Choice International Ltd Management Discussions.


The upswing in global investment and trade continued in the second half of 2017. At 3.8 percent, global growth in 2017 was the fastest since 2011. With nancial conditions still supportive, global growth is expected to increase up to a 3.9 percent rate in both 2018 and 2019.

Economic activity in 2017 ended on a high note growth in the second half of the year was above 4 percent, the strongest since the second half of 2010, supported by a recovery in investment. Outcomes exceeded the October 2017 World Economic Outlook forecasts in the euro area, Japan, the United States, and China, and continued to improve gradually in commodity exporters. Financial conditions remain supportive, despite the recent volatility in equity markets and increases in bond yields following signs of rming in ation in advanced economies. With broad-based momentum and expectations of a sizable scal expansion in the United States over this year and the next, global growth is now projected at 3.9 percent for 2018 19, a 0.2 percentage point upgrade for both years relative to the October 2017 forecast.

Aggregate growth in emerging market and developing economies is projected to rm further, with continued strong growth in emerging Asia and Europe and a modest upswing in commodity exporters after three years of weak performance.

The year 2017-18 was marked with strong macro-economic fundamentals. However, the growth of gross domestic product (GDP) moderated in 2017- 18 vis-a-vis 2016-17. There was an improvement in export growth, scal trends remained attuned to the consolidation plans and in ation remained within the limits. The year also witnessed an increase in global con dence in Indian economy as well as improvement in ease of doing business ranking.

Equity markets in emerging markets and developing economies strengthened in the first three quarters of FY 2017-18. But towards the end of FY 2017-18, a significant portion of the gains were erased due to geopolitical uncertainties and the United States trade policies.

Emerging markets and developing economies are forecasted to grow at about 4.9% and 5.1% in 2018 and 2019 respectively from 4.8% in 2017. Growth in emerging markets re ects rming activity in commodity exporters and continued solid growth in commodity importers. The contribution of net exports declined in commodity exporters, as import growth rebounded substantially


As Financial Year 2017-18 (FY18) draws to a close, it is worth taking a look at Indias economic performance over what has been quite an interesting period. While the first quarter of the year saw the impact of demonetisation settling down, in the next quarter, introduction of the landmark Goods and Services Tax (GST) brought in some uncertainties as businesses adjusted to the new regime. This did not take long, and from the third quarter onwards, signs of growth returning were evident.

In the current nancial year, what can we expect? As global economic activity continues to strengthen, global growth is forecast to grow by 3.9% during 2018 as per the International Monetary Funds (IMF) January 2018 World Economic Outlook. The IMF expects India to grow at 7.4% during 2018 which could increase further to 7.8% during 2019 in contrast to 6.7% during 2017.

Gross Domestic Product

As per the second advance estimates of national income released by the Central Statistics Office in February 2018, real Gross Domestic Product (GDP) at constant prices is estimated to grow at 6.6% for 2017-18. The Indian economy achieved an impressive growth rate of 7.2%, a ve-quarter high during the third quarter (Oct-Dec) of FY18 as opposed to 6.5% in the second quarter. India also regained its tag of the fastest growing major economy in the third quarter.

Emerging markets and developing economies are forecasted to grow at about 4.9% and 5.1% in 2018 and 2019 respectively from 4.8% in 2017. Growth in emerging markets re ects rming activity in commodity exporters and continued solid growth in commodity importers. The contribution of net exports declined in commodity exporters, as import growth rebounded substantially

Note: Jan-March is the expected growth rate during 4th quarter, CII calculation based on CSOs estimate of 6.6% annual growth rate during 2017-18

Source: Central Statistics Officee; Q4 is estimates

The strong growth registered in the third quarter was primarily on account of the good performance of the manufacturing and construction sectors. The manufacturing sector registered a growth rate of 8.1% as compared to 6.9% in the previous quarter while the construction sector recorded a growth rate of 6.8% in contrast to 2.8% during the previous quarter.

Various economic reforms were undertaken in the year which include: implementation of the Goods and Service Tax, announcement of bank recapitalization, push to infrastructure development by giving infrastructure status to affordable housing, higher allocation of funds for highway construction and greater focus on coastal connectivity. Further initiatives include: lower income tax for companies with annual turnover up to 50 crore; allowing carry-forward of MAT credit up to a period of 15 years instead of 10 years at present; further measures to improve the ease of doing business; and, major push to digital economy

Other sectoral initiatives undertaken include: measures to revive the construction sector and promotion of exports in textile and apparel industry. Apart from these, the measures that were taken by the Government in the previous years to boost manufacturing, employment generation, improving ease of doing business and transparency via schemes such as Make-in-India, Skill India, direct benefit transfer and measures for nancial inclusion were also taken

An important macro-economic challenge faced by the Indian economy relates to the declining trend in the investment and saving rates, as seen from the latest available data. Nonetheless, medium-term macro outlook remains bright against the background of implementation of GST, green shoots in the global economy, relatively stable prices and improvement in indicators of external sector.

As per the 1st Advanced Estimates released by the Central Statistics Office (CSO), the economy is expected to grow by 6.5 per cent in 2017-18 in terms of GDP at constant (2011-12) market prices. The gross value added (GVA) at constant (2011-12) basic prices is expected to grow by 6.1 per cent in 2017-18, as compared to the growth of 7.1 per cent achieved in 2016-17. The growth in agriculture, industry and services is estimated at 2.1 per cent, 4.4 per cent and 8.3 per cent respectively in 2017-18, as compared to 4.9 per cent, 5.6 per cent and 7.7 per cent in 2016-17. Growth rate of industry sector declined in 2017-18, mainly on account of moderate growth in manufacturing sector. It was the services sector that contributed to more than half of the overall GVA growth rate of 6.1 per cent in 2017-18. From the demand side, the nal consumption expenditure has been the major driver of GDP growth. The growth of xed investment at constant prices increased from 2.4 per cent in 2016-17 to 4.5 per cent in 2017-18. As per CSO, the exports of goods and services are estimated to grow by 4.5 per cent in real terms in 2017-18 as was the case in 2016-17, whereas the imports are estimated to grow by 10.0 per cent in 2017- 18 as against 2.3 per cent in 2016-17.

Index of Industrial Production

Indias current account de cit (CAD) stood at US$ 13.5 billion accounting for 2% of GDP in the third quarter (Oct-Dec) of 2017-18, higher than US$ 8 billion (1.4% of GDP) during third quarter of 2016-17 and US$ 7.2 billion (1.1% of GDP) in the preceding quarter.

The widening of CAD on a year-on-year basis was the result of the increased trade de cit which stood at US$ 44.1 billion during the period.

The global economy is stabilising with favourable global trade and nancial conditions. Domestically, GST promises to deliver positive outcomes as India becomes a single, more competitive market. We can look forward to an upward growth path for India in FY 2018-19.


India has a diversi ed nancial sector undergoing rapid expansion, both in terms of strong growth of existing nancial services rms and new entities entering the market. The sector comprises commercial banks, insurance companies, non-banking nancial companies, cooperatives, pension funds, mutual funds and other smaller nancial entities. The banking regulator has allowed new entities such as payments banks to be created recently thereby adding to the types of entities operating in the sector. However, the nancial sector in India is predominantly a banking sector with commercial banks accounting for more than 64 per cent of the total assets held by the nancial system.

The Government of India has introduced several reforms to liberalise, regulate and enhance this industry. The Government and Reserve Bank of India (RBI) have taken various measures to facilitate easy access to nance for Micro, Small and Medium Enterprises (MSMEs). These measures include launching Credit Guarantee Fund Scheme for Micro and Small Enterprises, issuing guideline to banks regarding collateral requirements and setting up a Micro Units Development and Re nance Agency (MUDRA). With a combined push by both government and private sector, India is undoubtedly one of the worlds most vibrant capital markets. In 2017,a new portal named Udyami Mitra has been launched by the Small Industries Development Bank of India (SIDBI) with the aim of improving credit availability to Micro, Small and Medium Enterprises (MSMEs) in the country. India has scored a perfect 10 in protecting shareholders rights on the back of reforms implemented by Securities and Exchange Board of India (SEBI).

Indias gross domestic savings (GDS) as a percentage of Gross Domestic Product (GDP) has remained above 30 per cent since 2004. It is projected that national savings in India will reach US$ 1,272 billion by 2019. Over 95 per cent of household savings in India are invested in bank deposits and only 5 per cent in other nancial asset classes.

The asset management industry in India is among the fastest growing in the world. Corporate investors accounted for around 43.44 per cent of total AUM in India, while High Net Worth Individuals (HNWI) and retail investors account for 30.09 per cent and 24.79 per cent, respectively. In the Asia-Paci c, India is among the top five countries in terms of HNWIs. RBI has allowed 100 per cent foreign investment under the automatic route in ‘other nancial services.

The Government of India has launched the Bharat 22 exchange traded fund (ETF), which will be managed by ICICI Prudential Mutual Fund, and is looking to raise Rs 8,000 crore (US$ 1.22 billion) initially.

The Securities and Exchange Board of India (SEBI) has allowed exchanges in India to operate in equity and commodity segments simultaneously, starting from October 2018.

Indias equity market turnover has increased significantly in recent years. The annual turnover value in the National Stock Exchange (NSE) witnessed a CAGR of 19.13 per cent between FY 96 and FY 17 to reach US$ 790 billion. During the month of January 2018, equity mutual funds have registered a record net in flow of Rs 14,683 crore (US$ 2.27 billion).

In April 2018, the Government of India issued minimum FDI capital requirement of US$ 20 million for unregistered /exempt nancial entities engaged in ‘fund based activities and threshold of US$ 2 million for unregistered nancial entities engaged in ‘non-fund based activities.

The Government of India has taken various steps to deepen the reforms in the capital markets, including simpli cation of the Initial Public Offer (IPO) process which allows qualified foreign investors (QFIs) to access the Indian bond markets. In FY18 the total amount of Initial Public Offerings increased to Rs 84,357 crore (US$ 13,089 million).

Key Highlights of the nancial service sector industry for the year 2017- 18:

4 The asset management industry in India is among the fastest growing in the world. As of November 2017, 42 asset management companies were operating in the country

4 In ows in Indias mutual fund schemes via the systematic investment plan (SIP) route reached Rs 53,446 crore (US$ 8.26 billion) between April-January 2018.

4 Equity mutual funds have registered a net in flow of Rs 13,404 crore (US$ 2.07 billion), thereby taking their asset base to Rs 7.04 lakh crore (US$ 108.74 billion) in January 2018.

4 The number of mutual fund (MF) portfolios have increased to 66.5 million as of December 2017, backed by rising interest in MFs among investors.

4 Mutual fund (MF) equity portfolios in India reached a 10-year high of 49.3 million, by end of 2017.

4 In December 2017, corporate investors accounted for around 43.03 per cent of total AUM in India, while HNWIs and retail investors accounted for 29.65 per cent and 25.25 per cent, respectively

4 The market capitalisation of all the companies listed on the BSE reached a record Rs 150 lakh crore (US$ 2.33 trillion) backed by high gains in the broader market.

4 The amount raised by IPOs in India increased from US$ 318 million in FY 2008-09 to US$ 10,888 million in FY 2017-18*.

4 Initial Public Offers (IPOs) by small and medium enterprises (SMEs) in India received record funding of Rs 16.79 billion (US$ 259.35 million) in 2017 through 133 issues.

4 At the end of January 2018, the assets under management of the mutual fund industry stood at Rs 22.41 lakh crore (US$ 346.15 billion.)


Industry Facts:

Steadily rising turnover in nancial markets has led to rapid expansion of the brokerage segment Indian stocks markets, S&P Sensex and Nifty 50, rose 27.9 per cent and 28.6 per cent respectively in CY 2017, thereby yielding the best returns since 2014.

Following a strong performance in the nancial year 2017-18, the domestic broking industry is expected to register moderate income growth in the current nancial year due to "elongated period of volatility along with possible correction in valuations over the near term", according to ICRA. The rating agency pegs the income growth to around 5% with the projected aggregate income of 19,000 to 20,000 crore in FY2019. "The retail participation is likely to remain stable, supported by the initial public offering (IPO) pipeline, albeit with some uctuations, given the volatility," said a statement by ICRA. The higher yielding cash volumes are expected to get a boost as more brokerage houses scale up the margin trading offering to their clients, which would also help support the income pro le of full-service brokerage houses, given the price-based competition from the discount brokerage houses, it added. The rating agency highlighted the fact that the domestic capital markets reported a robust performance in FY2018, building on the healthy performance in FY2017, supported by the strong equity in ows by the domestic institutional investor (DII) segment.

Incidentally, equity turnover at the exchanges increased to 1,733 trillion in FY2018 from 1,004 trillion in FY2017, registering a staggering growth of 73%. The Average Daily Turnover (ADTO) also increased to 7.04 trillion from 4.05 trillion in the same period, as per ICRA

"The markets (which) remained on an upward trajectory till January 2018, however, witnessed a decline in February 2018, precipitated by the concerns regarding the banking system following the detection of a large-scale fraud in a leading public-sector bank, expectation of US Fed rate hike and rising crude prices," it said while adding that markets continued to remain volatile in March 2018. "FY2018 also witnessed a waning interest by the foreign portfolio investors (FPI) in the domestic capital markets, driven by various domestic and global cues," said Samriddhi Chowdhary, Assistant Vice President and Co-Head - Financial Sector Ratings, ICRA.

While the market volatility is expected to continue over the near term, the outlook for the domestic capital markets remains stable to positive for FY2019 supported by the increasing nancialisation of savings and strong DII segment, said ICRA

However, markets and investor sentiment would remain susceptible to events like the outcome of impending state elections, aggravation of geopolitical tensions, uptick in crude prices and hike in rates by US Fed amongst others, which could have a bearing on FPI in ow, it added.


Our Broking Industry:

Our Broking & Distribution Business is routed through our subsidiary namely “Choice Equity Broking Private Limited & Choice Merchandise Broking Private Limited” soon to be merged in to one entity with the continuation of the Broking & Distribution Business in the name of M/s. Choice Equity Broking Private Limited.

Choice is a member of NSE, BSE, MSEI, MCX-SX, MCX, NCDEX and a depository participant with CDSL and has recentely registered with NSDL as a Depository Participant as well.

We are in the Process of acquisition of Broking Business of M/s. Indi Trade Capital Limited which will lead to upsurge in the Cliental base in all increasing the PAN India presence of “Choice Broking”.

“Choice Broking” is one of the largest Market Maker in the Country in the SME Segment. Choice comprehensively focuses on research and technology as core area to curve its expansion with the ultimate motto of client satisfaction by providing them user friendly systems & processes. We at Choice have built a healthy infrastructure to meet growing requirements of our clients and to offer time bound delivery with eminent services.

We at “Choice Broking” believe in Creation of Wealth for our Clients and Managing it at the same time. Through our expert, Timely & analytical Research reports published by adopting the best methodologies inclusive of both Technical & Fundamental reports we updates the clients on the best suitable investments to be made in their Portfolio.


Choice group offers its management services under the ambit of one of its subsidiary companies, Choice Wealth Management Private Limited.

With over 25 years of experience in the nancial domain, we have expertise in nancial wellness & sharing qualitative insights for our clients. As per the PwC report on Mutual Funds, the industry has witnessed a compound annual growth rate (CAGR) of 18% over the past 10 years. Despite the global economic slowdown in 2010 2013, there has been a remarkable upliftment in the mutual funds investments in India. Even in the recent times, the average assets under management (AAUM) of the Indian Mutual Fund Industry for the month of June 2018 stood at 22.86 lakh crores rupees as per AMFI. This is about four and a half fold increase in tenure of a decade. These numbers moving on the upside are a result of factors such as favorable demographics, rising income levels, ongoing government initiatives and investor education initiatives & campaigns (like Mutual Funds Sahi Hai) by AMFI.

In an attempt to penetrate this opportunity which holds such huge potential for Mutual Funds Distributors, we started an online mutual funds distribution portal ‘Investica which was built by our in house tech division. This portal is operational on three platforms viz. Web, Android & iOS.

Investica is a web app which is in lines with the Digital India Initiative by our Honorable Prime Minister which equipped with Aadhaar based eKYC which enables the client to onboard on the portal with zero paperwork. This feature does not only ease the process for the clients but also aids us in larger client acquisition. The onboarding process is much quicker vis a vis the traditional account opening process. This gives our clients a seamless experience to have an ‘ON THE GO procedure like this.

We allied with Ogilvy & Mather Advertising as our strategic partner in the brand identity building & for our digital commercial for cross platforms. Our Initial identity ‘Bull is now being replaced with ‘Hammock signifying the peace of mind that the consumers will experience as they experience the app. Our Brand Tagline is ‘The Joy of Earning is the joy of making an investment, of having made the right choice and choosing a right partner.

We launched two of our commercials on multiple social media platforms to create a sense of awareness in regards with our brand revamp. The idea was to let our users (existing & potential) about the new identity and how in the midst of our chaotic life, how we forgot the little joys of life. Our Angdaayi & Fursat commercials have crossed 2 million views each! So far, weve received an overwhelming response on these digital stories and we will launch the other 3 commercials hereafter.

The traction from our ads across various portals has gained positive traction so far. Within a year, we stand at 250k installs of the app with the customer satisfaction rate of over 90 % where queries of clients are resolved with a TAT of 1 day or less. Investica was also featured at 6 in the trending list by Google play store in the nance applications. Our transaction volume has witnessed significant rise on the platform recently & will also gain momentum in the coming months.

Currently, Investica offers ratings to various funds based on the risk appetite of the investors and Goal based thematic baskets crafted by our experts which enable its patrons to choose funds based on their investment objectives. These features foster seamless experience for its users whilst making their mutual fund decision. For our clients who are starting their mutual funds journey for the first time, Investica has educative blogs to guide them before making any investment coupled with the cadence of our research team who are available to guide the investors in case of any query.

Future Roadmap The next wave

With the next update on the portal, it shall have an upheaval feature of Goal Based Investments to cater to the clients. Since the tagline signi es the joy of earning, one can now invest for a small goal like buying a bike to more polished goals like buying your dream home. One can simply select their goal (ex. going for an EDM concert) and the portal will suggest the amount to be invested to achieve that goal and the time in which the goal shall be accomplished. Also, it will suggest if theres any shortfall in reaching the completion of the goal & will also notify the user about the same.

In the beginning of the year, more than 64 NFOs have been led with SEBI to match the mounting demand from the retail investors. Having said that, another new feature that is lined up is noti cation to the clients about the New Fund Order (NFO) of the AMCs empanelled with Investica. The user will also be in a position to see the details of the NFO like Scheme Name, Type, Objective, Category, Launch & Closure Date etc.


Industry Facts:

The Indian Portfolio management industry has registered a strong growth, driven by robust capital markets and record equity ows in the industry. This remarkable AuM growth has also rendered into surge in pro tability over last few Years.

The outlook for the industry is positive, but there are challenges that need to be addressed to ensure sustained pro tability.

Report On Portfolio Managers

(Rupees in Crores)

Particulars No. of Clients Discretionary 113776 March 2018 Non- Discretionary 5427 Advisory 2158 Discretionary March 2017 Non- Discretionary 4674 Advisory 1482
AUM Rs. in Crores 225131.324 70994 188,384.86
Listed Equities 102587.34 15278.95 73912.86 13623.49
Unlisted Equities 479.87 127.54 683.15 42.78
Plain Debt 1018735.82 63135.72 866612.64 52883.64
Structured Debt 386.37 440.42 281.60 544.18
Equity Derivative 825.32 -3.14 188.19 -0.02
Mutual Funds 11643.02 9844.29 8687.90 7563.20
Others 17465.29 973.07 404.12
16669.64 75061.39
Total 1,152,123.03 89,796.85 9,67,035.96
Grand Total 14,67,051.21 12,30,482.21


The broking rms are no longer merely brokers that generate their revenue from broking operations. They have adopted the role of advisory to the clients for building their wealth. The Indian economy is on its way of becoming a superpower with the accelerated pace of reforms undertaken by the current dispensation and these are unlikely to stop, irrespective of any change. With GST, IBC & Ease of doing business, Indian corporates are becoming more & more matured. Corporate governance standards are on rise, businesses are no longer a domestic affair, they have to be abreast with the global framework and upcoming technological developments.

For the survival of ones business it is indeed necessary for any business house to keep an track of their on -going role not merely as a Broker but as an service provider to cater to ones Financial solutions. Keeping all these factors in mind, Choice Broking has set up a very strong research team to advise the clients to invest in the companies which have, dynamic management. Great corporate governance with sustainable growth plans along with the responsibility to abide with the law of the Judiciary, our research team has been advising with the ideas of wealth generation to our clients. Keeping in mind the trust which our clients shoulder on us, we have launched Choice Portfolio Mgt. Services.


Our Portfolio Management Services is rendered through our subsidiary namely “Choice Portfolio Management Services Private Limited”. Our Subsidiary has procured the License to act as a SEBI registered Portfolio Managers on September 28, 2017.

At Choice our Portfolio Management Services are highly customized to cater to your needs, and enable you to achieve your nancial goals. Our Prime focus is to create wealth for the clients & our expertise in the areas of extensive research, highly qualified investment team and a rich experience of over two decades in the nancial service space, enables us to achieve this goal for you.

We manage existing portfolios as well as build new distinct portfolios for you based on your investments objectives and risk appetite, for which we offer a wide range of strategies including some focused thematic strategies, which aims at maximizing the investors wealth


India is going through a remarkable transformation. The Government of India has introduced several reforms like IBC, RERA, FDI Investment, ease of doing business, mega tax reforms, nancial inclusion, infrastructure development and the growth of manufacturing and service sectors are just some of the change enablers. More so, the country currently enjoys prudent scal conditions, stable in ation, growing trade and steady employment creation to support sustainable GDP growth.

Capital Market & Debt Syndication service is routed through our subsidiary “ Choice Capital Advisors Private Limited” herein referred as “CFPL”.

Choice Capital Advisors Private Limited (CCAPL), Category I - Merchant Banker is focused on undertaking new initiatives to give additional thrust to investment banking and corporate advisory services to SMEs and large corporate enterprises across two product group Capital Market & Debt Syndication.

CCAPL believes in offering pragmatic advice to its clients on various capital market related issues and services enabling the companies to derive economic benefits in the long run. Its strength has been a deep understanding of capital markets earned over years of experience. With its in-built knowledge and innovative skills, CCAPL has developed a niche in the securities arena, thus paving a growth path for the companies across industries. CCAPL through its nancial services enable its multiple consumer segments create, grow and protect their wealth.

On the Capital Market front, CCAPL offers entire bouquet of services which include Initial Public Offer (IPO) Main Board & SME Platform, Further Public Offer (FPO), Right Issues, Buy Backs, Takeovers, Institutional Trading Platform, Pre - IPO Placement, QIP transactions,

Mergers and Acquisitions. CCAPLs growth is driven by strong focus on IPO readiness and IPO co-ordination services. Valuation services provided to various sectors of the industry has also added value to the operational and nancial performance of the Company. We have also empanelled with BSE for valuation services of delisting companies. We promote Companies in improving their compliance and corporate governance through our advisory and consultation services led by a team of expert professionals, yielding optimum results for our clients.

On the Debt Syndication front, the team has successfully created a robust and vibrant edge through its initiative on advisory for working capital and project nance segment.

Although major transformational reforms seen in the past, such as the Governments demonetisation measures and the tax reforms through the introduction of GST, CCAPL has emerged as a resilient player on a steady path of quality growth with PAT of 6.8 Crore during FY 2018. Against the backdrop of an overall dif cult market condition, CCAPL have delivered a good performance driven by strong growth and operational ef ciencies.

During FY 2018, CCAPL acted as advisors to the Main Board IPO of H.G. Infra Engineering Limited with issue size of INR 462 Crore and as merchant banker to the SME IPO of Globalspace Technologies Limited with issue size of INR 20.02 Crore. CCAPL also acted as advisors to Gini & Jony for fund raising worth INR 30Crore.

With our well diversi ed operational model across capital market activities and the expanding scope of nancial services in the current economic environment, we rmly believe in our ability to assist our clients in building valuable businesses thereby creating value for all stakeholders.


Core Services Offered by Choice TechLab:

4 Digital Services

= Digital Marketing

= Website Design

= E-Commerce Development

= Professional SEO Services


4 Cloud Services

= Cloud Infrastructure Design

= CI and Deployment

= DevOps Consulting Services

4 Arti cial & Business Intelligence

= Machine Learning

= Chatbot Development

4 Database Services

= Remote DBA Support

= BI and Analytics

= Managed NoSQL Databases

4 IT Security Services

= Threat Management

= Disaster Recovery

4 Mobile Application Development

= IOS Application Development

= Android Application Development


Neuron Investment Tracking Web Application

Neuron is an easy-to-use web application with a detailed web-based dashboard that makes for an effective sales-force monitoring, investments tracking and reporting system. Neuron web application has been designed to assist the Choice Back office to manage details of users on Jiffy (Trading Platform) and Investica (Mutual Fund Investment) portal.

e-KYC Online Aadhaar KYC Veri cation Web Application e-KYC is a paperless Aadhaar-based process for fulfilling KYC requirements to start investing. It helps significantly cuts down on time, paper work and customer acquisition cost as it allows for data transmission on a real-time basis by reducing manual implementation time and increasing turnaround time.


PMAY is a mobile application that allows PMAY Surveyors to survey the house of a bene ciary and authenticate it with images, date and timestamp, to remove loopholes and validate the entire survey process. The backend web based administration facilitates the state coordinator to have a complete overview of this scheme implementation in the state under different ULB and check whether the fund allocated for particular ULB is being utilized properly for the development of urban houses.


PWD Pothole is an android mobile application that has been developed to record and report potholes. It is developed with a web-based analytical dashboard with reports in the backend portal to effectively manage reports.


An IT system developed to manage the Brick and Mortar centres of Choice, across India. It provides a range of facilities that include nance, banking as well as a complete accounting system.


Developed with a simple user interface, the Choice Audit software is developed to audit payments like Contractor GST, Payment of Purchase Bill, Advance Payment, Payment of Salary, Miscellaneous Payment, Payment of Placement, Payment of Toilets (S.B.M.), Repair & Maintenance for Office & Motor Vehicles, and Payment of Pradhan Mantri Awas Yojana.


Sirjee is a user-friendly online platform that uses arti cial intelligence to detangle complicated tax problems in no time. It is designed using an advanced NLP and Machine Learning, which facilitates the chatbot to understand most questions in a natural language.



An online share-trading platform that will allow users to trade and invest in Equity, Derivative, Commodity, Options and Currency. It will be available on Web, Android and iOS and allows for seamless market data streamlining, expert insights, advanced charts, and support across multiple exchanges among others.


Property tax is an online web based application that allows the listing of all the properties under ULB. Information related to property tax concerning every property type in the ULB will be managed through the system. It will have an online payment gateway for payment of taxes through net banking or Credit and Debit cards. Alert messages to the assesse through SMS and emails will be provided.


This project allows for an IT enabled process for carrying out day-to-day activities relating to various types of payments made from the account of UIDAI and receipts to UIDAI.


CHOICE TECHLAB SOLUTIONS Pvt. Ltd. believes that when Creativity, Technology, Marketing and Arti cial Intelligence combine, incredible results are achievable.


With a robust presence across Equity & Commodity Broking, Mutual Fund Distribution, Retail Loans, Insurance Broking, Management Consulting, Investment Banking, Infrastructure Consulting & IT Solutions Choice Group is committed to serving end to end nancial services of Corporates & Retail Clients.

In a never before heard initiative in the nancial services sector, Choice Group has started an “All-in-one” investment, protection, servicing and advisory stores across the country. These stores are miniature Choice Group outlets. Any services requirements or investment needs can be suf ced at these stores from Taxation to Mutual Funds to Loans to Stock Markets everything is covered. The advantage of proximity for any corporates or individuals to walk-in and avail the services of Choice Group. We are calling them Choice Kendra or Centres, directly af liated with the Choice Group. A veritable rst-movers advantage with a broad Franchise option, it is great for individuals who would like to start their business or get it managed. All Services provided by Choice Group are available at any of our Choice Kendras.

Services offered at Choice Kendra:

GST - Get all your Goods & Services Tax related qualms treated well by our Expert

ITR- Keep your money with yourself by competent consultancy for Income Tax

Loans - Fund your dreams with prompt service for Loans right at your doorstep

Stock Markets - Robust Analysis & Dedicated Platforms for our investors to earn higher pro ts

Mutual Funds - A perfect platform with recommendations to help your Invest in Mutual Funds


Risk is an integral part of the business which aims at delivering superior shareholder value by achieving an appropriate balance between risks and returns. Today Financial services company operate in an increasingly complex, competitive and continuously evolving legislative and regulatory environment due to increasing globalisation, integration, of world markets , newer and more complex products & transactions and an increasingly stringent regulatory framework. The ability to manage risks across geographic, products, assets classes, customer segments and functional departments is a paramount importance for the hindrance fee growth of the organisation.

The Company being a Holding Company with no operating business on standalone basis derive its income mainly from dividend, interest and Capital gains and hence is not directly exposed to many risks. The risk for the Company emanates from the risk associated with the business of various operating entities within the group.

The Groups Business is exposed to many internal & external risks. A team of experienced people within the organisation identify & monitor these risks as an on- going process to monitor and control the same to keep the risks to minimum level. On-going monitoring by our of cials helps in identifying risks at an early stage. There is a continuous focus on the maker checker and sponsorship processes.

The report of internal auditors is reviewed and discussed by the Audit Committee of the respective operating companies including the company review in compliance with the set process and risks events.

1) Product risk: Product risk refers to the risks arising out of the products a company offers to its customer in the market.

Risk mitigation: The group offers its customers a well-diversi ed product range in line with customers need and market conditions. The Company offers brokerage, mutual fund distribution and portfolio management to its customers. This diversi cation and product range helps the Company reduce risks arising out of products.

2) Regulatory risk is the risk arising out of a change in laws and regulation governing business. It could also arise on account of inadequate observance of regulatory requirements or differences in interpretation of regulations vis-a-vis the regulators. New laws or regulations or changes in the enforcement of existing laws and regulations may adversely affect business/ revenue/pro ts.

Risk mitigation: The Company has a team of experienced professionals who take care of compliance with applicable laws, rules, regulations, and guidelines affecting our business. The team is strongly supported by our Corporate Functions team to quickly calibrate the action in case of a change in regulation. All the new guidelines, circulars, noti cations are complied with. Formulation of the policies as well as its implementation is taken due care of. Internal audit is also carried out to monitor compliance with best practices, approved policies, and applicable regulations.

3) Operational Risk can result from variety of factors including failure to obtain proper internal authorizations, improperly documented transactions, failure of operational and information security procedures, computer systems , software or equipments fraud, in adequate training and employee errors. Our businesses are dependent on people and processes. Shortcomings or failure in internal processes or systems may have material adverse impact on the nancial position as well as affect its operation.

Risk Mitigation: Well defined policies, operational processes and systems have been devised for our operations. Regular audit are done by internal auditors to monitor the adherence of policies and processes. Maker/ Checker mechanism has been put in place to ensure compliance with laid down systems and procedures in all areas of functioning of the Company.

Also the Companys key management team consists of professionals of high level of commitment and the team is well versed in the key issues relevant to the holding company structure.

4) Liquidity Risk is the risk arising due to unavailability of adequate funds at appropriate prices or tenure. It also refers to the risk that arises from the dif culty of selling assets without high impact cost. Risk Mitigation: We have strong nancial position and all our businesses are adequately capitalised, have appropriate credit lines available to address liquidity risks. We also maintain a part of our capital in liquid assets to manage any sudden liquidity needs.

5) Market Risk

Market risk is the risk arising from the adverse movements in market price for various securities, which may impact value of portfolio of investments in securities, which may impact value of portfolio of investments in securities. Risk Mitigation: Our Portfolios and collaterals / securities are continuously monitored.

6) Business Continuity Risk

In the event of disruption in the conduct of business due to incidents like re, natural calamity, breakdowns of infrastructure etc. We are exposed to risk of loss data, clients or business that can adversely affect our nancial results.

Risk Mitigation: Policies on Preservation of documents and records are laid down by the Company and the internal checks are kept at regular intervals.


The Company maintains adequate internal control systems commensurate with the nature of business, size, and complexity of its operations. The Company has well-established processes, guidelines, and procedures to augment the internal controls. This, coupled with adequate internal information systems ensures proper information flow for the decision making process. Adherence to these processes is ensured through frequent internal audits. The internal control system is designed to ensure maintenance of proper accounting controls, monitoring of operations, protection and conservation of assets and compliances with applicable laws and regulations.

Adequate Internal Controls systems to commensurate with the nature of business and size of operations for ensuring:

Orderly and efficient conduct of business

Adherence to companys policies and procedures

Safeguarding all our assets against loss from unauthorised use or disposal

Prevention & detection of fraud & error

Accuracy and completeness of accounting standards

Timely preparations of reliable nancial information

Compliance with applicable laws and Regulations,.

The Audit Committee of the Board provides necessary oversight and directions to the internal audit function and periodically review the findings and ensures corrective measures are taken keeping in mind the organizations requirements, growth prospects, and ever-evolving business environment. This system enables us to capture a precise re ection of the organizations position at all times and also facilitates timely detection and plugging of anomalies by various business groups.


The Companys strong management team and talented, professional human capital resource are its biggest strengths. The Human Resource function revolves around creating and developing human capital by improving organizational effectiveness, providing a safe and ethical work environment, and maintaining stability and sustainability amidst the rapidly changing business environment.

The Company strongly believes in enhancing the value of its people asset consistently. The current talent acquisition backdrop is being driven towards managing the landscape in a way such that the Company delivers on its promise to its customer as well as on the Companys vision

The Company promotes a workplace where extremely diverse set of talent can connect, contribute and thrive in partnership with business leaders. People development has always been a focus area for the Company. Learning needs have been addressed during the year through new programmes in the areas of strategy, execution and critical thinking.

Human Resource teams broad range of activities includes:

Employee Management

Learning & Development

Compensation & bene ts

Performance Management

Workforce Diversity

Talent Management

Rewards & Recognition


Statements in this Management Discussion and Analysis describing the Companys objectives, projections , estimates and expectations may be “forward looking statements within the meaning of applicable laws and regulations. Actual results might differ substantially or materially from those expressed or implied.

Mumbai On behalf of the Board of Directors
August 09, 2018 Sd/- Sd/-
Kamal Poddar Ajay Kejriwal
(Managing Director) (Director)
DIN No: 01518700 DIN No: 03051841