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A STUDY ON INVESTOR

BEHAVIOUR IN SHARE MARKET

WITH REFERENCE TOKOTAK SECURITIES, COIMBATORE

MAIN - PROJECT REPORT

Submitted bySHRI AVINASH NARENDHRAN S V

Reg No: AC10MBF091In 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, Hosur635109

APRIL2012


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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 ofDEGREE 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


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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)


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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 KUMARDirector,

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.


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CHAPTER

NOCONTENTS

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

IVRESEARCH METHODOLOGY

Research design 27

V

ANALYSIS AND INTERPRETATION

Table

Charts

31

31

VIFINDINGS

SUGGESTIONS

47

48

VII CONCLUSION 49

REFERENCES

APPENDICESQUESTIONNAIRE*


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TABLE AND CHART CONTENT:

TABLE:

TABLE

NO.

CONTENTSPAGE

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 investors 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

5.9Investors having account with Kotak Securities.Com

39

5.10

Other Demat investors have used before having

KOTAKSECURITIES.COM A/C40

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


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CHART:

CHART

NO.

CONTENTSPAGE

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 investors 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

5.9Investors having account with Kotak Securities.Com

39

5.10

Other Demat investors have used before having

KOTAKSECURITIES.COM A/C40

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


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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 assessinfluences 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 Arrows

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.


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BLACK BOX MODEL:

ENVIRONMENTAL FACTORS BUYER'S BLACK BOX

BUYER'S

RESPONSEMarketing

Stimuli

Environmental

Stimuli

Buyer

Characteristics

Decision

Process

Product

PricePlace

Promotion

Economic

Technological

PoliticalCultural

Demographic

Natural

Attitudes

Motivation

PerceptionsPersonality

Lifestyle

Knowledge

Problem

recognition

Information

search

Alternativeevaluation

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 buyers black box contains the buyer characteristics and the

decision process, which determines the buyers 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 differentalternatives (e.g., brands, products, and retailers);


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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 intheir level of importance or interest that they entail for the consumer; and

How marketers can adapt and improve their marketing campaigns and marketingstrategies 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., friendsinfluence 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 ofhow 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.


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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.


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1.2 SCOPE OF THE STUDY

The study helps us to know the state of mind of the investors & their expected chargesregarding Brokerage, Return, Annual maintenance charges, and so on.

It helps the company to understand the Investors perception in Capital Market, so that theycan create for their further improvement.

It may help the company to make further planning and strategy.


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1.3 LIMITAION OF THE STUDY

Method of data collection was through personal interview and therefore personal biasbecomes 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.


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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.


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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


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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 Brse 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.


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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

Brse. 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).


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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.


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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


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The Kotak Mahindra group was born in 1985 as Kotak capital management

financiers ltd. UdayKotak, Sindey A.A Pinto, the company. Industrialists Harish Mahindra

and Anand Mahindra Took a stake in 1886 and thats 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 POs by prime databas e. The corestrengths 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


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The prerequisites to start e trading are :

Trading account to deal in electronic share mutual funds and ipos onKotaksecurities.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 asmargin 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.


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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 middlebrokerage 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 chargesat 0.03% per transaction.

Flat fee of Rs. 999 per month. 4 times exposure on the margin.


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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

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:-


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Two photographs signed across.

Identity proofphotocopy of passport, PAN/voters ID card, driving license.

Address proofphotocopy of electricity bill, telephone bill, bank S/M.

Cheques for margin in the name of Kotaksecurities.com + bank account opening.

Signature proofpassport, 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 margingreen channel. Multiple available on sales marked for delivery.


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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 DPs makes periodic statement of holding

available. Easy verification of audits.

No custody charges if using own premises

however, custodians 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.


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BUYING:-


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:-


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


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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 FinanceMinister, 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


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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


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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 Zgroup 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

Zgroup 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.


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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.


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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.


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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 Friends (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.


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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.


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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.


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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


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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


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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.


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TOOLS FOR ANALYSIS

The statistical methods, which are used, for the research are:

Percentage Analysis 5 Point LikertScale 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).


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CHAPTER 5

ANALYSIS AND INTERPRETATION

1. The Type of InvestorsTable 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 Very

Conservative

27

51

42

30

Type of Investors

Type of Investors


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2. The expectation of investors regarding the growthTable 5.2

EXPECTATION OF

INVESTORSNO.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

6213

25

Investors Expectation

Average

High

Low


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3. The perception of the investors respect to the returnTable 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


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4. The investors knowledge about various investment schemesTable 5.4

INVESTORS KNOWLEDGENO.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


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5. The age group of investorsTable 5.5

AGE GROUPNO.OF

RESPONDENTS

PERCENTAGE

(%)

Above 50 51 51%

3150 32 32%

2030 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


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6. The view of investors if the stock markets crash downTable 5.6

VIEW OF INVESTORS NO.OF RESPONDENTSPERCENTAGE

(%)

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

010

20

30

40

50

60

State of

Investment Wait & WatchState of

Withdrawal

29

52

19

View of Investors

View of Investors


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7. Investors invest their money mainly inTable5.7

INVESTMENT AREA NO.OF RESPONDENTSPERCENTAGE

(%)

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


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8. Investors having their own Demat account.Table 5.8

DEMAT A/C NO.OF RESPONDENTSPERCENTAGE

(%)

Yes 73 73%

No 27 27%

TOTAL 100 100%

INFERENCE: 73% of the respondents are already having a demat account while rest of

them dont have from the respondents which I collected.

Chart 5.8

73

27

Demat A/C

Yes

No


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9. Investors having account with Kotak Securities.ComTable 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


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10.Other demat investors have used before having KOTAKSECURITIES.COM A/CTable 5.10

BEFORE HAVING

KOTAKSECURITIES.COM NO.OF RESPONDENTS

PERCENTAGE

(%)

Indiabulls 32 32%

ICICI DIRECT 13 13%

Sharekhan 10 10%

Geojit 12 12%

Dont have Prior Experience 33 33%

TOTAL 100 100%

INFERENCE:

Indiabulls is the other leading security company in the market. It has its majority of32% 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


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11.Investor invest money in Share tradingTable 5.11

PORTFOLIO

NO.OF RESPONDENTS

MEAN PERCENTAGEBusiness 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

Mutual

FundEquity

Gold ETFCurrency

IPO

8

15

3

7

6

Portfolio

Business

Salary

Retired


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12.Trading type investor preferTable 5.12

PREFERED

TRADING

NO.OF RESPONDENTS


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


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13.Choose to select the Securities for investmentTable 5.13

CHOOSING of

SECURITIES

NO.OF RESPONDENTS


Myself 9 5 10 8 24%

Friends Advice 10 17 2 9.67 29%

Market Programme +

Friends Advice4 5 15 8 24%

Recommendationgiven in Kotak

8 10 5 7.67 23%

TOTAL 31 37 32 33.34 100%

INFERENCE: 24% do trading on their own and with friends 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

BusinessSalary

Retired


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14.Investor satisfied with KOTAKSECURITIES.COM BrokerageTable 5.14

BROKERAGE NO.OF RESPONDENTSPERCENTAGE

(%)

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


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15.Grading the KOTAKSECURITIES.COMTable: 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


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16.Grading with other ConcernTable: 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


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CHAPTER-6

FINDINGS & SUGGESTIONs

FINDINGS:

High Brokerage: - Kotak Securities has high brokerage as compare to other onlineplayers.

Call and trade: - Call and trade facility is payable which is not convenient for all theclients.

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 andcumbersome.

Lack of Awareness: - in Coimbatore city, though Kotak is well known but still there islack of awareness regarding Kotak Securities and its online division i.e.

Kotaksecurities.com and its products.


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SUGGESTIONS:

According to the analysis the investor above the age of 50 years must be taken intoconsideration 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, advertisementthrough mass media, like newspapers, magazines, televisions, fairs, and

advertisements on Internet.

Documents required for an account opening are too unique and confusing. Voters IDor 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 incentiveson targets should be given time to time.

No. of signatures, which are made by the lines are too many, therefore should bereduced.

Kotak must lay some sound strategies to trap more customers by providing them withless brokerage in comparison to others.


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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.


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REFERENCE

1. Josef Lakonishok, Inmoo Lee and Allen M. Poteshman (2004), InvestorBehavior and the option Market, National Bureau of Economic Research, Paper

No. 10264 (January 2004)

2. Prof. Sohan Patidar (2010), Investors Behavior towards Share Market,International Research Journal, (October 2010), ISSN0975-3486, VOL I ISSUE

13

3. Dr.Preeti Singh and Harpreet Singh Bedi (2011), Investor Behavior in SecondaryMarket, IJRFM (August 2011) Vol 1, Issue 4, ISSN 2231-5985

4. Dimitrios I.Maditions, Zeljko Sevic and Nikolaos G. Therious (2007), Investorsbehavior 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 offinancial economics, Vol 13, Version 3, page 65-69.

6. Dhar, R. and Zhu Ning (2006) An Individual Level Analysis of the DispositionEffect, Studies in Economics and Finance Vol 25, Issue 4, page 67-82.

7. Guven Sevil. Mehmet Sen and Abdullah Yalama (2007), Small InvestorBehaviour in Istanbul Stock Exchange, ISSN 1450-2889 Issue 1


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8. Ricciardi Victor and Simon Helen K., What is Behavioral Finance?, BusinessEducation and Technology Journal, 2000.

9. Kyrolainen, P. (2007), Investors Activity and Trading Behavior, ICFAI Journalof 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


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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.


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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


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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


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15.Grade the KOTAKSECURITIES.COMExcellent 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 _____________________________________________