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Mutual Funds

Beta

Beta is a fundamental concept in finance that allows us to assess the risk associated with a particular mutual fund. It is derived by dividing the covariance of the fund by its variance. A Beta ratio of 0.4 or 40% indicates that the fund is 0.6 or 60% less volatile than the overall market. This helps investors understand the potential risks and returns associated with their investment choices.

Related terms

Folio

Understand the meaning and definition of Folio in the context of stock market, trading, and investments.

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No-load Fund

Understand the meaning and definition of No-load Fund in the context of stock market, trading, and investments.

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Fund Category

Understand the meaning and definition of Fund Category in the context of stock market, trading, and investments.

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Actively Managed Funds

Understand the meaning and definition of Actively Managed Funds in the context of stock market, trading, and investments.

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Adjusted NAV

Understand the meaning and definition of Adjusted NAV in the context of stock market, trading, and investments.

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