Portfolio Evaluation of Selected Large cap & Midcap Mutual Fund Schemes

Abstract

"Wealth, place & power are no measure of sources. The only true measure is the ratio between what we might have been & what we have become". In this regard people should upgrade their knowledge & keep in pace with changing technology & market condition to reach their desired goal. As new opportunities are opening up in every field all over the world. The desired goal can achieve only when both theory and practical go together hand in hand. This article is such an attempt to understand or link the theoretical concept with that of practical applicability. It provides an in-depth analysis of Mutual Funds Schemes, encompassing their benefits, various facts crucial to understand and associated risks. Furthermore, the theoretical background of mutual funds, including the types of funds available, their advantages, and potential risks have been dealt with. The study majorly focuses on evaluating the performance of specific mutual fund schemes in the large-cap and mid- cap categories. By analyzing various portfolio evaluation models, including Sharpe, Treynor, and Jensen's alpha, as well as other metrics such as Standard Deviation, Beta, and Portfolio Return, the research aims to identify top- performing funds. The study utilizes correlation analysis and the ARIMA model to forecast the Net Asset Value (NAV) of the highest-ranked funds, providing insights into risk and return profiles, and assisting advisors in recommending suitable investment choices to investors. The study concludes by emphasizing the importance of professional management and diversification in investment, particularly within the dynamic and unpredictable stock market environment. Keywords: Risk, Return, Beta, Standard Deviation (SD), Net Asset Value (NAV) & Assets under Management (AUM), Autoregressive Integrated Moving Average (ARIMA)