beta

Definition
A quantitative measure of the volatility of a given stock, mutual fund, or portfolio, relative to the overall market, usually the S&P 500. Specifically, the performance the stock, fund or portfolio has experienced in the last 5 years as the S&P moved 1% up or down. A beta above 1 is more volatile than the overall market, while a beta below 1 is less volatile.




beta is ...
... part of the
Mutual Funds, Stocks and Technical Analysis subjects.


Related Terms

alpha -  More
modern portfolio theory -  More
capital market line -  More
Treynor Index, zero-beta portfolio, unlevered beta, portable alpha, factor portfolio, minimum-variance portfolio, portfolio beta score


beta appears in the definitions of these other terms on BusinessDictionary.com

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