SUMMER TRAINING REPORT

ON

CUSTOMER PERSPECTIVE TOWARDS VARIOUS INVESTMENT SECTORS

SUBMITTED IN PARTIAL FULFILLMENT FOR THE AWARD OF THE

DEGREE OF BACHELOR OF BUSINESS ADMINISTRATION /
BACHELOR OF COMMERCE (HONS)

UNDER THE GUIDANCE OF SUBMITTED BY:

DR. HEMKANT KULSHRESTHA Anshika bansal
ASSOCIATE PROFESSOR, DSPSR 01712588822
B.Com(H) 5nd Sem

Delhi School of Professional Studies and Research (DSPSR)

9, Institutional Area, Sector 25, Rohini
New Delhi - 110085

1
 STUDENT UNDERTAKING

This is to certify that I have completed the Summer Training Report “CUSTOMER
PERSPECTIVE TOWARDS VARIOUS INVESTMENT SECTORS” in AIM INDIA under
the guidance of DR. HEMKANT KULSHRESTHA in partial fulfillment of the requirement
for the award of degree of Bachelor at Commerce (HONORS) at Delhi School of
Professional Studies and Research, Delhi. This is an original piece of work & I have not
submitted it earlier elsewhere.

Signature of Student

Anshika Bansal

01712588822

2
CERTIFICATE FROM COMPANY

3
 CERTIFICATE FROM FACULTY GUIDE

This is to certify that the Summer Training Report titled “ CUSTOMER PERSPECTIVE
TOWARDS VARIOUS INVESTMENT SECTORS ” is an academic work done by Anshika
Bansal submitted in the partial fulfillment of the requirement for the award of the degree of
Bachelor of Commerce (HONORS) from Delhi School of professional Studies and
Research, under my guidance & direction. To the best of my knowledge and belief the data
& information presented by him/her in the report has not been submitted earlier.

Signature of Faculty Guide

DR. HEMKANT KULSHRESTHA

ASSOCIATE PROFESSOR

4
 ACKNOWLEDGEMENT

I take the opportunity to express my gratitude to all of them who in some or other way
helped me to accomplish this challenging report. No amount of written expression is
sufficient to show my deepest sense of gratitude to them.

I am very thankful to Dr. Hemkant Kulshrestha Asst Prof.B.Com (H) DSPSR, Delhi School
of Professional Studies and Research, Rohini, for their everlasting support and guidance on
the ground of which I have acquired a new field of knowledge. The course structure created
for this curriculum has benefited with the inclusion of recent development in the organizational
and managerial aspects.

I express my sincere thanks to all people who participated and helped me in successfully
conducting STR. I am thankful to all the members who gave valuable information in this
part of my STR.

Anshika bansal

01712588822

5
 FORMAT FOR CONTENTS

Topic Pg.No

Student Undertaking 2

Certificate from Company 3

Certificate from Faculty Guide 4

Acknowledgement 5

Executive Summary 7-9

Chapter-1: Introduction 10-38
Chapter-2: Research Methodology 39-40

Chapter-3: Analysis of Data and Interpretation 41-47

Chapter-4: Conclusion 48-49

Chapter-5: Suggestions & Limitation 50-51

Bibliography 52

Questionnaire 53-54

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 Executive Summary

This report is an analysis of consumer perspective towards various investment options

available in India and consumer buying preferences. The purpose of this research was to get
the inclination of the customers towards financial investments and to understand their buying
preferences by gathering the viewpoints of the customers towards present investment options
available in the market. The report also consists of a brief study on the Insurance sector and
various marketing strategies that can be taken by India First Life Insurance to promote its
products in the market. In my research work I need to gather knowledge about multiple
products and how they work. It also includes understanding the working of India First Life
insurance as well as its competitor Products as it is a comparative study. It is also important to
have proper information regarding the work of the financial sectors. It talks about
understanding how online platforms work and how user interfaces are designed for proper
navigation and user-friendly websites. I have also designed a sample user interface suggesting
how the company can make their website more user friendly. The objective is to learn about
the acceptability of financial products in the market as well as how much customers are aware
about them. Insurance has now become an essential element of everyone's life. The insurance
sector is troubled by a number of difficulties, including increased operational costs, regulatory
obligations, and inflexible IT infrastructure. Premium increases that are low to moderate, as
well as higher regulatory compliance costs, worsen these limits. With all of the
aforementioned considerations in mind, the study's goal would be to look at all of the factors
that contributed to successful marketing techniques. This research looks at a variety of life
insurance marketing tactics while taking into account the firm's external and internal
environment. The report would help the company and its clients to understand the market and
its competitors. Also, it will help them to design various marketing promotional strategies
through social media, email marketing, and web design. Once a company understands the
market, it can increase its revenue by dealing in the products offered.

The main aim of the undergone Summer Internship Program is to make the students experience
the work culture and the procedures of the Corporate World. This Summer Internship Program

7
consists of the involvement of the students in company as intern and understands the facts of
the company as well as to make the project on the work done by the students in the Company
allotted to them for the Internship in various domains like Marketing, Marketing research, HR,
Finance, Operations etc. In this report I will share my experience of 60 days in the company.
My role as an intern in the company is to study and understand the company’s product and sell
it. I need to have an in-depth knowledge of the entire financial sector and know our product’s
special feature which may differentiate it from others. I also have to lure and convince the
customers for our investment plan (Mahajeevan). And also I have worked for two other
verticals of the company : a consultancy firm and a coaching institute which were at the initial
stage of the business.

In the HR sector, my mentor taught me about various features:

➢ HR Training

➢ Roles of HR

➢ Recruitment Process

➢ Various types of letters

➢ Pay slips

➢ Role plays

In the finance sector, my mentor taught me about:

➢ Taxation module

➢ various types of taxes and their relevance

➢ Tax slabs

➢ Tax calculations

➢ Various deductions (80(C), 80(D), 10(10) D.

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➢ Various financial sectors

➢ Portfolio management

In the marketing sector, my mentor taught me about:

• pitching of product

• handling client queries

• matching needs with product benefits

9
 Introduction

Company profile

AIM INDIA PVT LTD.

India headquartered & experts in Wealth Advisory & Internships
• Based in India
• Wealth Management Advisors
• Corporate Service Provider

We at AIM India believe in Dynamic Culture and it is our goal to help the Individual in dealing
with the dynamism of the environment whether it is related to their wealth or expansion of
business. Aim India Group is the leading Advisory in India and Abroad. We at AIM India
provide Training / Development programs in India and Abroad. We are having a team of
exclusive Corporate trainers. Our Principle is to deliver high rates of returns to our
clients through our network of government sector banks in India. Keeping in mind the most
critical needs in today's context, we came up with a wealth Advisory firm to provide customer
expertise advice to achieve financial Independence.

SERVICES PROVIDED:

- Compliance Services

Our Compliance experts have the complete knowledge of the corporate compliance needs across
jurisdictions in the territory. Non-Compliance can result in fines and imprisonment if one has no
updates regarding important information. The compliance horizon in Asian jurisdictions is highly
dynamic as most of the economies are on the verge of transition. AIM India will be a valuable
partner for the companies having intra-regional operations offering them compliance
services/solutions for all of their Regional Subsidiaries. We will leave you to concentrate on your
core activities as we will be providing you the following services:

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 • Company Constitution
• Meetings & Company Officers
• Maintaining Statutory Books & Registers
• Annual Filings with The Company Registrar
• Statutory Reporting

Internship Services

We provide domestic & international level internships. AIM India has a team of experienced
educational and training professionals who can provide training solutions for clients to ensure
that RPAS operations are effectively and seamlessly integrated into their existing business
systems. Our training specialists include technical training specialists, trained high school
teachers, university lectures and regulatory training specialists. We have developed training
manuals, conducted training needs analysis, provided in-house training and produced online and
e-training resources.

Accounting Services

As the companies expand their business, accounting transactions get bulky and complex and
accounting converts into a strategic function from primary function. At AIM India, we will
provide you customized accounting solutions as our accounting experts possess regional
exposure and extensive technical knowledge. Trusting a regional expert with accounting is
elementary to achieve control and transparency in accounting through standardization of agenda.
We have a leading edge of experienced professionals and IT Systems to render smooth,
co-related and comprehensive reinforcement regionally. We are dynamic towards systems and
solutions to stay relevant to the changes in the region. Our proficiency will empower the
enterprises to expand by beholding the measured decisions. Our Accounting Services are:

• Accounting and Bookkeeping

• Statutory Reporting
• Payroll and Expense Claim Management Services

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 • Bank Account Reconciliation
• Corporate Tax Compliance

Taxation Services

Tax arrangement is dynamic and complex as it changes with the change of authority. Its
complexity increases in the nation where there is tax at every level. Companies having cross
border transactions need effective planning to minimize tax costs. Tax liabilities can be
optimized by making effective structuring of business entities and revenue models. A new
enterprise will need guidance to learn about the tax incentives, withholding tax and transfer
pricing formalities which are provided by the Tax professionals of AIM India Group. Our
Professionals are well possessed with the analytical understanding of taxation which will help
the client in managing the Taxation regime of his business. Our main services are:

• Corporate Income Tax Returns

• Vat Returns
• Indirect Tax
• Withholding Tax
• Tax Optimizations
• Transfer Pricing
• Tax Advisory in M&A, Cross Border Investment, Tax Disputes etc.

Training & Development Services

Effective training and development begins with the overall strategy and objectives of the small
business. The entire training process should be planned in advance with specific company goals
in mind. AIM India helps in developing a training strategy, which will be helpful to assess the
company's customers and competitors, strengths and weaknesses, and any relevant industry or
societal trends. The next step is to use this information to identify where training is needed by the
organization as a whole or by individual employees. It will help in conducting an internal audit to
find general areas that might benefit from training, or to complete a skills inventory to determine

12
the types of skills employees possess and the types they may need in the future. Each job within
the company should be delegated on a task-by- task basis in order to help determine the content
of the training program.

Recruitment Services

Customized strategies are developed from a deep understanding and observation of an

organization's culture and its business objectives. Expansion in new markets or recruitment for
that market can only be done after having the full-fledged knowledge of recruitment,
remuneration and retention strategies besides the understanding of regional work culture. At
AIM India, you will find a network of efficient regional consultants who will provide you the
pathway towards seamless recruitment services starting from identifying your potential clients to
handling the immigration process, if required. Our experts have the complete knowledge to
provide valuable advisory in the following matters:

• Candidate Search
• Profiling
• Interview Coordination
• Employment Contract
• Immigration
• Advisory Service

Consulting Services

Asia is gaining importance as a global economic engine and with the introduction of the concept
of International Business, every business in every country is trying to get connected with each
other despite the regional differences. AIM India has a group of consultants which provides due
diligence to the different businesses regarding their critical business decisions such as M & A,
Investment and expansion into the new areas, etc. and we also help in identifying the new and
effective sources of advantages while avoiding risk. We mainly provide the following services:

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 • Corporate Development & Finance
• Investment
• People & Management
• New Market/Partner/Vendor Evaluation
• Operations
• Technology
• Grant Assistance (for Indian & Foreign companies)

Insurance Services

Different types of business have different types of risks. For adequate coverage, regionally
settled businesses need a thorough understanding of their market so that they can identify the
potential risk involved. Natural disasters, political uncertainties, epidemics, terror threats,
technological threats are adding to the risks posed by economic instability and competition. AIM
India has a group of insurers who provide comprehensive coverage and detailed risk assessment
to identify the gap. Our insurers will also advise you about the minimization of expenses on risk
premium by providing the services to reduce claims and they will help you in gaining the
understanding of uninsured risks so that you can avoid them. Our main services in this sector are:

• Risk Assessment
• Coverage
• Risk Management
• Corporate Insurance - Property, Pecuniary, Liability and Group
• Political Risk
• Professional Insurance
• Financial Risk
• Trade and Credit Risk

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Mutual Funds

A mutual fund is a professionally-managed investment scheme, usually run by an asset

management company that brings together a group of people and invests their money in stocks,
bonds and other securities. As an investor, you can buy mutual fund 'units', which basically
represent your share of holdings in a particular scheme. These units can be purchased or
redeemed as needed at the fund's current net asset value (NAV). These NAVs keep fluctuating,
according to the fund's holdings. So, each investor participates proportionally in the gain or loss
of the fund.
All the mutual funds are registered with SEBI. They function within the provisions of strict
regulation created to protect the interests of the investor. The biggest advantage of investing
through a mutual fund is that it gives small investors access to professionally-managed,
diversified portfolios of equities, bonds and other securities, which would be quite difficult to
create with a small amount of capital. AIM India will provide you all the updates and services
regarding mutual funds so that you can choose from the best available option.

Retirement Planning

There are two components to retirement income planning: Personal Planning and Financial
Planning. Personal planning is important because it is the determining factor of your satisfaction
with your retirement lifestyle. Financial planning is crucial because it identifies your sources of
income and expenses and establishes your retirement budget, based on your personal plan.
Personal Planning All too often people entering retirement do not place enough emphasis on
personal planning to ensure they maximize their opportunities. So, AIM India helps you at an
early stage in your planning process and gives you time to think about the choices you have,
about how you would like to spend your time during retirement.
Financial Planning Will you have adequate funds to provide the kind of retirement lifestyle you
envision? AIM India provides all the answers to the questions you are having and help you in
recalling that your income will likely come from three general sources: government pensions,
employment-related sources and your own personal investments.

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International Expansion Services

Overseas markets provide the opportunity to expand in the markets worldwide and also helps in
identifying the opportunities related to new sources of revenue, access to new talent, diversified
risk and competitive parity. It is well known that internationalization is a complex process. At
AIM India group, we have specialists who can provide the country level compliance services,
accounting and taxation services, payroll and corporal secretarial services. We are meant to take
your company abroad for expansion. We will help you in expanding your business in Singapore,
Malaysia and Dubai for a start.

Wealth Advisory Services

Wealth management as an investment-advisory discipline which incorporates financial

planning, investment portfolio management and a number of aggregated financial services.
High-net- worth individuals (HNWIs), small-business owners and families who desire the
assistance of a credentialed financial advisory specialist call upon wealth managers to
coordinate retail banking, estate planning, legal resources, tax professionals and investment
management. At AIM India Group, we have the wealth managers who have backgrounds as
independent Chartered Financial Consultants, Certified Financial Planners, Chartered
Strategic Wealth Professionals, Chartered Financial Planners or any credentialed (such as
MBA) professional money managers who will help you to enhance the income, growth and
tax-favored treatment for long term.
Private wealth management is delivered to high-net- worth investors. We will also guide you
on the use of various estate planning vehicles, business-succession or stock-option planning,
and the occasional use of hedging derivatives for large blocks of stock.

ORGANIZATIONAL CULTURE:

The organization supported and focused on open communication, mutual respect, shared goals,
and a commitment to employee growth and development.

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SWOT ANALYSIS:

Strength:

● Distribution and Reach: With several locations in practically every state and a robust
distribution system backing them up, AIM INDIA is able to quickly and simply make its
products accessible to a sizable number of consumers.
● Cost Structure: Because of , low-cost structure, it is able to create its goods at a low cost
and sell them for a low price, making them accessible to customers.
● Dealer Community: AIM INDIA maintains a close working connection with its dealers
and focuses on marketing the business's products and training in addition to giving them
supplies.
● Financial Position: With five years of continuous earnings under its belt and amassed
profit reserves that may be utilized to pay for future capital investments, AIM INDIA is
in a solid financial position.
● Skilled advisors and employees: AIM INDIA has made significant investments in the
training of its staff, which has allowed it to hire a big number of motivated and qualified
workers.

Weakness:

● High employee turnover rates: Compared to other firms, AIM INDIA has a greater rate of
employee turnover. As a result, it is paying more on training and development because
there are more individuals quitting their jobs than joining them. Due to the fact that there
are fewer workers than the actual amount of work, the burden is high per employee.
Employees are likely to be less productive as a result of the psychological stress this
causes. Low employee morale is a result of the more political and corporate culture in
recent years.

Opportunity:

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 ● Internet: Worldwide, there has been a rise in the number of internet users. This Suggests
that AIM INDIA has a chance to increase their online presence by interacting with their
clients online.
● E-commerce : The e-commerce sector has seen an increase in sales and a new trend. This
indicates that a large number of individuals are now shopping online. By starting online
businesses and generating income from them, AIM INDIA, may supplement their
income.
● Social Media: The number of people using social media has increased globally.
Facebook, Twitter, and Instagram are the three social media sites that have had the most
growth in monthly active users. Social media may be used by AIM INDIA to advertise its
goods, engage with consumers, and get customer feedback.
● Technological development: Many areas can benefit greatly from technology.
Automation of processes can lower expenses. Better consumer data can be gathered
thanks to technology, which also helps marketing efforts.

Threat:

● New entrants: Many new competitors have joined the market, and they are gaining
market share by taking market share away from already established businesses. Because
of these new competitors, AIM INDIA may lose some of its clientele.
● Increasing Competition:Prices have been under pressure to decline as industry
competitiveness has increased. If AIM INDIA doesn't respond to the pricing increases or
adapts them, it may see a loss of market share.
● Exchange rate : A firm likeAIM INDIA that has worldwide sales while using local
suppliers is impacted by the shifting currency rate

FRAMEWORK:

Aim India is a consulting firm which works under the BFSI sector. Here is the 7s framework for
Aim india.

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Strategy:

• Core Competencies: Define AIM INDIA's unique strengths and capabilities in the
BFSIsector, such as expertise in risk management, compliance, or digital transformation.
• Market Positioning: Determine the firm's market position and target segments
withinBFSI, whether it's focusing on small banks, insurance companies, or a broader
spectrum.
• Long-term Goals: Set clear, measurable objectives for growth, profitability, and market
share within the sector.

Structure:

• Organizational Design: Establish the firm's hierarchy, roles, and reporting lines,ensuring
they support the chosen strategy.
• Division of Labor: Define how tasks are allocated among employees, teams, or business
units, emphasizing specialization where needed.
• Coordination Mechanisms: Ensure efficient communication and collaboration within the
firm's structure, especially for cross-functional projects or client engagements.

Systems:

• Information Technology: Implement the necessary IT systems and tools for data analysis,
client management, and project tracking.
• Operational Processes: Streamline and optimize consulting processes, from client
onboarding to project delivery, to maximize efficiency and quality.
• Performance Measurement: Develop KPIs and metrics to monitor progress toward
strategic goals and client satisfaction.

Skills:

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 • Employee Competencies: Identify the skills and expertise required for BFSIconsulting,
including financial analysis, regulatory knowledge, and technological proficiency.
• Training and Development: Invest in continuous learning and skill development
programs to keep employees up-to-date with industry trends.
• Talent Acquisition: Recruit top talent with BFSI sector experience to enhance the firm's
consulting capabilities.

Shared Values:

• Company Culture: Define AIM INDIA's culture and values, emphasizing integrity,
client-centricity, and innovation.
• Ethical Guidelines: Establish ethical standards and compliance procedures to maintain the
firm's reputation and trustworthiness in the BFSI sector.
• Client-Centric Approach: Ensure a strong commitment to understanding and meeting the
unique needs of BFSI clients

Style:

• Leadership Style: Determine the leadership style within AIM INDIA, which should align
with the firm's values and culture, emphasizing client satisfaction and employee
empowerment.
• Decision-Making Approach: Define decision-making processes, whether they are
top-down, consensus-driven, or a combination, depending on the situation.Staff:
• Human Resources Strategy: Develop HR policies and practices that support the
recruitment, retention, and motivation of top talent in the BFSI consulting field.
• Diversity and Inclusion: Promote diversity and inclusion to ensure a diverse pool of
perspectives and expertise within the firm.
• Team Dynamics: Foster effective teamwork and collaboration among
employees,encouraging knowledge sharing and cross-functional cooperation

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By thoroughly assessing and aligning these seven elements (Strategy, Structure, Systems,Skills,
Shared Values, Style, and Staff), AIM INDIA can enhance its competitive position and
effectiveness in the BFSI consulting sector, ultimately leading to sustained success and growth.
Regularly revisiting and adjusting these elements in response to changing market dynamics and
client needs is crucial for long-term success.

Industry Mentor
Business Unit Head
Mr. Harsh Yadav

AIM India Pvt. Ltd.

12th Floor, 1208 RG Trade Tower,

Netaji Subhash Palace, Pitampura,
New Delhi, 110034

+91-9999331682
[email protected]

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 Introduction to Financial Sector

Investing is allocating money in the future to the anticipation of a favorable return. In other
terms, to invest implies to hold an asset or an object for the purpose of producing income from
the investment, or the enhanced capital gain over an amount of time. When a person invests, a
sacrifice of any present asset, for example, time, money or effort, is always required. Return can
include an income or loss from selling a property or an investment, an unattracted capital
increase (or depreciation), or a combination of capital gain or income, or a mix of dividends,
interest, rental income, and other investment income. Gains or losses owing to changes in foreign
exchange rates may also be included in your return. Generally, investors expect larger returns
from more risky assets. If an investment with minimal risk is undertaken, the returns are usually
low as well. High risk also comes with high profits. Risk and returns are two sides of the same
coin when investing; minimal risk usually equals low projected profits, while greater returns
typically go hand in hand with higher risk. The expectations for risks and returns might vary
greatly in the same asset class.

The term "financial investment" refers to setting aside a set quantity of money in the hopes of
making a profit within a set time frame. Investing is nothing more than products or items
acquired now for future or crisis usage. An individual must plan his future so that he and his
immediate family members can be happy.

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 Insurance Sector in India

India's household of around 200 million middle classes has enormous untapped potential for
insurance players. Market saturation has made the Indian market even more appealing to global
insurance leaders in many developed economies. In India, the insurance industry has become a
market leader with very high potential and competitiveness. Indians, who have long considered
life insurance as a tool for tax saving, turn abruptly to the private sector, which offers them new
options and a range to choose from. Consumers are the insurance sector's most important center.
The insurance sector saw a lot of competition after the introduction of foreign firms, hence
improving the industry's customer service. The current environment requires the computerisation
of operations and technology updates. Foreign players employ the latest technology to
implement international best practices. The insurance company continues to be the principal
source of insurance products. In countries like India the concept is very well established but it is
still vital that additional sources are increasingly being used.

Insurance has now become an essential element of everyone's life. The insurance sector is
troubled by a number of difficulties, including increased operational costs, regulatory
obligations, and inflexible IT infrastructure. Premium increases that are low to moderate, as well
as higher regulatory compliance costs, worsen these limits. With all of the aforementioned
considerations in mind, the study's goal would be to look at all of the factors that contributed to
successful marketing techniques.

This research looks at a variety of life insurance marketing tactics while taking into account the
firm's external and internal environment. The marketing strategy consists of broad decisions
about target markets, market positioning and mix, and marketing expenditure levels that will be
used by the business units to achieve their goals. Financial institutions must examine strategies to
develop relationships with their existing customers in order to defend their market share as the
financial services business has become more competitive. The strategic dimension of marketing
should focus on how a company will approach a certain market or group of markets in order to
achieve a set of objectives. Every insurer must recognise that the competitive climate, as well as
its marketing resource allocation, influence its "strategic posture." An insurance firm strategy is a

23
plan of action that identifies how an insurer can best achieve its goals and objectives in light of
the competition's difficulties and its limited resources. When there is ambiguity, there is a risk.
We don't have any control over the unknowns that lead to financial losses. Hazards include
known events, such as death, pension, or retirement, as well as uncertain events, such as theft,
fire, or accident. Insurance is a financial service that accumulates and insures people's savings
against risk. The basic goal of insurance is to safeguard against the chance of suffering a
financial loss. It reduces the stress and sadness that comes with property loss and death. It also
contributes to society's wealth by investing the money saved in productive heads.

Marketing is a major activity in the life and general insurance sectors. Understanding the needs
of the market and developing a marketing mix that will help them attract and keep clients is
crucial for marketers. Because the insurance industry sells intangible services that demand a
considerable deal of explanation of the subtleties of various products, the formulation of a
marketing mix for the insurance industry must be carefully considered. Sub-mixes of the seven
P's of marketing: product, pricing, place, promotion, people, process, and physical evidence
make form the marketing mix. The current article explores the recent performance of the Indian
insurance sector, as well as the significance of marketing mix in the marketing of insurance
services in India.

MAJOR INSURANCE COMPANIES IN INDIA

• Life Insurance Corporation of India

• IndiaFirst Life Insurance Company Ltd.
• HDFC Life Insurance Co. Ltd
• Max Life Insurance Co. Ltd.
• ICICI Prudential Life Insurance Co. Ltd
• TATA AIA Life Insurance Co. Ltd.
• SBI Life Insurance Co. Ltd.
• Bajaj Allianz Life Insurance Co. Ltd.

24
There are 57 insurance firms in India. A total of 24 companies are in the insurance industry, with
34 being in the life insurance industry. The Life Insurance Corporation (LIC), which is one of the
insurers, is the only corporation in the public sector. In the non-life insurance market, there are
six public sector insurers. The only domestic re-insurer is the General Insurance Corporation of
India. The Indian insurance industry includes agents (individuals and businesses), couriers,
surveyors, and other third-party administrators of health claims.

In FY20, there were 24 private participants in the life insurance industry, compared to only 4 in
FY02. LIC remained the market leader with about 53 per cent of FY20's new business market
share. In FY20, HDFC Standard Life Insurance led the private sector lenders in new business
premiums with a market share of nearly 14 percent, followed by SBI Life Insurance (9%), and
ICICI Prudential Life Insurance (6%).

25
 Different Categories of Insurance:

1. Unit Linked Insurance Plan (ULIP) A ULIP is both an investment and an insurance coverage.
If the policyholder dies during the term of the ULIP, the policy gives a death benefit, the sum
will be paid. Furthermore, if the policy bearer survives the term ULIP, the maturity value of
ULIP can also be obtained. This is the sum generated through ULIP equity and/or loan
investments. The policyholder may earn these returns via ULIP funds and asset groups. This is
the ULIP component of investing.

• Fluctuating Returns as the entire amount is invested in the stock market.

• No bonus to proposer
• Avail tax benefits
• Maturity amount differs

2. Term Plan The simplest and purest life insurance is term insurance. It provides the insurer's
family with the most economical financial safety. Also, can receive a high amount (i.e. sum
guaranteed) of life protection at a relatively modest premium rate with term insurance. In the
case of a person insured's death within the period of the policy, the benefits shall be given to the
nominee.

• For a specific period

• Zero maturity benefits
• Zero return on investment
• No bonus
• Avail tax benefits

3. Traditional Product/Plan Traditional insurance plans provide the guaranteed amount and the
maturity bonus guaranteed or granted. These strategies have reduced risks and hence the
possibility of adverse effects is likewise low. These schemes are ideal for tax planning purposes.
In contrast to the ULIPs, for traditional plans premature withdrawal is usually not permitted.

26
 • Fixed Returns
• Bonus (Revisionary and Terminal)
• Tax benefits (80C, 1010D)
• Fixed maturity amount 14

Bank of Baroda:

The Bank of Baroda (BOB) is an Indian government-owned bank and financial services
company. The Ministry of Finance of the Indian government owns it. It is India's third largest
state-owned bank, with 132 million customers, $218 billion in assets, and 100 global office
locations. Based on 2019 data, it is included in the Forbes Global 2000 list.

27
28
 IndiaFirst Life Insurance

IndiaFirst Life Insurance Company is a joint venture between Bank of Baroda (44%) and Andhra
Bank (30%) of India, as well as Legal & General Finance and Investment Companies of the
United Kingdom (26 percent). In November 2009, it was registered and maintains its office in
Mumbai.

With a paid-up share capital of INR 663 crore, IndiaFirst Life Insurance Company Limited
(IndiaFirst Life) is one of the country's newest life insurance companies. The main differentiators
are items that are simple to grasp as well as goods that are cost-effective and efficient. IndiaFirst

29
Life Insurance, based in Mumbai, is one of the country's newest life insurers, having a paid-up
share capital of Rs 62 5 crore.

The company offers a range of 31 need-based goods to different client categories (as from 31
March 2020), enhance numerous distribution capabilities and enhance diverse investment
opportunities. In all, proposals under the Security, Guaranteed Savings, Income, Retirement,
Health and Group Liabilities categories provide our customers with a comprehensive suite of
solutions to prepare for life. Their primary competency is Risk Management with their solutions
that are easy to comprehend and priced reasonably.

IndeFirst Life Insurance is recognised as one of the top 25 Great Place to Work in the BFSI
category for two consecutive years (2019 & 2020). This is one of any organization's most notable
achievements. The accolade is a demonstration of the organizations and staff members who live
according to the fundamental values of IndiaFirst Life, #CustomerFirst and #EmployeeFirst.
Their staff are essential drivers, primary strengths, differentiators, and ambassadors of the brand.
#EmployeeFirst company mantra helps to better accomplish #CustomerFirst objectives.

IndiaFirst Life offers a variety of 31 product series (as at 31st March 2020), catering for different
consumer categories, enhancing multi-distribution capacity and enhance different investment
options.

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Products of IndiaFirst Life Insurance

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 Types of Financial Investment

Individual can invest in any of the following financial investment options:

▪ Mutual Funds

A mutual fund is a professionally managed open-end investment vehicle that pools money from
several investors to buy securities. Small and individual investors can invest in professionally
managed stock, bond, and other securities portfolios through mutual funds. As a result, each
shareholder receives a proportional share of the fund's profits and losses.

• Market Risk
• Fluctuations in return
• Higher return
• Share market driven force
• Portfolio manager manages portfolios, claiming 1-2% commission.

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▪ Share Market

Shares are purchased and sold in the stock market. The stock market is a share market but other
products like bonds, mutual funds and derivatives are also traded on the stock market in addition
to shares of firms. There are two types of share market. One is the primary market where a
company enters to raise funds by getting registered and issuing shares to the public through
initial public offering or IPO. Another one is the secondary share market where investors
purchase or sells shares from already listed securities.

▪ Fixed Deposits

Fixed Deposits are a low-risk financial product that allows investors to increase their money at a
fixed rate of return that is greater than interest on savings rates. The ease of investing combined
with the security of your deposit might make it simple to plan short- and long-term objectives.

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▪ Insurance

Insurance is a policy contract where a financial protection or reimbursement against losses by an

insurance company is provided to the individual or business. In order to cover the danger of
financial loss, insurance plans are utilized. Insurance plans of various kinds exist. The most
popular types of insurance are life, health, homeowners, and the automobile.

▪ Real Estate

In contrast to stock and bond investors, potential real estate owners can utilize leverage to pay a
percentage of the entire cost in advance and then pay the remainder, plus interest over time.
Investments are subject to change. One of the major ways investors may earn money from
immobilization is to become a property owner.

▪ Gold

Gold has as an asset class special feature. Gold may be utilized in buying power portfolios,
reduction of volatility and reduction of losses during market shock times. It can be used as a
hedge against inflation.

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▪ Post office

India Post, which oversees the country's mail system, has also provided investors with numerous
deposit channels known as postal saving plans. Every post office offers these savings plans so
anyone from throughout India may simply apply and register.

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About the product;

AIM INDIA Pvt Ltd deals with consumers on the sale of India first Life Insurance company’s
products. The various financial products that company sells are

• Bank of Baroda India first life Mahajeevan plus Plan.

• Bank of Baroda India first life guaranteed benefit product.
• Bank of Baroda India first life gold.
• Bank of Baroda India first life guaranteed pension plan.
• Bank of Baroda India first life little champ plan.

We were briefed with the history of Indiafirst Life Company which is actually a JOINT
VENTURE between “Bank of Baroda” & “Andhra Bank” & “Legal & General.” Indiafirst life
co. on its independent performance offers Group insurance product, Individual insurances which
are spanned over by 2.4 lakh service distributors due to the presence of the bank branches of its
ventured banks. Hence, it actually works on the principle of “Bancassurance.”

The major competitors for our company are LIC, HDFC Life Insurance, Aviva Life Insurance,
Bajaj Life Insurance, LIC etc.

1. Mahajeevan Plus Plan

This is actually a traditional plan i.e. non-linked insurance plan which offers both deaths as well
as maturity benefits to the insurer. It offers life protection plus saving and equally provides
reversionary bonuses to enhance the policy holder’s wealth. In an occurrence of untimely demise
of life insured, death benefits are offered. In case the time period is over, the maturity benefits
are offered. The policyholders receive “Terminal bonuses” as well as “Reversionary bonuses”.
Various key points of this policy are as follow:

i. Rider benefit: A rider option is also provided to insured life.

ii. The maturity benefit is equal to the guaranteed sum assured plus the bonuses.

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iii. The death benefit is the assured sum i.e. equal to sixteen times the first premium paid plus
accrued reversionary bonus and terminal bonus. But usually this “sixteen time” index is also
dependent on age. The younger the life insured is higher is the probability to receive the sum
closer to sixteen times.

iv. Under the sections of Income Tax of Indian Constitution, the specific tax benefits are offered
via Income Tax Act 80C and full tax saving on the maturity amount on 10(10(D)).

v. The Entry age is 5 years of life assured and policy term is 15 years. The lock-in period of the
plan is 3 years. However; the co has provided a loan feature for utilization of cash invested in
case of any work. Post two year, the proposer can take 90% of the sum money as loan, which
would be free of interest and next year it has to be paid via renewal.

vi. EMI feature is available to proposer to put in the premium from second year without any
hassle of interest payments.

vii. Anyone with an Indian passport can buy this product.

viii. This is a traditional plan fee of market risks.

ix. Types of death covered include suicide as well but only after lock in period is completed and
scrutiny report is submitted over by concerned officials.

x. The market return is 8% (4% + 2% + 2%).

xi. There is provision to expand it to 25 years.

xii. There is an ownership transfer scheme provided.

xii. Flexibility is provided pan India for nominee change.

xiii. In case of Divorce cases, this plan comes under the “Marriage Human Act”, whereby the
liability to pay for a spouse is no more.

The pitching of the product was available in various categories like:-

• Child category- expectation of parents from child category:-

• Health of child

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 • Education of the child
• Higher education of the child
• Marriage planning of the child
• Business planning of the child

• Retirement category- options available under retirement category:-

• Take away
• Pension option available

After maturity, retain your entire maturity with the bank and from the very next month
start taking 23,500 rs per month until death or until you want and once you stop taking
pension take the entire 35L rs back.

• Youngster category:- The child pitching actually consists of the Age benefit whereby the
proposer can continuously keep investing even after the maturity occurs via taking out
some fund and reinvestment. For the youngsters, the pitching could involve:-

• Double the return option

• Tax benefit
• Life Security
• Ownership transfer
• Loan feature

The plan may include the ‘Life Assured’, the ‘Policyholder’, the ‘Nominee’ and the ‘Appointee’.

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 RESEARCH METHODOLOGY

Research methodology is a simple framework or plan for the study that is a guide in the
collection and analysis of the data. It is the blueprint that is followed to complete the study. Thus,
good research methodology ensures the completion of the project efficiently and effectively
since there are many aspects of research methodology, the line of action has to be chosen from
the variety of alternatives, to choose the suitable method through the assessment of various
alternatives. Research methodology gives the researcher an opportunity to put forward his
argument for having opted for certain alternatives and also at the same time he can justify his
ruling out some other possibilities. Why the research study has been undertaken, how the
research problem has been formulated, what data has been collected, what particular technique of
analyzing the data has been used and a lot of similar types of questions are usually answered
when we talk of research problems in study.

OBJECTIVE OF STUDY

• To evaluate the effectiveness of various recruiting and selection process techniques.

• Learn about the tax slab rate and how to calculate an individual income.

• Understanding clients desire towards investment plans.

• To understand the importance of networking in HR.

• Difference between the India First Life Insurance and other Insurance Policy.

RESEARCH DESIGN

A research design is simply the framework or plan for a study that is used as a guide in collecting
and analyzing the data. It is a blueprint that is followed in completing a study. In this study,
descriptive research has been used.

SAMPLE DESIGN

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Sample Design is a process, or technique by which to find the sample. The sample is a result of
sampling. Sampling is significant because it saves time and money etc. The sampling method
used in this research is a convenience method

SAMPLE SIZE

The sample size means the total number of sample units included in the sample size and
gathering information for other people. Our sample size is 100 respondents.

SAMPLE UNIT

All those units that are under study for providing a constitution that is sampling units. Our
Sampling units are from pan India.

DATA COLLECTION

Primary data have been collected for the research work.

PRIMARY DATA

Primary data have been collected by framing a questionnaire and interview schedule with the
sample respondents. Necessary corrections, additions, and deletions have been made in the
questionnaire with the help of the experts and supervisors to make the research effective and
useful to society.

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 Data Analysis and Finding

Interpretation: Majority of the people who gave responses were in the age group of 21-30 as the
purpose of the study was to focus on people who are entering in their work life span or those
who will start investment and know their perception.

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Interpretation: Responses are from every income group because income is the dominant factor
for investment decisions.

Interpretation: From all the respondents males were in more numbers than the females because of
their inclination towards investment. All the female respondents here are working individuals.

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Out of the total respondent maximum people are aware of different means where they can invest

their money.

Interpretation:

Majority of the respondents here said they do invest. As majority of respondent belong to income

group of within 10 Lakhs and are working people. However, there are many who said they do not
invest. A few of the reasons could be that they either have money issues or they are not aware
about the investment options available to them.

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Interpretation: Most of the respondents invest their money in Fixed Deposit or recurring deposit
around 27% of the total sample size because it is the safest mode of saving.

Interpretation: Most of the respondents get the information about financial instruments from
advertisements which influence their decision in various sectors and make them aware about
different sectors of investment.

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Interpretation: Factors that influence respondents investment decisions are mainly for tax saving
purpose under section 10(10D) and 80C through which individuals can get tax rebate of up to Rs.
1,50,000. Next factor being liquidity so that their money can easily be converted into cash at any
moment.

Interpretation: The most important factor for people investing money is return because people
invest money so that it can grow and can contribute to their goal of wealth creation or child
education etc. After which the next factor is risk because people with different age groups and
different occupational groups.

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Interpretation: Because Insurance products have started penetrating in the market also because of
covid 19, people at a young age take initiative of investing money in insurance plans as it has
stable returns, no risk and financial protection for family.

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Interpretation: Majority if the respondents purchase insurance products to financially protect
family for any unforeseen incident. It shows individuals still don't consider insurance as a source
of investment rather a scheme to protect family.

Interpretation: The respondents still don't prefer insurance plans to be the investment option
available in the market. Rather they invest in other asset classes which have more returns.
Another reason being premium rates are high which is another hindrance in investing into
insurance plans.

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 Conclusions

Life Insurance is an important form of insurance and essential for every individual. Life
insurance penetration in India is very low as compared to developed nations where almost all the
lives are covered. Customers are the real pillar of the success of life insurance business and thus
it’s important for insurers to keep their policyholders satisfied and retained as long as possible
and also get new business out of it by offering need based innovative products. There are many
factors which affect customers' investment decisions in life insurance and from the study it has
been concluded that demographic factors play a major and pivotal role in deciding the purchase
of life insurance policies. Life Insurance Companies thus should keep an eye on all these factors
while designing or promoting any life insurance policy as this would help them keep their
customers satisfied and would also help them in Customer Retention. Life Insurance is growing
with its various products like the Money Back and ULIP plans which many of the customers are
still unaware of and thus a proper knowledge regarding the same can be helpful to the customers
to choose and invest in Life Insurance Policies. Human life is not just unique but is also precious
and needs to be secured as there are many dependents on one human after the death. Thus, one
needs to make sure that he/she secures their lives by taking one or the other Insurance Policies.

KEY FINDINGS:
• Most people are hesitant in investing in high-risk investment sectors.
• Most people prefer Fixed deposit as an investment option as it is safer and there is no capital
loss.
• Return and risk are most important factor in determining the investment option.
• Majority of people are not aware of different types of investment schemes available for
investments.
• Most of the people invest their money with the main objective of wealth creation and asset
purchase.
• Gender and income of the people influence investment decisions.
• Majority if the respondents purchase insurance products to financially protect family for any
unforeseen incident.

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• Insurance products have started penetrating in the market also because of covid 19, people in
young age take initiative of investing money in insurance plans as it has stable returns, no risk
and financial protection for family.

LEARNING OUTCOMES:
i. Time Management & Punctuality.
ii. Being more Organized.
iii. Cross-selling of Products.
iv. Effective Communication Skills.
v. Enhanced Microsoft Excel and PowerPoint Presentation Skills.
vi. Understanding of Financial Products like Loans, Insurances, Investments.
vii. Portfolio Management.
viii. Studying and Verifying Documents related to Loans.
ix. Financial Planning.

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 SUGGESTIONS AND LIMITATIONS

Even though insurance products are a good source of income, the people lack awareness and
information towards investment sectors. So, the following suggestions were made in order to
increase the awareness among the people.

• Increase awareness among investors

Many investors are still restricting their choices to the non-governmental options like gold and
fixed deposits even though the market is flooded with countless investment opportunities. This is
because of lack of awareness about different investment options which makes many investors
restrict their choice to traditional options like gold and fixed deposits. So awareness must be
increased among the investors to encourage them to invest.

• Educate people more about different investment sectors

Many people lack knowledge about financial instruments and find it difficult to choose many
schemes. So proper information must be provided to the investors to increase the loyalty among
the investors

• Paperwork/ Formalities should be reduced

There are a lot of formalities required before investing in SIP and insurance products. This
procedure may reduce the interest of the investors towards the mutual funds. So, the process of
making investment in mutual funds should be smooth.

• Digitalization
As everything is now becoming digitalized, investors want to see their investment status digitally
without going anywhere to liquidate their investment or to invest in any particular scheme
digitally.

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LIMITATIONS;

Although it was very exciting to work on all the three projects since they made me step up of my
comfort zone and gave me a real hands-on experience of the corporate world, I faced certain
difficulties and was limited to my area of research.

These were: -

• The research was carried out in a short period. Therefore, the sample size and the parameters
were selected accordingly so as to finish the work within the given time frame.

• Most of the clients were not aware about the Insurance Company

• Most of the clients did not share their true investment information due to their mentality.

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 BIBLIOGRAPHY

1. https://www.aimincorp.com/
2. https://www.bankofbaroda.in/
3. https://www.indiafirstlife.com/
4. https://www.unionbankofindia.co.in/english/indiafirst maha-jeevan-plan.aspx

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 QUESTIONNAIRE
1. AGE
a. 21-30
b. 31-40
c. 41-50
d. 51-60
2. ANNUAL INCOME
a. Upto 5,00,000
b. 5,00,000-7,50,000
c. 7,50,000-10,00,000
d. 10,00,000-12,50,000
e. Above 15,00,000
3. GENDER
a. Female
b. Male
4. Are you aware of all the investment options available in the market?
a. Yes
b. No
5. What percentage of income do you invest?
a. Less than 5%
b. 5%-15%
c. 15%-30%
d. Above 30%
6. Investment preference of respondents
a. Mutual funds
b. Real estate
c. Fixed deposit
d. Gold
e. Share market
f. Insurance
g. Post office

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7. Information about financial investment
a. Advertisements
b. Company sale force
c. Friend and relative
d. Newspaper and magazines
e. Social media
8. Factors influence investment decisions
a. Tax saving
b. Liquidity
c. Diversification
d. Safety
e. News and article
f. People opinion
9. Purpose of investment
a. Wealth creation
b. Retirement planning
c. Child education
d. Asset purchase
10. Do you invest in life insurance
a. Yes
b. No
11. Purpose of buying insurance
a. short/long term saving
b. Reduce income tax
c. Financially protect family
d. Reduce financial burden due to hospitalization
12. Reasons of low cover
a. Premium rates are high
b. Invest in other asset classes
c. Return are poor

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