KHOJ: Journal of Indian Management Research and Practices

Namrata H. Deshmukh ¹, Prasad V. Joshi ¹

Affiliations
1 MET Institute of Management, Bhujbal Knowledge City, Nashik, IN

Abstract

There are various investors who wish to invest their money in Stock markets but are unaware of the concept of diversification&portfolio construction. The paper here thus attempts to create a portfolio using fundamental criteria of Operating Profit Margin, ROCE&ROE. The Sharpe Portfolio construction model is then applied on the selected stocks with good fundamentals. A sample of 26 stocks is taken and the Sharpe model is applied to select the stocks with buying opportunities. The research undertakes a period of 6 years for the study bifurcating it into three phases viz. 3-3 years, 4-2 years&5-1 years of portfolio construction and portfolio evaluation phase respectively.

Keywords

Sharpe, Portfolio, Cut Off, Mean, Variance, Small Portfolio.

Full Text

   

Namrata H. Deshmukh ¹, Prasad V. Joshi ¹

Affiliations
1 MET Institute of Management, Bhujbal Knowledge City, Nashik, IN

Abstract

There are various investors who wish to invest their money in Stock markets but are unaware of the concept of diversification&portfolio construction. The paper here thus attempts to create a portfolio using fundamental criteria of Operating Profit Margin, ROCE&ROE. The Sharpe Portfolio construction model is then applied on the selected stocks with good fundamentals. A sample of 26 stocks is taken and the Sharpe model is applied to select the stocks with buying opportunities. The research undertakes a period of 6 years for the study bifurcating it into three phases viz. 3-3 years, 4-2 years&5-1 years of portfolio construction and portfolio evaluation phase respectively.

Keywords

Sharpe, Portfolio, Cut Off, Mean, Variance, Small Portfolio.

Full Text