Relationship between nifty fifty and power grid corporation india ltd.
Author name – Pratiksha Rathod
Introduction – Power Grid Corporation of India Limited is an Indian central public sector undertaking under the ownership of the Ministry of Power, Government of India. It is engaged mainly in transmission of bulk power across different states of India. It is headquartered in Gurugram.
Objective – to calculate the beta and its significance
Literature review – https://krishisanskriti.org/vol_image/07Sep201511094529.pdferat
Financial Management means the efficient and effective management of money (funds) in such a manner as to accomplish the objectives of the organization. Financial management is an integral part of overall management. It is concerned with the duties of the financial managers in the business firm. The term financial management has been defined by Solomon, “It is concerned with the efficient use of an important economic resource namely, capital funds”. Howard and Upton define financial management “as an application of general managerial principles to the area of financial decision-making. Weston and Brigham define financial management “is an area of financial decision-making, harmonizing individual motives and enterprise goals”. Joshep and Massie define financial management “is the operational activity of a business that is responsible for obtaining and effectively utilizing the funds necessary for efficient operations. Thus, Financial Management is mainly concerned with the effective funds management in the business.
Literature review – https://www.ijsr.net/archive/v3i12/U1VCMTQ1MTA=.pdf
Financial Management means the efficient and effective management of money (funds) in such a manner as to accomplish the objectives of the organization. Financial management is an integral part of overall management. It is concerned with the duties of the financial managers in the business firm.
data collection : historical data has been download for both nifty and fifty and sbi cards and payment for the period between 01/02/2023 to 31/01/2024 from www.nseindia.com and data has been manipulated to get only Friday cosing prices.
Data analysis : The standard equation is : Y = a + b * X
X = Nifty returns and
Y = SBI Cards and payments
Y was regress on X
There fore the equation becomes,
Y = (0.063252) + (0.131336)
Equity = (0.063252) + (0.131336)
N= 99
R square = 0.009437
F = 0.924094
Above equation shows the prationship between NIFTY 50 and POWER GRID CORPORATION payments. NIFTY 50 is independent variable and power grid and payments is dependent variable.
The positive sign in equation means the direct relationship between nifty 50 and equity of power grid corporation and vice versa.
The no of observation are 99
Conclusion : the beta value is less then 1 which means we can invest for long time.
Reference :
- DR. PARAMJIT S. JASWAL & DR. NISHTHA JASWAL, ENVIRONMENTAL LAW,
ENVIRONMENT PROTECTION, SUSTAINABLE DEVELOPMENT AND THE LAW.
- Baker, H. Kent and Gary Powell, (2005), Understanding
Financial Management: A Practical Guide