Securities investment involves both risk and return; however, proper management of funds can make a huge difference in the investor’s earnings. Securities involve high variations in returns and sometimes lead to losses; therefore, to reduce the risk of losses, one has to manage the investment in a more rational way. We collected the daily return data from the BSE for the two IT services companies (TCS and Infosys securities) for the time period between April 2024 and March 2025, and 3 months Bond daily return and the BSE 50 Index daily return from April 2024 to March 2025 and conducted the CAPM test for finding the Beta value to understand the risk level of the stock investment. The results suggested that the individual stock investment gives higher returns with more risk; however, the Beta value explains the conservative nature of the investment.
Chauhan Vishal (Thu,) studied this question.