Project Report On SECURITY ANALYSIS A STUDY ON SELECTED INDUSTRIES A Project Report Submitted to in the partial fulfillment for the

award of the degree in Master of Business Administration.

CERTIFICATE ! T"E #$I%E

Thi& to certif' that the (. .A Project Report titled )SECURITY ANALYSIS A STUDY ON SELECTED INDUSTRIES* &ubmitted in partial fulfillment for the award of po&t+graduate %egree in )Master of Business Administration* from ,,,- "'derabad wa& carried out b' ,,,, under m' guidance- during the academic 'ear .//0+/1.

Signature of the "ead

Signature of the #uide

ACKNOWLED EMENT I ta2e thi& opportunit' to e3pre&& m' gratitude to all- who ha4e made it po&&ible for me to accompli&h thi& project wor2.

I e3pre&& m' &incere than2& to m' guide ,,,, for gi4ing me 4aluable guidance through out the project. The ad4ice and &ugge&tion& gi4en b' him- had immen&el' helped me to gain wor2ing 2nowledge on the a&&ignment under ta2enand he ha& al&o ta2en per&onal care in helping me through out the project wor2. At the &ame time I than2 all m' friend& who encouraged and helped bringing out m' project &ucce&&full'. (' parent& ha4e been a con&tant &ource of the &upport through out m' life. Thi& wor2 would not ha4e been complete but for the &olace the' pro4ide to me whene4er- I ran into difficultie&. 5o word& can e3plain m' gratitude to them.

DECLARATION

I hereb' declare that the project entitled )SECURITY ANALYSIS!A STUDY ON SELECTED INDUSTRIES* i& m' original wor2 &ubmitted to the department of u&ine&& (anagement of """- from """ i& a bonafide wor2 underta2en b' me and i& not &ubmitted to an' other $ni4er&it' or In&titution for the award of an' degree diploma6certificate or publi&hed an' time before.

,,,,

TABLE O# CONTENTS

SL$NO &$

%ARTICULARS INTRODUCTION Im)ortan*e of in+estment Meanin, A+enues of in+estment Dri+in, for*es of in+estment O-.e*ti+e of t/e stud0 S*o)e of t/e stud0 Limitations of t/e stud0 Assum)tions of t/e stud0 Resear*/ met/odo1o,0

%A E '!&(

2$

ANALYSIS O# DATA Return Measurement of return Returns for Ban45 Auto5 I$T 6 %/arma Industries #1u*tuations in t/e )ri*es of t/e se1e*ted s/ares in res)e*ted industries Constru*tion of inde7 for Ban45 Auto5 I$T 6 %/arma Industries Co!effi*ient of +ariation Com)arison on t/e -asis of C$8 Ban45 Auto5 I$T5 %/arma Industries 6 Industr0 9ise

&(!3&

:$

CONCLUSIONS AND RECOMMENDATIONS BIBILO RA%;Y INTRODUCTION

32!33 3<

IM%ORTANCE O# IN8ESTMENT= ! An in4e&tor ha& 4ariou& alternati4e option& 7a4enue&8 of in4e&tment for hi& &a4ing& to flow to. Sa4ing& 2ept a& ca&h are barren and do not earn an'thing. "ence &a4ing& are in4e&ted in a&&et& depending on their ri&2 and return characteri&tic&. The objecti4e of the in4e&tor i& to minimi9e the ri&2 in4ol4ed in in4e&tment and ma3imi9e the return from the in4e&tment. Our &a4ing& 2ept a& ca&h are not onl' barren becau&e the' do not earn an'thing- but al&o lo&e& it& 4alue to the e3tent of ri&e in price&6 thu& ri&e in price& or inflation erode& the 4alue of mone'. Sa4ing& are in4e&ted to pro4ide a hedge or protection again&t inflation. If the in4e&tment cannot earn a& much a& the ri&e in price&- the real rate of return would be negati4e. Thu&- if inflation it at an

a4erage annual rate of:/percent- then the return from an in4e&tment &hould be abo4e :/ percent to induce &a4ing& to flow into in4e&tment.

MEANIN =! In4e&tment mean& )po&tponed pre&ent con&umption* )it ma' mean man' thing& to man' per&on&. If one per&on ha& ad4anced &ome mone' to another- he ma' con&ider hi& loan a& a n in4e&tment. "e e3pect& to get bac2 the mone' along with intere&t at a future date.* )Another per&on ma' ha4e purcha&ed one 2g of gold for the purpo&e of price appreciation and ma' con&ider it a& an in4e&tment.* )a 'oung couple ma2e& a down pa'ment on their fir&t hou&e. Thi& i& al&o an in4e&tment 7&uppo&e the' paid ;///6+. 5ow the' are &ta'ing in rent hou&e per 'ear 0///6+ If the' &pend that ;//6+ for rent the' ma' get better hou&e than it for rent. So it i& al&o po&tponement of con&umption8 elow diagram e3plain& the perfect mean how an in4e&tment i& po&tponement of con&umption :/< 7"r ha& a opportunit' of getting <=intere&t if he ha& in4e&t8 >:..

0/

://

Co

Co i& the current 'ear con&umption a3e& he can con&ume high a& :// low a& /. C: i& the ne3t 'ear con&umption high a& :/<?low a& /. According to the diagram he con&umed 0/6+ and he in4e&ted remaining>/6+ he got >:..6+)&o he got more.* A8ENUES O# IN8ESTMENT=! Corporate &ecuritie& %epo&it& in ban2& and non+ban2ing companie& $TI and other mutual fund &cheme& Po&t office depo&it& and certificate& @ife in&urance police& Pro4ident fund &cheme& #o4ernment and &emi+go4ernment &ecuritie&

DRI8IN

#ORCES O# IN8ESTMENT=!

Though there are man' factor& that influence the deci&ion of in4e&ting in a&&et&- there are &ome main dri4ing force& that cau&e in4e&tment in an' &ociet' li2e Retirement plan

A4oidance of ta3ation Tempting high rate& of intere&t "igh inflation and re&ultant e3pectation of increa&e in the monetar' return "i2e in income A4ailabilit' of a large number of in4e&tment a4enue& @egal &afeguard& E3i&tence of financial in&titution& to encourage &a4ing& etc..

T;E %ROCESS O# IN8ESTMENT= The in4e&tment proce&& in4ol4e& a &erie& of acti4itie& leading to the purcha&e of &ecuritie& or other in4e&tment alternati4e&. The in4e&tment proce&& can be di4ided into fi4e &tage&. :8 .8 <8 >8 ;8 Farming of in4e&tment polic' In4e&tment anal'&i& Aaluation Portfolio con&truction Portfolio e4aluation In+estment %ro*ess

In4e&tment Polic'

Anal'&i&

Aaluation

Portfolio Con&truction

Portfolio E4aluation

+In4e&tible fund +Objecti4e& +Bnowledge

+Fundamental +Technical +Efficient (ar2et "'pothe&i&

+Intrin&ic 4alue +Future Aalue

+%i4er&ification +Selection? Allocation

+Apprai&al +Re4i&ion

IN8ESTMENT %OLICY The go4ernment or the in4e&tor before proceeding into in4e&tment formulate& the polic' for the &'&tematic functioning. The e&&ential ingredient& of the polic' are the In4e&tible fund&- objecti4e& and the 2nowledge about the in4e&tment alternati4e& and mar2et. In+esti-1e funds The entire in4e&tment procedure re4ol4e& around the a4ailabilit' of in4e&tible fund&. The fund ma' be generated through &a4ing& or from borrowing&. If the fund& are borrowed- the in4e&tor ha& to be e3tra careful in the &election of in4e&tment alternati4e&. The return &hould be higher than the intere&t he pa'&. (utual fund& in4e&t their ownerC& mone' in &ecuritie&. O-.e*ti+es The objecti4e& are framed on the premi&e& of the reDuired rate of return- need for regularit' of income- ri&2 perception and the need for liDuidit'. The ri&2 ta2erC& objecti4e i& to earn high rate of return in the form of capital appreciation- wherea& the primar' objecti4e of the ri&2 a4er&e i& the &afet' of the principle. Kno91ed,e The 2nowledge about the in4e&tment alternati4e& and mar2et& pla'& a 2e' role in the polic' formulation- the in4e&tment alternati4e& range from &ecurit' to real e&tate- the ri&2 and return a&&ociated with in4e&tment alternati4e& differ from each other. In4e&tment in eDuit' i& high 'ielding but ha& more ri&2 than the fi3ed income &ecuritie&. The ta3 &heltered &cheme& offer ta3 benefit& to the in4e&tor&. The in4e&tor &hould be aware of the &toc2 mar2et &tructure and the function& of the bro2er&. The mode of operation 4arie& among SE- 5SE- and OTCEI.

ro2erage charge& are al&o different. The 2nowledge about the &toc2 e3change& enable& him to trade the &toc2 intelligentl'.

SECURITY ANALYSIS After formulating the in4e&tment polic'- the &ecuritie& to be bought ha4e to be &crutini9ed through either Fundamental anal'&i& or Technical anal'&i& or Efficient (ar2et "'pothe&i& theor'.

#undamenta1 Ana10sis= Fundamental anal'&i& i& reall' a logical and &'&tematic approach to e&timating the future di4idend& and &hare price. It i& ba&ed on the ba&ic premi&e that &hare price i& determined b' a number of fundamental factor& relating to the econom'- indu&tr' and compan'. Te*/ni*a1 Ana10sis: According to technical anal'&i& the in4e&tor& belie4e that &hare price& are determined b' the demand and &uppl' force& operating in the mar2et. The&e demand and &uppl' force& in turn are influenced b' a number of fundamental factor& a& well a& certain p&'chological or emotional factor&. (an' of the&e factor& cannot be Duantified. The technical anal'&t therefore concentrate& on the mo4ement of &hare price&. "e claim& that b' e3amining pa&t &hare price mo4ement& future &hare price& can be Accuratel' predicted. Technical anal'&i& i& the name gi4en to foreca&ting techniDue& that utili9e hi&torical &hare price data. The rationale behind technical anal'&i& i& that &hare price beha4ior repeat& it&elf o4er time and the anal'&t attempt& to dri4e method& to predict thi& repetition.

Random Wa14 T/eor0= Stoc2 price& are determined b' a number of factor& &uch a& fundamental factor&- technical factor& and p&'chological factor&. The beha4ior of &toc2 price& i& &tudied with the help of different method& &uch a& fundamental anal'&i& and technical anal'&i&. Fundamental anal'&i& &ee2& to e4aluate the

intrin&ic 4alue of &ecuritie& b' &tud'ing the fundamental factor& affecting the performance of the econom'- indu&tr' and companie&. Technical anal'&i& belie4e& that the pa&t beha4iour of &toc2 price& gi4e& an indication of the future beha4iour. It trie& to &tud' the pattern& in &toc2 price beha4iour through chart& and predict the future mo4ement in price&. There i& a third theor' on &toc2 price beha4iour- which Due&tion& the a&&umption& of technical anal'&i&. The ba&ic a&&umption in technical anal'&i& i& that &toc2 price mo4ement i& Duite orderl' and not random. The new theor' Due&tion& thi& a&&umption. From the re&ult& of &e4eral empirical &tudie& on &toc2 price mo4ement&- the ad4ocate& of the new theor' a&&ert that &hare price mo4ement& are random. The new theor' came to be 2nown a& Random Eal2 Theor' becau&e of it& principal contention that &hare price mo4ement& repre&ent a random wal2 rather than an orderl' mo4ement.

8ALUATION The 4aluation help& the in4e&tor to determine the return the return and ri&2 e3pected from an in4e&tment in the common &toc2. The intrin&ic 4alue of the &hare i& mea&ured through the boo2 4alue of the &hare and price earning ratio. Simple di&counting model& al&o can be adopted to 4alue the &hare&. The &toc2 mar2et anal'&t& ha4e de4eloped man' ad4anced model& to 4alue the &hare&. The real worth of the &hare i& compared with the mar2et price and then the in4e&tment deci&ion& and made. #uture +a1ue Future 4alue of the &ecuritie& could be e&timated b' u&ing a &imple &tatical techniDue li2e rend anal'&i&. The anal'&i& of the hi&torical beha4iour of the price enable& the in4e&tor to predict the future 4alue. CONSTRUCTION O# %ORT#OLIO A portfolio i& a combination of &ecuritie&. The portfolio i& con&tructed in &uch a manner to meet the in4e&torC& goal& and objecti4e&. The in4e&tor &hould decide

how be&t to reach the goal& with the &ecuritie& a4ailable. The in4e&tor trie& to attain ma3imum ri&2. Toward& thi& end he di4er&ifie& hi& portfolio and allocate& fund& among the &ecuritie&.

Di+ersifi*ation The main objecti4e of di4er&ification i& the reduction of ri&2 in the lo&& of capital and income. A di4er&ified portfolio i& comparati4el' le&& ri&2' than holding a &ingle portfolio. There are &e4eral wa'& to di4er&if' the portfolio. %ebt and eDuit' di4er&ification %ebt in&trument& pro4ide a&&ured return with limited capital appreciation. Common &toc2& pro4ide income and capital gain but with the fla4our of uncertaint'. oth debt in&trument& and eDuit' are combined to complement each other.

Indu&tr' di4er&ification Indu&trie&C growth and their reaction to go4ernment policie& differ from each other. an2ing indu&tr' &hare& ma' pro4ide regular return& but with limited capital appreciation. The information technolog' &toc2 'ield& high return and capital appreciation but their growth potential after the 'ear.//. i& not predictable. Thu&- indu&tr' di4er&ification i& needed and it reduce& ri&2. Compan' di4er&ification Securitie& from different companie& are purcha&ed to reduce ri&2. Technical anal'&t& &ugge&t the in4e&tor& to bu' &ecuritie& ba&ed on the price mo4ement. Fundamental anal'&t& &ugge&t the &election of financiall' &ound and in4e&tor friendl' companie&.

Se1e*tion a&ed on the di4er&ification le4el- indu&tr' and compan' anal'&e& the &ecuritie& ha4e to be &elected. Fund& are allocated for the &elected &ecuritie&. Selection of &ecuritie& and the allocation of fund& and &ale& the con&truction of portfolio.

E8ALUATION

The portfolio ha& to be managed efficientl'. The efficient management call& for e4aluation of the portfolio thi& proce&& con&i&t& of portfolio apprai&al and re4i&ion. A))raisa1 The return and ri&2 performance of the &ecurit' 4ar' from time to time. The 4ariabilit' in return of the &ecuritie& i& mea&ured and compared. The de4elopment& in the econom'- indu&tr' and rele4ant companie& from which the &toc2& are bought ha4e to/ be apprai&ed. The apprai&al warn& the lo&& and &tep& cab be ta2en to a4oid &uch lo&&e&. Re+isionF depend& on the re&ult& of the apprai&al. The low 'ielding &ecuritie& with high ri&2 are replaced with high 'ielding &ecuritie& with low ri&2 factor. To 2eep the return at a particular le4el nece&&itate& the in4e&tor to re4i&e the component& of the portfolio periodicall'.

OB>ECTI8ES O# T;E STUDY= !

To a&certain the return both firm wi&e and indu&tr' wi&e a& a whole To Bnow the ri&2 factor in the firm and Indu&tr' a& a whole To 2now the fluctuation& of the &ecurit' price& of the &elected firm&. To compare Indu&tr' inde3 with SE+.// Inde3 in 4ariou& a&pect&.

SCO%E O# T;E STUDY= !

Thi& &cope of &tud' i& limited to few &elected indu&trie&. Tho&e are Pharmaceutical- Information Technologie&- Automobile- ? an2ing Indu&tr'.

In tho&e indu&trie&- onl' &ome are &elected. The' are 0companie& each from pharmaceutical- I.T.- Automobile indu&tr' and :. companie& from ban2ing indu&tr'.

Thi& &tud' i& anal'&i& of pre4iou& twel4e month& 7Gan+/0 to %ec+/08 data relating to price& of &hare& in omba' Stoc2 E3change onl'.

LIMITATIONS O# STUDY= ! Thi& &tud' i& limited to &ome &elected indu&trie& 7Pharmaceutical- an2ing- Information technologie& ?Automobile8 %i4idend i& not con&idered in the calculation of Return. Price change i& onl' ta2en into con&ideration. Situation& in &toc2 mar2et are alwa'& &ubject to change.

ASSUM%TIONS O# T;E STUDY=

Thi& &tud' a&&ume& than an in4e&tor purcha&e& the &hare at the beginning of the month and he &ell& the &hare at the end of the month. In4e&tor& ma2e the deci&ion on the ba&i& of pre4iou& return& and ri&2& that are un&'&tematic ri&2&. For calculating the return& of each indu&tr' thi& &tud' a&&ume& that the inde3e& are ta2en in to con&ideration. The in4e&tor& gi4e preference to the &ecuritie& that ha4e gi4en po&iti4e return& pre4iou&l'.

RESEARC; MET;ODOLO Y

Data Co11e*tion= ! Since the primar' data i& not a4ailable within the time permitted- and &o &econdar' data ha& been generated from &econdar' &ource&- i.e.- from web &ource& and periodic in4e&tment journal&.

%eriod of stud0= ! Thi& &tud' i& conducted for twel4e month&- i.e.- from Ganuar' .//0 to %ecember .//0. Too1s for e+a1uation= ! Stati&tical tool& for e4aluation&F Sam)1e se1e*tion= ! Sample& &elected are li&ted in SE+.// SE5SE,. The total indu&trie& in4ol4ed in SE+.// are :1 Indu&trie&. Randoml' four Indu&trie& are &elected for thi& &tud'. Of four &elected indu&trie& 0/= of companie& are &elected in each indu&tr'. @ISTE% PharmaceuticalF + :/ SE@ECTE% 0 PERCE5TA#E 0/ Standard de4iation 787Ri&28 Aariation . 7$n&'&tematic Ri&28 Co+efficient of 4ariation 7CA8 A4erage Inde3 7&imple a4g. method8

Information TecF + AutomobileF + an2ingF +

:/ :/ ./

0 0 :.

0/ 0/ 0/

ANALAYSIS O# DATA RETURN= ! A major purpo&e of in4e&tment i& to get a return or income on the fund& in4e&ted. On a bond an in4e&tor e3pect& to recei4e intere&t. On a &toc2- di4idend& ma' be anticipated. The in4e&tor ma' e3pect capital gain& from &ome in4e&tment& and rental income from &ome in4e&tment& and rental income from hou&e propert'. Return ma' ta2e &e4eral form&. Measurement or Returns=!

The purpo&e of in4e&tment i& to get a return or income on the fund& in4e&ted in different financial a&&et&. The mo&t important characteri&tic& of financial a&&et& are the &i9e and 4ariabilit' of their future return&. Since the return on 'ear& man' method& were adopted for Duantif'ing return&. In thi& &tud' I con&idered onl' price& but not di4idend in the calculation return becau&e the in4e&tor& main moti4e to in4e&t in &hare& i& ma2e the profit from change& in price& of &hare&. ThatC& wh' I calculated return from the price& of the &hare& onl'.

Return H 7P: I P/86P/ EhereF P: H Clo&ing price of the &hare P/ H Opening price of the &hare

In thi& Chapter I &how the return& for each unit wi&e and indu&tr' wi&e.

Returns for -an4in, industr0= ! TABLE NO$& And/ra Ban4 Date O%EN CLOSE Gan+/0 J< J..1; Feb+/0 J<.1; 1K.0 (ar+/0 1K.J 1/.1 Apr+/0 1:.:; 1/ (a'+/0 1< K...; Gun+/0 K..J; 0..; Gul+/0 0>.J K<.J ;D#C Ban4 Ltd$ O%EN CLOSE K:/.J K0..;; K0K.J K<0./; K<1 KK<.; K0; 1.0.0 1<; K>/.. K>/ KJ:.:; K>/ KJ;./; ORIENTAL BANK O# COMMERCE Return O%EN CLOSE Return K..K .K:.; .;/.>; +K.K; +>.:; .;:.: .>/.J +>./0 >.1: .>/ .<;.1; +:.K< 1./; .<K.1 .<<./; +..// +::.<; .<>.J ./..:; +:<.J> 0.J: .//.J :K/.> +:;.:1 K.>> :0; :K0.>; 0.J>

Return +/.:0 +0.00 +1./1 +:.>. +:..J; +:>.<. :<.1K

Aug+/0 Sep+/0 Oct+/0 5o4+/0 %ec+/0

K>.> 1K.; J>.; J..:; J/

1K.<; J;..; J<.< 1J.>; 10.0

:K.>: 1.10 +:..K +..J< +<.K1

KJ/./; 1>/ J:. :-/:K.// :-:...//

1;<.:; J.0 :-//>./; :-::1.>/ :-/0J.K;

K.JJ :/..> :/./J J.JK +>.00

:KK :J> .K/ .;1.J; .>K

:J<.0; .K:.0; .;K .>;.; ..0.;

J.>: >/./< +>.1: +;.:J +1.</

TABLE NO$2 State Ban4 of India Date O%EN CLOSE Gan+/0 J/J.1 110.1 Feb+/0 1J/ 1KK.. (ar+/0 11/ J01./; Apr+/0 J01.; J:<.0; (a'+/0 J:K 1<: Gun+/0 1<J K.K.> Gul+/0 K<> 1:/./; Aug+/0 1// J</ Sep+/0 J.1 :-/.1.</ Oct+/0 :-/::.// :-/J;.;/ 5o4+/0 :-/J;.// :-<:>.// %ec+/0 :-<:>.// :-.>;.J/ ICICI BANK Ltd$ Return O%EN CLOSE Return +..;< ;10..; 0/J.:; <.J: +:.>> 0:/.// 0:;.:/ /.1> :/./: 0:J.// ;1J..; +>.1: +;.00 ;J..// ;J/..; +/.</ +J.<1 0/;.// ;<0./; +::.>/ +:<.</ ;>;.// >1K.>/ +:/.;K :/.<0 >11./; ;;>./; :<.;. :0..; ;;:.// ;J0.;/ 1..0 :/.1: ;1;.:/ 0JJ./; :J.>1 1.<0 K//.// KK0.1; :/.J1 ./.// KKK.// 1K:.>; :..:0 +;.:1 1K;.// 1J/.>/ :.K0 UTI BANK Ltd$ O%EN CLOSE .J..// <<K.:; <<>./; <.1.<; <.K.// <;0.<; <</./; <>K./; <;;.// .1;.1/ .J..// .00.K; .K..// .JK.1; .J1.;/ <>..J/ <>..// <KJ../ <1/.:/ ><<.K; ><0.// >K>./; >KJ.>; >0J./;

Return :;.>0 +:.K: 1.J1 ;.:; +:J.>J +1.0; J.;/ :>.1K :/.11 :>.:: 1.K< +..:K

Canara Ban4 CLOS O%EN Gan+/0 .>< Feb+/0 .;: (ar+/0 .10.; Apr+/0 .0K.J; .>J.:; .10.:; .00.J .;>.:

TABLE NO$: 8I>AYA BANK CLOS Return O%EN ..;< 0:.> :>.// 0... +0.1> ;K.; +;.:K ;< 0:..; ;K.. ;..;; ;<.. Return +/..> +1./> +1.0: /.<1 O%EN :.<.:/ :.;.// :...1/ :.>.//

UNION BANK CLOSE :.<.J/ :..../ :.:.1; ::0.1; Return /.0; +...> +/.KK +;.KK

(a'+/0 .;0.< ..J..; +:/.;; ;<.K ><.J Gun+/0 .<. .//.1 +:<.>; >;.1 <J.; Gul+/0 ./:.: :J0.0; +...: >/ >:.J; Aug+/0 :J1.; ..:.. ::.>> >. >K./; Sep+/0 ..< .1>.:; .K.>. >K.;; ;0.K Oct+/0 .1K.J .J> ..:. ;K ;K.. 5o4+/0 .JK.1 .JK.K; +/./. ;K.:; ;:.:; %ec+/0 </: .K0.. +1..> ;..>; >K.: INDIAN O8ER$BANK %UN>AB NB O%EN CLOSE Return O%EN CLOSE Gan+/0 J>.// :::.1; :1.JJ >01.1 >0;.;; Feb+/0 ::>.// :/:.1; +:/.00 >00 >>:.< (ar+/0 :/..// J0.J; +>.J; >>: >K:.. Apr+/0 J0.J; JJ.>/ ..;< >K. ><<./; (a'+/0 :/<.// 1>..; +:1../ ><K >/;.> Gun+/0 10.// 1>.:/ +...: >:>.J; <.;.;; Gul+/0 1>.// 1J.0; 0.K< <.J.> <1/.. Aug+/0 J/.// J..// .... <1/ >0J.K; Sep+/0 J..// :/J.>/ :1.J: >0; ;.0.. Oct+/0 ::/.// ::1.:; K.>: ;.K ;:1.>; 5o4+/0 ::1.;/ ::1.:; +/.</ ;.>.1 ;>>.K; %ec+/0 ::J.// ::/.K/ +0.JK ;;. ;/0.J;

::J.1/ :/K.// +:/.01 :/1.// J/.>/ +:0.</ J:.>/ :/../; ::.0; :/..;/ ::0.J/ :>./; ::K.1/ :<0.<; :;.K; :<0.1/ :.J.;/ +;.<> :</.K/ :.1.0; +:.;K :.J.// :...0; +>.J. BANK O# BARODA Return O%EN CLOSE Return +/.0J :.1.; :.J.K; /.JK +;.</ :<: :<<.0; ../. 0.1; :<..;; :<. +/.>: +1..; :<< :.>.: +0.0J +K..< :.0 ::>./; +J.>1 +.:.;; ::;.> :/:.J +::.K/ :;.>. :/. ::/.J 1.K< .<.0. ::/.; :>..0; .J.:/ :<.:0 :>: :0..:; :; +:.0. :0..:; :K<.0 K./0 <.1/ :K> .//.J; :;.>J +1.:0 ./..1 ./K.J ..;:

+:1..; +:<.K0 >.11 :../. :J..> /.<; +:/.;/ +:/..

TABLE NO$3 A5BE, %ate Open Clo&e RET$R5 Gan+/0 ;-:.>./J ;-.;>.1J ..;; Feb+/0 ;-.0K.11 ;-./>.0J +:../ (ar+/0 ;-:1/.:> ;-.0;..> :.0> Apr+/0 ;-.0J./1 ;-.>;.KJ +/.>> (a'+/0 ;-.;..>/ >-K0J.1K +J.:J Gun+/0 >-KK..>: >-<>1.KJ +1.11 Gul+/0 >-<::.;0 >-K1:.:> :/.1J

Aug+/0 Sep+/0 Oct+/0 5o4+/0 %ec+/0

>-KK..<J ;-</:.J1 0-/>>./; 0->10.0> K-:1<.K1

;-</1./: 0-/<1.1K 0->1>./0 K-:KJ.K: K-/1;.K<

::... :<.J/ K..1 :/.01 +:.<0

TABLE NO$< ?A8ERA ES@ ;D#C BANK >.<1 BOB +/..< UTI BANK CANARA >.0> /.J. BANKE" <./J

AB OBC +/.J; +/.;; 8I>AYA IOB +..K< :.:.

SBI <.:J UB +/.>0

ICICI <.0; %NB /.1>

' and large- thi& &tud' relate& to twel4e companie& with a period of twel4e month&. The abo4e table i& particularl' concerned with the return& of abo4e I mentioned companie&. In the cour&e of the &tud' it ha& been re4el that the highe&t return with re&pect to Oriental an2 of Commerce too2 place in the month of September .//0 to the tune of >/./. In contra&t to thi& the lowe&t return with re&pect of Punjab 5ational an2 too2 place in the month of Gune.//0 to the tune of I.:.;;. Ehen o4erall performance i.e. a4erage return i& ta2en in to con&ideration $TI an2 7>.0>8 reached the fir&t po&ition. Ehen it come& to the lowe&t return& Aija'a an2 7+..K<8 remained in the forefront. A& per the A5BE, gi4en b' SE- the return& remain highe&t in the month of September .//07:<.J/8 and the lowe&t in the month of (a'.//0 7+J.:J8. The a4erage return of State an2 of India i& clo&el' related to the a4erage return of

A5BE, a4erage return. Totall' eight ban2& are noted le&& a4erage return than A5BE, and remaining Four ban2& are noted high a4erage return than it.

Returns for Automo-i1e Industr0= ! TA @E 5O.0 As/o4 Le01and Ltd$ Date O%EN CLOSE Returns Gan+/0 <:.J; </.0; +>./K Feb+/0 </.K <1..; .>.;J (ar+/0 <1.; >/..; >.;; Apr+/0 >/.K ;..:; .1.:< (a'+/0 ;..0; <J.: +.;.K> Gun+/0 <1 <K.> +:.;1 Gul+/0 <1.: <>.J +1.>/ Aug+/0 <>.J <J.0 :<.>K Sep+/0 <J.J >; :..K1 Oct+/0 >;..; >> +..K0 5o4+/0 >>.. >..;; +<.K< %ec+/0 >< >;.>; ;.K/ ;ERO ;ONDA MOTERS Date O%EN CLOSE Returns Gan+/0 10/ 1;0.:; +/.>; Feb+/0 10; 110.K; ..;: (ar+/0 110 111.< /..0 Apr+/0 1JJ.J 1>>.J +0.:: (a'+/0 10< KK/.1 +:/.01 Gun+/0 K1/ KJ:.; :.>K Gul+/0 KJ; K/;.. +::.</ Aug+/0 K/J.K K./.< :.>J Sep+/0 K:>.J KK>.;; 1.<> Ba.a. Auto Ltd$ O%EN CLOSE Returns .-/:;.// .-:;>..; 0.J: .-:1/.// .-0/:.>/ :J.<< .-0.;.// .-K>0.1; >.0> .-K1;.// <-/:..K/ 1.:1 <-/>/.// .-K>>.J/ +J.K: .-1.;.// .-K<0.1; +<.:. .-K<0.// .->K<.0; +J.;J .->;K.// .-0JK.;/ J.KJ .-K//.// .-JJ1../ ::./> <-/:>.// .-K;:./; +1.K. .-KK;.// .-0>>.K; +>.0J .-0K..// .-0:1.1; +:.JJ TATA MOTOR LTD O%EN CLOSE Returns 0;/ K/J.< J.:. K:/ 1:>.<; :>.K/ 1:; J<..0 :>.>< J<K J;/.; :.>> J;J K1J.K +:K.0; KJ>.>; KJ>.>; / 1/: K<J.K; +K.0; K<K 1>;.:; :>.0K 1;/ 10../; :.>. Ma/indra6Ma/indra Ltd$ O%EN CLOSE Returns ;:. ;;1.; J./1 ;0K.< ;11.. <.01 ;J/.:; 0.K.: 0..0 0<J.< 0<:..; +:..0 0<> 0/J.K +<.1< 0.. 0.:.:; +/.:> 0.J ;J/.; +0.:. ;J: 0>J./; J.1. 0;. 01/.; >.<K 010 K1..;; :>./K KJ/ 1.:./; <.J< 1.0 J/;.1; J.0K %UN>AB TRACTORS LTD O%EN CLOSE Returns >01.1 >0;.;; +/.0J >00 >>:.< +;.</ >>: >K:.. 0.1; >K. ><<./; +1..; ><K >/;.> +K..< >:>.J; <.;.;; +.:.;; <.J.> <1/.. :;.>. <1/ >0J.K; .<.0. >0; ;.0.. :<.:0

Oct+/0 KK1.; 5o4+/0 K0. %ec+/0 K>/

K;0.:; K>..0; K0..<;

+..1K +..;> <./.

10K.: 1<. 1:;

1.K.J; 1/J.> J//..;

+>.;. +..K. :/.>0

;.K ;.>.1 ;;.

;:1.>; ;>>.K; ;/0.J;

+:.0. <.1/ +1.:0

TABLE NO$( AUTO INDUSTRY DATE O%EN CLOSE Gan+/0 >-.;:.JK >-;/0.;< Feb+/0 >-;:;.;: >-JJ1.01 (ar+/0 ;-/:;.:> ;-<...K< Apr+/0 ;-<;;..< ;-;>1.J: (a'+/0 ;-;0<.J1 >-1:../; Gun+/0 >-1<K.K: >-K;<.;1 Gul+/0 >-KKK.;> >->K0.1K Aug+/0 >->KK./0 >-J>>.J; Sep+/0 >-J>J.0< ;-<0;.K. Oct+/0 ;-<1/./; ;-<;K... 5o4+/0 ;-<K:./< ;-<.:.1; %ec+/0 ;-<.:.K; ;-;:1.;/

Returns ;.JJ :/.K/ 0.:< <.0. +:<.;: +:.K> +0..J :/.>; 1.>: +/.>. +/.J. <.K/

TABLE NO$A ?A8ERA ES@ AUTO INDE" ..:1

A$L$L <.;K

BA>A> :.1<

M6M >.:<

;$;$M %UN>AB TATA +:.> /.1< ..1:

According to thi& indu&tr' &i3 companie& ha4e been ta2en for the purpo&e of anal'&i&. A&ho2a @e'land ha& been &een a& the onl' compan' to &ecure both highe&t and lowe&t return& i.e..1.:< and+.;.K> re&pecti4el'.

Ehen it come& to the a4erage performance i.e. a4erage return& (ahendra?(ahendra 7>.:<8 ha& the highe&t return and "ero "onda (otor& 7+:.>8 hold the lowe&t. . "ighe&t return of thi& indu&tr' for the ta2en period wa& in the month of Februar' .//0 7:/.K/8 and the lowe&t return wa& in the month of (a' .//0 7+ :<.;:8. 7Thi& Indu&tr' return& are calculated from the A$TO I5%E,- which i& maintaining b' the SE.8 In the abo4e table &how that AGAG A$TO a4erage return i& clo&el' related to the a4erage return of A$TO I5%$STR!. O4erall three companie& are noted le&& a4erage return and two are noted high a4erage return than I5%$STR! a4erage return.

I$T$ Industr0=! TABLE NO$B

Date Gan+/0 Feb+/0 (ar+/0 Apr+/0 (a'+/0 Gun+/0 Gul+/0 Aug+/0 Sep+/0 Oct+/0 5o4+/0 %ec+/0 Date Gan+/0 Feb+/0 (ar+/0 Apr+/0 (a'+/0 Gun+/0 Gul+/0 Aug+/0 Sep+/0 Oct+/0 5o4+/0 %ec+/0

NIIT O%EN .J..1 .JK .;/.; .JJ.> </;.; <00 <0;

CLOSE .J/.J; .;..:; .J0.> </>.1; <0..0 <0K.<; <0..0;

Return +/.0< +:;.:/ :1.<. :.1. :1.0J /.<K +/.0> +:.>/ +>.1: /.J: </.KK :K.KK

Wi)ro O%EN >0> ;</ ;./ ;0< ;>; >;..1 ;:>

CLOSE ;.J.J ;./..; ;;1.;; ;<J >>J.1; ;:<.K; >J:.<

Return :>../ +:.1> K.>: +>..0 +:K.>0 :<.>0 +>.>.

Infos0ste*/$1td$ O%EN CLOSE <-///.// .-1KJ.K/ .-1J/.// .-1.1.0/ .-1.;.// .-J1/.1; <-//0.// <-:KK.;/ <-:1;.// .-J/1./; .-J;/.// <-/KK.;; <-://.// :-0;<.J/

Return +>./: +..:. ;.;. ;.K: +1.K/ >.<. +>0.0; 1.J0 ...0 :<.K. <.<; :.1> Return /.1/ ..1K :/.;/ +::... +J.>/ :.0< ;.0< K.<< :./0 +>0.0K >.:> ;..:

<;/..; <>;.<; <>K <</.< <<: <<> <<J.K; >>>.< >>;.J ;.;.:; ;CL IN#OSYS O%EN .K> .>> :K0 :1> :0> :;1 :<: :>/.;; :0<.;; :>0 :.J.. :0>.>;

>J/ ;:K.J ;.0J :-00/.// :-1/1.1/ ;:0 ;.;.: :.K0 :-1/K.// :-1>K.J/ ;.>.J; ;<1.:; ..;: :-1>..// .-/J>.1/ ;>/ ;J1.J; :/.J. .-:/J.K/ .-:1/.>; 0/. 0/>.;; /.>. .-.//.// .-.>/.;/ %OLARIS SO#TWARESATYAM LTD CLOSE Return O%EN CLOSE Return O%EN CLOSE .>>..; +:/.10 :<..; ::1.;; +:/.;< K>/.K K>0.0; :K;.0; +.1./: ::J :/J.. +1..> K>1 K0J.>; :1< <.J1 :/J.< ::K.. K..< K01.; 1>J.. :0>.. +:/.K0 ::K.0; :/J.J +0.;J 1;; K;J.: :;;.; +;.:1 ::: 1;.J; +...;K K0..J 0J:.:; :</.0 +:K.<> 1J.K; K<.J; +:K.0/ K// K::.> :>:.K 1.:K K>.; J1.. <:.1: K:; K;;..; :0<.; :0.<< J1.; ::. :<.K: K;< 1/1.. :>>.>; +::.01 ::..< ::K.; >.0< 1:/ 1:1.;; :.J.: +::.;0 ::1.; :</.K; :/.<> 1.0 >>/.;; :0>.>; .K..1 :<. :.:.;; +K.J. >>: >;J..; :;J.. +<.:J :...J; :K..1; >/.;J >0/ >1<.J;

TABLE NO$&C ?A8ERA ES@

NIIT

WI%RO INO#SY

;CL

SATYA %OLARI BSE IT A+,$

;.;:

..<K

S +:.<.

+<.;K

M +..<>

S ..J/

..1>

TABLE NO$&&

I$T$INDUSTRY Date O)en Gan+/0 <-K>>.>1 Feb+/0 <-K>J.<. (ar+/0 <-K/..1J Apr+/0 >-/>1.<J (a'+/0 >-/>0.0/ Gun+/0 <-0K>.1J Gul+/0 <-K;/.K: Aug+/0 <-J><.J: Sep+/0 >-.KK.00 Oct+/0 >->/1.0: 5o4+/0 >-1.1.K; %ec+/0 ;-:</.<K

C1ose <-K>J../ <-K/0.</ >-/</..J >-/<>.J. <-0>..0K <-K><.<. <-J;:.:< >-.10.>. >-<J<.;0 >-1.:.J1 ;-:/K... ;-.K..;0

Return /.:< +:.:; 1.1> +/.<< +J.J1 :.10 ;.<> 1.01 ..K: J.<1 ;.KK ..KK

According to thi& indu&tr' &i3 companie& ha4e ta2en to anal'9e. O4erall Polari& Software @td. wa& noted higher return for the month of %ecember .//0 a& >/.;J and Sat'am wa& noted lower return for the month of October .//0 a& I>0.0K. "ighe&t return of thi& indu&tr' for the ta2en period wa& in the month of October .//0 7J.<18 and the lowe&t return wa& in the month of (a' .//0 7+J.J18. ?Thi& Indu&tr' return& are calculated from the IT I5%E,- which i& maintaining b' the SE@ According to the a4erage return 5IIT wa& noted highe&t return a& ;.;: and "C@ Info&'&tem& @td. wa& noted lowe&t return a& I<.;K.

In the abo4e table 5o.:/ &how that Polari& a4erage return i& clo&el' related to the a4erage return of IT I5%$STR!. O4er all onl' TEO companie& are more than the Indu&tr' a4g. return&.

%/arma*euti*a1 Industr0= !

TABLE NO$&2 AUROBINDO %;ARMA Ltd$ Return O%EN CLOSE Return J.;. >:< ;<1.>; </.<K K.<; ;>/ ;;>.>; ..01 /.:> ;0/ 01..K; .:.J. 1.>/ 01..; K.<.J 0./K +:1.<0 K<> ;1:.<; +./.1/ +:<.0 ;J. ;1...; +:.0; <.1; ;10 0:K.0; ;.>/ 1.KK 0.0 0.>.1 +/.:J 1.<> 0.; 0.1.> /.;> +1..0 0</ 0/J +<.<< +K.:J 0:>.K 0:J.J /.1; ;./1 0.0 K/;.:; :..0> WOCK;ARDT Ltd$ Return O%EN CLOSE Return :./J >>;.: >1<.>; 1.0. +<.1/ >J/ ;:<.1; >.1K :.K0 ;:; ;/0.0; +:.0. +>..J ;:/.J; >>0..; +:..00 +...0 >>0 <0/.:; +:J..; +::.K; <0>.1 <1/.: >.:J +<..; <11 <>..K +::.01 0.;> <>..K <0>.;; 0.<1

Date Gan+/0 Feb+/0 (ar+/0 Apr+/0 (a'+/0 Gun+/0 Gul+/0 Aug+/0 Sep+/0 Oct+/0 5o4+/0 %ec+/0

Date Gan+/0 Feb+/0 (ar+/0 Apr+/0 (a'+/0 Gun+/0 Gul+/0 Aug+/0

CI%LA Ltd$ O%EN CLOSE Return >>; >>:.< +/.1< >>: ;;:.J .;.:; ;;. 00:.J; :J.J. 00; .0/.1 +0/.K1 .0<.J ..J.; +:<./> .<< .:;.1 +K.<1 .:0.< .<0 J.:: .<0 .>J.J; ;.J: .;: .0...; >.>1 .0:.J .0../; /./0 .0> .;<.1; +<.1> .;K.:; .;/.K +..;: Dr$REDDYDS LABRATORIES Ltd$ O%EN CLOSE Return J10 :-::J.0/ :<.;; :-:.;.// :-</..1; :;.1: :-.JJ.;; :->./.</ J..J :-><;.// :-><:.1; +/... :->;/.// :-<;K.>/ +0.<K :-<1J.J; :-.K>.// +1.<> :-.K<.;/ :-<J0.J; J.0J :-<K;./; K./.; +>K.0/

RANBA"Y O%EN CLOSE <0>.> <JJ.: >// >.J.> ><: ><:.0 ><;.J; >K..;; ;/> >::.>; >:..; <;0.> <0/ <K<.1; <K> >/0.1 >/0 ><J.1; ><;.K <JJ.K >/:.:; <K..< <K..J <J:.1; STERL BIOTEC O%EN CLOSE :.<.J; :.;.< :.;.: :./.<; :...; :.>.0; :.0 :./.0 :.:.J; ::J.. :./ :/;.J :/0 :/..;; :/> ::/.1

Sep+/0 Oct+/0 5o4+/0 %ec+/0

K.< K<: K/J K;;

K<:.< K>1./; K;/.1 1::..

:.:>1 ..<< ;.J/ K.>>

:::.:; :>;.; :.<.J :00

:>;.<; :.... :0K.K :J..;

</.KK +:0./: <;.<; :;.J0

<01.J; >/>.1 <J/ <K0.;

>/:.; <11.J; <K... <;/.>

1.1. +<.J. +>.;0 +0.J<

TABLE NO$&: ?A8ERA ES@ STERL WOCK;ARD RANBA"Y AUROB;IND;O Dr$REDDYDS BIOTEC T /.<> >.;> /... >.:1 +..<:

CI%LA +:.J1

INDE" :.0K

TABLE NO$&3 %;ARMA INDE" O%EN CLOSE Returns <-:/<.K0 <-.J/.0; 0./. <-.J/.J; <-;;<.K1 K.JJ <-;>J.;> <-1;1.:/ 1.0J <-10K./1 <-1J>.1> /.K. <-JK<.<K <-<1K.J> +:>.K< <->:0.>: <-:<..>. +1.<: <-:<0.<. <-..K... ..J/ <-.<>.;. <-;<1.;/ J.>/ <-;><.KK <-01>.>> <.JK <-01/.1K <-0>:.0/ +:./K <-0</.;J <-K./.0: ..>1 <-K./.:> <-KJ../; :.J<

Date Gan+/0 Feb+/0 (ar+/0 Apr+/0 (a'+/0 Gun+/0 Gul+/0 Aug+/0 Sep+/0 Oct+/0 5o4+/0 %ec+/0

According to thi& indu&tr' &i3 companie& ha4e ta2en to anal'9e. O4erall STERL. Ea& noted highe&t return for the month of 5o4ember .//0 a& <;.<; and the Ci)1a Ltd$ wa& noted lowe&t return for the month of Februar' .//0 a& I0/.K1.

"ighe&t return of thi& indu&tr' for the ta2en period wa& in the month of Au,ust .//0 7J.>/8 and the lowe&t wa& in the month of Ma0 2CC' 7+:>.K<8. According to the a4erage return AUROBINDO %/arma Ltd. wa& noted highe&t return a& >.;> and Wo*4/ardt wa& noted lowe&t return a&+..:<

#LUCTUATIONS IN T;E %RICES O# T;E SELECTED S;ARES IN RES%ECTED INDUSTRIES= ! (ar2et inde3e& ha4e alwa'& been of great importance in the world of &ecurit' anal'&i& and portfolio management. People from different wal2& of life u&e and are affected b' mar2et indicator&. In4e&tor&- both indi4idual and in&titutional- u&e the mar2et inde3 a& a benchmar2 again&t which the' e4aluate the performance of their own or In&titutional portfolio. The technician& or the charti&t& often ba&e their deci&ion& to bu' and &ell on the pattern& emerging out of the time &erie& data of mar2et inde3e&. E4en the economi&t& and &tati&tician& u&e &toc2 mar2et inde3e& to &tud' the trend of growth pattern& in the econom'- to anal'&e& a& well a& foreca&t bu&ine&& c'cle& and to correlate &toc2 mar2et inde3e& to economic acti4itie&. The inde3 i& ju&t an indicator of mar2et and did nothing to the formation of deci&ion of &electing the in4e&tment or portfolio. So the in4e&tor &hould ha4e the highe&t degree in anal'9ing thi& inde3. The' &impl' not onl' tell the mo4ement of &hare price& but al&o reflected b' the weight of tho&e &hare&. So- a high increa&e in &hare price of a minor &hare with a &mall &hare holding will not affect the mar2et. In thi& &tud' to anal'&e& the fluctuation& in the price& of &hare& for &elected companie& in the &elected indu&trie& inde3 ha& prepared in the &imple a4erage method with the &elected companie& for the period of thirteen month&. In general &toc2 e3change& are u&ing &ome method& to con&truct inde3e&. Tho&e are

Simple a4erage method (ar2et capitali9ation (ethod

Free+float Capitali9ation (ethod

T/e *onstru*tion of inde7 in sim)1e a+era,e met/od=! H 7Simple a4erage on the da' of con&. 6&imple a4erage on ba&e da'8L:// E3ampleF %GIA

Securitie&

%a': ?Rs$@

%a'. ?Rs$@ &<C &C< AC 22C &:B ::K

%a'< %a'> ?Rs$@ ?Rs$@ &AC 2CC &:C 2(C &B< :0> &:C BC BC &<C &&< JK

A B C D A+era,e Inde3 Point&

&CC &&C A< &AC &&B ://

The prepared indu&tr' inde3e& are ba&ed on the &elected companie& for the &elected period. elow mentioned inde3e& are prepared in thi& &tud'. 7i8 an2ing Indu&tr' Inde3 7 an2e38 7ii8 Auto Indu&tr' Inde3 7iii8 I.T.Indu&tr' Inde3

7i48 Pharma Indu&tr' Inde3 Constru*tion of Inde7 for Ban4in, Industr0=! The a&e period of an2ing inde3 Gan+.//0 The ba&e point& of ban2ing indu&tr' inde3 are :// The an2& in4ol4ed in the ban2 indu&tr' inde3 are thirteen randoml' &elected ban2& from SE.// inde3. TA @E 5O.:; Date >an!C' #e-!C' Mar!C' A)r!C' Ma0!C' >un!C' >u1!C' Au,!C' Se)!C' O*t!C' No+!C' De*!C' Date >an!C' #e-!C' Mar!C' A)r!C' Ma0!C' >un!C' >u1!C' Au,!C' Se)!C' O*t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

No+!C' ;>.:; De*!C' >J.KK;

::1.<.; ;<>.KK; :.J.0K; .K:./K; ::>.1; ;.J.>K; :.;.1.; .;:.1;

>>:.0J >;:.;.

:<>..< :<K...

Index Points of BANKING INDUSTRY

Index !oints 150 100 50 0 1 2 3 4 5 6 7 8 9 10 11 12 Months (JAN-06 to Dec-06

In the diagram &hown abo4e month& are 7Gan+/0 to %ec+/08 &hown on the 3+a3i&. Inde3 point& are &hown on the '+a3i&. %uring the initial period of the &tud' that i& Gan+/0 to (a'+/0 the inde3 point& mo4ed from :// to :/J point&. "owe4er during the period of Gune+/0 to Gul'I/0 there i& a dra&tic decrea&e in the inde3 point& the' reached the lowe&t le4el of J/.;<0 &oon there i& an upturn in the inde3 point& b' ri&ing to the le4el of ://.<K point&. Thi& time there i& a &tandard increa&e in the inde3 point& in the ne3t coming period&. In the month of %ecember the inde3 point& reached to the le4el of :<K....

Constru*tion of Inde7 for Automo-i1e Industr0= !

The a&e period of Automobile Indu&tr' inde3 Gan+.//0 The a&e point& of Automobile Indu&tr' inde3 are :// The Companie& in4ol4ed in the Automobile indu&tr' inde3 are &i3 randoml' &elected companie& from SE.// inde3.

Automo-i1e Inde7= ! TA @E 5O.:0 BA>A > ./1>.0 .<J/.K .01;.J .1J1.J .1J..; .K1/.J .0/>.1 .;KK.< .1>J.: .11..; .K/J.J .0>;.> M6M Ltd$ ;<;..; ;KK.K; 0/1.0.; 0<;..K; 0.:.1; 0.:.;K; 0/J.K; 0././.; 000..; K<>..K; 1/;.;.; 10;.J.; ;$;$M $ 1;1./1 1K;.11 11K.:; 1K..> 1:0.J K1;.K; K;/.: K:; K>>.K< K0K.<< K;..<< K;:.:1 %UN>AB T$ A8 $ Inde7 %o$ 0KJ.0; KK0 :// K0..:K; 1>J :/J.>. 1K<.1 J.; ::J... J><.K; JK; :.;.0< 1K>.<; J>; :.:.1< KJ>.>; 1J1 ::;.K1 KK/.<K; 1;> ::/.:/ KJ:./K; 10: ::/.J> 1;0./.; J>. :.:.>> 1>K.;.; J0K :.>.;; 1./.K J>> :.:.K/ 1;K.0.; J>J :....J

DATE Gan+/0 Feb+/0 (ar+/0 Apr+/0 (a'+/0 Gun+/0 Gul+/0 Aug+/0 Sep+/0 Oct+/0 5o4+/0 %ec+/0

A$L$L <:.< <>.>1 <J.<1 >0.>< >;.11 <K.K <0.; <K..; >..>; >>.0< ><.<1 >>..<

T8S >0K >;> >;0 >;< >.: <K/ <;; >.; >J0 ;.< ;<; ;.J

Index Points of A"to Ind"st#$

Index P%INTS 150 100 50 0 1 2 3 4 5 6 7 8 9 10 11 12 M%NT&S (J'n-06 to Dec-06

In the diagram &hown abo4e month& are 7Gan+/0 to %ec+/08 &hown on the 3+a3i&. Inde3 point& are &hown on the '+a3i&. %uring the initial period of the &tud' that i& Gan+/0 to Apr+/0 the inde3 point& mo4ed in upward trend at the le4el of :.;.0< point&- though there i& a &light change. "owe4er during the period of (a'+/0 to Gul'I/0 there i& a down ward trend decrea&e in the inde3 point& the' reached the lowe&t le4el of ::/.:/. Soon there i& an upturn in the inde3 point& b' ri&ing to the le4el of ::/.J> point& and that ha& been followed b' the ne3t month&. Constru*tion of Inde7 for I$T$ Industr0= ! The a&e period of I.T. Indu&tr' inde3 Gan+.//0 The a&e point& of I.T. Indu&tr' inde3 are :// The Companie& in4ol4ed in the I.T. indu&tr' inde3 are &i3 randoml' &elected companie& from SE.// SE5SE,

TA @E 5O.:K Inde7 %o$ :// JJ.J/ JJ.1: :/;.K; JK.J1 J0.0K J..JK 1/.K> :/;.:K JJ.;;

DATE NIIT Gan+/0 .J:.1K; Feb+/0 >.<./K; (ar+/0 <J1.K Apr+/0 >;:.1.; (a'+/0 >10.1 Gun+/0 ;>J.0K; Gul+/0 ;>0.<.; Aug+/0 ;...J.; Sep+/0 ;:..:; Oct+/0 >J1

WI%RO IN#OSYS ;CL K.1.J; >><J.1; <J0.:.; KJ/.:.; ></>.< <<:.1.; KJJ..K; ><:;.>.; .0K.; 1<..; >;J>.K; .00.: K0J.J.; >0<J./.; .>:.K; K/J.0K; >>11.KK; ..<.< K;J.0; <J.0.J; ./:.1; K>1.J; .;0>.> ....< KK1.;; .K</.J; .<;.KK; KJ>./.; .11J.> .:/.;;

%OLARIES SATYAM A8 :::>./.; :J:.KK; ::J<.1 ::<..K.; :K<.0 ::J..0 ::J<.: :0K.J ::J/.< :.<>.;; :K..0 :.;1.K ::/1.>K; :;<.JK; :.<<.< :/;;.K :.0.K.; ::J..< :/J..0.; :.<.0 ::/1.; ::;K.: :;>.; 1J;./< :.:J..K; :K:./; J>:..J :/>0..K; :1<.1K; J<K./.

5o4+/0 ;0:.J 1<J.>K; <:JJ.J.; .::.>.; 0K/.0.; %ec+/0 K/1.>K; J/>..K; <<./..; .>>./; K/:.JK;

:J..KK; ./J.<K;

J>0./. ://.J0 :/:>.K :/K..0

IND() P%INTS

Index Points of IT Ind"st#$

150 100 50 0 1 2 3 4 5 6 7 8 9 10 11 12 M %NT&S (J'n-06 to Dec-06

In the diagram &hown abo4e month& are 7Gan+/0 to %ec+/08 &hown on the 3+a3i&. A4erage point& are &hown on the '+a3i&. From the &tating to Gune the' were &tandard and there i& not that much fluctuation in the inde3 point& the' were mo4ed in the range of J0 to :/;. In the month of Gul' the inde3 point& were decrea&ed to J..JK and in the month of Augu&t the' reached the lowe&t range 1/.K>. @ater there wa& a huge increa&e in the point& and reached to :/;.:K. Constru*tion of Inde7 for %/arma Industr0= ! The a&e period of Pharma Indu&tr' inde3 Gan+.//0 The a&e point& of Pharma Indu&tr' inde3 are :// The Companie& in4ol4ed in the Pharma inde3 are &i3 randoml' &elected companie& from SE.// SE5SE,

Constru*tion TA @E 5O.:1 DATE Gan+/0 Feb+/0 (ar+/0 Apr+/0 (a'+/0 Gun+/0 Gul+/0 Aug+/0 Sep+/0 Oct+/0 5o4+/0 %ec+/0 Ci)1a >><.:; >J0.>; 0/0.JK; >0..J .>0.K ..>.> ..0.:; .>..JK; .;0.0.; .0:.JK; .;1.J.; .;<.J.; Ran-a70 <1:.K; >:>.K ><:.< >;>..; >;K.K.; <1>.>; <00.J.; <J/.> >...J.; >:K.K <10.K.; <1..<K; 1a7o smit/ >K;.K.; ;>K...; 0.:.<K; K/<.. 0;K.0K; ;1K.:.; 0/:.1.; 0.;.> 0.0.K 0:J.; 0:K.< 00;.;K; Auro-indo :/;..1 :.:<.J.; :<;J.J.; :><<.>.; :>/<.K :<<:.JK; :<<;...; :/>K.KK; K.K.:; K<J.;.; K.J.J K1<.: Dr$REDDYES A+enties A8 $ INDE" %O$ :.>.0.; >0>..K; >J/.<J ://.// :...K.; ;/:.J.; ;>J.>J ::../; :.<.;K; ;:/.1.; 0/J.// ::/.1< :.<.< >K1.0 0/J..1 ://./; :./.;K; >/<./K; ;>1..> 1J.J1 ::..J; <K..>; ;/...< J:.0: :/>..K; <0;.<; >JJ.J0 JJ.;; :/K.> <;<.0.; >0:..0 J...0 :.1..; <1;...; >.>.>1 J../< :<<.1; <J0.1K; >.1..> ://.1J :>;.1 <1:.: >:J.J0 J1./K :KJ..; <0<.>; ><K.J; :/>..1

Index Points of Ph'#*' Ind"st#$

150 100 50 0 1 2 3 4 5 6 7 8 9 10 11 12 Months (J'n-06 to Dec06

Index Points

In the abo4e diagram &hown month& are 7Gan+/0 to %ec+/08 &hown on the 3+a3i&. A4erage point& are &hown on the '+a3i&. %uring the initial period of the &tud' that i& Gan+/0 to Apr+/0 the inde3 point& mo4ed at the le4el around :// point&- though there i& a &light change. "owe4er there i& a dra&tic decrea&e in the month of (a'+/0- that i& 1J.J1. And increa&e in Gune and Gul'I/0 reached to JJ.;;. Again decrea&ed in the month of augu&t and increa&ed in the month of October. It mo4ed in the &ame range in the la&t three month& i.e. October5o4ember and %ecember.

Coeffi*ient of +ariation= !

The &tandard de4iation di&cu&&ed &o far i& an ab&olute mea&ure of 4ariation. The corre&ponding relati4e mea&ure i& 2nown a& the coefficient of 4ariation. Thi& mea&ure de4eloped b' Barl Pear&on i& the mo&t commonl' u&ed mea&ure of relati4e 4ariation. It i& u&ed in &uch problem& where we want to compare the 4ariabilit' of two or more than two &erie&. That &erie& or group for which the coefficient of 4ariation i& greater i& &aid to be more 4ariable or con4er&el' le&& con&i&tent- le&& uniform- le&& &table or le&& homogeneou&. On the other hand- the &erie& for which coefficient of 4ariation i& le&& i& &aid to be le&& 4ariable or more con&i&tent- more uniform- more &table or more homogeneou& coefficient of 4ariation denoted b' C.A. i& obtained a& follow&. C$8$ F ? GA+,$@H&CC

COM%ARISON O# UNSYSTEMATIC RISK AND RETURN #OR T;E BANKIN INDUSTRY=! To compare the ban2ing indu&tr' return and ri&2 thi& &tud' i& u&ed coefficient of 4ariance. It help& u& to 2now how much return we are getting for the baring of that much ri&2. On the ba&i& of that thi& &tud' gi4e& ran2& for the &elected ban2ing firm&. It help& to the in4e&tor& to anal'9e the ri&2& and return& in4ol4ed in the ban2ing indu&tr'. TABLE NO$&B AB +/.J; J.1K JK.> OBC ;D#C SBI ICICI UTI CANARA 8I>AYA +/.;; >.<1 <.:J <.0; >.0> /.J. +..K< :>.00 K./1 :/.K> J.0> :/.01 ::.K; :/.J1 .:>.K ;/./1 ::;.< J..J; ::>.: :<1./: :./.>; <.<K I8 ..0> ..</ III II :..K1 8I +>./. IOB :.:. ::./< :.:.0 BOB +/..< J.<1 11./< UB %NB +/.>0 /.1> J.K1 :..>; J;.K: :;>.J<

A+era,e S$D 8arian*e Coeffi*ient of 8ariation Ran4

+:/.<0 +.0.0> :.0: I

J.1: +>:.:.+.:.<1 :>.1K 8 8II

The abo4e table &how& the un&'&tematic ri&2 and the return for each ban2 at the &ame time& it al&o tell& that what i& the coefficient of 4ariance for each ban2. In the abo4e table ran2ing ha& gi4en on the ba&i& of coefficient of 4ariance it ga4e the ran2& for each ban2. On the ba&i& of ran2& ;D#C an2 ha& got first ran4 for it& be&t performance. %un.a- Nationa1 Ban4 ha& got 1east ran4 for it& lea&t performance.

COM%ARISION O# UNSYSTEMATIC RISK AND RETURN #OR T;E AUTOMOBILE INDUSTRY

To compare the Automobile indu&tr' return and ri&2 thi& &tud' i& u&ed coefficient of 4ariance. It help& u& to 2now how much return we are getting for the baring of that much ri&2. On the ba&i& of that thi& &tud' gi4e& ran2& for the &elected Automobile firm&. It help& to the in4e&tor& to anal'9e the ri&2& and return& in4ol4ed in the Automobile indu&tr'.

TABLE NO$2C AS;O K A+era,e <.;1 Stde+ :>.1: 8arian*e .:J.>; C8 >.:> Ran4 III BA>A ;ERO %AN>A > M 6 M ;ONDA B :.1> >.:< +:.>/ /.1> J.>0 0./1 ;.K. :..>; 1J.;; <K.// <..K. :;>.J< ;.:; :.>K +>./1 :>.1K I8 I 8 TATA MOTORS ..1: :/.:1 :/<.;J <.0. II

The abo4e table &how& the un&'&tematic ri&2 and the return for each compan'. And it al&o tell& that what i& the coefficient of 4ariance for each compan'. In the abo4e table ran2& ha& gi4en on the ba&i& of coefficient of 4ariance for each compan'. According to the ba&i& of ran2ing Ma/indra 6 Ma/indra Ltd. ha& got first ran4 for it& be&t performance. %un.a- Tra*tors ha& got 1ast ran4 in the &elected companie& for it& lea&t performance.

COM%ARISION O# UNSYSTEMATIC RISK AND RETURN #OR T;E IT INDUSTRY

To compare the I.T. indu&tr' return and ri&2 thi& &tud' i& u&ed coefficient of 4ariance. It help& u& to 2now how much return we are getting for the baring of that gi4en ri&2. On the ba&i& of Co+efficient of 4ariance- thi& &tud' gi4e& ran2& for the &elected I.T. companie&. It help& to the in4e&tor& to anal'9e the ri&2& and return& in4ol4ed in the I.T. indu&tr'.

TABLE NO$ 2& WI%R INO#SY SATYA %OLARI O S ;CL M S ..<K +:.<. +<.;K +..<> ..J/ 1.J< :;.>> :;..1 :;.<: :J.:> KJ.KJ .<1.<< .<<.<K .<>.>: <00.<J <.KK +::.K< +>..1 +0.;< 0.;J II III

%ARTI NIIT A+era,e ;.;: SD :..J> 8arian*e :0K.>J C8 ..<; Ran4 I

The abo4e table &how& the un&'&tematic ri&2 and the return for each compan'. And it al&o tell& that what i& the coefficient of 4ariance for each compan'. In the abo4e table ran2& ha& gi4en on the ba&i& of coefficient of 4ariance for each compan'. According to the ba&i& of ran2ing NIIT ha& got first ran4 for it& be&t performance. %o1aris Soft9are Ltd ha& got 1ast ran4 in the &elected companie& for it& lea&t performance.

COM%ARISION O# UNSYSTEMATIC RISK AND RETURN #OR T;E %;ARMA INDUSTRY To compare the Pharma indu&tr' return and ri&2 thi& &tud' i& u&ed coefficient of 4ariance. It help& u& to 2now how much return we are getting for the baring of that much ri&2. On the ba&i& of that thi& &tud' gi4e& ran2& for the &elected Pharma firm&. It help& to the in4e&tor& to anal'9e the ri&2& and return& in4ol4ed in the Pharma indu&tr'.

TABLE NO$22 CI%LA LTD$ A+era,e +:.J1 SD .:.>; 8arian*e >0/./0 C8 +:/.1< Ran4 RANBA" Y AURO /.<> >.;> J.K> :..J. J>.1. :00.J: .J./. ..1> III I DR$REDD YDS /... :0.K; .1/.;J K0.1J I8 STERL BIOTEC >.:1 :;.K0 .>1.<K <.KK II WOCK;ARDT LT +..<: J.:0 1<.JJ +<.J0

The abo4e table &how& the un&'&tematic ri&2 and the return for each compan'. And it al&o tell& that what i& the coefficient of 4ariance for each compan'. In the abo4e table ran2& ha& gi4en on the ba&i& of coefficient of 4ariance for each compan'. According to the ba&i& of ran2ing Aurobindo Pharma @td ha& got fir&t ran2 for it& be&t performance. %r. Redd'C& @ab ha& got la&t ran2 in the &elected companie& for it& lea&t performance.

COM%ARISION O# UNSYSTEMATIC RISK AND RETURN #OR T;E SELECTED INDUSTRIES WISE

To compare the &elected indu&trie& return and ri&2 thi& SE.// the &tud' i& u&ed coefficient of 4ariance. It help& u& to 2now how much return we are getting for the baring of that much ri&2. On the ba&i& of that thi& &tud' gi4e& ran2& for the &elected indu&trie& firm&. It help& to the in4e&tor& to anal'9e the ri&2& and return& in4ol4ed in the &elected indu&trie&.

TABLE NO$2: BSE!2CC <;.1J ;K.<: <.1>.1J :.0/ I Ban4 <./J K.K1 0/.;; ..;. III IT ..1> ;.>; .J.01 :.J. II Auto ..:1 K.:0 ;:..1 <..J I8 %/arma :.0K K./J ;/..< >..0 8

A+era,e SD 8arian*e C8 Ran4

The abo4e table &how& the un&'&tematic ri&2 and the return for each compan' SE.//. And it al&o tell& that what i& the coefficient of 4ariance for each compan' SE.//. In the abo4e table ran2& ha& gi4en on the ba&i& of coefficient of 4ariance for each inde3. According to the ba&i& of ran2ing SE.// ha& got fir&t ran2 in &elected inde3e& for it& be&t performance and the lowe&t 4ariabilit' in the return it al&o tell& that lowe&t fluctuation& in the price&. The la&t ran2 ha& noted b' Pharma indu&tr'. For highe&t fluctuation& in the price&.

CONCLUSTION

After anal'9ing the &elected companie& from &elected indu&trie&- thi& &tud' conclude& returns5 Uns0stemati* Ris45 f1u*tuations in t/e s/are )ri*es and *o! effi*ient of +ariations for the &elected companie& from the &elected indu&trie&. In the area of Ban4in, Industr0- it can be concluded that Onl' #our Ban4s from &elected t9e1+e -an4s are noted ;i,/ a+era,e return than the o+era11 -an4in, industr0 a4erage return 7Calculated on the ba&i& of BANKE"8 for the period of &tud'. In ca&e of @e&& a4erage return noted b' eight ban2& in that four ban2& are noted negati4e a4erage return& for the period. According to the BANKE"5 the a4erage return of the ban2ing indu&tr' &how& <./J = a4erage return for twel4e month& of &tud'.

In the area of Automo-i1e industr0- onl' t/ree *om)anies wa& noted more a+era,e return than the indu&tr' return 7Calculated on the ba&i& of the auto inde3 maintaining b' SE8 from the &elected si7 *om)anies. Remaining three companie& were noted le&& than a4erage return&. ;ero ;onda motors confined a negati4e return- a& the a4erage return for the period of pre4iou& twel4e month& of the automobile indu&tr' wa& 2$&AI$ In the area of I$T$ Industr0- it can be concluded that onl' three companie& were regi&tered po&iti4e a4erage return& form the &elected &i3 companie&. In the reaming one& ;CL wa& e3pre&&ed the high negati4e return in the &elected companie& a& !:$<(I$ The a4erage return of the I$T$ Industr0 wa& 2$A3I for the twel4e month& period. In the area of %/arma Industr0- it can be concluded that four companie& were regi&tered po&iti4e a4erage return& form the &elected &i3 companie&. In the reaming one& ;CL wa& e3pre&&ed the negati4e return in the &elected companie& a& 2$:&I$The a4erage return of the I$T$ Industr0 wa& &$'(Ifor the twel4e month& period. In the ca&e of un&'&tematic ri&2 I$T$Industr0 wa& mo4ing with the lowe&t ri&2 a& <$3<I than the other indu&trie&. And the BSE2CC return& were mo4ing with the high 4ariabilit' 7S.%.8 a& <($:&Ithan the other indu&trie&. To 2now the fluctuation& in the price& of the &hare& of &elected companie& in the &elected indu&trie&- thi& &tud' con&tructed inde3 in the &imple a4erage method. To con&truct inde3 thi& ta2e onl' &elected companie&.

The inde3 point& of BANKIN INDUSTRY mo4ed from around BC$<3 to&:($22 and a& &uch the fluctuation& not that much high. ut in the month of >une there i& a dra&tic change in inde3 point& reached the le4el of B&$(A$ The highe&t point& &:($22 were noted the month of De*em-er .//0. Thi& i& indu&tr' follow& the trend. It mean& it ha& increa&ed to one le4el and decrea&ed. Again increa&ed- can be e3pecting the downward trend in the ne3t future. Ee can appl' the trend ana10sis for thi& indu&tr'.

The inde3 point& of Automo-i1es industr0 mo4ed from around &CC to &2<$':.Inde3 point& were increa&ed up to A)ri1 and reached highe&t le4el of point& a& &2<$':. Then after the inde3 point& were decrea&ed till >u10 and then the inde3 were mo4ed in upward trend till Se)tem-er. In the la&t three month& there were not that much change in the point&. The Inde3 point& of I$T$ Industr0 are mo4ed around from AC$(3 to &C($2'. The point& are not maintaining a trend. The&e indu&tr' inde3 point& are mo4ing upward and downward. There are not that much fluctuation in the inde3 point&. The&e point& reached in the month of De*em-er 2CC' at higher le4el of &C($2' and noted lower le4el in the month of Au,ust at AC$(3$ The inde3 point& of %/arma*euti*a1 Industr0 mo4ed around from AB$BAto&&2$C<$The inde3 point& of thi& indu&tr' are fluctuating highl' but not in the higher rate. The&e point& are increa&ing and decrea&ing e4er' month. Thi& indu&tr'C& point& were ended with:/>..1 in la&t month. In4e&tor cannot a&&ume the trend of thi& indu&tr'. In thi& indu&tr' the inde3 point& are not following the trend. The' are fluctuating with out an' trend. Reached lowe&t le4el in the month of (a' and higher le4el in the month of Februar'.

RECOMMENDATIONS=! Thi& &tud' recommended &ome companie& and indu&trie& on the ba&i& of *oeffi*ient of +ariation. In the ca&e of indu&trie& in4e&tor better to go for IT industr0 followed b' Ban4in, Industr0 and if he want to di+ersif0 t/e ris4 he can go for automo-i1e industr0 then la&t preference &hall gi4en to %/arma*euti*a1 Industr0$ In the ca&e of companie& in4e&tor want& to in4e&t in more indu&trie& and donCt want to gi4e preference for the &pecific indu&tr'. The in4e&tor need& to gi4e the preference to the companie& on the ba&i& of *oeffi*ient of +ariation$ #irst ran4 9i11 -e Ma/indra and Ma/indra from Auto industr0 and ne3t ;D#C from Ban4in, Industr0. Then gi4e the preference to UTI5 NIIT 5 ICICI5 Auro-indo5 SBI5 TATA5 WI%RO- and &o on.

BIBLIO RA%;Y

RUSSELL >$#ULLER 6 L$#ARELL5 >R I5AEST(E5TS A5% SEC$RIT! A5A@!SIS* !INTERNATIONAL EDITION &BA(

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%REETI SIN ; )I5AEST(E5T (A5A#E(E5T* Re)rinted Edition in &BBB$

S$KE8IN

)PORTFO@IO (A5A#E(E5T* Se*ond %rint #e- 2CC&$

%UNIT;A8AT;Y %ANDIAN PORTFO@IO (A5#E(E5T*

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