The entire report explains the study of risk and return using Markowitz Model and its relevance in current scenario. The main purpose of doing this project is to construct a portfolio, to guide the investors with an investment opportunity that reap them maximum returns and to find the relevance of Markowitz Model in present scenario. The intention of the study is to generate an optimal portfolio that will yield higher returns with minimum volatility. For this purpose the monthly closing prices regarding 25 companies listed in the National Stock Exchange (NSE) and Nifty50 indices from April 2016 to March 2017 is being considered. All the stocks have been selected from Nifty50 index which serves as a benchmark, too. The core area of the project is the sectorial analysis of five sectors i.e. Banking, Pharmaceuticals, Oil &Gas, Information Technology and Automotive sector and selected five companies in each sector listed on NSE which tells an advisory about the performance level of each company in each sector. This project contains some equations which are used in calculation, and which help in drawing suggestions. In this study, portfolios are being compared based on their risk and return profiles. The outcomes using this function will provide standard recommendations on the suitable approach to choose stocks in building the portfolio.