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If it's beta > 1.0? ► Security is more risky than the market ► less risky ► equally risky ► Not possible to predict riskiness

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Question added by Fahd Mohammed Suleman , CFO , Tajeel Business Commercial Services
Date Posted: 2014/06/24
Abdulrahman Murshid
by Abdulrahman Murshid , Purchasing Manager , Dr Hamid S. Al Ahmadi Hospital

Security will be more risky than the market

For example, if Beta of a security is1.3 that means the security will be30% more volatile than the market, and that means more riskiness.

Asif Pyarali (CMA finalist)
by Asif Pyarali (CMA finalist) , Manager Finance and Export , Amlani Enterprises

Abdul Rehman elaborate it rightly, Beta is the risk and return on the basis of market. If beta is higher than1 it creeps to high risk and high return.

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