Comparative Analysis of Risk and Return Across Sectors in the Indian Equity Market

ABSTRACT- The Indian stock market has seen a lot of
growth in the past ten years. This is because more people
are investing in the market and there are systems in place
for trading. The government has also made some changes
to help the market. All these things have made the market
bigger. It is also more complicated for people to decide
where to invest their money. This study looks at how four
important parts of the stock market did over ten years.
These parts are Banking, Information Technology,
Pharmaceuticals and Moving Consumer Goods. The study
uses data from twenty companies, five from each part to see
how they did from January 2015 to December 2025.
The study uses tools to see how each part of the market did.
It looks at how much money the companies made, how
much risk they took and how well they did compared to how
much risk they took. The study also looks at how the
companies did during some events like when the
government took away some currency in 2016, the COVID-
19 pandemic in 2020 and the trade problems with the US in
2024 and 2025. What the study found out is that the Moving
Consumer Goods part of the market did the best. It
generated the highest return compared to how much risk it
took. The Banking part of the market made a lot of money.
It was also very risky. The Information Technology and
Pharmaceuticals parts of the market did not do well
especially during the trade problems with the US in 2025.
The study is important because it can help people make
decisions about where to invest their money. It can also help
the government make decisions about how to regulate the
market. The Indian stock market is a part of the Indian
economy and the Indian stock market has many different
parts, like Banking, Information Technology,
Pharmaceuticals and Fast-Moving Consumer Goods and
each part of the Indian stock market has its own strengths
and weaknesses.
KEYWORDS - Banking Sector, FMCG, Risk-Return
Analysis, Sharpe Ratio, Sectoral Performance.