Polytechnic University of Valencia Congress, 1st International Conference on Business Management

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Analyzing premium risk behavior of European retail distribution companies in the period 2010-2015.
Isabel Barrachina Martínez, Elena De la Poza

Last modified: 26-08-2015


This study is a practical case to determine the behavior of companies quoting at different stock markets and comparing those with their respective market indices. Sharpe’s methodology is applied to identify the market line that measures the relationship between each stock value and the market trends. The objective is to identify behavior patters of the selectedcompanies, quantifying its level of dependence with the market movements. Finally, the assets are classified according to their Beta values as aggressive, defensive and neutral. This study is useful for the financial agents when selecting assets of investment according to the investors risk profile.

DOI: http://dx.doi.org/10.4995/ICBM.2015.1375



premium risk; stock market; market index; Sharpe’s model; retail distribution companies.

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