Beruflich Dokumente
Kultur Dokumente
adani
tata power
power
No: of
Annual avg
trading 249 -43.7% 208.2%
return
days/year
Variance,
0.105% 0.180%
daily return
Correlation,
daily return
(tata power -0.112
& adani
power)
Stock Weightage Annual Avg Return Variance, daily return
tata power 60% -43.7% 0.105%
adani power 40% 208.2% 0.180%
Covariance, daily return (tata power & adani
-0.000154
power)
No: of trading days/year 249
Risk free return, Rf 6.98%
Recommended to have 60% investment in adani power and 40% investment in tata power
Portfolio
Portfolio
tata adani nifty 50 tata power adani Portfolio variance, Std dev,
power power power return return(An
Return
nual)
Annual
-43.7% 208.2% -15.7% 0% 100% 208.2% 0.2% 66.9%
avg return
Variance,
daily 0.001054 ### ### 5% 95% 195.6% 0.2% 63.3%
return
10% 90% 183.0% 0.1% 59.8%
Covarianc
e, daily
return
(tata -0.000154 15% 85% 170.4% 0.1% 56.5%
power &
adani
power)
No: of
trading 249 25% 75% 145.2% 0.1% 50.4%
days/year
Risk free
6.98% 35% 65% 120.0% 0.1% 45.1%
return, Rf
adani
100% 208.2% 0.180% 60% 40% 57.1% 0.1% 38.4%
power
65% 35% 44.5% 0.1% 38.5%
100% 70% 30% 31.9% 0.1% 39.1%
75% 25% 19.3% 0.1% 40.2%
Expected
Portfolio 208.1% 80% 20% 6.7% 0.1% 41.7%
return
Portfolio
variance, 0.180% 85% 15% -5.9% 0.1% 43.6%
Return
Portfolio
Standard
Deviation, 66.9% 90% 10% -18.5% 0.1% 45.8%
return(An
nual)
Point of X Y
coordinat coordina
tangency e te
66.9% 208.1%
Efficient Frontier
90.0%
80.0%
70.0%
60.0%
Portfolio Return
50.0%
40.0%
30.0%
20.0%
10.0%
0.0%
0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 30.0% 35.0% 40.0%
f(x) = 0.385159882543455 x
R² = 0.664705318471962
0
-0.5 -0.4 -0.3 -0.2 -0.1 0 0.1 0.2
-0.05
-0.1
-0.15
-0.2
tata power
Correlation from graph 0.0043
Beta 0.00908827917704005
Market return, Rm -15.69%
Risk free Return, Rf 6.98%
Expected Return 6.8%
0
f(x) = − 0.0504144179194467 x
-0.2 -0.1 0 0.1 0.2 0.3 0.4
R² = 0.0195332528463941
-0.05
-0.1
-0.15
-0.2
adani power
Correlation from graph 0.3077
Beta 0.849033941626129
Market return, Rm -15.69%
Risk free Return, Rf 6.98%
Expected Return -12.3%