Is it worth investing in Czech mutual funds?
|Author:||Bc. Adam Sedlačík|
|Year:||2015 - summer|
|Leaders:|| Mgr. Tomáš Křehlík M.A., Ph.D.
|Work type:|| Bachelors
|Awards and prizes:|
|Abstract:||In the Czech Republic many people do not invest. Therefore, we try to find out whether Czech mutual
funds offer a good opportunity for investment on the Czech market in comparison with American funds.
We use Sharpe ratio, Treynor index, Jensen's alpha and Modern portfolio theory to find this out. We
conclude that Czech bond mutual funds are safe place to put your money in even though they provide
small but almost certain returns. Czech stock funds perform worse than their American counterparts in
terms of Sharpe ratio, Treynor index and Jesen's alpha. Applying modern portfolio theory proved to be
beneficial in case of mutual funds in the Czech Republic.