Investors understand intuitively that some stocks are riskier than others. The capital asset pricing model attempts to quantify the common perception of risk using a term called beta. By understanding ...

In general, stock correlation refers to how stocks move in relation to one another. While we can speak generally about asset classes being positively or negatively correlated, we can also specifically ...

Learn how correlation between asset classes works, and how it helps you reduce risk and build a smarter investment portfolio.

Look up a stock symbol at most sites and you’ll get a number that represents the stock’s beta. This is a statistic that measures the variance of a stock against the overall market. In theory, ...

Jason Fernando is a professional investor and writer who enjoys tackling and communicating complex business and financial problems. David Kindness is a Certified Public Accountant (CPA) and an expert ...

The foreign exchange (forex) and stock markets are completely different financial markets. Despite that, they may still display correlated movements, although that may not be readily apparent to the ...

For at least six years, stock pickers have tried to overcome an environment where everything moved up and down together, making it extremely difficult to find opportunities. In 2015, and particularly ...