Most stocks have betas between
A) -1.00 and 1.00.
B) 0.00 and 1.00.
C) 0.60 and 1.60.
D) 1.00 and 2.00.

Question

Quizplus · Accepted Answer

Most stocks have betas between 0.60 and 1.60. Beta measures a stock's volatility in relation to the overall market. A beta of 1 indicates that the stock's price moves with the market. A beta less than 1 suggests that the stock is less volatile than the market, while a beta greater than 1 indicates higher volatility than the market. The range of 0.60 to 1.60 covers the majority of stocks, with some being less volatile and others more volatile than the market.

Most Stocks Have Betas Between