statistical analysis - advice needed

D

Duke Carey

Re-post - didn't get any solutions the first time around

Can somebody suggest an approach for this problem??

I need to fabricate a proxy for a publicly traded company, i.e., select a
basket of stocks from the same industry group that in the aggregate will
mimic the performance of the single target company

The thought process is to look at 2 years' of daily stock price history and
to compare the performance of the target company's stock to the aggregated
performance of a group stocks. Ideally, I'll model several dozen groups, but
the question I have is:

What is the best way to compare

the performance of [Group A vs. target company's stock] to
the performance of [Group B vs. target company's stock] to
the performance of [Group C vs. target company's stock]?

Thanks
 
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