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Corporate Guide:- Faculty Guide:-

Miss. Priyambada Mohanty Mr. Jyoti Ranjan Das
Center manager IBCS,Bhubaneswar

Submitted in Partial Fulfillment for the Award of



Submitted by: - Ashutosh Kandwal

Regd no:-0841333070

Ashutosh Kandwal
I Ashutosh Kandwal do hereby declare that the project

report entitled “Products and Services of Reliance money”

being submitted to Siksha ‘O’ Anusandhan University,

Bhubaneswar is my own piece of work and it has not been

submitted to any other institute or published at any time before.

Ashutosh Kandwal
Regd No: - 0841333070

Ashutosh Kandwal


It was a great opportunity for me to work with Reliance money,

pioneers in the field of stock trading, a part of Reliance Capital Ltd. I am
extremely grateful to the entire team of Reliance Money at Bhubaneswar
who have shared their experience and knowledge with me and without
whom the completion of this project would have been virtually
I am gratified to Prof. J.R Das for their earnest coordination owing
to which, I had the leg-up of undertaking the internship at the prominent
organization, Reliance Money Pvt ltd.
I am highly indebted to Miss. Priyambada Mohanty (Center
Manager of Reliance Money, Bhubaneswar) and company project
guide, who has provided me the necessary information and his valuable
suggestion and a good support in understanding the basics of the Reliance
Money easily.
I feel great pleasure to cordial thanks Mr. KaliDutt Das (Cluster
Head of Reliance Money, East zone-2).
I also very thankful to my friends who help me in completion of
the project. I am thankful to that power that always inspires me to take
right step in the journey of success my life.
Date: 18th Aug 2009
Place-Bhubaneswar (Ashutosh kandwal)


Ashutosh Kandwal
The project work is pursued as a part of MBA
(Marketing) Curriculum at INSTITUTE OF BUSINESS AND
COMPUTER STUDIES, Bhubaneswar. It is undertaken as a
traineeship at Reliance Money Ltd. The project is done under
expert supervision and guidance of Mr. Jyoti Ranjan Das
(Lecture in Marketing) and Miss.Priyambada mohanty
(Center Sales Manager, Reliance Money)

The Project is about the study of marketing and sales of

financial products and also the efforts done to make
improvements in the customer acquisition process for better

At RELIANCE MONEY, initially the trainees were

imparted process and product knowledge. They were given
sufficient time to know about the products and also about sales
and distribution channel. They had to work with the sales
representatives of the Distributor and think of ways of
improving the sales and distribution channel and implementing
them. The main aim was to increase sales and for this different
ways were tried and implemented. They were provided with
database and had to make cold calls from the data. Company
activity was also one of the major sources for generating
business. Initially they even accompanied sales representatives
to the clients place. Main objective was to know the need of
the customer and how to fulfill that in the best way.

The project dealt with various fields like:

1. Trading and Demat account

2. Mutual funds
3. Life insurance
4. General insurance

Thus it gave trainees the opportunity to learn about all

the products and with the range of products Reliance money
offered it made the task a bit easier as we could fulfill the
need of the customer in a better way.

Our task was divided in 4 phases:

Ashutosh Kandwal
1. Product knowledge: This included the theoretical
knowledge about the field and products which needed to be

2. Pitching in retail sector: This included the implementation

of the knowledge imparted to us and the test of our marketing
skills. Initially we were accompanied by other sales executive
so that we can learn how to deal with the customers and
understand their need. This also enhanced our interpersonal
skills and confidence level.

3. Implementation in retail sector and pitching in

corporate: By the start of this phase we were confident
enough about the pitching and fulfilling the needs of the
customer in the retail sector. This also included of the ways
we should pitch the corporate.

4. Implementation at corporate levels: This included the

implementation of the all the knowledge and ways learnt for
the pitching and extracting business out of the corporate.

With the end of 6 weeks every phase was completed and

it gave us the real experience of retail as well as corporate


Ashutosh Kandwal
Certificate of Company
Faculty Guide Certificate
Executive Summary

Introduction 1
Scope of study 2
Objective of training 3

Company profile 4
Board of Directors 6
Reliance ADA group 8

Products and services 9
i. Reliance Life insurance 10
ii. Demat account services 24
iii. Reliance Mutual Funds 31
iv. Reliance General Insurance 41

Methodology 46
Limitations 50
Learning 50

Suggestions 51
Conclusion 52
Bibliography 54
Questionnaire 55

Ashutosh Kandwal
Whether it’s retiring early, saving for children’s
education, paying off a loan or to live a secured and satisfied
life everyone has dreams they can achieve by investing their
savings. However, the question that arises is that, should one
leave his money tucked away in the bank or plough it into the
stock market where the potential for higher returns is greater
but the chances of losing money is higher? Deciding where to
invest depends on one`s attitude towards risk (one`s capacity
to take risk and one`s tolerance towards risk) and the
investment horizon and non-availability of guaranteed-return
investment products.
In such a scenario, investing in equity, which offers returns
that are higher than the inflation rate, help to build wealth and
to improve the standard of living. It is fine that stock market
fluctuates over time. At present as far as the world economy
is concerned it is on a boom. As soon as globalization and
liberalization has come into act it has well shaped the
economy. India has turned out to be the hot destination for the
money investors and this has resulted growth in the sensex .It
was never hoped before that BSE will ever touch the mark of
16000 points. But only due to the new economic opportunities
and the confidence of people in India’s economic future it has
been successful .Investing in equity is the way to earn money
and to fulfill the dreams. The risk involved with investing in
equity can be moderated by careful stock selection and close
monitoring.Reliance money deals with the product and
investment options are available in…

• Equity (Stock) Trading

• Derivatives Trading Special feature is available first time to track your
positions online, in real time.
• Forex Trading
• Commodity Trading
• IPO's
• Mutual Funds
• Insurance

Ashutosh Kandwal
The scope of the study refers to the job that to know about the activities of the
organization. The study means that the analysis of the products of the company on
which he/she has to focus.

During the summer training the volunteer need to find out the corporate strategies of
the running company and the mile stone which the company has covered during its
journey. In the summer training, it is necessary for the student that he /she involve
with the experience guys to get the knowledge about the company. That is how the
company has got the success, Or if it is going in the loss, why.

In my training period I have found that the reliance group is the biggest group in
Indian companies. I felt that I can learn the more in the Reliance Life Insurance
Reliance Life Insurance Limited is the part of the Reliance Capital Limited which is a
growing company in the financial products.

Reliance Anil Dhirubhai Ambani group is also deals in communication, energy,

natural resources, media, and entertainment, healthcare and infrastructure.

Ashutosh Kandwal
Frankly speaking, any job or the task, have the specific objective i.e. what is need and
what is the requirement of the particular work. In the same way my objective is also
to learn something from the summer internship program. It means that the training
program in any reputed company give the market knowledge of its subject matter of
The right choice of the company in which a student has to do the training is also the
part of the learning and what he/she wants to learn in the summer training.
In the short span since the insurance sector was opened up, many companies have
literally dictated the market’s evolution. Catering to all age and income segments, the
company stated out with the traditional insurance policies that were easy to
understand, the idea was to entice customers used to LIC’s style of functioning.
Reliance money began exploring new areas; it introduced modern products, like Unit-
linked Product where return are linked to the market performance of the underlying
Reliance Money leads and virtually all parameters; size of agent force, number of
policies sold, total sum, total sum assured, premium income and productivity of
agents it has set exacting standards for its range of products, riders offered, quality of
information in promotional material and even in the insurance awareness events
What has been in favor of Reliance Money is the range of product in each
segment of life insurance-traditional, unit-linked and single premium option, that are
for retirement plan or child plan. With such a comprehensive bouquet, it caters to the
financial goals of a customer. Reliance Money a growing reputed company give the
good platform in selling of the product like insurance, Equity & commodities,
derivative, IPO’s, offshore investment, mutual fund, gold coins etc.
So the objective of study is to see in the basket of product and satisfaction of
customers with the company through research work in Bhubaneswar

Ashutosh Kandwal
Reliance Capital

Reliance Reliance
Reliance Reliance Reliance
Mutual fund General Insurance Consumer
Mutual Fund Life Insurance Money Finance

Reliance money is a part of the reliance Anil Dhirubai Ambani Group and is
promoted by Reliance capital, the fastest growing private sector financial services
company in India, ranked amongst the top 3 private sector financial companies in
terms of net worth.
Reliance money is a comprehensive financial solution provider that enables you to
carry out trading and investment activities in a secure, cost-effective and convenient
manner. Through reliance money, you can invest in a wide range of asset classes from
Equity, Equity and commodity Derivatives, Mutual Funds, insurance products, IPO’s
to availing services of Money Transfer & Money changing.
Reliance Money offers the convenience of on-line and offline transactions through a
variety of means, including its Portal, Call & Transact, Transaction Kiosks and at it’s
network of affiliates.

Some key steps of the company that are as…..

“Success is a journey, not a destination.” If we

look for examples to prove this quote then we can find many but there is none like
that of Reliance Money. The company which is today known as the largest financial
service provider of India.

Ashutosh Kandwal
• Success sutras of Reliance Money:
The success story of the company is driven by 8 success sutras adopted by it namely

trust, integrity, dedication, commitment,

enterprise, hard work and team play,
learning and innovation, empathy and
humility. These are the values that bind success with Reliance Money.
• Vision of Reliance Money
To achieve & sustain market leadership, Reliance Money shall aim for complete
customer satisfaction, by combining its human and technological resources, to provide
world class quality services. In the process Reliance Money shall strive to meet and
exceed customer's satisfaction and set industry standards.

• Mission statement:

“Our mission is to be a leading and preferred

service provider to our customers, and we
aim to achieve this leadership position by
building an innovative, enterprising , and
technology driven organization which will set
the highest standards of service and
business ethics.”

Ashutosh Kandwal
Anil Dhirubhai Ambani - Chairman

Regarded as one of the foremost corporate leaders of contemporary India, Shri Anil D
Ambani, 50, is the chairman of all listed companies of the Reliance ADA Group,
namely, Reliance Communications, Reliance Capital, Reliance Energy, Reliance
Natural Resources and Reliance Power. He is also Chairman of the Board of
Governors of Dhirubhai Ambani Institute of Information and Communication
Technology, Gandhi Nagar, Gujarat. Till recently, he also held the post of Vice
Chairman and Managing Director in Reliance Industries Limited (RIL), India's largest
private sector enterprise. Anil D Ambani joined Reliance in 1983 as Co-Chief
Executive Officer, and was centrally involved in every aspect of the company's
management over the next 22 years. He is credited with having pioneered a number of
path-breaking financial innovations in the Indian capital markets. He spearheaded the
country's first forays into the overseas capital markets with international public
offerings of global depositary receipts, convertibles and bonds. Starting in 1991, he
directed Reliance Industries in its efforts to raise over US$ 2 billion. He also steered
the 100-year Yankee bond issue for the company in January 1997.

Amitabh Jhunjhunwala - Vice-Chairman

Shri Amitabhabh Jhunjhunwala, 51, is a Fellow Chartered Accountant. He has vast

experience in the areas of financial services and capital markets. Shri Jhunjhunwala
was appointed to the Board on March 7, 2003 and was appointed Vice Chairman on
March 20, 2006. He is a Director on the Board of Harmony Art Foundation and
Reliance Anil Dhirubhai Ambani Group Pvt. Ltd.

Ashutosh Kandwal
Rajendra Chitale - Independent Director

Shri Rajendra P. Chitale, 46, an eminent Chartered Accountant, is the Managing

Partner of M/s M. P. Chitale & Associates. He is a Director on boards of the National
Securities Clearing Corporation Limited, Asset Reconstruction Company (India) Ltd,
Hinduja TMT Limited, HTMT Global Solutions Ltd, Ambuja Cement Limited, SME
Rating Agency of India Limited, Ishan Real Estate PLC and Reliance General
Insurance Company Ltd. He is also a member of the advisory board of the Insurance
and Regulatory Authority of India (IRDA). He has also served on the boards of Life
Insurance Corporation of India, Unit Trust of India, SBI Capital Markets Ltd.,
National Stock Exchange of India Ltd. and Small Industries Development Bank of

Shri C. P. Jain

Shri C.P. Jain, 61, is the former Chairman and Managing Director of NTPC Ltd.
(National Thermal Power Corporation). Shri Jain has an illustrious career spanning
over four decades of contribution in the fields of financial management, general
management, strategic management and business leadership. He is a fellow member
of the Institute of Chartered Accountants of India with an advanced diploma in
Management and is a law graduate. Shri C. P. Jain joined the Board of NTPC in 1993
as Director (Finance), was elevated as Chairman & Managing Director in September
2000 and superannuated in March 2006. He is Chairman of the Global Studies
Committee of World Energy Council (WEC), world's largest energy NGO with nearly
hundred member-nations. He has been on several important committees of the
Government of India, latest being the 'Adhoc Group of Experts on Empowerment of
CPSEs'. He was Chairman of Standing Conference of Public Enterprises (SCOPE)
between April 2003 and March 2005. He is a Director on the Board of IL & FS
Infrastructure Development Corporation and, is also a member of the Audit Advisory
Board of the Comptroller and Audit General of India.

Ashutosh Kandwal
Ashutosh Kandwal
• Reliance Life Insurance

• Demat Account Services

• Reliance Mutual Funds

• Reliance General Insurance

Ashutosh Kandwal
Reliance Life Insurance, a part of the Reliance - Anil Dhirubhai Ambani Group is
India's fastest growing life insurance company and among the top 4 private sector life
Reliance Life Insurance has a pan India presence and a range of products catering to
individual as well as corporate needs. Reliance Life Insurance has over 700 branches
and 1, 80,000 agents. It offers 26 products covering savings, protection & investment
requirements. Reliance Life Insurance will endeavor to attain a leadership position in
the market over the next few years, by further expanding and strengthening its
distribution network and offering a diverse array of products to suit the varied and
specific needs of individual customers.

Basics of Life Insurance

What is Life Insurance?

An amount of money paid to someone (called beneficiary) when the Life Assured (in
whose name the insurance policy is taken) dies. This amount can be used to pay the
expenses related to Life assureds death or can be invested to generate income that will
replace your salary. Life Insurance is an important tool in any investors portfolio &
can be used for - wealth creation, asset building, provide for contingencies and
retirement planning.

The main reason to buy Life Insurance is to provide

income replacement for your loved ones

Ashutosh Kandwal
Types of Life Insurance Policies
• Most Insurance policies are a combination of Savings & Protection.

• Products are formulated by either increasing or decreasing either one of these


• These combinations can be broadly divided into 4 groups

- Term Insurance
- Endowment Policies : Whole Life; Unit Linked etc
- Annuities & Pension
• Expenses of accompanying person at the Hospital
• Local Road Ambulance Services
• Recovery Benefit
• Cost of Health Check up
• Nursing Allowance
• Hospital Daily Allowance

Ashutosh Kandwal
Life Stage in Life Insurance

Peak earning age

range. High asset
creation & build up
of liabilities. Critical
stage for
Introduction of dependents Asset base build
dependents. Start up & liabilities
of financial reduced/ taken
planning – balance care of. Need for
between asset retirement
creation & planning more
protection than protection.

No dependents/ Need for

liabilities protection low.
therefore need Greater need for
for insurance is regular income
less flow.

30-45 years 45 yrs and
Couples with above
18-25 children Matured
with no
(Unmarrie couple Retire
d) d

Endowment / ULIP’s Endowment / ULIP’s +

Term Annuities

At each stage, requirements, responsibilities and Financial

needs differ

Ashutosh Kandwal
Need Analysis in life Stages



1.Go on a holiday
2.Buy a new Car Short Term
18yrs – Unmarried 3.Set up a new house Endowment
4.Set up Interiors
25yrs 5.Buy jewellery

1.High Debt, high

expenditure Phase
2.Family dependency Temporary term
25yrs Married on your income or whole life
3.Low accumulated
wealth Product
4.Need for Planning

Planning Profits or Unit
30yrs – Matured 2.Wealth transfer or Linked
couple saving vehicles
45yrs 3.Returns on
investment Deferred
4.Opting for annuities
guaranteed Product

1.Single Premium
1.Protection in case
you live long annuities
60yrs and Post 2.Protection for 2.Long term care
above Retirement spouse in case of
3.Wealth 3.Whole life
accumulation for products

Ashutosh Kandwal
Products of Life Insurance
Life Insurance products are usually referred to as ‘plans’ of insurance. These plans
have two basic elements; one is the “Death Cover” providing for the benefits being
paid on the death of the insured person within a specified period. The other is the
“Survival Benefit” providing for the benefit being paid on survival of a specified
• Plans of insurance that provide only death cover are called “Term
Assurance” Plans.
• Plans of insurance that provide only survival benefits are called “Pure
Endowment” Plans.

Term Life Insurance

Term Life Insurance provides protection for a specified period of time. A death
benefit is paid to the beneficiary if the insured dies within a specified period of time
while the policy is still in force.

Whole Life Insurance

Whole Life insurance is a permanent life insurance and provides protection for life.
As long as premiums are paid, a death benefit is paid to the beneficiary.

A ULIP is a life insurance which provides a combination of Life Insurance protection
and investment. Money can be invested in the following fund:- Equity Fund, Debt
Fund, Money Market Fund (Liquid Fund) and Balance Fund.

Annuities are practically the same as pension. Pension provides periodical payments
to the employees, who have retired. They are paid as long as the recipient is alive.
Annuities are called the “reverse” of Life Insurance.

Ashutosh Kandwal
• Protection Plans
Protect your family even when you’re not around by investing in Reliance Protection
Plans. Choose a limited period plan or a lifetime protection plan depending on your
needs. The latest Protection Plans are as below…
1. Reliance Term plan
2. Reliance Simple Term plan
3. Reliance Special Term plan
4. Reliance Credit Guardian plan
5. Reliance Special Credit Guardian plan
6. Reliance Endowment plan
7. Reliance Special Endowment plan
8. Reliance Connect 2 Life plan
9. Reliance Whole Life plan
10. Reliance Wealth + Health plan
11. Reliance Cash Flow plan

• Savings & Investment Plans

Reliance Savings & Investment Plans help you to set aside some money to achieve
specific goals in life, which means that you can enjoy life and provide for your
family’s daily needs. The savings and investment Plans are as below…
1. Reliance Total Investment Plan Series I - Insurance
2. Reliance Wealth + Health plan
3. Reliance Automatic Investment plan
4. Reliance Money Guarantee plan
5. Reliance Cash Flow plan
6. Reliance Market Return plan
7. Reliance Endowment plan
Ashutosh Kandwal
8. Reliance Special Endowment plan
9. Reliance Whole Life plan
10. Reliance Golden Years Plan
11. Reliance Golden Years Plan Value
12. Reliance Golden Years Plan Plus
13. Reliance Connect 2 Life plan

• Retirement Plans
Invest today in Reliance Retirement Plans and save money to enjoy life even after
retirement. You will never have to depend on another person or make any
compromises to maintain your current lifestyle. The latest Retirement Plans are as
1. Reliance Total Investment Plan Series II – Pension
2. Reliance Golden Years Plan
3. Reliance Golden Years Plan Value
4. Reliance Golden Years Plan Plus
5. Reliance Wealth + Health plan
6. Reliance Automatic Investment Plan
7. Reliance Money Guarantee Plan

• Child Plans
Save systematically and secure your child’s future needs by investing in Reliance
Child Plans. You can always be there for your child when he or she needs you. The
Childs plans are as below…
1. Reliance Child plan
2. Reliance Secure Child plan
3. Reliance Wealth + Health plan

Ashutosh Kandwal
Market Return Plan
Under This plan the investment risk in the investment portfolio is done by the
key features
• Twin benefit of market linked return and insurance protection
• A unit linked plan, different from traditional life insurance products with
maximum maturity age of 80 years.
• Option to create your own portfolio depending on your risk appetite.
• Choose from four different investment funds
• Flexibility to switch between funds
• Option to pay regular as well as single premium & top- ups
• Option to package your policy with accidental rider
• Flexibility to increase the sum assured
• Liquidity through partial withdrawals
How does this plan work
The premium paid by the client net of premium allocation charges is invested in
fund/funds of your choice and units are allocated depending on the price of units
for the fund/funds. The fund value is the total value of units that you hold in the
fund/funds. The mortality charges and policy administration charges are ducted
through cancellation of units whereas the fund management charge is priced in the
unit value.
Life cover Assured: in case of unfortunate loss of life, the beneficiary will get sum
assured or fund value, whichever is higher. The client can choose the basic sum
assured within the minimum and maximum levels mentioned below.
Minimum sum Assured:
• Regular premium: annualized premium for 5 years or annualized premium
for half the policy term, whichever is higher.
• Single premium: 125% of the single premium.
Maximum sum Assured
No limit (50000 for age up to 12 years)

Ashutosh Kandwal
Maturity Benefits
On survival to maturity the fund value on maturity will be paid out.
Rider Benefits
The Client can add the Accidental Death & Total and Permanent Disablement Benefit
Rider (available only with the regular premium option).
This benefit doubles the life coverage in case of accidental death or accidental total
and permanent disablement at a very nominal additional cost. The maximum cover is
Rs. 50, 00,000 per life.
In case of accidental death of the life assured during the policy term, the accident
benefit sum assured will be paid immediately in a lump sum.
In case of accidental total and permanent disablement, 1/10th of the accident benefit
sum assured will be paid at the end of each year for ten years. If the total and
permanent disablement has commenced, the accidental death benefit cover ceases.
In case of maturity or on death of the life assured before payment of all installments
of accidental total and permanent disablement benefits, the remaining unpaid
installments of any will be paid in one lump sum along with death or maturity benefit.
Accidental total and permanent disablement means disability caused by bodily injury,
which causes permanent inability to perform any occupation or to engage in any
activities for remuneration or profits. This disability should last for at least 6 months
before being eligible for accidental total and permanent disablement benefits.
Accidental total and permanent disablement includes loss of both arms and both legs
or one arm and one leg or of both eyes. Loss of arms or legs means dismemberment
by amputation of the entire hand or foot. Loss of eyes means entire and irrecoverable
loss of sight.

What are the different fund options.

We understand the value of your hard earned money and in our Endeavour to help
you grow your wealth, we offer you 4 different tailor-made investment funds. You
have the option to allocate your premium in these funds as you wish.

Ashutosh Kandwal
They are:
1. Capital Secure Fund:
The investment objective of this fund is to maintain the value of all contributions (net
of charges) and all interest additions. This fund offers steady return for little risk. The
risk profile of this fund is low. Investments would be 100% in bank deposits,
government bonds and debt instruments that offer financial security.
Further, allocation in Capital Secure Fund for a policy is subject to a maximum limit
of 40% at any time.

2. Balanced Fund:
The investment objective of this fund is to provide you with investment returns, which
exceed the rate of inflation in the long term while maintaining a low probability of
negative investment returns. Here, a major portion of your funds are invested in Fixed
Securities while a small percentage is invested in the equity market, which is exposed
to market movements. The risk profile of this fund is low to medium.
Investments would be at least 80% in fixed interest securities and maximum 20% in

3. Growth Fund:
The investment objective of this fund is to provide you with investment returns, which
exceed the rate of inflation in the long term while maintaining a moderate probability
of negative investment returns. A greater portion of your funds are invested in fixed
securities while a small percentage is invested in the equity market, which exposed to
market movements. The risk profile of this fund is medium to high.
Investment would be at least 60% in fixed interest securities and maximum 40% in

4. Equity Fund:
The investment objective of this fund is to provide policyholders with high exposure
to equities and the possibility of investment returns, which generate a high real rate of

Ashutosh Kandwal
return in the long term while recognizing that there is a significant probability of
negative investment returns in the short term.
This fund offers a totally equity based investment option. Your returns depend
entirely upon the performance of the equity market. The risk profile of this fund is
high. The higher risk of this portfolio means that expected returns would also be
Investment would not exceed 30% in bank deposits and may be up to 100% in

Value of Units:
The market value of assets plus/less expenses
In the purchase/sale of assets plus current assets plus
Any accrued income net of fund management charges
Less current liabilities less provision
Unit Value =
Total number of units on issue (before any new units
are allocated/redeemed.)

Who can Buy the product

Minimum age at entry 30 days

Maximum age at entry 65 years
Maximum age at maturity 80 years

What is the policy term

Minimum policy term 5 years

Ashutosh Kandwal
Maximum policy term 40 years

Flexible premium payment modes:

Choose from five premium payment modes.
a) Annual – minimum premium is Rs. 10,000.
b) Half – yearly – minimum premium is Rs. 5,000.
c) Quarterly – minimum premium is Rs. 2,500.
d) Monthly – minimum premium is Rs. 1,000.
e) Single premium – minimum premium is Rs. 25,000.

Charges under the plan:

1. Premium allocation charge
For regular premium policies:
Term of the policy as below
Years 5-9 10 - 14 15+
First year 10% 15% 20%
Thereafter 5% 5% 5%

(The premium allocation charge for single premium & top – ups is 2%.)

2. Policy Administration charges:

Rs. 40 will be deducted from your unit account each month.

3. Fund Management Charges:

(The fund management charges will be deducted on a daily basis.)
Unit Linked Funds Annual Rate
Capital Secure 1.50%
Balanced Fund 1.50%
Growth Fund 1.75%
Equity Fund 1.75%

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Revision of charges:
The fund management charges are subject to revision at any time, but hey will not
exceed 2% p.a. for the capital secure fund and 2.5% p.a. for the other funds.
Any changes made to the charges under this policy will be subject to IRDA approval.

4. Partial Withdrawal Charges:

Rs. 100 per withdrawal will be deducted from your unit account.

5. Switching Charge:
1% of the amount switched, with a maximum of Rs. 1,000/- per switch.

6. Mortality Charges:
The Mortality charges, based on your attained age, are determined using 1/12 th of the
charges are different.

7. Surrender Charge:
This charge is levied on the unit fund at the time of surrender of the policy as under:

Number of years premiums paid Surrender charge as percentage of

fund value
Less than 1 100%
1 50%
2 20%
3 and more NIL

8. Service Tax Charge

This charge will be levied on mortality, accident & disability benefit charges. The
level of this charge will be as per the rate of service tax on risk premium levied by the
government from time to time the correct rate of service tax is 12.36% this charge
shall be collected along with charges.

How safe is your investment

Ashutosh Kandwal
• The investments made in the unit funds are subject to investment risks
associated with capital markets and the NAVs of the units may go up or down
based on the performance of the fund and the factors influencing the capital
market, and the insured is responsible for his/her decisions.
• The unit price is a reflection of the financial and equity/debt market conditions
and can increase or decrease at any time due to this.
• Benefits payable under the policy will be made according o the tax laws and
other regulations in force at that time.
• There are no guarantees for any fund of any kind under this policy. The
benefit payable on maturity will be equal to the value of your units.
• The name in the funds in n way indicates the returns derived from them.
• Please note that Reliance life Insurance company limited is only the name of
the insurance company and Reliance market return plan is only the name of
the unit linked life insurance policy and does not in anyway indicate the
quality of the policy or its future prospects or returns

Free Look Period.

In case the policyholder disagrees with any of the terms and conditions of the policy,
he may return the policy to the company within 15 days of its receipt for cancellation,
stating his/her objections in which case the company will refund an amount equal to
the non allocated premium plus the charges levied by cancellation of units plus fund
value as on the date of receipt of the request in writing for cancellation, less the
proportionate premium for the period the company has been on risk and the expenses
incurred by the company medical examination and stamp duty charges. If the risk
acceptance date falls within cooling off period, then on cancellation RLIC shall pay
fund value less of charges.

Ashutosh Kandwal
Overview of Demat Account.

In India, a Demat account, the abbreviation for dematerialized account, is a type of

banking account which dematerializes paper-based physical stock shares. The
dematerialized account is used to avoid holding physical shares: the shares are bought
and sold through a stock broker.

This account is popular in India. The Securities and Exchange Board of India (SEBI)
mandates a demat account for share trading above 500 shares. As of April 2006, it
became mandatory that any person holding a demat account should possess a
Permanent Account Number (PAN), and the deadline for submission of PAN details
to the depository lapsed on January 2007.


1. Fill demat request form (DRF) (obtained from a depository participant or DP with
whom your depository account is opened).
2. Deface the share certificate(s) you want to dematerialize by writing across
Surrendered for dematerialization.
3. Submit the DRF & share certificate(s) to DP. DP would forward them to the
issuer / their R&T Agent.
4. After dematerialization, your depository account with your DP would be credited
with the dematerialized securities.

Reliance Money Demat Account Services

Reliance Money – Transacting and investing simplified.

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

Benefits of having a reliance money account

• It’s cost effective

You pay comparatively lower transaction fees. As an introductory offer, we invite you
to pay a flat fee of just Rs. 500/- and 750/- and transact through reliance money. This
fee is valid for two months or a specified transaction value
See the table below for details.

• Its offers single – window access

Through reliance money’s associates, you can transact in equity, equity and
commodities derivatives, offshore investments mutual funds, IPO’s life insurance,
general insurance, money transfer, money changing and credit cards, amongst others.

• Its convenient
You can access reliance money’s services through
• The internet

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• Transaction kiosks
• The phone (call & transact)
• Our all – India network of associates
On an assisted trade (through the call centre or our network of associates) a charge of
Rs 12 per executed trade will be applicable.

• Its Safe
Your account is safeguarded with a unique security number that changes every 32
seconds. This number works as a dynamics password to keep your account extra safe.

• Its provides you a demat account

You get your own demat account with reliance capital at an annual fee of just Rs.

• Its provides you a 3-in-1 facility.

You can access your banking, trading and demat account through a single window
and transfer funds across accounts seamlessly.

• It provide you value- added services

At www.reliancemoney.com, you get
• Reliable research, including views of external experts with an enviable track
• Live news updates from Reuters and Dow Jones
• CEO’s / expert views on the economy and financial markets

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• Tools that help you plan your investments, tax, retirement, etc. in the personal
finance section
• Risk Analyzer for analysis of your risk profile
• Asset allocators to build an appropriate investment portfolio
• Innovative use of technology for facilitating convenient trading/investments –

kiosks (similar to ATM’s)

Reliance Money Provide the kiosks (similar to ATM’s) Facilities, to their customer
through which the customers can trade on available kiosks at the particular Branch of
Reliance Money. The company is going to open these kiosks in the market as the
ATM’s of the Banks.

Reliance Money provides 3 different trading platforms for equity trading:

Insta Trade
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Fast Trade

Easy trade

The benefits
• A safe and convenient way to hold securities;
• Immediate transfer of securities;
• No stamp duty on transfer of securities;
• Elimination of risks associated with physical certificates such as bad delivery,
fake securities, delays, thefts etc.;
• Reduction in paperwork involved in transfer of securities;
• Reduction in transaction cost;
• No odd lot problem, even one share can be sold;
• Nomination facility;
• Change in address recorded with DP gets registered with all companies in
which investor holds securities electronically eliminating the need to
correspond with each of them separately;
• Transmission of securities is done by DP eliminating correspondence with
• Automatic credit into demat account of shares, arising out of
bonus/split/consolidation/merger etc.
• Holding investments in equity and debt instruments in a single account.

Required Documents
The extent of documentation required to open a demat account may vary according to
your relationship with the institution. If you plan to open a demat account with a
bank, a savings, current and, or other account for which the holder have been issued a
check book, such holder has an edge over the non-account holder. In fact, banks

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usually offer additional incentives to customers who open a demat account with them.
Along with the application form, your photographs (with co-applicants) and proof of
identity/residence/date of birth have to be submitted. The DPs also ask for a DP-client
agreement to be executed on non-judicial stamp paper. Here is a broad list:

• A canceled check, preferably MICR

• Proof of Identification
• Proof of Address
• Proof of Pan card (mandatory)
• Recent photographs, one and, or more

For proof of identification and, or address self-attested facsimile copies of PAN card,
Voter’s ID, Passport, Ration card, Driver’s license, Photo credit card, Employee ID
card, Bank attestation, latest IT returns and, or latest Electricity/Landline phone bill
are sufficient. While they only ask for photocopies of the documents, they will need
the originals for verification.

Points To Remember
1. Only securities admitted by NSDL can be dematerialized. The list is available
with your DP.
2. Only securities registered in the name of the account holder can be
3. Dematerialization is normally completed within 15 days after the share
certificates have reached the issuer/ their R&T Agent. Thus it may take you a
month from the date you hand over shares, to receive demat credit.
4. Dematerialization would be done only when the issuer / their R&T Agent is
satisfied of genuineness of securities & ownership status.
5. All the joint holders should sign the DRF.
6. The pattern of holding in the DRF should match the pattern of holding on the
share certificate & the pattern in which account is opened.
7. Demat requests with name(s) not matching exactly with the name(s) appearing
on the certificates merely on account of initials not being spelt out fully or put
after or prior to the surname, would be processed, provided the signature(s) of

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the client(s) on the DRF tallies with the specimen signature(s) available with
the issuer/ their R & T agent.
8. If the signature in the DRF does not match with the signature available with
the issuer/ their R & T agent, the issuer/ their R & T agent may at the time of
demat confirmation, ask for additional documentation (like bank attestation/
notarisation, etc.) to prove that the certificate belongs to the person who
forwarded the DRF.
9. In case there is any problem in processing the DRF, contact your DP and if he
cannot resolve the problem you may contact NSDL.

The Concept of Mutual Fund

Ashutosh Kandwal
A mutual fund is a common pool of money into which investors place their
contributions that are to be invested in accordance with a stated objective. The
ownership of the fund is thus ‘joint’ and ‘mutual’; the fund belongs to all investors

Reliance Mutual Fund

Reliance Mutual Fund (RMF), a part of the Reliance - Anil Dhirubhai Ambani Group,
is India's leading Mutual Fund, with average Assets under Management of Rs. 90,813
crores for the month of June 2008, and an investor base of over 6.7 million. Reliance
Mutual Fund offers investors a well rounded portfolio of products to meet varying
investor requirements. Reliance Mutual Fund has a presence in 300 cities across the
country and constantly endeavors to launch innovative products and customer service
initiatives to increase value to investors. Reliance Mutual Fund schemes are managed
by Reliance Capital Asset Management Ltd., a wholly owned subsidiary of Reliance
Capital Ltd.

Types of Mutual Funds on the Basis of Risk Vs


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Sector Funds

Diversified Equity

R Balanced Funds
e MIPs
Gilt Funds
r Income Funds
s Floaters
Money Market Funds


Frequently used term in Mutual Funds

• Net Asset Value (NAV)

Net Asset Value is the market value of the assets of the scheme minus its liabilities.
The per unit NAV is the net asset value of the scheme divided by the number of units
outstanding on the Valuation Date.

• Sale Price
Is the price you pay when you invest in a scheme. Also called Offer Price. It may
include a sales load.

• Repurchase Price
Is the price at which a close-ended scheme repurchases its units and it may include a
back-end load. This is also called Bid Price

• Redemption Price
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Is the price at which open-ended schemes repurchase their units and close-ended
schemes redeem their units on maturity? Such prices are NAV related.

• Sales Load
Is a charge collected by a scheme when it sells the units. Also called, ‘Front-end’
load. Schemes that do not charge a load are called ‘No Load’ schemes

• Repurchase or ‘Back-end’ Load

Is a charge collected by a scheme when it buys back the units from the unit holders.

Types of Reliance Mutual Funds

1. Reliance Growth Fund
2. Reliance Vision Fund
3. Reliance Banking Fund
4. Reliance Diversified Power Sector Fund
5. Reliance Pharma Fund
6. Reliance Media & Entertainment Fund
7. Reliance NRI Equity Fund
8. Reliance Equity opportunities Fund
9. Reliance Index Fund
10. Reliance Tax Saver (ELSS) Fund
11. Reliance Equity Fund
12. Reliance Long Term Equity Fund
13. Reliance Regular Saving Fund

The key term in mutual funds

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Dividend Policy: Dividend will be distributed from the available distributable
surplus after the deduction of the divided distribution surplus after the deduction of
the dividend distribution tax and the applicable surcharge, if any. The mutual fund is
not guaranteeing or assuring any dividend. Pease read the offer document for details.
Further payment of all the dividends shall be in compliance with SEBI circular No.
SEBI/IMD/CIR No. 1/64057/06 dated 4/4/06.
Applicable NAV : Sale of units by reliance mutual fund: in respect of valid
applications received up to 3 p.m. by the mutual fund alongwith a local cheque or a
demand draft payable at par at the place where the application is
received, the closing NAV of the day on which application is received shall be
Repurchase including Switch-out: in respect of valid applications received
upto 3 pm by the mutual fund, same day’s closing NAV shall be applicable. In respect
of valid applications received after 3 p.m. by the mutual fund, the closing NAV of the
next business day shall be applicable.
Daily net Asset Value(NAV) publication: the NAV will be declared on all
working days and will be published in 2 newspaper. NAV can also be viewed on
www.reliancemutualfund.com and www.amfiindia.com .

Tax Benefits to the mutual fund: Reliance Mutual Fund is a Mutual fund
registered with the securities & exchange board of India and hence the entire income
of the mutual fund will be exempt from income tax in accordance with the provisions
of section 10(23D) of the income tax act, 1961. The mutual fund will receive all
income without any deduction of tax at source under the provisions of section 196(iv)
of the act.
An exemption has been granted under the finance (No.2) act, 2004 to open ended
equity oriented mutual funds from paying distribution tax on income distributed
without any time limit, effective from 1 April 2004.

Securities transaction Tax:

Name of Transaction Payable by Rate of Tax
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Purchase and sale of equity Both purchaser as well as 0.125%
shares or units of equity seller
oriented mutual funds on a
recognized stock exchange
on delivery basis
Sale on stock exchange of Seller 0.025%
equity shares or units of
equity oriented mutual
funds on non- delivery
sale of derivatives Seller 0.017%
reorganized stock
Sale of units of equity Seller 0.25%
oriented mutual funds to
the mutual fund
There are two types of investment in Mutual Funds.
• Lump Sum
• Systematic Investment Plan(SIP)

• Lump sum: In Lump sum the investment is only one times that
is of Rs. 5,000. and if the investment is monthly then the investment will be 6,000/-.

• Systematic Investment Plan(SIP) :

We have already mentioned about SIPs in brief in the previous pages but now going
into details, we will see how the power of compounding could benefit us. In such
case, every small amounts invested regularly can grow substantially. SIP gives a clear
picture of how an early and regular investment can help the investor in wealth
creation. Due to its unlimited advantages SIP could be redefined as “a methodology of
fund investing regularly to benefit regularly from the stock market volatility. In the
later sections we will see how returns generated from some of the SIPs have
outperformed their benchmark. But before moving on to that lets have a look at some
of the top performing SIPs and their return for 1 year:

Amoun NAV Total

Scheme t NAV Date Amount
Reliance diversified 30/5/20
power sector retail 1000 62.74 08 14524.07
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Reliance regular
22.20 30/5/20 13584.94
savings equity 1000 8 08 4
principal global
30/5/20 14247.72
opportunities fund 1000 18.86 08 8
DWS investment
30/5/20 13791.15
opportunities fund 1000 35.31 08 7
30/5/20 13769.15
BOB growth fund 1000 42.14 08 2

In the above chart, we can see how if we start investing Rs.1000 per month then what
return we’ll get for the total investment of Rs. 12000. There is reliance diversified
power sector retail giving the maximum returns of Rs. 2524.07 per year which comes
to 21% roughly. Next we can see if anybody would have undertaken the SIP in
Principal would have got returns of app. 18%. We can see reliance regular savings
equity, DWS investment opportunities and BOB growth fund giving returns of
13.20%, 14.92%, and 14.74% respectively which is greater than any other monthly
investment options. Thus we can easily make out how SIP is beneficial for us. Its
hassle free, it forces the investors to save and get them into the habit of saving. Also
paying a small amount of Rs. 1000 is easy and convenient for them, thus putting no
pressure on their pockets.
Now we will analyze some of the equity fund SIP s of Birla Sunlife with BSE 200 and
bank fixed deposits In a tabular format as well as graphical.

Exposure of Mutual Funds Companies in India

The concept of mutual funds in India dates back to the year 1963. The era between
1963 and 1987 marked the existence of only one mutual fund company in India with
Rs. 67bn assets under management (AUM), by the end of its monopoly era, the Unit
Trust of India (UTI). By the end of the 80s decade, few other mutual fund companies
in India took their position in mutual fund market.

The new entries of mutual fund companies in India were SBI Mutual Fund, Canbank
Mutual Fund, Punjab National Bank Mutual Fund, Indian Bank Mutual Fund, Bank of
India Mutual Fund.
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By the end of 1993, the total AUM of the industry was Rs. 470.04 bn. The private
sector funds started penetrating the fund families. In the same year the first Mutual
Fund Regulations came into existence with re-registering all mutual funds except
UTI. The regulations were further given a revised shape in 1996.
Kothari Pioneer was the first private sector mutual fund company in India which has
now merged with Franklin Templeton. Just after ten years with private sector players
penetration, the total assets rose up to Rs. 1218.05 bn. Today there are 33 mutual fund
companies in India in which some are as below.

• ABN AMRO Mutual Funds

• Birla Sun life mutual Funds
• Bank of Baroda Mutual Fund
• HDFC Mutual Fund
• HSBC Mutual Fund
• ING Vysya Mutual Fund
• Prudential ICICI Mutual Fund
• Sahara Mutual Fund
• State Bank of India Mutual Fund
• Tata Mutual Fund (TMF)
• Kotak Mahindra Asset Management Company (KMAMC)
• UTI Asset Management Company Private Limited
• Reliance Mutual Fund (RMF)
• Standard Chartered Mutual Fund
• Escorts Mutual Fund
• Alliance Capital Mutual Fund
• Benchmark Mutual Fund
• Canbank Mutual Fund
• Chola Mutual Fund
• LIC Mutual Fund
• GIC Mutual Fund

Working of a Mutual Fund

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Terms and conditions
• This facility offered only to the investors having bank accounts in selected
cities which are specific in the form of the SIP.
• Submit the following document at least 21 working days before the first SIP
date for ECS (Electronic clearing Service).
• The first SIP cheque should be issued from the same bank account which is to
be debited under ECS for subsequent installments.
• The bank account provided for ECS (Debit) should participate in local MICR
• SIP auto debit facility is available only on specific dates of the month i.e. 2 nd
or 10th or 18th or 28th.
• The investor agrees to abide by the terms and conditions of ECS facility of
Reserve bank of India.
• An investor can opt for monthly or quarterly frequency.
• Only one SIP per month or per quarter is permitted per folio/account.
• Minimum investment amount – monthly SIP option – 60 installments of Rs.
100/- each or 12 installment or Rs. 500/- each or 6 installments of Rs. 1000/-
each and in multiples of Re.1/- thereafter.
• The gap between the 1st cheque/ installment & the 2nd cheque / installment
should be at least 21working days. However subsequent cheques should have
a gap of at least a month or a quarter depending upon the frequency chosen.

Advantages of Mutual Funds

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• Diversification: The best mutual funds design their portfolios so individual
investments will react differently to the same economic conditions. For
example, economic conditions like a rise in interest rates may cause certain
securities in a diversified portfolio to decrease in value. Other securities in the
portfolio will respond to the same economic conditions by increasing in value.
When a portfolio is balanced in this way, the value of the overall portfolio
should gradually increase over time, even if some securities lose value.

• Professional Management: Most mutual funds pay topflight professionals to

manage their investments. These managers decide what securities the fund
will buy and sell.

• Regulatory oversight: Mutual funds are subject to many government

regulations that protect investors from fraud.

• Liquidity: It's easy to get your money out of a mutual fund. Write a check,
make a call, and you've got the cash.

• Convenience: You can usually buy mutual fund shares by mail, phone, or
over the Internet.

• Low cost: Mutual fund expenses are often no more than 1.5 percent of your
investment. Expenses for Index Funds are less than that, because index funds
are not actively managed. Instead, they automatically buy stock in companies
that are listed on a specific index

• Transparency

• Flexibility

• Choice of schemes

• Tax benefits

• Well regulated

Drawbacks of Mutual Funds

Mutual funds have their drawbacks and may not be for everyone:
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• No Guarantees: No investment is risk free. If the entire stock market declines
in value, the value of mutual fund shares will go down as well, no matter how
balanced the portfolio. Investors encounter fewer risks when they invest in
mutual funds than when they buy and sell stocks on their own. However,
anyone who invests through a mutual fund runs the risk of losing money.

• Fees and commissions: All funds charge administrative fees to cover their
day-to-day expenses. Some funds also charge sales commissions or "loads" to
compensate brokers, financial consultants, or financial planners. Even if you
don't use a broker or other financial adviser, you will pay a sales commission
if you buy shares in a Load Fund.

• Taxes: During a typical year, most actively managed mutual funds sell
anywhere from 20 to 70 percent of the securities in their portfolios. If your
fund makes a profit on its sales, you will pay taxes on the income you receive,
even if you reinvest the money you made.

• Management risk: When you invest in a mutual fund, you depend on the
fund's manager to make the right decisions regarding the fund's portfolio. If
the manager does not perform as well as you had hoped, you might not make
as much money on your investment as you expected. Of course, if you invest
in Index Funds, you forego management risk, because these funds do not
employ managers

Reliance General Insurance, a part of the Reliance - Anil Dhirubhai Ambani Group
and a Subsidiary of Reliance Capital, is one of the first non-life companies to get the

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license from the IRDA. Reliance General Insurance is India's fastest growing general
insurance company and the top 3 private sector insurers.
Reliance General Insurance has 200 branches across 171 cities and over 20,000
intermediaries. Reliance General Insurance offers an exhaustive range of insurance
products that covers most risks including Auto, Health, Property, Marine, Casualty
and Liability. Insurance Indemnifies Assets & Income. Every Asset has a value and
generates Income to its Owner. There is a normally expected Life-time for the Asset
during which time it is expected to perform. If the Asset gets lost earlier, being
destroyed or made Non-functional through an Accident or other unfortunate event the
Owner is Prejudiced. Insurance helps to reduce CONSEQUENCES of such Adverse
Circumstances which are called Risks
• Insurance is the SCIENCE OF SPREADING OF THE RISK. It is the system
of spreading the losses of an Individual over a group of Individuals
• Insurance is a Method of sharing of financial losses of a FEW from a
COMMON FUND formed out of Contribution of the MANY who are equally
exposed to the same loss
• What is UNCERTAIN for an Individual becomes a CERTAINTY for a
Group. This is the basis of All Insurance Operations. Thus INSURANCE

• Individual Mediclaim Insurance Policy
• Group Mediclaim Insurance Policy

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• Oversees Travel Care Insurance Policy
• Reliance Health Wise Policy (inclusive of PED & Critical Illness) – NEW
- a specialized retail product

• Personal Accident Insurance (Individuals) Policy
• Group Personal Accident Insurance

• Standard Fire and Special Perils Policy
• Industrial All Risks Insurance Policy
• Consequential Loss (Fire) Insurance Policy

• Erection All Risks/Storage-cum-Erection Insurance Policy
• Contractor’s All Risks Insurance Policy
• Contractor’s Plant and Machinery Policy
• Machinery Breakdown Insurance Policy
• Machinery Loss of Profits Insurance Policy
• Boiler & Pressure Plant Insurance Policy
• Electronic Equipment Insurance Policy

• Marine Cargo Insurance Policy
• NEW - Marine Turnover based Policy
• NEW - Multi Transit Policy

• Private Car Comprehensive Insurance Policy

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• Directors and Officers Liability Insurance Policy
• Public Liability (Act) Insurance Policy
• Public Liability Insurance Policy
• Product Liability Insurance Policy
• Professional Indemnity Insurance Policy
• Workmen’s Compensation Insurance Policy


• Industry Care Insurance Policy
• Commercial Care Insurance Policy
• Office Package Insurance Policy
• Fidelity Guarantee Insurance Policy
• Burglary and Housebreaking Policy
• Money Insurance Policy
• Householder’s Package Insurance Policy
• Shopkeeper’s Package Insurance Policy

Reliance Shopkeeper’s package Policy

Key Advantage
• Comprehensive coverage against various perils spread across different
sections of the policy.
• The policy offers the flexibility to customize the policy by selecting
appropriate covers.
• The coverage is available at reasonably priced premiums.
• Insured has the option of selecting coverage either on the basis of market
value or the reinstatement value.
• Discounts ranging from 5% to 20% for customers opting for four or more
sections, for favorable claims experience and on renewal of the policy.

Scope of the cover

Coverage under this policy is spread across 11 optional sections, enabling you to
choose from them and customize the policy
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Section 1A. – Fire and allied perils for building

Section 2B. – Fire and allied perils for contents

The physical structure of your shop (under section 1A) and the contents therein (under
section 1B) can be covered against fire and allied perils. These comprise-
• Fire
• Lightning
• Explosion / implosion
• Aircraft Damage
• Riot, Strike and Malicious Damage
• Storm, Cyclone, Typhoon, Tempest, Hurricane, Tornado, Flood, and
• Impact Damage
• Subsidence and landslide including Rockslide demolition, construction,
structural alterations or repair of any property or ground works or excavations
• Bursting and / or overflowing of water tanks, apparatus and pipes.
• Missile testing operations
• Leakage from automatic sprinkler installations
• Bush fire
• Terrorism cover (optional)

Policy exclusions

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At reliance general insurance, we would like our policy to be as transparent as
possible. To ensure that you do not face any unpleasant surprises when you make a
claim, we would like you to know some of the major exclusions under the policy.
• Loss or damage due to war and nuclear perils
• Damage to property due to pollution and contamination
• Loss or damage due to wear and tear, gradual deterioration or slowly
developing flaws
• Consequential loss of any kind
• Willful act or gross negligence on the part of the insured

Other Services

 Money Changing (FFMC)

 Money Transfer (Western Union)
 Gold Coin retailing
 Provide sms facility to their customers

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We were supposed to operate from reliance money Nehru
place branch. We were made aware about all the products
Reliance Money was providing with a more stress on their core
product i.e. Demat account.

The time duration of the project is 2 months starting from
1 July and ending on 30 t h August. We were given targets to

be achieved during training months. The targets of each month


• 1Demat Accounts
• 1SIP or Mutual Fund worth Rs10,000
• Life Insurance Premium worth Rs1,00,000

I was supposed to use the database provided by the

company to make cold calls or by directly meeting people to
get new leads

The questionnaire used is attached in appendix A.1

While making cold calls, we need to have:

• Good Communication Skills (Voice quality is clear and


• Persistent and able to bounce back from rejection

• Good organizational skills.

• Ability to project a telephone personality (Enthusiasm,

• Flexibility: can adapt to different types of clients and
new situations.

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Fig6.1 The Constructive Factors of Tele

Using a good database is very essential.

“Eighty percent of our business comes from 20 percent of our
customers" is a frequent statement at any sales convention.
There's hardly a sales executive who is not aware of the 80/20

While talking to customers, I analyze their needs. Whether

they want to go for investment purpose or insurance or both.
Suggest them the plan that best suits them. If they agree to it
then either we send across the agents to close the deal or close
it themselves .

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Fig6.2 The Customers Sales

Problems faced while selling products:

• Customer dissatisfied with the services.
• People fear that Reliance Money Being a Private
company and a new entrant may be able to sustain or not.
• Insurance means LIC for people.
• Past experience, word of mouth.
• Misguidance by agents.
• People do not want insurance products.
• Lack of knowledge and awareness about general and life
• People risk appetite is very low, so they are afraid of
mutual fund as well.
• People relate the problems of mobile phones of Reliance
Communication with Reliance Money.

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Weakness Strength
• Inexperienced Staff • Co-operative and
• Low awareness due to lack Experienced Branch
of advertisement. Managers
• Lack of loyal clientage • Good Database
• Developing product. • Reliance Brand
• Low pricing
Opportunity Threat
• Untapped Market • Reach
• Increased spending power • Stiff competition from
• Changing Mindset of existing players in the
Customers market
• Unpredictable Sensex • Better products

Customer Acquisition Process

• Educate the prospects on the products and services.
• Customize the approach to each of the different
customers involved in the sales process.
• Establish a knowledge base for sales people, resellers
and partners.
• Ramp up the new salespeople more quickly and keep
them on road.
• Track the prospects as they move through the sales
• Harvest other types of information from your market to
help the company close business more quickly. The data
of the prospects can be used for research and
development purpose.
• Enabling the consistent flow of information to the
customer and encouraging feedback from them.

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• Helping the customers do the Financial Planning for

1. Cold Calling
• Voice and accent plays a major role.
• The right time to call a customer cannot be decided, as
the customer may in a different mood at the time of
• Time consuming

• G5

• Less success rate

2. Corporate
• Time consuming
• Contacts with higher authorities play a major role

• To get initial success in this field is very difficult.

Although the business generation becomes easier with
time as we serve more people who then get added up in
the loyal clientage. Thus time and service are two most
factors to get in this field.
• Also the corporate remains a very important segment
which gets business in bulk but retail cannot be ignored
which makes your business ticking.
• Customer remains in the pivotal position.

Ashutosh Kandwal
The most vital problem spotted is of ignorance. Investors should be made aware of the
benefits. Nobody will invest until and unless he is fully convinced. Investors should
be made to realize that ignorance is no longer bliss and what they are losing by not
Mutual funds offer a lot of benefit which no other single option could offer. But most
of the people are not even aware of what actually a mutual fund is? They only see it as
just another investment option. So the advisors should try to change their mindsets.
The advisors should target for more and more young investors. Young investors as
well as persons at the height of their career would like to go for advisors due to lack
of expertise and time.
The advisors may try to highlight some of the value added benefits of Mutual funds
such as tax benefit, rupee cost averaging, and systematic transfer plan, rebalancing
etc. these benefits are not offered by other options single-handedly. So these are
enough to drive the investors towards mutual funds. Investors could also try to
increase the spectrum of services offered.
Now the most important reason for not availing the services of advisors was spotted
was being expensive. The advisors should try to charge a nominal fee at the
beginning. But if not possible then they could go for offering more services and
benefits at the existing rate. They should also maintain their decency and follow the
code of ethics so that the investors could trust upon them. Thus the advisors should try
to attract more and more persons and turn them into investors and finally their clients.

Ashutosh Kandwal
Based on the above SWOT analysis and study of the available data I
have come to the following conclusions:
• All though relatively new entrants in the market, Reliance is slowly
but surely gaining a strong hold because it is finally able to grasp
the investment climate in Delhi. Secondly the branch managers at
all the branches are very knowledgeable with a lot of experience in
the financial markets so under their leadership can definitely
expand its base

• The entire workforce consists of mostly youngsters, which means

they can be encouraged and motivated to do good work because
they have a long way to go and most of them are eager to climb the

• Right now Reliance is at its nascent stage and will surely grab the
major market under its belt very soon like in other fields.

Huge investments taking place:

• The Stock Market has been very buoyant until now especially in
the past 3 years. This particular trend is very favorable because a
soaring SENSEX means higher returns, which encourages the
investors to invest their money in the market. Although in the past
3 months the market has shown very unpredictable trend and has
already lost over 1000 points.

• So in order to make the best the only thing required is to recruit

more field staff who should be trained in a proper way to get better

• In case of insurance, it requires push selling because people always

associate it with emergencies and unpleasant situations like death
and they don’t want to think about such situation let alone prepare

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for them, which means it requires a lot of conviction on part of the

Large untapped market:

• People have just opened up to the idea of ULIPs because till now
they knew only two kinds of insurance plans, endowment and term
plans so the concept of high returns with protection is very new to
them and slowly and slowly these are becoming popular so there is
a huge market waiting to be tapped.

• In the past few years there has been a tremendous inflow of funds
in the Indian market which has lead to the sky rocketing SENSEX.
In fact there has been a tremendous response from the investors not
only in shares but mutual funds as well. The Rs5700Cr infused in
the market through the Reliance Equity mutual Funds is an
example of the growing trust of investors who earlier shied from
such investments due to stock market fiascos like the Harshad
Mehta scam or the US64 disaster in which investors lost huge
amounts of money as well as their trust in financial instruments.

• With the FDI limits being relaxed, a lot of avenues will open up in
the insurance sector and insurance companies are expected to come
up with new plans with a great deal of customization and

Ashutosh Kandwal
By the Help of Manuals

• Reliance Money Report of 2007 & Internet.

By the help of Other Sources

• By the head’s and the consultant of the Reliance Money.

By the Help of Newspaper

• The Hindu Business Line

By the help of Websites

1. www. IRDAIndia.org.
2. www.Reliancemoney.com
3. www.insure2bsecure.com
4. www.google.com
5. www. Wikkipedia.com
6. www.webnewswire.com

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