Idbi capital

Vision and Mission

IDBI Capital is a leading Indian securities firm offering a complete suite of

products and services to individual, institutional and corporate clients

Vision

To offer our customers the best information possible enabling those to take

decisions that better their lives.

Mission

Be the brand of first choice among all financial service providers.

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INTRODUCTION

IDBI Ltd

IDBI (IDBI Ltd), the tenth largest development bank in the world has promoted

world class institutions in India. A few of such institutions build by IDBI are the

National Stock exchange (NSE). The National Securities Depository Services Ltd.

(NSDL), Stock Holding Corporation of India (SHCIL) etc. IDBI is a strategic

investor in a plethora of institutions which have revolutionized the Indian Financial

Markets.

IDBI Bank looks confidently into the future to face and thrive in the intense

competitive environment that is emerging. The bank has now gained experience

and has in place the strategies required for gaining a leadership position. With

cutting edge relevant technology, aggressive marketing, innovation, tight control

over cost and with its motivated workforce, the bank is all set to emerge as a model

global corporate citizen in the days ahead.

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IDBI Capital Market Services Ltd

IDBI Capital Market Services Ltd. (IDBI Capital), a wholly owned subsidiary of

Industrial Development Bank of India (IDBI), is a leading Indian securities firm,

offering a complete suite of products and services to individual, institutional and

corporate clients. Our services include fixed income trading, equities brokerage,

debt and equity derivatives, research, private placement, depository services,

portfolio management and player in each of these businesses.

March 1995 – Commenced Equity Broking on NSE CM segment

July 1995 – Built agent Distribution Network across the country

October 1996 – Commenced Debt Broking on NSE WDM segment

December 1996 – Started Operations as a Depository Participant

1996 – Started to act as Arranger to Privately Placed Bond issues

April 1998 – Commenced operations as a Portfolio Manager

February 1999 – Acquired membership of BSE. Mumbai

November 1999 – Started operations as a Primary Dealer

June 2000 – Acquired Derivatives Membership of BSE and NSE

March 2002 – Achieved an outright secondary market turnover exceeding

Rs100,000cr in G-Secs

October 2002 – Commenced trading interest swaps

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Some of the milestones that came in the way….

July 2004: The Industrial Development Bank (Transfer of Undertaking

repeal) Act 2003 came in to force from July 2, 2004.

July 2004: The Boards of IDBI and IDBI Bank Ltd. Take in principle

decision regarding merger of IDBI Bank Ltd. with proposed Industrial

Development Bank of India Ltd. in the respective meetings on July 29,

2004.

September 2004: The trust deed for stressed assets stabilization fund (SASF)

executed by its trustees on September 24, 2004 and the first meeting of the

trustees was held on September 27, 2004

September 2004: The new entity “Industrial Development Bank of India”

was incorporated on September 27, 2004 and certificate of commencement

of business was issued by the registrar of companies on September 28, 2004.

September 2004: Notification issued by ministry of Finance specifying

SASF as a Financial institution under section 2(h)(ii) of recovery of debts

due to banks and financial institution act, 1993.

October 2004: Appointed Day – October 01, 2004 – transfer of undertaking

of IDBI to IDBI Ltd. IDBI ltd. Commences operations as a banking

company. IDBI Act, 1964 stands repealed.

January 2005: The board of directors of IDBI ltd as its meetings held on

January 20, 2005, approved the scheme of amalgamation, merging of IDBI

Bank Ltd with IDBI Ltd. Pursuant to the scheme approved by the board of

both the banks. IDBI Ltd will issue 100 equity shares for 142 equity shares

held by shareholders in IDBI Bank Ltd.

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Institutional Investors

Setting Standards:

At Idbi Capital, They believe in setting new benchmarks in Quality and

performance. Their Consistent policy of putting client’s interests first has set new

standards of professional conduct. They had committed to implement global best

practices in all the business operations. Transparency, ethical behavior and

integrity have been the hallmarks of the conduct with all the stakeholders, be it

clients, investors, employees or regulators. They believe that their success and

extraordinary growth are due to their adherence to the above beliefs, principles and

policies.

For Institutional Investors, They are…..

Primary Dealer

IDBI Capital is an accredited primary dealer in the government securities

market. They are one of the largest participants in the market for government

securities, treasury bills and corporate bonds. During FY 2001-2002, they

achieved a turnover of over Rs. 100000 Crores. They are also leading

participant in the money markets with a repo turnover exceeding Rs. 40,000

Crores. They are at the forefront of building a retail debt market in India.

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Arranger and Underwriter

They are leading arranger and underwriter in the private placement market. They had managed Bond issues for several banks and blue chip corporate clients. IDBI Capital has raised funds in excess of Rs.15000 crore (US $ 3 billion) during 2005-06.

IDBI Capital is rated no. 2 as per Bloomberg for debt raising for the year 2006

IDBI Capital is rated no. 3 as per Prime Market Monitor for debt raising during the financial year 2005-06

Manager of Client Assets

They are a registered portfolio manager and manage client assets under both

discretionary and non discretionary mandates. Portfolio management is a

highly customized services aimed at large funds. Their client base includes

leading pension and provident funds of India. Their funds have consistently

outperformed the market; funds under management have grown over the

years and now stand at Rs 24,000 Crores.

Full service Broker

They are a full service institutional broker. They are members of National

stock Exchange of India (NSE) and the Bombay stock Exchange (BSE).

They provide quality trade execution to their institutional customers. Their

client list includes leading public and private sector mutual funds, financial

institutions, banks and Corporates.

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Derivatives Trader

As member of the derivatives segment in National Stock Exchange and

Bombay Stock exchange, they engage in trading and broking of equity

futures and options. In fixed income markets they deal in interest rate swaps

and forward rate agreements.

Settlement Service Provider

Clearing and settlement of trades is a vital function enabling smooth running

of the markets. As settlement service provider, they handle the entire

spectrum of post-trade activities including trade clearing, pay-ins and pay-

outs. They also provide custody services including asset-custody and

handling of corporate actions like dividend receipts, bonus and stock splits.

Research Provider

Objective, uncomplicated and reliable research empowers investors and

makes it possible for them to make informed investment decisions. Their

Research team had made a name for themselves in a very short time. Some

of our well-known research reports are:

1. Global Market Weekly

2. Mutual Fund Monthly

3. Treasury Fortnightly

4. Futures & Options

5. Buzzing Stock

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Retail Investors

Over the last five years, they had built a loyal client base. Client focus is a way of

life for them. They at IDBI Capital strongly believe in empowering investors to

enable them to manage their personal finances effectively. They are committed to

enhancing investor education and awareness. They are building a retail investing

platform that brings a large database of information, research, live news, analytics

and tools to the investors desktop and enables them to make informed investment

decisions.

Whether they have just started their career or whether they are planning for

retirement, IDBI Capital offers us all the products, help and information that we

will need for safe and informed investing. Their online investments services, to be

launched soon, will enable us to find investments that are most suited to our special

needs. With their portfolio management and returns analysis tools, we will always

know how their investments are performing and whether we need to make changes

in our portfolio. If we need help, we can get all the advice and services we need

from one of their agents across the country. They are committed to protecting our

investments and making our wealth grow.

For Individual Investors, THEY PROVIDE. . . . .

Distributor of Financial Products

They had a network of over 9,000 trained agents spread across India. Their agents

help to distribute Bonds, fixed deposits, small saving schemes, mutual Funds and

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IPO’s to investors. Their agent care team constantly strives to upgrade the skills of

their agents through agent meet, trainings and product literature.

Equity Broking

They are a member of National Stock Exchange (NSE) and the Bombay Stock

Exchange (BSE) in the cash and F&O segments. By opening and account with

them, we will be able to trade in stock listed on these exchanges. This service is

currently available only in Mumbai. They are in the process of rolling out broking

services in other parts of the country as well.

Depository Services

They are a Depository Participant with National Securities Depository Limited

(NSDL). They offer high quality depository services at very attractive rates. Their

soon to be launched online depository services will enable to place delivery

instructions and perform other transaction online over the internet. Meanwhile, if

we are not a resident of Mumbai or we are not in a position to visit their offices, we

can still place instructions through fax, provided us, sign a fax indemnity and send

the original through courier the next day.

Investment Services

We can make all type of investments including tax savings bonds, mutual funds,

RBI relief bonds and other investments products sold by them directly or through

their agent network.

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Bond Trading

They actively assist in buying and selling bonds in an effort to profit from short-

term changes in prices, rather than simply buying bonds and holding them as a

long-term investment. The most actively traded bond markets are the

‘governments’ markets. This is because of the volume, liquidity and homogeneity

(sameness) of the markets.

Stock Broking

They buy and sell securities on behalf of client in return for a commission based on

the value of business done.

Derivatives Trading

A derivative is a synthetic construction designed to give the same profile of returns

as some underlying investments or transaction, without requiring the principal cash

outlay. They are called derivatives because they derive their value from

performance of the underlying instrument. They provide the trading of this

derivative by giving the customer a new way of trading.

Client Assist Management

They give their clients a cutting edge management services for taking care of their

assets like bonds, stocks, shares and no need to mention portfolios.

Retail Distribution

They provide various retail outlets across the country that helps customers in

investing easily. All these are connected to the central head office to Mumbai.

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Online Investment

With their commitment to enhancing investor education and awareness as a

foundation stone, they have built an online investing portal

www.idbipaisabuilder.in for trading and depository services. This platform

enables easy and informed investing in Equity shares, Futures & Options (F&O),

IPO’s and Mutual Funds, for the retail investors with a wealth of information,

news, analysis and tools sourced from the best in the industry like Reuters, Multex,

CMIE, Money control and Business Standard.

With this platform, investing in equity, mutual funds and IPO’s is just a click away

with their three-in-one account linking savings account, trading account and the

Demat account.

Building a healthy Investment Portfolio

Building a healthy Investment Portfolio is not just a hit or miss affair.

Careful planning along with an in-depth understanding of our own needs as well as

personal goals is the key to success.

IDBI Capital has evolved investment strategies that take the historical performance

of stocks, bonds and other instruments into account.

They can help us to reduce the effect of market fluctuation by designing an

optimum Risk Management Strategy in line with our Goals, Time, Frame and

Tolerance for investment risks. Our chances of achieving the desired returns over

the long term will improve as a result.

We will benefit from the same expertise that IDBI Capital uses for managing over

Rs 30,000 Crores of Pension & Provident Fund money that all of us care so much

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http://www.idbipaisabuilder.in/

about.

They provide a comprehensive range of Financial Services to Banks, Mutual

Funds, Institutions and Corporates as under:

Trading in Government Securities and Bonds

Investment Banking and Corporate Advisory Services

Deployment and mobilization of funds

Trading in Equity and Derivatives

Distribution of all Mutual Funds, Equity and Bonds

Depository services

Asset Management of Provident/Pension Funds

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Service Request

Transfer of Shares

While sending the shares for transfer, kindly ensure that the transfer deed is

complete in all respects particularly the seller’s signature, broker’s stamp, SEBI

registration/code no. and the required share transfer duty paid and the stamps are

cancelled.

Kindly ensure that the buyers and sellers have signed at appropriate places and the

buyer’s address is given in full including pin code and telephone/fax number, if

any.

Also ensure that the transferor has put his signature in full and that all the holder(s)

of the share certificate have signed the transfer deed. Kindly ensure the signature

of the transferor is duly witnessed.

If the transfer deed is signed by the constituted Attorney of transferor, kindly

ensure that the registration number of the Power of Attorney registered with

IDBI/Registrar is mentioned on the reverse of the transfer deed. Otherwise, the

transferor may be requested to have the Power of Attorney immediately registered

with IDBI before approaching for transfer.

In case a transferee wishes to have the transfer deed signed by his constituted

Attorney, kindly attach the necessary Power of Attorney duly notarised. Please

obtain a registration number from IDBI. In case the transferee is acting through his

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constituted Attorney, and his power of Attorney was already registered with IDBI,

quote the registration number at the appropriate place.

In case the purchaser is already having an existing folio number, please quote the

same in the transfer deed to facilitate registration of new shares in the same folio

number.

Sale and purchase of shares may be done through the registered share broker of

recognised Stock Exchange.

Transmission of shares in case of death of the shareholder

Transmission of shares arises in case of death of the registered shareholder. If the

shares are held in joint names, only the deceased shareholder’s name is deleted. A

copy of the death certificate of the deceased registered shareholder duly attested by

competent authorities (magistrate, notary public, and gazetted officer, managers of

nationalised banks or official of IDBI) is to be sent along with the share certificate.

In case of a single shareholder, the shares will be transmitted in favor of those

persons who are heirs of the deceased registered shareholder as per the Will

executed by him.

In case the deceased shareholder has not left any Will, transmission of the shares

will be effected only on production of succession certificate or letters of

administration.

Transposition (change in the order of holders)

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Transposition can be resorted to change the order of holders of the shares inter se

i.e. the first holder may become second holder or third holder and vice versa. All

requests for transposition should be sent to the Registrar along with the duly filled

in transfer deed without any stamping. Transfer deed should be signed by all the

holders.

Issue of duplicate share certificate

For defaced/damaged share certificate(s)

Duplicate share certificate(s) are issued in lieu of defaced/ damaged share

certificates.

The defaced/damaged share certificates may be sent with a request along with

relevant information to facilitate issue of duplicate certificate(s).

In case of theft or loss (other than postal loss) of certificate(s)

The loss of share certificate(s) shall be reported immediately to IDBI/Registrar

along with certificate nos. /folio no. and distinctive nos. to stop transfer of such

shares.

A complaint shall have to be lodged with the local police station about the loss of

certificate(s) and a copy of the FIR shall be obtained.

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Simultaneously, the Civil Court should be approached for obtaining an order

restraining IDBI/Registrar from transferring such shares.

The request for issue of duplicate share certificate(s) shall be sent to

IDBI/Registrar along with Letter of Indemnity in the prescribed form duly stamped

and a Letter of Surety, if required.

In case of postal loss of certificate(s)

In case the share certificate(s) have been lost in postal transit or not received due to

postal disorder, duplicate share certificate(s) will be issued on receipt of Letter of

Indemnity and a Letter of Surety, if required along with request letter.

Duplicate share certificate(s) will be issued only after necessary notification

regarding the loss/non-receipt of the original share certificates is given in the

newspapers.

Change of address/Change in the names of shareholders:

Change in the names of Individuals

Requests for change of names shall be made together with original certificate along

with a copy of notification in the Official Gazette or a newspaper or an affidavit

drawn on stamp paper of appropriate value duly sworn.

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The fresh specimen signature duly attested by a banker shall also have to be

submitted to IDBI/Registrar.

Change in the name consequent upon marriage/ divorce

For effecting the change of name consequent upon marriage/divorce etc., the

original certificate together with a copy of marriage certificate/decree of divorce

duly attested by competent authorities should be forwarded to IDBI/Registrar.

Fresh specimen signature duly attested by a banker shall also have to be submitted

to IDBI/Registrar.

Change in the name of Companies

Companies desirous of changing the name in which the share certificate has been

issued shall have to furnish a certified copy of the fresh Certificate of Incorporation

issued by the Registrar of Companies along with the original share certificate.

De-materialisation of shares

Shares can also be held in Dematerialised (Demat) form in National Securities

Depository Ltd. (NSDL) or Central Depository Services (India) Limited (CDSL).

NSDL/CDSL is depositories where the securities of an investor are held in

electronic form through the medium of Depository Participants (DPs). These

facilities obviate the difficulties of loss, fraud, signing of transfer deeds or delay in

transfer, etc. and offer scope for paperless trading.

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To convert the shares into Demat form, the shareholders have to open a Depository

Account with a Depository Participant (DP) for a small annual charge.

In the Demat process, the shareholders are required to surrender the certificates to

DP for onwards transmission to IDBI. The certificates will then be verified and if

found in order, will be dematerialised and equivalent number of shares will be

credited by DP to the account of the shareholder.

Advantages to shareholder on holding shares in Demat form are:

No damage or loss of certificate e.g. loss in postal transit when you applied

for shares in public issue.

Cases of forgery or tearing or mutilation of share certificate(s) are

eliminated.

Once you open an account with a DP, you can buy or sell shares in

electronic form without any paperwork and without paying stamp duty as

applicable to scrip based transaction.

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IDBI Capital launches Online Investment Portal

Financial services provider IDBI Capital had launched an online investment portal

to provide information, analysis and tips to retail investors to help them invest in

initial public offerings (IPO’s), equities and mutual funds.

"Idbipaisabuilder.in is for the retail investors who have missed out on the boom

in Indian stock market. The site will concentrate on helping them in right decision

making by minimising risk involved in equity investment,"

Investors will be given unique bank, Demat and trading accounts, which will be

safe for carrying out trading.

"Investment information will be free to all. To carry out trading, an investor has to

be a member by giving a one-time fee of Rs. 700 and thereafter only broking

charges for trading in shares."

The website will give information and analysis on markets, economy, Corporates

and specific sectors for which the company has tied up with Multex, a subsidiary

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of Reuters and the Centre for Monitoring Indian Economy. IDBI Capital has roped

in top 15 broking houses to give recommendations to retail investors. "Their effort

is to help small investors get better returns to bridge the gap in income and

lifestyle," Besides offering online guidance, IDBI Capital will open about 350

franchises in urban and rural areas to help investors who do not have access to

Internet.

The portal has two platforms `Paisa Power Classic Account' for relatively new

investors and `Paisa Power Streaming Account' for active investors in BSE and

NSE. The company aims to introduce trading in commodities, futures and options

(F&O) and debt instruments later. IDBI Capital is eyeing at pension foray when

the government puts in place the legislation. "They have made presentations to the

Pension Fund Regulatory and Development Authority (PFRDA). They are waiting

for the PFRDA Bill to be passed,"

On inorganic growth, IDBI Capital ruled out buying UTI Securities, which is

looking for a prospective buyer. "IDBI Capital is the largest primary dealer (PD) in

government securities and provides a host of other financial services, so they are

not buying into UTI Securities as they are already present in all the segments."

Besides PD, IDBI Capital provides services such as investment banking, stock

broking, bond trading, derivatives trading, mutual fund products selling and

pension fund management. "The focus is now on moving from wholesale to retail

foraying and idbipaisabuilder.in will be the vehicle to reach out to retail

investors."

IDBI Portal

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Presenting the online portal to get ahead in life.

Why Online?

Integrated 3-in-one online account: No hassle of managing separate Bank,

Investment and Demat accounts.

It’s convenient – trade anywhere, anytime. . .

It is seamless and paperless, you save hours spent in filling the forms

It’s transparent price at which you trade is in your control

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Total Confidentiality maintained

It as built in features for safe and secure trading

We get comprehensive information to help us to pick the right stock

We get instant confirmation of all our orders

Totally hassle-free investing. . .

No running around banks and brokers

Ease: Transact at the click of a button

Place orders even when the market is closed

Online availability of complete transaction records

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Features that enable us to take informed decisions

3-in-1 account

Apart from the comprehensive information and analytical tools showcased in

the portal, a retail investor can opt for the 3-in-1 account, which combines

bank, depository participant, and trading accounts.

A one-time fee of Rs 700 (including the legal fees of Rs 360) would be

charged for opening a 3-in-1 account.

Separate platforms for new and old investors

One of the differentiating factors of the company's portal is the presence of

two platforms - `Paisa Power Classic Account' for relatively new investors

and `Paisa Power Streaming Account' for active investors in the BSE and

the NSE.

"The streaming account provides complete visibility about market changes

when transactions are put through."

For taking the investment portal to users without Internet access or are

located in non-metros, IDBI Capital is looking to appoint 350 franchisees all

over the country.

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Currently, the portal enables investors to make investments in IPO’s, mutual

funds, and the secondary equity market.

The portal would also provide guidance on debt-related investments; so that

the retail investor could use the mutual fund route for debt-oriented

investments.

IDBI Capital is now providing a platform for futures and options (under the

portal).

Newsrooms

This provides news from the most credible sources-Reuters,

moneycontrol.com, Business standard. It provides news on equity, debt,

politics and general news. It also gives on Intra day chart. It keeps the user

updated with live news analysis, market commentary and hot stocks.

Corporate library

It gives comprehensive company information on major listed companies

covering Company Snapshot, Stock Price Details, its movement v/s Sense…

Analyst recommendation on the company, news, exchange and scrip

information and corporate details. It also gives detailed financial analysis

with P&L, Cost Analysis, Assets, Liabilities, and Important Ratio etc.

Unique feature is it gives pre companies comparison. All this is data is from

the most credible sources CMIE and myiris.

Market Map

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It provides bird’s eye view of intra-day market movements with live real

time data, option to choose between BSE and NSE, buy/sell or do advanced

research by clicking on the company name, compare the current market

movement with any of the intra-day time slot provided.

Analyst Recommendations

It gives buy/sell/hold recommendations. Gives Company Estimates with

Earnings and EPS Estimates, Sales Estimates, Profit Estimates, Dividend

Estimates. Credible brokers like Merrill Lynch, CLSA Asia Pacific Market,

and UBS Equities, ASK Raymond James etc. are covered. The analysis is

from “multex global estimates”.

Market monitor

It engulfs features like market at a glance with live Market Indices, Sectoral

Indices, Sensex and Nifty Movers. It gives Market Movement Analysis tools

like gainers and losers today, advances and declines, new highs and lows,

volume toppers, etc. other useful market data like International Markets and

Historical Stock Performance are provided.

Charting corners

Provides a charting tool for analyzing stock performance. The plotting can

be done for both BSE and NSE on the basis of stock price, volume, market

cap and P/E. it can be used to plot charts against Domestics Indices (Nifty

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BSE 100, 200 etc.), Domestic Sectors (BSE Capital Goods, FMCG Index,

etc.) and International Indices (NIKKEL 225, Hang Seng, etc). It provides

an exceptional way to plot and compare 9 scrips simultaneously with a data

of over 10 years.

Buy Today Sell Tomorrow

Trade Book

The trade book shows you the status of all your trade placed today. To view

trades of any previous date, select the appropriate date range in the Selection

Panel below. Click ‘Order Details’ to view all orders. Trade and Settlement

information for that order. Click ‘Order Books’ to view details of all order

placed by you.

Stock watch

You can add up to 20 stocks to ‘My Stock list’ to help you track their

movement in the market. Nifty Watch tracks the movements of its

constituents stocks. Sector Watch helps you track the movement of

important stocks from key sectors.

Real Time Quote

The Real-Time quote for a stock is the latest price information brought to

you directly from the Stock Exchange. You can make better trading

decisions based on the latest price, direction and depth information presented

to you on this screen. To know more about Real-Time Quote, enter the

“NSE” symbol and click go.

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OFFERS

Intra day margin trading:

o Maximum up to 5 times of current buying behavior

o Client square off by 3 p.m. OR

o Auto system square off after 3 p.m.

o All gains/loses and trade charges to client account

Open position

o Open position are the positions created by us during the current

settlement. A buy position is created when a buy order placed by us is

executed at the Stock Exchange. Similarly a Sell Position is created

when a sell order placed by us is executed at the Stock Exchange.

o Track our Open Margin and Cash position for the current settlement

on this page. Click on the square off link to square off open positions

during the day at market or limit prices specified by us.

o Please note that our open margin positions will be squared off

automate call at 3:00 pm today. We have the option to convert our

open margin position to cash position by clicking on Convert to

Delivery.

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Advantages of IDBI Paisabuilder

Superior speed of transacting even during peak market hours

Richer more relevant and digestible information

User friendly navigation

Attractive rates for Group corporate customers

Operation Manual

1. Process for a new user for starting trading on idbipaisabuilder

Needs and IDBI or HDFC Bank Account

The account should be Internet enabled

Needs to open and idbipaisabuilder account which is combination of trading

account and Demat account only after submission of completed documents

Log on to www.paisabuilder.in

Link the IDBI account to the investment account at idbipaisabuilder

Transfer funds in the investor account

And ready to TRADE!!!!!

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http://www.paisabuilder.in/

Documents and A/c Opening Formalities

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2. Documents required for opening account in idbipaisabuilder

o Proof of identity: (any one)

MAPIN ID

PAN

Passport

Driving license

Voter ID

o Proof of residence: (any one)

Passport

Driving license

Ration card

Voter ID

Copy of bank statements where address matches

Rent agreement

Flat maintenance bill

Certificate issued by employer under map-in

Insurance policy

o Proof of bank account: (any one)

Copy of bank statements

Cancelled cheque leaf

Letter from bank confirming the bank account

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o Passport size photographs

3. Account opening formalities

Documents to be submitted along with application from already informed.

Also mentioned in Application Form inside cover. Application form has

plastic bag inside to store other documents to be submitted.

For email-id advisable to submit emails of service providers who give larger

inboxes like Yahoo, Rediffmail, Gmail etc.

For any help / clarifications on filling the forms, contact us.

4. Checklist for filling individual client Registration form

Proof of identity of first/all holders

Voter ID

Passport

PAN

MAPIN UID Card

Driving license

How as the identity of the client been verified?

Client visited the office, or

Branch/Franchisee personnel met the client

Address proof of first/all holder(s)

Voter ID

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Driving license

Passport

Ration card

Telephone bill (not proceeding two months)

Electricity bill (not proceeding two months)

Rent Agreement

Latest bank statement (not proceeding two months)

Does address proof match with the corresponding address given by client

Has the address of the client been verified by the branch/franchisee

Signed Photograph of all holders

Copy of Cheque/Cancelled Cheque

Name Address and Signature of witness on agreements

Tariff sheet duly signed by all the holders

Standing Instruction specified

Nominee photograph duly signed

Name Address and Signature of 2 Witnesses incase of Nominee

Date of birth certificate in case of nominee being a minor

Photograph and Signature of Guardian in case of nominee being a minor

Form is complete in all respects

Verification stamp with signature, name and date on the document collected

HUF Account

Signed photograph of the Karta

Proof of identity of the Karta

Copy of PAN Card

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Undertaking letter signed by 2 coparceners

HUF Stamp is affixed weather the client signs on the agreement

Bank account is an HUF Account

Sign the form of the customer before giving to the respective branch

Fee Structure

Brokerage structure

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EQUITY - DELIVERY BASED TRANSACTIONS (Turnover/Month)

Total Eligible Turnover per Month Brokerage Per Leg (%)Up to Rs. 2,00,000 0.50%

Rs. 2,00,001- Rs. 5,00,000 0.45%

Rs. 5,00,001 - Rs 10,00,000 0.40%

Rs. 10,00,001 - Rs 20,00,000 0.35%

Rs. 20,00,001 - Rs 40,00,000 0.30%

Rs. 40,00,001 - Rs. 1,00,00,000 0.25%

Rs. 1,00,00,001 - Rs. 5,00,00,000 0.20%

Above Rs. 5,00,00,000 0.15%

Minimum Brokerage

Rs. 20 per contract or actual brokerage whichever is higher. Contracts will be separate for NSE and BSE, normal segment and for Trade to Trade segment.

Securities Transaction Tax + Service Tax Extra as applicable

If delivery transactions are squated-off within the same day/settlement, Intraday brokerage will be charged for all such transactions (both sides).

EQUITY - INTRADAY TRANSACTIONS (Turnover/Month)

Total Eligible Turnover per month Brokerage Per Leg (%)Up to Rs. 2,00,00,000 0.050%

Rs. 2,00,00,001 - Rs. 4,00,00,000 0.045%

Rs. 4,00,00,001 - Rs. 6,00,00,000 0.040%

Rs. 6,00,00,001 - Rs. 8,00,00,000 0.035%

Rs. 8,00,00,001 - Rs. 10,00,00,000 0.030%

Above Rs. 10,00,00,000 Inquire with us

Minimum Brokerage

Rs. 20 per contract or actual brokerage whichever is higher. Contracts will be separate for NSE and BSE, normal segment and for Trade to Trade segment.


FUTURES TRANSACTIONS (Turnover/Month)

Total Eligible Turnover per month Brokerage Per Leg (%)Up to Rs. 2,00,00,000 0.048%

Rs. 2,00,00,001 - Rs. 5,00,00,000 0.040%

Rs. 5,00,00,001 - Rs. 10,00,00,000 0.035%

Above Rs. 10,00,00,000 Inquire with us

34


OPTIONS TRANSACTIONS

1% premium, subject to a minimum of Rs. 100 per contract.Ÿ The turnover in Options will not be considered for calculating the slabs for the brokerage rebates on futures contracts.Ÿ In case of same day square off in the Options contract, brokerage will be charged on both buy and sell sides.

Demat Charges for IDBIpaisabuilder.in customersNature of Service DP CHARGES

Client registration charges for Demat A/c NIL

Annual Maintenance Charge (AMC) for Demat A/cFree for the first Year. AMC Rs. 350 from year two onwards.

Transaction charges for DP - Buy (only for off-market transactions)

NIL

Transaction charges for DP - Sell (Online)Rs. 6 per transaction done through

IDBIpaisabuilder.in

Market and Off Market SellRs. 100 per instruction/scrip for the

Delivery Instruction Slip submitted at IDBI Capital branches.

Demat Rejection/Instruction fails Rs. 30 per instruction

Dematerialisation/Certificate Rs. 3

Amount charged per request (Dematerialisation) Rs. 30

Rematerialisation Rs. 20

Pledge Creation/Invocation Rs. 100Transaction Statement other than mandatory statement/Extra

Rs. 20 per request

Invocation/Closure of Pledge Rs. 25

Comparative Cost Structure for Brokerage

Nature of

Service

ICICI

Direct

Kotakstreet Sharekhan HDFC

Securities

IDBICapital

Paisabuilder

35

A/c

Final charges

for online

trading

customers

Client

Registration

Charges for

Demat a/c

0 0 0 0 0

AMC for Demat

a/c

350 360 500 300(free for

first year)

Free for

Paisabuilder

for 1st year,

subsequent

year 300 p.a.

For additional

Demat a/c, Rs.

300 per a/c

Transaction

Charges for D.P-

Buy

0.02% 0.04% 0.20 25 0

Transaction

Charges for D.P

sell

0.04% 25 20 23 15

Dematerialisation

Certificate

2 3 3 3 3

Charged / request 35 25 15 35 30

Rematerialisation 20 0.04% 15 10 20

Pledge creation

Invocation

0.02% 0.05% 0.02% 0.05% 100

Transaction

Statement other 20 Nil 10 25 20

36

than mandatory

statement extra

Invocation

closure of pledge

__ 0.04% __ __ 25

JOINT VENTURE

IDBI Capital ties up with Karur Vysya Bank

37

Sri P.T. Kuppuswamy, Chairman, Karur Vysya Bank and by Sri O.V. Bundella,

Deputy Managing Director, IDBI Ltd. and S Muhnot, MD & CEO, IDBI Capital.

According to Sri P.T. Kuppuswamy “The demat services will be made available at

KVB, commencing from the month of June, 2007. Initially, the service will be

available through 13 of their major branches and in time, this will be extended to

all our branches in phases.” The idbipaisabuilder.in online investment portal of

IDBI Capital Market Services Ltd., strongly recommended itself to us because it

does not just provide on-line trading convenience, but also makes available easy

and informed guidance to the retail investor, information about investing in equity,

mutual funds, F&O and IPO’s.

According to Sri S Muhnot, “An advanced online trading portal,

IDBIpaisabuilder.in is built with a core objective to provide easy and informed

investing experience to investors. This association will provide customers of the

bank with a world-class online investing platform with the backing of two very

reputed and established financial institutions of the country. They are extremely

glad to be associated with Karur Vysya Bank in this venture.”

With this tie-up, Karur Vysya Bank will be able to provide comprehensive

investment solutions to all their customers. It will also help them to push their DP

services. IDBI Capital in turn would benefit from the wide reach and presence of

Karur Vysya Bank.

Speaking on the performance of KVB for the financial year 2006-07, that has just

ended, KVB has reached total business levels of Rs. 16526.15 cr. They have

38


recorded impressive growth rates in respect of both deposits and advances at

23.7% and 26.18% respectively. They have crossed Rs. 1000 cr. mark in respect of

Net Owned Funds and are likely to surpass the figure of Rs. 1100 cr. Their Net

NPA level of below 0.25% is one of the lowest in the industry.

On the technology side, they are one of the earliest banks in the country to have

achieved 100% networking of our branches and offices under Core Banking

Solutions rendering services through multiple delivery channels. They offer the

best of technology-backed services like Anywhere Banking Convenience, Net

Banking, Mobile Banking, Multi-city Accounts and e-flash, which is their Real

Time Gross Settlement Product for inter and intra bank transfer of funds in real

time. They had a network of 246 own interconnected ATMs and our customers

have access to over 10000 ATMs coming under the VISA/NFS/MITR/UTI cluster.

Their USP is that they bring these technological services at affordable price so that

the fruits of technology reach the common man. They plan to introduce more such

technology backed products to live up to their objective of being a truly Techie

Bank.”

IDBI Capital ties up with Oriental Bank of Commerce

39

IDBI Capital Market Services Ltd., a leading provider of financial services in India

signed a MoU with Oriental Bank of Commerce, a leading Nationalized Bank, to

offer advanced e-trading services through www.idbipaisabuilder.in to customers

of the bank. This was announced by Mr. S Muhnot, MD & CEO, IDBI Capital and

Mr. K.N. Prithviraj, Chairman & Managing Director, Oriental Bank of Commerce,

"IDBIpaisabuilder.in is targeted mainly at the retail investors. The site will enable

the investors to take the investment decisions minimizing the risk involved in

equity investment and will hand hold the investors throughout the entire

investment process and also provide for faster trade execution."

With this tie-up, Oriental Bank of Commerce will be able to provide

comprehensive investment solutions to all their customers having the Demat and

saving account with the bank. IDBI Capital in turn would benefit from the wide

reach and nationwide presence of Oriental Bank of Commerce having more than 1

lac Demat account. Initially the system will be introduced at M Block, Connaught

Place, New Delhi Branch of OBC and later on other branches would also be added

to the list.

The portal allows investing online in Equities, Mutual Funds & IPO’s.

IDBIpaisabuilder.in helps investors make the right decisions on their transactions

by imparting them with pertinent news; information and analysis along with

company specific Fundamental Analysis through comprehensive corporate data.

40



Facilities of investing online in Equity (NSE & BSE), F&O (NSE), Mutual Funds

(including SIP facility) and IPOs, portfolio tracker, two equity trading platforms to

all customers and custom stock screener are some of the other unique features,

apart from the comprehensive information and analytical tools are available on

IDBIpaisabuilder.in. The portal has been designed keeping a retail investor in mind

for easier comprehension and provides very easy navigation.

IDBI Capital ties up with Punjab National Bank


signed a MoU with Punjab National Bank, to offer advanced e-trading services

through www.idbipaisabuilder.in to the customers of the bank. This was

announced by Mr. S Muhnot, MD & CEO, IDBI Capital and Mr. K Raghuraman,

Executive Director, Punjab National Bank.

According to Mr. S Muhnot, “An advanced online trading portal,



bank with a world class online investing platform with the backing of two very

reputed and established financial institutions of the country. They are extremely

glad to be associated with Punjab National Bank in this venture.”

41


IIDBIpaisabuilder.in is targeted mainly at the retail investors, many of whom have

unfortunately missed out on the recent boom in Indian stock markets. The site will

enable the investors take right decision making by minimising risk involved in

equity investment and hand hold the investors throughout the entire investment

process and also provide for faster trade executions. They are presently rolling out

this initiative in 2 metros to start with and hope to make it available nationally at

the earliest."

With this tie-up, Punjab National Bank will be able to provide comprehensive


services.

IDBI Capital in turn would benefit from the wide reach and nationwide presence of

Punjab National Bank.

IDBI Capital ties up with Bank of Rajasthan


today inked an agreement with Bank of Rajasthan, a leading bank to offer

advanced e-trading services through www.idbipaisabuilder.in to the customers of

the bank. This was announced officially by Mr. S Muhnot, MD & CEO, IDBI

42


Capital, Mr.B.M.Sharma, MD, The Bank of Rajasthan and Mr.Vinod Juneja,

Dy.MD, The Bank of Rajasthan at a press conference in Jaipur today.

According to Mr. S Muhnot, “An advanced online trading portal,



bank with a world-class online investing platform with the backing of two very

reputed and established financial institutions of the country. We are extremely glad

to be associated with Bank of Rajasthan in this venture.”

"IDBIpaisabuilder.in is targeted mainly at the retail investors, many of whom have

unfortunately missed out on the recent boom in Indian stock markets. The site will

enable the investors take right decisions by minimising the risk involved in equity

investment and hand hold the investors throughout the entire investment process

and also provide for faster trade executions. We are presently rolling out this

initiative nationwide in a phased manner."

With this tie-up, The Bank of Rajasthan will be able to provide comprehensive


services.

IDBI Capital in turn would benefit from the wide reach and presence of The Bank

of Rajasthan, especially in the state of Rajasthan where it is extremely strong.

Business Development Flowchart

43

NEWS REPORT

IDBI Capital may sell 26% stake

44

Mumbai August 15th, 2007

IDBI Capital, a wholly owned subsidiary of IDBI Ltd, is planning to sell 26 per

cent stake to a strategic foreign partner to boost its institutional broking business.

Sources said the company, which is into stock broking, internet trading, merchant

banking and private equity, has held informal talks with foreign players and is

finalising a merchant banker for the deal.

“A lot of M&A deals are happening in the broking space and we are not immune to

this activity in the future. In case, if any strategic partner comes along with major

FII business, we may look at it,” said S Muhnot managing director & CEO of IDBI

Capital.

Sources said IDBI Capital could command a valuation of more than 4-5 times its

net worth of Rs 350 crore. They also do not rule out the possibility of a higher

stake sale (up to 49 per cent) depending on the valuation.

Bear Stearns, the biggest debt player in the US and the Australia-based Macquarie,

who are keen on entering the Indian market, are two contenders for the stake

purchase, said sources.

IDBI Capital is also into retail broking through its internet portal, corporate

advisory and debt arranging & underwriting. It has a turnover of more than Rs

45

10,000 crore a year in the broking business. Last month, IDBI Capital increased its

private equity corpus to Rs 150 crore.

The move to attract a strategic partner comes at a time when the domestic broking

industry is attracting a slew of players through the mergers and acquisition route.

The US-based Lehman Brothers is learnt to have bought out the institutional

broking business of Brics Securities. JM Financial, after its split with Morgan

Stanley, acquired 60 per cent stake in ASK Securities, an institutional broking

firm.

IDFC also recently hiked its stake in SSKI and Citigroup’s private equity arm

CVCI bought a majority stake in Sharekhan, the retail broking arm of the Mumbai-

based SSKI Group.

Early this month private equity investor Baring picked up a majority stake in JRG

Securities, a Kochi-based firm.

Banking and financial services is the most active space in India, with private equity

accounting for 75.9 per cent of the M&A deals, according to Thomson Financial.

IDBI Cap musters on retail broking biz12th Aug, 2007, 1800 hrs IST, PTI

46

MUMBAI: IDBI Capital Market Services proposes to cash on the untapped retail

broking business, particularly in north India, through 5,000 plus bank branches and

online trading platform.

To support its online trading portal 'idbipaisabuilder,' the bank has mustered 5,004

CBS branches of leading lenders like Punjab National Bank(PNB), Oriental Bank

of Commerce (OBC), Bank of Rajasthan among others.

IPO’s, equity and mutual funds investment is what the company has decided to

market to the retail investors across the nation through the internet portal

IDBIpaisabuilder.in.

"Retail broking has huge potential considering the fact that only four per cent of

household assets are invested in equities and mutual funds as compared to 40 per

cent worldwide," IDBI Capital Managing Director and CEO Sushil Muhnot said.

"The retail broking business has thus the potential to grow ten times the current

market size," Muhnot said adding retail broking is currently in the growth phase

and IDBI Capital has adopted technology as a vehicle to cover this huge untapped

market across the nation.

Online trading facility of IDBI Capital Market Services is fast catching up with

computer savvy investors with more than 25,000 customers logging to

idbipaisabuilder for investing in the markets, he added.

47

IDBI Capital's online trading page boasts of features that enables investors to

access live market data while placing an order for buying or selling.

SURVEY REPORT

48

1. Do you invest or save money for future?

85

15

0

1020

304050

607080

90

yes no

2. Do you know how to trade in Stock Market?

70

30

0

10

20

30

40

50

60

70

yes no

3. Which way you would like to invest through?

49

60

40

0

10

20

30

40

50

60

yes no

4. Are you aware of opportunities with stock market now-a-days

available?

45

55

0

10

20

30

40

50

60

yes no

CONCLUSION

50

After completing this project it can be concluded that IDBI Capital Market

Services Ltd is a subsidiary of IDBI Ltd. As IDBI Capital acts as a Broker in the

financial market, it is a leading Indian securities firm offering various products and

services. They are the members of NSE and BSE. Through IDBI Capital the

investor had got the way to invest in the stock market through the companies site

idbipaisabuilder.in, previously it was on the offline trading basis, where many

peoples where facing lots of problems, They were not convenient in investing in

the stock market.

Around 70% peoples are not aware about the Stock market, Where to invest? How

to invest?

Now because of the online trading, people can open a trading account with IDBI

Capital and can easily invest in the stock market from office or home or from

anywhere by just logging to their site.

Today Stock market is playing a vital role, as there are many financial services

provider in the market now-a-days available, and hence IDBI Capital may develop

their business by providing better services to their clients.

ANNEXURE

51

Visited IDBI Capital Market Services Ltd (Wadala Branch) on 7th Sep’2007 at

11.30 am

52

BIBLIOGRAPHY

Journal of IDBI Capital Market Services Ltd

Newspaper:1. Business Standard2. Economic Times3. Times of India

WEBLIOGRAPHY

www.idbicapital.com www.goggle.com idbipaisabuilder.in

VISIT TO IDBI CAPITAL

53

Economy & Finance

Idbi capital