{"id":21151,"date":"2024-10-10T07:09:43","date_gmt":"2024-10-10T01:39:43","guid":{"rendered":"http:\/\/www.sachdevajk.in\/?p=21151"},"modified":"2024-10-10T07:09:43","modified_gmt":"2024-10-10T01:39:43","slug":"relationship-of-state-bank-of-india-sbi-with-nifty-50","status":"publish","type":"post","link":"http:\/\/www.sachdevajk.in\/?p=21151","title":{"rendered":": Relationship of State Bank Of India (SBI) with Nifty 50"},"content":{"rendered":"<p><strong>Author: <\/strong>Sarthak \u00a0Dubey<\/p>\n<p><strong>Introduction: <\/strong>State Bank of India (SBI) is India&#8217;s largest commercial bank and a leading\u00a0 financial services provider<strong>.<\/strong> It is the public sector bank and it Offers a wide range of banking and financial services, including savings accounts, loans, credit cards, insurance, investment products, and more. It Holds a significant market share in India&#8217;s banking industry<strong>. <\/strong><\/p>\n<p><strong>Objective: <\/strong>To find out beta of SBI and its significance<\/p>\n<p><strong>Data Collection<\/strong>: Data for Nifty50 &amp; SBI was downloaded from NSE website, further period 1<sup>st<\/sup> may 2023 to 30<sup>st<\/sup> April 2024. Data was manipulated to get Friday closing prices &amp; weekly returns were calculated by the Formula: . Weekly returns of SBI \u00a0\u00a0were regressed on weekly returns of Nifty50.<\/p>\n<p><strong>Data Analysis<\/strong>: Weekly return of SBI \u00a0= \u00a0-0.30 -0.75 Weekly returns of Nifty 50(-2.24)<\/p>\n<p>N = 48, R<sup>2<\/sup> = 0.098, F = 5.02 , P-value = 0.029<\/p>\n<p><strong>\u00a0Interpretation<\/strong>: The above equation shows the relationship between Nifty 50 &amp; SBI . The negative sign before the coefficient of weekly returns of Nifty 50 means there is negative relationship. If Nifty 50 rise by 1unit, SBI \u00a0will decrease by \u00a00.75 &amp; vice versa. The Coefficient of Nifty 50 has t stat = (-2.24) &amp; the P value of which is 0.029 which is less than 0.05 meaning Beta is \u00a0statistically significant at 5% level and N=48, No of observations are 48.\u00a0 R<sup>2<\/sup> is 0.098 which means 9.8 % of Weekly returns of SBI \u00a0are explained by Nifty 50.\u00a0 90.2 % depends upon other factors like fundamentals are other factors. F is 5.021 &amp; the P value of this is 0.029 meaning it is less than 0.05 meaning the overall model is statistically significant at 5% level.<\/p>\n<p><strong>Conclusion:<\/strong> Beta is negative (-0.75), avoid this investment.<\/p>\n<p>\u00a0<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Author: Sarthak \u00a0Dubey Introduction: State Bank of India (SBI) is India&#8217;s largest commercial bank and a leading\u00a0 financial services provider. It is the public sector bank and it Offers a wide range of banking and financial services, including savings accounts, loans, credit cards, insurance, investment products, and more. It Holds a significant market share in&hellip; <a class=\"more-link\" href=\"http:\/\/www.sachdevajk.in\/?p=21151\">Continue reading <span class=\"screen-reader-text\">: Relationship of State Bank Of India (SBI) with Nifty 50<\/span><\/a><\/p>\n","protected":false},"author":139432,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[46],"tags":[],"class_list":["post-21151","post","type-post","status-publish","format-standard","hentry","category-investing","entry"],"_links":{"self":[{"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts\/21151","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\/139432"}],"replies":[{"embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=21151"}],"version-history":[{"count":1,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts\/21151\/revisions"}],"predecessor-version":[{"id":21152,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts\/21151\/revisions\/21152"}],"wp:attachment":[{"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=21151"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=21151"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=21151"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}