Monday, 04 Dec, 2023




Comparative Risk-Returns Analysis of Stocks in the Indian Stock Market

Journal of Commerce and Accounting Research

Volume 11 Issue 3

Published: 2022
Author(s) Name: Shefali, Manjit Kour | Author(s) Affiliation: University School of Business, Chandigarh University, Mohali, Punjab, India.
Locked Subscribed Available for All


Click Here:Access Full Text

The broad objective of this paper is to examine the returns and the risk associated with selected securities in the Indian securities market. The fluctuation of individual securities was found out. A sample of 50 companies were drawn from the companies listed in BSE in ten different sectors; five from each, representing the energy, materials, metal – non-ferrous, healthcare, banking, information technology, capital goods, finance, Indian infrastructure, and oil & gas sectors. The study was conducted for a period of five years, commencing from 1 January 2016 to 31 December 2020. The average returns of these selected securities were calculated, and their returns fluctuations on a monthly basis (using MS Excel function – average and variance, respectively), to find whether securities with high fluctuations resulted in high returns and vice-versa. Then every company’s returns were compared with their respective sectors’ S&P BSE Index to analyse whether there is a significant difference in returns (using F-test). The result of the analysis carried out showed that the securities which fall under the low risk categories have sometimes performed better than securities which fall under high risk securities, but it was the high risk securities that gave more returns on average, during the period 2016-2020, but only to some extent. Ten stock returns were found to be significantly different than the index returns. The report provides an insight and could be helpful to any rational investor, fund managers, and academicians in general.

Keywords: BSE Index, Securities, Risk and Returns, Indian Stock Market

View PDF

Refund policy | Privacy policy | Copyright Information | Contact Us | Feedback ©, All rights reserved