{"id":19025,"date":"2023-11-18T09:19:27","date_gmt":"2023-11-18T03:49:27","guid":{"rendered":"http:\/\/www.sachdevajk.in\/?p=19025"},"modified":"2023-11-18T09:19:27","modified_gmt":"2023-11-18T03:49:27","slug":"relationship-of-sbi-with-nifty-50-and-to-calculate-its-beta","status":"publish","type":"post","link":"http:\/\/www.sachdevajk.in\/?p=19025","title":{"rendered":"Relationship of SBI with Nifty 50 and to calculate its Beta"},"content":{"rendered":"<p><strong>Title:<\/strong> &#8211; Relationship of State Bank of India with Nifty 50 and to calculate its Beta.<\/p>\n<p><strong>Author<\/strong>: &#8211; Simpee pal<\/p>\n<p><strong>Introduction<\/strong>: &#8211; State Bank of India stands as the nation&#8217;s largest and oldest public sector bank, playing a pivot role in financial landscape of India. With a rich history dating back to 1806, SBI has evolved into a beacon of stability and trust, offering a comprehensive range of banking and financial services.<\/p>\n<p><strong>Objective:-<\/strong> To calculate Beta of State Bank of India and see its significance.\u00a0<\/p>\n<p><strong>Literature Review\/ View &amp; Review: &#8211;\u00a0 \u00a0 1)\u00a0 \u00a0<\/strong>ANOVA: &#8211; ANOVA table assesses the overall significance of the regression model. F is used to test if there is significant linear relationship between Nifty 50 and Equity.\u00a0 \u00a0 \u00a0 2)\u00a0 Coefficient: &#8211; The coefficient for nifty 50 represent the changes in equity for one unit change in nifty 50.<\/p>\n<p><strong>Data Collection: &#8211; <\/strong>Collected the data for Nifty 50 and Equity.<\/p>\n<p><strong>Data Analysis: &#8211;\u00a0<\/strong>SBI shares = 335.97+1.50 nifty\u00a0<\/p>\n<p>\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 N = 48,\u00a0 Rsquare 0.26,\u00a0 \u00a0F= 17.13<\/p>\n<p>The above equation shows that relationship of SBI with nifty if nifty rises by one unit SBI will rises by 1.50 units<\/p>\n<p>t- stat for b is 4.140 and the p value is 0.00014 which is less than 0.05 so means nifty does impact on SBI shares .<\/p>\n<p>Rsquare is 0.26 meaning 26% of the SBI is explained by nifty 50 and it has linear relationship meaning 74% depend upon other things like fundamentals.<\/p>\n<p><strong>Conclusion<\/strong>: &#8211; As Beta is (1.50) is more than 1, so good for short term investment.<\/p>\n<p><strong>References<\/strong>: &#8211; Got this SBI nifty 50 and equity data from yahoo finance and calculated them.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>R<\/p>\n","protected":false},"author":138964,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[46],"tags":[842,1859],"class_list":["post-19025","post","type-post","status-publish","format-standard","hentry","category-investing","tag-sbi","tag-sbi-and-nifty50-weekly-return","entry"],"_links":{"self":[{"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts\/19025","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/users\/138964"}],"replies":[{"embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=19025"}],"version-history":[{"count":1,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts\/19025\/revisions"}],"predecessor-version":[{"id":19026,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts\/19025\/revisions\/19026"}],"wp:attachment":[{"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=19025"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=19025"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=19025"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}