مرکز منطقه ای اطلاع رساني علوم و فناوري - AN APPROACH TOWARDS OPTIMAL PORTFOLIO MANAGEMENT

Arabic abstract :

The portfolio building technique is analyzed using Statistical Analysis. The technical ratios and risk analysis of different securities are analyzed with respect to other securities. After analyzing the result, the securities giving the maximum return with respect to the risk associated with that security are analyzed further for building the portfolio. The Sharpe’s single index model and Markowitz model of risk-return optimization are used for the portfolio building. The equity’s used for this analysis are those which are traded in National Stock Exchange. The sector analysis of some sectors is done to compare the particular stock belonging to that sector. The mutual funds that are top performing since last year are taken into consideration. The gold as a commodity is taken for investment. The study concludes by saying that there is a relationship between different risk levels and returns associated with the particular asset class. Investors can diversify their risk by having securities of different sector to get the best returns.