Portfolio diversification and optimisation /
An investor, Priya, invested in an all-equity portfolio consisting of shares present in the broad market index Nifty 50 and sectoral index 'Bank Nifty' of the National Stock Exchange (NSE) of India. The investor opted for a high return; however, upon investment after a year, she experience...
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| Format: | eBook |
| Language: | English |
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London :
SAGE Publications: SAGE Business Cases Originals,
2023.
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| Series: | SAGE business cases.
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| Subjects: | |
| Online Access: | Connect to the full text of this electronic book |
| Summary: | An investor, Priya, invested in an all-equity portfolio consisting of shares present in the broad market index Nifty 50 and sectoral index 'Bank Nifty' of the National Stock Exchange (NSE) of India. The investor opted for a high return; however, upon investment after a year, she experienced the volatile nature of equity markets. The current macro-economic trends driven by policy rate changes in the United States and India caused continuous fall in Indian equity markets. Hence, the investor intended to reconstruct the portfolio without sacrificing her high return and low risk requirement. Upon careful consideration, the investor intended to use gold in her portfolio. However, she had the dilemma of how much weight should be given to gold in her portfolio. To reconstruct the portfolio, Priya used portfolio optimization techniques to arrive at a best portfolio mix yielding high return for the risk undertaken. The case places students in the role of the investor and makes them learn portfolio diversification, reconstruction, and performance evaluation. |
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| Physical Description: | 1 online resource : illustrations. |
| ISBN: | 9781071914373 1071914375 |