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This repository contains the contents of my project on creating an efficient frontier for a set of 8 securities and analyzing them using MPT to obtain the efficient frontier and the Tangency Portfolio.

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Security-Analysis-and-Portfolio-Management

This project was a part of my elective - Security Analysis and Portfolio Management at BITS Hyd, as a part of my 5th Semester. This repository consists of the problem statement, final report and the code that I wrote for completing the allotted task.

Overview:

  • I was allotted 8 publicly listed firms and was asked to create an Efficient Frontier using the Markowitz Portfolio Theory and a Tangency Portfolio for the same.
  • I obtained the risk-free rates using historical data of a market index (NIFTY 50) and annualizing the returns.
  • The risk-adjusted portfolios were created by maximizing the Sharpe Ratio.
  • The notebook contains markdowns explaining every section of the code.
  • Further, I added 1 cryptocurrency and 1 international security to check the overall on impact on the risk-adjusted returns due to diversification.

I used Yahoo Finance to get the daily adjusted prices of the securities. The yfinance tickers are mentioned beside the name of each security.
List of Domestic Securities:

  • AEGIS Logistics Ltd. (AEGISLOG)
  • Canara Bank Ltd. (CANBK)
  • Star Health and Allied Insurance Company Ltd. (STARHEALTH)
  • Piramal Pharma Ltd. (PPLPHARMA)
  • Kajaria Ceramics Ltd. (KAJARIACER)
  • Birlasoft Ltd. (BSOFT)
  • 360 One Wam Ltd. (360ONE)
  • Gujarat Narmada Valley Fertilizers and Chemicals Ltd. (GNFC)

List of International Securities:

  • NVIDIA Corp. (NVDA)
  • SOLANA Labs (SOL-USD)

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This repository contains the contents of my project on creating an efficient frontier for a set of 8 securities and analyzing them using MPT to obtain the efficient frontier and the Tangency Portfolio.

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