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    What is an appropriate portfolio beta for person who is highly averse to risk?

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    If someone were highly averse to risk, what type of beta would he or she be interested in when researching a company to add to an investment portfolio? Give an example and provide references on this topic. Consider the array of resources identified as materials for this course as options.

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    Please refer to the attached file for the response.


    The beta coefficient is the relative measure of nondiversifiable risk. It is an index of the degree of movement of an asset's return in response to a change in market return (Gitman, 2006). An asset (e.g. a particular stock) return is determined through using ...

    Solution Summary

    This solution explains the application of CAPM and Beta in 200 words and two references in an attached Word document.