![]() |
|
Financial Terms | |
Beta equation (Stocks) |
Information about financial, finance, business, accounting, payroll, inventory, investment, money, inventory control, stock trading, financial advisor, tax advisor, credit.
Main Page: credit, money, accounting, finance, inventory control, financial, investment, payroll, |
Definition of Beta equation (Stocks)Beta equation (Stocks)The beta of a stock is determined as follows:
Related Terms:Accounting equationThe representation of the double-entry system of accounting such that assets are equal to liabilities plus capital. Accounting equationThe formula Assets = Liabilities + Equity. accounting equationAn equation that reflects the two-sided nature of a Alpha equationThe alpha of a fund is determined as follows: BetaA measure of the riskiness of a specific security compared to the BetaThe price volatility of a financial instrument relative to the price betaSensitivity of a stock’s return to the return on the market ![]() Beta coefficientA measurement of the extent to which the returns on a given stock move with stock market. Beta equation (Mutual Funds)The beta of a fund is determined as follows: Beta (Mutual Funds)The measure of a fund's or stocks risk in relation to the market. A beta of 0.7 means Beta riskRisk of a firm measured from the standpoint of an investor who holds a highly diversified portfolio. Consigned stocksInventories owned by a company, but located on the premises Country betaCovariance of a national economy's rate of return and the rate of return the world economy Departmental stocksThe informal and frequently unauthorized retention of excess inventory on the shop floor, which is used as buffer safety stock. Dividend yield (Stocks)Indicated yield represents annual dividends divided by current stock price. Equation of ExchangeThe quantity theory equation Mv = PQ. ![]() Expected return-beta relationshipImplication of the CAPM that security risk premiums will be Floor stocksLow-cost, high-usage inventory items stored near the shop floor, Foreign market betaA measure of foreign market risk that is derived from the capital asset pricing model. Fundamental betaThe product of a statistical model to predict the fundamental risk of a security using not Leveraged betaThe beta of a leveraged required return; that is, the beta as adjusted for the degree of Listed stocksstocks that are traded on an exchange. Listed stocksstocks that are traded on an exchange. Margin account (Stocks)A leverageable account in which stocks can be purchased for a combination of Regression equationAn equation that describes the average relationship between a dependent variable and a Unleveraged betaThe beta of an unleveraged required return (i.e. no debt) on an investment when the Zero-beta portfolioA portfolio constructed to represent the risk-free asset, that is, having a beta of zero. Related to : financial, finance, business, accounting, payroll, inventory, investment, money, inventory control, stock trading, financial advisor, tax advisor, credit. |