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VALUE VERSUS GROWTH: INSIGHTS INTO RISK AND RETURN ON THE DHAKA STOCK EXCHANGE
Dr. Riyaz Ahmed , Assistant professor of Management, Beanibazar Government College, Sylhet, BangladeshAbstract
This study examines the risk-return relationship of value and growth investment strategies on the Dhaka Stock Exchange (DSE), providing insights into their performance within Bangladesh’s emerging market context. While global research has extensively analyzed value versus growth stocks, relatively little is known about their comparative performance in the DSE. Using a dataset of DSE-listed companies, we evaluate key performance metrics, including average returns, standard deviation, and risk-adjusted returns. Our findings indicate that value stocks on the DSE exhibit higher average returns and risk-adjusted performance than growth stocks, aligning with global trends in established markets. However, the analysis also reveals that growth stocks tend to exhibit lower volatility, offering investors a potential trade-off between risk and return. This research contributes to a better understanding of how value and growth strategies perform in Bangladesh and provides practical insights for local and international investors seeking to optimize their portfolios on the DSE.
Keywords
Value Investing, Growth Investing, Risk-Return Relationship
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Copyright (c) 2024 Dr. Riyaz Ahmed
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