Journal of Management Research and Analysis

Print ISSN: 2394-2762

Online ISSN: 2394-2770

CODEN : JMRABX

Journal of Management Research and Analysis (JMRA) open access, peer-reviewed quarterly journal publishing since 2014 and is published under auspices of the Innovative Education and Scientific Research Foundation (IESRF), aim to uplift researchers, scholars, academicians, and professionals in all academic and scientific disciplines. IESRF is dedicated to the transfer of technology and research by publishing scientific journals, research content, providing professional’s membership, and conducting conferences, seminars, and award programs. With more...

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Original Article


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69-73


Authors Details

Krunal Kishorchandra Bhuva, Yesha B. Mankad, Payal B. Bhatt


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Validity of Capital Asset Pricing Model & Stability of Systematic Risk (Beta) of FMCG - A Study on Indian Stock Market


Original Article

Author Details : Krunal Kishorchandra Bhuva, Yesha B. Mankad, Payal B. Bhatt

Volume : 4, Issue : 2, Year : 2017

Article Page : 69-73


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Abstract

Fast Moving Consumer Goods (FMCG) goods are all consumable items (other than groceries/pulses) that one needs to buy at regular intervals. These are items which are used daily, and so have a quick rate of consumption, and a high return. The FMCG sector in India is at present, the fourth largest sector with a total market size in excess of USD 13 billion as of 2012. This sector is expected to grow to a USD 33 billion industry by 2015. The CAPM model assumes that the variance of returns is an adequate measurement of risk. This would be implied by the assumption that returns are normally distributed, or indeed are distributed in any two-parameter way, but for general return distributions other risk measures (like coherent risk measures) will reflect the active and potential shareholders' preferences more adequately. To test the results statistical correlation analysis was done to show the significant relationship between CAPM return and actual return and risk associated with market beta and CAPM beta.

Keywords: CAPM, beta, FMCG companies, Risk and returns


How to cite : Bhuva K K, Mankad Y B, Bhatt P B, Validity of Capital Asset Pricing Model & Stability of Systematic Risk (Beta) of FMCG - A Study on Indian Stock Market. J Manag Res Anal 2017;4(2):69-73

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