My Internship Project

INTERNSHIP REPORT
ON
COMPANY OVERVIEW AT
MARWADI SHARES & FINANCE LTD.
Prepared By
KHYATI HARESH KHOKHARA
91700449007
Under the Guidance of
PROF. MONIKA MEHTA
FACULTY OF LIBERAL STUDIES
A Report Submitted to
Marwadi University in Partial Fulfillment of the Requirements for the

BBA(FM) Program at Faculty of Liberal Studies
June – 2019
MARWADI UNIVERSITY
Rajkot-Morbi Road,
Rajkot-360003, Gujarat, India
STUDENT DECLARATION
I hereby declare that this Internship Report titled INTERNSHIP REPORT ON

COMPANY OVERVIEW AT MARWADI SHARES & FINANCE LTD. submitted
by me to the Faculty of Liberal Studies, Marwadi University is a bonafide work
undertaken by me and it is not submitted to any other University or Institution for the
award of any degree diploma / certificate or published any time before.
Date: 10 / 06 / 2019
Place: Rajkot Signature of the student
Khyati khokhara
91700449007
Marwadi University, Rajkot Page I

COLLEGE CERTIFICATE
 Put this page blank

 Guide will issue it once he/she will approve your project
 Guide will provide you hard copy of certificate. At the time of binding, insert that
certificate and remove this blank page.
Marwadi University, Rajkot Page II

COMPANY CERTIFICATE
Marwadi University, Rajkot Page III

PREFACE
Summer training is the most vital part of a B.B.A (financial market) course, both as a link
between theory and actual industrial practices as well as an opportunity for hands on
experience in corporate environment. I therefore, consider myself fortunate to receive the
training in an esteemed organization viz. MARWADI SHARES & FINANCE LTD.
Yet the opportunity could not have been utilized without the guidance and support of
many individuals who although held varied position, but were equally instrument for
although completion of summer training.
Mr. Jitendra Tank and Mr. Jatin Chetta and also thanks to all my faculty members for
the kind and constantly supporting us. However, I accept the sole responsibility errors of
omission and would be extremely grateful to readers of this project report if they bring
such mistake to my notice.
KHYATI KHOKHARA
91700449007
Marwadi University, Rajkot Page IV

ACKNOWLEDGEMENT
I take the opportunity to express my gratitude to all the concerned people who have
directly or indirectly contributed towards completion of this project. I extend my sincere
gratitude towards MARWADI SHARES & FINANCE LTD. for providing the
opportunity and resources to work on this project.
I am extremely grateful to Mr. Jitendra Tank and Mr. Jatin Chetta, my mentor in
MARWADI SHARES & FINANCE LTD. for their guidance and invaluable advice
during the projects. Further I would like to lend my vote of thanks to Dr. Sunil Kumar
Jakhoria (Dean), Marwadi University, Prof. Paras Rughani (HOD), and my guide-
Prof. Monika Mehta whose insight encouraged me to go beyond the scope of the project
and this broadened me learning on this project.
Marwadi University, Rajkot Page V

EXECUTIVE SUMMARY
Marwadi Group was incorporated in 1992 with the vision of providing superior standards
of Financial Services focusing on professionalism, speed and ethics to a wider Corporate
Services in India and proposed to start its operations in the subcontinent & overseas.
Marwadi is a Gujarat based financial service group dealing in equities / commodities /
currencies broking and portfolio management services.
In the last 24+ years they have grown into a network of more than 95+ branches with a
740+ committed human assets and 1450+ sub brokers/authorized persons across India.
They have kept the faith of over 4.10 +lakhs investors and it's growing. After establishing
supremacy in Gujarat, they are now expanding nationwide and to fuel their growth plans
they have raised capital from UK-based investment companies.
Marwadi University, Rajkot Page VI

TABLE OF CONTENT
SR. NO PARTICULAR PAGE

NO.
1 INTRODUCTION AND HISTORY 1
2 VISION AND MISSION 19
3 ORGANIZATIONAL STRUCTURE 20
4 DEPARTMENTAL STUDY 22
4.1 Operational department 22
4.2 Finance department 24
4.3 Accounting department 28
4.4 Marketing department 29
4.5 Human Resource department 32
4.6 IT department 37
4.7 R & D department 38
5 SWOT ANALYSIS 39
6 OVERVIEW OF INDUSTRY 41
7 PORTER’S FIVE FORCE MODEL 47
8 LEARNINGS FROM INTERNSHIP 52

9 CONCLUSION 53
10 BIBLIOGRAPHY 54
Marwadi University, Rajkot Page VII

CHAPTER 1:- INTRODUCTION AND HISTORY
OF COMPANY
Introduction
“FINANCIAL MARKETS CHANGE OUR COMMITMENT TO YOUR FINANCIAL

WELL BEING DOES NOT”
MARWADI SHARES AND FINANCE LTD. was promoted in 1992 as a private limited
company and got it converted into public limited company in 2006.
It is a premier financial service provider with varied interest that include equity and
commodity trading, depositary participants, net based trading, portfolio management
services, insurance, etc. through various subsidiaries. Promoters of MSFL have more than 20
years of experience in the capital market.
Marwadi University, Rajkot Page 1

MSFL has its dominance in Gujarat and is having presence in other states of country also.
MSFL has raised capital from investment companies, namely ICGU limited and Caledonia
investment plc. This has resulted in total equity participation of about 31.83%.MSFL started
its journey by acquiring membership of NSE for cash market in1996. It later on entered in
derivatives market of NSE during 2000. During 2003,it entered into commodity market
operations by acquiring memberships of the Multi Commodity Exchange in India ltd (MCX)
and national commodity and derivatives exchange ltd (NCDEX) through a wholly owned
subsidiary, namely,
Marwadi commodity broker private ltd. (MCBPL). Thereafter in 2004, MSFL
acquired membership of BSE for cash and derivatives segment.
Company profile:
Name: MARWADI SHARES &FINANCE LTD.
Address: Marwadi Financial Plaza,

Nana Mava Main Road, Off 150 Feet Ring Road,
Rajkot-360001, Gujarat(India).
Establishment year: 1992
Managing Director: Ketan H. Marwadi
Form of organization: Private Limited Company

No. of employees: 800+
Business type: Services
No. of Branches 104+
No. of Investors 4.10 lakh +
E-mail id: inquiry@marwadionline.in
Phone: 02816192000, 02817174000
Website: www.marwadionline.com

The Company has trading and clearing membership of
 National Stock Exchange of India Ltd. (Equity, Derivatives, Currency, Derivatives and
Mutual Funds Online)
 Bombay Stock Exchange Ltd. (Equity, Derivatives, Currency Derivatives and Mutual
Funds Online)
The Company is Depository Participants of
 National Securities Depository Limited
 Central Depository Services of India Limited
Through our network of professional team members, this comprises of 800 employees across
104 branches. Our services and tools empower you, as our client to compete successfully in
the market and generate superior returns on your investments. Putting the interests of “You -
Our Valued Clients” first – every time, we have earned the trust of over 4.10+ lakh investors.
Services offered by MSFL:
 ONLINE TRADING
 DEMET SERVICES
 COMMODITIES & DERIVATIVES
 F&O DERIVATIVES
 MUTUAL FUNDS
 INSURANCE

PRODUCTS AND SERVICES
TO HEDGE AND TRADE YOUR INVESTMENT POSITIONS

GLOBALLY.
CURRENCY (FOREX)
TO CREATE AND GROW WEALTH.
EQUTIES
TO PROTECT YOUR INVESTMENTS AGAINST

VOLATILITY.
DERIVATIVES
TO DIVERSIFY YOUR PORTFOLIO AND GAIN EXPOSURE TO GLOBAL

MARKETS.

COMMODITY TRADING
TO TRADE AND TRACK YOUR INVESTMENTS IN REAL

TIME.
ONLINE TRADING
TO DIGITIZE ALL YOUR SECURITIES INVESTMENT.
DEPOSITORY SERVICES
TO INVEST IN CAPITAL MARKETS WITH A DISCIPLINED

APPROACH.
MUTUAL FUND DISTRIBUTION
FOR GAINING HIGHER RETURNS ON YOUR INVESTMENTS.

IPO DISTRIBUTION
TO MAKE SOUND INVESTMENT DECISIONS AND TARGET

MAXIMUM RETURNS.
CUTTING EDGE RESEARCH ADVICE
FOR INDIVIDUALS AND TRADERS WITH HIGH RISK

TOLERENCE.
MARGIN TRADING
A TOOL TO AVERT RISK HEDGE AND INCREASE

LIQUIDITY.
SLBM FACILITY
TO MAKE A BETTER RETIREMENT PLAN

NATIONAL PENSION SYSTEM (NPS)
TO FACILITITATE ONE STOP FINANCIAL

SERVICES POINT FOR OUR PERSPECTIVE CLIENTS
PAN CARD SERVICES

MSFL DEMAT ACCOUNT SCHEMES
FOR BEGINERS
 Basic service demat account (free scheme- no AMC)

1. Free upto holding value of Rs 50000
2. Investor with a holding value between Rs 50001 to Rs 200000 will have an AMC of
Rs 100 plus GST
3. This account will idealy suit you if you whant to open a zero balance demat account
or only wish to invest in IPOs
FOR RETAIL INVESTOR
 Regular demat scheme (M2)

1. Hold unlimited amount of securities without any restrictions in your demat account
2. Designed specifically for investors looking for limited AMC of Rs 250 plus GST
annualy
3. Most competitive scheme available in the brocking industry
4. No hidden charges a levied
 Lifetime non refundable scheme (scheme 99)

1. Most cost effective scheme for HNIs looking value for money preposition
2. Open lifetime account by payment of only Rs 999 + GST
3. Just make 1 yearly debit transaction in your demat account to keep your account
active
4. Incase your account turns inactive will charge Rs 100 + GST annualy

FOR HNI/ULTRA HNI INVESTOR
 Lifetime refundable scheme(scheme ML )

1. Open a lifetime demat account by paying just Rs 2550 + GST,we refund Rs 2250 if
and when you choose to close your account
2. Designed specifically for long term retail category investors
NETWORK OF MSFL
 800+ EMPLOYEES
 1450+ AUTHORIZED PERSONS IN INDIA
 PRESENCE ACROSS 200 CITIES, 3400 PIN CODES, 102 BRANCHES
 EACH BRANCH DELIVERS HASSLE- FREE OPERATIONS FOR A BETTER
CUSTOMER SERVICE.
FINANCIAL HIGHLIGHTS
 BROKING BUSINESS
 NEW INVESTORS ACCOUNT ADDED

50000
45000
40000
35000
30000
25000
20000
15000
10000
5000
0
2015-16 2016-17 2017-18
NEW DP ACCOUNT
YEAR DP ACCOUNTS
ADDED
2015-16 10496
2016-17 29011
2017-18 43910

50000
45000
40000
35000
30000
25000
20000
15000
10000
5000
0
2015-16 2016-17 2017-18
NEW TRADING ACCOUNT ADDED
YEAR TRADING ACCOUNT ADDED

2015-16 11215
2016-17 29021
2017-18 44396

DISTRIBUTION BUSINESS
 IPO
NO OF IPOs PARTICIPATED
60
50
40
30
NO OF IPOs PARTICIPATED
20
10
0
2015-16 2016-17 2017-18
YEAR NO OF IPOs PARTICIPATED

2015-16 38
2016-17 40
2017-18 53

TOTAL AMOUNT MOBILIZED
1400
1200
1000
800
TOTAL AMOUNT MOBILIZED

600
400
200
0
2015-16 2016-17 2018-19
YEAR TOTAL AMOUNT MOBILIZED (IN Cr)

2015-16 118.35
2016-17 548.68
2017-18 1289.38

HISTORY AND MILESTONES
Marwadi group was incorporated in 1992 with the vision of providing superior standards of
financial services focusing on professionalism, speed and ethics to wider corporate services
in India and proposed to start its operations in the subcontinent& overseas. The foundation is
on “values” systems- “value” addition to corporate, retails and HNI individuals through
superior wealth creation practices. All actions are based on stringent “values”- integrity,
confidentiality & commitment. “True value” for money through a holistic business practices.
Finally, “value” for client satisfaction, predominates our relationship criteria.
Marwadi shares and finance limited (MSFL) is a leading financial services provider based in
Rajkot, Gujarat. The company was promoted in 1992 as a private limited company and got it
converted into public limited company in 2006. It is a premier financial service provider with
varied interest that include equity and commodity trading, depositary participants, net based
trading, portfolio management services, insurance, etc. through various subsidiaries.
Promoters of .MSFL have more than 20 years of experience in the capital market. MSFL has
its dominance in Gujarat and is having presence in other states of country also.
MSFL has raised capital from investment companies, namely ICGU limited and Caledonia
investment plc. This has resulted in total equity participation of about 31.83%.
MSFL started its journey by acquiring membership of NSE for cash market in 1996. It later
on entered in derivatives market of NSE during 2000. During 2003, it entered into
commodity market operations by acquiring memberships of the multi commodity exchange
in India ltd (MCX) and national commodity and derivatives exchange ltd (NCDEX) through
a wholly owned subsidiary, namely,. Marwadi commodity broker private ltd. (MCBPL).
Thereafter in 2004, MSFL acquired membership of BSE for cash and derivatives segment.

MILESTONES:
The major achievements of Marwadi Shares & Finance Ltd- as a leading retail
broking house in India are:
In 1992, Marwadi Shares & Finance Pvt. Ltd.

was incorporated by first generation
Entrepreneurs shri Ketan Marwadi, shri
Sandeep Marwadi and Shri Deven
Marwadi.
became a corporate member of National Stock
Exchange of India (NSE).

became a member of Saurashtra Kutch Stock
Exchange (SKSE).

launched Depository Services of Depository
Participant under National Security
Depository Ltd.(NSDL)
commenced derivative trading after obtaining
registration as Clearing & Trading Member in
NSE.

 In 2003, Marwadi commodity broker
Pvt. Ltd. became a corporate member
of National Commodity & Derivatives
Exchange of India Ltd.(NCDEX)
 Marwadi commodity broker Pvt. Ltd.

became a corporate member of the
Multi Commodity Exchange of India
Ltd. (MCX)
In 2004, MSFPL launches Depository
Services of Depository Participant under
Central Depository Services(India) Ltd.
In 2005, MSFPL launches its first online

trading platform on desktop and web based.
In 2006, MSFPL converted to limited co. The

Company raised private equity from India
Capital Growth Fund. (ICGF)
In 2007, MSFL Attracted Private Equity

Investment from Reputed investors of
Caledonia & ICGI.

In 2008, MSFL Adjudged the fifth largest
broking house by Dun & Bradstreet.
In 2009, Marwadi Commodity Broker Pvt.

Ltd. Become member of NSEL.
 In 2010, MSFL Registered as pop for

NPS (New Pension Scheme)
introduced by Government of India.
 MSFL Launched new Schemes of
PMS.
 MSFL increased its prominence

significantly in institutional Broking
and capital market deals.
In 2011 MSFL launches its first mobile
trading application.
 In 2017, MSFL launches latest

application ‘MSFL connect’ the latest
mobile trading application.
 MSFL launches ‘Marwadi Click’ the
latest web based trading platform.
 Marwadi Group completes 25 years in
the financial service Business.
 MCBPL has taken membership of
ICEX in 2017.

AWARDS AND RECOGNITIONS
1. Best performer (guj.region) market achievers award 2017

2. NSDL star performer awards 2016
3. MSFL awarded for contribution to CDSL 1 crore demat account 2015
6. Worldwide achievers business leadership awards 2013
7. BSE top performer in equity segment (retail) since 2010
8. Top performing members certificate of appreciation (2014)
10. Saurashtra ratna award contribution in financial services

CHAPTER:-2. VISION AND MISSION OF
COMPANY
VISION AND MISSION
Vision:
“Providing superior standards of financial services, focusing on professionalism, speed&

ethics to a wider corporate service in India & proposed to start its operation in the sub-
continent & overseas”
Mission:
“To be a world class services provider by arranging all conceivable financial services
under one roof at affordable cost through cost effective delivery system, and to achieve the
organic growth of business by adding newer lines of business “

CHAPTER:-3. ORGANIZATION STRUCTURE:
ORGANISATIONAL STRUCTURE
Managing Director
[Mr. Ketan H. Marwadi]
CFO-FIN & A/C JT-VP-DP, Banking & Operation CCO &CS-AUD & COMP.
[Mr. Sanjay H. Thakrar] [Mr. Arvind A. Gamot] [Mr. Tushit G. Mangukiya]
JT VP-FIN & A/C SR. MANAGER -AUD &

COMP.
[Mr. Suresh S. Vinchhi & Mr. Jayant L.
Vithlani] [Mr. Jatin B. Vora]
Whole time Director
[Mr. Sandeep H. Marwadi]
CTO-IT-NETWORK
[Mr. Lakhan A. Bambhania]
Whole time Director
[Mr. Deven H. Marwadi]
AVP-COLLECTION
[Mr. Bhargav J. Pathak]

Whole time Director
[Mr. Jeet K. Marwadi]
SR. VP-BUS DEVP (2) REGIONAL HEAD

SAURASHTRA
[Mr. Haresh I. Maniar]
Head of Distribution (2) REGIONAL HEAD

GUJARAT
[Mr. Samir Shah]
MANAGER – DISTRIBUTION
LEAD SOFT. DEV. - SYSTEM JNT.

[Mr. – SYSTEM
VPPramit Shah]
[Mr. Suresh Waghchaure] [Mr. Laxman A.( Bambhania]
CTO-IT-NETWORK AVP-IT-NETWORK
[Mr. Laxman A. Bambhania] [Mr. Bharatbhushan V. Arora]
AVP - RESEARCH
[Mr. Krushnakant G]
MANAGER CUSTOMER
SUPPORT
AVP – SUR. & RMS [Mr. Vinod V. Rathod]
[Mr. Tushar Vyas] AVP-DP FRONT & CLEARING SETTLEMENT [Mr.
MANAGER - IBT Hasmukh J. Pipaliya]
[Mr. Sushil Nuk] SR MANAGER – DP BACK [Mr. Rajiv R. Bhatt]

SR MANAGER – OPERATION [Mr. Akshay R. Dave]
SR MANAGER - TRAINING
SR MANAGER – DISPATCH [Mr. Mansukh H. Viradia]
[Mr. Jitendra Tank]
CO OPERATION SR MANAGER – KYC [Mr. Jatin Chetta]
[Mr. Durga prasad SR MANAGER – STORE [Mr. Jayantilal P. Sardhara]

Mohapatra]

CHAPTER:-4. Departmental study
4.1. Operational Department
Over a period of over a decade existence, MSFL has cultivated credibility and
customer faith. Wherever it has been, people associated its name with
forthrightness and promptitude in dealings. This pre-occupation is seen in its systems
and process, which are designed to ensure total integrity of operations. Their in-house
back office software has many built-in alerts, flashes and background processes to
protect customer's financial interest. Total activities are classified into three levels (a)
Operator Level (b) Supervisor Level (c) Administrator Level.
 At each level they have a detailed list of rights and obligations. Every employee is
assigned to one of the three levels depending upon his/her position in the
organization's hierarchy. What is carried out-at-operator level has to be verified
and confirmed at supervisor level.
 Once verified and confirmed it becomes a transaction. The administrator has a
right to look over at the activities at any level in the organization. Administrator
alone can vary the level assigned to a particular employee.
 Another feature of our system is that a log is maintained of each activity to which
we can refer to find out who carried out which activity and when. This puts the
onus completely on the person who carries out the activity. The idea is unstinted
and uncompromising probity of transactions carried out at all levels in the
organization.

COMPLIANCE AND AUDIT:
The main work of this department is to;
 Know the client related activities (KYC department)

 Sub- broker / remised registration activities
 ID activation and deactivation
 Other statutory compliance
COLLECTION DEPARTMENT:
The task regarding collection is done in front office. As name suggest here, different
collections are collected regarding accounting opening fees, demat charges, etc. This
department has direct access to clients regarding trade collection.

4.2 Finance Department
Finance is regarded as life blood of any business organization. Finance is a
productive wealth business organization cannot produce goods and services
without finance.
Revenue
The main source of revenue for Marwadi Group is brokerage charges. Revenue is
given at every quarter to sub brokers.
Other source of revenue:
 Mutual Fund entry fees and exit fees
 Commission on IPO
 Trade charges and scheme of demat
 Minimum 0.06% brokerage for direct client for intraday per unit
 Minimum 0.30% in delivery per unit
 Service tax on brokerage
 Transaction charges 10.30%
Deposits
 Trading A/C : Rs. 10000
 Sub broker : Rs. 100000 for NSE
 Rs. 100000 for BSE
Expenditure
Two types of expenditures
 Capital Expenditure

 Revenue Expenditure
Major Expenditures
 STC (Security Transaction Charges)

 Rs. 0.06 for intraday
 Rs. 0.30 for delivery on sale side
DP DEPARTMENT
The concept of Depository Participant came in India in 1996 and on national level
stock exchanges started settlement in demats form in the year 1999. So it became
compulsory for each and every broking client to have a demat account for this
obligation in trading.
Depository Participant addresses the needs of retail investor clients of Gujarat.
Marwadi were the first corporate DP in Saurashtra. Marwadi is one of the big
players in depository participant market. Marwadi has more than 25000 clients. In
this department mainly 23 employees are working under him. Balance inquiry,

DRF, receipt of trade and forms for opening or closing of demat account are being
TRADING DEPARTMENT
According to SEBI rules, it is advisable to open trading account. An investor can open
trading account in any depository. As per the guidelines prescribed, partnership firm &
corporate body cannot open their trading account. Marwadi has different segments to
facilitate the transactions related to trading. To open trading account anyone must have to
follow the specific procedure which is as follows.
DIFFERENT SEGMENT
 Direct Client (All Segment)

 Authorized Person’s Client (Derivatives Segment)
 Sub Broker Client (Cash Segment)

COMMODITY DEPARTMENT
 Commodity trading focuses on purchasing and selling of commodities and its futures.
 Commodities can be classified in 4 categories, i.e base metal, energy,bullion and
agricultural products.
 Popular way to invest in commodities market is through a futures contract.
Why invest in commodities with MSFL?
 MSFL serves its commodities market clients through its subsidiary, Marwadi
Commodity Broker Pvt. Ltd. (MCBPL)
 MCBPL provides sound global commodities information and knowledge along
with local expert market knowledge to make better hedging decision in the
commodity market.
 Trade in bullion, metals, energy, agro and other commodities on NCDEX, NSEL,
ACE,MCX.
 Platform for physical delievery of agricultural and other commodity products.
 Trading facality available across all platforms- desktop,web,mobile and tablet.
MUTUAL FUND AND IPO DEPARTMENT:

A Mutual Fund is a trust that pools together the investor’s money into one fund
and invests the money either into equity fund or in debt fund to share a common
financial goal. Here, activities related to mutual fund takes place. They provide
necessary guidance to customers about investment in Mutual Fund and also inform
about procedures of investing in Mutual Funds. MSFL is corporate agent of Birla
Sun life, ICICI, Franklin and TATA Mutual Funds.
CLEARING AND SETTLEMENT

This department is like a mediator between clients and exchange. Clients can debit
or credit bill here. All other transactions regarding billing of NSE and BSE are
done here.

4.3 ACCOUNT DEPARTMENT
The company is providing services for trading in shares and derivatives products
to its clients at Rajkot office &from its branches The clients place order for buy
/sale of shares & such transaction are executed on the trading terminals situated at
the office of the company .All terminals are connected through v-sets leased lines
etc. & at the end of the day, bills etc. For all trade are prepared. The bills are
prepared at Rajkot only & are dispatched to the clients at the same day.
Each & every expenses is mentioned under specific head only. The main books of
account which they maintain as per the requirement u/r various acts register of
transaction suda book client ledger, general ledger , journals, cash book, bank
book, margin deposit book, register of accounts and all the accounting records.
The company is maintaining serially numbered bills for all the clients at Rajkot.
As per SEBI’s directives, clients are provided with contract notes cum bills on
serially numbered Sequencely. Presently company is providing services through
total 30 Branches situated within the country. Marwadi`s authorized capital is
increased to 25 cr. from 10 cr.

4.4 MARKETING DEPARTMENT
“Marketing is the art of selling and services,”
“Marketing is the social and managerial process by which individual and groups
obtain what they need and want through creating, offering and exchanging
products of value with others.”
Product:
A product is a bundle of physical services and symbolic particular expected to
yield satisfactory benefits to the buyers. A product should be considered as a
bundle of utility consisting of various features and accompanying services. A
product is a complex of tangible and non-tangible attributes.
Services offered by MSFL:
o Demat
o Depository services
o Commodity trading
o Derivative trading
o Mutual fund
o Portfolio management services
o Online trading
o Research based information
o Insurance
o Pan card

MARKETING OF MUTUAL FUND
sssWhat does mutual sell? Really speaking, they do not sell anything tangible or
intangible. This does seem confusing. Banks sell their products based on certain assured
returns ,insurance companies sell contracts. Not so with mutual funds. They mobilize funds
from the investing public to manage those funds efficiently, i.e. they create an expectation of
good returns in the minds of investors and generate a desire in them to put their money with a
particular fund. Thus, there is a clear distinction between company shares and mutual fund
units.
MARKETING STRATEGIES/ CHANNELS FOR MUTUAL FUND:
 The marketing strategies of mutual fund products can be divided into following
heads;
 Direct marketing
 Selling through intermediaries
 Other channels
 Direct marketing:
It constitutes 20% of the total sales of mutual funds. Some of the important tools
used in this type of selling are;
Personal selling
Telemarketing
Advertisement

Selling through intermediaries:
Intermediaries include distributers or agents or broker who contribute in great manner to

increase the sales of mutual funds schemes. These peoples or distributors are in direct touch
with the investors. Regular meeting with distributors also plays a vital role in collecting the
sales of mutual finds
The sales executives regularly meet these distributors and solve their requirements and
complain from either services side or from customer side. The objective is to make a good
business relation and work with co-operation because this distributors or brokers contribute
70-80% of total sales of mutual funds.
Other channels:
Apart from direct marketing and intermediaries, there are other distribution channels also
developed by mutual funds. It includes banks and other financial institutions who are
promoting these mutual funds schemes as per the regulations prescribed by SEBI & RBI. In
private as well as nationalized banks, there is a separate section of mutual funds. They have
their own executives with efficient sales force to promote the mutual fund schemes among
their customers.
Nowadays, mutual fund companies also set up their own professional distribution units to
promote the mutual fund schemes and with an object to expand the e business.

4.5. Human Resource Department
Introduction
Today the success of any business is widely dependent upon its human resource. In present
era where all companies have enough amounts of resources at that time, human resource
plays main role to pull an organization toward success.
Today in any financial institution right person at the right place becomes necessary. So
MSFL has decided different strategies for recruitment, training & development, promotion or
any kind of transfer or demotion. Everything is predecided and accordingly any decision is
taken. Up till now recruitment was not depended on any specific criteria, but after
recruitment training was given to employees according to their designations. But now it has
been decided that each and every employee before recruited, should have to clear all the
examination related to different areas like DP, capital market, derivatives related exam etc.
and further it has been decided that no new employment will be done without passing all the
examination so on the basis of score placement will be done.
Organization of H. R. Department
The internal organization or structure of the personnel department varies widely in different
companies, depending upon that size. For example in small companies personnel functions
are discharged by line executives. But in the large company, where personal activities are
generally of a complex nature, a separate department is organized for the purpose which is
called HR DEPARTMENT as in MSFL
The organization structure of HR Department of this company is as follows,
 Personnel
 Administration

 Human resource
Personnel Department:
Personnel management performs one of the major roles, which is primarily concerned with
human constituents of an organization. The principal component of an organization is its
“human resources” or “people at work”. Human resource can be differentiated on the basis
of skills, attitudes, talents, and knowledge. Here the MSFL understands the importance of
human resource so they have separate department called “PERSONNEL DEPARTMENT”.
Here the activities like recruitment, selection, gratuity, pf, and bonus are handled. For
selection and recruitment they use both the sources i.e. internal source and external source.
To recruit an employee within organization MSFL give promotion to the employee or

transfer to other place. But if MSFL has to select from outside then they follow the
traditional channel for recruitment and selection.
Administration Department
The main objective or function of department is to give knowledge about work to be done by
an employee. For that they have arranged different types of examination as per requirements.
These types of examination are one of the strong tools for the motivation because it helps
both, MSFL as well as employees. From the point of view of MSFL, they get more qualified
and educated employees and on the other side the employee gets increment in salary.

Human resource
Here the activities like training, performance appraisal improvement in employees,

developing organizational culture are performed.
To tackles the problems such as high turnover ratio, less productivity, negative attitude they
prepare very unique techniques for training.
For training purpose they have adopted different techniques. Here they are providing two
types of training.
 On the Job Training

 Off the Job Training
To give job related training, they provide on the job training and this type of training is
provided by supervisors & subordinates. For off the job training they consult other company
named as ethos management. By providing training HR department has been able to create a
good and healthy environment and through such an environment they have been able to set
up a good organization culture and because of organization culture employees attitudes
towards their work, place and its position. The human resource departments serve as a link
between management and employees. Human resource development at MSFL mainly performs the
following functions:
 HR policies
 Salary and composition
 Employee training
 Employee recreation
 Motivational activities
 Administrative functions

RECRUITMENT
Recruitment is the process to discover the sources of manpower to meet the requirement of
the staffing schedule and to effective measure for attracting that manpower in adequate
numbers to facilitate effective selection of an efficient work force.
Recruitment in Marwadi is done mainly through following sources;
Internal reference
 Campus placement
 Advertisement
 Employment fair and Consultancies.

SELECTION
After application of number of employees, they are secured through different method to
recruitment. The selection procedure is concerned with securing relevant information about
applicant.
PLACEMENT
Once a candidate has been selected he is placed on a job for which he was selected. Thus
placement means entrusting the proper job to the employee who is selected for it.
Placement is the responsibility of the superior or colleague with whom the employee has to
work. The human resource department should monitor the right placement so that the new
entrant settles down satisfactory in the work place.

4.6. IT DEPARTMENT
 IT Software:
As MSFL is engaged in shares related activities, it becomes necessary to have
different software for all different purposes like trading and price listing, data
entry and so on. Such procedures become easy and time saving by the help of
Software. In this department new softwares are made and old software’s are
modified as well.
 Hardware:
Computers are joined with the networks of MSFL and all branches only. All
works related to hardware is handled in this department. If the printers are not
working, if there is any problem with CPU or any such problems which becomes
a barrier in work related with electronics are solved by the people at this
department.

4.7 RESEARCH AND DEVELOPMENT DEPARTMENT
This is the department where we can see the brains and experts of MSFL. They
provide the best findings which helps the clients in taking decision. Here, researchers
do technical analysis and fundamental analysis of the market and also provide
information regarding future trends.

CHAPTER:-5 SWOT ANALYSIS
SWOT Analysis is one of the tools to measure company performance. A firm has try to
develop its weak areas, retain its strengths, look for new opportunities with considering
competitor’s upcoming strategies, that is what SWOT is all about.
S-Strengths: characteristics of the business that give it an advantage.

W-Weaknesses: characteristics that place the business at a disadvantage relative to others
O-Opportunities: elements that the business could exploit to its advantage
T-Threats: elements in the environment that could cause trouble for the business.
SWOT analysis is an important tool for auditing the overall strategic position of a business
and its environment.
5.1 STRENGTHS
o Vast area of services.
o Experience and professional management at executive levels.
o Good incredibility in market.
o Well established and continuously expanding geographical footprints.
o Adoption of technology-screen based trading.
o An integrated financial service platform.
o Well designed culture and discipline staff.
5.2 WEAKNESSES
o Depend on market situation.
o Lack of proper communication.
o Requirement of more skillful workers.
o They Need to update their technology in case of IPOs.

o Compliance with strict rules and norms by government and SEBI.
5.3 OPPORTUNITIES
o To be an ideal broking service.
o Great opportunities in insurance sectors.
o Economy is still growing at healthy rate leading to investment.
o Proactive and progressive nature of Indian brokerage industry.
o Huge market opportunity for wealth management service providers as Indian wealth
management business is transforming from mere wealth safeguarding to growing
wealth.
o To be a good finance services provider firm.
5.4 THREATS
o Uncertainty of stock market.
o International and Domestic Competitors.
o Carelessness of clients may prove a looser of a business
o Fluctuations in government policies.
o Political framework,
o Secure against any threat or hazards to the security or integrity of authentic
information.

CHAPTER:-6 OVERVIEW OF INDUSTRY &
MAJOR PLAYERS
6.1 Overview of the industry
The Indian retail brokerage industry consists of companies that primarily act as agents for the
buying and selling of securities (e.g. stocks, shares, and similar financial instruments)
It has two main interdependent segments: Primary market and the Secondary market.
Evolution of the Indian Brokerage Market
The Indian broking industry is one of the oldest trading industries that had been around even
before the establishment of the BSE in 1875. Despite passing through a number of changes in

the post liberalization period, the industry has found its way towards sustainable growth. The
evolution of the brokerage market is explained in three phases: pre1990, 1990-2000, post
2000.
Early Years
The equity brokerage industry in India is one of the oldest in the Asia region. India had an
active stock market for about 150 years that played a significant role in developing risk
markets as also promoting enterprise and supporting the growth of industry.
The roots of a stock market in India began in the 1860s during the American Civil War that
led to a sudden surge in the demand for cotton from India resulting in setting up of a number
of joint stock companies that issued securities to raise finance. This trend was akin to the
rapid growth of securities markets in Europe and the North America in the background of
expansion of railroads and exploration of natural resources and land development.
Bombay, at that time, was a major financial centre having housed 31 banks, 20 insurance
companies and 62 joint stock companies.
In the aftermath of the crash, banks, on whose building steps share brokers used to gather to
seek stock tips and share news, disallowed them to gather there, thus forcing them to find a
place of their own, which later turned into the Dalal Street.
A group of about 300 brokers formed the stock exchange in Jul 1875, which led to the
formation of a trust in 1887 known as the “Native Share and Stock Brokers Association”. A
unique feature of the stock market development in India was that that it was entirely driven
by local enterprise, unlike the banks which during the pre-independence period were owned
and run by the British.
Following the establishment of the first stock exchange in Mumbai, other stock exchanges
came into being in major cities in India, namely Ahmedabad (1894), Calcutta (1908), Madras
(1937), Uttar Pradesh and Nagpur (1940) and Hyderabad (1944). The stock markets gained

from surge and boom in several industries such as jute (1870s), tea (1880s and 1890s), coal
(1904 and 1908) etc, at different points of time.
Beginning of a new equity culture
A new phase in the Indian stock markets began in the 1970s, with the introduction of Foreign
Exchange Regulation Act (FERA) that led to divestment of foreign equity by the
multinational companies, which created a surge in retail investing. The early 1980s witnessed
another surge in stock markets when major companies such as Reliance accessed equity
markets for resource mobilization that evinced huge interest from retail investors.
A new set of economic and financial sector reforms that began in the early 1990s gave
further impetus to the growth of the stock markets in India. As a part of the reform process, it
became imperative to strengthen the role of the capital markets that could play an important
role in efficient mobilization and allocation of financial resources to the real economy.
Towards this end, several measures were taken to streamline the processes and systems
including setting up an efficient market infrastructure to enable Indian finance to grow
further and mature.
The importance of an efficient micro market infrastructure came into focus following the
incidence of market abuses in securities and banking markets in 1991 and 2001 that led to
extensive investigations by two respective Joint Parliamentary Committees.
The Securities and Exchange Board of India (SEBI), which was set up in 1988 as an
administrative arrangement, was given statutory powers with the enactment of the SEBI Act,
1992. The broad objectives of the SEBI include
 to protect the interests of the investors in securities

 to promote the development of securities markets and to regulate the securities
markets
The scope and functioning of the SEBI has greatly expanded with the rapid growth of
securities markets in India in the last fifteen years.

Following the recommendations of the High Powered Study Group on Establishment of New
Stock Exchanges, the National Stock Exchange of India (NSE) was promoted by financial
institutions with an aim to provide access to investors all over the country. NSE was
incorporated in Nov 1992 as a tax paying company, the first of such stock exchanges in
India, since stock exchanges earlier were trusts, being run on no-profit basis.
NSE was recognized as a stock exchange under the Securities Contracts (Regulations) Act
1956 in Apr 1993. It commenced operations in wholesale debt segment in Jun 1994 and
capital market segment (equities) in Nov 1994. The setting up of the National Stock
Exchange brought to Indian capital markets several innovations and modern practices and
procedures such as nationwide trading network, electronic trading, greater transparency in
price discovery and process driven operations that had significant bearing on further growth
of the stock markets in India.
The Depositories Act 1996 was passed that allowed for dematerialization (and
rematerialization) of securities in depositories and the transfer of securities through electronic
book entry. The National Securities Depository Limited (NSDL) set up by leading financial
institutions, commenced operations in Oct 1996. Regulations governing selection of various
types of market intermediaries as depository participations were made. Subsequently, Central
Depository Services (India) Limited promoted by Bombay Stock Exchange and other
financial institutions came into being.
Rapid Growth
The last decade has been exceptionally good for the stock markets in India. In the back of
wide ranging reforms in regulation and market practice as also the growing participation of
foreign institutional investment, stock markets in India have showed phenomenal growth in
the early 1990s.
Foreign institutional investment in Indian stock markets showed continuous rise reaching
about USD10 in each of these years between FY04 to FY06. Stock markets became
intensely technology and process driven, giving little scope for manual intervention that has
been the source of market abuse in the past. Electronic trading, digital certification, straight

through processing, electronic contract notes, online broking have emerged as major trends in
technology.
Risk management became robust reducing the recurrence of payment defaults. Product
expansion took place in a speedy manner. Indian equity markets now offer, in addition to
trading in equities, opportunities in trading of derivatives in futures and options in index and
stocks. ETFs are showing gradual growth. Within five years of introduction of derivatives,
Indian stock markets now are ranked first in stock futures and fourth in index futures. Indian
stock markets are transaction intensive and thus rank among the top five markets in this
regard. Stock exchange reforms brought in professional management separating conflicts of
interest between brokers as owners of the exchanges and traders/dealers.
The demutualization and corporatization of all stock exchanges is nearing completion and the
boards of the stock exchanges now have majority of independent directors. Foreign
institutions took stake in India’s two leading domestic stock exchanges.
6.2 MAJOR PLAYERS IN THE INDUSTY
1. ICICI Web Trade Ltd.
2. Kotak Securities Ltd.
3. India bulls
4. HDFC Securities

5. Angel Broking Ltd.
6. Share khan

CHAPTER:-7 PORTER'S FIVE FORCE
MODEL ANALYSIS OF INDUSTRY
Porter's five forces analysis is a framework for the industry analysis and business strategy
development developed by Michael E. Porter of Harvard Business School in 1979. It uses
concepts developed in Industrial Organization (IO) economics to derive five forces which
determine the competitive intensity and therefore attractiveness of a market.
Attractiveness in this context refers to the overall industry profitability. An "unattractive"

industry is one where the combination of forces acts to drive down overall profitability. A
very unattractive industry would be one approaching "pure competition". Porter referred to
these forces as the micro environment, to contrast it with the more general term macro
environment. They consist of those forces close to a company that affect its ability to serve
its customers and make a profit. A change in any of the forces normally requires a company
to re-assess the marketplace. The overall industry attractiveness does not imply that every
firm in the industry will return the same profitability. Firms are able to apply their core
competences, business model or network to achieve a profit above the industry average.

The five forces model relevant to the Indian brokerage industry
7.1 THREAT OF NEW ENTRANTS

Profitable industries that yield high returns will attract new firms. New entrants eventually
will decrease profitability for other firms in the industry. Unless the entry of new firms can
be made more difficult by incumbents, abnormal profitability will fall towards zero, which is
the minimum level of profitability required to keep an industry in business.
 Entry of Foreign Players
New forms of trading including T+2 settlement system, dematerialization etc are
strengthening the retail brokerage market and attracting foreign companies to enter the Indian
industry.

7.2 The Bargaining Power of Customers
The bargaining power of customers is also described as the market of outputs: the ability of
customers to put the firm under pressure, which also affects the customer's sensitivity to price
changes. Firms can take measures to reduce buyer power, such as implementing a loyalty
program. Buyers' power is high if buyers have many alternatives. It is low if they have few
choices.
Potential factors: Buyer switching costs.

Buyer information availability.
Availability of existing substitute products.
 Lack of Expertise Curtails Bargaining Power
Retail investors often lack the knowledge and expertise in the financial sector that calls
them to approach the broking houses.
 Low Product Differentiation Proves Beneficial

The retail broking services provided by the various companies is homogeneous with very
low product differentiation. This allows customers to enjoy a greater bargaining power.
7.3 The Bargaining Power Of Suppliers
The bargaining power of suppliers is also described as the market of inputs. Suppliers of raw
materials, components, labour, and services (such as expertise) to the firm can be a source of
power over the firm when there are few substitutes.
Potential factors:
 Degree of differentiation of inputs
 Impact of inputs on cost and differentiation

 Presence of substitute inputs
 Strength of distribution channel
 Increased Dependence on IPOs

There is a growing dependence of corporate on broking houses with the rising number of
IPO’s coming to the market.
7.4 The Intensity of Competitive Rivalry

For most industries the intensity of competitive rivalry is the major determinant of the
competitiveness of the industry. Having an understanding of industry rivals is vital to
successfully market a product. Positioning pertains to how the public perceives a product
and distinguishes it from competitors. A business must be aware of its competitors
marketing strategy and pricing and also be reactive to any changes made.
 Move towards consolidation

Lot of brokerage companies are moving towards consolidation with the smaller ones
becoming either franchisees for the larger brokers or closing operations.
 Increased Focus of Banks in Retail Broking

Various foreign banks like ABN Amro and others are planning to enter the Indian retail
brokerage industry.
 Online Trading Competes with Traditional Brokerage

There is an increasing demand for online trading due to consumer’s growing preference
for internet as compared to approaching the brokers.

7.5 The Threat Of Substitute Products
A substitute product uses a different technology to try to solve the same economic need.
Potential factors:
 Buyer propensity to substitute.
 Relative price performance of substitute.
 Alternative investment option

Various alternative forms of investment including fixed deposits with banks and
post offices etc act as substitutes to retail broking products and services. Now,
even various banks provide similar type of services. They also give the same
service of portfolio management and wealth management.

CHAPTER:-8 LEARNING FORM INTERNSHIP
 Contribution is sacrifice of comfort to learn and I during my summer internship

project have learned a lot.
 I feel more comfortable with people to talk about work related topic.
 I found out clarity in voice and softness in tone is more effective
 I feel more confident in conveying and convincing
 I found my self more able then before and most important is now I know HOW
 I have developed platform to represent or to sell
 Clarity in my vision has enhanced.
 In future I want to further develop my people skill

CHAPTER:-9 CONCLUSION
It has been a great experience of the company training at Marwadi Shares and Finance Ltd.
On the basis of my study, following aspects can be concluded;
 MSFL is a highly professional and successful broking company with excellent

infrastructure facilities, user-friendly trading and back-office applications and
systems, high professional human capital and efficient management.
 The company has strength like well designed culture and disciplined staff, good
incredibility in the market, vast area of services, skilled employees etc
 It also has some weakness like dependence on market situation, compliance with
strict norms sent by SEBI and government.
 I had observed that all the staff members and workers are working in a coordinated
manner and diversifying their efforts towards a decided target.

CHAPTER:-10 BIBLIOGRAPHY
The following are the sites which I have taken as reference for preparation of my project.
https://www.marwadionline.com
http://www.mcxindia.com/
http://www.ncdex.com/
MM philop kotler
HRM K. Ashwathhapa
FM MY Khan, PK Jain

My Internship Project

Загружено:

Сведения о документе

Оригинальное название

Авторское право

Доступные форматы

Поделиться этим документом

Поделиться или встроить документ

Параметры публикации

Этот документ был вам полезен?

Это неприемлемый материал?

Авторское право:

Доступные форматы

My Internship Project

Загружено:

Авторское право:

Доступные форматы

INTERNSHIP REPORT

MARWADI SHARES & FINANCE LTD.

KHYATI HARESH KHOKHARA

Under the Guidance of

PROF. MONIKA MEHTA

FACULTY OF LIBERAL STUDIES

Marwadi University in Partial Fulfillment of the Requirements for the

I hereby declare that this Internship Report titled INTERNSHIP REPORT ON

Place: Rajkot Signature of the student

Marwadi University, Rajkot Page I

 Put this page blank

Marwadi University, Rajkot Page II

Marwadi University, Rajkot Page III

Marwadi University, Rajkot Page IV

Marwadi University, Rajkot Page V

Marwadi University, Rajkot Page VI

SR. NO PARTICULAR PAGE

8 LEARNINGS FROM INTERNSHIP 52

Marwadi University, Rajkot Page VII

“FINANCIAL MARKETS CHANGE OUR COMMITMENT TO YOUR FINANCIAL

Marwadi University, Rajkot Page 1

Name: MARWADI SHARES &FINANCE LTD.

Address: Marwadi Financial Plaza,

Establishment year: 1992

Managing Director: Ketan H. Marwadi

Form of organization: Private Limited Company

E-mail id: inquiry@marwadionline.in

Phone: 02816192000, 02817174000

Marwadi University, Rajkot Page 2

The Company is Depository Participants of

 National Securities Depository Limited

 Central Depository Services of India Limited

Services offered by MSFL:

Marwadi University, Rajkot Page 3

TO HEDGE AND TRADE YOUR INVESTMENT POSITIONS

TO CREATE AND GROW WEALTH.

TO PROTECT YOUR INVESTMENTS AGAINST

TO DIVERSIFY YOUR PORTFOLIO AND GAIN EXPOSURE TO GLOBAL

Marwadi University, Rajkot Page 4

TO TRADE AND TRACK YOUR INVESTMENTS IN REAL

TO DIGITIZE ALL YOUR SECURITIES INVESTMENT.

TO INVEST IN CAPITAL MARKETS WITH A DISCIPLINED

MUTUAL FUND DISTRIBUTION

FOR GAINING HIGHER RETURNS ON YOUR INVESTMENTS.

Marwadi University, Rajkot Page 5

TO MAKE SOUND INVESTMENT DECISIONS AND TARGET

CUTTING EDGE RESEARCH ADVICE

FOR INDIVIDUALS AND TRADERS WITH HIGH RISK

A TOOL TO AVERT RISK HEDGE AND INCREASE

TO MAKE A BETTER RETIREMENT PLAN

Marwadi University, Rajkot Page 6

TO FACILITITATE ONE STOP FINANCIAL

PAN CARD SERVICES

Marwadi University, Rajkot Page 7

 Basic service demat account (free scheme- no AMC)

FOR RETAIL INVESTOR

 Regular demat scheme (M2)

 Lifetime non refundable scheme (scheme 99)

Marwadi University, Rajkot Page 8

 Lifetime refundable scheme(scheme ML )

Marwadi University, Rajkot Page 9

Marwadi University, Rajkot Page 10

NEW TRADING ACCOUNT ADDED