Statistical test - small data sample

#1
Hi, I'am a student Business and Economics (Antwerp, Belgium) and i'm doing a economic/statistical research about the Dogs of the Dow investing strategy.
I apply the Dogs of the Dow strategy on the Euro Stoxx 50 ( contain the 50 biggest companies of the eurozone) for the year 2018. I split these 50 companies into two groups: 1 group (the dogs-porfolio) containing 10 companies and group 2 (the other companies from the Euro Stoxx 50 index) containing 40 companies. I first want to give a clear view about the characteristics of these dogs-companies. I collected data about the return of these 50 companies from the previous year, last 3 year. I also collected data about the market-to-book ratio's of these 50 companies and market capitalization and beta. Now I want to test if there is a significant difference between the two groups in terms of these variables (like f.e the dogs-companies perform less than average in compaired to the other group or the Dogs-companies have a lower market to book value or have a higher beta then the other group. I'm not sure which statistical test to use for my research and my professor does not give me any advice. Does anyone have a suggestion for my problem?

Thanks!!
Greetings from Belgium
 

obh

Active Member
#2
A bit long :). So you have two groups and you want to perform two tests one for average of each group and one for a ratio of each group?
 

obh

Active Member
#4
So two sample t test (weltch's) for the average and proportion z test for the ratio? If meets the assumptions.?