An analytical study of systematic risk and stock return in Indian stock market Muthukumaran T.1, Natarajan S.2, Kumar S.3 1Assistant Professor/Head, Department of Management Studies, Saradha Gangadharan College, Pondicherry-04, India | Email: tmuthukumaran@sgcpdy.com 2Assistant Professor/Head, Department of Commerce, Saradha Gangadharan College, Pondicherry-04, India 3Assistant Professor/Head, PG Department of Commerce, Saradha Gangadharan College, Pondicherry-04, India Online Published on 04 October, 2022. Abstract Post liberalization brought about a new atmosphere in the Indian stock market. The objective of the study is to estimate and to analyze the impact of the systematic risk and return on shares of preferred companies in selected industries in Indian stock market in the Indian context in the post reform era. The present study mainly uses secondary data by selecting six manufacturing industries in India. Analysis of the systematic risk and return on shares of selected companies in selected industries in India covers the data pertaining to April 1996 to March 2020. This period depicts a great volatility. The findings of the study suggested that Paint Industry, Personal Care Industry and Cement Industry may be favorable for investments. Though higher the risk will provide greater reward, excessive risk does not provide excessive return. Therefore, the theory ‘greater the risk and greater the return’ is applicable only for selected industries and it may be expounded to other industries in India. Top Keywords Risk, Return, BSE Sensex, Equity Share, Volatility. Top |