INDEX

Sl .No

Topic

Page No.

1 Executive Summary

2 Introduction & Background

2.1 Resaon for choosing the Topic

12

How research is going to be beneficial for the 2.3 Organization.

14

3 Research Design

16

4 Analysis & Intepretaion of the Data

22

5 Findings & Conclusion

37

6 Recommendation & Suggestions

40

7 Bibliography

42

PROJECT REPORT
ON

Use of Derivatives as a hedging tool in Commodity market for Crude oil

A Project Report Submitted In Partial Fulfilment of the Requirements For The Award of the Degree of POST GRADUATE DIPLOMA IN MANAGEMENT TO M.S.RAMAIAH INSTITUTE OF MANAGEMENT BY Arvind Singh 101108 Kamlesh Kumar Bal 101123 Rohit Batra 101138

Under the guidance of Prof. V.Narayanan M.S.RAMAIAH INSTITUTE MANAGEMENT NEW BEL ROAD, BANGALORE-560054 14th March 2012

STUDENTS DECLARATION I hereby declare that the Project Report conducted on Use of Derivatives as a hedging tool in Commodity market for Crude oil Under the guidance of Prof. V.Narayanan Submitted in Partial fulfilment of the requirements for the Degree of POST GRADUATE DIPLOMA IN MANAGEMENT TO M.S.RAMAIAH INSTITUTE OF MANAGEMENT It is my original work and the same has not been submitted for the award of any other Degree/Diploma/Fellowship or other similar titles or prizes

Place: Bangalore Date: 14th March 2012

STUDENT NAME Arvind Singh Kamlesh Kumar Bal Rohit Batra

Reg. No 101108 101123 101138

CERTIFICATE

This is to certify that the Project Report on Use of Derivatives as a hedging tool in Commodity market for Crude oil Submitted in partial fulfilment of the requirements for the award of the degree of POST GRADUATE DIPLOMA IN MANAGEMENT TO M.S.RAMAIAH INSTITUTE OF MANAGEMENT Is a record of bonafide study carried out by Arvind Singh Kamlesh Kumar Bal Rohit Batra

Under my supervision and guidance and that no part of this report has been submitted for the award of any other degree/diploma/fellowship or similar titles or prizes. FACULTY GUIDE Signature: Name: Prof. V.Narayanan Qualifications: Seal of learning center

ACKNOWLEDGEMENT

extend

my

special

gratitude

to

our

beloved

Dean

Shri

Dr.

M.Chandrashekar, & Academic Head Prof. V.Narayanan

& Programme

Head Prof. Jayashree Kowtal for inspiring me to take up this project. I wish to acknowledge my sincere gratitude and indebtedness to my project guide Prof.V.Narayanan of M.S. RAMAIAH INSTITUTE OF MANAGEMENT Bangalore for his valuable guidance and constructive suggestions in the preparation of project report.

Arvind Singh Kamlesh Kumar Bal Rohit Batra

MS RAMAIAH INSTITUTE OF MANAGEMENT PGDM ( Aut) 2010-2012 BATCH

Chapterisation of Empirical Study Executive Summary or Abstract over all summary of the project I) Introduction and Background reason for choosing the topic, how research is going to be beneficial for the organization

II) Research Design Title of the research topic, Aim of the project, Scope of the study Statement of the problem, objectives of research problem, methodology, sample design, sample size, Data collection, Questionnaire, Statistical tools used for analysis, Hypothesis if any, limitation of the study, Abbreviation, Limitations of the study III) Analysis and interpretation of Data Tables, interpretations, Graphs and Statistical Analysis

IV) Findings and Conclusions ( conclusions should be based purely on Research findings ) V)Recommendations & Suggestions ( suggestions to solve the problems) Bibliography Annexure Jayashree Kowtal Programme Head V Narayanan Academic Head

NOTE: Project should min of 60 pages Font size 14 double line spacing font type Times new roman Headings font should be of 16