Financial Glossary

Beta

Risk & Cost of Capital

What is Beta?

Measures how much a stock's price tends to move relative to the overall market. A beta of 1.0 means the stock generally moves in line with the market.

Why Beta matters

Helps gauge how volatile a stock may be compared to a broad index. Higher beta suggests larger price swings.

Related terms in Risk & Cost of Capital

Definitions are provided for educational and informational purposes only and are not investment advice. Consult a qualified financial advisor before making investment decisions.