So – What is Financial BETA, Granularity?

MUCH MORE COMPLICATED THAN MOST [PHYSICIAN] INVESTORS THINK!

By Dr. David Edward Marcinko MBA CMP®

CMP logo

SPONSORED: http://www.CertifiedMedicalPlanner.org

May 11, 2021

Dow34,269.16-473.66-1.36%
S&P 5004,152.10-36.33-0.87%
Nasdaq13,389.43-12.43-0.09%
GlobalDow4,011.09-61.07-1.50%

Most all investors and physician executives are aware of the concept of financial beta.

BETA: A Systemic risk measurement benchmark correlating with a change in a specific index.

EXAMPLE: The measure of a stock’s volatility relative to the market, where a beta lower than 1 means the stock is less sensitive than the market as a whole; higher than 1 indicates the stock is more volatile than the market. The healthcare industry is considered to be increasingly volatile and hence possess a higher beta.

CITATION: https://www.r2library.com/Resource/Title/0826102549

See the source image

QUERY: But, what about more granular concepts like Levered Beta vs Un-levered Beta?

LINK: https://corporatefinanceinstitute.com/resources/knowledge/valuation/what-is-beta-guide/

ALPHA versus BETA Podcast: https://youtu.be/dP_23vKJ3HQ

YOUR THOUGHTS ARE APPRECIATED

Comprehensive Financial Planning Strategies for Doctors and Advisors: Best Practices from Leading Consultants and Certified Medical Planners™

ORDER Textbook: https://www.amazon.com/Comprehensive-Financial-Planning-Strategies-Advisors/dp/1482240289/ref=sr_1_1?ie=UTF8&qid=1418580820&sr=8-1&keywords=david+marcinko

SECOND OPINIONS: https://medicalexecutivepost.com/schedule-a-consultation/

INVITE DR. MARCINKO: https://medicalexecutivepost.com/dr-david-marcinkos-bookings/

THANK YOU

***

2 Responses

  1. What is Smart Beta?

    Smart beta refers to investment in portfolios, being a combination of both passive and active investing. The smart beta approach is an arguably perfect intersection between traditional value investing and the efficient market hypothesis.
    https://www.bloomberg.com/opinion/articles/2018-06-08/smart-beta-performance-isn-t-worth-the-cost
    Really?

    Jorge

    Liked by 2 people

  2. Markets:

    In a head-spinning day on Wall Street, the Nasdaq climbed out of a major hole to close almost flat on the day, but the Dow had its worst trading day since February. And Roblox surged after posting its first earnings beat as a public company Monday.

    Jeremy

    Like

Leave a Reply

Please log in using one of these methods to post your comment:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

%d bloggers like this: