A Study on Portfolio Evaluation and Investment Decisions with Reference to Banking Industry in India

Abstract

The Stock exchange provides not only free transferability of shares but also makes incessant evaluation of securities traded in the market. The present study is deliberate to examine the Risk & Return Analysis of Selected Stocks in India. Risk may be defined as the chance of variations in actual return. Return is defined as the gain in the value of investment. The return on an investment portfolio helps an investor to evaluate the financial performance of the investment. The main aim of this article is to study the investor to decide effective portfolio of securities. Banking sector is treated as to be in the back bone of the Indian Economy. The task of banking industry is particularly vital as one of the leading and mostly essential service sector. While the Indian economy is yet to catch strength, The Indian banking system continues to deal with improvement in asset quality, execution of sensible risk management practices and capital adequacy.

Keywords: Banking Industry, Investment Decisions, Portfolio Evaluation