New retail banking and investment service bank new

SUMMER INTERNSHIP PROJECT REPORT
ON
“STUDY OF RETAIL BANKING &
INVESTMENMT SERVICE IN”
SUBMITTED IN PARTIAL FULFILLMENT
TOWARDS THE AWARD OF
MASTER OF BUSINESS ADMINISTRATION
(2016 – 18)
SUBMITTED BY:
NIKHIL VERMA
University Roll No.:- 168410231
MBA II YEAR (IV TRIMESTER)
INSTITUTE OF BUSINESS MANAGEMENT

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PREFACE
This Project report is prepared to fulfill the requirement of the MBA program of Ganeshi
Lal Agrawal (GLA) University, Mathura on Retail banking and investment services in
Axis Bank Limited.
As we all know that in present scenario knowing about practical knowledge is most
important then theoretical knowledge therefore MBA program gives an opportunity to
know how thing does happens and in which way does it happen in practical working
environment.
The reason of choosing Axis bank for internship is that Axis bank is largest financial
organization in private sector which has great financial influence on our country and
large customer network.
The prime motto of this study to be familiar with concept of investment services which
comprises with various instrument related to money market and capital market
instruments in which Axis bank deals. On the other side this project will also help you to
know the retail banking in axis bank which comprises various retail banking services
such as loan, fixed deposits, accounts etc. Retail banking is a major part under
operational areas study which is customer centric area.
This project report divided into various sections in the first section it is the introductory
part namely objective of study, research methodology. In the second section the
background of the Axis Bank

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ACKNOWLEDGEMENT
Words have no value until it have a purpose, but when they have a purpose there exists a
thought behind them I am also having a purpose to specific my feeling towards those
people without whose support this project not possible.
I would like to thanks Mr.Vikash Choubey (Vice president, HR-North), Mr.Dhiraj
Arora (Branch head, Sector-18 Noida) and Ms. Ankita Singhal (Delhi Circle-HR)
who is kindly permitted me to undertake this project in the organization.
I am also thankful to Mrs. Sugandha Singh Sisodiya (Operation Head), Mrs Pallvi
Gupta, Miss Manisha Sharma, Mrs.Sailendra and Miss Jyotsana ma’am, Employee
of the bank for their support and providing required information.
The Experience that I learned here in Axis bank Limited has a profound impact on my
career choices and helped me realizes what is required for success in the corporate world.
I carry high regards for the complete team of Axis bank limited.

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STUDENT DECLARATION
This is to certify that Summer Internship Report entitled “RETAIL BANKING AND
INVESTMENT SERVICE” carried at AXIS BANK LIMITED which is being
submitted by me towards partial fulfillment for the award of degree Master of Business
Administration from the Institution of Business Management, GLA University, Mathura
comprises only my original pie of word due acknowledgement has been made in the text
to all other material used.
No part of this project has been submitted elsewhere from whatever purpose concerned.
Date: 05/10/2017 (Nikhil Verma)
Place: Mathura

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TABLE OF CONTENTS
______________________________________________________
INTRODUCTORY PREFACE 2-2
PAGE ACKNOWLEDGEMENT 3-3
STUDENT DECLARATION 4-4
CHAPTER 1 INTRODUCTION TO TOPIC
1.1 INTRODUCTION 7-7
1.2 NEED&RELEVENCE OF STUDY 8-8
1.3 RELATED CONCEPTS 9-13
CHAPTER 2 INTRODUCTION TO ORGANISATION
2.1 INTRODUCTION ABOUT COMPANY 15-15
2.2 HISTORY OF ORGANISATION 16-16
2.3 ORGANISATION STURCTURE 17-17
2.4 KEY HIGHLIGHTS OF ORGANISATION 18-19
CHAPTER 3 OBJECTIVES & METHODOLOGY
3.1 OBJECTIVE OF SUMMER INTERNSHIP 21-21
3.2 DATA COLLECTION SOURCE 21-21
3.3 TOOL USED FOR DATA COLLECTION 21-21
CHAPTER 4 INTERPRETATIONS & LEARNING
4.1 INTERPRETATION 23-69
4.1. I INVESTMENT SERVICE 23-53
4.1. Ii RETAIL BANKING 54-69
4.2 LEARNING SUMMER INTERSHIP 70-78
CHAPTER 5 5.1 CONCLUSIION 80-80
5.2 LEARNING 81-81
5.3 LIMITATION 82-82
BIBLIOGRAPHY 83-83
_____________________________________________________________

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CHAPTER-1
INTRODUCTION TO
TOPIC

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1.1 INTRODUCTION
In this project report, I have selected two major topics which are An Investment Service
and retail banking service in Axis bank. Under Investment we will talk about all
alternative option available in market and in Axis bank to invest money. Before getting
into deep into this topic, first understand what is investment? And what is instrument?
What is investment? Investment is a process to deploy their savings in particular
investment option with the intension of getting maximum returns in terms of capital
appreciation which includes principal amount and compound or simple interest and
Dividend.
What is Instruments? Instrument is a kind of investment option which can be debt
instrument or equity instrument or combination of both, government paper etc.
Hence we can conclude that Investment instrument is a kind of investment option to
invest their saving to get maximum return.
Retail banking service in Axis Bank is another topic which specifies all service provided
under Axis bank like accounts, deposits, overdrafts, loans, lockers and other service
provided to customer. We will broadly discuss about all these things in the report later.

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1.2 NEED AND RELEVANCE OF STUDY
Every person has some goal or need in their lives like buying expensive car, big house,
health treatment, study in good college, foreign tour and high class marriage party for all
such things require huge amount of money which cannot get in one time. You have to
save some amount of money from your present earning. Taking out of some portion of
your earning is not enough because in present time leaving idle money is the biggest risk
reason being day by day money value is getting down. So you have to invest that idle
money somewhere after doing proper planning.
In the Market have several product to invest which creates confusion among the investor
that where investment should make to get maximum return. Hence it is very necessary for
the investor to know about all investment products available into the market.
Banking is a back bone of any country if banking industry disturbs then all economy will
also disturb reason being all the circulation of currency is flows through banking system.
Mostly people are connected through banking system now day and mostly transaction
either related to business or personal done through banking system.
Bank provides several services apart from deposit and loan like debit and credit card,
online internet banking, foreign exchange, overdraft, and other various services which we
should familiar with all which are covered in retail banking. Hence we all should know
about the retail banking service of bank to get benefit.

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1.3 PART- I INVESTMENT INSTRUMENTS
The term investing could be related with several activities; however the common target
in these activities is to invest the fund during the time period seeking to increase the
investor’s wealth. Investing their saving through scarifying today’s consumption, investor
expects to increase future consumption chances through increasing their future wealth.
There is two kind of investment real and financial investment. Investing in
tangible assets includes in real investment and the investment which involves contract on
paper or electronic form such as stock and bonds includes in financial investment.
Generally Investment instrument can be divided into two forms
A) Money Market Investment Instrument
a. Treasury bill: - Treasury bill is one of the safest money market
instruments because they are issued by government. Treasury bill is zero
risk instruments and hence they are not so attractive. It is circulated in
both market primary market and secondary market and they come with the
maturity of 3-month, 6-month and maximum 12 month period. This
instrument issue at lesser value then face value.
b. Certificate of Deposit: - Certificate of deposit is like a promissory
note issued by bank in the form of a certificate permit the bearer to receive
interest. It is similar to bank term deposit account. The return on CD is
higher than T-bill because they are carry higher level risk.
c. Commercial Paper: - Commercial paper is the short term unsecured
promissory note by corporate and financial institution at a discounted
value on face value. Commercial paper comes with fixed maturity period.
These are issued to meet out short-term liabilities like account receivable,
stocks. Return on commercial paper is higher in comparison to Treasury
bill and certificate of deposit.
d. Bill-of-Exchange/Bank’s Acceptance: - It is like short-term
investment plan created by non-financial institution firm, backed by a
guarantee from the bank. In this type of bill of exchange stating a buyer
promise to pay seller a certain specified amount at certain period and bank
guarantees that the buy will pay the seller at a future date.

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B) CAPITAL MARKET INVESTMENT INSTRUMENT
 Capital market is the market of buying and selling of equity and debt
instrument.
 Capital Market is the mode of saving & investment between supplier of
capital such as retail & institutional investors and user of the capital such
as businesses, government and individuals.
 Capital market is most important for the proper function of the economy
of any country.
 Capital Market could be categorized into two markets first is Primary
Market, where new stock and bond issues to sell to investors and second is
Secondary market, where existing securities are sold.
 Equity securities which are often known as stocks and debt securities are
known as bonds.
 Capital Market permit to issuing the stock and bond for the long-term
period which helps the both sector public and private to raise a fund for
long-term period.
 Capital Market instrument can be broadly divided into following
instrument
a. Shares
b. Bonds
c. Debentures
d. Fixed Deposits
e. Forex Market
a. Shares:-
 Shares are a unit of ownership in the company. Share is part of
company’s capital.
 Those who have shares of company called shareholder of that
company.
 When company feels the need of money, it issues a share in the
stock exchange for their investors.
 Shareholder (Investor) gets return in terms of Dividend and
appreciated value of amount invested.
 Share can be divided into Equity share and Preference shares.

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b. Bonds:-
 Basically bonds are issued by various institutions like banks,
financial institutions etc.
 These institution raises fund from investor in terms of bonds and
promise them to pay fixed amount of interest after completion of
pre-specified period.
 Bonds can be categorized into several types such as Zero-coupon
bond, corporate bond and High interest bonds.
o Zero-coupon bond is also called deep discount bonds in
which there is no interest amount is part in the maturity
value.
o Corporates bond issued by companies at higher rate in
comparison to government companies.
o Sovereign Bonds are issued by government. RBI issues
such type of bonds at lower rate with less risk.
o Convertible bond has an option to convert into equity
shares after fixed period. Conversion can be fully or
partially.
c. Debentures:-
 Debenture is like a debt instrument which is not backed by any
specific security like physical assets and collateral.
 Corporates and government used this tool to raise long-term fund
which is the part of capital structure.
 Corporates and government provide pre-specified interest on
particular periods.
d. Fixed Deposits:-
 Fixed Deposit is type of bank account where amount deposit for
specific period of time to get pre-specified rate of interest.
 Interest rate of fixed deposit depends upon interest rate specified
by RBI.
 Fixed deposit can be categorized as Term deposit and Recurring
deposit.

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1. Term deposit: - FD is a financial instrument which
investor could avail through bank which gives investor with
higher rate of interest than saving account, until the given
maturity date.
2. Recurring Deposit: - Basically RD consists of regular
deposit by the bank after taking permission from investor
through his bank account.
e. Foreign Exchange Market:-
 Foreign exchange market is also called Forex Market.
 It is biggest investment market in the world where various form of
currencies added for training on international level.
 Investor invests their money on the value of currencies, where
currencies fluctuate due to the change in economic position of the
country.
PART-II RETAIL BANKING SERVICES
Retail banking provides service to the consumer therefore we called it consumer banking
also. Retail banking service could be divided into retail assets and retail liabilities. Retail
assets include all kind of sources through which bank gets income such as loan and
advances and retail liabilities includes all kind of sources through which bank has to pay
money such as deposits. There is another simple way to categorized retail banking service
of axis bank which are as follow.
1. Accounts
2. Deposits
3. Cards
4. Loans
5. Forex
6. Investments
7. Insurance

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ACCOUNTS:-
Accounts basically related to all account facilities available in axis bank such as saving
account, salary accounts, and current accounts.
DEPOSITS:-
Deposit is a kind of investment service provided to the customer for securing their future
life. There are only two kinds of deposits fixed deposit and recurring deposits.
CARDS:-
Axis bank provides various card services which we called plastic money there is various
card such as Credit, Debit, Prepaid, Transit, Commercial credit, Commercial Debit and
Digital payment card.
LOANS:-
Loan basically provided to customer who needs money for full filling various kind of
need such as for education, for buying home, for establishing business and buying car. So
according to customer axis bank provide various loan facilities such as education, home
and business loan.
FOREX:-
Forex is an abbreviation of foreign exchange which basically means foreign exchange
market and it is exits where two currencies are trade. In simple mean you need foreign
currency to trade into or with another country which could be through forex option with
by bank. Fundament concept of forex means conversion of one county’s currency into
another country’s currency.
INVESTMENTS:-
Axis bank provide various kind of investment facilities such as fixed deposits, bonds,
mutual fund, IPs, NPS,PPF and SSY to their customer.
INSURANCE:-
Life insurance is a most common insurance under which person pays consideration to
insurance company in exchange of life risk. Axis bank provide general insurance, Health
insurance and various other insurance facilities

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CHAPTER-2
INTRODUCTION TO
ORGANISATION

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2.1 INRODUCTION ABOUT COMPNAY
Axis bank is the third largest private sector bank in India. The bank offers the entire
spectrum of financial service to customer segments covering large and mid-corporate,
MSME, Agriculture and retail businesses.
The bank has a large footprint of 3304 domestic branches (including extension counter)
and 14163 ATMs across the country as on 31st
march 2017. The overseas operation of the
bank is spread over 9 international offices with branch at Singapore, honking, Dubai,
Colombo, shanghai, representative offices at Dhaka, Dubai, Abu Dhabi and oversea
subsidiary at London, UK. The international offices focus on corporate lending, Trade
finance, syndication, investment banking and liability business.
Axis bank is one of the first new generation private sector banks to have begun operation
in 1994. The bank was promoted in 1993, jointly by specified undertaking of Unite Trust
of India (SUUTI)(then known as Unit Trust of India), Life insurance corporation of India
(LIC), General Insurance Of India (GIC), National insurance company ltd, The new India
insurance company ltd, The oriental insurance company ltd, and united India insurance
company ltd. The shareholding of UTI subsequently transferred into SUUTI, an entity
established in 2003. The bank has balance sheet size of Rs. 601468 cores as on 31st
march
2017.

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VISION OF AXIS BANK
To be the preferred financial solution provider excelling in
customer delivery through insight, empowered employee and use
smart technology.
CORE VALUES
 Customer Centricity
 Ethics
 Transparency
 Teamwork
 Ownership

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2.2 HISTORY OF THE ORGANIZATION
Axis bank established in 1993 was the first of new private bank to have begun operation
in 1994 after the government of India allowed new private bank to establish.
Axis bank has been promoted by largest and the best financial; institution of the country,
UTI. The bank was setup with a capital of Rs. 115 Core, with UTI contributing Rs. 100
core, LIC Rs.7.5 core and GIC and its four subsidiaries contributing Rs 1.5 Core each.
The bank was promoted in 1993 jointly by SUUTI (the known as UTI), LIC, GIC, NIC,
the new assurance company ltd, the oriental insurance company Ltd and United insurance
company ltd.
Unit Trust of India was set up as a body corporate under the UTI act 1963 with a view to
encourage investment and saving, in December 2002, the UTI act 1963 was replaced with
a passage of Unit Trust of India act, 2002 by the parliament, paving the way of
burification of UTI into 2 entities, UTI-I and UTI-II with effect from 1st
feb 2003.
In accordance with the act, the undertaking specified as UTI-I have been transferred and
vested in the administrator of the SUUTI who managed assured return schemes along
with 6.75% US64 bonds, 6.60% ARS bond with the unit capital of over Rs.14167.59.
The Bank has strength in both retail and corporate banking and is committed to adopting
the best industry practice internationally in order to achieve excellence.

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2.3 ORGANISATIONAL STRUCTURE
MD & CEO
Mrs. Shikha Sharma
Branch Banking Head (North)
Mr. Rajiv Anand
Delhi
Circle Head
Circle Retail Head
Mr. K.K Srivastawa
Circle Sales Head
Mr. Adil Aziz
Circle Transaction
Banking Head
Cluster Head (Noida)
Mr. Mohit Jain
East West North South
Branch Head
Mr. Dheeraj Arora
Operation Head
Mrs. Sugandha Singh
Sisodiya
Branch Sales Manager
Mr. Karan Bharadwaj
National Retail Banking Head
Mr. Sanjay Silas
Customer Service Officer
Teller
Sales Channel

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2.4 KEY HIGHLIGHT
Retail Banking
Saving bank deposit crossed Rs. 1 lakh cores, growing at a five year CAGR of 21%
Technology & Digital Banking
Ping pay is India’s first multi social application launched to enable peer to peer transfer
of money/recharge through social media platform like What Sapp, Facebook and Twitter.
Launched LIME- India’s first mobile app integrating wallet, Shopping, payments and
banking.
Retail Payment
The bank is one of India’s largest debit card issuers, with a base of over 155 Lakh. On
31st
March, 2016 the bank had over 24 lakh credit cards in force.
The Bank is also one of largest acquirer of point of sale terminal in the country with an
installed base of around 3 lakh terminal.
The Aggregate load value on travel currency card crossed US$6.5 Billion during 2015-
16.
Network
Axis bank was the first private sector bank to introduce recyclers and first bank in India
to have 1000+ recyclers, which can accept and dispense cash. As on 31st
march, 2016 the
bank had deployed 1,146 recyclers.
Service Quality
Overall complaint ratio for the bank reduced from 1.83(per thousand accounts) in 2014-
15 to 1.75 in 2015-16

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Corporate Banking
The Bank’ advance corporate portfolio grew by 22% during 2015-16 and stood at Rs.
155384 Cores, comprising 46% of total advances.
The Bank has maintained its leadership in the loan syndication market and syndication an
aggregate amount of Rs. 22613 cores by way of rupee loan and US$ 1.93 Billion of
foreign currency loan during 2015-16.
The Bank continues to remain a dominate player in the debt capital market segment.
During the year, it arranged Rs. 124136 cores of bond and dentures for various PSUs and
corporates.
To make available trade and forex product to all segment customers, the number of
branches of handling forex business was increased from 214 to 475 during the year.
International Banking
The Total assets at overseas branches stood at US$ 8.06 Billion, compared to US$ 7.8
Billion last year.
SME
SME dealer Power, launched during the FY 2015-16 offering comprehensive financing
facility to the dealers of various companies in the country for efficient management of
working capital and other business requirement.
Besides EXIM Power, offers financing facilities to SMEs engaged in import and export
activities.
Financial inclusion
The bank had networks of 587 rural branches and more than 313000 BC agent service the
financial inclusion customer base. Active in social security space, The Bank has issued
around 8lakh Pradhan mantra Suraksha yojana and 2 lakh pradaan jeevan jyoti bima
yojana polices.
Corporate Social Responsibity
The Bank had spent 137.41 Rs. Crops towards various CSR initiatives this year.

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CHAPTER-3
OBJECTIVE &
METHODOLOGY

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3.1 OBJECTIVE OF SUMMER INTERSHIP
There is three basic objective of this internship which is as follow
 To understand various investment service offered by axis bank.
 To know about the retail assets of the Axis bank.
 To know about the retail liabilities of the Axis bank.
SAMPLE DESIGN: - None
SAMPLE SIZE: - None
SAMPLE SELECTION: - None
3.2 SOURCE OF DATA COLLECTION
Primary data: The data required of this project was collected through primary data.
That is through interviewing & discussion with concerned authorities in the Axis bank.
Secondary data: The major source of data for this project was collected from annual
reports, manuals, books, some more information collected from the internet.
3.3 TOOLS USED FOR DATA COLLECTION
 Observation
 Content Analysis

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CHAPTER-4
INTERPRETATION &
LEARNING

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4.1. INTERPRETATION
4.1. I. TYPE OF INVESTMENT SERVICES HAVE IN
AXIS BANK

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A) TERM DEPOSIT
 A term deposit is an investment held by Axis bank that has a fixed period or
term.
 Term deposit has fixed period of tenure under which investor invest their money
at pre-specified rate.
 Pre-specified rate of term deposit decided by the treasury of the Axis bank.
 Term deposit is an extremely safe investment for the conservative investors.
 The person who invests his money into term deposit gets certificate of deposit.
 Investor may also withdrawal their money before maturity of period however he
has to pay prematurity withdrawal penalty at the rate of 1 %( on or after May 1,
2014).
 Minimum Limit of investment in Term Deposit is Rs. 10000 in first time and
second time invested amount should be in Rs.5000 multiple and no limit is on
maximum investment.
 Minimum period of depositing in FD is 7 Days and maximum tenure is 10 years.
 Term deposit could be categorized into Fixed Deposit and Recurring Deposit.
Eligibility: - There are following investors who are eligible for regular Fixed Deposits.
a. Residents
b. NRI
c. HUFs
d. Sole Proprietorship Firm
e. Trusts
f. Public and Private Limited Companies
g. Partnership Firms
Documentation:-
I) For Individuals, Proprietorship, HUFs
a. Pass Port and Driving License
b. Photograph
II) For Trust
a. Trust deed copy
b. Registration certificate copy
c. Copy of resolution of trustee authorizing the concerned member to operate
account.

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III) For Partnership Firm
a. Partnership deed
b. Letter of partners approving the concerned person to operate account.
c. Photograph of the person operating account.
How to apply
I) By Internet Banking.
II) By Mobile Banking.
III) By Branch

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Form for Fixed Deposit

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B) Bonds
 Generally bonds are issued by various institutions like banks, financial institutions
etc.
 They raise fund from investor in terms of bonds and promise them to pay fixed
amount of interest after completion of pre-specified period.
 Bonds can be categorized into various types like Zero-coupon bond, corporate
bond and High interest bonds.
 Axis bank deals in basically in all kinds of bonds such as
 Tax saving Bonds
 NHAI
 RECI
 There are two plan options available in 8% tax saving bonds one is cumulative
and non-cumulative bonds.
 Under this investor can bear an interest rate of 8%.
 Minimum investment limit of Rs.1000 and maximum has no limit.

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i.
ii.
iii.
iv.
v.
vi.
vii.
viii.
ix.
x.
xi.
xii.
xiii.
xiv.
xv.
xvi.
xvii.
Forms...rbi-bonds-application-cumulativerbi-bonds-application-cumulative-1.jpg

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C) Mutual Fund
 A Mutual Fund is a collective investment mode.
 In mutual fund investor’s money invested according to pre-specified investment
objectives.
 Investor’s money pooled together and invested according to their stated objectives
in pre-specified portfolio.
 For example Axis bank Income fund is a debt fund that invests pre-dominantly in
debt instruments with the objective of generating regular income only.
 The Fund Manager of specific scheme invests the pool of money into securities
such as equity and debt, according to the stated investment objective of the fund.
The risk and return of the fund depend on the investment objective of the fund.
 The benefit from the investment of pooled money distributed to those who
contributed to the pool.
Benefit of holding money in the pool
 Mutual fund scheme collect money from several investors which could be of
different amount which also depends on investor needs and preferences.
 Investors put money into the fund that is why every investor’s share in the pool of
fund is not equal.
 The benefit from the fund accrues to all investors in ratio to their share in the
pool.
 For instance there are three investor X, Y and Z who invested Rs10000,
Rs.20000, and Rs30000 respectively in a mutual fund. So the pooled sum is Rs.
60000. The money invested and gains Rs. 12000. This means pool is now worth is
Rs. 72000.
 The value of the investor’s holding in the mutual fund also goes up
proportionately to Rs. 12000, Rs.24000, and Rs36000.
Unit V/s Share
 When a person invests in Mutual fund, they buy share of pool of fund, this share
is called Unit of the mutual fund scheme.
 A Mutual fund investor is called a unit holder just as investor in equity shares is
called a shareholder.
 Each unit has face value which can be typically Rs. 10 per unit for the most
mutual funds.
 Equity shares are offered to investor for the first time in an Initial Public Offer
(IPOs) and Mutual Fund are offered for the first time to investor in a new fund
offer (NFO).

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Value of Unit depend upon portfolio
 A Portfolio is a collection of securities which can be equity share, debt, bonds,
debentures, deposits, money market instruments and derivatives.
 Mutual fund only can invest in marketable securities or securities that can be
traded in a market.
Security No.of
shares
MP Day-1 MV Day-1 MP Day-2 MV Day-2
Co. A 100 2500 250000 2600 260000
Co. B 200 45 9000 50 10000
Co. C 150 1200 180000 1250 187500
Co. D 250 500 125000 600 150000
Total 564000 607500
Where MP= Market Price, MV=Market Value.
As Market price of share holds change, the portfolio has also changed from Rs5.640 Lakh
to Rs6.075 Lakh.
The value of the investor’s unit holding also changes along with the market value of the
portfolio.
 The Current market value per unit is the Net Assets Value (NAV) which
fluctuates according to the up and down in portfolios.

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How to calculate Fund’s Net assets?
 Net assets= Total assets-current liabilities
o Illustration the market value of the fund’s portfolio is Rs. 2000Cr. And
current assets Rs. 400Cr. Net assets will be Rs. 1600 (2000-400).
 NAV=Net assets/No of units
o Illustration if the net assets of the fund are Rs. 20000. And Unit capital
(face value Rs. 10) is Rs. 500Cr. NAV will be Rs.40 (20000/50, 500/10).
 Net assets=NAV*No of Units
o Illustration if the fund was Rs. 10 and the no of unit was 1000Cr. Then net
assets will be Rs. 10000 (10*1000).
Advantages of Mutual Fund
 Low transition cost: - Transaction cost comes down due to fund invests large
sums of money in stocks.
 Reduction in risk: - Due portfolio diversification and professional
management risk reduces.
 Liquidity: - Investors can redeem their investment any time.
 Portfolio Diversification: - Under the Mutual Fund scheme have various
securities of companies, industries.
 Professional manager: - This person is called fund manager who appointed
by mutual funds who shares his expertise in managing investor’s fund.
 Flexible and easy: - Investor has option to select suitable fund as per their
needs.

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Dis-advantage of Mutual fund
 Customized portfolios are not possible: - Mutual fund is standard
product so no investor can customized mutual fund schemes as per their need of
return.
 No Control over cost: - Investor has to bear the cost charge associated with
investment which is not negotiable
 Fund selection: - Finding a suitable fund is very difficult because there are
various schemes which provide different- different.

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History of Mutual Fund
Phase-1
(1964-1987)
Phase-2
(1987-1993)
Phase-3
(1993-1996)
Phase-4
(1996-1999)
Phase-5
(1999-2004)
Phase-6
(2004
onwords)
In 1963 UTI
was formed by
an act of
parliament
called Unit
Trust of India
1963
1. UTI had
Monopoly
2. 1st
Scheme of
UTI was US64.
SBI Mutual
Fund formed in
1987 was the
second MF in
India.
SEBI was set
up in 1988 and
regulatory
power in 1992.
In 1993, Private
sector was
allowed to set
up MF.
Kothari Pioneer
MF was the 1st
Pvt. Sector MF
now merged
with Franklin
Templeton
SEBI regulation
required that
MF have 3-tire
structure of
Sponsor-Trust-
AMCIn 1999, all
dividends
declared by
MFs were made
tax free.
In Feb 2003,
UTI act was
replaced and
UTI MF was
formed.
UTI MF had
assets under
management of
the industry
crossed Rs.
150,000Cr.in
2001.
This phase
known as the
consolidation
and growth
phase of Indian
MFs industry.Various merger
and acquisition
took place in
this phase.

35 | P a g e
Basic Classification of Mutual Fund
 Open-ended Mutual Fund
 Open-ended funds get its name from the fact which says that open
ended does not have a maturity period.
 Open-ended fund offers units to the investor for first during the
NFO (New fund offer).
 Investors can buy and sell these funds on regular basis.
 NAV (Net Assets Value) is the price at which buy and sell
transaction take place.
 Unit Capital Of such fund fluctuates according to buy and sell of
investors.
 Closed-ended Mutual Fund
 These Funds operate on a specific period.
 Closed-ended funds are offered at the time of NFO and closed for
next purchase after NFO.
 The unit of this fund may be listed on stock exchange to provide
more liquidity.
 Investor has to pay exit charges while redeeming fund before
maturity.
Mutual Fund can also classify in other way which are as follow.
1. Investment Categories: - Fund can be classified depending on investment
categories also called assets class. For example:-
 Equity fund- invest in Equity shares
 Debt fund- invest in debt securities
 Money market fund-invest in MM securities.
 Commodity Fund-invest in Commodity linked Se.
 Gold Fund-invest in gold linked securities.
 Estate Fund- invests in Property linked securities.

36 | P a g e
2. Investment objective: - Objective of fund can be used to classify the funds.
For instance:-
 Growth Fund seeks capital appreciation hence it invest in equity.
 Income Funds seek to generate regular income hence it invests in debt.
 Monthly income Fund seeks to derive regular income with some growth
hence it invest in debt and equity both.
3. Investment Risk: - Funds can be grouped according to risk associated with
the investment objective and portfolios.
 Equity fund have a greater risk then debt funds.
 Liquid funds are least risky as they invest in very short-term securities.
Debt Funds invest in debt securities and have a fixed term and specific
rate of return
1. Money Market or Liquid Funds:-
 These funds invest in debt securities with less than one year of maturity
such as Treasury bill, commercial paper and certificate of deposits.
 Therefore Liquid fund have very short-term period maturity, risk of NAV
fluctuation is low and provide safety of principal and liquidity.
2. Gilt Funds:-
 This Fund invests in government securities which have medium and long
term maturities period.
 There is no risk of default because the issuer of the instrument is the
government.
 Gilt fund is affected by risk of interest rate which mean that if interest rate
goes up the value of a debt security goes down and vice-versa.
 The response to change in interest rate is called interest rate risk. Higher
the maturity period reflect higher interest rate risk.

37 | P a g e
3. Income Fund:-
 Income fund invest money in medium and long term debt instrument that
are issued by Got, companies, banks and financial institutions.
 Income fund have higher risk as compared to gilt fund because they invest
in securities issued by non-government companies.
 Another reason of having higher interest rate risk than money market
funds since they invest in long term securities.
 The main purpose of this fund is to providing income rather than capital
appreciation.
4. High yield debt Funds:-
 High yield debt fund provides higher return through investing in debt
instrument which have lower credit rating and it comes under high risk of
default.
5. Fixed Maturity Plans
 Fixed maturity plan are closed ended fund which also invest in debt
instrument having fixed maturity period such as short-term like 91days,
190days, 390days and 750days.

38 | P a g e
COMPARISON OF DEBT FUND
DEBT FUNDS RETURN RISK LIQUIDITY
Liquid Fund Low Low High
Gilt Fund Medium High High
Income Fund Medium Medium High
High Yield Fund High High High
FMPs Low Low Low

39 | P a g e
Equity Fund invests in equity shares issued by companies. The Risk is
comparatively higher than debt fund. These funds are as follow.
1. Diversified equity Fund:-
 Diversified equity fund focus at investment opportunity across sector,
sizes and industry.
 This type of fund is less risky because of the diversified nature of the
portfolio.
2. Growth Funds:-
 Growth Funds invest in those companies whose earnings chances are
accepted to grow.
3. Aggressive growth Fund:-
 Aggressive growth Fund focus only on maximum capital appreciation
through investing in smaller sized and risky equity shares.
4. Value Funds:-
 Value fund invest only in fundamentally strong companies which are
undervalued by market.
5. Specialty Funds:-
 They are also called sector oriented fund which invest in particular sectors
like banking, technology and infrastructure.
6. Large Cap Equity Funds-
 Such Fund invests a large share of their fund in companies with large
market capitalization.
 Large-cap companies have more than Rs 10,000 core. Market capital.

40 | P a g e
7. Mid-Cap and Small-cap Equity Fund:-
 Such funds invest in stock of mid-sized companies which are consider as
developing companies which is called mid-cap fund and Small-cap fund
invest in small-sized companies.
 Mid-cap companies have market cap between Rs 2-10 Core.
 Small-cap companies have market can less then Rs. 2 cores.
8. Multi-Cap Equity Fund:-
 These funds invest across different sector and market capitalization rather
they invest all kind of market cap companies (Large-Mid-Small).
9. Equity Link Saving Scheme(ELSS):-
 ELSS is tax saving mutual fund which invest primarily in the stock
market.
 Investment up to Rs. 1.5 Lakh in ELSS earns a tax rebate under section
80C every year.
10.Equity Index Fund:-
 Index fund is a type of MF with a portfolio constructed to match the
component of a market index such as S&P500.
 These are a passive fund that invests in the shares that constitute a
particular market index.
11.Dividend Yield Fund:-
 Dividend yield fund mainly target on current income from dividend.
 These funds invest in those companies that have high dividend yield.

41 | P a g e
Funds that have a combination of both assets such equity and debt on
their portfolios. These funds are as follows
1. Monthly Income Plan (MIP)
 Such fund invests in debt securities with a small allocation in equity to
provide growth in invested money.
2. Balanced Funds:-
 These funds have a mix of equity and debt in a pre-specified proportion.
 Generally more than 65% in equity and rest in debt securities.
3. Growth and Income Funds:-
 These funds invest in companies with high dividend as well as companies
with the potential for growth.
4. Assets Allocation Funds:-
 This fund knows as Dynamic fund in market.
 Proportion of equity and debt in portfolio changes according to fund
manager’s perception of the market.
 Fund manager has option to invest 100% of corpus into equity.
5. Commodity Funds:-
 These funds invest in Commodity Company.
 Direct investment in commodity is not permitted.
6. Real estate Funds:-
 Real estate funds are kind of funds that generally invest in companies that
purchases real estate with the money of investors.
 Invest directly or lend to real estate developers or buy securities of
housing companies.

42 | P a g e
7. Exchange Traded Funds:-
 ETFs funds that track a market index.
 They are traded like shares on the stock exchange at the prevailing price.
8. Fund of Funds:-
 These funds invest in other mutual funds.
 This fund has higher expenses ratio due to two layers of fund manager.

43 | P a g e
Structure of Mutual Fund
Mutual Funds’ structured could be either as a company or trust, in company investor
holds the shares or in trust investors are the beneficiaries.
In the USA, Mutual fund is set up as investment companies. In the UK, open-ended funds
are set up as investment trust or companies. In the India, Mutual Funds are created as
Trusts in which investor are the beneficial owner of the investment.
Security and Exchange Board of India (SEBI) constructed the Structure of Mutual fund.
Mutual Fund has 3-tier of Structure which is as follows:-
 Sponsor
 Trust
 AMC
The sponsor basically promotes the fund and sets up the AMC. MF is a trust which is
managed by trustees for the benefit of the investors. For managing the fund, trustee
appoints Assets management company (AMC). Sponsor is the promoter of MF who
establishes the trust and AMC and also appoints the custodian, Board of trustee and board
of director of AMC. Trustees are appointed through the sponsor with the approval and to
act on the behalf of the investor. AMC is appointed by the Trustees to manage the fund
and AMC is the investment manager of mutual fund. AMC should be register with SEBI.
Constituent Role
Custodian Hold Funds & Securities
R&T agent Keep and service investor records
Banks Enable payment and collection.
Auditors Audit Scheme accounts
Distributors Distribute fund product to investors.
Brokers Execute transaction in securities.

44 | P a g e
Custodian is responsible for holding the cash and securities of the mutual fund. It holds
actual custody of the assets of the mutual fund. It is appointed by the sponsor, not
appointed by AMC and custodian should be independent of the sponsor.
For instance Axis bank ltd is a sponsor of Axis MF. Deutsche Bank A. G. and The Bank
of Nova Scotia (In case of Axis Gold ETF) is also a custodian bank and Axis Mutual
Fund Trustee Limited is the trustee of axis MF.
Custodian has following functions:-
 It Delivers and accepts securities and cash to complete transaction made in the
mutual fund scheme.
 It Tracks and completes corporate action and payout such as right, bonus, offer
for sale, buy back offers, dividend, interest and redemptions on the securities held
by the fund.
 It also coordinates with depository participant (DPs) who hold the securities
account of the mutual fund schemes.
Registrar and transfer agent:-
 R&T agent are responsible for providing service to the investors. They accept and
process investor transactions.
 R&T agent charged money for their services and they also operate investor
service centers (ISC).
Function of R&T agent:-
 Issuing and redeeming units and updating the unit capital account.
 Enabling investor transaction such as purchases, redemption and switches.
 Cresting, Maintaining and updating investor record.
 Banking the payment instrument given by the investor and notify the AMC.
 Processing payouts to investor in the form of dividend and redemptions.
 Sending statutory and periodic information to investors

45 | P a g e
D) AXIS DIRECT
Axis Direct is the brand which is operated by Axis securities limited with a 100%
subsidiary of Axis Bank that offer retail broking services.
Axis direct offers several range of investment option on various platform like mobile app,
installable exe, web portal and over call through advisors.
Investor could be open a single 3 in 1 account to invest in several products such as
Equity, Mutual fund, Derivatives, IPOs, Bonds, ETFs, and Fixed deposits.

47 | P a g e
Under Axis direct we would discuss about demat account which are as follows:-
 Demat is an abbreviation of dematerialized account which provides
facility of holding shares and securities in electronic form.
 In simple way, Dematerialization is the process of converting the
physical shares certificate into electronic form.
 Shares and securities are held electronically in dematerialized account
in spite of physical form like possession of certificate which happened
earlier days.
 Demat account holds all the investment an investor makes in shares,
government securities; exchange traded funds (ETFs), bonds and
Mutual funds in one place.
 Demat service provided by depositories such as NSDL and CDSL
through intermediaries like Axis securities, Share khan, Angel Broking
and others.
 Charges of holding demat account and brokerages charges vary to
different-2 demat account service providers.

48 | P a g e
E) INSURANCE
In India Insurance has a big role in history because you could find it in writing of
Manusmrithi, Dharmshatra, and Arthsastra which says that selecting of resources that
could be re-distributed in period of calamities like fire, earthquake, floods and epidemics.
In Indian history insurance was in the form of marine trade loan and carriers contracts. In
India, insurance evolved more from England. Emergence of insurance business in India
after establishment of oriental life insurance company in1818.
Concept:-
In simple words Insurance is a contract whereby one undertakes indemnify another
against damage, loss and liability arises due to uncertain events.
Under Insurance, an individual or any business entity transfer its own the risk of loss to
an insurance service providing company where insurance company charged cost of
unexpected losses and when individual do not take insurance then loss would have to
bore by only individual.
There are many terms which are used in Insurance which are as follow:-
1. Agency Contract. A person employs another person to do any act for him or to
represent him in dealing with third party person.
2. Premium: - It is the price payable by insured to the Insurer in exchange of risk.
3. Agent: - Individual who sell and provide service of insurance policy.
4. Sum Assured: - Sum Assured is an amount for which policy is taken.
5. Insurer: - One who takes the responsibility of risks i.e. Insurance Company.
6. Applicant- The person who applies application for getting insurance policy.
7. Beneficiary: - Beneficiary is the person who gets amount of claim and other
benefit upon the death of insured person.
8. Death Benefit: - The amount that will be paid in the event of the death of the
covered person.

49 | P a g e
9. Insurance Policy: - It is a written document or certificate which includes all
clauses, endorsement and paper attached thereto.
10. Insured: - One whose risk is takes by insurance company.
Classification of Insurance:-
 Life Insurance
 General Insurance
Life Insurance: -
Life insurance is a most common insurance under which person pays consideration to
insurance company in exchange of life risk. In other terms, this insurance is taking
against the risk of death in which benefit provides to the decedent family (Affected) or
other authorized beneficiary.
General Insurance: -
All other insurance except life insurance comes under general insurance which is known
by the name of Non-life insurances. It is including following insurance which are as
follows:-
I. Motor Insurance
II. Travel Insurance
III. Commercial Insurance
IV. Marine Insurance
V. Health Insurance
a. Motor Insurance: - This insurance can be further divided into 4-wheeler
insurance and 2-wheeler insurance.
b. Travel Insurance: - This insurance is secured your journey through the
several policies like individual travel policy, Family travel policy etc.
c. Commercial insurance: - Under this insurance company provide
insurance policy according to issues arisen during business operations.
d. Marine Insurance:- In marine insurance concept, Insurance company
undertakes to indemnify the insured against losses which are incidental
during marine adventure such as storm, burning & sinking of ship, etc.

50 | P a g e
e. Health insurance: - This insurance is taken against the risk of sickness
and accident which cover all the medical expenses. Axis bank has tied up
with TATA AIG GENERL INSUARNCE and APOLLO MUNICH HEALTH
INSURANCE.
F) INITIAL PUBLIC OFFER (IPOs)
The Term IPOs generally uses by the company who first time listed itself into the stock
market to collect money from public. It is a public offering through which private
corporate generate capital from general public in stock market. The corporate issues IPOs
is known as Issuer Company and Issuer Company could take assistance of an underwriter
firm which provide assistance in many ways like deciding type security which can be
issued and best offering price and amount of share to be issued. Axis bank also provides
IPOsmart service to their client under.
G) PUBLIC PROVIDENT FUND (PPF)
PPF scheme is most popular long term investment scheme in which Axis bank deals too.
PPF is backed by government of India. PPF offers attractive interest rate of returns that
are fully exempted from tax under income tax act 1961.
Principal amount is also qualified for deduction under section 80C of income tax and
interest earned is tax exempted u/s 10, this called triple regimen (EEE) i.e. principal,
interest and withdrawal are all tax exempted.
Axis bank provides PPF account facility to its customer who could open through either
offline or online mode. Investor can invest minimum Rs.500 and maximum Rs. 150000
in a financial year.
Investor can access PPF amount balance, t/f fund from liked saving bank account to PPF
account, take print out of subscription receive

51 | P a g e
H) NATIONAL PENSION SCHEME
 National Pension scheme launched on 1st
January 2004 with an objective to
provide retirement income benefit for all citizens.
 Pension Fund Regulatory and Development Authority (PFRDA) regulates
National pension scheme.
 After investing in NPS investor gets Unique Permanent Account Number.
 PERDA established POPs (Point of Presence) for the operation of NPS.
 PERDA also authorized 58 institution including Public and Private Banks, Private
financial institutions and Post offices for opening NPS accounts.
 Axis bank has been appointed by PERDA to act as POP for the NPS.
 National Security Depository Limited (NSDL) is authorized to do recordkeeping,
administration and customer service function, NSDL is Central Record-keeper.
 Under NPS, PRAN allow to access two personal accounts which is known by
Tier-I and Tier-II. Tier-I is a non-withdraw able account which for saving for
retirement. Tier-II is voluntary saving scheme facility, here subscriber is free to
withdraw money but he could not avail tax benefit in this account.
 NPS adopts all citizen model (For all citizen of India, NRI too) and Corporate
sector model (employee of companies) corporate sector model is also divided into
corporate model for employees and corporate model for employers.
 Under All citizen Model subscriber will get tax deduction of Rs. 50000 U/s
80CCD1(B), It means subscriber can get additional tax deduction of Rs. 50,000
apart from deduction of Rs. 1,50,000.
 Contribution under Tier-1, Minimum amount per contribution Rs.500 and
Minimum contribution per year Rs.1000 and Minimum No. of contribution is one.
And Under Tier-II, Minimum Contribution of Rs. 1000 at the time of opening
account.
 NPS provides two investment alternatives one is called Active Choice and second
is called Auto Choice.
 Active Choice considers as Individual Fund in which subscriber have option to
decide how your contribution should be invest in following class
o Assets Class E- Equity Instrument
o Assests Class C- Debt Instrument other than Gov.
o Assests Class G- Government Securities.
 Auto Choice considers as Lifecycle Fund and this option is good for the
subscriber who doesn’t have expertise in assets class therefore contribution made
on the basic old age by the pension fund manager.
 Subscribers have to submit form UOS-1 under all citizen models and form CHO-1
under corporate model.
 NPS can be open between the ages of 18-60.

52 | P a g e
I) ATAL PENSION YOJANA
 Basically Government of India introduced the Atal Pension Yojana for assisting
the unorganized section of the society on June 2015.
 APY is also regulated by the Pension Fund Regulatory and Development
Authority under the National Pension scheme.
 The main reason to introduce this scheme is to make stronger to weaker section of
society.
 Subscriber could get monthly pension of Rs.1000-5000 after their retirement at
the age of 60.
 Minimum age of joining APY is 18 year and maximum age is 40 years. So to get
maximum benefit individual should invest from the age of 18.
 After the death of subscriber, spouse will be entitled to get same pension amount
and in case of death of both subscriber and spouse then nominee will get pension.
 There is certain eligibility criteria have to meet to be subscriber of APY which is
as follows .
o Must have a saving account.
o The applicant should be aged between 18-40 yeas.
o Must have mobile number.
o Government would contribute 50% of the contribution or Rs.1000pa
whichever is lower for 5 years who subscribe before 31st
December
2015(which is expired now).
 If subscriber doesn’t contribute payment regularly in the scheme then bank will
impose penalty between Rs.1 to 10.
o If Contribution amt is up to Rs.101 then Rs.1/month.
o If Contribution amt is up to Rs.101 to 500 then Rs.2/month.
o If Contribution amt is up to Rs.501 to 1000 then Rs.5/month.
o If Contribution amt is more than Rs.1001 then Rs.10/month.

54 | P a g e
J) SUKANYA SAMRIDDHI YOJANA
 Sukanya Samriddhi Yojana scheme was launched by Prime Minister Narendra
Modi for the prosperity of Girl child under the scheme of Beti Bachao Beti Padao
Programe on 22nd
January 2015.
 Prime Minister has the strong motive to ensure a bright future of girl child
through this scheme which provides facility proper education carefree marriage
expenses.
 This account could be open by investing Rs.1000 after this you could deposit
money in the multiple of Rs.100.
 Minimum limit to deposit amount is Rs.1000 and maximum Rs. 150000 per
annum.
 Investor could get benefit of tax deduction u/s 80C by investing up to Rs.
1, 50,000.
 Parents could invest in this scheme up to 2 girl child which mean parent who have
more than 2 girl child they can open account for their 2 daughter only.
 Parents have to operate this account until the girl turns 10 years after this age girl
could operate her account if she wants.
 This account will continue up to the age of 21 but interest will not provide after
maturity of 10 year.
 This account could easily open by submitting birth certificate of child, proof of
address and proof of identity of parents/guardians.

55 | P a g e
4.1. ii. PART-II RETAIL BANKING SERVICE
As we all know that the main function of the bank is accepting deposits and lending loans
to the customer hence it is kind of allocation money from saver to borrower apart from
such function operational areas can be classified as followed
A. Retail Banking
B. Corporate Banking
C. Investment Banking
RETAIL BANKING
Retail banking services provides to the consumer that is why we called it consumer
banking also though it also available to corporate and other bank. Axis bank divided its
retail banking in various head which are as follow.
1. Accounts
2. Deposits
3. Cards
4. Loans
5. Forex
6. Investments
7. Insurance

56 | P a g e
I) ACCOUNTS
Axis bank has various accounts facilities under accounts head which are as follow.
i. Saving Account:-
Account Type Debit Card Product features Offer Discounts
Easy Access Saving
Accounts
 Visa Classic Debit Card
 Daily ATM withdrawal Rs40000 &
daily shopping Rs. 1Lakh
 1 Multicity cheque Book free per
quarter.
 5cash transaction. Or up to Rs.10
Lakh (which ever earlier), free per
month.
 Min 15% off at our
partner restaurants
 Edge Loyalty Reward
Points.
Prime Plus Saving
Account
 Master card Titanium prime plus debit
card.
 Daily ATM Withdrawal Rs. 50,000 &
Shopping Rs 1, 00,000.
 2 Multicity cheques Book free per
quarter.
 20 free branch transaction. Per
month with limit on value.
 10% cash back on
movie ticket.
Prime Saving Account  Secure Plus Debit Card
Shopping Rs 75000.
 Emergency Travel/Hotel Stay of up to
Rs.80000.
 Unlimited cheque book/DD.
 10 cash transaction. Or up to Rs.25
Lakh(which ever earlier), free
 Unlimited ATM
Transaction at all axis
and other banks.
 Preferential pricing on
locker and demat a/c.
Women Saving Accounts  Visa Classic Debit Card
quarter.
month.
 Min 15% off at over
4000 restaurants.
Senior Privilege Saving  Visa Classic Debit Card  1 Multicity cheque Book free per  Higher FD rates

57 | P a g e
Accounts  Daily ATM withdrawal Rs40000 &
quarter.
month.
 25% off at lockers.
Future Star Saving
Accounts
 Daily ATM withdrawal Rs1500 & daily
shopping Rs. 1Lakh.
quarter.
month.
 Free ATM card for
children less than 10
year.
Pension Saving Accounts  Visa Classic Debit Card
 Free & Unlimited Cheque Books
 Nil Charges on DD
 Unlimited Cash Transitions.
NA
NGO Saving Accounts  Visa Classic Debit Card
 Free & Unlimited chequebooks
 Unlimited free branch cash
transition.
 Min 15% off at our
partner restaurants
 eDGE Loyalty Reward
Points.
Insurance Agent
Accounts
quarter.
month.
 Min 15% off at over
4000 restaurants
 eDGE Loyalty Reward
Points.
There are many other accounts facilities provide by axis bank like Youth Accounts, Basic Saving Accounts, Small Basic Saving
Accounts, Inaam Personal Accounts, and PMJDY.

58 | P a g e
ii. Salary-Accounts.
Account Type Debit Card Special features on debit card Offer Discounts
Easy Access Salary
Accounts
 Dinning Delight Program
Prime Salary Account  Master card Titanium Reward debit
card.
Shopping Rs 4,00,000.
 Dinning Delight Program.
 5% cash back on Movie.
 Fuel Charge Waiver.
Priority Salary Account  Free Priority Platinum debit card.
Shopping Rs 4,00,000.
 25% cash back on Movie.
 Fuel Charge Waiver.
 Airport Lounge Access.
Defense Salary Account  Visa Classic Debit Card

59 | P a g e
iii. Current-Accounts
Account Type Cash Withdrawal Limit Free Transactions Free Cash Deposit
Normal Current Account Rs.1 Lakh Per day Unlimited @ Rs 50/-  Upton Rs 2 Lakh per
month for home
branch.
 Upton Rs. 1 Lakh for
inter-branch.
Local Current Account NA Unlimited @ Rs 50/- NA
Business Advantage
Account
Rs.3 Lakh Per day Unlimited @ Rs 50/-  Upton Rs 3 Lakh per
month for home
branch.
 Upton Rs. 1 Lakh for
inter-branch
Business Select Accounts Rs.6 Lakh Per day Unlimited @ Rs 50/- Upton 12times the monthly
Average balance maintained in
the same cycle with minimum
free limit of Rs. 6 lakh per
month.
Business Classic Account Rs.12 Lakh Per day Unlimited @ Rs 50/-  Upton Rs 12 Lakh per
month for home
branch.
 Upton Rs. 2.5 Lakh

60 | P a g e
for inter-branch.
Sweep Current Account Rs.1 Lakh Per day Unlimited @ Rs 50/-  Upton Rs 1 Core per
pool for home branch.
 Upton Rs. 1 Lakh per
day for inter-branch.

61 | P a g e
iv. Axis Direct Invest Accounts: - Already specified in investment instrument
in axis bank topic see on page no. 56.
v. Safe Deposit Locker: - Axis bank provides locker facility to the customer
who would like to store their precious things like gold, silver & diamond
ornaments and many more things. Locker is available in four sizes.
a. Small Size Locker
b. Medium Size Locker
c. Large Size Locker
d. Extra Large Size Locker
Locker is available at competitive rental charges and various priority customers can get
impressive discount on locker.
Customers can get auto debit facility, it means locker charge will debit from account
automatically annually.
vi. National Pension Scheme: - Axis bank also provided facility to open NPS
account through the permission of PREDA which is already discussed above in on
page no 44.
vii. Sukanya Samridhi Yojana: - Axis bank also gives facility to open SSY
account through the permission of PREDA which is already discussed above on
page no 47.

62 | P a g e
II) DEPOSITS
In this head we will talk about bank FD which are mainly serve the purpose
of investment which is as follows
1. Fixed deposit- FD is a kind of bank instrument which solve the purpose
of investment by giving specified interest rate according to industry rate.
FD’s interest rate can be differ. Axis bank provides FD’s interest rate
according to age, period of holding and amount of FD which are as follow.

65 | P a g e
2. RECURRING DEPOSIT: - RD is similar to fixed deposit but the
main difference is that you have to invest regularly after particular
period in recurring deposit. Axis bank also provide RD service under
which fund could be deduct from your account automatically

68 | P a g e
III) CARD:-
Axis bank provides various card services which we called plastic money
which are as follow.
1. Credit Card
2. Debit Card
3. Prepaid card
4. Transit Card
5. Commercial Credit Card
6. Commercial Debit card
7. Digital payment
In all such card we will only discuss about credit card, Debit card, Prepaid
card, and Transit Card only which are as follow.
1. Credit Card: Credit card is a payment card similar to debit card but the
basic difference is that credit card have credit facility up to certain limit
which means card holder could make payment to merchant even not having
sufficient balance. Axis bank provide these given below card facilities
I) Axis bank Select Credit Card
ii) Axis bank Reserve Credit Card
iii) Axis bank Vistara Infinite Credit Card
iv) Axis bank Vistara Signature Credit Card
v) Axis bank Vistara Credit Card and many others
IV)

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V) Loan: -
This is basic term which bank use to provide money to needy person we call it borrower.
Loan is basic source of income of banking industries because bank charges interest on
borrowed fund from borrower. Interest rate of loan decided according to the interest rate
of economy which decided by the RBI bank. All bank changes their interest rate of loan
according to this decision but we could find some amount of difference in interest rate
which always happen or did intentionally to gain competitive advantage over other bank.
Axis bank also provides various kind of loan to its customer which is as follow.
1. Home loan.
2. Persona loan.
3.Car loan.
4. Business loan.
5. Loan against property.
6. Gold loan.
7.Loan against security.
8. Loan against FD.
9. Education loan.
In this section we will only discuss about home loan to make understand about loan
concept and their loan amount, interest rate and maximum period which are as follow.
i. Home Loan
Loan Name Loan Amt Interest Applicable Maximum Period
Fast Forward Loan Min-30L
Max- Depend on
Combine income
Floating 30 Years
Shubh Aarambh
Home Loan
Min-1L
Max- Up to 30L
Floating 30 Years
Asha Home Loan Min-1L
Max-28L
Floating & Fixed 30 Years
Axis Bank Home
Loan
Min-3L
Max-Depend on
combined income
Floating & Fixed 30 Years
Empower Home
Loan
Min- 10L
Max- Up to 150L
Floating 15Years
Super Saver Home
Loan
Min- 50L
Max- DOCI
Floating 20 Year/22Years*

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VI) Forex:-
Forex is an abbreviation of foreign exchange which basically means foreign exchange
market and it is exits where two currencies are trade. In simple mean you need foreign
currency to trade into or with another country which could be through forex option with
by bank. Fundament concept of forex means conversion of one county’s currency into
another country’s currency.
Foreign currency required when you go for travelling to abroad, going for study and
remitting money for business purpose, you need foreign currency which you could get
from financial institution like bank. So to sustain into market and increasing market share
Axis bank also provide this service under which following service comes which are as
follow.
1. Axis Forex Online
2. Travel Currency Card
3. Multi-Currency Forex Card.
4. International Fund Transfer.
5. India Travel Card.
6. Foreign Currency Traveler Cheques.
7. Contactless Card
8. Foreign Currency Cash.
9. Foreign Currency Demand Draft
Here we will only discuss few point to make understand this concept which is as follow.
1. Travel Currency Card.
 You could pay in 11 countries in specific denomination like USD, GBP,
AUD, CAD, SGD, JPY, and AED & SAR.
 Maximum amount could be loaded according to RBI guidelines.
 Travel currency card variant are available in VISA/MasterCard.
 You could withdraw cash at over 2 million Visa/MasterCard ATM.
2. Multicurrency Currency Forex Card
 This card could avail when you travel across the world.
 Could load multi-currency in this one card so there is no need to carry
different card whiling going differnet-diffenernt country.
There are other facilities along with this card which facilitate you during your travelling
or works.

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4.2 LEARNING SUMMER INTERNSHIP
The biggest reason to do internship is that learn something from the working
environment. Leaning from book is totally different from learning from practical
environment reason being book just gives theoretical knowledge but could not provide
practical knowledge that is why MBA curriculum provides opportunity to apply those
knowledge and see how things works actually in working environment.
Through internship we don’t just learn how to apply you knowledge into working
environment we also learn many thinks which books don’t teach us like
 How to behave in the corporate world?
 How to handle corporate politics?
 How to deal with client?
 How to work under pressure and how to fix?
And many other things which a person could learn from internship. As we all also know
that learning properly within 45 days is not possible but it is very true that we could
understand that how thing is going in an organization?
Doing internship in Axis bank was very wonderful opportunity for me. I have done so
many things there which are as follow
 Audit of Vouchers
 Maintain Debit/credit card kit register
 Calling Customer
 Maintain cheque book kit register
 Hot listing debit/credit card
 Tax Challan entry(Service Tax/TDS)

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AUDIT OF VOUCHERS
On the first day of joining Axis bank I got a work of vouching where I have to verify all
the voucher according to the list of all transaction done till closing of bank. Broadly I got
the voucher of all transaction such as cash receipt and withdrawal, cheque coming for
clearing etc. This take has to do on daily basis.
This work is done physically on paper where I got voucher files of cash receipt and
withdrawal, cheque clearance voucher etc. and have to match with the list of all
transaction done during the day. Under this auditing task, have to check following
following points
 UV lamp stamp
 Signature verification stamp
 Initial signature and stamp
 Amount of voucher
If any discrepancy came under the observation of above given point in voucher then have
to report my concern manager for this issue. This verification process was so lengthy and
time consuming because have to see one voucher entry in whole transaction list again and
again.
MAINTAIN DEBIT/CREDIT CARD KIT REGISTER
Axis bank maintains register to notes down the flow of card which mean that when card
kit come in bank and when customer come to take out their card then bank has to make
entry in register on daily basis. Basically corporate office sends cards directly to the
customer but when some of card are left form distribution due to various reason like door
closed, in-sufficient address etc. then in this situation corporate send these card direct to
regional branch near to customer address so that customer take it from its near bank
easily.
I have to make entry in register on daily basis whenever any card kit came in bank or any
customer came to take their card. There is following component which have to note down
in register such as
 Name of card holder and cheque book holder.
 Courier no.
 Date of coming into bank.
 Reason of not reaching courier.
 Specific abbreviation e.g. HOD.

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 Signature of card/cheque book holder.
 Remark.
Bank could hold kit in vault for one month which mean customer has chance to take their
card with in a month after this bank has to register card into hotlist.
In hotlist process, bank first open all kit of card which have expired or cross the limit of
one month then have to make entry in hot listing card option in finacle software then all
card have to destroyed.
CALLING CUSTOMER
I have to make call customer when their card kit came in bank and have to inform them
that their card is in specific branch, reason for not reaching courier at their address and
ask for any query after this again bank has to make courier to send card to customer.
MAINTAIN CHEQUE BOOK KIT REGISTER
This process is same like above where bank has to maintain inflow and outflow of cheque
books in register on daily basis.
HOT LISTING DEBIT/CREDIT CARD
Hot listing is the process of destroying card before making entry in finacle software after
completion of holding period of one month. In this process, bank first open all kit of card
which have expired or cross the limit of one month then have to make entry in hot listing
card option in finacle software then all card have to destroyed. You can’t destroy card
before one month so rule has to maintain strictly during such process.

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TAX CHALLAN ENTRY
Under this I done work on making entries of tax challans of service tax and TDS challan.
This task is highly confidential where first have to login system then have to make entries
of challans. I have done following challan entry which screen shot are as follow.
1. Process of making TDS challan
2. Process of making Service Tax challan
3. Process of making TDS on property challan
1. PROCESS OF MAKING TDS CHALLAN ENTRY
STEP-1 Under this first step, I have to first login on axis bank portal through login id and
password.

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STEP-2 After login portal I have to fill all detail specified under challan no. 281 like Tax
applicable, Tax deduction no, Address, Type of payment(200/400), Nature of payment
and mode of payment.

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2. PROCESS OF MAKING SERVICE TAX CHALLAN ENTRY
STEP-1 First have to enter service tax no of assesse who service tax payment is going to
made, when you enter service tax no, assesse details will come automatically.

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STEP-2 Then have to select accounting code for service tax as given in below
screenshot to make further process.

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3. PROCESS OF MAKING TDS ON PROPERTY ENTRY
STEP-1 To make entry of TDS challan of property, firstly have to login on www.tin-
nsdl.com, then have to select service option where you have to select TDS sale on
property.
STEP-2 Then you will get new page as given below where you have click on E-tax
payment on subsequent date option.

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STEP-3 Then you will get this new page where you have to fill Pan no of buyer and
seller, Ack No. and assessment year.

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CHAPTER-5
CONCLUSION,
LEARNING &
LIMITATION

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5.1 CONCLUSION
 This project report was mainly on retail banking and investment
service provided in axis bank.
 Axis bank provides all kind of investment service and retail banking
service to compete with other banks and to retain their customer.
 Axis bank has strong alliance with other company to provide
investment opportunity for their customer as axis bank is selling Max
Bupa’s health insurance product.
 Axis bank also help other mutual fund house to sell their product like
axis bank sales UTI mutual funds.
 Axis bank is providing competitive FD’s interest rate to attract
customer.
 Axis bank is providing instant debit card service to their customer to
make its retail banking service strong.
 Axis bank is opening demat account on less brokerage charge on
minimum annual account charges.

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5.2 LEARNING AND FINDINGS
 Audit of voucher created of all transaction done at the end of the day. Where I
did not have any major mistake in voucher except few voucher did not have
stamp of UV lamp and signature verification which was rectified at that moment.
 Debit/credit card and cheque book kit’s register was properly maintained by the
bank. This register has to maintain whiling outflow of kit and inflow of kit on
daily basis.
 Customer has to be informed when their debit/credit or cheque book kit came
into bank for this bank has to call their customer.
 Hot listing process of destroying debit/credit card which is done after completion
of the period of 30 day of all kit come under vault of employee.
 National electronic fund transfer (NEFT) facility is use when any person or
organization could transfer fund one bank to another bank. There is no minimum
and maximum limit on fund transfer. RTGS could be made till 6:30PM on
weekdays /12:30PM on Saturday.
 Real time gross settlement (RTGS) facility is also use for transferring fund but
the basic difference between is settlement timing where in RTGS, settlement is
done on real time basis when instruction has given whereas in NEFT transaction
is based on deferred net system (DNS) where settlement is done in batches.
Minimum limit is Rs. 2 Lakh and there is no maximum limit.
 RTG.S could made before 4:30 PM on weekday / 1:30PM on Saturday. I have
made some entry of fund transfer and verified too in the observation of
employee.
 Tax Challan entry (Service Tax/TDS) has to be made by bank during period of
tax payment.

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5.3 LIMITATION
 Since time available is only 6 week for the project work, detail
analysis was not possible.
 The management was reluctant in providing their data as they were
for only office use.
 Most of the data is on secondary basis so it could not be reliable.
 Limited interaction with the concerned head due to their busy
schedule.

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BIBLIOGRAPHY
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AIXS BANK. (n.d.). Retrieved JULY 2017, from WWW.AXIS BANK.COM.
AMFI. (2017, JULY). Retrieved from AMFIINDIA: WWW.AMFIINDIA.COM
CIEL. (2017, JULY). Retrieved from CIEL.CO.IN: WWW.CIEL.CO.IN
INSTITUTE OF MANAGEMENT OF TECHNOLOGY . (n.d.).
IRDA. (n.d.). Retrieved JULY 2017, from WWW.IRDAONLINE.ORG.
KLC KARVY. (2017, JULY). Retrieved from KLC.KARVY.COM: WWW.KLC.KARVY.COM
NISM. (n.d.). Retrieved JULY 2017, from WWW.NISM.AC.IN.
NSEINDIA. (2017, JULY). Retrieved from WWW.NSEINDIA.COM: WWW.NSEINDIA.COM
RBI. (2). Retrieved JULY 2017, from WWW.RBI.ORG.IN.
SHASHIKANT, S. A. (n.d.). MUTUAL FUNDS. In S. A. SHASHIKANT, UNDERSTANDING MUTUAL
FUNDS.
SMART INVESTOR . (2017, JULY). Retrieved from SMARTINVESTOR.BUSINESS STANDARD :
WWW.SMARTINVESTOR.BUSINESS STANDARD.COM
St. Xavier's College. (n.d.). STUDY PAPER
SUNITA ABRAHAM, S. S. (2009). UNDERSTANDING MUTUAL FUNDS. In S. S. SUNITA ABRAHAM,
UNDERSTANDING MUTUAL FUNDS (SECOND ed., pp. 95-105). MUMBAI: CHAUDHARY
PRINTS.
Symbiosis International University. (n.d.). STUDY PAPER
University of Wales Institute,. (n.d.). STUDY PAPER .

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