A Study of Risk and Return of Different Sectors during Different Phases of Stock Market in India

Stock market is ever green field for Investment and provides one of the lucrative alternatives of investment. But it is very difficult to select companies for investment as there are number of companies listed in different stock exchanges. In this paper attempt has been made to catagorise different stocks on the basis of different sectors and study those on the basis of performance of different Indices of Bombay stock Exchange related to stocks of different sectors i.e. METAL, BSEHC, BSECD, OILGAS, BSEIT, BSEFMCG, AUTO, BANKEX, POWER, REALITY. In this study daily value of selected Indices from January 2007 to December 2009 has been calculated and used. In this study it has been found that there is no major difference in risk and return of different sectors, but there is significant difference in risk and return of same sector in different phases of stock market i.e. bearish trend, consolidation Period and bullish trend