by Stock Exchanges is not merely a
source of capital but also a conduit which channelises the savings into investment alongwith a
free movement of capital.
With the probable exception of a totalitarian state no Government will be able to
mobilize resources from the public if the money market in the form of stock exchange does
not exist. The Stock Exchange benefits the entire community in a variety of way. It enables
the producers to raise capital which directly and indirectly gives gainful employment to
millions of people on the one hand and helps consumers to get ;the variety of goods needed
by them on the other. It provides opportunities to savers to store the value either as temporary
abode of purchasing power or as a permanent abode of purchasing power in the form of
financial assets. It also helps the segments of the savers who put their savings in commercial
firms and non-banking financial intermediaries because these institutions avail themselves of
the services of Stock Exchange to invest the money thus collected.
The Stock Exchange comes close enough to a perfectly competitive market allowing
the forces of demand and supply a reasonable degree of freedom to operate as compared to
other markets specially the commodity markets. This segment of the factor market can be
considered as a perfect or a nearly perfect market. Apart from providing a mechanism for
transacting business in stock and shares it generates genuine potential for a new entrepreneur
to take up initiative in the private sector enterprises and allows the expansion of investing
community by offering gainful development of their otherwise sluggish or shy capital. The
Stock Exchange must assume the responsibility of protecting the rights of investors specially
the small investors in the Joint Stock Companies.
Bombay Stock Exchange is the oldest stock exchange in Asia with a rich heritage,
now spanning three centuries in its 133 years of existence. What is now popularly known as
BSE was established as "The Native Share & Stock Brokers' Association" in 1875.
BSE is the first stock exchange in the country which obtained permanent recognition
(in 1956) from the Government of India under the Securities Contracts (Regulation) Act
1956. BSE's pivotal and pre-eminent role in the development of the Indian capital market is
widely recognized. It migrated from the open outcry system to an online screen-based order
driven trading system in 1995. Earlier an Association Of Persons (AOP), BSE is now a
corporatised and demutualised entity incorporated under the provisions of the Companies
Act, 1956, pursuant to the BSE (Corporatisation and Demutualisation) Scheme, 2005 notified
by the Securities and Exchange Board of India (SEBI). With demutualisation, BSE has two of
world's best exchanges, Deutsche Börse and Singapore Exchange, as its strategic partners.
Over the past 133 years, BSE has facilitated the growth of the Indian corporate sector
by providing it with an efficient access to resources. There is perhaps no major corporate in
India which has not sourced BSE's services in raising resources from the capital market.
Today, BSE is the world's number 1 exchange in terms of the number of listed
companies and the world's 5th in transaction numbers. The market capitalization as on
December 31, 2007 stood at USD 1.79 trillion . An investor can choose from more than 4,700
listed companies, which for easy reference, are classified into A, B, S, T and Z groups.
The BSE Index, SENSEX, is India's first stock market index that enjoys an iconic
stature , and is tracked worldwide. It is an index of 30 stocks representing 12 major sectors.
The SENSEX is constructed on a 'free-float' methodology, and is sensitive to market
sentiments and market realities. Apart from the SENSEX, BSE offers 21 indices, including
12 sectoral indices. BSE has entered into an index cooperation agreement with Deutsche
Börse. This agreement has made SENSEX and other BSE indices available to investors in
Europe and America. Moreover, Barclays Global Investors (BGI), the global leader in ETFs
through its iShares® brand, has created the 'iShares® BSE SENSEX India Tracker' which
tracks the SENSEX. The ETF enables investors in Hong Kong to take an exposure to the
Indian equity market.
BSE has tied up with U.S. Futures Exchange (USFE) for U.S. dollar-denominated
futures trading of SENSEX in the U.S. The tie-up enables eligible U.S. investors to directly
participate in India's equity markets for the first time, without requiring American Depository
Receipt (ADR) authorization. The first Exchange Traded Fund (ETF) on SENSEX, called
"SPIcE" is listed on BSE. It brings to the investors a trading tool that can be easily used for
the purposes of investment, trading, hedging and arbitrage. SPIcE allows small investors to
take a long-term view of the market.
BSE provides an efficient and transparent market for trading in equity, debt
instruments and derivatives. It has a nation-wide reach with a presence in more than 450
cities and towns of India. BSE has always been at par with the international standards. The
systems and processes are designed to safeguard market integrity and enhance transparency
in operations. BSE is the first exchange in India and the second in the world to obtain an ISO
9001:2000 certification. It is also the first exchange in the country and second in the world to
receive Information Security Management System Standard BS 7799-2-2002 certification for
its BSE On-line Trading System (BOLT).
BSE continues to innovate. In recent times, it has become the first national level stock
exchange to launch its website in Gujarati and Hindi to reach out to a larger number of
investors. It has successfully launched a reporting platform for corporate bonds in India
christened the ICDM or Indian Corporate Debt Market and a unique ticker-***-screen aptly
named 'BSE Broadcast' which enables information dissemination to the common man on the
street.
In 2006, BSE launched the Directors Database and ICERS (Indian Corporate
Electronic Reporting System) to facilitate information flow and increase transparency in the
Indian capital market. While the Directors Database provides a single-point access to
information on the boards of directors of listed companies, the ICERS facilitates the
corporates in sharing with BSE their corporate announcements.
BSE also has a wide range of services to empower investors and facilitate smooth
transactions:
Investor Services: The Department of Investor Services redresses grievances of
investors. BSE was the first exchange in the country to provide an amount of Rs.1 million
towards the investor protection fund; it is an amount higher than that of any exchange in the
country. BSE launched a nationwide investor awareness programme- 'Safe Investing in the
Stock Market' under which 264 programmes were held in more than 200 cities.
The BSE On-line Trading (BOLT): BSE On-line Trading (BOLT) facilitates on-line
screen based trading in securities. BOLT is currently operating in 25,000 Trader
Workstations located across over 450 cities in India.
BSEWEBX.com: In February 2001, BSE introduced the world's first centralized
exchange-based Internet trading system, BSEWEBX.com. This initiative enables investors
anywhere in the world to trade on the BSE platform.
Surveillance: BSE's On-Line Surveillance System (BOSS) monitors on a real-time
basis the price movements, volume positions and members' positions and real-time
measurement of default risk, market reconstruction and generation of cross market alerts.
BSE Training Institute: BTI imparts capital market training and certification, in
collaboration with reputed management institutes and universities. It offers over 40 courses
on various aspects of the capital market and financial sector. More than 20,000 people have
attended the BTI programmes
2.2 COMPANY PROFILE
The Kotak Mahindra group was born in 1985 as Kotak capital management
financier‟s ltd. UdayKotak, Sindey A.A Pinto, the company. Industrialists Harish Mahindra
and Anand Mahindra Took a stake in 1886 and that‟s when the company changed its name to
KOTAK MAHINDRA FINANCE LIMITED.
1995: Brokerage and distribution businesses incorporated into a separate company Kotak
Securities.
2000: Kotak Mahindra ties up with old mutual for the life4 insurance business. Kotak
Securities launches Kotak securities system.com- its online broking site.
2006: Bought the 25% stake held by Goldman sachs in Kotak Mahindra capital company and
Kotak securities
Kotak securities limited is a subsidiary of Kotak Mahindra Bank Limited is one of
largest private brokerage and distribution house Set up in 1994 by Mr. UdayKotak. Kotak
securities have 25% equity participation from Goldman Sachs.
Kotak securities have been the largest in IPO distribution and were ranked no.1 in the
year 2003-2004 as book running lead managers in I PO‟s by prime database. The core
strengths are the expertise in equity research and wide retail distribution network. It has an
outstanding research division involved in macro – economic studies, industry and company
specific equity research with analysts specializing in particular economic sectors and large
cap stocks. Kotak securities manage assets over rupees 1200 crs under portfolio management
services.
Main areas of business Kotak Securities are :-
Institutional broking business
Private client group
Client money management
Retail distribution of financial products
Depository services
Online trading
The pre – requisites to start e trading are :
Trading account to deal in electronic share mutual funds and ipo’s on
Kotaksecurities.com
Demat account with Kotak securities for dealing.
Internet bank account with a banking partner to move funds to Kotaksecurities.com
or receive payments from Kotaksecurities.com. The banking partners are Kotak
Mahindra bank HDFC, SBI, AXIS, INDUS-IND, ICICI, CITI, HSBC bank.
The account offered by Kotak securities are:-
Kotak privilege circle account
Kotak value account
Kotak gateway account
Kotak freeway account
Kotak high trader account
Kotak privilege circle account:-
One can activate a KPC account with any amount more than Rs.10,00,000 as
margin by way of cash on stock.
In KPC one can avail the following:-
6 times expenses on the margin
Initial brokerage payment as per the lowest brokerage slab to be recalculated at the
end of the month as per the turnover
Acess to KEAT premium free of cost.
Free call& trade facility.
Margin finance at attractive rates of 13% p.a.
Lowest delayed payment interest if 13% p.a.
Free research advice via SMS.
Kotak value account:-
One can open KVA account with any amount between Rs. 10,00,000 and 5,00,000
as initial margin.
One can avail the following:
5 times exposure on the margin initial brokerage payment as per the middle
brokerage slab to recalculated at the end of the month as per the turnover.
Access to KEAT PRO Software free and discount on KEAT premium charge of Rs.
300 only per month.
Research advice via SMS for a fee of Rs. 75 per month.
Call and trade facility with 20 calls free thereafter Rs. 15 per call.
Discounted delayed payment interest of 16% p.a.
Kotak gateway account:-
KGA account can be opened with any amount less than Rs.5,00,000 as inintial
margin.
One can avail the following:-
4 times exposure on the margin,
Access to KEAT desktop free of cost and KEAT premium for Rs 500 only per
month.
Research advice via SMS for a fee of Rs. 100 per month.
Call and trade facility with 20 calls free thereafter Rs. 20 per call
Delayed payment interest at 18% p.a.
Kotak free way account:-
Free account can be opened with any amount less than Rs. 1,25,000 as initial
margin.
One can avail the following:-
Zero brokerage plans on square off trades, only levy, service tax and other charges
at 0.03% per transaction.
Flat fee of Rs. 999 per month.
4 times exposure on the margin.
Maximum exposure Rs.5,00,000
Delivery brokerage ranging from 0.59% to 0.18% depending on volumes
Delayed payment interest at 18% p.a.
Kotak high trader account :-
High trader account can be opened with any amount of margin.
In the Kotak free way account one can avail the following:-
6 times exposure on the margin.
And auto square off product where al the cash order would be squared off after 3.10
PM.
Can trader in the derivative segment on the high trader with the normal limit i.e.
multiple of four on stock derivatives.
Delayed payment interest at 18% p.a.
THE BROKERAGE STRUCTURE:-
DELIVERY SLABS
Volume Slab Brokerage
<1 lakhs 0.59%
1 lakh-5 lakhs 0.55%
5 lakh-10 lakhs 0.45%
10 lakhs-20 lakhs 0.36%
20 lakhs-60 lakhs 0.27%
60 lakhs-2 crores 0.23%
> 2 crores 0.18%
With Citi bank, AXIS, KOTAK, HSBC, SBI,ICICI and HDFC bank for online fund
transfer. Any money owed to client credited directly into Internet bank account of
customer by Kotak securities on the next day.
Documents required are:-
Two photographs signed across.
Identity proof –photocopy of passport, PAN/voters ID card, driving license.
Address proof – photocopy of electricity bill, telephone bill, bank S/M.
Cheques for margin in the name of Kotaksecurities.com + bank account opening
.
Signature proof – passport, PAN card Bank intro.
Cash Squaring Up
Volume slab Brokerage
< 25 lakhs 0.06% both sides
25 lakhs- 2 crores 0.05% both sides
2 crores-5crores 0.04% both sides
> 5 crores 0.03% both sides
Buy now sell tomorrow with a guarantee (BNST-G):-
BNST-G is special service offered by Kotaksecurities.com in which one can sell
75% of the specified shares that one has purchased before you receive the delivery of
the shares from the exchange, without the worry of short allotment.
New from Kotak securities.com:-
Securities accepted in lieu of cash margin – green channel.
Multiple available on sales marked for delivery.
Short sales are possible.
Stop loss order
After market order
Cash and derivatives rates on single screen
DEMAT FORM V/S PHYSICAL FORM:-
A Comparison of investment in securities:-
In physical form In demat form
Insurance is required No insurance is required
Laborious inventory verification during
internal stock taking and audits.
The DP’s makes periodic statement of holding
available. Easy verification of audits.
No custody charges if using own premises
however, custodian’s charges- 20 to 40
basic points.
Custody charges vary from 3 to 10 basis
points depending upon DP selected.
Risk of theft No risk of theft
Receipt of corporate benefits need
monitoring and risk of loss in transit not
ruled out
Faster and hassle free receipt of corporate
benefits.
BUYING:-
In physical form In demat form
High brokerage Low brokerage
Stamp duty at 50 basis points No stamp duty
Posted and handling charges for
lodgments and transfers
No posted and handling charges
Cost involved in follow
up/rectification
Guaranteed good delivery
No transaction charges Transaction charges vary from 7 to
10basis points.
SELLING:-
In physical form In demat form
High brokerage Low brokerage, NSE brokers charges
half the brokerage on electronic trades
Transaction only in market lots No market lot concept
Off market transaction are costly
and risky
Facility for off market transaction
market transactions, specially within
the group
Jumbo lots need to be split into
market lots for selling
No need to split
How a depository similar to bank
Bank Depository
Holds funds in an account Hold securities in an account
Transfers funds between accounts
on the instruction of the account
holder
Transfer securities between accounts on
the instruction of the account holder
Facilities transfer without having to
handle money
Facilities transfer of ownership without
having to handle securities
Facilities safe keeping of money Facilities safe keeping of shares
TRADING SYSTEM
The Exchange, as stated earlier, had an open outcry trading system till March 1995
where member-brokers used to assemble in a trading ring for doing transaction in securities.
It had switched over to a fully automated computerized mode of trading known as BOLT
(BSE on Line Trading) System w.e.f March 14, 1995. Through the BOLT system, the
member-broker now enters orders for purchase or sell of securities from Trader Work
Stations (TWSs) installed in their offices instead of assembling in the trading ring. This
system, which was initially both order and quote driven, is currently only order driven. The
system, which is now only order driven, facilities more efficient in-putting processing,
automatic matching and faster execution of orders in a transparent manner. The trading in
securities at the Exchange is conducted in an anonymous environment and the counter party
identify is not revealed. The buyer and sellers of securities do not know the names of each
other.
The member-brokers of the Exchange were permitted to open trading terminals only
within the city limits of Mumbai till1996. The Exchange obtained permission from SEBI for
expansion of its BOLT network to locations outside Mumbai. The expansion of BOLT
network to cities outside Mumbai was inaugurated by Shri P. Chidambaram, the Finance
Minister, Government of India on August 31, 1997. The Exchange was initially allowed by
SEBI to set up[ trading terminals in all places except in the jurisdictional areas of other
Regional Stock Exchanges, for setting-up trading terminal in the jurisdictional areas of other
Regional Stock Exchanges, the Exchanges was required to enter into Memorandum of
Understanding (MOU) with the respective Stock Exchange.
However, with certain modification in this regard announced by SEBI towards the
end of the year 1999, the member-broke of the exchange are now free to install their trading
terminals at any placer in the country including in the jurisdictional areas of other Regional
Stock Exchanges.
In order to expand the reach of BOLT network to centers outside Mumbai to reach out
to investors in these centers and provide them access t the trading facilities in all scripts listed
and permitted to be traded in the Exchange and to support the smaller Regional Stock
Exchange, the Exchange has admitted subsidiary companies formed by 15 Regional.
Stock Exchange as its member-brokers as on June 30, 2003. The member-brokers of
these Regional Stock Exchange work as sub-brokers of the member-brokers of the Exchange.
Trading on the BOLT System is conducted from Monday to Friday between 9:55 a.m.
and 3:30 p.m. the scripts traded on the Exchange have been classified into „A‟, „B1‟,‟B2‟,
„F‟, „G‟, and ‟Z‟ groups.
The Exchange has for the guidance and benefit of investors classified the scripts in the
Equity Segment in A‟, „B1‟,&‟B2‟ based on certain qualitative and quantitative parameters
which include number of trades, values traded, etc. for the guidance and benefit of investors.
The „F‟ group represent the fixed income securities wherein 730 securities were listed
as on June 30,2003
The Exchange has commenced trading in Govt. Securities for retail investors under
“G” group w.e.f. January 16, 2003 And 85 Govt. Securities are traded on the Exchange under
this group as on June 30,2003.
The „Z‟group was introduced by the Exchange in July 1999 and includes the
companies which have failed to comply with the listing requirement of the Exchange and
have failed to resolve investor complaints or have not made the required arrangement with
both the Depository Ltd.(NSDL) for dematerialization of their securities. Companies in
„Z‟group numbered 2776 as on June 30, 2003.of these, 1275 companies were in “Z” group
for not complying with the provisions of the Listing Agreement and not resolving pending
investor complaints and the balance 1501 companies were on account of not making
arrangement for dematerialization of their securities with both the Deposotories.1501
companies have been put by the Exchange in “Z” group as a temporary measure till they
make arrangement for dematerialization of their securities. Once they finalize the
arrangement for dematerialization of their securities, trading and settlement in their scripts
would be shifted to their respective rest groups.
CHAPTER 3
REVIEW OF LITREATURE
Nayak, M. K. (2010), analyze the significance of difference between the various
demographic variable and investor`s knowledge of grievances, awareness of functions of
redressed agencies, loading of complain are some of the factors which affect their satisfaction
level. He concludes that professionals and servicemen being more educated are expected to
be more rational in their decisions, where as business man are more daring, risk bearing, and
instinctively investment-minded. Agriculturists are generally less informed and passive to
making investment so that they suffer from all the traits of being prone to grievances.
Henrik, C. and Stephan, S. (2009), stated that the cross-sectional heterogeneity in
keymeasures of investment behavior into genetic and environmental influences. They found
thatup to 45 percent of the variation in stock market participation, asset allocation, and
portfoliorisk choices is explained by a genetic component. Genetic variation is a very
importantexplanation for variation in investment behavior compared to the influence of
education, networth, entrepreneurial activity etc.
Harry, P. S. (2009) reveals that usually rational investorsare sometimes prone to
depart from their normal logic and follow the mass hysteria.
Chandra, A. (2008) states that the decision-making by individual investors is usually
basedon their age, education, income, investment portfolio, and other demographic factors.
Theimpact of behavioral aspect like greed and fear, cognitive dissonance, heuristics,
mentalaccounting of investing is, however, often ignored.
Tripathi, V. (2008) emphasized onbehavior of investor along with various kind of
investment strategies used by them whileinvesting in the market. She analyzed that there has
been substantial change in the investmentstrategies in last five years and size based strategies,
momentum strategies, following FIIsinvestment behavior, buying stocks on the basis of 30
days moving average and buyingstocks on the basis of relative strength index are five most
widely used investment strategiesin Indian equity market.
Brad M., Barber T, Odean (2007) measures the effect of attentionand news on the
buying behavior of individual and institutional investors‟ and confirms theIJRFM Volume 1,
Issue 4 (August, 2011) (ISSN 2231-5985)International Journal of Research in Finance &
Marketinghttp://www.mairec .org 99hypothesis that individual investors are net buyers of
attention grabbing stocks.
Dhar, R. andNing Zhu (2006) analyze the trading records of a major discount
brokerage house toinvestigate the disposition effect, the tendency to sell winners too quickly
than losers.
RonaldG. B. ,et. al(2004 ) highlighted that many investors are following investment
styles whereinvestments decisions are made with only limited reference to available
information and noconcern with fair value.
Dhake, A. (1996) emphasized the average investor has the tendencyto increase their
holdings in investments that perform the best in the short term. At the sametime, these same
investors tend to sell or reduce their holdings in investments that haveperformed poorly,
again, in the short term. As a result, the average investor will hold aportfolio that is heavily
weighted in asset classes that have demonstrated the best short-termperformance. Since a
large proportion of money has been added to these investments aftermost of the growth has
occurred, this strategy leads to a dramatic decline in their portfoliowhen the market corrects.
Lease et al. (1974) describe ININ as “investors” rather than “traders” since they are long-term
minded and give little interest to short-term yields. Moreover, Lewellen et al. (1977) reveal
that investors‟ main source of information is through fundamental or technical analysis.
Antonides and Van Der Sar (1990) argue that the perceived risk of an investment is lower if
an asset has recently increased in value, consistent with
Blume and Friend‟s (1978) findings. Nagy and Obenberger (1994) investigate the extent to
which a listing of 34 variables influence shareholders‟ perception, and provide evidence of a
role for a mix of financial and non-financial variables. Additionally, they found that each
shareholder considers the seven different factors employed in a factor
analysis in a unique way. Fisher and Statman (1997), relying on general agreement that the
investment decision is a complex one, suggest that investors are not only concerned about
risk and return when buying shares, but also several other parameters taken into
consideration. Clark-Murphy and Soutar (2003) report that the vast majority of ININ in
Australia have little interest in speculation and are by nature long-term investors.
There are, however, few studies that examine the way in which various investor groups (both
professional and individuals) make their investment decisions in less developed countries
and/or those with only moderately sophisticated capital markets. Notable among the
exceptions are studies by Nassar and Rutherford (1996) and Naserand Nuseibeh (2003) who
show that investors treat annual reports in broadly the same way as do those in developed
countries, although they rely more on information obtained directly from the companies and
do not tend to consult intermediary sources of corporate information in order to make
informed decisions. Overall, investors seemmainly to use fundamental analysis and, to a
lesser degree, portfolio analysis (i.e. conventional mean-variance analysis).
Studies concerning professional investors in sophisticated capital markets, such as in Hong
Kong (Lui and Mole, 1998; Wong and Cheung, 1999), the UK (Taylor and Allen, 1992;
Collison et al., 1996) and the US (Frankel and Froot, 1990; Carter and Van Auken, 1990),
reveal that these groups of investors rely more on fundamental and technical analysis and less
on portfolio analysis. Arnold and Moizer (1984) examine the general procedures adopted by
UK investment analysts in appraising the ordinary shares of companies and report that the
primary technique used by analysts is fundamental analysis, followed by technical analysis
and b-analysis. Their results aresimilar to those revealed by an earlier study of Lee and
Tweedie (1981), also for the UK market. Moreover, Arnold et al. (1984) provide results from
a questionnaire survey conducted in the US and UK during 1981 and 1982. The study
provides a general description of procedures used by financial analysts in both countries,
revealing that both groups attach more importance to accrual-based historical cost accounting
numbers, particularly earnings, than to inflation-adjusted accounting numbers or cash flows.
Both groups also adopt fundamental analysis rather than technical analysis or b-analysis and
rely on discussions with company personnel as a source of information.
Considering the literature as a whole, it is evident that professional investors make extensive
use of methods and techniques that differ from those proposed by academics. However, it
appears that the traditional approaches, including both fundamental and technical analysis,
may still be dominant in many emerging financial markets; it is this issue that the present
study attempts to investigate.
CHAPTER 4
RESEARCH METHODOLOGY
RESEARCH
The study of research method provides you with the knowledge and skills you need to
solve the problem and meet the challenges of the fast- based decision. Marketing
environment we define Business Research as a systematic inquiry whose objective is to
provide information to solve managerial problem.
It seeks to find explanation to unexplored phenomena to clarify the doubtful facts and
to correct the misconceived facts.
4.1 TYPE OF RESEARCH:
DESCRIPTIVE RESEARCH
Descriptive study is a fact- finding investigation with adequate interpretation. It is the
simplest type of research. It is more specific than an explanatory study, as it has focus on
particular aspect of the problem studied. It is designed to get her descriptive information and
provide information for formulating more sophisticated studies. Data are collected by using
one or more appropriate method, observation, interviewing and mail questionnaire.
4.2 TYPE OF DATA USED
There are basically two types of Data
Primary Data
Secondary Data
PRIMARY DATA
The primary data are those which are collected freshly and for the first time and thus happen
to be original in character. The main sources of primary data are individuals, focus groups,
panels of respondents specifically set by the researcher. It has been collected through a
questionnaire.
SOURCES OF PRIMARY DATA
Questionnaire
Personal Interview
SECONDARY DATA
The secondary data are those which have already been collected by someone else and which
have already been passed through the statistical process. The company profile and records,
textbooks, website and internet were used to collect the secondary data.
SOURCES OF SECONDARY DATA
Internet
E- Journal
SAMPLING METHOD
Descriptive Sampling was used to collected data from of sample. Descriptive Statistics is the
discipline of quantitatively describing the main features of a collection of data. Descriptive
statistics are distinguished from inferential statistics (or inductive statistics), in that
descriptive statistics aim to summarize a data set, rather than use the data to learn about the
population that the data are thought to represent. This generally means that descriptive
statistics, unlike inferential statistics, are not developed on the basis of probability theory.
Even when a data analysis draws its main conclusions using inferential statistics, descriptive
statistics are generally also presented. For example in a paper reporting on a study involving
human subjects, there typically appears a table giving the overall sample size, sample sizes in
important subgroups (e.g., for each treatment or exposure group), and demographic or clinical
characteristics such as the average age, the proportion of subjects of each sex, and the
proportion of subjects with related co morbidities.
SAMPLING SIZE
The Company, which is considered for this study, is “KOTAK SECURITIES,
COIMBATORE”. The sample taken for the study is 130 (which is both the existing and new
client of the company). The method adopted for selecting the sample was Random sampling.
And the sample respondent size was 100.
Researcher has used both primary and secondary data to gather more information.
TOOLS FOR ANALYSIS
The statistical methods, which are used, for the research are:
Percentage Analysis
5 Point Likert– Scale
Mean
Percentage Analysis
Percentage refers to a special kind of ratio in making comparison between two or more data
and to describe relationships. Percentage can also be used to compare the relation terms the
distribution of two or more sources of data.
Number of Respondents
Percentage of Respondents = --------------------------------- X 100
Total Respondents
Mean:
The mean (also known as average), is obtained by dividing the sum of observed
values by the number of observations, n. Although data points fall above, below, or on the
mean, it can be considered a good estimate for predicting subsequent data points. The
formula for the mean is given below as equation. The excel syntax for the mean is
AVERAGE (starting cell: ending cell).
CHAPTER 5
ANALYSIS AND INTERPRETATION
1. The Type of Investors
Table 5.1
TYPES OF INVESTORS NO.OF RESPONDENTS PERCENTAGE (%)
Aggressive 27 18%
Moderate 51 34%
Conservative 42 28%
Very Conservative 30 20%
TOTAL 100 100%
INFERENCE:Table 5.1 shows that 27% of the respondents were aggressive and 34% are
moderate. 28% of the respondent are conservative while 20% of the total percent are really
very much conservative.
Chart 5.1
0
10
20
30
40
50
60
Aggressive Moderate Conservative VeryConservative
27
51
42
30
Type of Investors
Type of Investors
2. The expectation of investors regarding the growth
Table 5.2
EXPECTATION OF
INVESTORS NO.OF RESPONDENTS PERCENTAGE (%)
Average 62 62%
High 13 13%
Low 25 25%
TOTAL 100 100%
INFERENCE:The Expectation of investor is average when seen overall. 62% goes with
Average growth in Share market while 13% expect high growth and remaining 25% has a
low expectation
Chart 5.2
62 13
25
Investors Expectation
Average
High
Low
3. The perception of the investors respect to the return
Table 5.3
PERCEPTION TOWARDS
RETURN
NO.OF
RESPONDENTS
PERCENTAGE
(%)
Above Inflation Rate 64 64%
High 21 21%
Safety to principal 15 15%
TOTAL 100 100%
INFERENCE:It was found that 64% of the surveyed investors were more concerned about
earning returns above inflation rate, 21% were more concern about earning high returns and
15% had a primary motive of the safety of principal.
Chart 5.3
64
21
15
Perception towards Return
Above Inflation Rate
High
Saftey to principal
4. The investor‟s knowledge about various investment schemes
Table 5.4
INVESTORS KNOWLEDGE NO.OF
RESPONDENTS
PERCENTAGE
(%)
Average 70 70%
Good 22 22%
Low 8 8%
TOTAL 100 100%
INFERENCE: In the above diagram we can see that out of total surveyed investors 70%
were found with average investment knowledge, 22% were found with good investment
knowledge and 8% of people were found with low investment of knowledge.
Chart 5.4
70
22
8
Investors Knowledge
Average
Good
Low
5. The age group of investors
Table 5.5
AGE GROUP NO.OF
RESPONDENTS
PERCENTAGE
(%)
Above 50 51 51%
31 – 50 32 32%
20 – 30 17 17%
TOTAL 100 100%
INFERENCE: Age group was also a rational issue to know while doing the survey. It was
found that 17% of the total surveyed investors were between 20-30 years, 32% were between
30-50 years and 51% of the total surveyed investors were above 50 years.
Chart 5.5
51
32
17
0
10
20
30
40
50
60
20 - 30 31 - 50 Above 50
Age Group
Age Group
6. The view of investors if the stock markets crash down
Table 5.6
VIEW OF INVESTORS NO.OF RESPONDENTS PERCENTAGE
(%)
State of Investment 29 29%
Wait & Watch 52 52%
State of Withdrawal 19 19%
TOTAL 100 100%
INFERENCE: 52% of of investors wait and watch when the market crashed down they have
a lot of patience. 29% will invest more as they are risk takers and hope that in future market
will grow and 19% investors will withdraw their money.
Chart 5.6
View of Investors
0
10
20
30
40
50
60
State ofInvestment Wait & Watch
State ofWithdrawal
29
52
19
View of Investors
View of Investors
7. Investors invest their money mainly in
Table5.7
INVESTMENT AREA NO.OF RESPONDENTS PERCENTAGE
(%)
Primary Market 47 47%
Secondary Market 33 33%
Others 20 20%
TOTAL 100 100%
INFERENCE: Nearly 47% of people invest t heir money in Primary market, while 33%
people invest in Secondary market. Remaining 20% invest in bank, post office, etc
Chart 5.7
0
5
10
15
20
25
30
35
40
45
50
Primary Market Secondary Market Others
47
33
20
Investment
Investment
8. Investors having their own Demat account.
Table 5.8
DEMAT A/C NO.OF RESPONDENTS PERCENTAGE
(%)
Yes 73 73%
No 27 27%
TOTAL 100 100%
INFERENCE: 73% of the respondents are already having a demat account while rest of
them don‟t have from the respondents which I collected.
Chart 5.8
73
27
Demat A/C
Yes
No
9. Investors having account with Kotak Securities.Com
Table 5.9
A/C with
KOTAKSECURITIES.COM NO.OF RESPONDENTS
PERCENTAGE
(%)
Yes 46 46%
No 54 54%
TOTAL 100 100%
INFERENCE: 46% are person surveyed are the existing customer of
KOTAKSECURITIES.COM and rest 54% do nothave their demat account with
KOTAKSECURITIES.COM
Chart 5.9
46
54
A/C with Kotak
Yes
No
10. Other demat investors have used before having KOTAKSECURITIES.COM A/C
Table 5.10
BEFORE HAVING
KOTAKSECURITIES.COM NO.OF RESPONDENTS
PERCENTAGE
(%)
Indiabulls 32 32%
ICICI DIRECT 13 13%
Sharekhan 10 10%
Geojit 12 12%
Don’t have Prior Experience 33 33%
TOTAL 100 100%
INFERENCE:
Indiabulls is the other leading security company in the market. It has its majority of
32% in the market among its competitors like ICICI, Sharekhan, Geojit.
12% of A/C in Geojit, 10% of A/Cs in Sharekhan and 13% of A/Cs in ICICI Direct
33% do not have their account open in any of the other brokage house.
Chart 5.10
32
13
10 12
33
Other Demat A/C
Indiabulls
ICICI Direct
Sharekhan
Geojit
No Experience
11. Investor invest money in Share trading
Table 5.11
PORTFOLIO
NO.OF RESPONDENTS
MEAN PERCENTAGE
Business Salary Retired
Mutual Fund 8 9 4 7 21%
Equity 15 4 10 9.67 29%
Gold ETF 3 7 3 4.33 13%
Currency Derivatives 7 2 9 6 18%
IPO 6 3 10 6.33 19%
TOTAL 39 25 36 100%
INFERENCE: 29% of people like to invest money in Equity market, 21% of people wants to
invest their money in Mutual Fund, 13% in Gold, 18% in currency derivatives, 19% in IPO
Chart 5.11
0
2
4
6
8
10
12
14
16
MutualFund
EquityGold ETF
CurrencyIPO
8
15
3
7
6
Portfolio
Business
Salary
Retired
12. Trading type investor prefer
Table 5.12
PREFERED
TRADING
NO.OF RESPONDENTS
MEAN PERCENTAGE
Business Salary Retired
Intraday 10 5 30 15 45%
Delivery 14 17 10 13.67 41%
Marginal Finance 4 5 5 4.67 14%
TOTAL 28 27 45 100%
INFERENCE: 45% of respondents do intraday trading, 41% do in delivery basis which rest
go for marginal finance.
Chart 5.12
0
5
10
15
20
25
30
35
Intraday Delivery Marginal Finance
Business
Salary
Retired
13. Choose to select the Securities for investment
Table 5.13
CHOOSING of
SECURITIES
NO.OF RESPONDENTS
MEAN PERCENTAGE
Business Salary Retired
Myself 9 5 10 8 24%
Friends Advice 10 17 2 9.67 29%
Market Programme +
Friends Advice 4 5 15 8 24%
Recommendation
given in Kotak 8 10 5 7.67 23%
TOTAL 31 37 32 33.34 100%
INFERENCE: 24% do trading on their own and with friend‟s advice. 23 % use the
recommendation of KOTAK while 29% use only friends advice.
Chart 5.13
Business
Salary
Retired
0
5
10
15
20
9 10
4 8
5
17
5
10
10
2
15
5
Business
Salary
Retired
14. Investor satisfied with KOTAKSECURITIES.COM Brokerage
Table 5.14
BROKERAGE NO.OF RESPONDENTS PERCENTAGE
(%)
Yes 55 55%
No 45 45%
TOTAL 100 100%
INFERENCE: 55% of the respondents are satisfied with the brokerage in KOTAK.
Chart 5.14
55
45
Brokerage
Satisfied
Not Satisfied
15. Grading the KOTAKSECURITIES.COM
Table: 5.15
Excellent Good Average Poor N/A
Value 5 4 3 2 1
(a) Brokerage Charged
(b) Recommendation
(c) Other facilities
(d) Customer Satisfaction
Chart 5.15
Value N/A Poor Avg Good Excellent
Brokerage Charged 1 2 3 4 5
Recommendation 1 2 3 4 5
Other Facilities 1 2 3 4 5
Customer Satisfaction 1 2 3 4 5
16. Grading with other Concern
Table: 5.16
Excellent Good Average Poor N/A
Value 5 4 3 2 1
(A) KOTAK SECURITIES
(B) ICICI DIRECT
(C) INDIABULLS
Chart 5.16
High Brokerage -2 -1 0 1 2 Low Brokerage
Bad Recommendation -2 -1 0 1 2 Good Recommendation
Bad Facilities -2 -1 0 1 2 Good Facilities
Bad Satisfaction -2 -1 0 1 2 Good Satisfaction
Kotak
ICICI
Indiabulls
CHAPTER-6
FINDINGS & SUGGESTIONs
FINDINGS:
High Brokerage: - Kotak Securities has high brokerage as compare to other online
players.
Call and trade: - Call and trade facility is payable which is not convenient for all the
clients.
Saving Accounts: - saving account with Kotak Mahindra Bank, AXIS, HDFC, HSBC,
ICICI, SBI or CITI bank is mandatory.
Documentation: - in Kotak Securities the documentation process is very lengthy and
cumbersome.
Lack of Awareness: - in Coimbatore city, though Kotak is well known but still there is
lack of awareness regarding Kotak Securities and its online division i.e.
Kotaksecurities.com and its products.
SUGGESTIONS:
According to the analysis the investor above the age of 50 years must be taken into
consideration as they are having great potential regarding investment.
Time taken in account opening too long they should reduce it.
Kotak Securities must use marketing tools like point of purchase, advertisement
through mass media, like newspapers, magazines, televisions, fairs, and
advertisements on Internet.
Documents required for an account opening are too unique and confusing. Voters ID
or driving license should be taken both as identity proof as well as address proof.
The organization is lacking on the parameters of motivation. For example incentives
on targets should be given time to time.
No. of signatures, which are made by the lines are too many, therefore should be
reduced.
Kotak must lay some sound strategies to trap more customers by providing them with
less brokerage in comparison to others.
CHAPTER-7
CONCLUSION
From the analysis of the responses receive from the investors in
Coimbatore city, a majority of investors are found to be conscious and enlightened regarding
their investment, returns and growth.
We have very good market in Coimbatore which comprises potential
investors but due to lack of basic promotion and publicity these investors are not fully aware
of our company and who so ever is aware of the company their investment decisions are done
on the basis of security, analysis of risk yield and return few parameters like demographic,
physiological, income etc.
E-trading account is a unique combination of saving account; demat
and online share trading account as no other depository provides all the three facilities
together.So my findings are that Kotak securities should make little more efforts to trap the
potential investors, like media advertisements, paper advertisement, seminars and business
meets and building a good relationship with potential business, more over friendly guidance.
REFERENCE
1. Josef Lakonishok, Inmoo Lee and Allen M. Poteshman (2004),” Investor
Behavior and the option Market”, National Bureau of Economic Research, Paper
No. 10264 (January 2004)
2. Prof. Sohan Patidar (2010), “Investor‟s Behavior towards Share Market”,
International Research Journal, (October 2010), ISSN – 0975-3486, VOL I ISSUE
13
3. Dr.Preeti Singh and Harpreet Singh Bedi (2011), “Investor Behavior in Secondary
Market”, IJRFM (August 2011) Vol 1, Issue 4, ISSN 2231-5985
4. Dimitrios I.Maditions, Zeljko Sevic and Nikolaos G. Therious (2007), “Investors‟
behavior in the Athens Stock Exchange”, Studies in Economics and Finance,
Vol.21 No. 1,2007 pp 32-50.
5. Chip Heath (1999) “Psychological factors and stock option exercise”, Journal of
financial economics, Vol 13, Version 3, page 65-69.
6. Dhar, R. and Zhu Ning (2006) “An Individual Level Analysis of the Disposition
Effect”, Studies in Economics and Finance” Vol 25, Issue 4, page 67-82.
7. Guven Sevil. Mehmet Sen and Abdullah Yalama (2007), “Small Investor
Behaviour in Istanbul Stock Exchange”, ISSN 1450-2889 Issue 1
8. Ricciardi Victor and Simon Helen K., “What is Behavioral Finance?”, Business
Education and Technology Journal, 2000.
9. Kyrolainen, P. (2007), “Investors‟ Activity and Trading Behavior”, ICFAI Journal
of Behavioral Finance Vol 1, page 31-59.
10. Tripathi, V. (2008), “Investment Strategies in Indian Stock Market: A Survey”,
Journal of Financial Economics, Vol 32, PP. 663-682.
WEBSITES:
www.kotak.com
www.kotaksecurities.com
www.nseindia.com
www.bseindia.com
www.tradeonline.com
BOOK:
William G Zikmund, John C Carr and Mitch Griffin, “Business Research Methods”,
8th
Edition (August 2009), Cengage Learning, ISBN 0324320620, Pg 275-310
APPENDICES:
QUESTIONNAIRE:
A STUDY ON INVESTOR BEHAVIOR IN SHARE MARKET WITH REFERENCE
TO KOTAK SECURITIES, COIMBATORE.
Dear friend,
I wish to study “A Study on Investor Behavior in Share Market with Reference to
Kotak Securities, Coimbatore.” I request you to spare sometime in filling up the
questionnaire, your experience by answering the following questions. I assure that this
information will be kept confidential and used for academic purpose only.
Thank you.
Yours faithfully,
SHRI AVINASH NARENDHRAN S.V.
Department of Management Studies,
Adhiyamaan College of Engg.,
Hosur.
1. Which type of investor are you?
(a) Aggressive (b)Moderate (c)Conservative (d) Very Conservative
2. What growth do you expect in return?
(a) High (b) Average (c) Low
3. What is your perception towards Return?
(a)Inflation rate (b) High (c) Safety to Principal
4. What is your knowledge in investment Scheme?
(a) Good (b)Average (c) Low
5. Age group
(a) 20-30 (b) 30-50 (c) Above 50
6. What is your view if stock market crash down?
(a) State of Investment (b) Wait & Watch (c) State of Withdrawal
7. Where you like to invest money?
(a) Primary Market (b) Secondary Market (c) Others
8. Do you have Demat account?
(a) Yes (b) No
9. Do you have account with Kotak?
(a) Yes (b) No
10. What other demat account you used before using Kotak Securities?
(a)Indiabulls (b)ICICI Direct (c) Sharekhan (d)Geojit (e) No
11. Which area you like to invest in share market?
(a)Mutual Fund (b) Equity (c) Gold ETF (d) Currency (e) IPO
12. What type of trading you prefer?
(a)Intraday (b)Delivery (c)Marginal Finance
13. How you choose to invest?
(a) Self (b) Friends (c) TV + Friends (d) Recommendation by KOTAK
14. Are you satisfied with KOTAK Brokerage?
(a) Yes (b) No
15. Grade the KOTAKSECURITIES.COM
Excellent Good Average Poor N/A
Value 5 4 3 2 1
(e) Brokerage Charged _____________________________________________
(f) Recommendation _____________________________________________
(g) Other facilities _____________________________________________
(h) Customer Satisfaction _____________________________________________
16. Grade the KOTAKSECURITIES.COM with other Concern
N/A Poor Average Good Excellent
Value -2 -1 0 1 2
(a) KOTAK SECURITIES _____________________________________________
(b) ICICI DIRECT _____________________________________________
(c) INDIABULLS _____________________________________________