A B A*B B^2

year RA(TCS) RM RA-(RA) RM-(RM)

1 0.88 -0.49 0.436667 -1.01917 -0.44504 1.038701
2 -3.49 1.92 -3.93333 1.390833 -5.47061 1.934417
3 -5.29 -1.92 -5.73333 -2.44917 14.04189 5.998417
4 3.13 -0.11 2.686667 -0.63917 -1.71723 0.408534
5 -1.97 -4.77 -2.41333 -5.29917 12.78866 28.08117
6 -8.75 -7.51 -9.19333 -8.03917 73.90674 64.6282
7 15.31 10.17 14.86667 9.640833 143.3271 92.94567
8 0.56 1.04 0.116667 0.510833 0.059597 0.260951
9 1.78 4.14 1.336667 3.610833 4.826481 13.03812
10 -0.94 1.24 -1.38333 0.710833 -0.98332 0.505284
11 2.66 3.9 2.216667 3.370833 7.472014 11.36252
12 1.44 -1.26 0.996667 -1.78917 -1.7832 3.201117

sum 5.32 6.35 246.023 223.4031

tcs kotak
(RA) 0.443333
(RM) 0.529167

1
 TCS KOTAK BANK
COVARIANCE 22.3657303
SD OF MARKET 20.309372
BETA 1.10125169
Rf 6 kotak tcs
Rm-Rf 0.35 avg 16.35 5.32
SML 6.38543809 beta 0.85 -1.1
alpha -1.06543809 alpha 10 -1.08

we will buy kotak bec its alpha is high and beta is a

cov 22.36573
var 26.09472
ec its alpha is high and beta is also acceptable (lower alpha higher beta and return)