Practices of Financial Mathematics in Security Analysis of Textile and RMG Sector

Author(s)

Sanjoy Pal ,

Download Full PDF Pages: 20-34 | Views: 329 | Downloads: 84 | DOI: 10.5281/zenodo.3457784

Volume 3 - November 2014 (11)

Abstract

Continuing over the acquaintance with financial practices in every sector around the world, Bangladesh, a developing nation, is adapting financial mathematics to make business decisions for the investors of home and abroad. Because of having a lot of human resources, business tycoons are eager to consider the largest exporting sector of Bangladesh for investments. With the cooperation of government and greatest enthusiasm of people, the demand for textile and garments sector is growing well and due to higher acceptance of locally produced cloths in the western world, the export is upward sloping, the result of which is the increasing trend of foreign currency reserve. The market participants are now looking for projects added by the capital fund according to their financial positions. For that reason it is exigent to reveal that financial mathematics efficiently manages the investment decisions evaluating the financial health of a firm and to critically examine how these are working out in the textile and ready-made garments (RMG) sector of Bangladesh.

Keywords

Risk-Return, CAPM, Portfolio, Cost of Common Stock, Discounted Cash Flow Valuation, Stock Valuation

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