1. Investing In Stock Markets

3. Source: www.rbi.org.in

19. Getting Started

22. Scenario 1 – 3 Entities for D / T / S ( T + 2 ) Shares Come to your demat A/c 9 th Jan Shares come in your trading A/c 5 th Jan Money comes to your account 3 rd Jan Give cheque to the broker 1 st Jan Particulars Date

23. Scenario 2 – 2 Entities – D/T – S(nl) ( T + 2 ) Shares come in your trading A/c (same day transferred to demat A/c) 5 th Jan Money comes to your account 3 rd Jan Give cheque to the broker 1 st Jan Particulars Date

24. Scenario 3 – 2 Entities – D/T –S (l) Shares come in your trading A/c (same day transferred to demat A/c) You may sell the shares off on the same day 3 rd Jan Give an online instruction money comes in your trading A/c, You purchase the share that day itself. 1 st Jan Particulars Date

25. Investor HDFC Bank (S avings a/c ) SHAREKHAN ( Demat a/c ) Puts BUY order on www.sharekhan.com SHAREKHAN Savings account Balance checked & blocked Contract note is sent through E-mail Buy order executed & Savings a/c debited Shares credited on T+2 day SHAREKHAN (Trading a/c )

26. YOUR SAVINGS A/C TRADING A/C WITH BROKER YOUR DP A/C MONEY COMES IN PURCHASE SHARES SHARES TRANSFERRED INTO DEMAT A/C

28. Comparative analysis of broking firms

30. Parameters Used 100 Total 20 Customer service 20 Range of services offered (BSE, NSE, F&O, Commodities, PMS Etc.) 30 Brokerage 30 Portal Weightage given Parameters Used

31. 1st Parameter :- Quality of Portal USER FRIENDLINESS 24 80 2 nd HDFC Securities* 6 20 5 th India Bulls 30 100 1 st IDBI paisa builder. 24 80 2 nd Sharekhan 12 40 4 th Kotak Securities Total Weighted score (Scores * 30%) Scores Ranking Name of the Firm

32. 2nd Parameter :- Brokerage Charged 24 80 2 rd HDFC Securities 30 100 1 st India Bulls 24 80 2 nd IDBI paisa builder. 24 80 2 nd Sharekhan 18 60 3 rd Kotak Securities Total Weighted score (Scores * 30%) Scores Ranking Name of the Firm

33. 3rd Parameter :- Range of Services Offered 20 100 1st HDFC Securities 08 40 4 th India Bulls 12 60 3 rd IDBI paisa builder. 16 80 2 nd Sharekhan 12 60 3 rd Kotak Securities Total Weighted score (Scores * 20%) Scores Ranking Name of the Firm

34. 4th Parameter :- Customer Services 16 80 1 st HDFC Securities 12 60 3 rd India Bulls 08 40 4 th IDBI paisa builder. 20 100 1 st Sharekhan 16 80 2 nd Kotak Securities Total Weighted score (Scores * 20%) Scores Ranking Name of the Firm

35. COMPARISON OF TOTAL WEIGHTED SCORE OF ALL THE FIRMS

36. 1 st 84 16 20 24 24 HDFC Securities 4 th 56 12 08 30 6 India Bulls 2 nd 74 08 12 24 30 IDBI paisa builder. 1 st 84 20 16 24 24 Sharekhan 3 rd 58 16 12 18 12 Kotak Securities Relative Ranking Total Weighted score Weighted Score on Customer Services Weighted Score on Range of Services Weighted Score on Brokerage Weighted Score on Portal Name of the firm

41. Welcome to a NEW INDIA ∞ Real GDP Growth 6.5 to 7.5% ∞ Inflation estimates at ~ 5% ∞ Nominal GDP Growth at 12.5% ∞ Corporate earnings growth at 15 –18% India –An Investment Opportunity

43. Liquidity: More to come ∞ Indian households are under-invested in equity, thanks to high interest rate regime in the past ∞ Cumulative FII holdings in India: ~ 40bnUSD against total FII stocks globally: ~ 35trUSD. India still not rated as an investment grade ∞ More domestic institutional funds to come –Insurance, Pension Funds, AMCs etc ∞ Long term global investors like pension funds and institutional trusts also have started participating in “ Opportunity India” Welcome to a NEW INDIA India –An Investment Opportunity

44. ∞ India has come a long way –from near bankruptcy in early 90’s to being one of the fastest growing economy in the world ∞ 64% of India’s GDP is consumption-led; providing sustainability to economic growth ∞ Average EPS growth rate of Sensex companies over the last 5 years: 18% CAGR ∞ Healthy balance sheet and operating efficiency –improved capacity utilisation, cash up, debt / equity down, growing profitability Welcome to a NEW INDIA India –An Investment Opportunity Valuation: Supported by Earnings

59. There was a one hour interview on CNBC with Warren Buffet, the second richest man who has donated $31 billion to charity. Following are some very interesting aspects of his life

75. If you have subscribed in 100 shares of ________ company with a face value of Rs. 100 in 1980… • In 1981 company declared 1:1 bonus = you have 200 shares • In 1985 company declared 1:1 bonus = you have 400 shares • In 1986 company split the share to Rs. 10 = you have 4,000 shares • In 1987 company declared 1:1 bonus = you have 8,000 shares • In 1989 company declared 1:1 bonus = you have 16,000 shares • In 1992 company declared 1:1 bonus = you have 32,000 shares • In 1995 company declared 1:1 bonus = you have 64,000 shares • In 1997 company declared 1:2 bonus = you have 1,92,000 shares • In 1999 company split the share to Rs. 2 = you have 9,60,000 shares • In 2004 company declared 1:2 bonus = you have 28,80,000 shares • In 2005 company declared 1:1 bonus = you have 57,60,000 shares