• Nazneenaara Rafik Shaikh
• Dr. Vijay Gondaliya

Portfolio construction is done by emphasising on high returns with diversifiable risk. Investors always prefer to maintain acceptable returns to risk ratio. The present study is a focus to construct an optimal portfolio of selected nifty50 companies with the application of Sharpe Single Index Model. In this study a sample of top twenty companies of nifty50 listed Stocks has been considered based on 18th December 2018 Market capitalization. The daily closing share prices of the stocks from December 2017 to November 2018 have been used in the study. The characteristics such as returns in association with the systematic and unsystematic risk of selected stocks were analysed. The analyses concluded that the four stocks (i.e. 56% in Hindustan Unilever, 28% in Bajaj finance, 7% in HCL tech, and 9% in Reliance.) with suggested proportion of investment can be beneficiary for an individual investor, financial planner or financial advisor are preferable in the construction of an optimal portfolio and thereby to spread the availability of funds.

NSE NIFTY, Portfolio, Sharpe’s Single Index Model

"To Construct an Optimum Portfolio using Sharpe’s Single Index Model- A Study of Selected Stocks from NSE", International Journal of Emerging Technologies and Innovative Research (www.jetir.org), ISSN:2349-5162, Vol.6, Issue 4, page no.409-414, April-2019, Available :http://www.jetir.org/papers/JETIR1904058.pdf

"To Construct an Optimum Portfolio using Sharpe’s Single Index Model- A Study of Selected Stocks from NSE", International Journal of Emerging Technologies and Innovative Research (www.jetir.org | UGC and issn Approved), ISSN:2349-5162, Vol.6, Issue 4, page no. pp409-414, April-2019, Available at : http://www.jetir.org/papers/JETIR1904058.pdf