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A beta of 1 indicates that the security's price will move with the market.
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Where and how do you get beta values for Indian companies?
Look up Bombay Stock Exchange www.bseindia.com and Nantional Stock Exchange www.nseindia.com for beta values of Indian companies.
Bill Dukes has 100000 invested in a 2-stock portfolio 75000 is invested in Stock X and the remainder is invested in Stock Y Xs beta is 1.50?
Bill Dukes has $100,000 invested in a 2-stock portfolio. $75,000 is invested in Stock X and the remainder is invested in Stock Y. X\'s beta is 1.50 and Y\'s beta is 0.70. What is the portfolio\'s beta? A. 0.98 B. 1.30 C. 1.39 D. 1.00 E. 1.44 You can also get answer on onlinesolutionproviders com thanks
What is a long-term technique used by investors who purchase an equal dollar amount of the same stock at equal intervals in time called?
A long-term technique used by investors who purchase an equal dollar amount of the same stock at equal intervals in time is called Dollar cost averaging.
Is the beta distribution closed under convex combinations viz is the convex combination of two or more beta distributions also a beta distribution?
No. For a convex combination of distributions, the density is also a convex combination of the individual densities and one can easilly check that the convex combination of beta densities is not again a beta density.
Does one eighth equal 0.25?
No - one eighth is equal to 0.125. 0.25 is equal to one quarter.
Is the beta of a stock static or dynamic?
The Beta of a stock is always dynamic.
Why is beta the correct measure of a stock riskiness?
Beta measures a stock's volatility (the swings up and down in price). The market as a whole has a beta of 1.0, but each stock is determined a beta value from a history of it's stock movements. Riskiness equates to the stock losing value and high beta stocks are more prone to falling faster.
Stock A has a beta equals 0.8 while stock B has a beta equals 1.6 Which one what statements is correct?
beta is a useless metric. It measures volalotilty. Which a serious investor won’t care about because it just gives them the price to buy more at a cheaper price and a investor knows the instricic value of a stock.
What would make a firm's beta increase?
The beta of a firm's stock is dependent on the volatility of the stock relative to the overall market. So if the stock's volatility increased relative to the overall market, it's beta would increase as well.
What is the basis of the beta for investment decision and can you explain the usefulness and relevance of the concept of the beta in the investment?
Beta describes the relationship between the volatility of a stock with respect to the market as a whole (which the market represented by a suitable index). A beta of less than one means that the stock is less volatile than the index, and vice-versa. Basically, if a benchmark returns 10%, and you're considering a stock with a beta of 1.5%, that means the stock needs to have a return of greater than 15% for it to be worthwhile. The related link contains much more information
Where and how do you get beta values for Indian companies?
Look up Bombay Stock Exchange www.bseindia.com and Nantional Stock Exchange www.nseindia.com for beta values of Indian companies.
If a stock has a beta of 1.2 what does that mean?
If market rises by 100% then the stock rises by 120%
Is there a connection between the speed of alpha beta and gamma radiation which?
beta equal to 2alpha and gamma equal to 3alpha
What does BETA indicate?
Beta is a measure of a stock's volatility. The price of a stock with a beta of 1.0 rises and falls on average with the overall market. A beta greater than 1.0 could mean larger prices fluctuations, and a beta of less than 1.0 indicates a more tame stock. For example, if Company A has a beta of 1.2 and the market goes up 10% in a given period of time then Company A should increase about 12% in value. If the market falls 20% then Company A's stock price should drop 24%.
If the risk-free rate is .06 and expected return on the market is .13. What is the requred rate of return on a stock that has a beta of 7?
49%....in reality no stock has a beta of 7
How can you measure volatility using beta?
You can use Beta to measure market volatility because of beta is the elasticity of a stock change as a result of a change in the market. That is, Beta of a sotck is found by comparing the senstivity of a stock's return to the fluctuations in the market.Beta is found by dividing the product of the covwariances of the stock and market retun by the variance of the market.The bench marks of betas are as followed:a risk free investment such as a Tbill (that is guaranteed a return) will have a beta of 0.A portfolio with risk equivalent to the market has a beta of 1.Given those two bench mark, you can gauge at the volatility of the stock/investment by comparing its beta with those two extremes.
Bill Dukes has 100000 invested in a 2-stock portfolio 75000 is invested in Stock X and the remainder is invested in Stock Y Xs beta is 1.50?
Bill Dukes has $100,000 invested in a 2-stock portfolio. $75,000 is invested in Stock X and the remainder is invested in Stock Y. X\'s beta is 1.50 and Y\'s beta is 0.70. What is the portfolio\'s beta? A. 0.98 B. 1.30 C. 1.39 D. 1.00 E. 1.44 You can also get answer on onlinesolutionproviders com thanks
