A

PROJECT REPORT
ON
“STUDY THE INVESTOR PREFERENCES AND CHALLENGES IN
USING DEMAT ACCOUNTS”

FOR
FINPRO WEALTH PVT. LTD

SUBMITTED TO

SAVITRIBAI PHULE PUNE UNIVERSITY, PUNE IN THE PARTIAL

FULFILLMENT OF THE REQUIREMENT OF MASTER OF BUSINESS
ADMINISTRATION (M.B.A.)

UNDER THE GUIDANCE OF

DR. KIRAN SHINDE

SUBMITTED BY
MR. DEOKAR RAVINDRA SHANTARAM

SUBMITTED THROUGH
 SANJIVANI RURAL EDUCATION SOCIETY’S
SANJIVANI INSTITUTE OF MANAGEMENT
STUDIES
DEPARTMENT OF MBA

CERTIFICATE

This is to certify that Mr. Deokar Ravindra Shantaram has submitted an Internship

Project Report on “To Study the Investor Preferences and Challenges in Using

Demat Accounts at Finpro Wealth Pvt Ltd” to Savitribai Phule Pune University,

Pune for the partial fulfillment of Master of Business Administration (M.B.A.).

We further certify that to the best of our knowledge and belief, the matter presented in this

project has not been submitted to any other Degree or Diploma course.

Dr. Kiran Shinde Dr. Vinod Malkar

Internal Guide Head of Department

Internal Examiner External Examiner

CERTIFICATE
 DECLARATION

I undersigned hereby declares that, the project titled “To Study the Investor
Preferences and Challenges in Using Demat Accounts at Finpro Wealth Pvt Ltd”is
executed as per the course requirement of two-year full-time MBA program of Sanjivani
Institute of Management Studies, Dept. of MBA, This report has not submitted by me or
any other person to any other University or Institution for a degree or diploma course. This
is my own and original work.

Place: Kopargaon Mr. Ravindra S Deokar

Date: …………… MBA-2023-25

 ACKNOWLEDGEMENT

I take this opportunity to express my profound express gratitude & deep regards
to my guide Dr. Kiran Shinde for his exemplary guidance, monitoring & constant
encouragement throughout the course of thesis. The blessing, help & guidance given by her
time to time will carry me a long way in the journey of life on which I am about to embark.

I also take this opportunity to express deep sense of gratitude To HOD, Dr. Tanaya
Patil & Director, Dr. Vinod Malkar for their cordial support & guidance which help me
in completing this task through stages.

I am obligated by the staff members of the industry who provided valuable

information of their respective fields. I am grateful for their cooperation during the period
of assignment.

Mr. Ravindra S Deokar

MBA - 2023-25
 Summer Internship Project- 2023-25

INDEX

CHAPTER NAME PAGE NO.

i) Title Page
ii) Institute Certificate
iii) Certificate For Company ( 2 Month)
iv) Declaration
v) Acknowledgement
1 Executive Summary 2
2 Introduction 4
3 Industry Profile 6
4 Company Profile 14
5 Product Profile 16
6 Objectives of the Study 19
7 Theoretical Background of the study 22
8 Data Analysis and Interpretation 25
9 Findings 34
10 Conclusion 36
11 Suggestions 38
12 Learning through the Project. 40
13 Bibliography 42
14 Annexure 44
i. Daily Log Report.
ii. Internship Synopsis.

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Chapter-1
EXECUTIVE
SUMMARY

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EXECUTIVE SUMMARY

This study investigates the preferences and challenges that investors encounter when using
Demat accounts in India. Demat accounts have revolutionized the way securities are held
and traded, offering a digital alternative to physical share certificates. As financial markets
become increasingly digital, understanding what drives investor satisfaction and what
obstacles they face is critical for improving the overall user experience.

Investor Preferences: The research reveals that investors highly value ease of use, with a
preference for platforms that offer a seamless, user-friendly experience. Cost is another
significant factor, as investors are sensitive to transaction fees, account maintenance
charges, and hidden costs. Transparency in fee structures is crucial for building trust.
Additionally, the quality of customer service, including timely support and real-time
notifications, is a key driver of satisfaction. Investors also appreciate when Demat accounts
are integrated with other financial services, such as trading platforms and mutual funds,
allowing for a more comprehensive management of their investments.

Challenges: Despite the convenience of Demat accounts, several challenges persist.

Technological barriers, particularly for older or less tech-savvy investors, create difficulties
in navigating online platforms. Security concerns, including fears of cyber-attacks and data
breaches, make some investors hesitant to fully embrace digital transactions. The
complexity of the account opening process, with its extensive documentation and KYC
requirements, can be intimidating, especially for first-time users. Frequent changes in
regulatory requirements also add a layer of confusion, making it challenging for investors
to stay compliant.

Demographic Insights: The study highlights how different demographic factors affect
investor experiences. Younger, tech-savvy investors generally find it easier to adapt to
digital platforms, while older investors may struggle. Income levels also influence
preferences, with higher-income investors prioritizing advanced features and security, while
lower-income groups focus more on cost-efficiency. Geographical factors play a role as
well, with urban investors more familiar with and more likely to use Demat accounts
compared to their rural counterparts.

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Chapter-2
INTRODUCTION

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INTRODUCTION

The rise of digital finance has transformed the way individuals and institutions
invest in financial markets. One of the most significant innovations in this space is the
Dematerialized (Demat) account, which allows investors to hold and trade securities in an
electronic format. Introduced in India in 1996, Demat accounts have gradually replaced
physical share certificates, streamlining the process of buying, selling, and managing
investments.

As the number of retail investors in India continues to grow, understanding the

factors that influence their choices and the challenges they face with Demat accounts has
become increasingly important. Investors have diverse needs and expectations, ranging
from the ease of use of the platforms to concerns about security and regulatory compliance.
These preferences and challenges are shaped by various demographic factors, including age,
income level, and geographic location, which in turn affect the overall experience and
satisfaction with Demat accounts.

This study aims to explore the preferences and challenges faced by investors in using
Demat accounts, providing insights that can help financial service providers enhance their
offerings. By identifying key areas of concern and understanding what drives investor
satisfaction, the study seeks to contribute to the ongoing development of more user-friendly,
secure, and accessible Demat account services. This exploration is crucial not only for
improving individual investor experiences but also for fostering greater participation in the
financial markets, which is essential for the growth and stability of the economy.

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Chapter-3
INDUSTRY PROFILE

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INDUSTRY PROFILE
In 12th-century France, the courtiers de change were concerned with managing and
regulating the debts of agricultural communities on behalf of the banks. Because these men
also traded with debts, they could be called the first brokers. The Italian historian Ludovico
Guicciardini described how, in late 13th-century Bruges, commodity traders gathered
outdoors at a market square containing an inn owned by a family called Van der Beurze,
and in 1409 they became the "Bruges Bourse", institutionalizing what had been, until then,
an informal meeting. The idea quickly spread around Flanders and neighboring countries
and "Bautzen" soon opened in Ghent and Rotterdam. International traders, and specially the
Italian bankers, present in Bruges since the early 13th-century, took back the word in their
countries to define the place for stock market exchange: first the Italians, but soon also the
French, the Germans, Russians, Czechs, Swedes, Danes and Norwegians. In most
languages, the word coincides with that for money bag, dating back to the Latin bursa, from
which obviously also derives the name of the Van der Bourse family.
In the middle of the 13th century, Venetian bankers began to trade in government securities.
In 1351 the Venetian government outlawed spreading rumors intended to lower the price of
government funds. Bankers in Pisa, Verona, Genoa and Florence also began trading in
government securities during the 14th century. This was only possible because these were
independent city-states not ruled by a duke but a council of influential citizens. Italian
companies were also the first to issue shares. Companies in England and the Low Countries
followed in the 16th century. Around this time, a joint stock company—one whose stock is
owned jointly by the shareholders—emerged and became important for the colonization of
what Europeans called the "New World".
One of the oldest known stock certificates, issued by the VOC chamber of Enkhuizen, dated
9 Sep 1606.

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Crowd gathering on Wall Street (New York City) after the 1929 crash, one of the
worst stock market crashes in history.
International Scenario:

A stock market, equity market, or share market is the aggregation of buyers and sellers of
stocks (also called shares), which represent ownership claims on businesses; these may
include securities listed on a public stock exchange, as well as stock that is only traded
privately, such as shares of private companies which are sold to investors through equity
crowdfunding platforms. Investment is usually made with an investment strategy in mind. The
total market capitalization of all publicly traded securities worldwide rose from US$2.5 trillion
in 1980 to US$93.7 trillion at the end of 2020.
As of 2016, there are 60 stock exchanges in the world. Of these, there are 16 exchanges with a
market capitalization of $1 trillion or more, and they account for 87% of global market
capitalization. Apart from the Australian Securities Exchange, these 16 exchanges are all in
North America, Europe, or Asia.
By country, the largest stock markets as of January 2022 are in the United States of America
(about 59.9%), followed by Japan (about 6.2%) and United Kingdom (about 3.9%).

Challenges in World Stock Market:

Democratization of public markets:

In January, a contingent of retail traders (non-professional traders) on Reddit’s

WallStreetBets launched the equivalent of a market revolt by drastically influencing the
prices of several publicly-traded companies. These episodes cost hedge funds and
professional investors – many of whom had been betting against these same stocks – billions
of dollars, and raised questions about market practices and resilience.
Greater access to new wealth creation opportunities

Private market investment opportunities, with their more lucrative return profiles, were
historically available only to institutional and accredited investors. This exclusive access
was based on a perceived level of sophistication and risk management expertise among
these investors. Today, new products are being developed that allow retail

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Investors to allocate capital to private market alternatives.

Blurring of public and private markets

More companies than ever before are entering public markets worldwide, and yet in
theUnited States we are seeing firms remain private for longer, and others electing to
transition from public to private. This trend is fuelled by heightened disclosure requirements
and regulatory scrutiny for publicly-held firms, as well as investoreagerness to fund private
companies. Firms are also exploring other avenues to raise capital and reduce dependency
on equity markets.
Concerns around data and cyber security

Capital markets processes have become more digital as market participants demand faster
execution speeds and seamless access to information. These technologies accelerate
changes in the industry, but also raise concerns around cybersecurity and data protection.

National Scenario:

The Indian stock market has witnessed colossal transformation ever since trading first
started with the formation of the Bombay Stock Exchange 135 years ago. It was the usual
method with transactions being a complicated process as online stock trading not yet
introduced. With launch of online trading in the Indian stock market, first by NSE and then
by the BSE, the investors count increased in large numbers. India is currently the second
fastest developing economy in the world and given the huge growth potential, the count of
foreign investors is increasing too.
The Indian stock market is often interpreted as the NSE BSE market as majority of the
transactions takes place at these bourses though there are other smaller stock exchanges. Both
bourses have been instrumental in steering the Indian stock market towards the present
position. It is the Securities and Exchange Board of India (SEBI) that monitors the
functioning of the stock exchanges besides protecting the interests of investors in securities
in the Indian stock market. With appropriate regulations from time to time, this Govt.
of India body also promotes the development of the securities market. The Indian stock
market is counted as one of the world’s best performing markets. The NSE today is the
second fastest growing stock exchange in the world besides being the world’s third largest
Stock Exchange in terms of the number of trades in equities. The BSE, is the 11th largest
stock exchange in the world besides being cited as the world's best performing shares market.

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The stature of the bourses has elevated the Position of the Indian stock market in the world
map.
Challenges in National Market:
Inadequate Disclosure
Availability of complete and correct information is required for developing an investor
protection system. But the disclosures required under the Securities Contracts (Regulation)
Act, 1956, leave а lot of loopholes regarding the disclosures to be made in the prospectus.
Therefore, some companies give false or misleading statements in their prospectus so as to
attract and cheat innocent investors.

Insider Trading

Insider trading means sale or purchase of securities by persons who possess price sensitive
information about the company on account of their fiduciary capacity. For instance,
information about the declaration of high rate of dividend, issue of bonus shares, rights
shares etc., information relating to financial results of the company, amalgamations,
mergers and takeovers, disposal of the undertaking and such other information.

Price Manipulation

It is а common practice that prices of shares of companies proposing to соmе out with public
issue or right issue are artificially pushed up in the market. This is usually done by way of
giving large employment advertisements in the newspapers just before the public or right
issue. So that some form of respectability may be created and thereby the market price of
shares of that company may be pushed up.

Over Subscription of Shares

Usually when the companies make public issues, they are oversubscribed many times large
number of investors lose interest in the money locked with the company.

Lack of Transparency

Lack of transparency is another shortcoming of the stock market. The investor does not know
the actual rate of the transaction. The investor should be informed about the rate and
brokerage by noting them on the contract.

Investor’s Grievance

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Thousands of complaints are received from the investors against companies and brokers.
The complaints include non-receipt of refund orders, letters of allotment, dividends,
brokerage, underwriting commission etc.

Takeovers and Mergers

In а closely held company, the shareholders are adequately protected against takeover as the
number of shareholders is few and the shareholders’ agreements impose restrictions on
transfer. But in the case of а publicly listed company such protection is not included in the
agreement to protect the minority shareholders.

Problems related to Settlement Mechanism

The settlement mechanism calls for physical movement of share certificates in order to
record ownership changes in the company’s books. Some serious risks such as bad
deliveries, delays in transfer and registration, mutilation, loss, forgery and theft of
certificates have been attached to the settlement mechanism. These problems were
repeatedly raised in several investor forums.

Online Trading Process: -

The various transactions involved in online trading can be shown from the point of view of
the Client Broker Stock Exchange. The emergence of stock market can betraced back to 1830.
In Bombay, business passed in the shares of banks like the commercial bank, the chartered
Mercantile bank, the chartered bank, the oriental bank and the old bank of Bombay and
shares of cotton presses. In Calcutta, Englishman reported the quotations of 4%, 5%, and 6%
loans of East India Company as well as the shares of the bank of Bengal in 1836. This list was
a further broadened in 1839 when the Calcutta newspaper printed the quotations of banks like
union bank and Agra bank. It also quoted the prices of business ventures like the Bengal
bonded warehouse, the Docking Company and the storm tug company.
i. Stockbrokers

ii. Sub-broker

iii. Market makers

iv. Portfolio consultants

Stockbrokers:

A stockbroker, also known as a broker is a financial market representative who operates in

securities. Their primary job role dictates obtainment of purchase and sale orders and

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execution of the same. Market participants or investors rely on their expertise and knowledge
regarding market dynamics to invest in stocks and other investment options. Share brokers
either work individually or as part of a brokerage firm.

Sub-broker:

A Sub Broker is an individual who works on behalf of a stock broking firm. The primary
role of a Sub broker is to serve as a link between a Broker and client. As a Sub broker works
closely with a Stockbroker, one of their key responsibilities is to acquire new clients for the
brokerage firm. He/she should assist the clients to invest in shares and manage the client’s
portfolio. He/she should manage the queries of the client. A Sub broker earns commission
from the transactions done by the clients.

Market makers:
A market maker or liquidity provider is a company or an individual that quotes both a
buy and a sell price in a tradable asset held in inventory, hoping to make a profit on the bid–
ask spread, or turn. The benefit to the firm is that it makes money from doing so; the benefit
to the market is that this helps limit price variation (volatility) by setting a limited trading
price range for the assets being traded.

Portfolio Consultants:

A combination of securities such as stocks, bonds and money market instruments is

collectively called as portfolio. Whereas the portfolio consultants are the persons, firms or
companies who advise, direct or undertake the management or administration of securities
or funds on behalf of their clients. Traditionally stock trading is done through stock brokers,
personally or through telephones. As number of people trading in stock market increase
enormously in last few years, some issues like location constrains, busy phone lines, miss
communication etc. start growing in stock broker offices. Information technology (Stock
Market Software) helps stock brokers in solving these problems with Online Stock Trading.
Online Stock Market Trading is an internet based stock trading facility. Investor can trade
shares through a website without any manual intervention from Stock Broker.

Below are some of the leading stock brokers in India:

Angel one:

Finpro Wealth started journey as a traditional stock brokerage firm in the year

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1996.Finpro Wealth always felt that empathy is really important for our customers. Since
the beginning, our focus has always been “what the customer wants” and then to match the
right technology to fulfil their needs. That is how our journey and use of technology started
keeping customers at the Centre stage. This led us in growing our geographical presence all
over the country. Gradually, Finpro Wealth changed into a Digital-first company to provide
our clients personalized financial journeys via a single app. Angel one began our “Digital
Journey” in the year 2019 by offering an end-to-end digital investment solution to our
customers. With our tech innovation combined with the constant attention to customer needs
& wants, Finpro Wealth fruitfully tapped new geographies and on boarded millions of new
customers including tier-2 and tier-3 cities. Our company is now the largest listed retail
broking house in India in terms of active clients on NSE as of December 31, 2021.

Zeroth:

Considering the frontrunner in the discount stockbroking landscape, Zeroth is based out of
Bengaluru and accounts for over 15% of the overall retail trading volume in the country.
The leading discount broker was founded by Mr. Nitin Kamath in the year 2010 and it has
a client base of over 3 million at present. Zeroth is a combination of Zero + Rodhe. Zero
refers to 0 whereas the term ‘Rodhe’ means barriers. This way, Zeroth is poised to break all
the fences of trading that stock investors usually face like high brokerage charges and sub-
standard trading tools.
As compared to other stock brokers in India, Zeroth is known to have a simple brokerage
pattern which makes it a go-to choice for both new and experienced stock investors.

Upson:

Another popular name on the list of stock brokers is Upson. It is one of the rapidly growing
stock brokers in the country and usually preferred by high volume traders searching for high
margins, competitive brokerage, and state-of-the-art trading platforms.
The biggest plus with Upson is that it is supported by some of the notable businessmen of
India like Mr. Rattan Tata, Kalahari Capital, and GVK David. The brokerage of Upstairs in
line with Zeroth. However, it incurs zero brokerage for the delivery segment.

India Infoline (IIFL):

India Infoline or IIFL is one of the reputed names in the stock broking segment.The stock
broker started its operations in 1996 and gained immense popularity in a veryshort period.
At present, it has a remarkable presence in over 500 locations across the country.

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Chapter-4
COMPANY PROFILE

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COMPANY PROFILE
Company Name Finpro Wealth Pvt Ltd

Company Logo

Type Public
Industry Financial services
Founded 2017
Founder Harsh Vira
Headquarters Ackruti Trade Center, Andheri (E), Mumbai, Maharashtra, India
Area served India
Key people Gaurav Thakur
(Co founder)
Apurva Annavi
(Business Development Head)
Shikha
(Research & Content Creation)
Navya
(Research & Content Creation)
Shrishti
(Research & Content Creation)

Services Broking And Advisory

Mutual Funds
Bonds And Debenthure
PMS
Insurance
Tax Planning
Website https://finprowealth.com

About Company Finpro Wealth is one of India’s new financial services and educational
conglomerate, offering a robust platform to a diversified client base
across domestic and global geographies to Learn & Earn from Stock
market.

Our continuous and single-minded focus is on understanding

customers’ needs and offering the right financial and educational
solutions.

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Chapter-5
PRODUCT PROFILE

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PRODUCT PROFILE

SERVICES:

Broking and Advisory :

Finpro Wealth Ltd offers comprehensive

equity broking services, including buying
and selling of stocks on various stock
exchanges. The company provides clients
with real-time market data, trade
execution, and personalized investment
advice to help them make informed
trading decisions.

Mutual Funds:
Finpro Wealth Ltd provides access to a
wide range of mutual funds, including
equity funds, debt funds, balanced
funds, and sector-specific funds he
company offers investment solutions
tailored to different risk profiles and
financial objectives, helping clients
diversify their portfolios and achieve
their investment goals.

Bonds and Debentures e:

Finpro Wealth Ltd offers a variety of
bonds and debentures for investors
seeking stable income and lower risk
compared to equities. This includes
government bonds, corporate bonds,
and convertible debentures.

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PMS :
Finpro Wealth Ltd offers Portfolio
Management Services (PMS) that
provide personalized investment
solutions tailored to individual client
profiles. This includes active
management of equity and debt
portfolios, with strategies designed to
meet clients' specific investment
objectives.

Insurance:
The company provides a range of life
insurance products, including term
plans, whole life policies, and
endowment plans, designed to offer
financial protection and security to
clients and their families.

Tax Planning :
Finpro Wealth Ltd offers tax planning
services to help clients optimize their
tax liabilities. This includes advising on
tax-saving investments, deductions, and
credits to enhance after-tax returns.

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Chapter-6
OBJECTIVES OF STUDY

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OBJECTIVES OF THE STUDY

 To identify the key factors influencing investor preferences to open a Demat account.
 `Demat account.
 To asses s the level of satisfaction among investors with the services provided by different
Demat account providers.
 To explore the impact of technological advancements on the usability and security of
Demat accounts.

Research Methodology

1. Research Design:
The study will be descriptive and analytical in nature, focusing on both qualitative and
quantitative data.
2. Data Collection:
Primary Data: Collected through structured questionnaires and interviews with investors
who use Demat accounts. Surveys will be distributed online through platforms like Google
Forms.
Secondary Data: Gathered from financial reports, articles, research papers, and other
relevant sources.
3. Sample Size and Sampling Technique:
A sample size of approximately 100 respondents will be targeted.
Convenience sampling or purposive sampling methods will be used to select respondents
who actively use Demat accounts.
4. Data Analysis:
Quantitative data will be analyzed using statistical tools like SPSS or Excel to identify
trends, patterns, and correlations.
Qualitative data from interviews will be analyzed thematically to understand deeper insights
into investor preferences and challenges.
5. Scope of the Study:
The study will focus on investors in India, with particular emphasis on those using Demat
accounts through various financial institutions.
Limitations:

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The study may be limited by the sample size and geographic focus, which may not represent
all Demat account users in India.
Respondent bias in self-reported data could also influence the findings.
Geographical Focus:
The research will concentrate on investors within India, targeting urban, semi-urban, and
rural regions to capture a diverse range of experiences. Although the primary data collection
may be constrained geographically, efforts will be made to include respondents from
various parts of the country through online surveys and questionnaires.
Demographic Focus:
The study will take into account different demographic segments, including investors of
various age groups, educational backgrounds, and income levels. This will provide insights
into how investor preferences and challenges may vary across different demographic
profiles.
Investor Categories:
The study will focus on both retail and institutional investors, though a greater emphasis
will be placed on retail investors, who form the majority of Demat account holders.
Investors with varying levels of experience—ranging from beginners to seasoned traders—
will be included to assess how knowledge and experience impact preferences and
challenges.
Financial Institutions and Providers:
The study will examine investors' experiences with different Demat account providers,
including banks, brokerage firms, and online trading platforms. This will allow for a
comparison of service satisfaction levels and user experience across different types of
providers.

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Chapter-7
Theoretical Background of the
study

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Introduction to Demat Accounts

A Dematerialized (Demat) account is an essential component of modern-day investing in
securities. It allows investors to hold shares and securities in an electronic format,
eliminating the need for physical certificates. Introduced in India in 1996 by the National
Securities Depository Limited (NSDL), Demat accounts have revolutionized the way
trading and investment activities are conducted, bringing greater efficiency, security, and
convenience to the market.

Evolution of Demat Accounts

Before the advent of Demat accounts, trading in securities involved the exchange of
physical share certificates, which was cumbersome, prone to theft, forgery, and loss, and
involved significant paperwork. The introduction of Demat accounts transformed this
process by converting physical certificates into electronic forms, thereby simplifying
transactions. The establishment of the Depositories Act in 1996 in India provided the legal
framework for the introduction of Demat accounts.

Functioning of a Demat Account

A Demat account functions similarly to a bank account, where instead of holding money, it
holds securities such as shares, bonds, government securities, mutual funds, and Exchange-
Traded Funds (ETFs). When an investor buys securities, they are credited to the Demat
account, and when they sell, they are debited from it. The account holder can also receive
dividends, interest, and refunds electronically, which adds to the convenience.

Investor Preferences in Using Demat Accounts

Investors today have specific preferences regarding the operation and management of their
Demat accounts. These preferences are influenced by various factors including:

1. Ease of Access: Investors prefer Demat accounts that offer user-friendly platforms,
enabling seamless trading and management of securities.
2. Cost Structure: The fees associated with opening and maintaining a Demat account, such
as account opening charges, annual maintenance fees, and transaction charges, significantly
influence investor choices.
3. Security: Given the electronic nature of Demat accounts, security features like two-factor
authentication, encryption, and fraud protection are critical concerns for investors.

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4. Customer Support: Effective and responsive customer service is essential for investors,
especially in resolving issues related to transactions and account management.
5. Integration with Trading Platforms: Investors often prefer Demat accounts that are
integrated with robust trading platforms, providing them with real-time data, analytics, and
seamless execution of trades.

Challenges Faced by Investors in Using Demat Accounts

While Demat accounts offer numerous advantages, investors face several challenges:

1. Technical Issues: Investors occasionally face difficulties due to technical glitches in the
electronic platforms, which can lead to delays or errors in transactions.
2. Complex Fee Structures: The various fees and charges associated with Demat accounts
can sometimes be complex and not entirely transparent, leading to confusion among
investors.
3. Regulatory Changes: Frequent changes in regulations concerning Demat accounts can
create challenges for investors in staying compliant and informed.
4. Security Concerns: Despite advancements in technology, there is always a risk of cyber
threats, fraud, and unauthorized access, which can deter investors.
5. Limited Knowledge: A significant number of investors, especially those new to the market,
may lack adequate knowledge about the functionality and benefits of a Demat account,
which can hinder their ability to maximize its potential.

Significance of the Study

Understanding the preferences and challenges faced by investors in using Demat accounts
is crucial for financial institutions, regulators, and policymakers. By addressing these
challenges and aligning services with investor preferences, the industry can improve
investor satisfaction, enhance the efficiency of market operations, and foster greater
participation in the financial markets. Additionally, this study provides insights that can be
used to educate investors, optimize the functioning of Demat accounts, and enhance the
overall user experience

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Chapter-8
Data Analysis and
Interpretation

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1. What are the most important factor in thr Demat account opening process ?

No. of
Details Percentage (%)
Respondents
Low Brokerage
1 34 34%
Fess
Reputation Of
2 10 10%
the Provider
Ease of Account
3 53 53%
Opening
User Friendly
4 3 3%
Interface

Total - 100 100%

Interpretation
"53% of respondents prioritized Ease of Account Opening, 34% valued Low Brokerage
Fees, 10% considered the Reputation of the Provider important, and only 3% thought a
User-Friendly Interface was key."

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2. Which feature do you consider while choosing a Demat account provider?

Details No. of Respondents Percentage (%)

1 Low Charges/Fees 14 14%

2 Range Of Investment Option 1 1%

3 Ease of Use 76 76%

4 Customer Service 9 9%

Total 100 100%

Interpretation
"76% of respondents consider Ease of Use the most important feature in choosing a Demat
account provider, 14% prioritize Low Charges/Fees, 9% value Customer Service, and only
1% focus on the Range of Investment Options."

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3. What are the challenges you face opening your demat account?

No. of Percentage
Details
Respondents (%)
1 Lengthy Documentation Process 12 12%
Complicated Application
2 6 6%
Process

3 Delays in Account Activation 69 69%

4 High Initial Charges 13 13%

Total 100 100%

Interpretation
"69% of respondents experience Delays in Account Activation, 13% struggle with High
Initial Charges, 12% find the Lengthy Documentation Process challenging, and 6% face
issues with a Complicated Application Process."

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4. What difficulties are you currently facing in managing your Demat account?

No. of Percentage
Details
Respondents (%)
1 Understanding Fess and Charges 2 2%

2 Complicated Trading Platform 4 4%

Difficulty in Navigating the Online

3 29 29%
Portal
4 Limited Customer 11 11%

5 Security Concerns 54 54%

Total 100 100%

Interpretation
"54% of respondents are most concerned with Security Issues, 29% have trouble Navigating
the Online Portal, 11% find Limited Customer Support problematic, 4% struggle with a
Complicated Trading Platform, and 2% have issues with Understanding Fees and Charges."

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5. How satisfied are you with the opening your Demat account ?

Details No. of Respondents Percentage (%)

1 Very Satisfied 62 62%

2 Satisfied 12 12%

3 Neutral 19 19%

4 Dissatisfied 7 7%

Total 100 100%

Interpretation
"62% of respondents are very satisfied with opening their Demat account, 12% are
satisfied, 19% are neutral, and 7% are dissatisfied. Overall, most users are happy with the
process, but there's room for improvement for the neutral and dissatisfied groups."

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6. How would you rate your satisfaction with the customer support provided by
your Demat account provider?

Details No. of Respondents Percentage (%)

1 Very Satisfied 37 37%

2 Satisfied 38 38%

3 Neutral 20 20%

4 Dissatisfied 5 5%

Total 100 100%

Interpretation
"37% of respondents are very satisfied and 38% are satisfied with their Demat account
provider's customer support, 20% are neutral, and 5% are dissatisfied. While most users are
happy, there is still room for improvement."

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7. Would you recommend your Demat account provider to others?

Details No. of Respondents Percentage (%)

1 Definitely Yes 34 34%

2 Probably Yes 12 12%

3 Not Sure 5 5%

4 Probably No 49 49%

Total 100 100%

Interpretation
The data reveals that only 34% of respondents would definitely recommend their Demat account
provider, while 49% probably would not. This indicates a significant level of dissatisfaction or
hesitation among users, suggesting that the provider needs to address key concerns to improve
customer loyalty and advocacy.

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8. How would you rate the usability of the online platform or mobile app for your
Demat account?

Details No. of Respondents Percentage (%)

1 Excellent 28 27.8%

2 Good 36 35.4%

3 Average 5 5.1%

4 Below Average 31 30.4%

Total 100 100%

Interpretation
The data shows that 27.8% of respondents find the usability of the online platform or mobile app
excellent, and 35.4% rate it as good. However, a notable 30.4% rate it below average, indicating
significant usability issues that need to be addressed to enhance the user experience.

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Chapter-9
Findings

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1. Ease of Account Opening is Key: Most people (53%) consider the ease of opening a
Demat account as the most important factor. This means that a smooth and simple
account-opening process is crucial for attracting users.
2. Ease of Use is the Top Feature: When choosing a Demat account provider, 76% of
people prioritize ease of use. This suggests that users prefer platforms that are easy to
navigate and understand over other features like low fees or customer service.
3. Delays in Account Activation: The biggest challenge faced by users (69%) when
opening a Demat account is the delay in account activation. This is a significant pain
point that needs to be addressed by providers.
4. Security Concerns: The most common difficulty in managing a Demat account is
security issues, with 54% of respondents being concerned about this. Ensuring strong
security measures is vital for user trust.
5. High Satisfaction with Account Opening: A majority (62%) of respondents are very
satisfied with the process of opening their Demat account, indicating that most users had
a positive experience.
6. Mixed Feedback on Customer Support: While 75% of users are satisfied with
customer support, there's still room for improvement, as 25% are either neutral or
dissatisfied.
7. Low Recommendation Rate: Only 34% of users would definitely recommend their
Demat account provider to others, while nearly half (49%) would probably not. This
shows that many users have reservations about their provider.
8. Usability Issues with Online Platforms: Although some users find the online platform
or mobile app excellent (27.8%) or good (35.4%), a significant portion (30.4%) rate it
as below average. This indicates that many users struggle with the platform's usability.

These findings highlight the importance of a user-friendly interface, quick account

activation, strong security, and effective customer support in the Demat account experience.
Addressing these areas can lead to higher customer satisfaction and stronger
recommendations.

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Chapter-10
Conclusion

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Conclusion

1. Overall Satisfaction: A significant portion of investors are satisfied with their Demat
accounts, with many rating the usability as either excellent or good, indicating a positive
overall experience.
2. Usability Issues: Despite general satisfaction, a notable percentage of users find the
platform or app below average, highlighting that usability issues still persist.
3. User Preferences: Investors show a preference for platforms that offer high usability,
suggesting that ease of use and efficient functionality are crucial factors for satisfaction.
4. Functionality Demands: Investors are looking for platforms that provide
comprehensive features and functionalities, which are essential for managing their
investments effectively.
5. Technical Challenges: Common challenges include technical glitches, slow
performance, and user interface issues, which can impact the overall user experience.
6. Support and Assistance: Adequate customer support is critical, as investors often
require prompt assistance to resolve issues and ensure smooth transactions.
7. Security Concerns: Security is a major concern for investors using Demat accounts,
with many emphasizing the need for robust protection against fraud and data breaches.
8. Educational Resources: Investors benefit from accessible educational resources that
help them understand how to use the platform effectively and make informed investment
decisions.
9. Platform Improvements: Continuous improvements and updates to the platform are
necessary to address user feedback and evolving market needs.
10. Future Trends: Future studies should delve deeper into specific pain points and
preferences to enhance platform usability and meet investor expectations more
effectively.

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Chapter-11
Suggestions

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Improve Account Opening Process:

Make the account opening process as simple as possible to attract more users. Since ease of account
opening is a top priority for many, ensure it's quick and hassle-free.

Focus on Ease of Use:

Design a user-friendly platform that is easy to navigate and understand. Since most users value ease of
use, prioritize this feature in your platform design.

Address Delays in Account Activation:

Speed up the account activation process to reduce user frustration. Since delays are a major issue,
ensuring faster activation can improve user experience.

Enhance Security Measures:

Strengthen security features to address users' concerns about safety. Emphasize the protection of user
data and transactions to build trust.

Maintain High Satisfaction in Account Opening:

Continue focusing on the smooth account-opening process since most users are already satisfied. Keep
up the good work and make any necessary tweaks to maintain satisfaction.

Improve Customer Support:

Enhance customer support services to increase satisfaction among users. Since some users are not fully
satisfied, providing more responsive and helpful support can make a difference.

Increase Recommendation Rates:

Work on areas that cause hesitation in recommending the service, such as customer support or usability
issues. Satisfied customers are more likely to recommend the service.

Address Usability Issues:

Refine the online platform or mobile app to make it more intuitive and user-friendly. Since a significant
portion of users struggle with usability, focus on simplifying the interface and making it easier to use.

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Chapter-12
LEARNING
THROUGH THE
PROJECT

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LEARNING THROUGH THE PROJECT

Client Relationship Management:
Building and maintaining positive client relationships is essential for client satisfaction and
retention.
Communication Skills:
Good communication skills help to reach a career goal easily and make the patha lot
smoother. So, as marketing Intern, I learn how to communicate with customer
Compliance and Documentation Skills:
Learned the importance of accuracy and attention to detail in ensuring compliance with
financial regulations.
Time Management and Efficiency:
Successfully opening and activating 20 Demat accounts within a 15-day timeline
highlighted the importance of effective time management and process efficiency.
Marketing and Social Media Skills:
Acquired knowledge and skills in creating engaging content for social media platforms such
as Instagram, WhatsApp, and LinkedIn.
Social Media Analytics:
Learned how to use data-driven insights to refine social media strategies and content.
Marketing Strategy and Branding:
Gained insights into marketing strategies for financial services companies, including the
importance of branding and reputation management.

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Chapter-13
BIBLIOGRAPHY

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Websites:

 https://www.Angel One.in/

 https://sendpulse.com/support/glossary/customer-acquisition

 https://www.salesforce.com/in/learning-centre/marketing/

 https://en.wikipedia.org/wiki/Angel_One_(company)

 https://www.forbes.com/sites/forbesagencycouncil/2019/10/22/to-convert-
more-customers-focus-on-brand-awareness/?sh=2e10e3c62075
 https://www.forbes.com/sites/forbesbusinesscouncil/2022/08/15/the-four-
pillars-of-customer-acquisition-strategy/?sh=164339bc3218
 https://www.forbes.com/sites/forbescoachescouncil/2021/04/20/five-lead-
generation-strategies-for-your-business/?sh=5769111218f9

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DAILY DAIRY/DAILY LOG:

Departmen Time of
t in which arrival Time of Description of work
work is Name of departur carried in Details
Sr.no Date carried HOD e
Harsh 10:00 Introduction about
1 01/06/2024 Finance Vira AM 5:00: PM company and joining
Harsh 10:00 Introduction about the
2 02/06/2024 Finance Vira AM 5:00: PM Indian market
They have given task
Harsh 10:00 about open accounts at
3 03/06/2024 Finance Vira AM 5:00: PM share market.
They have given task open
Harsh 10:00 20 accounts at share
4 04/06/2024 Finance Vira AM 5:00: PM market.
Harsh 10:00 Session about how to
5 05/06/2024 Finance Vira AM 5:00: PM handle clients
Session about o
Harsh 10:00 capital market
6 06/06/2024 Finance Vira AM 5:00: PM
Apurva 10:00 Live trading session
7 07/06/2024 Finance mam AM 5:00: PM
10:00 They give a task of open
Harsh
AM 5:00: PM account of angel one
8 08/06/2024 Finance Vira
10:00 Inviting people to
Harsh AM 5:00: PM open account
9 09/06/2024 Finance Vira
10:00 Live training session
Apurva AM 5:00: PM on IPO
10 10/06/2024 Finance mam
10:00 Inviting people to
Harsh AM 5:00: PM open account
11 11/06/2024 Finance Vira
Harsh 10:00 Session on mutual fund
12 12/06/2024 Finance Vira AM 5:00: PM
10:00 Inviting people to
Harsh AM 5:00: PM open account
13 13/06/2024 Finance Vira

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Harsh 10:00 Account opening

14 14/06/2024 Finance Vira AM 5:00: PM
10:00 05:00 Inviting people
AM : PM to open
15 15/06/2024 Finance Harsh Vira account
10:00 5:00: PM Task complate
16 16/06/2024 Finance Harsh Vira AM
10:00 5:00: PM Task of start sip
17 17/06/2025 Finance Harsh Vira AM
10:00 5:00: PM meet people to
18 18/06/2025 Finance Harsh Vira AM start sip
10:00 5:00: PM meet people to
19 19/06/2025 Finance Harsh Vira AM start sip
10:00 5:00: PM meet people to
20 20/06/2027 Finance Harsh Vira AM start sip
10:00 5:00: PM meet people to
21 21/06/2022 Finance Harsh Vira AM start sip
10:00 5:00: PM meet people to
AM start sip
22 22/06/2024 Finance Harsh Vira
10:00 5:00: PM online session
AM on fixed
23 23/06/2024 Finance Harsh Vira income
securities
10:00 5:00: PM meet people to start
24 24/06/2024 Finance Harsh Vira AM sip
10:00 5:00: PM meet people to start
25 25/06/2024 Finance Harsh Vira AM sip
10:00 5:00: PM meet people to start
26 30/06/2024 Finance Harsh Vira AM sip
10:00 5:00: PM Fundamental
27 01/07/2024 Finance Harsh Vira AM Analy
sis
sessio
n
10:00 5:00: PM Fundamental
28 03/07/2024 Finance Harsh Vira AM Analy
sis
sessio
n
10:00 5:00: PM Fundamental
29 11/07/2024 Finance Harsh Vira AM Analysis
Practical
class.

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10:00 5:00: PM Fundamental

AM Analysis task
30 12/07/2024 Finance Harsh Vira complete and
submission
10:00 5:00: PM Life Insurance &
31 19/07/2024 Finance Harsh Vira AM Wealth
Creation
10:00 5:00: PM
32 30/07/2024 Finance Harsh Vira AM Task complete
submission

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INTERNSHIP SYNOPSIS

Information Student Industry Supervisor

Name Deokar Ravindra Shantaram Name company Harsh vira sir and
Guide/Mentor Apurva annavi Mam

Year 2024 Designation Authorised person

Campus Sanjivani Institute of Company Finpro Wealth Prv Ltd

Address Management Studies

Phone 7350896965 Internship C-604, Juie Apartment,

Address Opp. Sant Nirankari
Satsang Bhavan, Ostwal
Nagar, Central Park
Road, Nallasopara (East)

Email [email protected] City, State, Pin 401209

code
Phone 8433636429 ,

8789603462

Email [email protected]

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Faculty Guide Academic Credit Information

Name Dr. Kiran Shinde Sir Internship Title To Study the Investor
Preferences and
Challenges in Using
Demat Accounts

Phone 9890085649 Department MBA

Campus Course Finance +

Sanjivani Institute of
Address Management Studies /Specialization Marketing

Credits
Beginning date of 1st June 2024
Internship
Ending date 31st july 2024

Internship Paid or Paid

Unpaid

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Questionnaire
 Name: (Short Answer)
 Age Group: (Multiple Choice)

o 18-25
o 26-35
o 36-45
o 46 and above

 What are the most important factor in the Demat account openanig process ?
o Low Brokerage Fees
o Reputation of the Provider
o Ease of Account Opening
o User-Friendly Interface
o Customer Support Quality
o Technological Features (e.g., Mobile App)
o Security Features
o Recommendations from Family/Friends
o Other (Please specify)
 Which feature do you consider while choosing a Demat account provider?
o Low Charges/Fees
o Range of Investment Options
o Ease of Use (Online Platform/App)
o Customer Service
o Security of Transactions
o Integration with Bank Accounts
o Others (Please specify
 What are the challenges you face opening your Demat account?
o Lengthy Documentation Process
o Complicated Application Process
o Delays in Account Activation
o High Initial Charges
o Lack of Guidance/Support

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o Poor Customer Service

o Technical Issues with Online Platform/App
o Others (Please specify)
 What difficulties are you currently facing in managing your Demat account?
o Understanding Fees and Charges
o Complicated Trading Platform
o Difficulty in Navigating the Online Portal/App
o Limited Customer Support
o Security Concerns
o High Maintenance Fees
o Lack of Educational Resources
o Others (Please specify)
 How satisfied are you with the ease of opening your Demat account?
o Very Satisfied
o Satisfied
o Neutral
o Dissatisfied
o Very Dissatisfied
 How would you rate your satisfaction with the customer support provided by
your Demat account provider?
o Very Satisfied
o Satisfied
o Neutral
o Dissatisfied
o Very Dissatisfied
 Would you recommend your Demat account provider to others?
o Definitely Yes
o Probably Yes
o Not Sure
o Probably No
o Definitely No
 How would you rate the usability of the online platform or mobile app for your
Demat account? (Multiple Choice)
o Excellent

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o Good
o Average
o Below Average
o Poor
 How secure do you feel when using the technological features of your Demat
account (e.g., mobile app, online trading)? (Multiple Choice)
o Very Secure
o Secure
o Neutral
o Insecure
o Very Insecure
 Which technological feature would you most like to see improved in your
Demat account? (Multiple Choice)
o User Interface of Online Platform/App
o Speed of Transactions
o Security Measures
o Integration with Other Financial Services
o Mobile App Performance
o Real-Time Market Data
o Others (Please specify)

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