Investors Attitude towards Risk and Return Content in Equity and Derivatives

S. Saravanakumar ., S. Gunasekaran ., R. Aarthy .

Abstract


The study was undertaken to know the investors attitude towards risk and return content in equity and derivative security and to predict which will be more profitable to them. The research design used in this project is descriptive research design. The sampling technique adopted is simple random sampling and the sample size of 100 investors was selected for the study. Structured interview schedule was prepared for conducting the survey. Primary data is collected through interview schedule and secondary data is collected through company manuals and website. The data collected is then classified, tabulated, and the analyzed using statistical tools such as Simple Percentage and Chi-Square and Weighted Average. Most of the investor prefer cash market because lack of knowledge about the derivative market. But still it is suggested that the investor should have thorough knowledge before making investment in share market.

Keywords


Capital Market, Equity shares, Futures, Options, Equity Market, Derivatives Market, Investors Satisfaction

Full Text:

PDF

References


Banz, Rolf W, (2006), “The Relationship Between Return and Market Value of Common Stocks and Derivatives”, Journal of Financial Economics 6: 103–126

Dixon and Bhandari, (1995), “International Capital Market Equilibrium with Investment Barriers”, Journal of Financial Economics 1: 337–352.

Fama, Eugene F., (2003), “Common Risk Factors in the Returns on Stocks and Derivatives” Journal of Financial Economics 53: 427–65.

Jennifer and Moehrle, (2002), “Multifactor Explanations of Common Stock and Derivative Pricing Anomalies” Journal of International Finance Vol. 4: 58–84.

Merton, Robert C, (2007), “A Simple Model of Capital Market Equilibrium with Incomplete Information” Journal of Finance 42: 483–510.

Patrick and Mansfield, (1980), “Dividend, Dilution, and Delusion”, International Business Review, Vol. 38, 5-13.

Rao, K.C., and M. Manickaraj, (1993), “Information Content of Financial Statements and Equity Stock Prices in India”, Finance India, 7 (2), 333-343.

Saravanakumar, S, (2001), “The Impact of Announcement of Corporate Quarterly Results on Stock Returns”, M.Phil., dissertation submitted to Bharathiar University, Coimbatore.

Sharpe, W.F, (1963), “A Simplified Model for Portfolio Analysis”, Management Science, 9 (2), 277-293.

Srinivasan, R, (1997), “Security Prices Behavior Associated with Rights Issue-Related Events”, ICFAI Journal of Applied Finance, 3 (1), 50-62.

Stulz, René M, (2008), “On the Effects of Barriers to International Investment”, Journal of Finance 36: 923–34.

Walter, J. E. (1956). “Dividend Polices and Common Stock Prices”, The Journal of Finance, 16, 29-41.


Refbacks

  • There are currently no refbacks.




Editorial Office:

Educational Research Multimedia & Publications,
S.N. 21, Plot No 24, Mirza Ghalib Road Malegaon Nasik,
Maharashtra India - 423203.
+919764558895 (whatsapp),
editor@scholarshub.net, www.scholarshub.net

Copyrights © 2010-2020 - ERM Publications, India     

This work is licensed under https://creativecommons.org/licenses/by-sa/4.0/