Sentences with phrase «high beta stocks when»

James Simons likely points to high beta stocks when asked.

Not exact matches

Growth stocks are high beta, when they fall they fall hard.

My concern with such a small company (market cap of $ 21 million), is that there is a lack of liquidity and the stock has a high beta at a time when the overall market has shown signs of weakness.

When this group is richly valued - as it is now - high beta stocks underperform the market by an incredible 28.5 percent.

When I read about Beta, I wonder about just buying and holding the highest Beta stocks on earth for the long run.

Of course, the same holds true for when the market is down 1 %, a high beta stock will be down more than 1 %, while a low beta should be down less than 1 %.

The low beta, or relative risk and performance to the market, will show that these stocks tend to either perform better - or at least not as poorly - as cyclical stocks in bad times and will usually not be most investors» focal points during the boom part of the business cycle when investors are busy chasing technology stocks and high - growth companies.

My point was that if you select high beta stocks during a bull market you should expect to outperform the averages, and likewise, when the market turns down you should expect to underperform significantly.

This also means that a high beta stock will fall more than the index when the broad market goes down.

The strong quarterly performance of high beta stocks makes sense when you consider that high beta can outpace low volatility during periods of rising 10 - year Treasury yields and stronger economic growth, when investor demand for defensive stocks may ease.