It's evident that capital is one of the most pivotal
and essential need for a developing society that can be fulfilled
through financial instruments and institutions including capital or
Investment companies which have more than 80 years
of experience are part of the capital market that attract people’s
savings in the framework of a financial institution, and transfer it to
economic sectors to pave the way for economic growth.
Formation of investment companies in Iran was almost
coincident with the establishment of the capital market. Investment
companies gradually promoted and strengthened the new market. They had
pivotal role, maybe for lack of modern instruments and institutions at
Here, the researcher makes attempts to analyze
investment companies of Tehran’s security exchange during 1997 to 2000
under careful consideration of money and capital markets and related
theories such as (Marquits portfolio theory)
In this analysis, the companies are ranked according
to time structure, process of establishment, role risk and return to
answer the two important questions:
1. How were performances of investment companies
in Tehran’s stock market during 1997 to 2000?
2. Did they have good performance or not?
Then, the performance of the sample companies is
evaluated by using Sharp index and with regard to the research theories,
and finally operational and enforceable suggestions are offered for
better performance of investment companies.
Tehran security exchange, Investment Company, stock,
return, risk, portfolio sharp index