High Beta Index

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DEFINITION of 'High Beta Index'

An index composed of companies with high betas trading on the NYSE.

BREAKING DOWN 'High Beta Index'

Beta is a measure of a stock's volatility in relation to the market as a whole, and the high beta index takes account of those stocks considered to have higher volatilities.

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RELATED FAQS
  1. When is it better to use unlevered beta than levered beta?

    Understand what a security's unlevered beta and levered beta measure, and learn which one is more accurate in measuring a ... Read Answer >>
  2. What are the differences between delta hedging and beta hedging?

    Learn about hedging strategies, how to delta and beta hedge a security and the difference between delta hedging and beta ... Read Answer >>
  3. What's the difference between alpha and beta?

    Learn about alpha and beta, two very important technical risk ratios that investors use to evaluate relative performance, ... Read Answer >>
  4. What is the difference between a smart beta fund and an index fund?

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  5. What are some examples of smart beta ETFs that use passive and active management?

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  6. What kinds of securities are influenced most by systematic risk?

    Learn what systematic risk is, how investors can measure it with beta and how securities with a beta greater than 1 are most ... Read Answer >>
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