What is fundamental beta?

Personal Finance
13th Edition
ISBN:9781337669214
Author:GARMAN
Publisher:GARMAN
Chapter14: Investing In Stocks And Bonds
Section14.2: How To Evaluate Common Stocks
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What is fundamental beta?

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Step 1

Introduction:

Beta is nothing but a metric used to assess a portfolio’s uncertainty or risk, with a market wide reference. The beta has several values that determine expected return, and the portfolio’s statistical volatility.

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