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7/25/2019 Kalpana Singh
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A
Project ReportOn
WORKING CAPITAL
MANAGEMENT
For
Thesession 20131!
Athesissubmittedinthepartialfulfillmentoftherequirementforthe awardofthe degree
ofMBA(F
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Ac"no# $e%&e'ent
It givesmeimmensepleasure toexpress our sincere andwholehearted senseof
gratitude tomy guidefor their invaluableanduntiringguidanceandsupervision
throughoutmystudy.Toderivebenefitsoftheirenormousexperience,itisa
matterofgreatprivilegedforme.Itakethisopportunity toexpressmy sincere
thanksandfullappreciationtomy fwhoextendedtheirwholeheartedcooperation,
moralsupportandrenderingungrudgingassistancewheneverneeds.Iwishthemverybestintheir life.
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T A B LE O F C O N TENTS
Description Page No.
CompanyProfile 6-20
Introduction 21
MeaningandScopeinancial Ser!ices 2"-2#
StructureofinancialSystem 26-2$
%ypesofinancialSer!ices "0-&'
inancialSer!ices Industry &$-#6
inancialSer!ices Inno!ation #(-6"
)nalysis* indings 6&-6(
Conclusion 6'+i,liograpy 6$
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C O M P A N (P RO F IL E
Mahindra &Mahindra is the flagship company of the
Mahindra Group. Establishedin1945,ourcoreautomotive
andfarmeuipmentbusinesseshave gro!n into mar"et leaders
!hose triple bottom line ethic is driving industry
trendsto!ardstechnologicalinnovation,socialresponsibility, and
constantly improvingcustomersatisfaction.
#vertheyears,!e$vespuno%ntone!venturesinordertobettermeetth
e needsofourcustomers,epandingintoautomotiveand non'
automotive
components,informationtechnology,financialservices,andenergy.
(e operate
inafederatedstructuresothateachbusinesscanta"eris"sandgro!onit
s o!n andsimultaneouslyleveragesynergies across
theentireGroup$s competencies.
(e$vebeentheleaderinutilityvehiclesforoverfiftyyears,since!ebuiltt
he first(illys)eepson*ndiansoilin194+.
oday,ourportfoliocomprisesa!ide
spectrumofvehiclesfromt!o!heelerstoheavytruc"s,-/stoschoolb
uses.
#urservicesincludemaintenanceandrepairs,customi0ation,providin
gspares, and manufacturingand engineering. (e$reopening a
ne!organi0ed'sector mar"etfor pre'o!ned
carsandepandingintoforeignmar"etsincludingthe nited-tates
andEurope.
ormedin233,MahindraGraphicesearch6esignspeciali0esinconsu
lting on automotivestyle,engineering,78E7omputer'8ided
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Engineering:,and pro)ect management. ;ased
in ;einasco, *taly, !e
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consult!ithmanyEuropean andglobalautomotiveclients
tocreatestri"ing designs andsupportengineering.
#urstyleconsultingservicesbegin!itha brand
analysistounderstandandthen shapebrandidentity.
(eofferconceptde2333certifiedcompany,ourcustomersincludeiat,?ondaEurope, .;. 7o, andmanymore.
*n 2335,Mahindra&Mahindraenteredintoa)oint venture!ith
=avistar*nc -8, andMahindra=avistar8utomotiveset
outtobuildarangeo
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reuirementsthatarespecifictoyourneeds. #urne! state'of'the'art
plant at 7ha"an, near
Aune,
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isstaffed by33 highlytrained technicians,engineers,and
specialists,and stretchesover+33acres.
#urconstantdrivetoimprovemeansthatourrangeoftruc"sisnotonlyhi
gh on performance,butalsolo!onmaintenance.(ith
rigorousteststoensurehigh performanceeven
inthetoughestofconditionsand featuresthat!illma"e your
)ourneycomfortable nomatterho!faryou$regoing,
ourtruc"s!illhelpyou
prosperinyourbusiness.(hetherit$sgoods,peopleordreams,ourtruc"
smove itall.
*n233+,!eformedMahindra=avistarEnginesM=EA@: through
a)ointventure !ith
=avistar*nc,-8toproducedieselenginesformedium andheavy
commercialvehiclesin*ndia.
=avistar*ncis=orth8merica$slargestintegrated
truc"andenginemanufacturerandthetechnologyleaderinemissionsc
ontrol. #urpartnership integratesthe bestoftheirepertise!ith
ourstobring *ndia better,tougher,and cleanerengines.
#urplantat7ha"an hasaninstalledcapacityof45,333enginesperyear.
(e$ve alreadylocali0ed +3 percentofourenginecomponentsthrough
42 vendors. #ur
enginesareetensivelyvalidatedforover1,333hours.
(e$vetestedthemfor
1.5 million "m under different geographic conditions to ma"e surethey !ill
deliver the best performancefor bothonandoff high!ayapplications.
#ur
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from13?AtoB13?Aandisavailableinbothmechanicaland
electronicvariants. heelectroniccommon'
railGenerationBversionisthemost
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advancedengineavailableon *ndian roads.
M=EA@ispoisedtogro!tomar"etleadershipoverthenet fe!years.hrough eceptionaldedicationtoualityand"no!ledge
ofthe*ndianmar"et,!eare
committedtodevelopingarobustenginebusinessthat !illimprove
truc" performanceCandprosperityCfor many *ndianbusinesses.
heconceptofmobility isinthemidstofsignificantchange,drivenby
environmental concerns, oil economics, rapidly changingconsumer
needs, developmentofne!technologies and integration
ofmultipledisciplinesin
developingmobilitysolutions.-oberingfactsli"erising
fuelcostsandrapid urbanisationare)ust
someofthereasons!hythe!orldis loo"ingtone!er, superior mobility
solutions.
hefutureoftheautomotiveindustryiselectric. 8s!e!orry
aboutclimate
change,energysecurity,andthepriceofoil,technological
improvementsare ma"ingelectriccars ever cheaperand more
convenient.
(e acuired a ma)ority sta"e in the eva Electric 7ar 7ompany
in 2313 to
advancethedesignandproductionofelectriccars!orld!ide.
;yintegrating eva$s electriccartechnology!ithour
o!nleadingengineering,!ecanbuild higherperformance electric
vehiclesthat satisfycustomers$ demand both for better lifestyles
anda healthyenvironment.
8tMahindraE/8,
!eareconstantlysee"ingsolutionstoissuesthatrangefrom the"ind
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ofproductsthat!illde
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these vehicles !ill possess and the !ay they !ill be
manufactured. hese uestionsareshapingourvision
oftheutureofMobility.he advancedvehicles
ofthefuture!illnotonlyofferunmatchedfeatures,safety,andconvenience. hey!ill also be cleverandenvironmentally friendly.
heincreasingfusion
ofelectronicsand*!ithautomotivetechnologies!illgive
risetovehicles!ithadvancedintelligenceandconnectivity.#therdevel
opments in distribution models, financing options, fleible
o!nership models, personalisationofvehiclesandgreaterchoicesacrosstheecosystem!illfurther alter
theentireeperienceof interacting!iththe mobility ecosystem.
8s atotalsystemssolutionprovider,!edevelopall
ourElectric/ehicleE/: systemsin'house.(earepushingE/
technologytothenetstep tocreatebetter
energymanagement,fastercharging, andadvancedtelematics.(eoffer innovativeelectric vehiclesand
mobilitysolutions,technologylicensing, and
licensedmanufacturingand distribution.
(e$re!ellestablishedasama)orglobal
player!iththelargestdeployedfleetof electriccarsontheroadtoday.
(e$vesoldaround1,33electricvehiclesinEurope,andmorethan1,+33areontheroadacross8sia
and7entraland-outh 8merica.
*ntotal,!e$representin24countries!orld!ideCandgro!ing. he
MahindraGroup$smanufacturing epertise and !ide
globaldistribution net!or" !illhelp Mahindraevascaleup
productionand spread greentechnologyacross theglobe.
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*n2312,!einauguratedane!plantin;angalore,!iththecapacitytobuild
B3,333 vehicles per year.*n "eeping !ith
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ourcommitmentto
cleantechnology,theplantreceivedaAlatinumratingfrom
*ndianGreen;uilding7ouncil*G;7:.
hene!facilityharvestsrain!ater,uses natural light and ventilation,and harnesses solar energy for electricity and heating.
(iththiscleanmanufacturingprocessofcleanvehiclesandabattery
recyclingprogram,ourelectriccarsaimtohavethelo!est dust'to'
dirtcarbon footprints intheautomotive!orld.
*n233+,eva!asnamedoneof*ndiaDs7oolest 7ompaniesby
;usinessoday(e receivedthe233rostand-ullivanAo!ertrain7ompanyoftheeara!ard for
ecellentsalesvolume,mar"etpenetration,andcustomersatisfaction.
8ndin
2339,;usiness(ee"votedourfounderand7hiefechnology#fficer,7h
etan
Maini,oneof*ndiaDstop53 mostinFuentialpeople.*n 2313,theeva'
i!as cro!ned7ar of theearatthe #verdrive &7=;7/1a!ards.
Mahindra/ehicleManufacturers!assetupin233+topushourtechnologyto the edge. (e designedandbuilt
agreenfieldfacilityat7ha"an,nearAune, Maharashtra,to
integratethebestintechnology,environmentalsustainability,
socialresponsibility,andoperationalecellence.
-preadacross+33acresand planted !ith approimately13,333
trees,7ha"an offersafleibleand eco'friendly manufacturing
layoutformultipleMulti'Aurpose/ehiclesMA/s:, sportutility
vehicles-/s:,andcommercialvehiclesthatallo!sustorespondrapidlyto changingcustomerneeds.
(ithacurrentcapacityofB.2million vehiclesperyearandafuture'
ready epandable module setup, !e have the fleibility to
constantly innovate and
adapttochangesinmar"etdemandorcustomerreuirements.
(ecurrently manufacture Mahindra & Mahindra$s entire medium
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and heavy commercial
vehiclerangefromthe3.+5tonMaimotothe49
tonMahindra=avistartruc". he ne! Global -/
and Ai"'p range !ill
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also be manufacturedhere.
#urstaofover2,333ishighlytrainedinthefieldsofmechanical,electronic,civil and electric engineering as
!ell as paint technology. (e partner !ith t!o
regionaltribal*ndustrialraining*nstitutes**s:tofacilitate
amatchbet!een educational ualityand content
andindustrydemands. #urpartnership has
resultedinperiodicfacultytrainingsessions,arestructuringofthecurric
ulum,
andtherecruitmentof1+Bstudentstoanapprenticeshiptrainingschemeby
2311.
(ealsomaintainouro!nresidentialtrainingcentre!hichprovidesa
month'longtraining totheselectedtraineesbeforetheyinitiate!or"at
theshop floor.
(eusesolarenergy and!asteheatfromtheovenehausttopo!eractivitiesin
thepaintshop,reducingourconsumptionofgasandelectricityfor
anoverall reductionofB,533tonsof7#2peryear. 8clusterof+3 solar
dishesprovides the energyforcoolingthepaintusedforthe
vehiclebodies. 8nd byrecycling!aste !aterthrough
reverseosmosis and multipleeffectevaporation,!eachieve0ero
!ater dischargeacross theentire plant.
he-sangyongMotor7ompany)oinedMahindra&Mahindrain2311.ounded in 1954 asthe ?a'dong'h!anMotor (or"shop, -sangyong
istodayama)or player inthe-outh
Horeanutilityvehiclespaceanden)oysamar"etpresenceinmore
than93countries.
;asedinAyeongtae",-outhHorea,-sangyongismorethan
4,33people!ho arepassionateaboutcars.
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*nthe19I3s,!ebuiltHorea$s firstlargebusesandbeganeportingthem
in19II. *n the19+3s,!eepanded intospeciali0ed
truc"sfrombusestofiretruc"s. (e !elcomed the era of
four'!heel drive !ith
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ne!independentlydevelopedplatforms,theHorando,andMusso,in199B. *n
199+,!eintroducedthe7hairman,oneofHorea$sleading
luurysedans. oday, !e are a leader in -/s !ith a full productline including eton **, Hyron, Horando,8ctyon,and8ctyon-ports.
(ealsooffersedanandMA/productlines, 7hairmanandodius.
(e$re currently focusing on strengthening our global
competitiveness by
producingenvironmentallyfriendlyengines.(e$vedeveloped aneco'
friendly dieselcommonrailenginetoconformtotheE#5standards.(earealso designinganengine to comply !iththeE#I.
*nthenetfe!years,!eplantostrengthenourglobal
distributionnet!or".(e
havealreadysetuplocalheadofficesandpartscentersinEurope.
(ebelieve
thatemergingmar"etsarethe"eytosustainablegro!th,and!earebuilding localbasesin mar"etssuch as7entral8merica, Eastern Europe,
8frica, 7hina,and *ndia.
*nadditiontoourfocusongreentechnologyanddeveloping
mar"ets,!eloo" for!ard tocapitali0ingonourne!relationship !ith
Mahindra&Mahindra.;oth "no!nforour -/s,
!ecanstrengthenourpositionsinthe-/mar"etthroughtechnicalcooperationand sharedepertise.
(eenteredintoruralfinanceandinsurancebecause!esa!an
opportunityto provideservicesinareas!here
thedemandforfinancialproductsandservicesis higherthan
theformalban"ingsystem can supply. ;yma"ingcreditavailable,!e
openopportunitiesforpeopletoimprovetheiro!n
livesandcreatelasting systems of livelihood.
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Mahindrainance and itssubsidiariesofferacomplete
rangeoinancialservices and
insurancesolutionsforbothbusinessesand personallife. #urflagship
financialservicesbusinessprovidesvehicle,asset,andpersonalfinanci
ng. #ur generaland
lifeinsurancebro"ingservicesprovidecustomers!ith securityand
protection. (e provide rural housing finance for ne!
construction and renovation. #urbusinessinsurance plansprotect
the small businesses that drive
employmentandeconomicgro!thandsafeguardagainst
ris"sthatmight other!isehavelifelongramifications. (e
havemorethan one million relationships!ithcustomersinruraland
semi'urban*ndia,ma"ingusthelargest non'
ban"ingfinancialcompany=;7:in thecountry. (e see
ruralfinanceand insuranceasanintegralpart ofsustainableeconomic
developmentandasmart business move,empo!eringcustomers to
createa brighterfuturefor themselves.
Intodaysworld, beingmobilehasbecomeanecessityrather thanaluxury.MahindraFinanceoffersawiderangeofvehicleloanstosuiteverycustomersneeds,bothcommercialandpersonal.
efinancethepurchaseoftractors, utilityvehicles,cars,threewheelers,
commercialvehicles, andconstructione!uipment. ealsooffer vehiclerefinance
forpre"ownedvehiclesofallkindsandbrands. #achtypeofloanhasbeen
customi$edtoitscustomer base, withtailoredrepayment policiesforfarmers
purchasingtractorsversusurbanfamiliesbuyingtheir firstcar.
Talktoustoday to%umpstartyourbusinesswithanewcommercialvehicle orgive
yourselfnewfreedomwithanM&' (multi"utility vehicle). hateveryourneeds,ourreliablepartnershipswithIndiastopvehiclemanufacturersensuresthatyoull
getthe bestvalue for yourmoney.
As a total risk solution provider,
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MahindraInsurance *rokersprovidescomprehensivegeneralinsurance packages
forbothindividualsandbusinesses. +ur-/approachensuresthatallyour
generalinsuranceneedsare welltakencareof withouthassle orstress.
ebuild insurancesolutionsthat addressyourlifestyleandbusinesstobringyoua
personali$ed, comprehensive plan. 0onsult with us about our life insuranceoptionstocreateaplanthatsrightforyou,fromvehicleinsurancetohealthcare.Tellusaboutyourbusinessandwellconstructaplanthatcoversallyourneedsfrom thegeneraltothespecificforexample,our+ffice1ackagesatisfiesthe
completeinsurancere!uirementofanofficeandourMoney Insuranceoptionadds
protectionagainstthelossofmoneyintransit.Werethereforyoufromrisk
profiling to building insurance plans to claims administration, bringing you
securityandconvenience evenwhentheunexpectedhappens.
+ur-/approachtolife insurance meansallyour needsare metunderoneroof.
+urmissionis tobuildyoua personal insurance solution and deliverfaster claim
settlements. e strive to provide you with the best insurance products and
superior service withtheutmostconvenience andsimplicity.
+urteam ofinsurancespecialistshastheknow"howandtheresourcestomeetall
yourinsuranceneeds. eofferacomprehensiverange oflife insuranceplansforbothindividualsandcorporations,fromretirementtoendowment,childrensplanstowholelifeplans,superannuationtocreditcovers,andmore.2rawingfrom this
extensive portfolio,wehelp youselectaninsurance solution thataddressesallyour
needs.
Mahindra 3ural4ousingFinancemakes available the fundsyou need tobuild orrenovateyourhome. eextendcreditinruralareas that have never hadaccess before,
enablingpeople toinvestintheirhomesfor the firsttime.
+ur reasonable and flexible"rateloansmake
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itpossibleforyoutobuyyourfirsthome,addanewroomforyourgrowing
family,orrepairandmaintainthe homeyoualready cherish. Many ofourclients use
ourloanstorebuild infirm mudstructures in solid brickandmortar. +thers
repairtheirroofsortilecementfloorsto maketheirhomesmorecomfortableandattractive.
+ur loans have already helped nearly 56, rural customers transform their
homes,andtheir lives.
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Asubsidiary ofMahindra7 MahindraFinancial8ervices, MahindraInsurancerokersbeganoperationsin!""#. Wereoneofthefewinsurance brokingcompanies in India to be awarded I8+ 95:; 0ertification for roup0reditTerm 0overtoretailcustomerswithauto and
tractorloans fromMahindraFinance. *ycustomi$ingourlifeinsurance
optionstoyourneeds,webringyougreatervaluebyprovidingmorerelevant,
moreuseful,andmore cost"efficientsolutions.
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In;5;,weentered intoa strategicalliancewith=eapFrogInvestmentswiththe vision of
bringingcriticalfinancial servicesto the nextbillionconsumers. +ur
partnershipcreatessignificantimpactbyenablingmillions ofpeopletoprotect their
assets,andthusthelivelihoodsonwhichtheir familiesdepend.
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ebelievethatthe fastestandmostsustainableway toprovidehousingforallIndiansisthroughtheprivatesector. 0ontinuingresearchandconversationledus to
expand our services to establish Mahindra 3ural 4ousing Finance as a
subsidiaryof$ahindraand$ahindra%inancial&ervicesin!""'.Wereworking
hardtoexpandcreditaccesstolow"incomecustomersinruralandsemi"urban
India,andour customer base isalreadyapproaching56,.
+urbusinessmodelrestsonempowering our customersto securetheir ownhomes
throughreasonableandflexiblehome loans. e provideloans forhome purchase,
construction, extension, and improvement so that people can transform their
homes,and their lives. Forexample,we finance homereconstructiontoconvert infirm
mudstructuresto solid brickandmortar. ealsofundrehabilitative efforts
likereflooringcementfloorsintile. +urhousingfinanceserviceshelppeople
improvetheirown lives,whetheritsasmallrenovationorfirst"timeconstruction.
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e consider rural financing to be thecornerstone ofpovertyreduction, rural
developmentandinclusivegrowthinmany partsofthecountry.*y extending
accesstofinancialservicestocustomersinruralandsemi"urbanareas,wegive themthe
meanstopursue their owngoals.
Today,$ahindraand$ahindra%inancial&ervicesisoneofIndiaspremiernon" bankingfinancecompanies(?*F0) andthelargest?*F0 operatinginruralIndia.
ehaveofficesintheareasweserveso thatwecanprovide ourcustomerswith
personali$edfinance solutions,andweemploy over 9,localpeople sothatour
employeestrulyunderstandour customers.
*y providingloanstoourcustomersbasedontheirfutureearnings,we helppeopleopenbusinesseswhentheycouldntgetstartedotherwise.Weunderstandthatit
takesmoneytomakemoney. efundutilityvehicles, tractors,andcars, construction
e!uipment, personal loans, and homes for
over two million
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customers,andwe offer low"risk fixed depositbankingandadvisecustomerson
investmentsinmutualfunds. +urgoalisnotonlytobuildabetterfinancial
servicescompany,buttoenableIndiasfuturegrowth.
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I N T R O ) *C T I O NT OT + EP RO, E C T
he
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ME AN I N GO FF I N A N C I A L- E R. I C E -
inancial services meanmobili0ingandallocatingsavings.*t includes all activities involved in the
transformation of savings into
investment.*tisalsocalledasJ
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- C O P EO FF I N ANC I A L- E R . I C E -
6ealinginforeignechangemar"etactivities.
6ealinginsecondarymar"etactivities.
Aarticipating in money mar"et instruments li"e
commercial papers,
certi
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+ I - T O R (O FF I NA N C I A L - E R . I C E -
he *ndian
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deepening ofthe*ndian
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information
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aboutinternationaldevelopmentsinthefinancial sector.
-TR*CT * REO FFIN ANCI AL- (-TE M
hefinancialsystem
impliesasetofcompleandcloselyconnectedinstitutions,
agents,practicesandmar"ets.hefollo!ingisatypical
structureoinancial systeminanyeconomy.
FINANCIAL -(-TEM
*=8=7*8@
*=-**#
=-
*=8=7*
8@
M8HE
-
*=8=7*8
@
*=-ME=
-
*=8=7*
8@
-E/*7E
-
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AFI NANCI AL IN-TIT*TI ON-
inancialinstitutionsarebusinessorgani0ations!hoact
asmobili0ersand depositories of saving, and suppliers of credit or
finance. hese institutions provide variousfinancialservicestothe
businessorgani0ationsand common people.inancial
institutionscan bedivided intoban"ingand nonban"ing institutions.
;an"inginstitutionsdealin financialassetssuchasdeposits,loans,securitiesetc.and non'financialinstitutionsdealinrealassetssuch
asmachinery, euipments,stoc"ofgoods andrealestate.heir
activitiesmaybegeneral or special.heseinstitutionsparticipate in
theeconomy$spaymentsmechanismby
providingtransactionservices, moneysupply andcredit.
FI NANCI AL MAR KET-
inancialmar"etsarethecenters!hichprovide
facilitiesforbuyingandsellingoinancialclaimsandservices.heparticipantsinthefinancialm
ar"ets
arefinancialinstitutions,bro"ers,dealers,borro!ersandinvestors.he
y are interlin"ed by the la!s, contracts, and communication
net!or"s. inancial mar"etscan bedivided
intot!oparts.heprimarymar"ets!hich dealsin ne! financial
claims or instruments. *t is also called as ne! issue mar"et. he
secondary mar"et
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deals in securities
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!hicharealreadyissuedbutthecompaniesandinvestorsinprovidingli
uidity. ?o!ever,stoc"echanges arebothprimary andsecondary
mar"ets segments.
inancial mar"ets are also classified as capitalmar"ets
and money
mar"et.hemoneymar"etdealsintheshorttermclaims!ith
maturityperiodof lessthan
ayearandcapitalmar"etsdealsinlongtermclaimsorsecurities.he
capitalmar"etisco etensivenotonly!ith
thestoc"mar"etbutitismuch !ider than
thestoc"mar"et.hefinancialmar"etsmaybeclassified
asorgani0edor unorgani0ed,formalsor informals anddomesticor
foreignmar"ets.
CFI NANCI AL I N-TR*MENT-
inancialinstrumentsareclaimstothepaymentofmon
ey in future ora periodicinterval.ore.g.
theimportantfinancialinstrumentsare
shares,debentures,bonds,fied depositsetc.regularpaymentin
theform of interest or dividendis
paidbythecompanytotheinvestors. 6irectlytothe ultimate
saverssuch aseuityshares,debentures.-econdaryinstrumentsare
issued byintermediariestotheultimate
saversasban"deposits,unitsand
insurancepolicies.hefinancialinstrumentsdifferfromeach
otherinrespectof theirinvestment characteristics.he important
characteristics are liuidity, transferability,volatility,
maturity,ris",andreturn.
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)FI NANCI AL -ER.I CE-
8financial serviceisany
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"indofserviceofa
financialnatureoeredbyafinancialserviceprovider.8ll ban"ing and
insurance related services are included in this concept. hese
servicesareintangibleand invisible.hereshouldbeproimitybet!een the serviceproviderand
theconsumerinordertocompleteaservicetransaction.
heseservicescovera!iderange
ofeconomicactivities.inancialserviceshave developed
tomeettheneedsofcompanies. ;an"ingand insurancearetraditional
financialservices.he modern financialservicesinclude overthe
counterservices. -hare
transfer,pledgingofshares,mutualfunds,factoring,discounting,venture capitalandcreditcards. inancial serviceshavestarted
longbac"in!estern countries.*n*ndia,theseserviceshave
startedlongbac"in !esterncountries.*n
india,theseserviceshavestarted
during193s.heseservicesplayasigni# M # ? TM # M* # 3:
Membershipregistrati
on.
Membersandcustome
rs. Membershipeit.
Membershiptransfer.
Minimummembershipperiod.
F I ?A? 0 I A =M A ? A># M # ? T :
8ccountpayab
le.
iedassets.
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3 # 1 + 3 T I ? >8 @ 8 T# M :
egulatory reports e.g.7entralban".
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sercustomi0edreports.
8 # 3 ' I 0 #M A ? A > # M # ? T
F+8A(F3+?T+FFI0#8#3'I0#8A0TI'ITI#8)
+n"the"counter transactions (banking services) such as savings deposits,
withdrawals,loansrepayment,salarypayments
Tellerfunctions(Tellers,4eadtellers,0ash2rawerand8trongroomcash
Management
*+8A(*A0+FFI0#8#3'I0#8A0TI'ITI#8)
*ehind the scene activities such as 8alary processing, loans processing,%ournalsprocessing,etc
) I FF E R E N TT ( PE -O FF I NA N C I A L-E R. I C E -
he
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*nvestmentservicescompany
;an"
*nsurancecompany
*ntermediationoradvisoryservicescompany
7onglomerates
7reditating8gencies
1I N. E-T M E N T- E R. I C EC O M P A N (
he investment services companies provide services
li"e asset
management,hedgefunds,custodyservicesandmanymore.
8 s set m a n ag em e n t'
thetermusuallygiventodescribecompanies!hichrunc o l le c tiveinv e st m e n tfu n d s.
?e d ge fu n d m a n ag em e n t' ?edge funds often employ the
services of primebro"eragedivisionsat
ma)orinvestmentban"stoeecutetheir trades.
7u sto d yser v ic es'
7ustodyservicesandsecuritiesprocessingisa"indof
Dbac"'officeDadministrationforfinancialservices.8ssetsundercustodyi
n the*ndia !as estimatedto NI5 trillionattheend of 233.
;. *A?8
*t is one of the
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biggest
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servicescompaniesofthe !orld.here are
dierenttypesofban"sinthe
!orld.-omeofthesearecommercialban"s,privateban"sandmany
more.herearesomeban"sthat!or"forthecapitalmar"etsonly.;an"spr
ovide a number of
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n"i n&seri ces
he primaryoperations of ban"sinclude>
Heepingmoneysafe!hilealso allo!ing!ithdra!als !henneeded
*ssuance of chec"boo"s so that bills can be paid and other
"inds of payments can be delivered by post
Arovidepersonalloans,commercialloans,andm o r tga g elo a n s ty
pically loans to purchaseahome, propertyor business:
*ssuance of c re d it c ards and processing of credit card
transactions and billing
Issuanceofd e b i tca r d sforuse as asubstitute for checks
Allow financial transactions at branches or by using Au t o m a ti c T e ll e r
Mac hi n es(ATMs)
1rovide wire transfersof fundsand#l ec tr o n i c f u n d tr a ns f e rs betweenbanks
Facilitationofstandingordersanddirectd e b it s ,sopaymentsforbillscanbe made
automatically
1rovideov e r d r aft agreementsforthetemporaryadvancementofthe*ankBs
ownmoney tomeetmonthly spendingcommitmentsofacustomerintheir
currentaccount.
1rovide 0harge card advances of the *ankBs own moneyfor customers
wishingtosettle creditadvancesmonthly.
1rovideacheckguaranteedbythe*ankitselfandprepaidbythecustomer, such
as a ca s hi e rBsc h e c k or
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certi fiedch eck .
Other t4peso 5 6 n"seri ces
? ot ary service for financial and other
documents.
1r iv a te b a n k in g"1rivatebanksprovidebankingservicesexclusively
toh ig h n e tw o r th in d iv i d u a l s .Many financialservicesfirmsre!uireapersonorfamilytohave acertainminimum networthto!ualifyforprivatebankingservices.1rivatebanks
often provide more personal services, such as wealth management and tax
planning,thannormalretailbanks.
0apitalmarketbank"bankthatu n d er w r it e debtande ! ui ty ,assistcompany deals
(advisory services,underwritingandadvisory
fees),andrestructuredebtintost r u c t u red f in a n ce products.
*ankcards"include bothcr e d i tc ar d s andd e b i tca r d s .I0I0I bank isthe largest issuerofbankcards.
0reditcardmachine servicesandnetworks"0ompanieswhichprovidecreditcard
machine andpaymentnetworkscallthemselvesCmerchantcardprovidersC.
AN KCA R ) -
*ank cards include both cred i t card s and d e b i t car d s .In India I0I0I *A?isthelargestissuerofbankcards
D
AM#3I0A?#E13#88
MA8T#30A32
http://en.wikipedia.org/wiki/Certified_checkhttp://en.wikipedia.org/wiki/Notaryhttp://en.wikipedia.org/wiki/Private_bankinghttp://en.wikipedia.org/wiki/High_net_worth_individualshttp://en.wikipedia.org/wiki/High_net_worth_individualshttp://en.wikipedia.org/wiki/Underwritehttp://en.wikipedia.org/wiki/Stockhttp://en.wikipedia.org/wiki/Stockhttp://en.wikipedia.org/wiki/Structured_financehttp://en.wikipedia.org/wiki/Credit_cardhttp://en.wikipedia.org/wiki/Debit_cardhttp://en.wikipedia.org/wiki/Credit_cardhttp://en.wikipedia.org/wiki/Debit_cardhttp://en.wikipedia.org/wiki/Certified_checkhttp://en.wikipedia.org/wiki/Notaryhttp://en.wikipedia.org/wiki/Private_bankinghttp://en.wikipedia.org/wiki/High_net_worth_individualshttp://en.wikipedia.org/wiki/High_net_worth_individualshttp://en.wikipedia.org/wiki/Underwritehttp://en.wikipedia.org/wiki/Stockhttp://en.wikipedia.org/wiki/Structured_financehttp://en.wikipedia.org/wiki/Credit_cardhttp://en.wikipedia.org/wiki/Debit_cardhttp://en.wikipedia.org/wiki/Credit_cardhttp://en.wikipedia.org/wiki/Debit_card7/25/2019 Kalpana Singh
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'I8A
n"i n&s7r e4repo rt RNCO-
The Indianbankingsector,despite theglobalcrisis, isstillfuellingthe economy.
AreportB+pportunitiesinIndian*anking8ectorB, bymarketresearchcompany,
3?0+8forecaststhattheIndianbankingsectorwillgrowata healthy compound
annualgrowthrate (0A>3) of around;.per centtill;55.
Thetotalassetbaseofthescheduledcommercialbanks(80*s)addedupto
)*.+percentofIndias-/atcurrentmarketprices0throughthefinancialyea
r;G.
Accordingtoastudy reportby 2unand*rad8treet,around Gpercentof the
overallassetsof80*swereaccountedforby;;leadingbankswithabalance sheet
si$eofabove &8H55.Gbillioneach.Thisincluded5-1ublic8ector*anks
(18*s),1rivate 8ector *anksand Foreign*anks.
2epositsof private sectorbanksincreasedata0A>3of ;-percentduringfiscal
year;(;G,comparedtothe total0A>3growthof ;.6percentbyall80*s.Advancesofprivatesectorbanksincreasedata0A>3of;percentagainsta
0A>3 of .5per centbyall80*sforthesame period.
1ublicsectorbanksaccountedforabove--percentofthecollectivetotalincome
(includinginterestincome andnon"interestincome) ofall80*s.
3etailbankingaccountedfora5percentshareoftheoverallrevenuegenerated by
18&bankswhileitwas-percentforprivatesectorbanks,andforforeign bankstheshare
ofretailbankingalsostoodat around-percent.
Asperfiguresreleasedby the3eserve*ankofIndia(3*I), bankcreditincreased by
;percenttillJanuary ;,;9,comparedtothe;5percentgrowthinthe previousyear.
0redittoindustryincreasedby.;per centtill2ecember 59,;G,
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against;.9per centinthe same periodinthepreviousyear.
Further,accordingto3*Idata,lendingbybanksincreasedbymorethan-per
centduringApril"?ovember ;G,ascomparedtothesame periodanyear ago.
iththecreditgrowth,leadingIndianbanksarelikelytoincreasetheirearnings
byaroundper cent y"o"yinthe 2ecember ;G!uarter.
1ublicsector banksaregoinginforama%orimageoverhaul. ithglobalbanks
gettingpressurised undertheeconomic downturn,severalcompaniesand
individualsaredigressingfrom privatebankstostate"ownedbanks.Tomakethe
mostofthissituation,they areadoptingnewstrategiesandtechnologiestoattract more
customers.
8tate"owned banks are now offering services like Internet banking and
personalisedche!ue books,andevaluation of loan proposalswithina specific
period.Manysuchbanksrunprocessingcentresandbackoffices.The8tate*ank of India
hasevenintroducedtwo"facedATMs.
hereas,theIndian *ankhas introducedwealthmanagementservicesforits high
networth(4?I)clientsprovidingvarioustypesoffinancialadvisory andwealth
managementservices.
+- C A N K+ I -TO R (
48*0*ankwasfoundedin5G-6toservetheneedsofthemerchants ofthe0hina
coastandfinancethe growingtradebetween0hina,#urope and the&nited8tates.
Theoriginsof48*0*ankinIndiacanbetracedbackto +ctober
5G6whentheMercantile*ankofIndia,=ondonand0hinawas foundedin*ombay.
In5969, The4ongongand8hanghai*anking0orporation(48*0)ac!uired the Mercantile *ank of India and the head office of the 48*0 *ank
was established in *ombay (Mumbai). In 59G, 48*0 *ank gave
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IndiaitsfirstATM.
Throughthe599s,48*0 *ank
blossomed into one of the leading banking
andfinancial servicesorgani$ations ofthe
world.AsonJune;,the*ankhasover
55millioncustomersworldwidewithassets
over&8H5,56 billion.48*0*ank has about 5, officesin - countries
andterritoriesin#urope, theAsia1acificregion, theAmericas, theMiddle
#astandAfrica.
Fo rei& n e8ch n& e ser ices
Foreignexchangeservicesareprovidedbymanybanksaroundtheworld.Foreign
exchange servicesinclude:
0 u rr e n cy # x c h a n g e"whereclientscanpurchaseandsellforeigncurrencybank notes
i re t r a ns f er"whereclientscansendfundstointernationalbanksabroadfrom
India.
Fo rei gn0u rren cy*anking"bankingtransactionsare done inforeigncurrency
3 I N-*RANCE
The insurance companies provide the clients with risk coverage
services.Theseservicesaredesignedtocoveranumberofrisksthatare
relatedtoanindividualBslife,propertyandmanymore.Theseservicesare not onlydesigned to provide security but at the same time there are a number of
insurance plansthatare designedtoprovide regular income tothe clients.
The insurancepoliciescan
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be divided in several types like general insurance, life insurance,
commercialinsurancesandalotmore.
Insurancebrokerage "Insurancebrokersshopforinsurance(generally
corporateproperty andcasualty insurance)onbehalf ofcustomers.3ecently a
numberofwebsites havebeencreatedtogiveconsumersbasicpricecomparisons for
servicessuchasinsurance, causingcontroversywithintheindustry.
Insuranceunderwriting"1ersonallinesinsuranceun d er w r it e r sactually underwrite
insuranceforindividuals,aservicestillofferedprimarilythroughagents,in s u r a n c e b r o k e r
s ,ands to c k b r o k er s .&nderwritersmayalsooffersimilarcommerciallines
ofcoverageforbusinesses. Activitiesinclude
insuranceanda n nu i ti e s ,li f e i ns u r a n c e ,retirementinsurance,h ea lt h i ns u r a n c e ,andp r o p erty 7c a su a lt y i ns u r a n c e .
3ein su ran ce" 3einsuranceisinsurancesoldtoinsurersthemselves,toprotectthem
I n s 7 r n ce s 7 r e 4r ep o rt 6 4 A --O C + A M
http://en.wikipedia.org/wiki/Underwriterhttp://en.wikipedia.org/wiki/Insurance_brokerhttp://en.wikipedia.org/wiki/Insurance_brokerhttp://en.wikipedia.org/wiki/Stock_brokerhttp://en.wikipedia.org/wiki/Annuity_(financial_contracts)http://en.wikipedia.org/wiki/Life_insurancehttp://en.wikipedia.org/wiki/Health_insurancehttp://en.wikipedia.org/wiki/Property_%26_casualty_insurancehttp://en.wikipedia.org/wiki/Property_%26_casualty_insurancehttp://en.wikipedia.org/wiki/Property_%26_casualty_insurancehttp://en.wikipedia.org/wiki/Reinsurancehttp://en.wikipedia.org/wiki/Underwriterhttp://en.wikipedia.org/wiki/Insurance_brokerhttp://en.wikipedia.org/wiki/Insurance_brokerhttp://en.wikipedia.org/wiki/Insurance_brokerhttp://en.wikipedia.org/wiki/Stock_brokerhttp://en.wikipedia.org/wiki/Annuity_(financial_contracts)http://en.wikipedia.org/wiki/Life_insurancehttp://en.wikipedia.org/wiki/Life_insurancehttp://en.wikipedia.org/wiki/Health_insurancehttp://en.wikipedia.org/wiki/Property_%26_casualty_insurancehttp://en.wikipedia.org/wiki/Property_%26_casualty_insurancehttp://en.wikipedia.org/wiki/Property_%26_casualty_insurancehttp://en.wikipedia.org/wiki/Reinsurance7/25/2019 Kalpana Singh
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Th e in su ran cesect or iso ne ofthe mos tpromisin g s ectorsinIndi a tod ay.
InanA88+04AMreportBInsurance8ectorFuturistic>rowthBstatedthat
IndiaBsinsurancesectorislikelytoreach&8H-.;6billionby;5.Thereport
said,CThetotalinsurancebusinesswillreachalevelof&8H-.;6billioninthe next
twoyearsfrom the current levelof&8H5.56billion.C 1rivateinsurance businessislikely
toseea5percentgrowthrateduetotheaggressivemarketing
techni!uesusedbythem.0onversely,state"ownedinsurancecompanieswouldsee
a 6(per centgrowthrate.
India isthe fifthlargestlife insurancemarket intheemerginginsuranceeconomiesglobally andthe segmentisgrowingatahealthy ;( percentannually.Accordingtoareportbyresearchfirm 3?0+8B*oomingInsuranceMarketinIndia(;G(;55)Bthetotallifeinsurancepremium inIndiaispro%ectedtogrow to&8H ;69.;billion by;5(55. The generalinsurance sector islikelytogrow at
arate of5Gpercentin;G,comparedto5percentin;. The5ma%ornon" life
insurerscollectedatotalof &8HG.;millionaspremiuminApril;G.
=ife Insurance 0orporation(=I0) isbullishon growthandis targettingbusinessin
excessof &8H69.5billionby;55(5;.
The government is planning to ease restrictions on foreign investments in
insurance,bankingand pensions,andallowforeigndirectinvestment(F2I)of9 per
centfromthe present;-per cent.
I ? 8 & 3 A ? 0 #& ?2 # 3 3 I T I ? >
1ersonallinesinsuranceunderwritersactually underwriteinsurancefor individuals, a service still offered primarily through agents, insurance
brokers,andstock brokers.&nderwritersmay alsooffersimilarcommercial
linesofcoveragefor businesses. Activities
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include insurance and annuities, life insurance,
retirementinsurance, healthinsurance,andproperty
7casualtyinsurance.
8omeellnownInsurersIncludes:
>+'T.0+M1A?I#8I?>#?#3A=I?8&3A?0#I?I?2IA
ThenewIndiaassuranceco.=td
TheorientalInsurnceco.=td
Thenationalinsuranceltd
&nitedIndiainsuranceltd
13I'AT#0+M1A?I#8I?>#?#3A=I?8&3A?0#=T2
*a%a%Allian$generalinsuranceltd
Icici=ombardgeneralinsuranceltd
*hartiaxageneralinsuranceltd
Ingvysyageneralinsuranceltd
cholamandalamgeneralinsuranceltd
>+'T.0+M1A?I#8I?=IF#I?8&3A?0#
=ifeinsurancecorporationofIndia(=I0)
13I'AT#0+M1AI?#8I?=IF#I?8&3A?0#
Maxnew@orklifeco.=td
Icici prudential co. =td
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Tataaig
Metlifeinsuranceco.=td
*irlasunlifeinsuranceco.=td
Avivalifeinsuranceco.=td
*a%a%Allian$lifeinsuranceco.ltd
4sbccanaralifeinsuranceco.=td
! OT+ERFINANCI AL -ER.I CE-
Intermediationoradvisory services"Theseservicesinvolvestockbrokers(private client
services) and discountbrokers.8tock brokersassistinvestors inbuyingor
sellingshares.1rimarily internet"basedcompaniesareoftenreferredtoasdiscount
brokerages,althoughmany nowhavebranchofficestoassistclients.These
brokeragesprimarilytargetindividualinvestors.Fullserviceandprivateclient firms
primarilyassist executetrades and executetrades forclients with large
amountsofcapitaltoinvest,suchaslargecompanies,wealthy individuals,and
investmentmanagementfunds.
1rivatee!uity"1r iv a t e e ! u ityfundsare typically closed"endfunds,whichusually
takecontrollinge!uity stakesinbusinessesthatareeither private, ortakenprivate
onceac!uired.1rivatee!uity fundsoftenuseleveragedbuyouts(=*+s)toac!uire
thefirms in which theyinvest. The most successful privatee!uityfunds can
generate returnssignificantlyhigherthanprovidedbythe e!uity markets
'enturecapital"' e n tu rec a p it a lisatype of privatee!uity capitaltypically providedby
professional, outsideinvestorstonew,high"potential"growth
companiesintheinterestoftakingthecompany toanI1+ortradesaleofthe business.
Angelinvestment"Ana n g el i n v e s to r orangel(knownasa businessangel or informal
investor in #urope),is an affluent
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individualwho providescapitalfora
businessstart"up, usually inexchangefor
convertible debt or ownershipe!uity.A
small butincreasingnumber of angelinvestorsorgani$e themselvesintoangel
groups or angel networks to share
researchandpooltheir investmentcapital.
0onglomerates" Afinancialservices
conglomerateisafinancialservicesfirmthatisactiveinmorethanonesectorof the
financial services market e.g. life insurance, general insurance, health
insurance,assetmanagement,r e t a il b a n ki n g ,wholesalebanking, investment
banking,etc.Akeyrationalefortheexistenceofsuchbusinessesistheexistence ofdiversification benefitsthatare presentwhen different typesof businessesare
aggregatedi.e. badthingsdonBtalwayshappenatthe sametime.Asaconse!uence,
ec o no m icc a p it a lforaconglomerateisusually substantially lessthane c o n o m i c
ca p it a lisfor thesumof itsparts.
6. -TOCK MARKET-
FundraisingbyIndiaIncthroughinitialpublicoffers(I1+s)rosebyawhopping
-;per centsincethe beginningof ;Gto;9May,;Gto&8H.;billion,against &8H;.-
billionduringthe sameperiod in;-,accordingto global deal data
provider,2ealogic.8ignificantly,fundmobilisationduringthe first!uarter of;Gwasthe secondhighestfor a!uarterintheIndiancapitalBshistory.
Inrecentmonths, theIndianstockmarkethassloweddownduetothe global economic
turmoil. 4owever, expectations
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of itreboundingsoonare alsohigh.
Further,accordingto globalconsultancy firm,2eloitte4askins 78ells, theIndian
economyandcapitalmarketsareexpectedtowitnessaturnaroundwithinsixto nine
months.
Accordingtotheinitialpublicoffering(I1+)estimatesfor;9, by Thomson
3eutersstudy,India Incislikely toraise fourtimestheproceedsitgarneredfrom the
primarymarketin ;G.As per the study,India Inc istargettingtoraise a massive
&8H56.;Gbillionthroughpublic issues.
Furthermore,8#*Iwillbemakingiteasierforcompaniestoraisemoneyfrom the stock
market, by
relaxingeligibilityrules
to facilitate faster
raising offundsfrom
existingshareholders.
1resently, only
companies having hada
marketcapitalisation of
above &8H 5.9billion
in thelastoneyearare
entitled to thisroute.
8#*Iplansto bring
downthisfigure.
Pri te E97i t4
In finance, private e!uity is an a s s e t c l a s s consisting of e ! u ity s e c u r i ti e sinoperatingcompaniesthatare notp ub li c l y t ra d e d onas to c k e x c h a ng e . Investments in
private e!uity most often involve either an investment of capital into an
operatingcompany orthea c ! u is it io n ofanoperatingcompany.0apitalforprivate e!uity
is raised primarily from
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i n s ti t u t io n a lin v e s t o r s .Thereisawidearrayoftypesandstylesofprivatee!uity andthe
termprivate e!uityhas differentconnotationsindifferentcountries.
Amongthemostcommoninvestmentstrategiesinprivatee!uity includeleveraged
buyouts,venturecapital, g r o wt hc a p it a l ,distressedinvestmentsandme$$anine
capital.Inatypicalleveragedbuyouttransaction,theprivatee!uityfirm buys
ma%oritycontrolofanexistingormaturefirm.Thisisdistinctfromaventure
capitalorgrowthcapitalinvestment,inwhichtheprivatee!uityfirm typically
investsinyoungor emergingcompanies,andrarelyobtainma%oritycontrol.
Accordingtoareportbyglobalresearchfirm1re!in,privatee!uityinvestments arelikely
toperkupinthesecond"half of;9andfueltheglobaleconomic
recovery.Cithapproximately&8H5trillionofdrypowder(term usedtodenotecapitalavailablefor deals)available,privatee!uityispoisedtoplayama%orrole in
thecomingeconomic recovery,C the reportrevealed.
1rivatee!uity (1#)playersseearebullishoninvestinginIndiaasaprofitable destination,
expecting the inflowsto be around&8H6billion"&8HG billioninthe comingyear.
Industryexpertsfeelthatlong"terminvestinginIndiaisaprofitable option.
Accordingtoasurveyby2eloitteduringthelastsixmonths,sectorsdrivenby
domesticconsumptionandinfrastructureareexpectedtowitnessalotofactivity.8andeep>ill,managingdirector of2eloittecorporatefinance,said, Cehave
observedtwokeypoints, thecompetitiveenvironmentforinvestmentopportunities
for1#housesisexpectedtoeaseduring;9,assmaller1#firmsandhedge
fundsexitthemarket.8econd, thevolumeof1#dealsinthemarketwillbe
dependentonhow!uicklypromotersare willingtoacceptlowervaluations.C
Thetotalnumberof1#dealsduringthefirstfivemonthsof;Gstoodat5,
withanannouncedvalueof&8H-.9billionasagainst569dealsamountingto
&8H.9billionduringthecorrespondingperiodin;G.Indiaisamongthetop
5 countriesintermsof value of privatee!uitydealsacrossthe world,accordingto
theglobaldealtrackingfirm,Kephyr.Thesectorisgoingtoseeaflurryofactivity
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andinvestmentsinthe comingmonths.
Manycompanieshaveambitiousplanstoentertheprivatee!uity(1#)business andraise
funds.
IndivisionIndia1artnersis planningtoraiseanotherfund"IndivisionII,witha
corpusinexcessof &8H;6millionraisedthroughIndivisionI.
+ther bigwigsplanningfundraisingsare theTataandAditya*irlagroupswith
planstoraise&8H 6millionand&8H ;6million,respectively.InAugust ;G,
3eliance 0apitalhadannouncedsettingupa &8H5billion1#fund.
rivatee1uityfirm,2ctishasraiseda3&4!.)billionprivatee1uityfund2ctis5merging$arkets6/25$6 0fortheemergingmarketsof7hina,India,2frica, =atinAmericaand8outh"eastAsia.Thefundwillbepumping in&8H 5billion as
investmentsinIndiaover the next"years.
&8"basedApolloManagement,withanassetbaseofmorethan&8H;billion,
willbesoonsettingupshopinIndia.The1#firmhasplanstospendaround&8H
GmillionininvestmentsinIndianandthe &8 markets.
Tata 0apital=tdisplanningtofloata &8H6 millionprivate e!uity(1#) fund.
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E M E R GE NC E O F PR I M A R ( E: * I T (M A R KET -
?ow, we are also witnessing the emergence of many private sector
financialservices.Thecapitalmarket,whichwasverysluggish,hasbecome
apopularsourceofraisingfinance.Theprimarye!uitymarkethasemerged
asanimportantvehicle tochannelise the savingsoftheindividualsand
corporatesfor productive purposesandthustopromotethe industrialand
economicgrowthofthecountry.
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-. M*T*AL F* N)-
A'7t7$57n%isaprofessionallymanagedtypeofcollective investmentscheme
thatpoolsmoneyfrommanyinvestorsandinvestsitinstocks, bonds,short"term
moneymarketinstruments,andLorothersecurities.Themutualfundwillhavea
fundmanagerthattradesthepooledmoney onaregular basis. The net proceedsor
lossesare thentypicallydistributedtothe investorsannually.
8ince59,therehavebeenthreebasictypesofinvestmentcompaniesinthe &nited8tates: open"endfunds, also knowninthe&.8. as mutualfunds unit investment trusts
(&ITs) andclosed"endfunds.8imilarfunds alsooperate in
0anada.4owever,intherestoftheworld,mutualfundisusedasagenericterm for various
typesofcollective investment vehicles,suchasunittrusts, open"ended
investmentcompanies(+#I0s), uniti$edinsurancefunds,andundertakingsfor
collective investmentsintransferable securities(&0IT8).
Accordingtoareportbyresearchfirm 3?0+8,theIndianmutualfunds
retailmarketispresentlygrowingata0A>3 of aroundper cent,andislikelyto
touch&8Hbillionby;56.
Thegrowthmomentumofthemutualfundindustrycontinuesinthenewfiscal year(;G(
9).Fund mobilisation has
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increasedbyawhopping.percentto&8H;.9billionduringApril(June
;G,comparedto&8H5G.G5billioninApril(June;.0onse!uently,average
Assets&nderManagement(A&M)ofthemutualfundindustry hasincreased to
&8H5;.billionforJune;G,against &8H99.G-billionin thecorrespondingperiodin;.
Further,atapprox.&8H9-billion(&8H9GbillioninassetsforFebruary ;9,the
mutualfunds(MF)industryhasseenasharpincreaseofaboutG.percentin A&Msincethe
previousmonth.Thisisalsothethirdconsecutivemonthly risein assetsfor the
industryas a whole.
Asper8#*I, themutualfundindustry madeanoverallinvestmentof&8H;.5 billion
ine!uities between January"8eptember ;G.Accordingtomarket sources,
themutualfundsindustry hasmusteredanestimated&8H5.;billionduringthe same
period.In8eptember ;G, the A&M totalledto&8H5.5trillion.
Toimprovethecapitalmarket,thegovernmentislikelytoremovetherestriction on profit"
making?avratnaandmini"3atna public sector undertakings(18&s)from
investinginmutualfunds.
=ifeInsurance0orporationofIndia(=I0)hasputinover &8H;.6 billioninto
li!uidfunds of different fundhouses.The amountwasmorethanthree timesits similar
investmentsmade in ;G.
=ookingahead,theIndianmutualfundsmarketisestimatedtogrowata0A>3of
5Gpercentinthenextfiveyears,withthecountryBsmutualfundsassetsexpected
tomorethandoubleto&8H;9G.billionby ;5;,accordingtoareport by &8"
basedfinancialservicesresearchandconsultingfirm,0erulliAssociates.
+- CM 7 t 7 $F 7 n %
48*0isoneoftheworldBsleadingbankinggiants andboastsofa
5"year history in banking services. 48*0 operates in more than
countries across the globe and has assets of
over H5.; trillion on the consolidated
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groupbalancesheet. Theinvestmentbankingandfund
managementbusinessesofthegroupishandledby 48*0
Investments.
48*0AssetManagementIndia1rivate=imitedactsastheAssetManagement0ompanytothe48*0MutualFund.
48*0 8ecurities and 0apital Markets India 1rivate =imited, an
affiliateofthe48*0group,isthesponsorofthefundandowns6percent stake.
; )ET MARKET
1referredsharescanbeconsideredpart ofdebtor e!uity.Attributing
preferredsharestoone or theother ispartially asub%ective decisionbutwillalso take
intoaccountthespecific featuresofthe preferredshares.
hen used tocalculateacompanyBs f in a n c i al l e v er a g e ,thedebtusually
includesonly the=ongTerm 2ebt(=T2).
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should be care fully
compared.
2ueto thehigh volatility in the
e!uity markets, I ndian investors
are choosing debt market and
mutual funds over e!uities.
Accordingto an A88+04AM
report, around &8H .;
million was invested in the
debt market against &8H
;9.G9millionine!uities,asonthethirdweekofJune;G. Thereportrevealedthatinvestorsfavouredcorporatebonds,particularly debenturesissuedby leading
companies.The debtmarketinIndia includedsegmentslike governmentsecurities,
corporatebondmarket,18&(publicsectorundertaking) bonds,andfixeddeposits
amongothers.
According to a report by >oldman 8achs, with insurance, mutual funds and
pensionsectorexperiencingrapidgrowth, IndiaBsdebtmarketisestimatedtogrow four"
fold,fromabout&8Hbillion(6percentof>21)in;-toabout&8H
5.6trillion(about66per centof >21) by;5-.
8ignificantly,the non"government sector isexpectedto growfrom &8H5 billion
in;-to&8H66billionin;5-,increasingits share in>21from5percentto
;;per cent.
C L A -- I F I CA T I O N O F F I N A NC I A L
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-E R. I C E -I N ) * -T R (
ThefinancialintermediariesinIndiacanbetraditionallyclassifiedintotwo:
0A1ITA=MA3#TI?T#3M#2IA3I#8
M+?#@MA3#TI?T#3M#2IA3I#8
5 .0 A 1 I T A =M A 3 # TI ? T # 3M #2 I A 3 I # 8
Thecapitalmarketintermediariesconsistoftermlendinginstitutions
andinvestinginstitutionswhichmainlyprovidelongtermfunds.
; .M +?# @M A 3 # TI ? T# 3M # 2 I A 3 I # 8
The money market intermediary consists of commercial banks, co"
operativebanksandotheragencieswhichsupplyonlyshorttermfunds.
8encethe term financial services industry9includes allkinds oforgani$ations which intermediate and facilitate financial transactions of
bothindividualsandcorporatecustomers.
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A commercial paper is a short term negotiable money market
instrument. It has the character of an unsecured promissory note with a
fixedmaturityofto-months.*anking andnon"bankingcompaniescan
issuethisforraisingtheirshortterm debt.Italsocarriesanattractiverateofinterest.0ommercialpapersaresoldatadiscountfrom theirfacevalueand
redeemed at their face value. 8ince its denomination is very high. It is
suitableonlytoinstitutionalinvestorsandcompanies.
2 T R E A - * R ( I L L
Atreasury billisalsoamoneymarketinstrumentissuedby thecentral
government.Itisalsoissuedatadiscountandredeemedatpar.3ecently,
thegovernmenthascomeoutwiththeshorttermtreasurybillsof5G;days
billsand-daysbills.
3 C E R T I F I CA T EO F) E P O- I T
The scheduled commercial banks have been permitted to issuecertificateofdepositwithoutany regulationsoninterestrates.Thisisalsoa money
market instrument and unlike a fixed deposit receipt. It is a
negotiableinsturmentandhenceitoffersmaximumli!uidity.Assuch,ithas a
secondary market. 8ince the
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denominationisveryhigh,itissuitabletomainlyinstituionalinvestorsand
companies.
! PROMI--OR(NOTE
Apromissory noteisawrittenpromisebythemakertopaymoney tothepayee.
*a n k no t e isfre!uentlytransferredasapromissorynote,apromissorynotemade bya bank
and payableto bearer on demand. A maker ofa promissorynote
promisestounconditionally pay thepayee(beneficiary)aspecificamountona
specifieddate.
Apromissorynoteisanunconditionalpromisetopayaspecificamounttobearer ortotheorder ofa namedperson, ondemandor onaspecifieddate.
Anegotiable promissory noteisunconditionalpromiseinwritingmadeby one
persontoanother,signedby themaker,engagingtopay ondemand,oratfixedor
determinable futuretime,sumcertaininmoneytoorder or tobearer. (see 8ec.59)
Apromissorynote,brieflystated, isa promise topayasum of money.
+riginalpartiestoapromissorynote.
Thereareoriginally twopartiesinapromissory note.Theonewhomakesthe
promiseandsignstheinstrumentiscalledtheCmakerCandtheparty towhom the
promiseismade or the instrumentispayable iscalledtheCpayeeC
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< I LL- OFE=C+ANGE
Abillofexchange orCdraftC isawrittenorder by thedrawertothedraweetopay money
tothepayee.Acommontypeofbillofexchangeisthec h e !u e (checkin
American#nglish),definedasabillofexchangedrawnonabankerandpayable
ondemand.*illsofexchangeareused primarily ininternationaltrade,andare
writtenordersby onepersontohisbanktopay thebeareraspecificsum ona
specificdate.1riortotheadventofpapercurrency,billsofexchangewere a
commonmeansof exchange. Theyare notusedasoftentoday.
Abillofexchangeisanunconditionalorderinwritingaddressedby one personto another,
signed by the person giving it, re!uiring the person to whom it is
addressedtopayondemandoratfixedordeterminablefuturetimeasumcertaininmoneytoorderor tobearer. (8ec.5;-)
Itisessentially anordermadeby one persontoanother topaymoney toathird person.
A billofexchangere!uiresinitsinceptionthree parties""the drawer, the drawee, andthe
payee.
Thepersonwhodrawsthebilliscalledthedrawer.4egivestheordertopay money
tothirdparty.Theparty uponwhom thebillisdrawniscalledthe drawee.
4eisthepersontowhom thebillisaddressedandwhoisorderedtopay.he becomesanacceptor whenhe indicateshiswillingnesstopaythebill.(8ec.-;) The partyinwhose
favorthebillisdrawnor ispayableiscalledthepayee.
Thepartiesneednotallbedistinctpersons.Thus,thedrawermay drawonhimself
payabletohisownorder.
Abillofexchangemay beendorsedby the payeeinfavour ofathirdparty,who
mayinturnendorseittoafourth,andsoonindefinitely.TheCholderindue courseCmay
claim theamountofthebillagainstthedraweeandallpreviousendorsers,regardlessofany counterclaimsthatmayhavedisabledtheprevious
payeeorendorserfrom doingso.Thisiswhatismeantbysayingthatabillis negotiable.
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In some cases a bill is marked Cnot negotiableC. In that case it can still be
transferredtoathirdparty,butthethirdparty canhavenobetterrightthanthe transferor.
9.0 +? > =+ M # 3 A T# 8
Afinancialservicesconglomerateisafinancialservicesfirmthatisactive
inmorethan one sector ofthefinancialservicesmarket e.g.lifeinsurance,
generalinsurance, healthinsurance, asset management,retailbanking, wholesale
banking, investment banking, etc. A key rationale for the
existenceofsuchbusinessesistheexistenceofdiversificationbenefitsthat are
present when different types of businesses are
aggregated i.e. bad things donBt always happen at the
sametime. Asaconse!uence, economiccapitalfora
conglomerateisusuallysubstantiallylessthanec o no m i c
capit a lisforthesumofitsparts.
F &? 2 A M # ?T A = 8+ FF I ? A ? 0 I A =8 # 3 ' I 0 #8 # 0 T+ 3
Adetailedstudy onthefundamentalsoffinancialconceptsissureto
givesomeideaontheconceptsoffinance.Theinvestorsneedtogothrough
sometheoriesoffinancethatwillhelpthem tounderstandthebehaviorof market
inabetterway. There are anumber of factorsthat influencethe functioning
oftheinvestment market. The individual investorBs choiceof
investmentmayvary from one person to
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another.hilesomeinvestorsgoforinvestingintherisky securities,some investors
tend to play safe in the market by investing in the less risky
security.Arbitrageisoneofthemostimportant fundamentalsoffinancial
concepts.Ittypically definestheprocessoftakingadvantageoftheprice differentbetween two or more markets.A clear concept on thearbitrage practicingmay
bebeneficialfortheinvestors.Thecash flow isanother fundamentalof the
financialconceptthatreferstothe processof cashbeing transferredby
abusinessoranorgani$ation.&nderstandingofthecashflow management may be
useful to evaluate a particular business or in
determiningtheproblemswithli!uidity.Moneymarketmakesanimportant
partintheconceptoffinance.Investmentincurrenciesisgettingpopular
withthepassageoftime.Astudy ontheforexmarketiscrucialforallthose who areinvesting in the money market. The forex market handles the tradingof
onecurrency withanothercountryBscurrency andit isthelargest
financialmarketintheworldintermsoftransactionvolume.Thevarious types of
risks that come under the domain of financial concepts are "
systemicrisk,creditrisk,consumercreditrisk,settlementrisk,li!uidityrisk
andmarketrisk.
F I NA N C I A L- E R . I C E -T+EO R I E -
Theprimeconceptoffinancetheory istostudy thevariouswaysby which a
business or an individual raises money. Allocating money into
pro%ectswhileconsideringtheriskfactorsattachedtothemalsofallunder
thecanopyoffinancetheoryfundamentals.Theconceptoffinancemayalso
beintegratedwiththeconceptssuchas:study ofmoneyandotherassets,
managingandprofilingpro%ectrisks, controlandmanagementofassetsand also.
In simple understanding, BfinancingB also means provision and
allocationoffundforaparticularbusiness moduleor pro%ect.?umberof
financetheoriesthat offerseparateapproaches to thefinancehypotheses.8omeofthema%orandpopularfinancetheoriesofthe worldare:arbitrage pricing
theory,rationalchoice theory,prospecttheory,cumulative prospect theory,
Monte0arlooptionmodel, binomialoptions pricingmodel, *lack model and
legal origins theory. The
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Arbitrage 1ricing Theory for example talks about the general theory of
assetpricing.Theproperassetpricingisnecessary fortheproperpricingof
shares.TheArbitrage1ricingTheorystatesthatthereturnthatisexpected from
afinancialassetcanbepresentedasalinearfunctionofvarioustheoreticalmarketindicesandmacro"economicfactors.4ereitisassumed
thatthefactorsconsideredaresensitivetochangesandthatisrepresented byafactor"
specificbetacoefficient.The1rospecttheoryoffinance,onthe otherhand,
discussesthealternativesinvolvingrisks.Ittakesinto consideration the
alternatives that come with uncertain outcomes. The
modelisdescriptivebynatureandittriestorepresentthereal"lifechoices
butnotoptimaldecisions.This theoryproposeshowtheinvestorsshould
usediversificationinordertooptimi$etheirportfolios.
CA* -E -F O RF I NA N C I A LI NN O . A T I O N
F+==+I?>A3#T4#0A&8#8+FFI?A?0IA=I??+'ATI+?8:
#conomic=iberali$ation
InvestorAwareness
=ow1rofitability
0ustomer8ervice
een0ompetition
Improved0ommunicationTechnology
>lobalImpact
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E C O N O M I CL I E RA L I - A T I O N
3eform ofthefinancialsectorconstitutesthemostimportantcomponentof Indias programmed towards economic liberali$ation. Therecent economic liberalisation measures have opened the door to foreign
competitorstoenterintoourdomesticmarket.
I N. E-TO RA W A R E N E- -
ith a growing awareness amongst the investing public, there has
beenadistinctshiftfrominvestingthesavingsinphysicalassetslikegold,
silver,land,etc.tofinancialassetslikeshares,debentures,mutualfunds, etc.
LO WPR O F I T A I L I T (
The profitability of the ma%or financial intermediary, namely the
bankshasbeen verymuchaffectedtorecenttimes.Thereisadeclineinthe
profitabilityoftraditionalbankingproducts.
C* -TO M E R-E R . I C E
?ow"a"daysthecustomersexpectationsareverygreat.Theywantnewer
productsatlowercostoratlowercreditrisk toreplacetheexistingone.
KEE NC O M P ET I T I O N
Theentry ofmany financialintermediariesinthefinancialsector market
has led to severe competition among themselves. This keen
competitionhaspavedtheway fortheentry ofvariednatureofinnovative
financialproductssoastomeetthevariedre!uirementsoftheinvestors.
I MPR O . E )C O M M*N I C A T I O NT E C + N OLOG (
Thecommunicationtechnologyhasbecomesoadvancedthateventhe
worldsissuerscan be linked with the
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investorsintheglobalfinancialmarketwithoutanydifficultybymeansof
offeringsomanyoptionsandopportunities.
GLO A LI MP AC T
Manyoftheprovidersandusersofcapitalhavechangedtheirrolesall
overtheworld.
.AR I O * -ELE M E N T -O FF I N AN C I A L-E R . I C E -MAR KET I N G/
In the formulation of overall marketing strategies in the financial
servicesindustry,thefollowing decisionsareconsidered importantinthe
presentliberali$edenvironment
1roduct1lanning
1ricing1olicy
*randing
0ustomer8ervice
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thesentimentofthecustomers.
RA N ) I N G
*randnameveryoftensignifiesthemarketsegments,inherentbenefits
andinvestmentob:ectivesandalsothe customersloyalty.Thisprocess
consistsofproductname,designingbrandpolicylikeindividualfamilyor
corporatebrand.
C* -TO M E R-E R . I C E -
Marketing of services is significantly influenced by the !uality of service
andinterpersonalrelationship betweenthecustomersandservice organi$ations.
In order to motivate the potential customers, the service shouldbe offeredinthe
bestpossible manner.Inthecompetitiveworldof financialservices,
marketorientationofproductandcustomerorientationof
servicearethetwokeyfactors.1romptandtimelyserviceaspertheneeds of customer
would make difference. The personal touch in services has
shownapositiveresultintherecenttimes.The!uality ofservicesofferedin
turnhelpstodeveloployalty amongthecustomers.8ervicescanbeprovided
eitherdirectly bythecompanythroughtheservicetheservicedepartmentorthroughintermediarieslikeregistrars orexternalagencies. 0ustomersare
involvedinaveryrealrelationshipwiththecompanyandevenoneweak
linkcansignificantlydamagetheirtrust.
MAR KE T-E G M E N T A T I O N
Thefinancialserviceindustriesareexpectedtosatisfy bothruralandurban
customers, small and large"scale entrepreneurs, high and low earning
customers,retail and institutional customers. The segmentation ofmarket
based on the changing needs of customers is considered to be the most
appropriatesolution. Identification of
market segment is crucialtotakefurther
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actionregardingpromotionanddistribution oftheproduct.Marketsegment
willbeidentifiedinthebasisofnatureoftheproduct, directandindirect benefitsof
the productonthe onehandandbehavior orattitudeof the customers,etc.
) I -T R I * T I O NP OL I C (
Thedeterminationofproperchannelforsellingtheproductisalsoa key issue
in the marketing of financial products. *efore launching a
product,thereshouldbeaclear"cutideaaboutthechannelofdistributionof the
product so as to make it accessible to the ultimate customers. The
channelswhichdirectlylinktothecudtomersorthroughtheintermediaries
likeagents,brokers,franchiseesshould bedeterminedbasedon theinternal
marketingstrengthoftheorgani$ation.
PR O M OT I O NP O L I C (
Thepromotionofsalemay bethroughadvertisement,roadshows,
personalfinanceshows,contest,etc.thevariouspromotionaltoolsusedby
thema%orplayersarepersonalandimpersonalpromotions.
E M E R G I N G F* NC T I O N - I N MAR KET I N G O F
F I N ANC I A L -E R. I C E -
The following are the emerging functions of financial service
industriesandhavinggreatersignificanceinthiscompetitivemarket.
1roduct2evelopment
0hannel Management
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AppraisalManagement
Territory8alesManagement
*ranchManagement
*randManagement
PR O ) *C TM A N A GE M E N T
Tomonitorprofitability foreachproductline.ToAssesthepotentialof retail
asset business based on market feedback and to enhance existing
productsanddevelopnewproducts.
C + A N N E LM A N A GE M E N T
To identify third"party agencies such as direct sales agents,
verificationagenciesandtofinali$etermsandconditions,responsibilities
andpricingofeachagency.Tomonitortheperformanceoftheseagencies
onanongoingbasisandensureahigh"!ualitychanneloperation.
AP P RA I - A LM A NA GE M E N T
Toscrutini$eandrecommendandapproval orre%ectionofretailloan
proposals received from branches by way of credit scoring system and
sound%udgment.
TE RR I TO R (- A L E -M A NA GE M E N T
Tobuildtheretailassetbusinessinliaisonwithdirectsellingagents
andbranchheadinordertoachievethebusinesstargets fortheregion.To identify
and recommend suitable third"party agencies for marketing, collection andverification of operations as well as to ensure !uality of
creditportfolioandflow"updefaultcases.
RA N C + MA N A GE M E N T
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Toachievethebusinesstargetofthebranch withapredominantly
retailbusiness.
RA N )M A N A G E M E N T
Todevelopstrongbrandnamefortheproductandcorporateimage
forthecompanythroughvariousinnovativedevices.
Todaysfinancialservicesindustry re1uiresnewstrategiestosurviveandcontinuetooperate.They havetoadoptnewmarketingstrategiesand
tacticswhichwillenablethem tocapturethemaximumopportunitieswith lowest
risk in order to enable them to survive and to meet the tough
competitionfromglobalplayersofthedomesticandforeignorigin.
P O R T F OL I OMA NA GE M E N T
1ortfolio management means selection of securities and constant
shifting of the portfolio in the light of varying attractiveness of the
constituents of the portfolio. It is a choice of selecting and revising spectrum
of securities to it with
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thecharacteristicsofaninvestor.
O , E C T I . E -
84+3TT#3M4I>413I+3IT@+*J#0TI'#8
=+?>T#3M4I>413I+3IT@+*J#0TI'#8
=+13I+3IT@+*J#0TI'#8
M+?#@MAI?>+*J#0TI'#8
-+O R TTE R M+ I G +PR I O R I T (O , E C T I . E -
Investorshaveahighprioritytowardsachievingcertainob%ectivesin
ashorttime.Fore.g.a youngcouplewillgivehighpriority tobuyahouse.
Thus,investorswillgoforhighpriority ob%ectivesandinvesttheir money
accordingly.
LO N GTE R M+ I G +PR I O R I T (O , E C T I . E -
8omeinvestorslookforwardandinvestonthebasisofob%ectivesof long"term
needs. Theywanttoachieve
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financialindependenceinlongperiod. Fore.g.investingforpostretirement
periodoreducationofachildetc.Investorsusually preferadiversified
approachwhileselectingdifferenttypesofinvestments.
LO WPR I O R I T (O , E C T I . E -
Theseob%ectiveshavelowpriorityininvesting.Theseob%ectivesare
notpainful.Afterinvestinginhighpriorityassets,investorscaninvestin
theselowpriorityassets.Fore.g.provisionfortour,domesticappliances etc.
M O N E (MA K I N GO , E C T I . E -
Investorsputtheirsurplusmoney inthiskindofinvestment.Their
ob%ectiveisto maximi$ewealth. &sually,theinvestorsinvestinsharesofcompanies, which provide capital appreciation apart from regular income
fromdividend.
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CA - E- T *) I E -
I C I C I AN K
IhaveaaccountwithI7I7Ibankbecauseitsoursalaryaccount,andwe are kind of forced to use I0I0I *ank. And since we have a salary
account,wegetadecentservice.*utyes,thecreditcarddepartment,andthecallcentresucksbigtime.Thatsmypersonalexperience.
Theyputyouonholdfor6to5mins.(%ustimaginelisteningtothe
same%unkmusicLtoneLadvertscontinuously),andthenthereisnoguarantee
thatyouwillgettospeaktosomeoneoryourproblemwouldbesolved. Infact,today
Iwasputonholdforaround mins,andafterthatthecallas abruptlydisconnectedN
?exttimeIcallthecallcenter,Igettospeaktoa
totallynewperson,andstartfromscrapdescribingtheproblem.Thepeople
atthecallcenter%ustpromisetodothings,andnothingactuallyhappens.If
ithappens,thenyouarereallyyourluck.
4ope'amathreadsthis
My advicetoall "AvoidI0I0Iasfaraspossible.Manypeople predict that
the bank would collapse in a few years from now. 4ave an
accountwithanynationali$edbank.
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4 8* 0* A ?
4 8* 0ban kreco v e r yagent sb a s hu p6 G" y ea r "ol dp r ofes s o r
Two daysback ;Ihad puton itswebsiteguidelinesfor the banksrecovery agentsandinithaswarnedthebanksaboutstrictactionswouldbe
takenagainstthemandevenpenali$ethelicenseofthebank butitseems
stillthewarningisfallingondeafears. Againanincident ofunrulinessby recovery
agent ofthe bank has come into limelight. It is 48*0 bank in
news.Thistimethevictimisaprofessorofareputedengineeringcollege,
1rofJ.8.alra.4ehaschargeda multinationalbankwhichallegedly senta
packofintimidatingloanrecoveryagentstohoundhim.alrahadtakena
loanof3s.6lakhtobuya8antrofromthe?oidabranchof48*0last
year.Theincidenttookplacein8eptemberbutthe6G"year"oldprofessor.
4eishopefulof%ustice,encouragedbytherecentstrictguidelinesissuedby the 3*I
against banks intimidating customers to recover loan. #ven the
FinanceMinister P r n 6 M 7 " h erje etoohasiteratedthatstrictestaction9willbetakenagainstbanksstoopingtostrong"armmethods.1rofJ.8.alra of the
2elhi 0ollege of #ngineering has filed his complaint against the
bank.Inhiscomplainthetoldthepolicethattheagentsabusedandbeathim
upoutsidetheIndraprashta&niversitycampusinnorth2elhifordelaying
monthlyinstallmentsofaloan.Theydidnotcaretostopevenafterhetold
themthathewasaheartpatientandthathehaddevelopedchestpain.Theyeventhreatened to killme,9
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I L I OG RAP + (
. 4 8*0.0 + . I ?
. I 0 I 0 I .0 + M
http://www.hsbc.co.in/http://www.icici.com/http://www.hsbc.co.in/http://www.icici.com/