Question
Calculate the monthly return of the stocks of IBM and INTEL, as well as NYSE Composite, each, from June 1, 2008 to June 1, 2018.
Calculate themonthlyreturn of the stocks of IBM and INTEL, as well as NYSE Composite, each, from June 1, 2008 to June 1, 2018. (Yahoo Finance provides monthly returns! Go toHistorical Dataprovided in the middle bar menu of Yahoo Finance page for each company and use the prices given under "adjusted close", which adjusts for splits and dividends!)
1.Calculate the beta of IBM and the beta of INTEL.
2.How do you interpret the beta of each stock?
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Financial Markets and Institutions
Authors: Frederic S. Mishkin, Stanley G. Eakins
8th edition
013342362X, 978-0133423624
