Portfolio Management Workshop

The first Portfolio Management workshop in India for MBA Students

Dr. Vadapalli Satish

Lead Consultant Neonatologist, Apollo Hospitals

MBBS, MD (Paeds), Fellowship in Neonatology [RCPCH, UK], MBA (Finance),

Certified Equity Research Analyst,

Registered Mutual Fund Advisor (AMFI),

Visiting Faculty, MBA Finance, Samata College,

Author: "Bestseller"—first textbook in India on Monetary Management Textbook for Finance and economics Student .

We will conduct a financial workshop focused on applying the Markowitz Portfolio Theory and the Capital Asset Pricing Model (CAPM). The workshop will consist of several steps to comprehensively analyze a portfolio of 100 stocks traded on the National Stock Exchange (NSE) over the past decade.

The time frame of study- is 2013–2023.

Total stocks included: 100 from NSE

Excel skills: Vlookup, Index, Match, and MMULT

Laptop compulsory

Stepwise Learning Module

Step 1: Import historical stock price data from NSE for the selected 100 stocks on a weekly basis.

Step 2: Calculate the weekly returns for each of these stocks.

Step 3: Extending our analysis over the past 10 years to gather sufficient data for our portfolio assessment.

Step 4: Calculate the unsystematic risk for all 100 stocks.

Step 5: Calculate the risk-return trade-off.

Step 6: Visualizing the results through graphical representations

Step 7: Create an optimal portfolio consisting of 16 carefully selected stocks.

Step 8: Calculate the variance and covariances of these 16 stocks.

Step 9: Comparing the risk-reward ratio

Step 10: Compare Optimal vs. all other portfolio

Step 11: Draw a capital market line (CML).

Step 12: Draw an Efficient Frontier line (EFL).

SHARPE RATIO & PORTIFOLIO

EFFICIENT FRONTIER LINE

Further, we will utilize (MMULT) functional tools to calculate portfolio risk and explore various portfolio scenarios, including:

1. Optimal Weighted Portfolio

2. 2% Optimal Weighted Portfolio

3. Lowest Risk Portfolio

4. Lowest Sharpe Ratio Portfolio

5. Lowest Return Portfolio

6. Equally-weighted portfolio

7. High-Risk Portfolio

8 . High-Return Portfolio

9. Low Sharpe Ratio Portfolio

10. Low-Return Portfolio

11. Low-Risk Portfolio

12. High Beta Weighted Portfolio

13. Low Beta Weighted Portfolio

15. Random Weighted 1

16. Random Weighted 2

17. Random Weighted 3

18. Random Weighted 4

19. Random Weighted 5

This workshop aims to provide a comprehensive understanding of portfolio management strategies and their applications in real-world financial scenarios.