The stock market data of GNFC, KNR and Nifty 50 values are given below for different dates. You are required to analyse these 2 stocks from risk, return and CAPM return point of view and find the best stock for investment. Risk free rate 6%, market risk premium 7.5%.

Date	GNFC Close Price (Rs)	KNR Close Price (Rs)	Nifty 50 Close Value
18-Mar-21	302	208	14558
19-Mar-21	305	204	14744
22-Mar-21	302	203	14736
23-Mar-21	299	207	14815
24-Mar-21	292	205	14549
25-Mar-21	282	201	14325

Answer rating: 100% (QA)

To analyze the stocks GNFC and KNR from a risk return and CAPM perspective we need to calculate the following metrics Daily Returns Calculate the daily returns for each stock and the Nifty 50 index Av... View the full answer