The
"beta coefficient" is a term commonly used in finance. It measures how much the price of a specific investment moves in relation to the overall market. A
beta coefficient of 1 means the investment tends to move in sync with the market, while a beta greater than 1 suggests it is more volatile than the market. On the other hand, a
beta coefficient less than 1 means it is less volatile than the market. It helps investors understand the investment's risk and potential returns compared to the broader market.
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