{"id":25008,"date":"2026-03-22T19:41:03","date_gmt":"2026-03-22T14:11:03","guid":{"rendered":"http:\/\/www.sachdevajk.in\/?p=25008"},"modified":"2026-03-22T19:41:03","modified_gmt":"2026-03-22T14:11:03","slug":"relationship-of-nifty-50-with-yes-bank-limited","status":"publish","type":"post","link":"http:\/\/www.sachdevajk.in\/?p=25008","title":{"rendered":"Relationship of Nifty 50 with YES Bank Limited"},"content":{"rendered":"

Title: Relationship of Nifty50 with Yes Bank Limited<\/span><\/u><\/b><\/p>\n

Author: Yuvraj Koli <\/span><\/u><\/p>\n

Introduction: <\/span><\/u><\/p>\n

Yes Bank Limited, established in 2004 by Rana Kapoor and Ashok Kapur, is a major Indian private sector bank headquartered in Mumbai. It offers a full range of commercial banking products to corporate, MSME, and retail customers.<\/span><\/p>\n

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Objective:<\/span><\/u><\/p>\n

Calculation of Beta & observe its Significance.<\/span><\/p>\n

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Literature Review:<\/span><\/u><\/p>\n

William F. Sharpe (1964), beta measures how sensitive a stock\u2019s returns are to changes in the overall market. A stock with a higher beta is more volatile and reacts strongly to market movements, whereas a stock with a lower beta shows less fluctuation and is considered more stable compared to the market.<\/span><\/p>\n

Eugene F. Fama and Kenneth R. French (1992), beta alone is not sufficient to fully explain stock returns, although it remains an important measure of market-related risk. Their study highlights that multiple market factors, beyond beta, play a significant role in influencing stock performance and returns.<\/span><\/p>\n

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Data Collection:<\/span><\/u><\/p>\n

Data for Nifty50 & Yes Bank Limited was downloaded from NSEindia.com For the period 01-01-2025 to 31-12-2025, Friday closing prices for Nifty50 & Yes Bank Limited were segregated weekly returns of Nifty50 & Yes Bank Limited were calculated. Weekly return of Nifty50 were taken as X & weekly return of Yes Bank Limited were taken as Y.<\/span><\/p>\n

Y was regressed on X.<\/span><\/p>\n

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Data Analysis:<\/span><\/u><\/p>\n

Equation- Y=0.0519+1.0273<\/span><\/p>\n

N=48,\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 <\/span>\u00a0<\/span>R square =0.18,\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 <\/span>\u00a0<\/span>F=10.28,<\/span><\/p>\n

P-value= 0.00244154,\u00a0\u00a0\u00a0\u00a0 <\/span>B=1.0273,\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 <\/span>t stat = 3.207.<\/span><\/p>\n

The above equation shows the relationship between Nifty 50 and YES Bank Limited, there is positive relationship which means if Nifty 50 rises YES Bank Limited rises and vice-versa, if Nifty 50 rises by 1 unit the YES Bank Limited will rise by 1.02 units. Number of observation are 48, Tstat for beta is 3.207, the P-value for which is 0.0024 , which is less than .05, meaning beta is statistically significant at 5% level means Nifty 50 impacts at 5% level. R square is 0.18, meaning 18% of YES Bank Limited is explained by Nifty 50. 82% is the error due to the variables not included in the model. F is 10.28, and the P-value is 0.0024 which is less than .05 it means overall the model is statistically significant at 5% level. <\/span><\/p>\n

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Conclusion:<\/span><\/u><\/p>\n

B>1, Hence invest for short term if nifty 50 rise<\/span><\/p>\n

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References:<\/span><\/u><\/p>\n

William F. Sharpe (1964). Capital Asset Prices: A Theory of Market Equilibrium under Conditions of Risk. Journal of Finance, 19(3), 425\u2013442.<\/span><\/p>\n

John Lintner (1965). The Valuation of Risk Assets and the Selection of Risky Investments in Stock Portfolios and Capital Budgets. Review of Economics and Statistics, 47(1), 13\u201337.<\/span><\/p>\n

\u00a0<\/p>\n","protected":false},"excerpt":{"rendered":"

Title: Relationship of Nifty50 with Yes Bank Limited Author: Yuvraj Koli Introduction: Yes Bank Limited, established in 2004 by Rana Kapoor and Ashok Kapur, is a major Indian private sector bank headquartered in Mumbai. It offers a full range of commercial banking products to corporate, MSME, and retail customers. \u00a0 Objective: Calculation of Beta &… Continue reading Relationship of Nifty 50 with YES Bank Limited<\/span><\/a><\/p>\n","protected":false},"author":140139,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-25008","post","type-post","status-publish","format-standard","hentry","category-uncategorized","entry"],"_links":{"self":[{"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts\/25008","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\/140139"}],"replies":[{"embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=25008"}],"version-history":[{"count":1,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts\/25008\/revisions"}],"predecessor-version":[{"id":25009,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts\/25008\/revisions\/25009"}],"wp:attachment":[{"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=25008"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=25008"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=25008"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}