Why is beta the theoretically correct measure of a stocks risk?

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Why is beta the theoretically correct measure of a stock’s risk?

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Intermediate Financial Management

ISBN: 9781337395083

13th Edition

Authors: Eugene F. Brigham, Phillip R. Daves

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Question Posted: Mar 10, 2024 12:01 AM

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Why is beta the theoretically correct measure of a stocks risk?

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Beta is considered the theoretically correct measure of a stocks risk for several reasons 1 Systemat...View the full answer

Intermediate Financial Management

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