30-03-2012, 11:54 AM
Journey of Indian stock market
28202250-Project-Report-on-Portfolio-Management.doc (Size: 871.5 KB / Downloads: 26)
Indian Stock Markets are one of the oldest in Asia. Its history dates back to nearly 200 years ago. The earliest records of security dealings in India are meager and obscure. The East India Company was the dominant institution in those days and business in its loan securities used to be transacted towards the close of the eighteenth century.
By 1830's business on corporate stocks and shares in Bank and Cotton presses took place in Bombay. Though the trading list was broader in 1839, there were only half a dozen brokers recognized by banks and merchants during 1840 and 1850.
The 1850's witnessed a rapid development of commercial enterprise and brokerage business attracted many men into the field and by 1860 the number of brokers increased into 60.
Kotak Securities Limited
Kotak Securities Ltd., a subsidiary of Kotak Mahindra Bank Limited, is one of India’s largest private brokerage and distribution house, set up in 1994, by Mr. Uday Kotak; it has equity participation from Goldman Sachs L. I. P. (25%).
Kotak Securities is a corporate member of both the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE). Its operations include stock broking, distribution of various Investment products – including private and secondary placement of debt and equity, mutual funds, fixed deposits and the like.
OBJECTIVE OF THE STUDY
To provide basic idea of different stock market investment instruments to investor.
To provide knowledge to investor about various type of risk associated with various investment instruments.
To provide investor knowledge about P\E, P\BV and Beta that would help them in selection of script and creation of portfolio.
METHODOLOGY OF THE PROJECT
Research problem:
To identified the Stock Market Investment Avenue and methods to help investor in selection of script to create portfolio. And the measures of hedging the portfolio with the use of derivative instrument future.
Research design:
Research design is exploratory as the basic objective is to identified the stocks and methods to create and protect portfolio.
LIMITATIONS OF THE PROJECT
The time duration given to complete the report was not sufficient.
The report is basically is made between the horizon of two months and the situation of market is very dynamic so the conclusion or the return might not reflect the true picture.
ANALYSIS OF INVESTMENT
WHAT IS INVESTMENT?
Investment is the activity, which is made with the objective of earning some sort of positive returns in the future. It is the commitment of the funds to earn future returns and it involves sacrificing the present investment for the future return. Every person makes the investment so that the funds he has increases as keeping cash with himself is not going to help as it will not generate any returns and also with the passage of time the time value of the money will come down.
Economic investments:-
These investments refer to the net addition to the capital stock of the society. The capital stock of the society refers to the investments made in plant, building, land and machinery which are used for the further production of the goods.