A STUDY ON

PORTFOLIO ANALYSIS ON VARIOUS STOCKS OF BSE

 ABSTRACT

In stock market estimation the goal is estimate the efficient stocks of the company,
the new movement in stock market estimation methods are by using different mathematical
and statical methods and also by use of ai methods like deep learning and other methods to
estimate future prices based on historical prices deep learning mainly focuses on different
types of networks of datasets to estimate stock movement.
Portfolio construction is the process of choosing securities with the lowest possible risk in
order to get the highest returns. A risk and return analysis are the trade-off between aids in
portfolio creation. The study aims to formulate portfolio based on assessment of volatility.
Exploratory research is being undertaken. For the analysis, S&P BSE listed 10 companies are
considered. The data during 2018-2023 is collected from secondary sources. Using the Beta,
a volatility measure, all 10 companies are divided into three portfolios. Hypothesis was
tested. And Sharpe’s, Treynor’s and Jensen’s Performance Measure were calculated and
Portfolios were ranked. It is reported that, P3 has outperformed during the years. It is
concluded that when volatility < 0.5, there is no significant impact of volatility on portfolio
performance whereas the portfolio with volatility more than one has reported significant

INTRODUCTION
 The stock market is a very vast array of investors and traders who buy and sell
stock, pushing the price up or down to gain profit. The prices of stocks are governed by the
principles of demand and supply, and the ultimate goal of buying shares is to make money by
buying stocks in companies whose recognized value (i.e., share price) is expected to rise.
Stock markets are closely linked with the world of economics —the rise and fall of share
prices can be traced back to some ideology - Key Performance Indicators (KPI’s). The five
most commonly used KPI’s are thze opening stock price (‘Open’), end-of-day price (‘Close’),
intraday low price (‘Low’), intra-day peak price (‘High’), and total volume of stocks traded
during the day (‘Volume’)

Portfolio analysis
 1.2 NEED FOR THE STUDY

A portfolio analysis is a crucial exercise for investors ,financial advisors ,and individuals
seeking to optimize their investment strategies and getting maximum returns the investor can
minimizing risk and yield to minimum returns .These project study have been to analysis of
various portfolio in the BSE at money control
 1.3 OBJECTIVE OF THE STUDY

- To determine the intrinsic value of a company to decide if its worth investing In its stock
- To the better allocation of capital for investors to earn maximum profit
- To protect earnings against market risks
- To gain an in depth in depth valuation of the portfolio with analytics and reporting to make
strategic decisions
- To performance measurement of different stocks

S
SCOPE OF THE STUDY
The study has been confined from money control ,and bse Sensex of bse only and
we have done analysis only 10 companies in bse basket the study is about minimizing of risk
of stock

Portfolio management –
 - Portfolio management is quite comprehensive ,encompassing various aspects of
investment management
- It is a process of evulating and assessing a collection of investments to understand its
performance riska and potential returns
- Portfolio management involves analyzing portfolios that consist of various
investments such as bonds ,and alternative options to assesss their performance and
associated risks
- It is also useful for long term investors who want to identify undervalued stocks
- It also helps to assess the overall health and stability of a compnany
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1.5 RESEARCH METHODLOGY

Any study must have information to analyse and make correct decisions ,Data for the
study has been collected from two sources of yahoo finance and bse
-primary data
-secondary data
Primary data
The primary data source is collected from yahoo finance and bse
Secondary data
The secondary data were collected from
-financial market data providers
-credit rating agencies
-investment research firms
-social media
-financial news websites
1.6 Review of literature

TECHNICAL ANALYSIS

Technical analysis is a method used in finance to evaluate and predict the future

e price movements of securities such as stocks .by analyzing past market data primarily price
and volume . it relies on the assumption that all relevant information is already reflected in
the price and that price movements fallow patterns that can be identified and exploited
- The technical analysis is widely used by traders and investors to make informed
decisions about selling and buying securities
- Price c
- harts ; visual representations of price movements over time .includes line charts bar
charts etc
-
- Trends ; patterns in price movements that show the general direction of the market

PORTFOLIO INVESTMENT

A portfolio investment is ownership of a stock ,bond ,or other financial asset with the
expectation that it will earn a return of grow in value over time or both
- Risk tolerance and time horizon are key factors in selecting any portfolio investment
1.7 STASTICAL METHODS USED
- Standard deviation
-Beta
-Risk adjusted rate of return
- sharp ratio
-Treynor ratio
- average rate of return
1.9 limitations of the study
- we can able only analysis of 10 stocks of bse sensex
- it is not easy to define product /market segments
Stock Market Overview

• The global stock market is a public entity trading privately traded shares and derivatives.

• The network Stock Exchange in the U.S. is 11 times the size of the entire world stock market.

• The Toronto Stock Exchange is the largest stock market in Canada.

Indian Stock Exchanges

• The country has numerous stock exchanges including

Ahmadabad stock exchange ,

Bangalore stock exchange,

Bhubaneswar stock exchange,

Bombay stock exchange,

Calcutta stock exchange,

Coimbatore stock exchange,

Cochin stock exchange,

Delhi stock exchange,

Guwahati stock exchange,

Hyderabad,

Jaipur,

Interconnected Stock Exchange of India Limited (ISETL),

Ludhiana,

Madhya Pradesh,

Madras,

Mangalore,

Multi Commodity Exchange of India (MCX),

Meerat,

National Stock Exchange (NSE),

Orissa Stock Exchange.

 Overview of Bombay stock exchange
Established in 1875, BSE (formerly known as Bombay Stock Exchange), is Asia's first & the
Fastest Stock Exchange in world with the speed of 6 micro seconds and one of India's leading
exchange groups. Over the past 143 years, BSE has facilitated the growth of the Indian
corporate sector by providing it an efficient capital-raising platform. Popularly known as
BSE, the bourse was established as ‘The Native Share & Stock Brokers' Association’ in
1875. In 2017 BSE become the 1st listed stock exchange of India.
There are a total of 5,309 listed companies on BSE, with a market capitalization of
₹37,636,886.59. However, these listed companies on BSE exclude DVRs, REITs, InVITs,
ETFs, and Partly Paid Shares.
BSE's popular equity index - the BSE SENSEX - is India's most widely tracked stock market
benchmark index. It is traded internationally on the EUREX as well as leading exchanges of
the BRCS nations (Brazil, Russia, China and South Africa)

Company overview
In just three years Motilal Oswal became members of on The Bombay Stock Exchange
(BSE). The company started offering derivatives products and advisory services on both BSE
as well as NSE in year 2001. In 2006 the company entered private equity mixsand investment
banking. In the same year, Motilal Oswal group acquired South Indian brokerage firm –
Peninsular Capital Markets The company tied up with State Bank of India and Punjab
National Bank in 2006 and 2007 to offer online trading to its customers.
2008 saw the company create One of India's largest Equity dealing and advisory rooms,
spread over 26,000 sq ft (2,400 m2) in Malad, Mumbai.
In January 2010, Motilal Oswal Financial Services Ltd. set up mutual fund business named as
Motilal Oswal Asset Management Company.

MISSION

To ensure that the PMS industry provides a viable investment avenue for wealth creation by
adopting high levels of skill, integrity, transparency and accountability

Services offered
Motilal Oswal provides products and services related to equity trading, commodity trading
and investment advisory services, IPOs and SIPs investment, portfolio management services,
and mutual funds investment.

HISTORY AND MILESTONES OF MOTILAL OSWAL

1987 – Founded in Bombay by Motilal Oswal and Raamdeo Agrawal
1990 – Listed on BSE
1994 – Listed on NSE
2007 – Went public via IPO; Featured as a case study in Harvard business school
2009 – Customer base crossed 5,00,000
2010 – Launched Motilal Oswal Foundation
2021 – AUM (assets under management) crossed the Rs 2 trillion mark
2022 – Got certified as a 'Great Place to Work' for the fifth time