Financial Performance of Selected Portfolio Schemes in India: Using Model of Markowitz

Abstract

The paper's objective is to analyze the performance of portfolios of selected mutual funds in India. This study focused on the Harry Markowitz formula applied to the selected ten mutual fund schemes. Five years of monthly and yearly data were collected from the BSE India from 2013 to 2018. There are the highest returns in selected schemes' first, third, and fifth years. ICICI prudential blue-chip fund and Mirae Asset Emerging blue-chip fund have high returns in third and fifth year continuously. The researcher presents the correlation matrix among the selected schemes of the portfolio. Through the modern portfolio theory, it is observed that the individual portfolio has more risk as compared to the group portfolio standard deviation. This paper will be helpful for investors, academic portfolio managers, jobbers, and brokers. The major concern for the paper is to maximize the high expected rate of return and mitigate the risk along with capturing the different types of securities in the portfolio.