FINANCIAL EDUCATION FOR YOUNG CITIZEN – Session 1 to 8 (new logo).pptx

Buisness

1. Program delivered by FINANCIAL EDUCATION FOR YOUNG CITIZEN Kona Kona Siksha (A Kotak Securities CSR initiative)

2. Commemorative Plague of commencement of Construction of NISM Campus by Hon'ble Prime Minister of India, Dr. Manmohan Singh NISM Campus inaugurated by Hon'ble Prime Minister of India, Shri Narendra Modi 2016 2013 Academic Programs | Certifications Training Programs

3. NISM - Schools of Excellence School for Securities Education School for Certification of Intermediaries School for Regulatory Studies and Supervision School for Investor Education and Financial Literacy School for Corporate Governance School for Securities Information and Research

4. Objectives of this Initiative Creating awareness of personal finance framework. Awareness of pre-requisites for investing in securities markets. Understanding of precautions and awareness of risk involved while investing in securities markets Capacity building for evaluation of investment opportunities in securities markets. Awareness of employment opportunities in financial service industries. Creating awareness of self- employment opportunities viz. investment advisors or authorized persons of brokers. Empowerment of students for facing interviews with financial services industry employment opportunities.

5. Program Outline – Eight Comprehensive Sessions Session I – Importance of Investment Session II – Financial Investment Opportunities Session III – Process & Pre- requisites to invest in Securities Markets Session IV – Investment in Primary Markets Session V – Investing in Secondary Markets Session VI – Introduction to Mutual funds and ways to invest in them Session VII – Precautions while investing in Securities Markets Session VIII – Career in Securities Markets

6. Importance of Financial Education “Financial Education fuels financial literacy which enables an inclusive financial system” OECD defines financial education as: “the process by which financial consumers/ investors improve their understanding of financial products, concepts and risks and, through information, instruction and/or objective advice develop the skills and confidence to become more aware of (financial) risks and opportunities to make informed choices, to know where to go for help, and take other effective actions to improve their financial wellbeing”.

7. Financial Education Objectives

8. Importance of Investment Session - I

9. Life Goals… Building your home Buying agricultural land Setting up a small business Children’s Education Marriage Retirement

10. …are also Financial Goals Building your home Buying agricultural land Setting up a small business Children’s Education Marriage Retirement

11. Financial Concepts which have an impact on your life

12. INCOME Where Does Your Money Come From? Salary Business House Property Agriculture Investments

13. Expense Budgeting Where Does Your Money Go? Track expenses for one month What did you buy Which were needs vs. wants Categorize spending (clothing, food, etc.) Patterns of spending Identify impulsive spending (malls) Inflation

14. Savings and Investment

15. Planting seeds Keeping them in a box Mango trees which give you more mangoes Boxes full of mango seeds

16. Investing Saving Wealth Grows Wealth does not grow This is exactly the difference between Savings and Investment .

17. Useful tips on Saving Saving s are not done once; save regularly Spend less to save more; record your expenses Save to avoid debt Save and invest first and s pend later Classify Expenses in Need and Want Monthly Surplus = Income – Expenses Atleast 25% of your monthly income should be saved and invested

18. 1 kg sugar 10 years ago Rs. 16 Rs. 50 Rs. 80 Today 8 years from now Inflation

19. Inflation !! …. How does it affect us ??? 1 yrs Inflation 7% After one year 1 Kg = Rs 107 1 Kg = Rs 100 Money Deposited Rs . 100 Saving Interest Rate 4 % Balance after one Year Rs.104

20. Inflation !! …. How does it affect us ??? Short by Rs . 3/- 1 yrs Inflation 7% After one year 1 Kg = Rs 107 1 Kg = Rs 100 Money Deposited Rs . 100 Saving Interest Rate 4 % Balance after one Year Rs.104

21. Inflation !! …. How does it affect us ??? Invest some portion of your saving in Financial products which can match or beat inflation !!! Very Important !! 1 yrs Inflation 7% After one year 1 Kg = Rs 107 1 Kg = Rs 100 Money Deposited Rs . 100 Saving Interest Rate 4 % Balance after one Year Rs.104

22. Investment for Various Goals

23. Long-term investments give higher returns A monthly investment of Rs. 5000 at 8% p.a. Rs . 5000 per month Value: Rs . 17.60 lakh Value: Rs. 30 lakh Investment In 15 years In 20 years Amount invested Rs. 9 lakh Amount invested 12 lakh In 30 years Value: Rs. 75 lakh Amount invested 18 lakh

24. Rule of 72

25. Delay in Investing can be Costly (example) Goal: Children Education Amount Required:- 15,00,000 /- Expected Return:- 8% p.a Duration 20 Years For 20 Years Investment per month Rs . 2,546 /- (Delay by 3 Years) For 17 Years Investment per month Rs . 3,474 /- (928) (Delay by 5 Years) For 15 Years Investment per month Rs . 4,335 /- (1,789) (Delay by 10 Years) For 10 Years Investment per month Rs . 8,200 /- (5,654) (Delay by 15 Years) For 5 Years Investment per month Rs . 20,415 /- (17,869)

26. Popular Asset Classes

27. Equity Direct Equity Equity Mutual Funds Fixed Income PPF EPF/VPF Fixed Deposits Small Savings Investments Debt Mutual Funds Tax Free Bonds Gold Physical Gold Gold ETF Gold Mutual Funds Real Estate Physical Real Estate Mutual Funds

28. Three Pillars of Investment Safety Liquidity Return

29. END of Session - I

30. Financial Investment Opportunities Session - II

31. Financial Instruments to Realise financial Goals To realise various financial goals, an investor may invest into different asset classes. The selection of any Assets class should be based on: - Investor Risk Appetite Investor Time Horizon Investor Income and Expenses Investor Liabilities

32. Small Savings Schemes Product Return Tenure ( yrs ) Tax benefits Minimum Investments Maximum Investments Interest earned Maturity Public Provident Fund 7.10% 15 Yes under Section 80C 500 1.5 Lac Tax exempt Tax exempt National Savings Certificate 6.80% 5 Yes under Section 80C 100 no maximum Investment Taxable Tax exempt Sukanya Samriddhi Scheme 7.60% 21 Max Yes under Section 80C 250 1.5 Lac Tax exempt Tax exempt Liquidity is limited for all the products mentioned above

33. Fixed Deposits Product Return Risk Liquidity Tenure Tax Benefits Interest earn Maturity Ease Bank Fixed Deposits 4-6% Low High 7 days to 10 years Yes – for selective FDs only Taxable Tax exempt Medium Post Office Fixed Deposits 5% - 7% Low Limited 1-5 years Yes Tax exempt Tax exempt Low Company Fixed Deposits 5-7% Medium to High Limited 1-5 years No Taxable Tax exempt Low

34. Mutual Funds Professional Investment Managers Minimum Investment at Rs . 500 per month Regulated by SEBI ELSS – Tax Saving Mutual Funds Different solutions to fulfill GOALS Equity Market Debt Market

35. Gold as Investments ??? Gold Jewellery Gold Bar & Coins Gold Mutual Funds Sovereign Gold Bonds

36. Particulars Returns/ earnings Safety Purity Gains Tradability  Storage expenses Physical Gold Lower than real return due to making charges Unregulated and Risk of theft Purity always remains a question LTCG after 3 years Limited High Gold ETF Little less than actual return High High LTCG after 3 years Tradable on Exchange Minimum Sovereign Gold Bond More than actual return on gold High High LTCG post 3 years. (No capital gain tax if redeemed after maturity) Can be traded and redeemed from the 5th year with government Minimum Gold as Investments ….

37. Direct Investment in Equity Requires

38. Investment via Mutual Fund Route

39. Merits of MF Investing over Direct Equity Investment

40. Role of Securities Markets Securities market is a market where companies raise financial resources through issue of shares and debentures. The shareholders who subscribe to the shares of companies become owners of the companies. Such shares can be traded in the market and serve as an investment vehicle for investors.

41. Products available in Securities Markets

42. END of Session - II

43. Process and perquisite to invest in Securities Markets Session - III

44. Participation in Securities Markets In order to participate in Securities Market, an Investor needs to have following three accounts : - Bank Account Trading account with a broker Demat account with a Depository Participant To open all these accounts one must be comply with KYC (Know your Customer) norms ie ., proof of identity, proof of address, email ID and Contact number etc.

45. Accounts needed to trade in securities market Savings Bank Account - Savings Account can be in any bank - Transfer/ receipt of funds from buying/ selling of securities Demat Account - With a SEBI registered Depository Participant (DP) - To hold shares in Demat (electronic) mode Trading Account - With SEBI registered Stock Broker( Trading Member/ TM) - To buy/ sell securities Pre-requisites for buying/ selling shares in Securities market

46. Forms to be Filled to open a new Trading & Demat Account A new investor has to register with a Stock Broker through whom the trades are executed on the Exchange. The investor needs to fill two forms for Opening of Trading & Demat Account : Know Your Client (KYC) Form: To provide basic information of the new investor. Two modes for KYC are : Physical KYC e-KYC (online KYC) 2. Account Opening Form: Details of various services and charges being applied on the new investor.

47. Trading / Demat Account Opening Form Documents to open Trading / Demat account: PAN Card: Mandatory Document & also Proof of Identity. Same document like Driving License/ Passport. PROOF OF IDENTITY - P e rma n ent Ac c ou n t Numb e r (PAN) Card – Mandatory Voter ID Card Driving License Passport Aadhaar Card Any other valid identity card issued by Central or State Government PROOF OF ADDRESS Voter ID Card Driving License Passport Ration Card Aadhaar Card Bank account statement or bank passbook Utility bills, e.g. electricity bill or gas bill.

48. Trading/ Demat Account Opening Form Proof of Income (for investors who chose to trade in Derivatives – F&O/ Commodities/ Currency) Proof of Bank Account (any one) Bank account statement for last 6 months Cancelled Cheque (with name of investor above sign here section) Latest Salary Slips/ Form 16 in case of salaried person Bank Passbook {with Indian Financial System Code (IFSC)} Copy of ITR Acknowledgement Passport Copy of Net-worth Certificate issued by a Chartered Accountant Statement of Demat holdings Documents to open Trading/ Demat account: If i n v e stor i s una ble to p ro du ce the o r i g i na ls o f th e se do c u m en ts for verification, he may submit self-attested photocopies.

49. Documents in Account Opening Forms - Trading & Demat Accoun t D o ’ s and D o n ’t s for tra d i n g on Exchanges. P o l i c i es an d Proc e d u r es o f Stock Broker. Tariff Sheet. ** (to be submitted only if investor is availing of additional services Account Opening Form has two type of documents : MANDATORY DOCUMENTS VOLUNTARY DOCUMENTS** Rights & Obligations of Stock Broker  Running Account Authorization. and Investor. Power of Attorney (PoA). Uniform Risk Disclosure Documents. Electronic Contract Note (ECN) Declaration. C o nsent for e l ectro n i c communication and receiving alerts (Email/ SMS).

50. In-Person Verification (IPV) Compulsory for opening trading/ demat account. It can be done through physical verification/ online verification using webcam at the Stock Broker’s office. In case of e-KYC, Video In Person Verification (VIPV) for Individuals is also available. In-person verification of the client is not required to be carried out, if: KY C of the invest o r i s comple te d u s ing the Aadha a r a u t h enticatio n / verification of UIDAI. KY C form h as b een su b mi t ted o nline, d o c u m en t s have b e en pro v ided through DigiLocker or any other source which could be verified online.

51. e - KYC .

52. e-KYC Process - Outline Fi l l the account op e ning d e ta i l s/ form on li ne i n the Stock Broker’s website. Submit scanned images of the mandatory documents/ POA (Proof of address) / POI(Proof of Identity). Complete IPV (In Person Verification) process over video call. Digitally Sign the document. Account gets activated.

53. Benefits of e-KYC Benefits of e-KYC No need to visit the Stock Brok e r ’ s office Convenient Registration and Paperless Process Easy Retrieval of KYC Documents Digital Authent i cation Quickly start i n v e sti n g Time S a vi n g

54. Process Outline : Verification : Mobile and Email  through One Time Password (OTP) Aadhaar  through UIDAI’s authentication/ verification mechanism PAN  through Income Tax Database Bank account details  by initiating small transfer (usually Re.1/-) which would provide details on name of account holder, bank and IFSC code, also called Penny Drop Mechanism. Documents other than Aadhaar  through Digilocker/ e-Sign mechanism e-KYC Process Visit Website/ App/ Digital platform of Stock Broker Fill online KYC Form Submit documents online as photograph/ scan of original documents, under e-Sign

55. Centralized KYC (C-KYC) in Securities Market KYC registration is centralized through KYC Registration Agencies (KRAs) registered with SEBI. Each investor to undergo KYC process only once in securities market and details would be shared with other intermediaries by the KRAs. Standard Account Opening form (AOF) has 2 parts: Part I : Basic and uniform KYC details of the investor P a rt I I : A d d iti o n al KY C i n format i o n a s may b e soug h t by various Intermediaries 14

56. Read all documents in KYC carefully before signing. Select the Segment and Stock Exchange on which you wish to trade by affixing your signature instead of a Tick mark or YES. Strike off which ever is not opted. Sign on the Tariff Sheet. Select / Unselect Online Trading Option. Power of Attorney (PoA) should only be given to access your accounts to the extent of the obligation. No POA to be given to trade on your behalf. Policies, Procedures, Brokerage Rates, Other Charges vary for every Stock Broker. Investors have to sign only on one document while opening any account and are supposed to submit KYC documents only once. Give your own email id/mobile number while submitting the KYC documents. Please remember that no one can guarantee assured returns in the securities market. Points to remember for new investors

57. Important Intermediaries in Securities Market An Intermediary is an important link in any Securities Market. They perform various functions which enable the smooth and efficient functioning of Securities Markets and Capital formation as given below: KYC of clients Educate investment opportunities to investors. Help investors invest in public issues. Execute investor’s instructions for trade and settlement. Some qualified intermediaries render investment advise. Brokers perform some risk bearing functions.

58. Indian Securities Market – Structure

59. Three I’s of Securities Market

60. Merchant Bankers Underwriters Primary market specialists who promise to pick up that portion of an offer of securities which may not be bought / subscribed by investors Stock Brokers Registered trading members of stock exchanges. Facilitates new issuance of securities to investors. Enables all buy and sell transactions of investors on stock exchanges. All secondary market transactions on stock exchanges have to be conducted through registered brokers. Plays a pivotal role in Initial Public Offering Advise the promoter entity during raising of finance Launch a suitable money raising instrument (IPO, Debenture, FPO)etc. after assessing promotor’s needs manage the entire issue process until the securities are issued and listed on a stock exchange Conduct due diligence on statements made in prospectus Intermediaries in Securities Markets 1/4

61. Authorized persons (AP) Depository and Depository Participants Enable investors to hold and transact securities in the dematerialised (Electronic) form. Depository participants (DPs) open investor accounts, in which they hold the securities that they have bought in dematerialised form. DPs help investors receive and deliver securities when they trade in them. Investor-level accounts in securities are held and maintained by the DP, the company level accounts of securities issued is held and maintained by the depository. In other words, DPs act as agents of the Depositories. Registrar and Transfer Agents Maintains records of Investors accounts and transactions Receive and Disburse funds from Investor transactions Prepare and Distribute account statements Provides transaction service to Investors Agents of the brokers (previously referred to as sub-brokers) and are registered with the respective stock exchanges. help in reaching the services of brokers to a larger number of investors. provide various services such as research, analysis and recommendations about securities to buy and sell, to their investors Intermediaries in Securities Markets 2/4

62. Asset Mgmt Companies Credit Rating Agencies Credit rating agencies evaluate a debt security to provide a professional opinion about the ability of the issuer to meet the obligations for payment of interest and return of principal as indicated in the security. They use rating symbols to rank debt issues, which enable investors to assess the default risk in a security. Credit Ratings impact the valuation of Debt Securities Portfolio Managers A portfolio manager ideates and implements investment strategies for individuals or institutional investors. In most situations, a portfolio manager implements a predetermined investment strategy defined by an Investment Policy Statement (IPS) in order to achieve investment goals of their Investors Asset Mgmt companies are a vehicle to pool investment of various investors for a common objective. They charge a fee for their services Asset management companies are permitted to offer securities (called units) that represent participation in a pool of money, which is used to create the portfolio. They act on behalf of the investor in creating and managing a portfolio. Intermediaries in Securities Markets 3/4

63. Investment Advisors Research Analyst Specialist who analyze Economy, Industry and Companies before offering their investment Advice and recommendations. Research Analysts are supposed to make the stock markets safer and healthier with their expertise and unbiased advice. Investment adviser work with investors to help them make a choice of securities that they can buy, based on an assessment of their needs, time horizon return expectation and ability to bear risk. They may also be involved in creating financial plans for investors, where they define the goals for which investors need to save money and propose appropriate investment strategies to meet the defined goals. Intermediaries in Securities Markets 4/4

64. Investors in Securities Market - 1/2

65. Investors in Securities Market - 2/2

66. Cut – Off Price Companies coming up with Book Building Public Issue decided a price band for the issue. The price band usually contains an upper level and a lower level. Cut-off price means the investor is ready to pay whatever price is decided by the company at the end of the book building process. “For ex. An ABC ltd. has come up an issue of 2000 cr. with a price band of Rs 400 –Rs 480 per share. An investor can choose any price in this range while subscribing for the company share. Apart from price range, investors also get an option to apply at Cut – off Price instead of selecting any price. If an investor selects Cut –off price, that means s/he is willing to subscribe the issue at the price being decided by the company at the end of the Book Building process. “

67. END of Session - III

68. Investment in Primary Markets Session - IV

69. Primary market : Channel for offer of new securities , while the secondary market deals in securities previously issued. The issuer of securities offers the securities in the primary market to raise capital . Securities can also be offered in the market by existing shareholders / promoters of the company, which is called as offer for sale . Introduction to Primary Market (1/2)

70. Examples of objects of the Issue (Use of Funds) : new projects Expansion / Diversification or modernisation . Working capital requirement Repayment of debt. The objects of the issue and intended utilization of funds are distinctly stated by issuers in the Offer Document In primary markets securities are offered to the public for the first time Introduction to Primary Market (2/2)

71. Modes of Capital Issuances (1/3)

72. IPO FPO Further Public Offer / Follow-on Offer Done by already listed company Fresh issue of securities / Offer for sale of securities to public Rights Issue Done by already listed company Issue of securities to its existing shareholders (as on a Record date) Record Date is fixed by the issuer The rights offered in a particular ratio to the number of securities held by existing shareholders as on the record date. Initial Public Offering Done by unlisted company Fresh issue of securities / offers its existing securities for sale / Both Securities issued for the first time to the public Paves way for listing and trading of the issuer’s securities in the Stock Exchange(s). Modes of Capital Issuances (2/3)

73. Modes of Capital Issuances (3/3) Preferential Issue Qualified Institutional Placement Done by already listed company Issue of shares / convertible securities (like warrants) to Qualified Institutional Buyers (QIBs), it is called as Qualified Institutional Placement. It is subject to prescribed norms such as minimum pricing and minimum public shareholding. Done by already listed company Issue of shares / convertible securities (like warrants) to a select group of persons It is subject to prescribed norms such as minimum pricing, minimum public shareholding and lock-in. Bonus Issue Done by already listed company Issue of shares to existing shareholders (as on a record date) Existing shareholders need not make any payment for “Bonus” shares The shares are issued out of the company’s free reserve or share premium account Issued in a particular ratio to the number of securities held on record date.

74. What is IPO? IPO means  Initial Public Offering It is a process by which a company becomes a publicly listed and traded company by offering its shares to the public for the first time An Issuer has to file a Draft Offer Document in a prescribed format with the Securities and Exchange Board of India, Stock Exchanges and the Registrar of Companies (ROC) for listing on the stock exchanges Once the Issuer receives observations from regulatory authorities, the issuer can open the offer inviting general public to invest in the IPO Post successful completion of the Offer the shares of the company are traded on the stock exchange(s) where they get listed (I e., becomes eligible to be traded on stock exchange) An IPO can be for fresh issue of shares of the company or an offer for sale of shares by the existing owners or a combination of both. For an investor, IPO or OFS will make no difference.

75. Process to participate in Primary Markets Investors who want to acquire shares in primary market do so only when a company announces offer of its shares. Announcements are usually made on news papers and your broker may also give information . The companies issue Prospectus where detailed announcement, instructions, pricing, modalities of application, subscription opening and closing days, basis of allotment etc. are available. Investors will have to fill the Application Form indicating the number of shares applied for. Investors need not part with the application money immediately, rather, can use the service of ASBA. ASBA means Application Supported by Blocked Amount. Investors can earmark required application money amount in their SB account and the bank will debit the amount only after allotment of shares.

76. How to apply in Public Issue? ONLINE MODE ASBA Application Supported by Blocked Amount. Facility provided by Self Certified Syndicate Banks (SCSCBs) Full Bid Amount blocked in the bank account of the bidder. UPI in ASBA For  Retail Individual Investors. Bidding for retail investors reserved up to Rs.2,00,000/- . Application via UPI facility of Sponsor Bank. 3-in-1 Account Applying in IPO through 3-in-1 account ( demat , trading and bank account). OFFLINE MODE Filled Form To open a Demat Account first. Investors may obtain Application Form from Stock Broker/ Sponsor Bank/ Exchange Website. Form submitted to Stock Broker/ Sponsor Bank.

77. ASBA Application via Online Mode Source : https://www.onlinesbi.com/

78. IPO Application Form via UPI Source : https://www.bhimupi.org.in/

79. Post Issuance Post Issuance, the securities get listed at Recognised stock exchange. An investor can buy / sell securities at these exchanges as per their needs.

80. Investing - Due Diligence Why Due Diligence? Investment without analysis is like driving on a highway blindfolded. Pro active approach enabling investors to know about prospective investment. Better understanding about the past performance. Your own assessment about possibility of future growth of the company and thus of investment made in the company. What questions to ask before investing? Is the company’s revenue increasing? Is the company actually making a profit? Is the company able to repay its debts? Is the company in a position strong enough to compete with its peers? What is the price offered by institutional or Qualified investors (This price get divulge one day before the issue open for retail investors.)

81. Information in Offer Document (1/4) Below are the table of contents of an Offer Document for illustrative reference: Any Investor, who is willing to invest in any prospective offering of shares, must go through such offer documents.

82. Information in Offer Document (2/4) About the company Business: Details of the company’s business model, its strategies and manufactured products/process/services History and Corporate Matters: Details on the material events taken place in the history of the company and other corporate matters Management and Promoter Section Background and the experience of the company’s management team in the industry. Financials Contains the company's income statement and balance sheet from Enables investor to understand the company’s performance in the past few years and its growth potential.

83. Information in Offer Document (3/4) Risk Factors Mentions about risks associated with the business, industry etc. Capital Structure Contains details of capital formation of the company, the existing shareholders and their percentage shareholdings etc. Objects of the Issue Informs about basic purpose of the company for going public and / or raising funds. This section enables Investor to ascertain as to how the funds will be utilized. Basis for Issue Price Helps to understand the basis for pricing and to compare it with other listed entities in the same / similar segment.

84. Information in Offer Document (4/4) Managements discussions and Analysis of financial conditions and results of operations Information related to the strength of the company's business plan, recent developments, performance etc. Has analysis of performance with qualitative and quantitative measures. This only represents the thoughts and opinions of management. Litigation and Dispute matters Details of litigations in which the issuer company, subsidiary( ies ), group company( ies ), promoter(s) are involved.

85. Sources of Information for Analysis Key sources of information alongside offer documents / public announcements / statutory releases : Research Reports; ROC Filings made by the Company since Inception; Industry Reports; Credit Ratings; Third Party Reports/certification on project; Techno Economic Viability Reports of their projects etc.

86. Price Discovery of Shares in a Public Offering More common mode of IPO

87. Price Discovery of Shares in a Public Offering - Fixed price issue (1/2) Fixed price issue: Company along with Merchant banker fix a price at which the securities are offered and would be allotted to investors This price which is fixed per issue is printed in the Offer Document. Usually the Offer document also contains reasoning behind the price at which shares are offered. Demand for the securities offered is known only after the closure of the issue 50 % of the shares offered are reserved for applications below Rs . 2 lakh and the balance for higher amount applications. This form of issuing securities is no longer popular and being used by issuers

88. Price Discovery of Shares in a Public Offering - Fixed price issue (2/2) Illustration of Fixed Price Issue: The number of shares to be issued and price of issuance are mentioned on the forst page of the prospectus The price is already fixed prior to the IPO. No price discovery mechanism is used. All application for shares have to be made at the price mentioned else they are considered as invalid bids.

89. Price Discovery of Shares in a Public Offering (1/3) Book Built Issue: Company may offer a maximum of 20% price band in which one can bid for shares. The lower end of this Price Band is called “Floor Price”, while the higher end is called “Cap Price”. Eg : Rs 100 to Rs 120 Price at which share is finally issued to investor is discovered on the basis of demand at various price levels (within Price band), Investors must specify the number of shares they want to buy and how much they are willing to pay per share (within the price band range).

90. Price Discovery of Shares in a Public Offering (2/3) Stages in Book Building: The Company who is planning an IPO nominates the Lead Merchant banker(s) as “Book Runner ” The bids for these shares have to be given by investors to “Syndicate Members” The syndicate members input the orders into an “Electronic Book” . This process is called “Bidding” . The book normally remains open for a period of 5 days . QIB’s place their bid a day before the issue open for Retail Investors. The subscription to QIB portion give a hint to Retail investors about the interest of market in an IPO Bids have to be entered within the specified price band . Investor can revise a bid before the book closes. On the close of the book building period, the Book Runner evaluates the bids on the basis of the demand at various price levels . The book runners and the issuing Company decide the final price at which the securities shall be issued. Finally allocation of securities is made to the successful bidders. The rest of bidders get refund of their money.

91. Price Discovery of Shares in a Public Offering (3/3) Illustration of Book Building issue: Assume a price band of Rs . 20.00 (Floor Price) to Rs . 24.00 (Cap Price) per share, and total available shares (issue size) is 3,000 shares. Company received five bids from bidders, details of which are shown in the table below. The price discovery is a function of demand at various prices. The highest price at which the issuer is able to issue the entire size of 3000 shares is the price at which the “book cuts off”, i.e., Rs . 22.00 The issuer, in consultation with the Book Running Lead Manager will finalize the issue price at or below such cut-off price, i.e., at or below Rs.22.00 All bids at or above this issue price and cut-off bids (allowed for retail investors only) are valid bids and are considered for allocation in the respective categories. Bid Quantity Bid Price ( Rs .) Cumulative Bid Quantity Subscription 500 24 500 16.67% 1,000 23 1,500 50.00% 1,500 22 3,000 100.00% 2,000 21 5,000 166.67% 2,500 20 7,500 250.00%

92. Allotment Intimation, Transfer of Shares and Debit/Credit of Funds The Company with the Lead Mangers, Registrar, and Stock Exchanges finalize the basis of allotment Intimation of allotment to applicants is made through ordinary post / email and the allotment information are available on the website of the Registrar The Basis of Allotment is published and gives details of category wise demand for shares and how shares have been allotted. Registrar prepares and releases the fund transfer instruction for transfer of funds to Public Issue and unblocking of funds wherein bidders have not received allotment. Registrar also gives instructions to NSDL and CDSL for credit of Equity Shares to the successful Bidders as specified in the Offer documents Investor and check the date of allotment and date of listing of the shares in the Offer Document

93. Illustration for checking details of Allotment and Listing Dates These details can be found in the Section on “ Offer related information – Terms of the offer ”

94. Checking Allotment Status in IPO Investors are normally informed by email/letter about the status of allotment / refund with regard to their IPO application. Investor can also check the status of Allotment of shares by visiting the “Investor Services” section on the website of the Registrar for the Issue (RTA) on the indicative Allotment Date mentioned in the Offer Document. In case of any issue with regard to Non- allottment of shares / Refund etc, investor should contact the RTA immediately. The Contact details of the RTA is always provided in the Offer Document of the IPO and is also available at : https://www.sebi.gov.in/sebiweb/other/OtherAction.do?doRecognisedFpi=yes&intmId=10 In the event of non-satisfactory resolution of the issue by the RTA, investor can file a complaint with SEBI on the SEBI Complaints Redress System (SCORES) at : https://scores.gov.in/

95. END of Session - IV

96. Investment in Secondary Markets Session - V

97. Secondary Market – Meaning Securities issued by a company for the first time are offered to the public in the primary market. Once the IPO is done and the stock is listed, they are traded in the secondary market. The main difference between the two is that in the primary market, an investor gets securities directly from the company through IPOs, while in the secondary market, one purchases securities from other investors who willing to sell the same.  An investor can trade in securities through the stock exchange with the help of SEBI’s registered brokers who aid their client for buying and selling of various securities. Some brokers offer internet trade facility or mobile trading facility where investor may place order directly through internet facility offered; Some brokers receive trade orders through telephone or cell phone; Some brokers have offices to which investor may physically go, place orders and see that such order is actually executed on the trading terminal. Some brokers offer all the above facilities.

98. Functions and Utilities Economic Barometer. Efficient Pricing of Securities. Safety of Transactions. Contributes to Economic Growth. Spreading of Equity Cult. Promotes Healthy Speculation. Improves Liquidity. Efficient Capital Allocation. Encourages Savings and Investments.

99. Primary v/s Secondary Market : Key Differentiation Primary market Secondary market Features Primary Market Secondary Market Definition Securities are issued for the first time to public Trading of already issued securities Also known as New Issue Market Post Issue Market Pricing Prices are determined by Issuer company Prices are determined by market (demand and supply forces) Key Intermediaries Merchant Bankers , RTAs AND DEPOSITORIES. Stock Brokers, CLEAING MEMBER, DEPOSITORY PARTICIPANTS Purpose To raise capital for expansion, diversification, etc. Trading of securities and thereby providing liquidity to investors; COMPANY WILL NOT GET MONEY; EXISTING INVESTOR WILL BE ABLE TO EXIT FROM THE INVESTMENT.

100. Process to Invest through Secondary Markets An investor who desires to invest in shares of companies has to open three accounts – popularly known as 3 in One Accounts. These are Savings Bank account with a Bank, a Trading Account with a Stock Broker, and a Demat account with Depository Institution. For opening the trading account and Demat account, your nearest stock broker will help you for which KYC documents – documents of Identity Proof and Address Proof are required. Once trading account and demat account are opened, an investor can through the stock broker buy and sell the shares. The buying and selling of shares are done at the then prevailing market rate. Before selecting a broker, check broker’s track record on stock exchange website – number of investor grievances, number of investor accounts, whether the broker has a branch office in your town/city, etc.

101. How can one begin trading in Secondary market? Open a demat account with a DP Open a Savings / Current account in a bank Open a Trading account with a Stock broker/ Authorized Person Begin giving orders for buy / sale; Pay margin money to broker Get confirmation for order placed; get confirmation for trade executed and a contract note. You can confirm if the trade is done on your behalf on the stock exchange web site as well. Receive /give securities in / from your demat account if you have bought / sold Pay / receive funds for securities you have bought/sold

102. Due Diligence to be done Underlying factors that affect a company’s actual business and its future prospects Questions to ask before investing include - Is the company’s revenue growing? Is the company actually making a profit? Is the company able to repay its debts? Is the company in a position strong enough to compete with its peers? Does the company pay dividends? What has been the trend of prices of the shares? Check recent development in the company on stock exchange website.

103. 112 Due Diligence to be done Through S tock Excha n ge W e b si t e C o mpa n y W e b s i te Ind u s t ry R e search N e wspa p e rs/ Mag a z i n e s Social Me d ia

104. Important f a c t ors a nd me t ric s for Du e Diligence Details o f P r omot e r s & Sh a r e holding / p l ed g ed s ha re s o f the C o m pan y . (available on company/stock exchange website) Sc o p e / G ro w th/C o mp e titio n/Pro fita b i l i t y /S truct u re o f In d ustr y o f the C o mp a n y . (quarterly and annual disclosures made to stock exchange - available on company/stock exchange website) Fin a ncial s o f t h e C o mpa n y v iz. E a rni n gs p er Sha r e (EPS), Pri c e to E a r n i n g s , R a tio (P/E), Book V a lu e , e tc ( all this available in quarterly results published on stock exchange web site) . C a sh F l o w s from o p er a tio n s . ( a part of financial statements every year ; available on company/stock exchange website) P ast Gro w th track rec o rd o f s a les turno v e r & prof i tabi l it y . ( a part of financial statements every year ; available on company/stock exchange website) D i vi d e n d s p a i d b y com p a n y i n l ast 5 y e a r s. D e b t o f the C o mp a n y . ( ( a part of financial statements every year ; available on company/stock exchange website) C o rp o rate Gov e rn a nc e T rack rec o r d. ( a part of financial statements every year ; available on company/stock exchange website) 113

105. Ho w t o Place Order s ?

106. Modes of Placing Orders to trade While placing order to trade you receive SMS/ Email alerts on your registered mobile number and email account.

107. Place Or d e r : V isit to Brok e r ’ s Office S teps for T rad i ng by v is i t to S tock Broker ’ s Off ice V isit th e Des i gnate d Branch o f th e S t oc k broke r an d make an en t ry in t he vis i t o r ’ s re g is t er at t he pr em ises of t he St o ck Broke r . Get q u ot e fo r t h e scr i p y o u w a nt t o t rade o n. Men t i o n scrip, price , quantit y , t y p e o f orde r y o u w an t to p l ace , th e e x change o n w h ich y o u w an t to e x ecute , w h ile p l ac i n g orde r t o th e Stock broke r . Provi d e proo f o f p l acemen t o f orde r t o th e T rading Me m be r . V erif y t rades a t th e en d o f th e t rading sessi on. T rades ar e subj ec t t o pa y ment o f Ma r gins 116 116 116

108. Plac e Order : By P h o n e “C a ll & T ra de” Ch ec k w he t h e r S t o c k B r ok e r o f f e r s f a cility t o t r ad e v i a P h o n e C all . A l l phone c a ll s for pla c in g o r de r s wit h deal ers a re rec o rded. Steps for T rading by Phone C all C al l t h e phon e nu m b e r gi v e n b y t h e St o ck Brok e r f o r pla c in g o f Orders from t h e M obil e nu m be r regist ere d w i th t he St o ck bro k er C all should connect to the “ C a ll & T r a d e ” facili t y desk of the Stock Broker Con firm i d e n tity d eta ils – N a m e , D a te o f bir t h , P AN nu m be r e tc Pl ace y ou r Or d e r – Scrip de t ail s, Quanti t y , T y p e o f orde r e tc T rading a cc oun t w il l b e update d o n s u cc e ss f u l e x e c u t io n o f t h e orde r . T rades ar e s ubje ct to pa y m en t o f M a r gin s (E x plaine d i n la t e r s lide s)

109. Plac e Order : B y Ema i l Ch ec k w h et h e r S t o c k B r o k e r o f f e r s f a cility t o t r ad e v i a E mai l . A l l pho n e c alls for pla c in g o r de r s wit h deal ers a re rec o rd e d . Steps for T r ading by Email Select “E m ail based tra d ing” i n t h e Acc ount Opening F orm . Send E m ai l w i th detail s o f tra d e – na m e o f scrip, Pric e , Order T y pe , Quanti t y , e tc. E m ai l m u st be s en t from t he s a m e e m ai l ID a s pro v ide d in t h e K Y C f orm T rades are s ubj e ct to pa y m en t of M a r g i n s (E x plaine d in la t e r s lide s) 118

110. Plac e Order : Online ( W ebs i t e / Ap p ) Steps for T rading Onl i ne L i n k y ou r T rading, Dema t a nd B a nk A cc o u nt. S i g n the IBT (Inte rne t ba s e d tradi ng ) agreemen t afte r c he c ki n g the c o sts i n v o lv e d an d the faciliti es prov i ded. V isit w eb s ite o f the Sto c k broke r / In s tall the Onl i n e T rading app. Inv e stor must l og in u si n g U s ernam e an d P a ss w or d prov i ded. Some Stock Brok er s a l so ha v e 2 - Factor v erif i c at i o n s y stem w her e add i ti ona l O TP a lso need s to be entered. Chec k c ur r en t pr ice an d vol um e detai l s o f stock y o u w an t to bu y / s el l o n Market W atc h Secti o n o f the Sto c k broke r ’ s terminal.

111. 120 Plac e Order : Online ( W ebs i t e / Ap p ) Mar ket W a t ch Se c t ion : Al l o ws investo r t o c h e c k detail s of the sto c k that he w a nt s t o buy / s e ll. In f o rmation Di s playe d i n Mar k e t W atc h : Last T rade d Pr i c e ( L T P ). Percentage chang e – % C h ang e from p r eviou s day clos e . Pre v ious day clos e – A t w h a t p r ic e di d the sto c k clos e d the p r eviou s da y . O . H .L. C – Open, Hig h , Low and Clo s e Price s . V o l u m e s – Ho w many s h a r e s a r e b e in g t ra d e d at a p a r t i cul a r poin t of ti m e? Bi d an d ask price ladd e r .

112. Place Or d e r : O n line ( W ebsi t e / A p p) A lway s c h e c k t h e O r d e r s a v ailabl e f o r the s h a r e s of t h e s c r i p b ef o re pl a cing your o r de r . This give s i d e a of supply and d e m a n d ( wha t q u anti t y availabl e f o r w h a t p r i ce) of the s h a r es. S a mple O rder A v a i l abi l ity S c r e en Select the sto c k you w a n t t o trade i n. Place the o r de r for Buy / Sell for a s p e c if i e d qua n ti t y and a s p e c if i e d p r ice S C R IP N A M E B ID O RD E R S Q T Y B ID O RD E R S Q T Y 240 15 5000 241 6 500 239 50 10000 242 54 264 238 36 6800 243 38 398 237 52 2400 244 21 8500 236 35 9000 245 56 412 O p e n 250 H i g h 251 L o w 240 C l o se 246 V o l u m e 65000 A v g P r i c e 248 L T Q 635

113. Sto c k Quot e : C o ntain s dat a po i nts abou t stock o f a co m pan y . V a l ua b l e tool t o ge t a brie f snaps h o t o f a compa n y . D e tai l s in a Sto c k Quote Place Or d e r : Stock Qu o te Co m pa n y na m e and s y m b o l Stock Price Hig h / Low Close Price 5 2 w eek Hig h / Low Net Ch an ge PE Ratio V olu m e 122

114. Pla c e Order : T y pes of Orders 20 PR O DUC T CO D ES MIS – Ma r g i n Intrad a y S q uar e - off For Intra d a y trai n i n g. Inv e stor n e e d s to p a y mar g i n une r i n tra d ay fram e w o rk to u se l e v e r ag e p r o vi d e d b y Sto c k Brok e r . P o siti o n s a ut o matic a l l y sq u ar e d o f f a t EOD. CN C – C a s h an d C a r r y For d e l i very b a sed t ra d es. N o l e v e r age . Inv e stor must h a ve stock i n hi s D e mat acc o u n t for se l l i n g . P o siti o n s n o t a u tom a tica l l y sq u ar e d o f f a t EOD. N R ML – Nor m a l (F o r F&O T r a ding) For ov e rn i g h t tra d i n g o f futur e s a n d o pti o ns. Inv e stor need s to pa y m a r g i n unde r ov e r n i g h t frame w or k to us e lev e ra g e pr o vi d e d b y Stock Brok e r . P o siti o n s n o t a u tom a tica l l y sq u ar e d o f f a t EOD.

115. Placing order to trade A Stock Order is simply the instruction given by the trader / Investor to buy or sell stocks from their trading platform. While placing an order, you might find the various types of orders available on your trading screen like : Limit Order Market Order Stop Loss Order AMO (After Market order) GTC (Good Till Cancelled order) IOC (Immediate or Cancel order) Cover Order (CO) Bracket order (BO)

116. Type of Orders and their Utility Limit Order - A limit order is where the trader can set a predetermined price to buy or sell a share. Market Order - A market order buys or sells at the current market price of the share. AMO (After Market Order) - AMO’s are the trades which are placed after the market is closed. AMO can also be placed at Market Price. IOC (Immediate or Cancel Order) - As the name suggests, when you place an IOC trade, if the trade isn’t executed immediately as soon as it is placed on the exchange, it gets cancelled.

117. Type of Orders and their Utility Stop Loss Order - A stop loss is where a trader can limit his losses by exiting the trade if the share reaches the trigger price. By placing a stop loss, you can save yourself from heavy losses if the price of a share rises or falls suddenly. Cover Order (CO) - Cover order is one of the types of orders where you can enter into a position along with stop loss in the same trade. Bracket Order (BO) - Bracket order is a trade where 3 orders bundled into one. Here, you can place a trade with a target price and a stop loss.

118. Trading Terminal Features The login process Access to Market Watch List Creation of Customised Watch List Placing of Buy / Sell Order Access to Trade Book Access to Order Book Seamless Fund Transfer

119. Purpose of Order Book : Keeps a record of all the orders put by the client Check order details of past orders Modify the orders Check Status of Order (Open / Completed / Rejected) Trading History : Once Order is placed and trade get executed, details are trade are visible on Trade history Page. Prior to execution of trade one can Modify Order. Place Order : Client Order Book

120. Fully understand the system , features and meaning of each option. Good practices for Trading Password Make your trading password complicated and difficult to guess. Avoid simple hack-able passwords like your name, your surname, date of birth, marriage anniversary etc. Do not ever write down your password on a piece of paper for the sake of future reference. Above all, never share your log in details with anybody else. Web browsers offer you the facility to remember your password. Investors are advised to avoid using this. Place Order : Precautions to be taken for online modes (website/apps) (1/3)

121. Avoid accessing your internet account from cyber cafes. Most of the cyber cafes do not use proper anti-virus and anti-phishing software, which means your password can be easily stolen. On your personal PC or laptop always ensure that the virus protection is up-to-date. Be wary of fraudulent phone calls and emails which try to elicit details of your trading and bank accounts. Never let your trading screen remain unattended at any point of time. Make it a point to log out of your trading account when you are through instead of just closing the window. Take additional care while filling in quantity and price; if quantity is typed in price columns and price on quantity column, great disaster can happen; once trade is done – it cannot be reversed. Broker also cannot help in this. Place Order : Precautions to be taken for online modes (website/apps) (2/3)

122. Avoid accessing your internet trading account through free wi-fi offered at airports, malls etc. These are often unsecure networks. Before you trade ensure that your trading address starts with https:// and not http:// to be doubly sure that it is a secured site. Regularly cross check your personal trade sheet, your order book and your trade book. Also, check the contract notes and reconcile it with your bank account and demat account at least once a week. Place Order : Precautions to be taken for online modes (website/apps) (3/3)

123. Post Trade Checks

124. Post - T r ade: T r a de Confirma t ion by Stock Exchange T rad e Confir m atio n b y S MS - A t E n d o f D a y , E x change sends SMS & Email conta i n i n g i nfor m atio n o f t rade . - SM S : C o nt a i n s value t rad e d o n a da y (Sample SMS provid e d ) Exa m ple of T rad e Con f ir m at i on: “ D e a r ( P AN N o . ), Y o u r T r ad e d V al u e f o r < D a t e > < Se g > < R s . ---- --- > . C h e c k y o u r r e g i s tered e m ai l i d. For detail s c o ntac t b r o k e r . ” 133

125. Post Trade: Trade Confirmation by Stock Exchange Trade Confirmation by Email Contains breakup of trades executed through a TM on a day Email will come from domain of Stock Exchange Source : https://www.nseindia.com/

126. Post Trade: Trade check / verification on Stock Exchange Website (1/3) Trade verification facility available on the Exchange Website The data on trades would be available on T+1 day. At any given point in time 10 trading days' data would be available for verification. Please ensure to provide / update latest email address and mobile number to trading members. Review with trading members the status of upload of email address and mobile numbers on the NSE UCI Online System to ensure receipt of trade alerts

127. Post Trade: Trade check / verification on Stock Exchange Website (2/3) Source : https://www.nseindia.com/

128. Post Trade: Trade check / verification on Stock Exchange Website (3/3) Source : https://www.bseindia.com/

129. Post T rade : Contrac t Note Wh a t is a C o ntract n o te? R ec o rd o f an y tran s a c tion. C o nfirmatio n o f trade don e . In c a se o f di sc r epa n c y , c o ntac t your bro k e r immediatel y . What d o e s a Con tr ac t N ote contain? Detail s o f transact i on. D ate, T ime , Price, Qua nti t y , T ra d e ID, various c h a r ge s / levies , etc. H o w to rec e ive a C o ntract N o te? W ithi n 2 4 h o u r s fr o m the d at e o f tr a d e exe c utio n . E - C o ntra c t N ote s e n t to re gi stered emai l I D. C an op t for P hysi c a l C o ntra c t N ote. Quarterly sta t emen t o f funds an d se c uritie s . 138

130.  B a si c detai l s:  D etai l s for eac h trade exe c uted ( B u y / Se l l): An y d i s c r e pa n c i e s o b s e r v e d in t h e C o n tr a c t N o t e s s h ou l d b e b r o u g h t t o t h e no t i c e o f y o u r T M in w ri t i n g , i mm ediately P o s t T r ade: What should a C o ntra c t Note Co n t ain? C l i e nt C o de Cl i en t P AN T ra d e D ate O rder No. T rade N o. T rade T ime Scrip C ode/ ISI N / C on tract D e t ails T rad ed Pr ic e T rade Q uant i ty Brok erag e & C harge s (as pe r T arri f f Sheet) Ne t Rate Brought f or w ard Pos i t io n (only in deri v ati v es) 139

131. P o s t T rade : Sam p le Contrac t N o te (1 / 2) 140

132. P o s t T rade : Sam p le Contrac t N o te (2 / 2) 141

133. P o s t T r ade: How to ma k e pa y men t to Stock Broke r (Buy T r a d e )? P A Y -IN OF F U N D S: - Stoc k s : Before T + 2 - D e ri v at i v es : B e fore T +1 - On l y Chequ e / N E FT / R T GS to T M - T ra nsfer from t h e b a n k acc o u n t l i nk e d w it h cl i e n t co d e o n ly - In 3 - in -1 Acc o u nts, fu n d s a re a u tom a tica l l y d e d u cted from li n ked B an k Acc o un t - C o nfirm a tion to b e o b tai n e d from t he T M for rec e i p t o f fu n ds P A Y OUT OF S E C U RITIES : - S h ar e s sh o u l d b e rec e iv e d in B e n e fici a ry Acc o u n t o f i n vest o r w ith i n 2 4 h ou rs o f pa y ou t. C A SH D E A L ING IS S T R C T L Y P R O H IBIT T ED 142

134. P o s t T r ade: How to ma k e pa y men t to Stock Brok e r (Sell T rade ) ? P A Y - OUT OF FU N D S : - Sto ck s : On T +2 - D e ri v at i v es : On T +1 - Stock Brok e r to t ra nsfer f u n d s to the cl i e n t (i n vest o r) w ith i n 2 4 h o ur s of pa y ou t. P A Y -IN OF S E C U RITIES : Inv estor i s a d vis e d to co n firm the av a i l a b i l it y o f sh a res pr i o r to e x ec u ting sa l e o f sh ares. In c a se POA ha s no t bee n g iv e n , e n sure tra nsfer o f sh a res b y g i vi n g a fil l e d i n DIS Sl i p

135. P o s t T r ade: Def a ult of pa y - in o b liga t ion and short deliv e r y of sha r es D e fault of P a y - In O b l i gation an d S h o r t D e l i v e r y of Sha r es D e la y ed pa y m e nt Cha r ge s : L e vied w h e n i n vest o r dela y s the pa y m e nt b e y o n d the pa y - i n time o n the settl e me n t d a y . L e vied to d i s co u rage del a y e d pa y m e n t from i n vest o rs. A uction of s e c uriti es in c a se of def a u l t: When i n vest o r do es not d el i v e r sec u rit i e s by pa y - i n time o n the settl e me n t d a y . For a l l such “sh o rt d e l i ve r i e s”, Clear i n g C o rp o r ati o n c o n d u cts a “ bu y i n g - i n a u cti o n” o n t h e settl e me n t da y ( T + 2 ), afte r com p l e tion o f the pa y - o u t, thr o u g h the e x ch a n g e tra d i n g s y stem.

136. Post T r ade: Se t tle m ent Proc e s s & Runnin g A/C Sett lement of Fund s : Pa y -Out happens on T + 2 Basi s . Se t tlement of fun d s and / or sec u rities t o be do n e withi n one work i n g day of the pa y -out (u nle s s i t i s a “ R unning Ac c oun t” ) . Runn ing A c co u nt A u thor i zation : - Au t ho r i ze by Clie nt t o t h e B r ok e r (in ac c ount . w riting) t o mai n t ain a r unn i n g Funds and sec u rities ma i ntaine d on a ru n nin g a cc o un t b a sis ha v e t o be s e t t le d by Bro k e r on a monthly / qua r terly ba s is , as per the client mandate. B roker h a s t o en s u re t h a t t he r e i s a gap of ma x im u m 30/ 9 da y s ( a s per the client mandate) betwe e n two ru nnin g a c c o un t s e t t lement s . 145

137. C r edi t o f s h a r e s hap p en s o n T+2 day Shares debite d f rom Seller Clien t A / C : Around 1 1 AM. Subse que n tly s h a r e s c o me to Pool A / C o f Bro k er Bro k e r c r edi t these s h a r e s to Ac c oun t o f Buyer b y EOD. In v e s tor s h oul d in s is t that sha r e s b e tran s ferred to hi s o wn D emat A / C and avoid leaving s h ares in S tock Bro k e r ’ s Pool Ac c ount. On T+3 da y , client s h oul d c h e c k hi s Dema t A / C for t h e re c eip t o f s ha r es C h ec k y o u r D emat statem e n t o n D e p o sitory w e b site : N S D L – N S D L ID e AS S peed - e : h tt p s ://es e rv i c e s.n sd l.c o m/ C D S L – C D SL E a s i: http s : / / w w w .cdsl i n d i a.com/F o o ter/Eas i.html 146 P o s t T r ade: Chec king Credi t of Shar e s (De l ive ry T r ades)

138. Post Trade: Do's and Don'ts of keeping funds in Trading Account Dos: Investor should make sure funds to the extent of obligation (Pay-in & Margin) is available in your trading account Investor should transfer funds to the Stock broker for obligation only. Investor should ask Stock broker for Quarterly / Monthly settlement of both funds and securities from the TM; investor can ask for money immediately after sale as well. Check you ledger account periodically. In case of any suspicious entries kindly raise the alert to Stock Broker / Exchange / SEBI immediately

139. Post Trade: Do's and Don'ts of keeping funds in Trading Account Don’ts: Investors are advised not to keep idle funds lying with the Stock Broker Investors are advised not to provide cheques in the name of any “ Authorised Person ” / 3 rd party Pre-Signed Blank Cheques and DIS Slips should NOT be provided to the Stock Broker/ Authorized Person / Employee of the Stock Broker

140. Pre T r a de : Pa y men t of Margins P a y m ent Of M a rgi n : C h e ck y ou r m a r g i n r equ ir e m en t o n Sto c k Br o k e r ’ s w eb site w h i l e p l a ci n g the trad e . P a y the ma r gi n am o u n t to the Stock br o k e r / ma i nt a i n t h e mar g i n a m o u n t i n the l i nk e d B a n k A/C b e fore p l ac i n g or d e r . Y o u m a y a ls o p l edg e se c ur i t i e s i n stead o f d e p o s iti n g c a s h a s margin m o n e y . Th i s can b e d o n e b y su b m ittin g a p l edg e i nstru ct i o n b y filling u p the p l edg e fo r m w i t h the D e po sit o r y . On bu y ing a Stoc k , i n v e s tor may Buy it o n margin o r pa y on ly a % o f its pri c e (ca l l e d marg i n) Pay Ent i re pri c e up front

141. How should you choose a broker/ DP? Always deal with a SEBI registered Intermediary Choose the broker/sub broker / DP on the basis of Character ( Trust) Any action taken by regulator in the past, involvement in dubious schemes Cost Brokerage, AMC Convenience Time , Location, Speed-E facility etc. Online broker? Are you comfortable with technology? Power supply Net connectivity

142. END of Session - V

143. Mutual Funds – An Overview Session - VI

144. What is a Mutual Fund (MF)? 4 Common pool of funds contributed by investors and invested in accordance to the objectives. Investments are he l d i n a tru s t of whi c h the investors alone are the joint beneficial owners. Trustees oversee the management through investment manager s .

145. Structure of Mutual Fund

146. What is an Asset Management Company (AMC)? Investment manager of the mutual fund. Appointed by the trustees, with SEBI approval. Trustees and AMC enter into an investment management agreement. Required to invest seed capital of 1% of amount raised subject to a maximum of Rs.50 lakh in all open-ended schemes. Should have a net worth of at least Rs.50 crore at all times. At least 50% of members of the board of an AMC have to be independent. AMC of one mutual fund cannot be an AMC or trustee of another fund. AMCs cannot engage in any business other than that of financial advisory and investment management 155

147. How does a Mutual Fund Work? Pool o f i n v es t o r s money. In v ested a c c o rd in g to pre-specified investment objectives. Benefits accrue to those that contribute to this pool. There is thus mutuality in the contribution and the benefit. Hence the name ‘ m u t u al ’ fun d . 156

148. Classification of Mutual Funds Classification of Mutual Funds Based on Structure Based on Investment Objective Based on Investment Style Open Ended Funds Closed Ended Funds Interval Funds Debt Funds Equity Funds Hybrid Funds Passive Funds Active Funds 157

149. Classification - Based on Structure No fixed maturity date. Accept continuous sale and re-purchase requests. Transactions are NAV-based. Unit capital is not fixed. Open Ended Funds are c l osed for furth e r Run for a specific period. O f fer e d i n a n NFO but purchases after NFO. Unit capital is kept constant. Closed Ended Funds Variant of closed-ended funds. Becomes open-ended at specific intervals. Have to be mandatorily listed. Interval Funds

150. Classification - Based on Investment Objective Invest in short and long term debt instruments. Aim to provide regular income. Debt Funds Invest in equity securities. Aim to provide growth and capital appreciation over long term. Invest in a combination of equity and debt securities. Proportion of equity and debt may vary. Aim to pr o v i d e for b o th i n co m e an d capital appreciation. Equity Funds Hybrid Funds 159

151. Classification - Based on Investment Style 11 Replicate a market index. Invest in same securities and in same proportion as that of index. No active selection of any stock / sector. Expenses are lower. Portfolio is modified every time index composition changes. Pass i ve Funds Invests in securities and sectors that may offer a better return than the index. Actively manage the allocation to market securities and cash. May perform better or worse than the market index. Incur a higher cost than passive funds. Active Funds

152. Categorization of open-end mutual funds: To ensure uniformity in characteristics of similar type of schemes launched by different mutual funds. Helps investors to evaluate different options available before making informed decision to invest. Hybrid Schemes Categorization of Mutual Fund Schemes Equity Sc h emes Debt Sc h emes Solution oriented Schemes Other Sc h emes Categorization of Mutual Fund Schemes 12

153. How to invest in Mutual Funds? 13 Via Physical Mutual Fund Application Form Via Online Mode (Website of Mutual Fund) V ia Mobile App of Mutual Fund V ia AM F I Registered Mutual Fund Distributor (using physical form/ online/ mobile app)

154. Mutual Funds investment procedure Indicate whether you are a First Time Investor/ Existing Investor. Visit official website of KRA and check whether you are KYC compliant or not. You must submit this KYC status. Provide your details like name, address, etc. Submit Bank account details and copy of “Cancelled Cheque”. Once documents are accepted by Mutual Fund Company, you may start making investment.

155. Investment Modes in Mutual Funds Direct Mutual Fund Directly offered by fund house. No involvement of third party agents – brokers or distributors. No commissions and brokerage. Have low Expense ratio (because of no commissions). Have high NAV. Return is higher due to a lower expense ratio Regular Mutual Fund Bou g ht thr o ugh an intermediary. Intermediaries can be brokers, advisors or distributors. Co m mis s ions and brokerage paid. High E x pe n se ratio a s there are commissions to pay. Low NAV. Return is lower due to a higher expense ratio Regular Mutual Fund

156. Investment Modes in Mutual Funds One time investment. Usually, large sum of money is invested in one go. Investor faces risk of volatility in markets. Lump-sum Inve s tment Staggered Investment. Period of commitment - 6 months, 1 / 3 / 5 years. Specific intervals - monthly, quarterly, half-yearly. Made on specific dates e.g. 1st, 5th, 10th, 15th of every month. Systematic Inve s tment Plan (SIP)

157. Mutual Funds – Investment Modes Lumpsum One time bulk investments (like salary Bonus, maturity of the products) Minimum amount Rs . 5,000 approx SIPs Regular Investments with fixed amount from time to time Minimum amount to start is Rs . 500/- Buy More units @ low Price & Buy Fewer units @ High Prices

158. Transactions in Mutual Funds Purchase One time (Min Rs 5000) SIP (Systematic Investment Plan) (Min Rs 100-500) Periodic transfer from Bank account to Selected Scheme STP (Systematic Transfer Plan) Periodic transfer from One Scheme to Other Scheme Redemption SWP (Systematic Withdrawal Plan)

159. Mutual Fund Investment and wealth creation Those investors who do not want to take risks in directly investing in equities can go through mutual fund route. Mutual Funds are those institutions that mobilizes funds from large sections of public and invest them in securities and transfer the benefits to the investors. Systematic Investment Plan (SIP) of Mutual Funds help salaried class and others to invest a fixed sum regularly, say, every month and participate in the wealth creation process.

160. Disciplined Saving Flexibility Long term Gains Convenience Benefits of SIP

161. Systematic Investment Plan Advantages of investing through SIP are: Discipline: Stay focused, invest regularly, and maintain discipline Power of Compounding : The larger the period, higher the return Rupee Cost Averaging : Investment at regular intervals over time enable to buy more units when the price is lower Convenience : Through giving an ECS mandate to your banker.

162. Merits of SIP over Lumpsum Investment Lumpsum Month Monthly Investment NAV Units Purchased January 12000 10 1200 Feburary       March       April       May       June       July       Aug       Sep       Oct       Nov       Dec       Total 12000 11 1200 Current Market Price of Investment 13200

163. MF SIP – Route to wealth creation   SIP Month Monthly Investment NAV Units Purchased January 1000 10 100.00 Feburary 1000 9 111.11 March 1000 8.5 117.65 April 1000 9 111.11 May 1000 10.1 99.01 June 1000 8.5 117.65 July 1000 8.25 121.21 Aug 1000 8.75 114.29 Sep 1000 9.25 108.11 Oct 1000 10.1 99.01 Nov 1000 9 111.11 Dec 1000 11 90.91 Total 12000   1,301.16 Current Market Price of Investment 14312.78516

164. Mutual Fund Plans – Growth vs Dividend Options 18 Gains made in portfolio are retained and reflected in NAV. Realized profit/loss is treated as capital gains or loss. No increase or decrease in number of units, except if units are purchased or sold, by the investor. Gr o wth Option Fund declares dividend from realized profits. Amount and frequency varies and depends upon distributable surplus. NAV falls after dividend payout to the extent of dividend paid. Dividend Payout Option Dividend is re-invested in same scheme by buying additional units at ex-dividend NAV. Number of units standing to the credit of the investor, increases each time a dividend is declared, and reinvested back into the scheme. Dividend Reinvestment Option

165. I nformation about the Mutual Funds (Offer Document) C o ntai n s g e ne ric an d statu t o ry i n format i o n of mutual fund. Contains financial information of mutual fund. Lays down rights of investor. Other additional information. Statement of additional information (SAI) Scheme type (open or closed end). Investment objective. Asset allocation. Investment strategies. Terms with regard to liquidity. Fees and expenses. Other information relating to the scheme. Scheme in f orm a ti o n document (SID) C o ntai n s g e ne ric an d statu t o ry i n format i o n of mutual fund. Contains financial information of mutual fund. Lays down rights of investor. Other additional information. Statement of additional information (SAI)

166. Riskometer and its importance Risko -meter - Introduced in 2015, riskometer for mutual funds is a tool to assign risk levels associated with various mutual fund scheme. The riskometer methodology of equity funds factors in three parameters - market capitalisation , volatility and impact cost (liquidity) to assign risk grades. A risk score is assigned to each of these parameters. “ For example, a fund investing a higher portion of its assets in mid caps and small caps will earn a higher risk score on the market capitalisation parameter. Similarly, funds whose underlying investments are more volatile and less liquid will attract higher risk scores on those two parameters, respectively .” These three risk scores are then aggregated through a simple average to arrive at the fund's overall risk score, which forms the basis of bucketing it into one of the six risk labels (Low, Low to Moderate, Moderate, Moderately High, High and Very High). Likewise, for debt funds, risk factors comprise credit risk, interest-rate risk and liquidity risk.

167. Risk-o-Meter and its importance Six levels of risk for mutual fund schemes: Low Risk Low to Moderate Risk Moderate Risk Moderately High Risk High Risk and Very High Risk Importance of Risk-o-meter : - Helps align risk that a fund carries with the risk profile of the investor. Equity as asset class : Volatile: High risk Debt as asset class: Stable: Low risk H y br i d : Moder a te: D e pen d s on allocation and concentration

168. Meaning of Net Asset Value (NAV) Net Asset Value (NAV) is the market value of all securities held by the mutual fund scheme. You would find the performance of a mutual fund scheme denoted by NAV or the Net Asset Value. NAV, in simple terms, is the price you pay for the units of the mutual fund scheme. Generally, mutual fund units begin with a unit-cost of ₹10 and it rises as the fund’s assets under the management grow. Net Asset Value = [Assets – (Liabilities + Expenses)] / Number of outstanding units

169. NAV Explanation If you invest Rs 5,000 in a mutual fund with a net asset value of Rs 500, then you can purchase 10 units of the mutual fund. For example, you put Rs 1 lakh in Mutual Fund Scheme A and Mutual Fund Scheme B. The NAV of mutual fund scheme A is Rs 10 and that of mutual fund scheme B is Rs 20. You have units of mutual fund scheme allocated as follows: Mutual Fund Scheme A : Rs 1,00,000 / Rs 10 = 10,000 units Mutual Fund Scheme B: Rs 1,00,000 / Rs 20 = 5,000 units.

170. NAV Explanation When the value of the securities in the fund  increases , the  NAV increases . When the value of the securities in the fund  decreases , the  NAV decreases . The  NAV  number alone offers no insight as to how “good” or “bad” the fund may be. Investor can see the NAV on closing basis every trading day on respective Mutual fund website or on AMFI website:

171. Fact Sheet and its utility A mutual fund fact sheet allows investor to be aware and up to date on the key facts of a fund. A mutual fund fact sheet is a basic three-page document that gives an overview of a mutual fund. For potential investors, this is a necessary and easy report to read before investing. “ It's a great starting point when you're evaluating an investment ,” Sample FactSheet -

172. How to choose Mutual fund for Investment Think of your Investment horizon Check MF performance against benchmark over a period of time. Check MF performance vis a vis its categories of funds. Check whether MF performance is consistent over the years. Check Fund Manager Experience. Check AMC track record. Check fund’s Expense Ratio Read the Fact Sheet of MF and its various schemes.

173. END of Session - VI

174. Precautions while investing in securities markets Session - VII

175. Risk of Equity and Debt Investing Risk in Equities Can be classified as systematic risk and non-systematic risk Systematic risk Systematic risk is the risk of market (macro-economic) itself and includes rising inflation and interest rates, unfavorable foreign exchange rates, floods, famine, tsunami, pandemics, elections, global crisis (sub-prime) etc. It cannot be diversified away. Beta is a measure of the systematic risk of the market. All investments are susceptible to such systemic risks and cannot be wished away.

176. Risk of Equity and Debt Investing Non-Systematic risk Non-Systematic risk is peculiar to the company or to that sector. Rising input costs, new technology, new products from competitors, fragmented market due to rising competition, unfavorable cost structure, saturation point in the industry, exodus of key personnel / change in promoter, sale of company etc. It can be reduced by investing in a portfolio of stocks whose returns are not correlated or poorly correlated ie ., not concentrate all investment in the same or similar stocks.

177. Risk of Equity and Debt Investing Risk in Debt Credit Risk/Default Risk Interest Rate Risk Liquidity Risk Reinvestment Risk Inflation Risk

178. How risk is mitigated in Securities Market 1.Diversification of portfolio 2.Tweaking portfolio to mitigate interest rate risk 3.Hedging 4.Go long-term for getting through volatility times 5.Stick to low impact-cost names to beat liquidity risk 6.Fight horizon risk arising out of assets-liability mismatch

179. Dos and Don’ts of Investing Get started early and start small. Get an education on basics of investments. Research before investing. Invest only surplus amount and have an investment goal. Build a diversified stock portfolio and invest for the long term. Review your portfolio periodically. Invest only thru a SEBI registered entity. Be emotionless and weed out losers

180. Dos and Don’ts of Investing Don’ts Do not confuse investment with gambling. Do not invest blindly on tips and recommendations. Do not have unrealistic expectations. Do not invest through unregulated entities. Do not follow the herd and over trade. Do not take emotional decisions. Do not trade beyond your risk-taking ability

181. Rights and Responsibilities of Investors 1/2 1.Get Unique Client Code (UCC) allotted 2.Get a copy of KYC and other documents executed 3.Get trades executed in only his/her UCC 4. Pay prescribed margins 5 .Get the right price 6 .Contract note for trades executed 7 .Details of charges levied 8 . Pay or deliver money or shares for buy and sale transactions 9 .Receive funds and securities on time 10 .Receive statement of accounts from trading member 11 .Ask for settlement of accounts

182. Rights and Responsibilities of Investors 2/2 10.Right to attend AGM of listed companies 11.To receive communication from companies 12.Receive dividend , interest , corporate actions

183. Obligations of Investors 1.Execute Know Your Client (KYC) documents and provide supporting documents 2.Understand the rights given to the market intermediaries 3.Read Risk Disclosure Document and other documents 4.Understand the product and operational framework and deadlines 5.Pay margins/funds and securities for settlement on time 6.Verify details of trades 7.Verify bank account and DP account for funds and securities movement 8.Review contract notes/DP statement and statement of account 9. Keep a record of all the above documents relating to transactions; will be useful in case of dispute.

184. Right to remedies Take up a complaint against market intermediaries with the Exchange/Depositories/SEBI; Exchanges offer online grievance redressal facility; SEBI offers SCORES for complaint against any intermediary. Take up a complaint against listed company. File a complaint with stock exchange; if stock exchange does not resolve it, file an arbitration against member/DP if there is dispute. Challenge the arbitration award before appellate arbitration and then court of law, if not satisfied. Consumer Courts.

185. Obligations towards Remedies 1.Take up complaint within reasonable time 2.Complaint to be supported by appropriate documents 3.When additional information is called for provide the same 4.To participate in resolution meetings 5.Avoid unnecessary forum shopping

186. SEBI’s Role Securities and Exchange Board of India (SEBI) as a regulator in securities market has been set up in 1988 and got the legal status in 1991 through SEBI Act 1992. The three functions of SEBI are; Protect the interest of Investors Create an orderly development of Indian Capital Market Regulate the various intermediaries in stock market , and

187. SEBI’s Mandate ENSHRINED IN PREAMBLE TO THE SEBI ACT

188. Measures taken by SEBI for investor protection 1.Systemic changes -Anonymous trading, demat, CCP , ASBA 2.Preventive- Education, awareness , surveillance 3.Punitive- Inspection/Investigation /orders 4.Remedial- SCORES / Arbitration/IPF/Disgorgement/IGRC

189. Investor Protection

190. Reforms / Regulations in Securities Market– Objectives Enhance Safety Transparency Efficiency – Speed, Cost Fairness Investor Protection

191. Retail Investors – Initiatives of SEBI A Retail Investor is defined by SEBI as an investor who apply for an IPO Issue up to the amount of Rs 2 lakhs. SEBI mandates Retail Investor Quota of 35 per cent in all IPOs. ASBA facility introduced by SEBI wherein investors need not part with their money till allotment of shares SCORES – SEBI Complaint Redressal System, introduced wherein investors can seek SEBI Intervention in redressing their complaints against any market intermediary. SEBI Helpline – A dedicated toll free telephone line where investors can clarify their doubts on matters related to stock market investment

192. Sebi Complaint Redress System (SCORES) http://scores.gov.in 1.SEBI has put in place a web based centralized grievance redress system called SEBI Complaint Redress System (SCORES) on June 8, 2011. 2.SCORES is web enabled and provides online access 24 x 7.

193. SCORES Online platform to enable investors to lodge their complaints pertaining to securities market Complaints against listed companies and SEBI registered intermediaries Status of every complaint can be viewed online in the SCORES website (Status can also be obtained from toll free helpline) Entity/Investor can seek/provide clarification on complaint online Unique complaint registration number for future reference and tracking All complaints received by SEBI against listed companies and SEBI registered intermediaries are dealt through SCORES.

194. Complaints that come under the purview of SEBI Complaints arising out of issues that are covered under: SEBI Act, Securities Contract Regulation Act, Depositories Act and rules and regulation made there under and relevant provisions of Companies Act, 2013.

195. Matters that cannot be considered as complaints in SCORES Complaint not pertaining to investment in securities market Anonymous Complaints (except whistleblower complaints) Incomplete or un-specific complaints Allegations without supporting documents Suggestions or seeking guidance/explanation Not satisfied with trading price of the shares of the companies Non-listing of shares of private offer Disputes arising out of private agreement with companies/intermediaries Matter involving fake/forged documents Complaints on matters not in SEBI purview Complaints about any unregistered/ un-regulated activity

196. Complaints against companies that cannot be dealt on SCORES companies which are unlisted/delisted, placed on the Dissemination Board of Stock Exchange sick companies, company where a moratorium order is passed in winding up / insolvency proceedings vanishing company. suspended companies, companies under liquidation Under sub- judice companies, falling under the purview of other regulatory bodies

197. Timeline for lodging complaint in SCORES I nvestor may lodge a complaint on SCORES within three years from the date of cause of complaint. In case investor fails to lodge a complaint within the stipulated time: a. He may take up the complaint with the entity concerned b. He may approach appropriate court of law

198. Mandatory information required For lodging a complaint in SCORES, the following personal information has to be mandatorily provided by investors/complainants: Name Address E-mail Address PAN and Mobile Number

199. SEBI SCORES APP Investors may lodge their grievances with SEBI through SEBI SCORES mobile App. Investor can access SCORES at the convenience of a smartphone. Enables investors to track the status of the complaint redressal . Investor has to register first in order to lodge complaints

200. Toll free Investor Helpline no's 1800 266 7575/ 1800 22 7575 Operational hours: 9:00 a.m. to 6:00 p.m. [except public holidays declared in the state of Maharashtra] Operates in English, Hindi, Bengali, Gujarati, Marathi, Kannada, Telugu and Tamil Facilitate replies to various queries of the general public on matters relating to securities market SEBI Toll Free Helpline

201. What type of complaints are not handled by SEBI? 1.Complaints against unlisted/delisted/wound up/liquidated/sick companies 2.Loan transactions with brokers 3.Fraud committed by brokers on private transactions (ex: purchase of flat) 4.Multilevel marketing companies /Gold loan by Jewelers 5.Complaints that are sub- judice (relating to cases which are under consideration by court of law, quasi- judicial proceedings etc.) 6.Complaints falling under the purview of other regulatory bodies viz.RBI , IRDA, PFRDA, CCI, etc., or under the purview of other ministries viz., MCA, etc.

202. Fraudulent investment operation Promises abnormally high rate of return The scheme generates returns for older investors from their own money or money paid by subsequent investors, rather than any actual profit earned. Scheme collapses when the earnings, if any, are less than the payments to investors. Usually, the scheme interrupted by legal authorities before it collapses The promoter vanishes taking all the remaining investment money Ponzi Schemes

203. Do’s Don’ts Do not invest with borrowed money Do not expect unrealistic / guaranteed returns Do not be influenced by advertisement / advices / rumours /unauthentic news promising unrealistic gains and windfall profits in mass media Do not be guided by astrological predictions for your investments Do not invest on any explicit / implicit promises made by anyone Do not invest in any scheme just because of incentives / gifts / inducements etc. offered Do not be swayed by market sentiments. Check for the Registration of Broker/Agent Distributor/ Company – distributing financial product Read all the documents carefully. Strike off all blank / irrelevant fields / clauses in Know Your Customer (KYC) registration form Ask for the list of fees and charges applicable, before investing. Make payments only – through A/c payee cheques / drafts / EFT to the company (selling product)/ scheme and not to distributor / agent. In case of change in address, update your KYC immediately

204. Various methods of raising money from Public & Agencies regulating them Sl. No. Activities Respective Regulators/ Agencies 1 Deposits taken by fraudulent financial establishments State Governments under PID Act 2 Prize Chits/ Money Circulation/ Multilevel Marketing Schemes State Governments under PCMCB Act, 1978 3 Fraud/cheating State Governments under IPC 4 Chit Business under Chit Fund Act State Governments under Chit Fund Act, 1982 5 Acceptance of deposit by Cooperative Societies State Governments under cooperative societies Act 1992 6 Deposits accepted by NBFCs, Micro Finance Co. RBI 7 Deposits under Companies Act including deemed deposits MCA 8 Nidhi or Mutual Benefit Society MCA 9 Mutual fund, CIS, AIF, PMS, Public issue or deemed public issue of securities SEBI 10 Multi State Cooperative Societies MoA , GoI 11 Contract of Insurance IRDAI 12 Pension Scheme or Insurance Scheme IRDA/EPFO 13 Others: Housing, timeshare, goat/emu farming etc Not clearly defined

205. Who regulates what? # Nature of Business Regulator 1 Banking companies, NBFCs RBI 2 Nidhi Companies MCA, RBI ( For acceptance of deposit) 3 Cooperative Credit Societies Registrar of Cooperatives of state 4 Chit Funds Registrar of Chit Funds for the state 5 Equity market, Mutual Funds, CIS SEBI 6 Company Deposits and matters related to unlisted Companies Ministry of Corporate Affairs and ROC 7 Insurance products IRDAI 8 NPS, APY and Other Pension Products PFRDA

206. END of Session - VII

207. Session - VIII Career in Securities Markets

208. Suitable Profiles Creative, social, energetic Relationship Manager Business Development Manager Mutual Fund Distributor / Stock Broker Analytical, deep-thinking, logical Research Analyst Investment Advisor Fund Manager Diligent, conservative, meticulous Back-office Manager Investor Grievances Compliance Officer

209. How to pursue a career in the Indian Securities Markets? By enrolling for NISM’s Long term /weekend / Short term Academic Programs. By obtaining various mandatory NISM Certifications to become eligible to operate in Securities Markets. By setting up own Securities Markets business (Distributor/Advisor/Analyst etc )

210. Mandated and Aspirational Certifications on Currency Derivatives | Equity Derivatives | Interest Rate Derivatives | Mutual Funds Depository Operations | Compliance | Investment Advisory | Research Analysis Merchant Banking | Securities Operations | Risk Management | Retirement Advisory & more

211. NISM Certifications Brokerage Mutual fund Advisory Equity derivatives Mutual fund Investment advisory (level 1 & 2) Currency derivatives Investment advisor Securities operation and risk management Research analysts Securities markets foundation (Basic examination)

212. Why take NISM Certification? Authentic, Practical & Contemporary Curriculum Career Enhancement Regulatory Mandate Nation-wide Recognition Self-study, MCQ Type, Nominal Fees Valid for 3 years; Renewal Mechanism

213. Post Graduate Diploma in Management (Securities Markets) Two-year |Full-time Residential | Career-oriented Programme

214. Placem e nt Opportunities Segments Equity Markets, Debt Markets Research Analytics Broking and Dealing Corporate Advisory Banking Types of Organizations (Where students gets placed ) Banks Stock exchanges Depository Mutual Funds Commodities Exchanges Research Analysts firms Investment Advisories Fintech Companies IT Companies Algo trading firms Data analytics

215. LL.M. in Investment and Securities Laws One-year |Full-time Residential | Career-oriented Programme for Legal Profession als

216. List of Companies where students undertaken Internship Law Firms Non Law Firms Alliance Law DMD & Associates Fox & Mandal K.J.John & Co. Advocates King & Partridge Parinam Law Associates Trilegal BSE Ltd. Keynote Financial Services Ltd. Kotak Securities Mark Corporate Advisors National Stock Exchange of India Ltd. Prabhudas Lilladher Stakeholders Empowerment Services Sundae Capital Advisors Private Ltd. Capital Square Central Depository Services Ltd. JM Financial Ltd.

217. Post Graduate Certificate in Management (Data Science in Financial Markets)-PGCM(DSFM) 14 months |Weekend programme | Fusion of data science techniques and financial analytics

218. Where does PGCM (DSFM) lead to? Credit Research and Ratings Investment Evaluation and Portfolio Management Risk Modelling Claim Processing Fraud Detection Analysing Financial Statements Equity Research

219. NISM Entrepreneurship Cell(E-Cell) Vision To create a coherent E-Cell and foster the spirit of Entrepreneurship Mission Our mission is to build an environment that would illuminate ideas about entrepreneurship development and creative deduction, establish a business culture and reach out to a wider audience in both the academic community and the industry for the incubation of business ideas.

220. Purpose To raise awareness among students about entrepreneurship. To instill desire and spirit among students to pursue entrepreneurship. To encourage students to create their own start-ups. To identify the brightest ideas and give them a platform to turn those ideas into a working business (Atal Incubation Centre, NITI Aayog, Government of India. To function as an institutional framework for offering a wide range of resources, including information to emerging entrepreneurs, whether students or alumni. To help entrepreneurs grow viable businesses capable of competing in global industry.

221. List of Activities conducted by E-Cell? 1.Sessions by entrepreneurs on the following topics: Entrepreneurial opportunities in Securities Markets Is college the right time to startup’ Opportunities in Algo trading for an entrepreneur 2.Quiz on Finance and entrepreneurship to make students aware of nuances relating to any enterprise 3.Business Idea competition to allow students to ideate and sell their ideas

222. Thank You