We often hear the word beta in the context of “beta test”. It’s a way of testing something (e.g. a software program) in a real-world situation to iron out any glitches before rolling it out to the ...

Beta is a measurement of an asset’s risk compared to a benchmark, like the stock market. The market or benchmark used to calculate an asset’s beta always has a beta of 1. Stocks that have a return ...

Investors, whether beginner or seasoned professionals, all have a threshold for risk. Some prefer to play it safe and favor a low-risk investment plan while others are more advantageous with a “high ...

Beta is a quintessential part of the Capital Asset Pricing Model (“CAPM”), which is a model used to determine expected market returns. What this formula measures is the relationship between the return ...

Companies and investors review the weighted average cost of capital (WACC) to evaluate the returns that a firm needs to realize to meet all of its capital obligations, including those of creditors and ...