MBA is a professional course where students get theoretical knowledge however theoretical knowledge alone is not sufficient, practical skills are necessary to archive success in every field of life in future. MBA is a well-structured course or business management at Chimanbhai Patel Institute of Management and Research.
The main objective of preparing the comprehensive project at MBA level is to develop skills in students by giving them opportunity to relate practical experience with theoretical concepts and to understand the reality of business world and to provide knowledge about various sector of the business.
We have taken efforts in this project. However, it would not have been possible without the kind support and help of many individuals and organizations. We would like to extend our sincere thanks to all of them. We are highly indebted to PROF. NAZNEEN SAIKH for providing necessary information regarding the project & also, for their support in completing the project. We would like to express our gratitude towards our parents & classmates for their kind co-operation and encouragement which help us in completion of this project.
We would like to express our special gratitude and thanks to our group mates for giving me such attention and time. Our Thanks and appreciations also go to all respondent in developing the project, filling up of Questionnaire and people who have willingly helped me out with their abilities.
The Indian capital market is providing more opportunities to both institutional and individual investors for parking their investment and getting optimum return. Equity market is one of the major segments in the Indian Capital market. In the recent years Participation of individual investors in the equity market is getting increased. Dividend, capital appreciation/gain, Rights issue, bonus etc are some of the benefits extended by the equity market to the investors. Return in the form of dividend or capital appreciation is always related with the risk. In this context it is imperative to study the investor behavior in terms of taking risk while investing equity or equity related investment. By keeping the above fact in the view the current study is conducted to test the rationality of investors towards equity investment.
What Is the Financial Sector?
Financial Sector of India is intrinsically strong, operationally sundry and exhibits competence and flexibility besides being sensitive to India’s economic aims of developing a market oriented, industrious and viable economy. An established financial sector assists greater standards of endowments and endorses expansion in the economy with its intensity and exposure. The fiscal sector in India entails banks, financial organization, markets and services. The sector is classified as organized and conventional sector that is also recognized as unofficial finance market. Fiscal transactions in an organized industry are executed by a number of financial organizations which are commercial in nature and offer monetary services to the society. Further classification includes banking and non-banking enterprises, often recognized as activities that are client specific.
The chief controller of the finance in India is the Reserve Bank of India (RBI) and is regarded as the supreme organization in the fiscal structure. Other significant fiscal organizations are business banks, domestic rural banks, cooperative banks and development banks. Non-banking fiscal organizations entail credit and charter firms and other organizations like Unit Trust of India, Provident Funds, Life Insurance Corporation, Mutual funds, GIC, etc.
Financial Sector of India
Some of the major characteristics of Financial Sector of India are:
- The financial sector of India allows Most Favored Nation (MFN) reputation to all international banks and firms offering financial facilities.
- The sector has relaxed previous MFN tax exemption on banking activities.
- Allows 12 new financial bank division authorizations every year to international banks, that is higher as compared to the existing 8 every year.
- Raises the 10% limit of reinsurance by insurance firms in India.
- Permits 51% foreign endowment in fiscal advisory, issuing, hiring, business enterprise capital, business banking and non-banking credit firms.
Equity research professionals are responsible for producing analysis, recommendations, and reports on investment opportunities that institutions or their clients may be interested in. The Equity Research Division is a group of analysts and associates at an investment banking an institution or an independent organization. The main purpose of equity research is to provide investors with detailed financial analysis and recommendations on whether to buy, hold, or sell a particular investment. Banks often use equity research as a way of “supporting” their investment banking and sales & trading clients, by providing timely, high-quality information and analysis.
The Financial sector in India comprises of varied elements – financial institutions, financial markets, financial instruments and financial services. Broadly the Indian financial system can be categorized into two segments – the organized sector and the informal credit market (unorganized). The financial institutions in India are responsible for all the financial intermediation in the organized sector.
The Reserve Bank of India (RBI) acts as the main credit regulator and is the apex institution in the Indian financial system. The other important financial institutions are the commercial banks (both public and private sector), cooperative banks, regional rural banks and development banks. Non banking financial companies (NBFCs) comprise of finance and leasing companies and institutions like LIC, GIC, UTI, Mutual funds, Provident Funds, Post Office Banks etc. the dominant segment of the Indian financial sector is the banking industry as they manage more than 80% of the funds in the economy.
Broadly one can say that Indian finance is just the management of funds. With the general areas of financial services in India being business finance, personal finance, and public finance, finance in India is really comprehensive. Concepts of time, money and risk are all inter-related in the financial services sector in India, thus one should have an idea about how money should be spent and budgeted.
