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#1

Hi David,

We have two formula for beta

1.beta= (cov Ri, Rp)/ variance(Rp)

2. Beta = (cov Ri,Rp)/std(Ri)*std(Rp)..

Which one to use when, I mean which is correct?

Thanks

Kavita

We have two formula for beta

1.beta= (cov Ri, Rp)/ variance(Rp)

2. Beta = (cov Ri,Rp)/std(Ri)*std(Rp)..

Which one to use when, I mean which is correct?

Thanks

Kavita

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