Beruflich Dokumente
Kultur Dokumente
Section
PART A
1
2
Particulars
3
4
5
6
PART B
7
8
9
10
11
12
13
Page No
Executive Summary
Industry Profile
Company Profile
Background of the company
Product & Services
Vision, mission
Ownership pattern
Achievement and awards
Competitors information
Area of operations
Work flow model
Future growth and prospects
General introduction
Design of the study
Title of the study
Statement of the problem
Objective of the study
Scope of the study
Methodology of data collection
Limitations of the study
Page 1
PART A
Page 2
INDUSTRY
PROFILE
Page 3
1. INDUSTRIAL PROFILE
Page 4
Page 5
Government policies during 1980's also played a vital role in the development of the Indian
Stock Markets. There was a sharp increase in number of Exchanges, listed companies as well as
their capital, which is visible from the following table:
Page 6
1946
14
20
22
1125
Cos.
24
63
113
168
175
224
514
86
107
167
211
298
582
1770 5564
170
148
126
170
260
344
270
753
693
803
Page 7
Listed securities
of public limited
companies
specified
securities
(Forward
List)
Nonspecified
securities
(cash list)
*Market capitalisation of at
least
rs 100 milion
*Has more than 20000 share
holder
Page 8
Types of Transactions
The flowchart below describes the types of transactions that can be carried out on the Indian
stock exchanges
FORWARD TRANSACTIONS
*Transactions in which delivery
and payment can be extended by
further period of 14 days each
*The overall period shouid not
exceed 90 days from the date of
contract
*Transactions permited only in
case of specified shares
Page 9
This age-old trading mechanism in the Indian stock markets used to create much functional
inefficiency. Lack of liquidity and transparency, long settlement periods and benami transactions
are a few examples that adversely affected investors. In order to overcome these inefficiencies,
OTCEI was incorporated in 1990 under the Companies Act 1956. OTCEI is the first screen
based nationwide stock exchange in India created by Unit Trust of India, Industrial Credit and
Investment Corporation of India, Industrial Development Bank of India, SBI Capital Markets,
Industrial Finance Corporation of India, General Insurance Corporation and its subsidiaries and
Financial Services.
Page 10
COMPANY
PROFILE
Page 11
2. COMPANY PROFILE
2.1 The kotak Mahindra Group
Kotak Mahindra is one of Indias leading banking and financial services organizations, offering a
wide range of financial services that encompass ever sphere of life. From commercial banking, to
stock brokering, to mutual funds, to life insurance, to investment banking, the group caters to the
diverse financial needs of individuals and corporate sector.
T he group has net worth of over Rs. 100.6 billion and has distribution network of branches,
franchisees, representative offices and satellite offices across cities and towns in India, New
York, London, San Francisco, Dubai, Mauritius and Singapore servicing around 8 million
customers accounts.
Kotak Group Product and Services:
- Bank
- Life Insurance
- Mutual Fund
- Car finance
- Securities
- Institutional Equities
- Investment Banking
- Kotak Mahindra International
- Kotak Private Equity
- Kotak Realty Fund
Page 12
2.2.2 MISSION
Page 13
2.3.5 IPOs
Investing in IPOs is not complex process anymore. Kotak Securities has made investing in IPOs very
easy simple. Our client can now invest by simply making a phone call to us. We also provide you with
news on IPOs, update on forthcoming IPOs and lots more.
2.3.6 Margin trading
It enables not just stock trading but also gaining through it. we bring upto50% the margin
Page 14
Chairman
Managing Director
Director
Director
Executive Vice President
Company Secretary
Sharekhan
Karvy
India bulls
Reliance Securities
Angel broking
Geojit
Page 15
Page 16
The dealer
Buy
Sell
Simultaneously, the
dealer then makes
the delivery of the
shares to the buyers
broker.
Transaction is settled
RNS INSTITUTE OF TECHNOLOGY
Page 17
Page 18
Mc KINSEYS
7S MODEL
Page 19
3.McKINSEYS 7S MODEL
McKinsey 7s model is devloped by a well known business consultants Robert H. Waterman and Tom
Peters in 1980. The 7s are structure, system, strategy, skill, style, staff and shared value.
The model is most often used as a tool to assess and moniter changes in the internal situation of an
organization. The main objective of the model is to analyze how well an organizaction is positioned to
achive its objective. The 7s are the elements out of which Strategy, Structure, System are hard elements
and shared value, Skills, Style and Staff are soft elements.
Page 20
Structure
A part of Kotak securities operations is handled by its sub broker, INVEST RIGHT FINANCIAL
SERVICES Pvt Ltd. It has started its operation in Gulbarga 2003 later at Bangalore and then at yadgir.
Head office
(Gulbarga)
(
Franchise manager
Branch manager
Bangalore
Dealing
Branch manager
GULBARGA
Back office
Branch manager
Yadgir
Front office
Page 21
Strategy
The company strongly believes in being competitive strategy. Thus it always strives hard to be on par
with the growing firms in the stock broking industry. Kotak Securities has many unique strategies to deal
with their clients in particular. It strongly sticks to SEBI guidelines as to avoid any fraudulent activities to
happen. It is focusing on more customers through advertisement.
System
At Kotak there are lot of systems used which increases the efficiency of working and in turn acts as
added advantage when compared to the competing firms. Some of unique system are:
Skill
As this is a stock broking unit the skill of the broker is the most important as it would benefit both
the investor as well as the unit.
Some of important skills needed to be an efficient broker are: Basic computer knowledge
Communication ,mathematical and analytical skill
Capacity of independent work
Extensive knowledge of financial industry
Understanding economic conditions and skills
Networking in order to recruit clients
Maturity and confidence in dealing with people
Aptitude for financial and research writing
Style
Page 22
Staff
In any organization the human resource hold the strongest position thus understanding the staff is an
important step in developing the framework.
At Kotak securities the following is the staff which takes care of all the functions:
Shared values
Page 23
SWOT
ANALYSIS
Page 24
4. SWOT ANALYSIS
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
SWOT analysis is a structured planning method used to evaluate the Strengths, Weaknesses,
Opportunities and Threats involved in a business or in a project. A SWOT analysis can be
carried out for a product, place or a person. It involves specifying the objective of the business
RNS INSTITUTE OF TECHNOLOGY
Page 25
venture or project and identifying the internal and external factors that are favorable or
unfavorable to achieve the objective. First two Strengths and weaknesses are internal factors and
other two Opportunities and Threats are external factors. Setting the objective should be done
after the SWOT analysis has been performed.
Strength: Characteristics of the business or project that give it advantage over others.
Weaknesses: Characteristics that place the team at a disadvantage relative to other.
Opportunities: Element that the project could exploit to its advantage.
Threats: Element in the environment that could cause trouble for the business or project.
4.1 STRENGTHS
Kotak Security Limited is one of the largest player in distribution of IPOs
Effective and wider distribution network more than 1416 branches, franchisees,
representative offices across India and offices in New York, London, Dubai, Mauritius
and Singapore
The company has a presence in all metros as well as in most of the major cities in the
country
4.2 WEAKNESS
4.3 OPPORTUNITIES
Page 26
People have started turning toward the organization as they know that facilities are far
better than the other
4.4 THREATS
Page 27
ANALYSIS
OF
FINANCIAL
STATEMENT
Page 28
2010-2011
(Rs in Lacs)
2009-2010
(Rs in Lacs)
EQUITY AND
LIABILITIES
Shareholders Funds
Share Capital
Reserves and Surplus
160.00
160.00
160.00
181,817.08
169,234.91
151,041.12
1887.88
1668.74
841.03
18703.11
19289.54
Loan funds
Secured loan
Unsecured loan
CURRENT LIABILITY
AND PROVISION
Current liability
81270.4
90233.28
115505.09
Provision
3095.77
3703.48
4256.33
268231.13
283703.52
291093.11
Total
Page 29
ASSETS
2011-2012
(Rs in Lacs)
2010-2011
(Rs in Lacs)
2009-2010
(Rs in Lacs)
Fixed assets
7039.99
7323.95
7455.03
2160.07
3269.59
3722.98
80630.60
77227.75
57377.26
Stock in trade
25753.85
2777.91
1926.81
Trade receivable
44882.33
37574.70
53504.49
7396.48
11484.96
8579.30
98497.77
141868.07
157019.71
1870.04
2176.59
1507.53
268231.13
283703.52
291093.11
Investment
Current assets
INTERPRETATION
CURRENT RATIO:
Current ratio defines the ability of the firm to meet its current liability. The current asset should
be sufficient enough to meet the current liabilities. In the year 2009-2010 the current ratio was
1.86:1; in 2010-2011 it was 2.09:1; and in the year 2011-2012 it was 2.11:1. It is always
beneficial to have a considerably higher current ratio. It is cleared from the balance sheet that
firm has enough current assets to meet its short term liabilities. The ideal current ratio is 2:1.
Page 30
2011-12
2010-11
2009-10
178400.47/84366.17=2.11:1
195882.23/93936.76=2.09
222537.84/119761.42=1.86
Financial highlight
(Rs in Lakhs expect per share data)
31 March 31st March 31st March
2012
2011
2010
st
Gross income
61159.89
73755.35
83786.39
20609.22
28942.49
42345.93
Depreciation
1460.37
1785.23
1958.31
19148.86
27157.26
40387.62
5461.23
8963.47
14377.58
12582.10
18193.79
26010.04
7836.25
8828.04
149602.62
127386.34
99812.93
162184.72
153416.38
134651.01
3813.76
7264.67
162184.72
149602.62
127386.34
786.38
1137.11
1625.63
Page 31
PART B
Page 32
This study deals with constructing portfolio for various risk class of investors on basis of security
valuation.
6.2 Definition of portfolio Management:
It is a process of encompassing many activities of investment in asset and securities .The
Portfolio management includes the planning, supervision, timing, rationalism and conservatism
in the selection of securities to meet investors objectives .it is the process of selecting a list of
securities that will provide the investors with a maximum yield constant with the risk he wishes
to assume.
The portfolio management is growing rapidly serving broad array of investors both individual
and institutional with investment portfolio ranging in asset size from few thousand s to cores of
rupees.
Despite growing importance ,the subject of portfolio and investment is new in the country and is
largely misunderstood .In most cases ,portfolio management has been practiced as investment
management counseling in which the investor has been advised to seek assets that would grow in
values and /or provide income.
Portfolio management is concerned with efficient management of investment in the
Page 33
Securities. An investment is defined as the current commitment of funds for a period of time in
order to derive a future that will compensate the investing unit
For the time the funds are committed
For the expected rate of inflation, and
For the uncertainty involved in the future flow of fund.
The portfolio management deals with the process of selection of securities from the number of
opportunities available with different expected return and carrying different levels of risk and the
selection of securities is made with a view to provide the investors the maximum yield for a
given level of risk for a given level of returns.
Investors invest his funds in a portfolio expecting to get good return consistent with tghe risk that
he has to bear. The return realized from the portfolio has to be measured and the performance of
the portfolio has to be evaluated.
Sources of data collection:In order to fulfill the objective of the study, the data is collected from both the primary and
secondary sources.
(a)Primary data:
The fresh data collected by the researcher concerned with the research problem refers to the
primary data .Personal discussion was made with unit Manager and interaction with other
RNS INSTITUTE OF TECHNOLOGY
Page 34
personnel in the organization for this purpose .there is no formal design of questionnaire used in
the study.
(b)Secondary Data:
The information available at various sources made for other purpose but facilitating the study
undertaken is called as secondary data.
Various text book were used to understand the concepts of risk and return
Websites of the company
Newspapers such as economic times, Business standard.
Limitation of the study: The study only covers only the banking sector, infrastructure sector, auto sector and
cement industry sector.
The project is based on the information provided by the employee of the organization
and other primary organizational documents.
The project is limited by the period of the study.
The data is collected is for a period of three year only.
The project is based on secondary data.
6.4 Theoretical background:Many investors mistakenly base the success of their portfolios on returns alone .Few consider the
risk that they took to achieve those returns .Since the 1960s, investors have known how to
quantify and measure risk with variability of returns , but no single measure actually looked at
both risk and return together .Today, we have three sets of performance measurement tools to
assist us with our portfolio evaluation .The Treynor ,Sharpe and Jensen ratios combine risk and
return performance in to a single value , but each is slightly different.
The concepts of returns:Returns can be defined as the amount or rate or produce, proceeds, gain profit which accrues to
an economic agent from an undertaking or enterprise or real financial investment. It is a reward
for and a motivating force behind investment, the objective of which is usually to maximize
return.
The basic one, which is periodic cash or income receipts, either interest or dividend the order
which is the appreciation or depreciation in the price of value of the asset is called the capital
gain or capital loss.
Return= (Todays price yesterdays price)/ yesterdays price
RNS INSTITUTE OF TECHNOLOGY
Page 35
Beta
The sensitive of a security to market movements is called beta (). A measure of risk commonly
advocated is beta .It represent the most widely accepted measure of the extent to which the return
on security fluctuates with the return on market portfolio .It describes the relationship between
with the securities return and the index returns. To calculate the beta of a portfolio, regress the
rate of return of the portfolio on the rate of market index. The slope of the regression line is the
beta.
Page 36
RESEARCH
METHODOLOGY
Page 37
7. RESEARCH METHODOLOGY
SHARPES INDEX (SI)
It is the measure of risk premium related to the total risk. It gives a single value to be used for the
performance ranking of various funds or portfolios. The risk premium is the difference between
portfolios average rate of return and the risk free rate of return. The standard deviation of
portfolio indicates the risk .It assigns the highest values to assets that have best risk adjusted
rate of return.
The sharpe ratio is versatile measure that has endured that test of time .Its focus is on the
standard deviation as the measure of risk does bias it against portfolios that are diversified
widely across the market .A sector specific mutual fund (such as banking fund and pharma) will
tend to poorly on a sharpe ratio basis because its standard deviation will be higher because of the
presence of sector specific .Since investors in these funds can diversify the risk by only way of
holding multiple funds , it does seem unfair to penalize these funds for them.
Sharpes Index SI given by the formula
Si =
Where,
Ri: Average rate of portfolio
Rf: Average rate of return on a risk free investment
p: Standard deviation of return of portfolio.
TREYNORS INDEX (TI)
IT measures the funds performance in relation to the market performance. To understand it
better one must know about the characteristics line .the relationship between the given market
return and the fund return is given by the characteristics line. The ideal funds return rises at a
faster rate than the general market performance when the market is moving upwards and its rate
of return declines slowly than the market return, in the decline
Treynor (1965) was the first researcher developing a composite measure of portfolio
Performance .He measures portfolio risk with beta, and calculates portfolios market risk
premium relative to its beta.
Page 38
(TI) =
Where
Ri : Average rate of return of portfolio.
Rf : Average rate of return on a risk free investment.
p : Beta of portfolio.
JENSENS INDEX
The absolute risk adjusted return measure was developed by Michel Jensen and commonly
Known as jensens measure .It is mentioned as measure of absolute performance because a
definite standard is set and against that the performance is measured. The standard is based on
the managers predictive ability. Successful prediction of the security price would enable the
manager to earn higher returns than the ordinary investor expects to earn in a given level of risk.
The basic model of Jensen is
Jensen index =Ri-(Rf+(Rm-Rf))
Where
Ri : Average rate of return of portfolio
Rf : Average rate of return on a risk free investment
p : Beta of portfolio
Rm : Average rate of return of market M
Page 39
(1)Planning of portfolio
Planning is the most important element in a proper portfolio management. The success of the
portfolio management will depend upon the careful planning. While making the plan, due
consideration will be given to the investors financial capability and current capital market
situation. After taking into consideration a set of investment and speculative policies are
prepared in the written form. It is called as statement of investment policy .The document must
contain
1. The portfolio objective
2. Applicable strategies
3. Investment and speculative constraints.
Page 40
The planning document must clearly define the asset allocation. It means an optimal combination
of various assets in an efficient market. The portfolio manager must keep in mind about the
difference between basic pure investment portfolio and actual portfolio returns. The statement of
investment policy may contain these elements. The portfolio planning comprises the following
situation for its better performance:
(A)Investor Condition: - The first question which must be answered is this What is the
purpose of the security portfolio? While this question might seem obvious , it is too often
overlooked , giving way instead to the excitement of selecting the securities which are to be held
Understanding the purpose for trading in financial securities will help to: (1) define the expected
portfolio liquidation, (2) aid in determining an acceptable level or risk , and (3) indicate whether
future consumption (liability needs) are to be paid in normal or real money, etc For example : a
60 year old woman with small to moderate saving probably (1)has a short investment horizon,
(2) can accept little investment risk, and (3) needs protection against short term inflation. In
contrast a young couple investing couple investing for achievement in 30 years has (1) a very
long investment horizon , (2) an ability to accept moderate to large investment risk because they
can diversify over time , and (3) a need for protection against long term inflation. This suggests
that the 60 year old woman solely in low default risk money market securities. The young couple
could invest in many other classes for diversification and accept greater investment risks. In
short, knowing the eventual purpose of the portfolio investment makes it possible to begin
sketching out appropriate investment / speculative policies.
(B) Market condition: - The portfolio owner must know the latest development in the market.
He may be in position to access the potential of future return on various capital market
instruments. The investors expectation may be two types, long term expectation and short term
expectation The most important investment decision in portfolio construction is asset allocation.
Asset allocation means the investment strategies are static. The portfolio requires changes
according to investors needs and knowledge. A continues changes in portfolio leads to higher
operating cost. Generally the potential volatility of equity and debt market is 2 to 3 years.
Another types of rebalancing strategy focuses on the level of prices of a given financial asset.
(c)Speculative Policies:- the portfolio owner may accept the speculative strategies in order to
reach his goals of earning to maximum extent. If no speculative strategies are used the
management of the portfolio is relatively easy. Speculative strategies may be categorized as asset
allocation timing decision. Small investor can do by purchasing mutual funds which are indexed
to a stock. Organization with large capital can employ investment management firms to make
their speculative trading decisions.
(d)Strategic Asset Allocation: - The most important investment decision which the owner of
portfolio must make is the portfolios asset allocation refers to the percentage invested in various
security classes. Security classes are simply the two types of securities: (1) Money Market
Page 41
investment, (2) Fixed Income obligation; (3) Equity Shares, (4) Real Estate Investment, (5)
International securities.
Strategic asset allocation represents the asset allocation which would be optimal for the investor
if all security prices trade at their long term equilibrium values that is, if the markets are
efficiency priced.
(2) Implementation of portfolio plan
In the implementation stage, three decisions to be made, if the percentage holding of various
assets classes are currently different from the desired holdings as in the SIP (Strategic Asset
Allocation). If the statement of investment policy requires a pure investment strategy, this is the
only thing, which is done in the implementation stage. However, many portfolio owners engage
in speculative transaction in the belief that such transaction will generate access risk-adjusted
returns. Such speculative transactions are usually classified as timing or selection decisions.
Timing decisions over or under weight various assets classes, industries, or economic sectors
from the strategic asset allocation. Such timing decision deal with securities within a given asset
class, industry group, or economic sector and attempt to determine which securities should be
over or under-weighted.
(A)Tactical Asset Allocation: - if one believes that the price levels of certain asset classes,
industry, or economic sectors are temporarily too high or too low, actual portfolio holdings
should depart from the asset mix called for in the strategic asset allocation. Such timing decision
is preferred to as tactical asset allocation.
As noted TAA decision could be made across aggregate asset classes, industry classification
(steel, food), or various broad economic sector (basic manufacturing, interest-sensitive,
consumer durables)
Traditionally, most tactical asset allocation has involved timing across aggregate asset classes.
For example, if equity prices are believes to be too high, one would reduce the portfolios equity
allocation and increase allocation to, say, risk-free securities. If one is indeed successful. At
tactical asset allocation, the abnormal returns, which would be earned, are certainly entering.
(B) Security Selection: -The second type of active speculation involves the selection of securities
within a given asset class, industry, or economic sector. The strategic asset allocation policy
would call for broad diversification through an indexed holding of virtually all securities in the
asset in the class. For example- if the total market value of HPS Corporation share currently
represent.1% of all issued capital equity capital, than 1% of the investors portfolio allocated to
equity would be held in HPS corporation shares. The only reason to overweight or underweight
particular securities in the asset allocation would be to offset risks the investors faces in other
RNS INSTITUTE OF TECHNOLOGY
Page 42
assets and liabilities outside the marketable security portfolio. Security, however, actively
overweight and underweight holding of particular securities in the belief that they are
temporarily mispriced.
Page 43
ANALYSIS AND
INTERPRETATION
Page 44
Dec-09
Jan-10
Feb-10
Mar-10
Apr-10
May-10
Jun-10
Jul-10
Aug-10
Sep-10
Oct-10
Nov-10
Dec-10
Jan-11
Feb-11
Mar-11
Apr-11
May-11
Jun-11
Jul-11
Aug-11
Sep-11
Oct-11
Nov-11
Dec-11
Jan-12
Feb-12
Mar-12
Apr-12
May-12
Jun-12
Jul-12
Aug-12
Sep-12
Oct-12
Nov-12
Dec-12
TOTAL
17,464.81
16,357.96
16,429.55
17,527.77
17,558.71
16,944.63
17,700.90
17,868.29
17,971.12
20,069.12
20,032.34
19,521.25
20,509.09
18,327.76
17,823.40
19,445.22
19,135.96
18,503.28
18,845.87
18,197.20
16,676.75
16,453.76
17,705.01
16,123.46
15,454.92
17,193.55
17,752.68
17,404.20
17,318.81
16,218.53
17,429.98
17,236.18
17,429.56
18,762.74
18,505.38
19,339.90
19,426.71
STOCK
PRICE
(Y)
361.15
332.8
297.15
308.9
311.25
276.35
288.2
301.3
301.75
377.3
350.1
307.25
291.95
223.9
212.05
267.2
222.9
238.55
210.55
230.9
196.35
218.65
242.05
207.1
183.05
215.9
226.35
201.5
186.9
184.8
198.4
208.3
195.95
233.8
202.7
210.1
230.5
INDEX
STOCK
Rx2
Rxy
(RiRmean)^2
-6.3376
0.437646
6.684419
0.17652
-3.4973
4.463184
0.945658
0.575489
11.67429
-0.18327
-2.55132
5.060332
-10.6359
-2.75189
9.099386
-1.59042
-3.30624
1.85151
-3.44197
-8.35541
-1.33713
7.604645
-8.93278
-4.14638
11.24969
3.251975
-1.96297
-0.49063
-6.35309
7.469543
-1.11188
1.121942
7.64896
-1.37165
4.509607
0.448865
15.9158
-7.84992
-10.7121
3.954232
0.760764
-11.2129
4.288041
4.545455
0.149353
25.03728
-7.20912
-12.2394
-4.97966
-23.3088
-5.29254
26.00802
-16.5793
7.021086
-11.7376
9.665163
-14.9632
11.35727
10.70204
-14.4392
-11.6127
17.94592
4.840204
-10.9786
-7.24566
-1.1236
7.359307
4.989919
-5.92895
19.31615
-13.302
3.650715
9.709662
-19.4146
40.1652
0.1915
44.6815
0.0312
12.2311
19.9200
0.8943
0.3312
136.289
0.0336
6.5093
25.6070
113.122
7.5729
82.7988
2.5294
10.9312
3.4281
11.8472
69.8128
1.7879
57.8306
79.7946
17.1925
126.5554
10.5753
3.8533
0.2407
40.3618
55.7941
1.2363
1.2588
58.5066
1.8814
20.3366
0.2015
1066.531
49.74969
-4.68813
26.43174
0.13429
39.21466
19.13831
4.298446
0.085951
292.2924
1.321191
31.22658
-25.1987
247.9103
14.5645
236.657
26.36806
-23.2134
-21.7322
-33.2672
125.0235
-15.1862
81.38518
128.9819
48.15087
201.8859
15.74022
21.55062
3.554928
7.138306
54.97066
-5.54818
-6.65194
147.7485
18.24571
16.46329
4.358325
1729.105
53.44961
103.4928
20.18913
1.689386
113.9311
23.30032
25.85168
0.47383
654.1462
44.49047
136.8984
19.71945
518.4631
22.59616
704.7441
257.2925
57.1549
125.4082
104.1249
208.0572
141.5212
126.3609
193.2146
122.6279
341.6921
28.93583
108.9847
44.97926
0.341752
62.38326
30.56895
29.05155
394.2271
162.8933
17.55371
105.0351
5105.845
Page 45
N=
36.00
0.442
-0.539
= *(N*Rxy)-(Rx*Ry)]
/*(N*Rx2)(Rx)2]=
1.64
=x-*y =
1.32
mean= Ry/N =
-0.539
SD = *(Ry-Rmean)]/ (N-1)=
12.07
CV =(SD*100)/ mean =
-2238.
Page 46
Dec-09
Jan-10
Feb-10
Mar-10
Apr-10
May-10
Jun-10
Jul-10
Aug-10
Sep-10
Oct-10
Nov-10
Dec-10
Jan-11
Feb-11
Mar-11
Apr-11
May-11
Jun-11
Jul-11
Aug-11
Sep-11
Oct-11
Nov-11
Dec-11
Jan-12
Feb-12
Mar-12
Apr-12
May-12
Jun-12
Jul-12
Aug-12
Sep-12
Oct-12
Nov-12
Dec-12
TOTAL
17,464.81
16,357.96
16,429.55
17,527.77
17,558.71
16,944.63
17,700.90
17,868.29
17,971.12
20,069.12
20,032.34
19,521.25
20,509.09
18,327.76
17,823.40
19,445.22
19,135.96
18,503.28
18,845.87
18,197.20
16,676.75
16,453.76
17,705.01
16,123.46
15,454.92
17,193.55
17,752.68
17,404.20
17,318.81
16,218.53
17,429.98
17,236.18
17,429.56
18,762.74
18,505.38
19,339.90
19,426.71
STOCK
PRICE
(Y)
146.9
137.7
132.25
149.65
147.4
124.9
128.45
118.25
108.95
120.7
120.25
110.25
105.9
83.35
77.5
92.5
92.7
86.5
80.85
66.7
61.2
72.8
77.15
62.1
52.4
69.85
76
81.6
74.65
62.05
73.5
73.35
64.85
82.2
87.25
96.15
97
INDEX
STOCK
Rx2
Rxy
(RiRmean)^2
-6.3376
0.437646
6.684419
0.17652
-3.4973
4.463184
0.945658
0.575489
11.67429
-0.18327
-2.55132
5.060332
-10.6359
-2.75189
9.099386
-1.59042
-3.30624
1.85151
-3.44197
-8.35541
-1.33713
7.604645
-8.93278
-4.14638
11.24969
3.251975
-1.96297
-0.49063
-6.35309
7.469543
-1.11188
1.121942
7.64896
-1.37165
4.509607
0.448865
15.9158
-6.26276
-3.95788
13.1569
-1.50351
-15.2646
2.842274
-7.94083
-7.86469
10.78476
-0.37283
-8.31601
-3.94558
-21.2937
-7.0186
19.35484
0.216216
-6.68824
-6.53179
-17.5015
-8.24588
18.95425
5.975275
-19.5075
-15.62
33.30153
8.804581
7.368421
-8.51716
-16.8788
18.45286
-0.20408
-11.5883
26.75405
6.143552
10.20057
0.884035
-11.83
40.1652
0.1915
44.6815
0.0312
12.2311
19.9200
0.8943
0.3312
136.2890
0.0336
6.5093
25.6070
113.1228
7.5729
82.7988
2.5294
10.9312
3.4281
11.8472
69.8128
1.7879
57.8306
79.7946
17.1925
126.5554
10.5753
3.8533
0.2407
40.3618
55.7941
1.2363
1.2588
58.5066
1.8814
20.3366
0.2015
1066.531
39.6909
-1.73215
87.94623
-0.2654
53.38477
12.68559
-7.50931
-4.52604
125.9044
0.068326
21.21684
-19.9659
226.4778
19.31441
176.1172
-0.34387
22.11291
-12.0937
60.23987
68.89765
-25.3443
45.43984
174.2558
64.76633
374.6317
28.63228
-14.464
4.178762
107.2324
137.8344
0.226914
-13.0014
204.6406
-8.42683
46.00058
0.396812
1994.62
29.363
9.696245
196.0252
0.434951
207.9533
13.58861
50.36504
49.29014
135.2281
0.222006
55.83091
9.619788
418.1891
38.12564
407.9931
1.124058
34.15516
32.35098
277.4738
54.78778
391.9706
46.50251
348.3245
218.3292
1165.917
93.09512
67.44386
58.87734
257.1138
372.3688
0.409496
115.4395
761.6522
48.82589
121.9826
2.986106
6093.056
Page 47
N=
36.00
0.442
-0.329
= *(N*Rxy)-(Rx*Ry)] /*(N*Rx2)(Rx)2]=
=x-*y =
1.063
mean= Ry/N =
-0.329
SD = *(Ry-Rmean)]/ (N-1)=
CV =(SD*100)/ mean =
1.89
13.19
-4010.39
Page 48
L&T INFRASTRUCTURE
SL
MONTH SENSEX
.NO
INDEX(X)
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
Dec-09
Jan-10
Feb-10
Mar-10
Apr-10
May-10
Jun-10
Jul-10
Aug-10
Sep-10
Oct-10
Nov-10
Dec-10
Jan-11
Feb-11
Mar-11
Apr-11
May-11
Jun-11
Jul-11
Aug-11
Sep-11
Oct-11
Nov-11
Dec-11
Jan-12
Feb-12
Mar-12
Apr-12
May-12
Jun-12
Jul-12
Aug-12
Sep-12
Oct-12
Nov-12
Dec-12
TOTAL
17,464.81
16,357.96
16,429.55
17,527.77
17,558.71
16,944.63
17,700.90
17,868.29
17,971.12
20,069.12
20,032.34
19,521.25
20,509.09
18,327.76
17,823.40
19,445.22
19,135.96
18,503.28
18,845.87
18,197.20
16,676.75
16,453.76
17,705.01
16,123.46
15,454.92
17,193.55
17,752.68
17,404.20
17,318.81
16,218.53
17,429.98
17,236.18
17,429.56
18,762.74
18,505.38
19,339.90
19,426.71
STOCK
PRICE
(Y)
1,679.40
1,425.05
1,566.85
1,626.35
1,608.35
1,628.60
1,804.55
1,797.10
1,812.45
2,044.70
2,021.85
1,949.85
1,979.05
1,641.15
1,528.05
1,653.25
1,597.90
1,644.00
1,822.65
1,725.95
1,609.80
1,358.20
1,413.25
1,268.80
995.1
1,310.60
1,308.10
1,306.85
1,226.30
1,172.30
1,397.35
1,369.65
1,341.40
1,596.75
1,624.75
1,667.10
1,605.85
INDEX
STOCK
Rx2
Rxy
(RiRmean)^2
-6.3376
0.437646
6.684419
0.17652
-3.4973
4.463184
0.945658
0.575489
11.67429
-0.18327
-2.55132
5.060332
-10.6359
-2.75189
9.099386
-1.59042
-3.30624
1.85151
-3.44197
-8.35541
-1.33713
7.604645
-8.93278
-4.14638
11.24969
3.251975
-1.96297
-0.49063
-6.35309
7.469543
-1.11188
1.121942
7.64896
-1.37165
4.509607
0.448865
15.9158
-15.1453
9.950528
3.797428
-1.10677
1.259054
10.80376
-0.41285
0.854154
12.81415
-1.11752
-3.5611
1.497551
-17.0738
-6.89151
8.193449
-3.34795
2.885037
10.86679
-5.30546
-6.72963
-15.6293
4.053159
-10.2211
-21.5716
31.70536
-0.19075
-0.09556
-6.16368
-4.40349
19.1973
-1.98232
-2.06257
19.03608
1.753562
2.606555
-3.67404
14.58762
40.1652
0.1915
44.6815
0.0312
12.2311
19.9200
0.8943
0.3312
136.2890
0.0336
6.5093
25.6070
113.1228
7.5729
82.7988
2.5294
10.9312
3.4281
11.8472
69.8128
1.7879
57.8306
79.7946
17.1925
126.5554
10.5753
3.8533
0.2407
40.3618
55.7941
1.2363
1.2588
58.5066
1.8814
20.3366
0.2015
1066.53
4.354811
25.3836
-0.19537
-4.40329
48.21916
-0.39041
0.491556
149.596
0.204805
9.085509
7.578105
181.5961
18.96468
74.55536
5.324637
-9.53861
20.11996
18.26126
56.22877
20.89838
30.82283
91.30305
89.44391
356.6753
-0.62032
0.187578
3.024076
27.97578
143.3951
2.204101
-2.31409
145.6062
-2.40528
11.75454
-1.64915
232.1736
1753.912
91.11329
11.50721
2.286062
0.729067
108.13
0.669198
0.20156
153.982
2.318686
15.7315
1.193231
305.5171
53.24196
60.65683
14.08614
6.14959
109.4448
32.61166
50.90576
257.1043
13.3076
112.9187
482.9781
979.6998
0.355159
0.250759
43.15013
23.1235
353.1432
5.700269
6.089892
347.1098
1.81808
4.845963
16.64024
201.1409
3869.852
Page 49
N=
36.00
0.442
0.4052
= *(N*Rxy)-(Rx*Ry)] /*(N*Rx2)(Rx)2]=
=x-*y =
-0.226
mean= Ry/N =
0.4052
SD = *(Ry-Rmean)]/ (N-1)=
CV =(SD*100)/ mean =
1.65
10.51
2593.36
Page 50
RELAIANCE INFRASTRUCTRE
SL
MONTH SENSEX
.NO
INDEX(X)
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
Dec-09
Jan-10
Feb-10
Mar-10
Apr-10
May-10
Jun-10
Jul-10
Aug-10
Sep-10
Oct-10
Nov-10
Dec-10
Jan-11
Feb-11
Mar-11
Apr-11
May-11
Jun-11
Jul-11
Aug-11
Sep-11
Oct-11
Nov-11
Dec-11
Jan-12
Feb-12
Mar-12
Apr-12
May-12
Jun-12
Jul-12
Aug-12
Sep-12
Oct-12
Nov-12
Dec-12
TOTAL
17,464.81
16,357.96
16,429.55
17,527.77
17,558.71
16,944.63
17,700.90
17,868.29
17,971.12
20,069.12
20,032.34
19,521.25
20,509.09
18,327.76
17,823.40
19,445.22
19,135.96
18,503.28
18,845.87
18,197.20
16,676.75
16,453.76
17,705.01
16,123.46
15,454.92
17,193.55
17,752.68
17,404.20
17,318.81
16,218.53
17,429.98
17,236.18
17,429.56
18,762.74
18,505.38
19,339.90
19,426.71
STOCK
PRICE
(Y)
952.75
885
817.1
810.3
829.8
773.9
982.65
862.2
843.8
859
861
712.15
717.95
568.45
637.75
630.5
631.4
567.35
535.2
515.2
408.7
397
417.7
350.65
288.3
436.95
493.4
433.6
418.8
387.05
421.8
387.75
386.65
436.95
399.5
432.55
444.1
INDEX
STOCK
Rx2
Rxy
(RiRmean)^2
-6.3376
0.437646
6.684419
0.17652
-3.4973
4.463184
0.945658
0.575489
11.67429
-0.18327
-2.55132
5.060332
-10.6359
-2.75189
9.099386
-1.59042
-3.30624
1.85151
-3.44197
-8.35541
-1.33713
7.604645
-8.93278
-4.14638
11.24969
3.251975
-1.96297
-0.49063
-6.35309
7.469543
-1.11188
1.121942
7.64896
-1.37165
4.509607
0.448865
15.9158
-7.11099
-7.67232
-0.83221
2.406516
-6.73656
26.97377
-12.2577
-2.13408
1.801375
0.232829
-17.288
0.814435
-20.8232
12.19105
-1.13681
0.142744
-10.1441
-5.6667
-3.73692
-20.6716
-2.86274
5.214106
-16.0522
-17.7813
51.56087
12.9191
-12.12
-3.41328
-7.58118
8.978168
-8.07255
-0.28369
13.00918
-8.57077
8.272841
2.670212
-45.7616
40.1652
0.1915
44.6815
0.0312
12.2311
19.9200
0.8943
0.3312
136.2890
0.0336
6.5093
25.6070
113.1228
7.5729
82.7988
2.5294
10.9312
3.4281
11.8472
69.8128
1.7879
57.8306
79.7946
17.1925
126.5554
10.5753
3.8533
0.2407
40.3618
55.7941
1.2363
1.2588
58.5066
1.8814
20.3366
0.2015
1066.53
45.06665
-3.35776
-5.56285
0.424798
23.55975
120.3889
-11.5916
-1.22814
21.02976
-0.04267
44.10739
4.121312
221.4736
-33.5484
-10.3443
-0.22702
33.53887
-10.4919
12.86239
172.7195
3.827852
39.65142
143.3907
73.72788
580.0437
42.01259
23.79118
1.674655
48.16396
67.06281
8.975681
-0.31828
99.5067
11.75614
37.30727
1.198564
1804.671
34.10554
40.97685
0.192535
13.52412
29.87238
797.767
120.7069
0.7449
9.439487
2.261501
256.5455
4.34904
382.2876
181.2267
0.018007
1.998672
78.73233
19.32214
6.080765
376.3827
2.533622
42.0566
218.4836
272.5888
2791.207
201.3589
117.7004
4.589381
39.81843
105.0454
46.26103
0.974785
203.9236
53.28671
91.0849
15.53315
6562.981
Page 51
N=
36.00
0.442
-1.271
= *(N*Rxy)-(Rx*Ry)] /*(N*Rx2)(Rx)2]=
=x-*y =
2.628
mean= Ry/N =
-1.271
SD = *(Ry-Rmean)]/ (N-1)=
CV =(SD*100)/ mean =
1.72
13.69
1007.38
Page 52
STOCK
NAME
DLF
STOCK
RETURN
MARKET
RETURN
Rf
-0.539
0.422
7.39
JAIPRAKASH
ASSOCIATED
L&T
-0.329
0.422
7.39
0.4052
0.422
7.39
RELIANCE
-1.279
0.422
7.39
8
7
6
5
STOCK RETURN
MARKET RETURN
Rf
2
1
0
-1
DLF
JAIPRAKASH
ASSOCIATED
L&T
RELIANCE
ANALYSIS:It can be seen that in the infrastructure sectors no one have the better returns then the
market rate of returns all the companies have the less returns then the market rate of
returns.
INTERPRETATION:In the infrastructure sectors no one is preferred form of investment in terms of average rate
of returns.
Infrastructure Company should not be preferred right now as an investment in terms of rate
of returns.
RNS INSTITUTE OF TECHNOLOGY
Page 53
Table 2:- Cement Industry sector 3 year average return of stock , respective benchmark
index and Risk free of 3 years.
ACC CEMENT
SL
.NO
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
STOCK
SENSEX
PRICE
MONTH INDEX(X) (Y)
Dec-09
17,464.81
871.5
Jan-10
16,357.96
870.75
Feb-10
16,429.55
922.95
Mar-10
17,527.77
950.45
Apr-10
17,558.71
906.15
May-10
16,944.63
817
Jun-10
17,700.90
874.5
Jul-10
17,868.29
831.45
Aug-10
17,971.12
871.8
Sep-10
20,069.12
990.75
Oct-10
20,032.34
984.2
Nov-10
19,521.25
987.45
Dec-10
20,509.09
1,075.60
Jan-11
18,327.76
988.15
Feb-11
17,823.40
971.05
Mar-11
19,445.22
1,075.20
Apr-11
19,135.96
1,108.25
May-11
18,503.28
1,026.60
Jun-11
18,845.87
949.25
Jul-11
18,197.20
1,012.05
Aug-11
16,676.75
1,002.55
Sep-11
16,453.76
1,098.15
Oct-11
17,705.01
1,195.25
Nov-11
16,123.46
1,145.05
Dec-11
15,454.92
1,136.35
Jan-12
17,193.55
1,189.90
Feb-12
17,752.68
1,304.90
Mar-12
17,404.20
1,356.35
Apr-12
17,318.81
1,234.65
May-12
16,218.53
1,140.20
Jun-12
17,429.98
1,267.55
Jul-12
17,236.18
1,319.60
Aug-12
17,429.56
1,312.45
Sep-12
18,762.74
1,469.20
Oct-12
18,505.38
1,379.30
Nov-12
19,339.90
1,383.95
Dec-12
19,426.71
1,429.40
TOTAL
RNS INSTITUTE OF TECHNOLOGY
INDEX
-6.3376
0.437646
6.684419
0.17652
-3.4973
4.463184
0.945658
0.575489
11.67429
-0.18327
-2.55132
5.060332
-10.6359
-2.75189
9.099386
-1.59042
-3.30624
1.85151
-3.44197
-8.35541
-1.33713
7.604645
-8.93278
-4.14638
11.24969
3.251975
-1.96297
-0.49063
-6.35309
7.469543
-1.11188
1.121942
7.64896
-1.37165
4.509607
0.448865
15.9158
STOCK Rx2
-0.09
5.99
2.98
-4.66
-9.84
7.04
-4.92
4.85
13.64
-0.66
0.33
8.93
-8.13
-1.73
10.73
3.07
-7.37
-7.53
6.62
-0.94
9.54
8.84
-4.20
-0.76
4.71
9.66
3.94
-8.97
-7.65
11.17
4.11
-0.54
11.94
-6.12
0.34
3.28
57.61
40.1652
0.1915
44.6815
0.0312
12.2311
19.9200
0.8943
0.3312
136.2890
0.0336
6.5093
25.6070
113.1228
7.5729
82.7988
2.5294
10.9312
3.4281
11.8472
69.8128
1.7879
57.8306
79.7946
17.1925
126.5554
10.5753
3.8533
0.2407
40.3618
55.7941
1.2363
1.2588
58.5066
1.8814
20.3366
0.2015
1066.53
Rxy
0.545405
2.623616
19.91674
-0.82275
34.40754
31.41164
-4.6553
2.792828
159.2861
0.12116
-0.84249
45.17375
86.47369
4.762165
97.5955
-4.8887
24.3586
-13.9503
-22.7712
7.843126
-12.7505
67.24136
37.51731
3.150387
53.01366
31.42929
-7.73966
4.40222
48.60078
83.42802
-4.56575
-0.6079
91.35391
8.393122
1.520313
1.474107
875.2418
(RiRmean)^2
2.842793
19.31455
1.903231
39.1995
130.8353
29.57123
42.54709
10.5818
145.0624
5.112642
1.612348
53.68543
94.67963
11.09227
83.27481
2.172224
80.41554
83.44055
25.15774
6.444941
62.97508
52.44864
33.63951
5.568619
9.687386
65.03903
5.488856
111.7801
85.56141
91.56754
6.281775
4.587439
106.9841
59.5826
1.594847
2.836119
1574.569
Page 54
N=
36.00
0.442
1.60
= *(N*Rxy)-(Rx*Ry)] /*(N*Rx2)(Rx)2]=
=x-*y =
-0.841
mean= Ry/N =
1.60
SD = *(Ry-Rmean)]/ (N-1)=
CV =(SD*100)/ mean =
0.802
6.70
418.75
Page 55
AMBUJA CEMENT
SL
MONTH SENSEX
STOCK
.NO
INDEX(X) PRICE
(Y)
Dec-09
103.7
17,464.81
1
102.3
16,357.96
2 Jan-10
Feb-10
106.9
16,429.55
3
119.65
17,527.77
4 Mar-10
Apr-10
121.15
17,558.71
5
108.8
16,944.63
6 May-10
Jun-10
114.55
17,700.90
7
Jul-10
117.5
17,868.29
8
125.15
17,971.12
9 Aug-10
Sep-10
140.7
20,069.12
10
139.75
20,032.34
11 Oct-10
Nov-10
140.5
19,521.25
12
143.05
20,509.09
13 Dec-10
Jan-11
126.55
18,327.76
14
118
17,823.40
15 Feb-11
147.05
19,445.22
16 Mar-11
Apr-11
155.4
19,135.96
17
138.7
18,503.28
18 May-11
Jun-11
133.1
18,845.87
19
129.3
18,197.20
20 Jul-11
Aug-11
133.1
16,676.75
21
148.6
16,453.76
22 Sep-11
155.4
17,705.01
23 Oct-11
Nov-11
148.4
16,123.46
24
155.4
15,454.92
25 Dec-11
Jan-12
160.7
17,193.55
26
160.05
17,752.68
27 Feb-12
171.25
17,404.20
28 Mar-12
Apr-12
150.9
17,318.81
29
151.05
16,218.53
30 May-12
Jun-12
173.95
17,429.98
31
180.25
17,236.18
32 Jul-12
Aug-12
185.45
17,429.56
33
201.95
18,762.74
34 Sep-12
202.7
18,505.38
35 Oct-12
Nov-12
207.7
19,339.90
36
200.95
19,426.71
37 Dec-12
TOTAL
INDEX
-6.3376
0.437646
6.684419
0.17652
-3.4973
4.463184
0.945658
0.575489
11.67429
-0.18327
-2.55132
5.060332
-10.6359
-2.75189
9.099386
-1.59042
-3.30624
1.85151
-3.44197
-8.35541
-1.33713
7.604645
-8.93278
-4.14638
11.24969
3.251975
-1.96297
-0.49063
-6.35309
7.469543
-1.11188
1.121942
7.64896
-1.37165
4.509607
0.448865
15.9158
STOCK
Rx2
-1.35005 40.1652
4.496579
0.1915
11.92703 44.6815
1.253656
0.0312
-10.194 12.2311
5.284926 19.9200
2.575295
0.8943
6.510638
0.3312
12.42509 136.2890
-0.6752
0.0336
0.536673
6.5093
1.814947 25.6070
-11.5344 113.1228
-6.75622
7.5729
24.61864 82.7988
5.678341
2.5294
-10.7465 10.9312
-4.03749
3.4281
-2.855 11.8472
2.938902 69.8128
11.64538
1.7879
4.576043 57.8306
-4.5045 79.7946
4.716981 17.1925
3.410553 126.5554
-0.40448 10.5753
6.997813
3.8533
-11.8832
0.2407
0.099404 40.3618
15.16054 55.7941
3.62173
1.2363
2.884882
1.2588
8.897277 58.5066
0.371379
1.8814
2.4667 20.3366
-3.24988
0.2015
76.71852 1066.53
Rxy
8.556067
1.967911
79.7253
0.221295
35.65134
23.5876
2.435348
3.746799
145.0541
0.123741
-1.36923
9.184232
122.6792
18.59239
224.0146
-9.03093
35.53034
-7.47545
9.826824
-24.5557
-15.5714
34.79918
40.23776
-19.5584
38.36766
-1.31536
-13.7365
5.830245
-0.63152
113.2423
-4.02692
3.236671
68.05491
-0.5094
11.12385
-1.45876
936.55
(RiRmean)^2
12.1177
5.595963
95.96229
0.769732
151.905
9.947252
0.197398
19.18123
105.9683
7.874733
2.54188
0.09989
186.7439
78.98273
505.6941
12.58363
165.829
38.05028
24.86016
0.652705
90.52342
5.978236
44.02992
6.687298
1.637257
6.428661
23.68587
196.3981
4.127384
169.769
2.222277
0.568338
45.7825
3.096266
0.112694
28.95387
2055.559
Page 56
N=
36.00
.442
2.13
= *(N*Rxy)-(Rx*Ry)] /*(N*Rx2)(Rx)2]=
=x-*y =
-1.372
mean= Ry/N =
2.13
SD = *(Ry-Rmean)]/ (N-1)=
CV =(SD*100)/ mean =
0.8519
7.66
359.62
Page 57
Page 58
N=
36.00
.442
2.95
= *(N*Rxy)-(Rx*Ry)] /*(N*Rx2)(Rx)2]=
=x-*y =
-3.33
mean= Ry/N =
2.95
SD = *(Ry-Rmean)]/ (N-1)=
CV =(SD*100)/ mean =
1.28
11.64
394.57
Page 59
ULTRATECH CEMENT
SL
SENSEX
STOCK
.NO MONTH INDEX(X) PRICE (Y)
1 Dec-09
17,464.81
915.1
2 Jan-10
16,357.96
929.4
3 Feb-10
16,429.55
1,038.10
4 Mar-10
17,527.77
1,156.30
5 Apr-10
17,558.71
972.35
6 May-10
16,944.63
922.9
7 Jun-10
17,700.90
878.1
8 Jul-10
17,868.29
864.35
9 Aug-10
17,971.12
904.3
10 Sep-10
20,069.12
1,066.90
11 Oct-10
20,032.34
1,096.05
12 Nov-10
19,521.25
1,125.90
13 Dec-10
20,509.09
1,082.15
14 Jan-11
18,327.76
999
15 Feb-11
17,823.40
929.7
16 Mar-11
19,445.22
1,133.80
17 Apr-11
19,135.96
1,086.80
18 May-11
18,503.28
1,026.20
19 Jun-11
18,845.87
933.5
20 Jul-11
18,197.20
1,028.80
21 Aug-11
16,676.75
1,070.40
22 Sep-11
16,453.76
1,137.60
23 Oct-11
17,705.01
1,152.45
24 Nov-11
16,123.46
1,143.90
25 Dec-11
15,454.92
1,160.45
26 Jan-12
17,193.55
1,211.25
27 Feb-12
17,752.68
1,404.10
28 Mar-12
17,404.20
1,506.95
29 Apr-12
17,318.81
1,423.10
30 May-12
16,218.53
1,416.50
31 Jun-12
17,429.98
1,511.25
32 Jul-12
17,236.18
1,635.95
33 Aug-12
17,429.56
1,693.40
34 Sep-12
18,762.74
1,967.55
35 Oct-12
18,505.38
1,994.75
36 Nov-12
19,339.90
1,954.50
37 Dec-12
19,426.71
1,982.15
TOTAL
RNS INSTITUTE OF TECHNOLOGY
INDEX
-6.3376
0.437646
6.684419
0.17652
-3.4973
4.463184
0.945658
0.575489
11.67429
-0.18327
-2.55132
5.060332
-10.6359
-2.75189
9.099386
-1.59042
-3.30624
1.85151
-3.44197
-8.35541
-1.33713
7.604645
-8.93278
-4.14638
11.24969
3.251975
-1.96297
-0.49063
-6.35309
7.469543
-1.11188
1.121942
7.64896
-1.37165
4.509607
0.448865
15.9158
STOCK
Rx2
Rxy
(RiRmean)^2
0.854385
84.80048
79.19552
338.3945
57.34453
53.89415
16.42584
4.558098
240.0566
0.06013
0.055892
40.61233
103.4447
88.81059
378.9375
43.98809
65.01202
132.7179
59.6276
2.422835
14.37189
1.396226
10.42578
1.082006
3.574414
180.4876
23.40602
64.82213
8.707081
17.65699
33.22885
1.050053
187.7537
1.220075
20.29319
1.149861
2361.84
Page 60
N=
36.00
0.442
2.48
= *(N*Rxy)-(Rx*Ry)] /*(N*Rx2)(Rx)2]=
=x-*y =
-1.199
mean= Ry/N =
2.48
SD = *(Ry-Rmean)]/ (N-1)=
CV =(SD*100)/ mean =
0.662
8.21
331.23
Page 61
STOCK NAME
STOCK
RETURN
MARKET
RETURN
Rf
ACC CEMENT
AMBUJA
CEMENT
J.K CEMENT
ULTRATECH
1.60
0.422
7.39
2.13
0.422
7.39
2.95
0.422
7.39
2.48
0.422
7.39
8
7
6
5
RETURN
MARKET RETURN
2
1
0
ACC CEMENT
AMBUJA CEMENT
J.K CEMENT
ULTRATECH
ANALYSIS:It can be seen that in the cement industry sectors J.K CEMENT HAVE better returns then other
three Company ACC CEMENT, AMBUJA CEMENT and ULTRATECH CEMENT.
INTERPRETATION:In the cement industry sector JK CEMENT is preferred form of investment in terms of average
rate of return. But investor can also invest In other three company because those companies
return is also greater then the market returns.
Page 62
Table 3:- Automobile sectors 3 year average return of stocks, respective benchmark index and
Risk free 0f 3 years.
ASHOK LEYLAND
STOCK
SL
SENSEX
PRICE
.NO MONTH INDEX(X) (Y)
1 Dec-09
17,464.81
64.65
2 Jan-10
16,357.96
73.9
3 Feb-10
16,429.55
70.35
4 Mar-10
17,527.77
82.15
5 Apr-10
17,558.71
96.45
6 May-10
16,944.63
104.35
7 Jun-10
17,700.90
119.3
8 Jul-10
17,868.29
138.7
9 Aug-10
17,971.12
142.1
10 Sep-10
20,069.12
71.7
11 Oct-10
20,032.34
73.1
12 Nov-10
19,521.25
82
13 Dec-10
20,509.09
70.65
14 Jan-11
18,327.76
54.45
15 Feb-11
17,823.40
50.75
16 Mar-11
19,445.22
60
17 Apr-11
19,135.96
56.35
18 May-11
18,503.28
54.15
19 Jun-11
18,845.87
53.65
20 Jul-11
18,197.20
49.35
21 Aug-11
16,676.75
55.3
22 Sep-11
16,453.76
61
23 Oct-11
17,705.01
68.8
24 Nov-11
16,123.46
59.25
25 Dec-11
15,454.92
51.9
26 Jan-12
17,193.55
52.4
27 Feb-12
17,752.68
47.2
28 Mar-12
17,404.20
41
29 Apr-12
17,318.81
41
30 May-12
16,218.53
34
31 Jun-12
17,429.98
36.45
32 Jul-12
17,236.18
37.9
33 Aug-12
17,429.56
39.15
34 Sep-12
18,762.74
42.25
35 Oct-12
18,505.38
38.8
36 Nov-12
19,339.90
38.95
37 Dec-12
19,426.71
41.8
TOTAL
RNS INSTITUTE OF TECHNOLOGY
INDEX
STOCK
Rx2
-6.3376
0.437646
6.684419
0.17652
-3.4973
4.463184
0.945658
0.575489
11.67429
-0.18327
-2.55132
5.060332
-10.6359
-2.75189
9.099386
-1.59042
-3.30624
1.85151
-3.44197
-8.35541
-1.33713
7.604645
-8.93278
-4.14638
11.24969
3.251975
-1.96297
-0.49063
-6.35309
7.469543
-1.11188
1.121942
7.64896
-1.37165
4.509607
0.448865
15.9158
14.30781 40.1652
-4.80379
0.1915
16.77328 44.6815
17.40718
0.0312
8.190772 12.2311
14.32678 19.9200
16.26153
0.8943
2.451334
0.3312
-49.5426 136.2890
1.95258
0.0336
12.1751
6.5093
-13.8415 25.6070
-22.9299 113.1228
-6.79522
7.5729
18.2266 82.7988
-6.08333
2.5294
-3.90417 10.9312
-0.92336
3.4281
-8.01491 11.8472
12.05674 69.8128
10.30741
1.7879
12.78689 57.8306
-13.8808 79.7946
-12.4051 17.1925
0.963391 126.5554
-9.92366 10.5753
-13.1356
3.8533
0
0.2407
-17.0732 40.3618
7.205882 55.7941
3.978052
1.2363
3.298153
1.2588
7.918263 58.5066
-8.16568
1.8814
0.386598 20.3366
7.317073
0.2015
-3.13133 1066.53
Rxy
-90.6772
-2.10236
112.1196
3.072714
-28.6456
63.94308
15.37784
1.410715
-578.374
-0.35784
-31.0626
-70.0424
243.8809
18.69972
165.8509
9.675034
12.90811
-1.70961
27.58712
-100.739
-13.7824
97.23972
123.9943
51.43611
10.83785
-32.2715
25.78479
0
108.4674
53.82464
-4.42311
3.700338
60.56647
11.20049
1.743405
3.284376
272.4179
(RiRmean)^2
207.2106
22.2481
284.2689
306.0464
68.52152
207.7572
267.2743
6.443139
2445.854
4.159887
150.3592
189.1853
521.7997
45.00028
335.388
35.95601
14.57079
0.6995
62.85178
147.4704
108.0438
165.7369
190.2693
151.7347
1.103322
96.75996
170.2658
0.007569
288.53
53.18613
16.52465
11.45926
64.08424
65.26508
0.224295
54.8203
6761.08
Page 63
N=
36.00
0.442
-0.086
= *(N*Rxy)-(Rx*Ry)] /*(N*Rx2)(Rx)2]=
=x-*y =
0.464
mean= Ry/N =
-0.086
SD = *(Ry-Rmean)]/ (N-1)=
CV =(SD*100)/ mean =
0.258
13.89
-16081.39
Page 64
BAJAJ AUTO
STOCK
SL
SENSEX
PRICE
.NO MONTH INDEX(X) (Y)
1 Dec-09
17,464.81
1,761.70
2 Jan-10
16,357.96
1,773.10
3 Feb-10
16,429.55
1,817.40
4 Mar-10
17,527.77
2,011.10
5 Apr-10
17,558.71
2,094.30
6 May-10
16,944.63
2,214.70
7 Jun-10
17,700.90
2,483.30
8 Jul-10
17,868.29
2,688.05
9 Aug-10
17,971.12
2,729.40
10 Sep-10
20,069.12
1,471.60
11 Oct-10
20,032.34
1,513.80
12 Nov-10
19,521.25
1,575.35
13 Dec-10
20,509.09
1,541.50
14 Jan-11
18,327.76
1,248.65
15 Feb-11
17,823.40
1,268.30
16 Mar-11
19,445.22
1,459.80
17 Apr-11
19,135.96
1,462.80
18 May-11
18,503.28
1,344.35
19 Jun-11
18,845.87
1,405.90
20 Jul-11
18,197.20
1,464.85
21 Aug-11
16,676.75
1,573.00
22 Sep-11
16,453.76
1,534.35
23 Oct-11
17,705.01
1,733.15
24 Nov-11
16,123.46
1,672.85
25 Dec-11
15,454.92
1,592.80
26 Jan-12
17,193.55
1,600.95
27 Feb-12
17,752.68
1,798.95
28 Mar-12
17,404.20
1,677.90
29 Apr-12
17,318.81
1,623.10
30 May-12
16,218.53
1,513.00
31 Jun-12
17,429.98
1,572.00
32 Jul-12
17,236.18
1,601.35
33 Aug-12
17,429.56
1,615.40
34 Sep-12
18,762.74
1,832.50
35 Oct-12
18,505.38
1,813.95
36 Nov-12
19,339.90
1,930.55
37 Dec-12
19,426.71
2,131.00
TOTAL
INDEX
STOCK
Rx2
-6.3376
0.437646
6.684419
0.17652
-3.4973
4.463184
0.945658
0.575489
11.67429
-0.18327
-2.55132
5.060332
-10.6359
-2.75189
9.099386
-1.59042
-3.30624
1.85151
-3.44197
-8.35541
-1.33713
7.604645
-8.93278
-4.14638
11.24969
3.251975
-1.96297
-0.49063
-6.35309
7.469543
-1.11188
1.121942
7.64896
-1.37165
4.509607
0.448865
15.9158
0.647102 40.1652
2.498449
0.1915
10.65808 44.6815
4.137039
0.0312
5.748938 12.2311
12.12805 19.9200
8.245077
0.8943
1.53829
0.3312
-46.0834 136.2890
2.867627
0.0336
4.065927
6.5093
-2.14873 25.6070
-18.9977 113.1228
1.5737
7.5729
15.09895 82.7988
0.205508
2.5294
-8.09748 10.9312
4.578421
3.4281
4.193044 11.8472
7.383008 69.8128
-2.45709
1.7879
12.95663 57.8306
-3.47921 79.7946
-4.78525 17.1925
0.511678 126.5554
12.36766 10.5753
-6.72893
3.8533
-3.26599
0.2407
-6.78332 40.3618
3.899537 55.7941
1.867048
1.2363
0.877385
1.2588
13.4394 58.5066
-1.01228
1.8814
6.427961 20.3366
10.38305
0.2015
44.45817 1066.53
Rxy
-4.10108
1.093437
71.24309
0.73027
-20.1057
54.12973
7.797024
0.885269
-537.991
-0.52554
-10.3735
-10.8733
202.0583
-4.33065
137.3912
-0.32684
26.77219
8.47699
-14.4323
-61.688
3.285449
98.53054
31.07906
19.84145
5.756212
40.21931
13.20869
1.602387
43.09503
29.12776
-2.07593
0.984375
102.7974
1.388496
28.98758
4.660586
268.3182
(RiRmean)^2
0.345624
1.596303
88.79449
8.421833
20.37563
118.6586
49.14118
0.091985
2239.03
2.665471
8.014147
11.44962
409.3633
0.114717
192.2091
1.059855
87.09526
11.17846
8.750022
37.79801
13.63152
137.3965
22.22382
36.24337
0.523195
123.936
63.4241
20.25889
64.29339
7.099759
0.399485
0.127889
148.9473
5.05026
26.96684
83.68685
4050.363
Page 65
N=
36.00
0.442
1.23
= *(N*Rxy)-(Rx*Ry)] /*(N*Rx2)(Rx)2]=
0.234
=x-*y =
0.154
mean= Ry/N =
1.23
SD = *(Ry-Rmean)]/ (N-1)=
10.75
CV =(SD*100)/ mean =
873.98
Page 66
MARUTI SUZUKI
SL
.NO
MONTH SENSEX
INDEX(X)
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
Dec-09
Jan-10
Feb-10
Mar-10
Apr-10
May-10
Jun-10
Jul-10
Aug-10
Sep-10
Oct-10
Nov-10
Dec-10
Jan-11
Feb-11
Mar-11
Apr-11
May-11
Jun-11
Jul-11
Aug-11
Sep-11
Oct-11
Nov-11
Dec-11
Jan-12
Feb-12
Mar-12
Apr-12
May-12
Jun-12
Jul-12
Aug-12
Sep-12
Oct-12
Nov-12
Dec-12
TOTAL
17,464.81
16,357.96
16,429.55
17,527.77
17,558.71
16,944.63
17,700.90
17,868.29
17,971.12
20,069.12
20,032.34
19,521.25
20,509.09
18,327.76
17,823.40
19,445.22
19,135.96
18,503.28
18,845.87
18,197.20
16,676.75
16,453.76
17,705.01
16,123.46
15,454.92
17,193.55
17,752.68
17,404.20
17,318.81
16,218.53
17,429.98
17,236.18
17,429.56
18,762.74
18,505.38
19,339.90
19,426.71
STOCK
PRICE
(Y)
1,559.65
1,390.10
1,463.55
1,416.15
1,279.75
1,236.95
1,423.60
1,198.15
1,255.90
1,440.95
1,551.20
1,423.75
1,420.60
1,252.80
1,206.70
1,263.55
1,319.75
1,227.50
1,158.45
1,207.90
1,092.35
1,081.40
1,125.65
968.65
920.05
1,187.55
1,256.25
1,349.10
1,369.90
1,106.45
1,169.75
1,133.05
1,138.55
1,349.90
1,436.25
1,473.55
1,488.95
INDEX
STOCK
Rx2
Rxy
(RiRmean)^2
-6.3376
0.437646
6.684419
0.17652
-3.4973
4.463184
0.945658
0.575489
11.67429
-0.18327
-2.55132
5.060332
-10.6359
-2.75189
9.099386
-1.59042
-3.30624
1.85151
-3.44197
-8.35541
-1.33713
7.604645
-8.93278
-4.14638
11.24969
3.251975
-1.96297
-0.49063
-6.35309
7.469543
-1.11188
1.121942
7.64896
-1.37165
4.509607
0.448865
15.9158
-10.871
5.283793
-3.2387
-9.63175
-3.3444
15.08953
-15.8366
4.819931
14.73445
7.651202
-8.21622
-0.22125
-11.8119
-3.67976
4.711196
4.447786
-6.98996
-5.62525
4.268635
-9.56619
-1.00243
4.091918
-13.9475
-5.01729
29.07451
5.78502
7.391045
1.541769
-19.2313
5.721
-3.13742
0.485415
18.56308
6.39677
2.597041
1.045095
12.3302
40.1652
0.1915
44.6815
0.0312
12.2311
19.9200
0.8943
0.3312
136.2890
0.0336
6.5093
25.6070
113.1228
7.5729
82.7988
2.5294
10.9312
3.4281
11.8472
69.8128
1.7879
57.8306
79.7946
17.1925
126.5554
10.5753
3.8533
0.2407
40.3618
55.7941
1.2363
1.2588
58.5066
1.8814
20.3366
0.2015
1066.53
68.89624
2.312432
-21.6488
-1.7002
11.69637
67.34737
-14.976
2.773816
172.0142
-1.40221
20.96224
-1.11958
125.6305
10.12629
42.86899
-7.07383
23.11046
-10.4152
-14.6925
79.9294
1.340375
31.11758
124.59
20.8036
327.0791
18.81274
-14.5084
-0.75644
122.1784
42.73325
3.488429
0.544608
141.9883
-8.77416
11.71164
0.469106
1377.458
125.7432
24.41637
12.825
99.48562
13.59326
217.475
261.7636
20.04739
207.1283
53.41713
73.25168
0.31781
147.7297
16.17855
19.0855
16.85337
53.76497
35.61409
15.41453
98.18212
1.808826
14.05813
204.204
28.72737
825.5282
29.62102
49.68198
1.438245
383.1349
28.92826
12.10986
0.020425
331.9897
36.65419
5.082955
0.49364
3465.769
Page 67
N=
36.00
0.442
0.3425
= *(N*Rxy)-(Rx*Ry)] /*(N*Rx2)(Rx)2]=
=x-*y =
0.001
mean= Ry/N =
0.3425
SD = *(Ry-Rmean)]/ (N-1)=
CV =(SD*100)/ mean =
1.294
9.95
2905.39
Page 68
TATA MOTORS
SL
MONTH SENSEX
.NO
INDEX(X)
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
Dec-09
Jan-10
Feb-10
Mar-10
Apr-10
May-10
Jun-10
Jul-10
Aug-10
Sep-10
Oct-10
Nov-10
Dec-10
Jan-11
Feb-11
Mar-11
Apr-11
May-11
Jun-11
Jul-11
Aug-11
Sep-11
Oct-11
Nov-11
Dec-11
Jan-12
Feb-12
Mar-12
Apr-12
May-12
Jun-12
Jul-12
Aug-12
Sep-12
Oct-12
Nov-12
Dec-12
TOTAL
17,464.81
16,357.96
16,429.55
17,527.77
17,558.71
16,944.63
17,700.90
17,868.29
17,971.12
20,069.12
20,032.34
19,521.25
20,509.09
18,327.76
17,823.40
19,445.22
19,135.96
18,503.28
18,845.87
18,197.20
16,676.75
16,453.76
17,705.01
16,123.46
15,454.92
17,193.55
17,752.68
17,404.20
17,318.81
16,218.53
17,429.98
17,236.18
17,429.56
18,762.74
18,505.38
19,339.90
19,426.71
STOCK
PRICE
(Y)
495.1
417.65
413.2
453.75
600.35
515.2
499.75
604.6
724.7
793.6
840.3
802.8
786.1
699.7
600.85
695.5
681.05
624.4
541.8
546.3
429.55
87.9
107.1
95.55
86.65
117.95
153
157.8
180.55
136.1
132.3
129.55
137.45
161.05
156.85
162.85
173.7
INDEX
STOCK
Rx2
Rxy
(RiRmean)^2
-6.3376
0.437646
6.684419
0.17652
-3.4973
4.463184
0.945658
0.575489
11.67429
-0.18327
-2.55132
5.060332
-10.6359
-2.75189
9.099386
-1.59042
-3.30624
1.85151
-3.44197
-8.35541
-1.33713
7.604645
-8.93278
-4.14638
11.24969
3.251975
-1.96297
-0.49063
-6.35309
7.469543
-1.11188
1.121942
7.64896
-1.37165
4.509607
0.448865
15.9158
-15.6433
-1.06549
9.81365
32.30854
-14.1834
-2.99884
20.98049
19.86437
9.507382
5.884577
-4.46269
-2.08022
-10.991
-14.1275
15.75268
-2.07764
-8.31804
-13.2287
0.830565
-21.371
-79.5367
21.843
-10.7843
-9.3145
36.12233
29.71598
3.137255
14.41698
-24.6192
-2.79206
-2.07861
6.098032
17.16988
-2.60789
3.825311
6.662573
11.6525
40.1652
0.1915
44.6815
0.0312
12.2311
19.9200
0.8943
0.3312
136.2890
0.0336
6.5093
25.6070
113.1228
7.5729
82.7988
2.5294
10.9312
3.4281
11.8472
69.8128
1.7879
57.8306
79.7946
17.1925
126.5554
10.5753
3.8533
0.2407
40.3618
55.7941
1.2363
1.2588
58.5066
1.8814
20.3366
0.2015
1066.53
99.14102
-0.46631
65.59855
5.7031
49.60352
-13.3844
19.84037
11.43172
110.9919
-1.07845
11.38578
-10.5266
116.899
38.8773
143.3398
3.304316
27.5014
-24.4931
-2.85878
178.5637
106.351
166.1083
96.33393
38.62144
406.3649
96.63564
-6.15834
-7.07339
156.4082
-20.8554
2.311159
6.84164
131.3317
3.577119
17.25065
2.990594
2026.413
254.942
1.929558
90.06104
1023.036
210.4528
11.03858
426.7071
381.8418
84.34186
30.92446
22.90859
5.778347
128.0195
208.8338
238.0566
5.765963
74.67791
183.6648
0.257013
470.6575
6377.671
463.0847
123.3857
92.89288
1281.549
863.9121
7.916654
198.6235
622.1442
9.707366
5.770609
33.34406
283.7971
8.593609
12.26198
40.18258
14278.73
Page 69
N=
36
0.442
0.323
1.90
= *(N*Rxy)-(Rx*Ry)] /*(N*Rx2)(Rx)2]=
-0.1717
=x-*y =
20.19
SD = *(Ry-Rmean)]/ (N-1)=
6250.77
CV =(SD*100)/ mean =
Page 70
STOCK NAME
STOCK
RETURN
MARKET
RETURN
Rf
ASHOK
LEYLAND
BAJAJ AUTO
MARUTI SUZUKI
TATA MOTORS
-0.086
0.422
7.39
1.23
0.422
7.39
0.3245
0.422
7.39
0.323
0.422
7.39
8
7
6
5
RETURN
MARKET RETURN
ASHOK
LEYLAND
BAJAJ AUTO
MARUTI
SUZUKI
TATA MOTORS
ANALYSIS:It can be seen that in automobile sector BAJAJ AUTO have better returns than market and
ASHOK LEYLAND, MARUTISUZUKI and TATA MOTORS have lesser returns then the
market.
INTERPRETATION:-In the automobile sectors BAJAJ AUTO is the preferred from the
investment in terms of average rate of return.
ASHOK LEYLAND should not be preferred right now as an investment in terms of rate of
return.
Page 71
Table 4:-Banking sector 3 years average return of stock, respective benchmark index and risk
free of 3 year.
BANK OF BARODA
SL
.NO
MONTH
SENSEX
INDEX(X)
STOCK
PRICE (Y)
INDEX
STOCK
Rx2
(RiRmean)^2
Rxy
Dec-09
17,464.81
511.3
Jan-10
16,357.96
575.9
-6.3376
11.21723
40.1652
-71.0903
136.62162
Feb-10
16,429.55
583.9
0.437646
-1.3701
0.1915
-0.59962
0.8078371
Mar-10
17,527.77
639.25
6.684419
-8.65858
44.6815
-57.8776
67.031623
Apr-10
17,558.71
691.55
0.17652
-7.56272
0.0312
-1.33497
50.288257
May-10
16,944.63
710.4
-3.4973
-2.65343
12.2311
9.279846
4.7617117
Jun-10
17,700.90
701.95
4.463184
1.203789
19.9200
5.372734
2.8059264
Jul-10
17,868.29
753.05
0.945658
-6.78574
0.8943
-6.41699
39.872127
Aug-10
17,971.12
804.9
0.575489
-6.44179
0.3312
-3.70718
35.646798
10
Sep-10
20,069.12
872.8
11.67429
-7.77956
136.2890
-90.8208
53.410664
11
Oct-10
20,032.34
1,011.00
-0.18327
-13.6696
0.0336
2.505188
174.19602
12
Nov-10
19,521.25
937.75
-2.55132
7.81125
6.5093
-19.929
68.600640
13
Dec-10
20,509.09
896.5
5.060332
4.601227
25.6070
23.28373
25.730530
14
Jan-11
18,327.76
869.15
-10.6359
3.146753
113.1228
-33.4686
13.090304
15
Feb-11
17,823.40
870.85
-2.75189
-0.19521
7.5729
0.537201
0.0762248
16
Mar-11
19,445.22
963.15
9.099386
-9.58314
82.7988
-87.2007
83.025603
5.591186
2.5294
-8.89231
36.753732
17
Apr-11
19,135.96
912.15
-1.59042
18
May-11
18,503.28
863.4
-3.30624
5.646282
10.9312
-18.6679
37.424811
19
Jun-11
18,845.87
871.9
1.85151
-0.97488
3.4281
-1.805
0.2535952
20
Jul-11
18,197.20
878.3
-3.44197
-0.72868
11.8472
2.508099
0.0662446
21
Aug-11
16,676.75
736.6
-8.35541
19.23704
69.8128
-160.733
388.41846
22
Sep-11
16,453.76
763.85
-1.33713
-3.56745
1.7879
4.770154
9.5861717
23
Oct-11
17,705.01
771.5
7.604645
-0.99157
57.8306
-7.54057
0.2706859
24
Nov-11
16,123.46
700.6
-8.93278
10.1199
79.7946
-90.3988
112.17345
25
Dec-11
15,454.92
660.85
-4.14638
6.014981
17.1925
-24.9404
42.071837
26
Jan-12
17,193.55
753.45
11.24969
-12.2901
126.5554
-138.26
139.68479
27
Feb-12
17,752.68
803.8
3.251975
-6.264
10.5753
-20.3704
33.555327
1.278901
3.8533
-2.51045
3.0632045
28
Mar-12
17,404.20
793.65
-1.96297
29
Apr-12
17,318.81
766.95
-0.49063
3.481322
0.2407
-1.70804
15.623221
30
May-12
16,218.53
687
-6.35309
11.63755
40.3618
-73.9345
146.62435
31
Jun-12
17,429.98
732.5
7.469543
-6.2116
55.7941
-46.3978
32.951091
32
Jul-12
17,236.18
656.05
-1.11188
11.65308
1.2363
-12.9568
147.00047
33
Aug-12
17,429.56
632.25
1.121942
3.764334
1.2588
4.223365
17.940593
34
Sep-12
18,762.74
798.55
7.64896
-20.8252
58.5066
-159.291
414.28310
35
Oct-12
18,505.38
725.1
-1.37165
10.12964
1.8814
-13.8944
112.37987
36
Nov-12
19,339.90
763.05
4.509607
-4.97346
20.3366
-22.4284
20.269460
37
Dec-12
19,426.71
866.95
0.448865
-11.9845
0.2015
-5.37944
132.55477
15.9158
-16.977
253.3128
-270.203
2598.9151
TOTAL
Page 72
N=
36.00
.422
1.85
= *(N*Rxy)-(Rx*Ry)] /*(N*Rx2)(Rx)2]=
=x-*y =
-1.29
mean= Ry/N =
1.85
SD = *(Ry-Rmean)]/ (N-1)=
CV =(SD*100)/ mean =
0.935
9.229
498.86
Page 73
BANK OF INDIA
SL
.NO
MONTH
SENSEX
INDEX(X)
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
Dec-09
Jan-10
Feb-10
Mar-10
Apr-10
May-10
Jun-10
Jul-10
Aug-10
Sep-10
Oct-10
Nov-10
Dec-10
Jan-11
Feb-11
Mar-11
Apr-11
May-11
Jun-11
Jul-11
Aug-11
Sep-11
Oct-11
Nov-11
Dec-11
Jan-12
Feb-12
Mar-12
Apr-12
May-12
Jun-12
Jul-12
Aug-12
Sep-12
Oct-12
Nov-12
Dec-12
17,464.81
16,357.96
16,429.55
17,527.77
17,558.71
16,944.63
17,700.90
17,868.29
17,971.12
20,069.12
20,032.34
19,521.25
20,509.09
18,327.76
17,823.40
19,445.22
19,135.96
18,503.28
18,845.87
18,197.20
16,676.75
16,453.76
17,705.01
16,123.46
15,454.92
17,193.55
17,752.68
17,404.20
17,318.81
16,218.53
17,429.98
17,236.18
17,429.56
18,762.74
18,505.38
19,339.90
19,426.71
STOCK
PRICE
(Y)
385
364.65
333.6
340.75
381.3
329.7
348.6
410.4
442.15
516.75
486.1
465.35
449.65
439.2
439.05
478.1
456.95
445.05
414.3
386.45
309.7
315.6
331.75
327.45
266.3
344.25
371.05
361
352.85
340.45
346.9
297.65
257.3
310.4
276.7
280.8
342.85
INDEX
STOCK
Rx2
Rxy
(RiRmean)^2
-6.3376
0.437646
6.684419
0.17652
-3.4973
4.463184
0.945658
0.575489
11.67429
-0.18327
-2.55132
5.060332
-10.6359
-2.75189
9.099386
-1.59042
-3.30624
1.85151
-3.44197
-8.35541
-1.33713
7.604645
-8.93278
-4.14638
11.24969
3.251975
-1.96297
-0.49063
-6.35309
7.469543
-1.11188
1.121942
7.64896
-1.37165
4.509607
0.448865
15.9158
5.580694
9.307554
-2.09831
-10.6347
15.65059
-5.42169
-15.0585
-7.18082
-14.4364
6.305287
4.459009
3.491605
2.379326
0.034165
-8.16775
4.628515
2.673857
7.422158
7.206624
24.78205
-1.86946
-4.86812
1.313178
22.96282
-22.6434
-7.22275
2.783934
2.309763
3.642238
-1.85933
16.54628
15.6820
-17.107
12.1792
-1.46011
-18.0983
33.2144
40.1652
0.1915
44.6815
0.0312
12.2311
19.9200
0.8943
0.3312
136.2890
0.0336
6.5093
25.6070
113.1228
7.5729
82.7988
2.5294
10.9312
3.4281
11.8472
69.8128
1.7879
57.8306
79.7946
17.1925
126.5554
10.5753
3.8533
0.2407
40.3618
55.7941
1.2363
1.2588
58.5066
1.8814
20.3366
0.2015
1066.53
-35.3682
4.073416
-14.026
-1.87723
-54.7347
-24.198
-14.2402
-4.13248
-168.534
-1.15555
-11.3764
17.66868
-25.3063
-0.09402
-74.3215
-7.36127
-8.8404
13.7422
-24.805
-207.064
2.499706
-37.0204
-11.7303
-95.2126
-254.731
-23.4882
-5.46478
-1.13324
-23.1395
-13.8883
-18.3974
17.5943
-130.85
-16.7057
-6.58454
-8.12369
-1268.33
21.70343
70.31752
9.122288
133.5566
216.9314
40.24236
255.3757
65.65571
235.8799
28.97978
12.51044
6.602868
2.123799
0.788252
82.62351
13.73825
3.069002
42.25205
39.4965
569.3018
7.792221
33.52553
0.15302
485.7979
555.3294
66.33689
3.466796
1.925887
7.399696
7.735771
244.1181
217.8601
325.0434
126.7258
5.674467
361.7716
4300.928
Page 74
N=
36.00
.422
0.922
= *(N*Rxy)-(Rx*Ry)] /*(N*Rx2)(Rx)2]=
=x-*y =
1.53
mean= Ry/N =
0.922
SD = *(Ry-Rmean)]/ (N-1)=
CV =(SD*100)/ mean =
-1.21
11.08
1201.73
Page 75
CANARA BANK
SL
MONTH SENSEX
.NO
INDEX(X)
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
Dec-09
Jan-10
Feb-10
Mar-10
Apr-10
May-10
Jun-10
Jul-10
Aug-10
Sep-10
Oct-10
Nov-10
Dec-10
Jan-11
Feb-11
Mar-11
Apr-11
May-11
Jun-11
Jul-11
Aug-11
Sep-11
Oct-11
Nov-11
Dec-11
Jan-12
Feb-12
Mar-12
Apr-12
May-12
Jun-12
Jul-12
Aug-12
Sep-12
Oct-12
Nov-12
Dec-12
TOTAL
17,464.81
16,357.96
16,429.55
17,527.77
17,558.71
16,944.63
17,700.90
17,868.29
17,971.12
20,069.12
20,032.34
19,521.25
20,509.09
18,327.76
17,823.40
19,445.22
19,135.96
18,503.28
18,845.87
18,197.20
16,676.75
16,453.76
17,705.01
16,123.46
15,454.92
17,193.55
17,752.68
17,404.20
17,318.81
16,218.53
17,429.98
17,236.18
17,429.56
18,762.74
18,505.38
19,339.90
19,426.71
STOCK
PRICE
(Y)
390.75
390.45
391.95
410.35
429.55
408.2
448.85
478.45
514
582.65
719.75
738.55
660.4
602.1
610
626.15
631.1
544.6
524.3
460.6
426.6
443.75
469.25
430.1
363.6
470.85
510.15
473.65
436.85
403.4
412.4
365.75
317
431.15
401.75
464.8
495.5
INDEX
STOCK
Rx2
Rxy
(RiRmean)^2
-6.3376
0.437646
6.684419
0.17652
-3.4973
4.463184
0.945658
0.575489
11.67429
-0.18327
-2.55132
5.060332
-10.6359
-2.75189
9.099386
-1.59042
-3.30624
1.85151
-3.44197
-8.35541
-1.33713
7.604645
-8.93278
-4.14638
11.24969
3.251975
-1.96297
-0.49063
-6.35309
7.469543
-1.11188
1.121942
7.64896
-1.37165
4.509607
0.448865
15.9158
-0.07678
0.384172
4.694476
4.678933
-4.97032
9.958354
6.594631
7.430243
13.35603
23.53042
2.612018
-10.5815
-8.82798
1.312074
2.647541
0.790545
-13.7062
-3.72751
-12.1495
-7.38168
4.020159
5.746479
-8.3431
-15.4615
29.4967
8.346607
-7.15476
-7.76945
-7.65709
2.231036
-11.3118
-13.3288
36.00946
-6.81897
15.69384
6.604991
46.87165
40.1652
0.1915
44.6815
0.0312
12.2311
19.9200
0.8943
0.3312
136.2890
0.0336
6.5093
25.6070
113.1228
7.5729
82.7988
2.5294
10.9312
3.4281
11.8472
69.8128
1.7879
57.8306
79.7946
17.1925
126.5554
10.5753
3.8533
0.2407
40.3618
55.7941
1.2363
1.2588
58.5066
1.8814
20.3366
0.2015
1066.53
0.486572
0.168131
31.37985
0.825925
17.38267
44.44596
6.236266
4.276022
155.9221
-4.31234
-6.66411
-53.5461
93.8937
-3.61069
24.091
-1.2573
45.31602
-6.90151
41.81838
61.6769
-5.37548
43.69993
74.5271
64.10935
331.8286
27.14296
14.04458
3.811915
48.6462
16.66482
12.57737
-14.9541
275.4349
9.353276
70.77306
2.964748
1426.877
1.901022
0.842408
11.5089
11.40367
39.34197
74.93246
28.01194
37.55537
145.2997
494.1027
1.716147
141.2186
102.6166
0.000101
1.810481
0.261586
225.2469
25.29593
180.9437
75.40623
7.388391
19.75339
93.02797
281.0156
794.9411
49.62649
71.51676
82.29121
80.2653
0.863108
159.1088
214.0596
1204.608
65.95019
207.125
28.12172
4959.079
Page 76
N=
36.00
0.422
1.293
= *(N*Rxy)-(Rx*Ry)] /*(N*Rx2)(Rx)2]=
1.327
=x-*y =
-1.29
mean= Ry/N =
1.293
SD = *(Ry-Rmean)]/ (N-1)=
11.90
CV =(SD*100)/ mean =
920.34
Page 77
SYNDICATE BANK
SL
MONTH
.NO
SENSEX
INDEX(X)
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
17,464.81
16,357.96
16,429.55
17,527.77
17,558.71
16,944.63
17,700.90
17,868.29
17,971.12
20,069.12
20,032.34
19,521.25
20,509.09
18,327.76
17,823.40
19,445.22
19,135.96
18,503.28
18,845.87
18,197.20
16,676.75
16,453.76
17,705.01
16,123.46
15,454.92
17,193.55
17,752.68
17,404.20
17,318.81
16,218.53
17,429.98
17,236.18
17,429.56
18,762.74
18,505.38
19,339.90
19,426.71
Dec-09
Jan-10
Feb-10
Mar-10
Apr-10
May-10
Jun-10
Jul-10
Aug-10
Sep-10
Oct-10
Nov-10
Dec-10
Jan-11
Feb-11
Mar-11
Apr-11
May-11
Jun-11
Jul-11
Aug-11
Sep-11
Oct-11
Nov-11
Dec-11
Jan-12
Feb-12
Mar-12
Apr-12
May-12
Jun-12
Jul-12
Aug-12
Sep-12
Oct-12
Nov-12
Dec-12
TOTAL
STOCK
PRICE
(Y)
95.95
85.65
83.6
86.05
93.25
91.9
92.05
104.9
108.5
114.6
139.1
137.8
128.3
106.55
114.2
121.95
116.9
116.95
117.45
119.75
101.25
104
108.25
99.65
68.5
96.25
109.8
111.05
103.15
92.5
106.75
98.9
93.95
108.2
117.6
127.65
128.15
INDEX
STOCK
Rx2
Rxy
(RiRmean)^2
-6.3376
0.437646
6.684419
0.17652
-3.4973
4.463184
0.945658
0.575489
11.67429
-0.18327
-2.55132
5.060332
-10.6359
-2.75189
9.099386
-1.59042
-3.30624
1.85151
-3.44197
-8.35541
-1.33713
7.604645
-8.93278
-4.14638
11.24969
3.251975
-1.96297
-0.49063
-6.35309
7.469543
-1.11188
1.121942
7.64896
-1.37165
4.509607
0.448865
15.9158
-10.7348
-2.39346
2.930622
8.367228
-1.44772
0.163221
13.9598
3.43184
5.62212
21.37871
-0.93458
-6.89405
-16.9525
7.179728
6.78634
-4.14104
0.042772
0.427533
1.95828
-15.4489
2.716049
4.086538
-7.94457
-31.2594
40.51095
14.07792
1.138434
-7.11391
-10.3248
15.40541
-7.35363
-5.00506
15.16764
8.687616
8.545918
0.391696
11.34166
40.1652
0.1915
44.6815
0.0312
12.2311
19.9200
0.8943
0.3312
136.289
0.0336
6.5093
25.6070
113.122
7.5729
82.7988
2.5294
10.9312
3.4281
11.8472
69.8128
1.7879
57.8306
79.7946
17.1925
126.5554
10.5753
3.8533
0.2407
40.3618
55.7941
1.2363
1.2588
58.5066
1.8814
20.3366
0.2015
1066.53
68.03261
-1.04749
19.58951
1.476982
5.063109
0.728485
13.2012
1.974985
65.63424
-3.918
2.384415
-34.8862
180.3049
-19.7578
61.75153
6.585981
-0.14141
0.791582
-6.74035
129.0814
-3.63171
31.07667
70.96714
129.6134
455.7355
45.78105
-2.23471
3.49029
65.59422
115.0713
8.176335
-5.61538
116.0167
-11.9164
38.53874
0.175819
1546.949
122.0971
7.335765
6.841478
64.83838
3.107186
0.023037
186.1807
9.714691
28.16552
443.6798
1.561449
51.97039
298.165
47.12449
41.87824
19.85631
0.074108
0.012664
2.70037
248.499
5.765038
14.2245
68.22054
996.9432
1615.714
189.418
0.678043
55.18874
113.2047
227.7203
58.80789
28.30299
220.601
70.10069
67.74802
0.005882
5316.47
Page 78
N=
36.00
0.422
0.315
= *(N*Rxy)-(Rx*Ry)] /*(N*Rx2)(Rx)2]=
=x-*y =
-0.0347
mean= Ry/N =
0.315
SD = *(Ry-Rmean)]/ (N-1)=
CV =(SD*100)/ mean =
1.45
12.32
3911.11
Page 79
STOCK NAME
STOCK
RETURN
MARKET RETURN Rf
BANK OF
BARODA
BANK OF INDIA
1.85
0.422
7.39
0.922
0.422
7.39
CANARA BANK
1.293
0.422
7.39
SYNDICATE BANK
0.315
0.422
7.39
6
5
4
RETURN
MARKET RETURN
1
0
BANK OF
BARODA
BANK OF
INDIA
CANARA
BANK
SYNDICATE
BANK
ANALYSIS:It can be seen that in the banking sector BANK OF BARODA, BANK OF INDIA and
CANARA BANK have better returns in the market.
INTERPRETATION:In the banking sectors BANK OF BARODA is the preferred form of investment in terms of
average return.
Syndicate bank should not be preferred right now as an investment in terms of rate of return
Page 80
Table 5:-3 year average return of stock, respective benchmark index and Risk free rate
INFRASTRUCTURE SECTORS
STOCK NAME
STOCK
MARKET
DLF INFRASTUCTURE
12.07
5.50
JAIPRAKASH ASSOCIATED
INFRASTRUCTURE
13.19
5.50
10.59
5.50
13.69
5.50
L&T
RELIANCE INFRASTRUCTURE
16
14
12
10
8
STOCK
MARKET
4
2
0
DLF
JAI PRAKASH
ASSOCIATED
L&T
RELIANCE
ANALYSIS:It can be seen that in the infrastructure sectors Reliance infrastructure have highest standard
deviation (13.69) and L&T have lowest standard deviation (10.59)
INTERPRETATION:Reliance infrastructure has a lot of variation to its return and is the least preferred investment in
term of standard deviation observed. Here Reliance infrastructure has to bear the risk of (13.69).
L&T here is the preferred investment in terms of standard deviation . here L&T has to bear the
risk of (10.59)
Page 81
Table 6:-3 year average return of stock, respective benchmark index and Risk free rate
CEMENT INDUSTRY SECTORS
STOCK NAME
STOCK
MARKET
ACC CEMENT
6.70
5.50
AMBUJA CEMENT
JK LAXMI CEMENT
7.66
11.64
5.50
5.50
ULTRATECH CEMENT
8.21
5.50
14
12
10
8
STOCK
MARKET
4
2
0
ACC CEMENT
AMBUJA
CEMENT
JK LAXMI
CEMENT
ULTRATECH
CEMENT
ANALYSIS:It can be seen that in the infrastructure sectors JK LAXMI CEMENT have highest standard
deviation (11.64) and ACC CEMENT have lowest standard deviation (6.70)
INTERPRETATION:JK LAXMI CEMENT has a lot of variation to its return and is the least preferred investment in
term of standard deviation observed. Here JK LAXMI CEMENT has to bear the risk of (11.64).
ACC CEMENT here is the preferred investment in terms of standard deviation .here ACC
CEMENT has to bear the risk of (6.70)
Page 82
Table 7:-3 year average return of stock, respective benchmark index and Risk free rate
AUTOMOBILE INDUSTRY SECTORS
STOCK
STOCK NAME
MARKET
ASHOK LEYLAND
13.89
5.50
BAJAJ AUTO
10.75
5.50
MARUTI SUZUKI
9.95
5.50
TATA MOTORS
20.19
5.50
25
20
15
STOCK
MARKET
10
0
ASHOK LEYLAND
BAJAJ AUTO
ANALYSIS:It can be seen that in the automobile sectors TATA MOTORS have highest standard deviation
(20.19) and MARUTI SUZUKI have lowest standard deviation (9.95)
INTERPRETATION:TATA MOTORS has a lot of variation to its return and is the least preferred investment in term
of standard deviation observed. Here Reliance infrastructure has to bear the risk of (20.19).
MARUTI SUZUKI here is the preferred investment in terms of standard deviation. MARUTI
SUZUKI here has to bear the risk of (9.95)
Page 83
Table 8:-3 year average return of stock, respective benchmark index and Risk free rate
BANKING SECTORS
STOCK
STOCK NAME
BANK OF BARODA
BANK OF INDIA
CANARA BANK
SYNDICATE BANK
9.23
11.08
11.90
12.32
MARKET
5.50
5.50
5.50
5.50
14
12
10
8
STOCK
MARKET
4
2
0
BANK OF
BARODA
BANK OF INDIA
ANALYSIS:It can be seen that in the Banking sectors SYNDICATE BANK have highest standard
deviation (12.32) and BANK OF BARODA have lowest standard deviation (9.23)
INTERPRETATION:SYNDICATE BANK has a lot of variation to its return and is the least preferred investment in
term of standard deviation observed. Here SYNDICATE BANK has to bear the risk of (12.32).
BANK OF BARODA here is the preferred investment in terms of standard deviation. Here
BANK OF BARODA has to bear the risk of (9.23)
Page 84
DLF INFRASTRUCTURE
1.69
1.89
L&T INFRASTRUCTURE
1.65
RELIANCE INFRASTRUCURE
1.72
1.95
1.9
1.85
1.8
1.75
1.7
1.65
1.6
1.55
1.5
DLF
JP ASSOCIATED
L&T
RELIANCE
ANALYSIS:It can be seen that JP ASSOCIATED has the highest Beta value and L&T has the lowest Beta
value. It can be seen that if the market changes by 1% The JP ASSOCIATED will be affected the
most and will change by (1.89) and L&T will be affected the least and will change by (1.65)
INTERPRETATION:JP ASSOCIATED is the preferred form of investment in the infrastructure sector in terms of beta
as it shows here that the risk is more but it has better potential to yield good profits.
L&T the least preferred form of investment in the infrastructure sector in terms of Beta as it
shows here that the risk is less and the potential to yield good profits is also less.
Page 85
ACC CEMENT
0.802
AMBUJA CEMENT
0.8519
JK LAXMI CEMENT
1.28
ULTRATECH CEMENT
0.662
1.4
1.2
1
0.8
0.6
0.4
0.2
0
ACC CEMENT
AMBUJA CEMENT
ANALYSIS:It can be seen that JK LAXMI has the highest Beta value and ULTRATECH has the lowest Beta
value. It can be seen that if the market changes by 1% The JK LAXMI will be affected the most
and will change by (1.28) and ULTRATECH will be affected the least and will change by
(0.662)
INTERPRETATION:JK LAXMI is the preferred form of investment in the cement industry sector in terms of beta as
it shows here that the risk is more but it has better potential to yield good profits.
ULTRATECH the least preferred form of investment in the cement industry sector in terms of
Beta as it shows here that the risk is less and the potential to yield good profits is also less.
Page 86
STOCK NAME
ASHOK LEYLAND
0.258
BAJAJ AUTO
0.234
MARUTI SUZUKI
1.294
TATA MOTORS
1.90
2
1.8
1.6
1.4
1.2
1
0.8
0.6
0.4
0.2
0
ASHOK LEYLAND
BAJAJ AUTO
MARUTI SUZUKI
TATA MOTORS
ANALYSIS:It can be seen that TATA MOTORS has the highest Beta value and BAJAJ AUTO has the
lowest Beta value. It can be seen that if the market changes by 1% The TATA MOTORS will be
affected the most and will change by (1.90) and BAJAJ AUTO will be affected the least and will
change by (0.234)
INTERPRETATION:TATA MOTORS is the preferred form of investment in the automobile sector in terms of beta as
it shows here that the risk is more but it has better potential to yield good profits.
BAJAJ AUTO the least preferred form of investment in the automobile sector in terms of Beta as
it shows here that the risk is less and the potential to yield good profits is also less.
RNS INSTITUTE OF TECHNOLOGY
Page 87
BANK OF BARODA
0.935
BANK OF INDIA
-1.21
CANARA BANK
1.327
SYNDICATE BANK
1.45
2
1.5
1
0.5
0
BANK OF BARODA
BANK OF INDIA
CANARA BANK
SYNDICATE BANK
-0.5
-1
-1.5
ANALYSIS:It can be seen that SYNDICATE BANK has the highest Beta value and BANK OF INDIA has
the lowest Beta value. It can be seen that if the market changes by 1% The SYNDICATE BANK
will be affected the most and will change by (1.45) and BANK OF INDIA will be affected the
least and will change by (-1.21)
INTERPRETATION:SYNDICATE BANK is the preferred form of investment in the banking sector in terms of beta
as it shows here that the risk is more but it has better potential to yield good profits.
BANK OF INDIA the least preferred form of investment in the banking sector in terms of Beta
as it shows here that the risk is less and the potential to yield good profits is also less.
Page 88
Table 13: Performance of portfolio evaluation of stock and ranking of stock by Sharpes method
INFRASTRUCTURE SECTOR
STOCK
NAME
Sharpes
MARKET
RANK
JAIPRAKASH -0.585
ASSOCIATED
RELIANCE
-0.633
-1.27
-1.27
DLF
-0.657
-1.27
L&T
-0.660
-1.27
5
4
3
Sharpe's
MARKET
1
RANK
0
-1
JAIPRAKASH
ASSOCIATED
RELIANCE
DLF
L&T
-2
ANALYSIS:It can be observed that according to Sharpes index in the infrastructure sectors .Jai Prakash
associated has the highest value and the Sharpes of L&T has the lowest value.
INTERPRETATION:It says that in accordance to Sharpes index, in the infrastructure sectors Jai Prakash associated
has the performed best and the L&T infrastructure performed least.
Page 89
Table 14: Performance of portfolio evaluation of stock and ranking of stock by Sharpes method
Sharpes
MARKET
RANK
J.K SUPER
-0.381
-1.26
ULTRATECH
-0.598
-1.26
AMB UJA
-0.686
-1.26
ACC
-0.864
-1.26
5
4
3
Sharpe's
MARKET
1
RANK
0
J.K SUPER
ULTRATECH
AMBUJA
ACC
-1
-2
ANALYSIS:It can be observed that according to Sharpes index in the cement industry sectors .J.K SUPER
cement has the highest value and the Sharpes of ACC has the lowest value.
INTERPRETATION:It says that in accordance to Sharpes index, in the cement industry sectors J.K super has the
performed best and the ACC cement performed least.
Page 90
Table 15: Performance of portfolio evaluation of stock and ranking of stock by Sharpes method
AUTOMOBILE SECTOR
STOCK
NAME
Sharpes
MARKET
RANK
TATA
MOTORS
ASHOK
LEYLAND
-0.350
-1.26
-0.538
-1.26
BAJAJ AUTO
-0.573
-1.26
MARUTI
SUZUKI
-0.710
-1.26
5
4
3
Sharpe's
MARKET
1
RANK
0
TATA MOTORS
ASHOK LEYLAND
BAJAJ AUTO
MARUTI SUZUKI
-1
-2
ANALYSIS:It can be observed that according to Sharpes index in the Automobile sectors .TATA MOTORS
has the highest value and the Sharpes of MARUTI SUZUKI has the lowest value.
INTERPRETATION:It says that in accordance to Sharpes index, in the automobile sector TATA MOTORS has the
performed best and the MARUTI SUZUKI performed least.
RNS INSTITUTE OF TECHNOLOGY
Page 91
Table 16: Performance of portfolio evaluation of stock and ranking of stock by Sharpes method
BANKING SECTOR
STOCK
NAME
Sharpes
MARKET
RANK
CANARA
BANK
SYNDICATE
BANK
BANK OF
INDIA
BANK OF
BARODA
-0.512
-1.26
-0.574
-1.26
-0.584
-1.26
-0.600
-1.26
5
4
3
Sharpe's
MARKET
1
RANK
0
CANARA BANK SYNDICATE BANK BANK OF INDIA BANK OF BARODA
-1
-2
ANALYSIS:It can be observed that according to Sharpes index in the Banking sectors .CANARA BANK
has the highest value and the Sharpes of BANK OF BARODA has the lowest value.
INTERPRETATION:It says that in accordance to Sharpes index, in the banking sectors CANARA BANK has the
performed best and the BANK OF BARODA performed least.
Page 92
Table 17: Performance of portfolio evaluation of stock and ranking of stock by Treynors method
INFRASTRUCTURE SECTOR
STOCK
NAME
Treynors
MARKET
RANK
JAIPRAKASH -4.08
ASSOCIATED
L&T
-4.45
-3.68
-4.22
DLF
-4.69
-4.12
RELIANCE
-5.04
-4.05
5
4
3
2
1
Treynors
0
-1
-2
JAIPRAKASH
ASSOCIATED
L&T
DLF
RELIANCE
MARKET
RANK
-3
-4
-5
-6
ANALYSIS:It can be observed that according to Treynors index in the infrastructure sectors .Jai Prakash
associated has the highest value and the Treynors of RELIANCE has the lowest value.
INTERPRETATION:It says that in accordance to Treynors index, in the infrastructure sectors Jai Prakash associated
has the performed best and the RELIANCE infrastructure performed least.
RNS INSTITUTE OF TECHNOLOGY
Page 93
Table 18: Performance of portfolio evaluation of stock and ranking of stock by Treynors method
STOCK
NAME
Treynors
MARKET
RANK
J.K SUPER
-3.46
-5.44
AMBUJA
-6.17
-8.18
ACC
-7.21
-8.69
ULTRATECH
-7.42
-10.52
6
4
2
0
-2
J.K SUPER
AMBUJA
ACC
ULTRATECH
Treynor's
MARKET
-4
RANK
-6
-8
-10
-12
ANALYSIS:It can be observed that according to Treynors index in the cement industry sectors .J.K SUPER
cement has the highest value and the Treynors of ULTRATECH has the lowest value.
INTERPRETATION:It says that in accordance to Treynors index, in the cement industry sectors J.K super has the
performed best and the ULTRATECH cement performed least.
RNS INSTITUTE OF TECHNOLOGY
Page 94
Table 19: Performance of portfolio evaluation of stock and ranking of stock by Treynors method
AUTOMOBILE SECTOR
STOCK
NAME
Treynors
MARKET
RANK
TATA
MOTORS
MARUTI
SUZUKI
-3.71
-3.67
-5.48
-5.40
BAJAJ AUTO
-26.32
-29.8
ASHOK
LEYLAND
-28.97
-27.0
10
5
0
-5
TATA MOTORS
-10
MARUTI SUZUKI
BAJAJ AUTO
ASHOK LEYLAND
Treynor's
MARKET
-15
RANK
-20
-25
-30
-35
ANALYSIS:It can be observed that according to Treynors index in the Automobile sectors .TATA
MOTORS has the highest value and the Treynors of ASHOK LEYLAND has the lowest value.
INTERPRETATION:It says that in accordance to Treynors index, in the automobile sector TATA MOTORS has the
performed best and the ASHOK LEYLAND performed least.
RNS INSTITUTE OF TECHNOLOGY
Page 95
Table 20: Performance of portfolio evaluation of stock and ranking of stock by Treynors method
BANKING SECTOR
STOCK
NAME
Treynors
MARKET
RANK
BANK OF
INDIA
CANARA
BANK
SYNDICATE
BANK
BANK OF
BARODA
5.34
5.75
-4.59
-5.25
-4.88
-4.80
-5.93
-7.45
8
6
4
2
Treynor's
0
-2
BANK OF INDIA
BANK OF
BARODA
MARKET
RANK
-4
-6
-8
-10
ANALYSIS:It can be observed that according to Treynors index in the Banking sectors .BANK OF
INDIA has the highest value and the Treynors of BANK OF BARODA has the lowest value.
INTERPRETATION:It says that in accordance to Treynors index, in the banking sectors BANK OF INDIA has the
performed best and the BANK OF BARODA performed least.
Page 96
Table 21: Performance of portfolio evaluation of stock and ranking of stock by Jensens method
INFRASTRUCTURE SECTOR
STOCK
NAME
JENSENS
MARKET
RANK
JAIPRAKASH 5.45
ASSOCIATED
L&T
4.51
0.000
0.000
DLF
3.81
0.000
RELIANCE
3.31
0.000
6
5
4
JENSEN'S
MARKET
2
RANK
1
0
JAIPRAKASH
ASSOCIATED
L&T
DLF
RELIANCE
ANALYSIS:It can be observed that according to Jensens index in the infrastructure sectors .Jai Prakash
associated has the highest value and the Jensens of RELIANCE has the lowest value.
INTERPRETATION:It says that in accordance to Jensens index, in the infrastructure sectors Jai Prakash associated
has the performed best and the RELIANCE infrastructure performed least.
RNS INSTITUTE OF TECHNOLOGY
Page 97
Table 22: Performance of portfolio evaluation of stock and ranking of stock by Jensens method
STOCK
NAME
JENSENS
MARKET
RANK
J.K SUPER
4.47
0.000
AMBUJA
0.676
0.000
ACC
-0.201
0.000
ULTRATECH
-0.297
0.000
5
4
3
JENSEN'S
2
MARKET
RANK
1
0
J.K SUPER
AMBUJA
ACC
ULTRATECH
-1
ANALYSIS:It can be observed that according to Jensens index in the cement industry sectors .J.K SUPER
cement has the highest value and the Jensens of ULTRATECH has the lowest value.
INTERPRETATION:It says that in accordance to Jensens index, in the cement industry sectors J.K super has the
performed best and the ULTRATECH cement performed least.
RNS INSTITUTE OF TECHNOLOGY
Page 98
Table 23: Performance of portfolio evaluation of stock and ranking of stock by Jensens method
AUTOMOBILE SECTOR
STOCK
NAME
JENSENs
MARKET
RANK
TATA
MOTORS
MARUTI
SUZUKI
BAJAJ AUTO
6.17
0.000
1.95
0.000
-4.52
0.000
ASHOK
LEYLAND
-5.67
0.000
8
6
4
2
JENSEN'S
MARKET
TATA MOTORS
MARUTI SUZUKI
-2
BAJAJ AUTO
ASHOK LEYLAND
RANK
-4
-6
-8
ANALYSIS:It can be observed that according to Jensens index in the Automobile sectors .TATA MOTORS
has the highest value and the Jensens of ASHOK LEYLAND has the lowest value.
INTERPRETATION:It says that in accordance to Jensens index, in the automobile sector TATA MOTORS has the
performed best and the ASHOK LEYLAND performed least.
RNS INSTITUTE OF TECHNOLOGY
Page 99
Table 24: Performance of portfolio evaluation of stock and ranking of stock by Jensens method
BANKING SECTOR
STOCK
NAME
JENSENs
MARKET
RANK
CANARA
BANK
SYNDICATE
BANK
BANK OF
BARODA
BANK OF
INDIA
3.14
0.000
3.02
0.000
0.975
0.000
-14.89
0.000
0
CANARA BANK SYNDICATE BANK
-5
BANK OF
BARODA
BANK OF INDIA
JENSEN'S
MARKET
-10
RANK
-15
-20
ANALYSIS:It can be observed that according to Jensens index in the Banking sectors .CANARA BANK has
the highest value and the Jensens of BANK OF INDIA has the lowest value.
INTERPRETATION:It says that in accordance to Jensens index, in the banking sectors CANARA BANK has the
performed best and the BANK OF INDIA performed least.
RNS INSTITUTE OF TECHNOLOGY
Page 100
FINDINGS AND
SUGGESTIONS
Page 101
FINDINGS
It can be seen that in the infrastructure sectors no one have the better returns then the
market rate of returns all the companies have the less returns then the market rate of
returns.
It can be seen that in the cement industry sectors J.K SUPER CEMENT HAVE better
returns then other three Company ACC CEMENT, AMBUJA CEMENT and
ULTRATECH CEMENT.
It can be seen that in automobile sector BAJAJ AUTO have better returns than market
and ASHOK LEYLAND, MARUTISUZUKI and TATA MOTORS have lesser returns
then the market.
It can be seen that in the banking sector BANK OF BARODA, BANK OF INDIA and
CANARA BANK have better returns in the market.
It can be seen that in the infrastructure sectors Reliance infrastructure have highest
standard deviation (13.69) and L&T have lowest standard deviation (10.59).
It can be seen that in the infrastructure sectors JK LAXMI CEMENT have highest
standard deviation (11.64) and ACC CEMENT have lowest standard deviation (6.70).
It can be seen that in the automobile sectors TATA MOTORS have highest standard
deviation (20.19) and MARUTI SUZUKI have lowest standard deviation (9.95.
It can be seen that in the Banking sectors SYNDICATE BANK have highest standard
deviation (12.32) and BANK OF BARODA have lowest standard deviation (9.23).
It can be seen that JP ASSOCIATED has the highest Beta value and L&T has the lowest
Beta value.
It can be seen that JK LAXMI has the highest Beta value and ULTRATECH has the
lowest Beta value.
It can be seen that TATA MOTORS has the highest Beta value and BAJAJ AUTO has
the lowest Beta value.
It can be seen that SYNDICATE BANK has the highest Beta value and BANK OF
INDIA has the lowest Beta value.
It can be observed that according to Sharpes index in the infrastructure sectors .Jai
Prakash associated has the highest value and the Sharpes of L&T has the lowest value.
It can be observed that according to Sharpes index in the cement industry sectors .J.K
SUPER cement has the highest value and the Sharpes of ACC has the lowest value.
It can be observed that according to Sharpes index in the Automobile sectors .TATA
MOTORS has the highest value and the Sharpes of MARUTI SUZUKI has the lowest
value.
It can be observed that according to Sharpes index in the Banking sectors .CANARA
BANK has the highest value and the Sharpes of BANK OF BARODA has the lowest
value.
Page 102
CONCLUSION
Page 103
Conclusions
Kotak securities helped me in gaining practical knowledge in the area of stock market
Like:
However by the above data analysis and interpretation we can conclude that:
Investor should carefully examine the stock market before investment because
investments are subject to market risks.
Investments can be made by the opinion of the experts.
Before investing shareholders should study the variables like FUNDAMENTAL
ANALYSIS:
Economic Analysis, Industry Analysis, Company Analysis, Technical Analysis.
Volume of Trading, Bar &Line Charts, Moving Averages etc.
In Infrastructure sectors no one have the better return compare to market return.
In cement industry sectors JK SUPER CEMENT has the highest return compare to others
and risk is also high.
In automobile sector BAJAJ AUTO has the highest return compare to others and risk is
also high.
In banking sector BANK OF BARODA has the highest returns compare to others and
risk is also less so that investors should have to invest in BANK OF BARODA compare
to other banks in the banking sectors.
Page 104
Page 105