The main aim of this research is to construct optimum portfolio through Sharpe index model. The portfolio is constructed to help the investor to reduce the risk. In this study two sector sugar and metal are chosen for constructing the portfolio. Ten companies are selected from each of these sectors and ranked according to single index model. The cut-off points are than calculated and securities are selected for construction of optimal portfolio. Proportion of investment in each security in the portfolio is found out. This analysis will help the investor to invest in security which would yield more return with minimum security.
Prof. Dr. Bilal BİLGİN