A Project Report on The Analysis and Comparative Study of SBI and HDFC Mutual Fund

4.2. Variables in the project topic In the project the risk and return measurements are calculated for making comparison between two sector funds the calculations are done in excel sheet then it is turned to word document the followings are the measures for the risk and return calculations.

4.2. A. Risk measurements 1) Standard deviation.

2) Beta.

3) R squire.

4) Alpha.

Standard deviation The square root of the variance in a series. It shows how the data are spread out.

A measure of the dispersion of a set of data from its mean. The more spread apart the data is, the higher the deviation.

In finance, standard deviation is applied to the annual rate of return of an investment to measure the investment’s volatility (risk).

A volatile stock would have a high standard deviation. In mutual funds the standard deviation tells us how much the return on the fund is deviating from the expected normal returns. Standard deviation can also be calculated as the square root of the variance. To determine how well a fund is maximizing the return received for its volatility, you can compare the fund to another with a similar investment strategy and