## What is Beta in finance? Formula for Beta

September 25, 2017

Statistically Beta shows the sensitivity of a security. The Beta is a measure of the systematic risk of a security. Systematic risk refers to the risk that cannot be avoided through diversification. Hence, Beta measures non-diversifiable risk. It is a relative measure of risk. Beta is a statistical measurement indicating the volatility of a stock’s price relative to the price movement of the overall market. Beta is an extremely useful tool to consider when building a portfolio.
Higher-beta stocks are more volatile and are therefore considered to be riskier but are in turn supposed to provide a potential for higher returns.
Low-beta stocks are less riskier but also they are expected to give lower returns.
The market itself has a beta value of 1; in other words, its movement is exactly equal to itself (a 1:1 ratio). Stocks may have a beta value of less than, equal to, or greater than one. An asset with a beta of 0 means that its price is not at all correlated with the market; that asset is independent.
A positive beta means that the asset generally tracks the market.
A negative beta shows that the asset inversely follows the market; the asset generally decreases in value if the market goes up.

#### Formula to measure Beta

= Beta of the security with market
= Covariance between security and market
= Variance of market returns

This can also be written as

= Coefficient of Correlation between security and market returns

Consider the stock of XYZ Ltd has a beta of 0.75. This points to the fact that based on past trading data, XYZ Ltd as a whole has been relatively less volatile as compared to the market as a whole. Its price moves less than the market movement. Suppose Sensex index moves by 1% (up or down), XYZ Ltd’s price would move 0.75% (up or down respectively). If XYZ Ltd has a Beta of 1.3, it is theoretically 30% more volatile than the market. Beta can also considered to be an indicator of expected return on investment. Given a risk-free rate of 4%, for example, if the market (with a beta of 1) has an expected return of 8%, a stock with a beta of 1.4 should return 9.6% (= 4% + 1.4(8% - 4%)).

#### Downside of Beta

The Beta is just a tool and as is the case with any tool, is not infallible. While it may seem to be a good measure of risk, there are some problems with relying on beta scores alone for determining the risk of an investment.
•Beta is not a sure thing. For example, the view that a stock with a beta of less than 1 will do better than the market during down periods may not always be true in reality. Beta scores merely suggest how a stock, based on its historical price movements will behave relative to the market. Beta looks backward and history is not always an accurate predictor of the future.
•Beta also doesn’t account for changes that are in the works, such as new lines of business or industry shifts. Indeed, a stock’s beta may change over time though usually this happens gradually.
As a fundamental analyst, you should never rely exclusively on beta when picking stocks. Rather, beta is best used in conjunction with other stock-picking tools.

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## List of Market Participants in India

September 25, 2017
Below list provides details on in India.
Market Participants
Investors
Individual Investors
Corporate Investors
Foreign Venture Capital Investors
FIIs
Depositories
Stock Exchanges
With Equities Trading
With Debt Market Trading
With Derivative Trading
With Currency Derivatives
Brokers
Corporate Brokers
Sub-brokers
Portfolio Managers
Custodians
Registrars to an issue & Share Transfer Agents
Primary Dealers
Merchant Bankers
Bankers to an Issue
Debenture Trustees
Underwriters
Venture Capital Funds
Mutual Funds
Collective Investment Schemes

Also read: WHO ARE THE PARTICIPANTS IN STOCK MARKET?

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## Aristotle Quotes

September 24, 2017

Man is by nature a political animal.

Nature does nothing uselessly.

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## Collection of Slogans of companies

September 23, 2017

A slogan is a short and striking or memorable phrase used in advertising.

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 Slogan Company Better by Adobe. - Adobe The road will never be the same. - Acura Ask about it at work. - Aflac We know money. - AIG Stronger than dirt. - Ajax I can’t believe I ate the whole thing. - Alka-Seltzer Mama mia, thatsa spicy meatball. - Alka-Seltzer The relief goes on. - Allegra You’re in good hands with Allstate. - Allstate Insurance Doesn’t your dog deserve Alpo? - Alpo Dog Food Works like a dream. - Ambien Something special in the air. - American Airlines Behold the power of cheese. - American Dairy Association Don’t leave home without it. - American Express Do more. - American Express My life. My card. - American Express For fast, fast, fast relief. - Anacin Legendary reliability. - APC Think different. - Apple Computer The power to be your best. - Apple Computer Think outside the box. - Apple Computer Reach out and touch someone. - AT&T The world’s networking company. - AT&T Never follow. - Audi We try harder. - Avis Higher standards. - Bank of America Thank you for your support. - Bartles & Jaymes Bayer works wonders. - Bayer Aspirin Flick my Bic. - Bic We mean clean. - Bissell Life’s messy. Clean it up! - Bissell Sheer driving pleasure. - BMW The ultimate driving machine. - BMW Better sound through research. - BOSE The quicker picker-upper. - Bounty When you’ve got it, flaunt it. - Braniff Airlines Fill it to the rim with Brim. - Brim Decaffeinated Coffee Hope, triumph, and the miracle of medicine. - Bristol-Myers Squibb Co. The way to fly. - British Airways The world’s favourite airline. - British Airways Wassup?! - Budweiser The king of beers. - Budweiser It just tastes better. - Burger King Have it your way. - Burger King Break through. - Cadillac A can a week, that’s all we ask. - California Almond Growers Got milk? - California Milk Processor Board Calgon, take me away. - Calgon Toiletries Between love and madness lies obsession. - Calvin Klein Nothing comes between me and my Calvins. - Calvin Klein Jeans I’d walk a mile for a camel. - Camel For negative people. - CameraWorld What’s in your wallet? - Capital One For virtually spotless dishes. - Cascade Turning partnership into energy. - ChevronTexaco Please don’t squeeze the Charmin. - Charmin Get your own box. - Cheez-It A silly millimeter longer. - Chesterfield Cigarettes Like a rock. - Chevy Trucks It’s not nice to fool Mother Nature. - Chiffon Margarine Inspiration comes standard. - Chrysler Will you be ready? - Cialis Empowering the Internet generation. - Cisco Systems Live richly. - Citi If I’ve only one life, let me live it as a blonde. - Clairol Does she or doesn’t she? - Clairol The antidote for civilization. - ClubMed The source for computing and technology. - CNET The most trusted name in news. - CNN Coca-Cola refreshes you best. - Coca-Cola The pause that refreshes. - Coca-Cola Have a coke and smile. - Coca-Cola The silver bullet. - Coors Cotton. The fabric of our lives. - Cotton Incorporated If you want to capture someone's attention, whisper. - Coty Perfume Healthy, beautiful smiles for life. - Crest Look, Ma, no cavities! - Crest Cooks who know trust Crisco. - Crisco Vegetable Shortening Love it for life. - Dannon Yogurt A diamond is forever. - DeBeers Easy as Dell. - Dell Computer You’ll love the way we fly. - Delta Airlines We love to fly and it shows. - Delta Airlines We’re cooking now. - Denny’s Restoring the joy of motion. - DePuy Orthopedics We move the world. - DHL Yellow. The new Brown. - DHL Competition. Bad for them. Great for you. - DHL Aren’t you glad you use Dial? Don’t you wish everybody did? - Dial Soap The happiest place on earth. - Disneyland Time to make the doughnuts. - Dunkin Donuts The miracles of science. - DuPont Better living through chemistry. - DuPont The power of all of us. - eBay The world’s online marketplace. - eBay When EF Hutton talks, people listen. - EF Hutton Nothing sucks like an Electrolux. - Electrolux When you’re crazy for chicken. - El Pollo Loco It keeps going, and going, and going... - Energizer Batteries See your way forward. - Epiphany Quality in everything we do. - Ernst & Young Put a tiger in your tank. - Esso (Exxon) Don’t just travel. Travel right. - Expedia.com Good taste is easy to recognize. - Fancy Feast Our business is the American dream. - FannieMae Relax, it’s FedEx. - FedEx The world on time. - FedEx When it absolutely, positively has to be there overnight. - FedEx Play. Laugh. Grow. - Fisher-Price It’s not just for breakfast anymore. - Florida Orange Juice Growers Association Built for the road ahead. - Ford Ford has a better idea. - Ford Quality is job one. - Ford Fosters?Australian for beer. - Fosters Australian Beer Fair and balanced. - Fox News Extinct is forever. - Friends of the Animals Say it with flowers. - FTD Imagination at work. - General Electric We bring good things to life. - General Electric Celebrate the moments of your life. - General Foods Two words to the wise. - Georgia Federal Babies are our business. - Gerber Shouldn’t your baby be a Gerber baby? - Gerber My wife, I think I’ll keep her. - Geritol Look sharp, feel sharp. - Gillette The best a man can get. - Gillette Never let ‘em see you sweat. - Gillette Dry idea Don’t get mad. Get GLAD. - GLAD The best tires in the world have Goodyear written all over them. - Goodyear Leave the driving to us. - Greyhound Pardon me, do you have any Grey Poupon? - Grey Poupon It’s a great time to be alive. - Guidant Don’t be vague, ask for Haig. - Haig Scotch Whiskey When you care enough to send the very best. - Hallmark American by birth. Rebel by choice. - Harley Davidson Hey! How about a nice Hawaiian Punch? - Hawaiian Punch We answer to a higher authority. - Hebrew National Hertz puts you in the driver’s seat. - Hertz 57 varieties - H.J. Heinz Invent. - Hewlett Packard Pleasing people the world over. - Holiday Inn The power of dreams. - Honda Where’s the cream filling? - Hostess Cakes We’re behind you every step of the way. - Huggies Solutions for a small planet. - IBM Intel Inside. - Intel Manly yes, but I like it, too. - Irish Spring Soap Pure clean, pure Ivory. - Ivory Soap 99.44% pure. - Ivory Soap Jack’s back! - Jack in the Box Don’t dream it. Drive it. - Jaguar America’s most famous dessert. - Jell-O Nothing runs like a Deere. - John Deere The right relationship is everything. - JPMorgan Chase Bank 100% juice for 100% kids. - Juicy Juice Thrive. - Kaiser Permanente Every kiss begins with Kay. - Kay Jewelers They’re g-r-r-r-eat! - Kellog’s Frosted Flakes Start aging smart. - Kellogg’s Smart Start Finger-lickin’ good! - Kentucky Fried Chicken Nobody does chicken like KFC. - KFC Kid tested. Mother approved. - Kix Cereal Share moments. Share life. - Kodak It’s time for clarity. - KPMG What happens here, stays here. - Las Vegas Convention and Visitors Authority Betcha can’t eat just one. - Lay’s Potato Chips When banks compete, you win. - LendingTree The relentless pursuit of perfection. - Lexus I’ve fallen and I can’t get up. - LifeCall Hey, Mikey...he likes it! - Life Cereal Always a bridesmaid, but never a bride. - Listerine Because I’m worth it. - L'OrÃ©al Magically delicious. - Lucky Charms Lucky Strike means fine tobacco. - Lucky Strike Creating value through true convergence. - Lucent Technologies Melts in your mouth, not in your hands. - M&Ms Come to Marlboro Country. - Marlboro There are some things that money can’t buy. For everything else there’s MasterCard. - MasterCard Good to the last drop. - Maxwell House I want my Maypo. - Maypo Our repairmen are the loneliest guys in town. - Maytag Appliances Passion for the road. - Mazda Did somebody say McDonald’s? - McDonald’s Is it live or is it Memorex? - Memorex Tastes so good cats ask for it by name. - Meow Mix Merrill-Lynch is bullish on America. - Merrill-Lynch MGM means great movies. - MGM Because so much is riding on your tires. - Michelin Lose the carbs. Not the taste. - Michelob Ultra Your potential. Our passion. - Microsoft Where do you want to go today? - Microsoft It’s Miller time! - Miller Beer The champagne of bottled beer. - Miller High Life Everything you always wanted in a beer. And less. - Miller Lite Tastes great, less filling. - Miller Lite Wake up and drive. - Mitsubishi Motors One client at a time. - MorganStanley When it rains, it pours. - Morton Salt Medicine with muscle. - Motrin Do the Dew. - Mountain Dew Beef. It’s what’s for dinner. - National Cattlemen’s Beef Association Take a bite out of crime. - National Crime Prevention Council Pork. The other white meat. - National Pork Board You could learn a lot from a dummy. Buckle up! - National Highway Traffic Safety Administration Must see TV. - NBC Break out of the ordinary. - Nestles Butterfinger I love New York. - New York State Division of Tourism All the news that’s fit to print. - The New York Times Just do it. - Nike At the heart of the image. - Nikon Only fit for a king. Nine Lives. - Nine Lives Cat Food Enjoy the ride. - Nissan Connecting people. - Nokia Take it all off. - Noxzema The nighttime sniffling sneezing coughing aching stuffy head fever so you can rest medicine. - NyQuil Taking care of business. - Office Depot It’s not your father’s Oldsmobile anymore. - Oldsmobile The mark of a man. - Old Spice Changes everything. - OneTouch Software powers the Internet. - Oracle Ore-Ida! It’s all-righta! - Ore-Ida No rules. Just right. - Outback Steakhouse Grab the Southwest by the bottle. - Pace Picante Sauce Catch our smile. - Pacific Southwest Airlines Ask the man who owns one. - Packard Slightly ahead of its time. - Panasonic The flavor says butter. - Parkay Margarine This is your brain. This is your brain on drugs. - Partnership for a Drug-Free America We will sell no wine before its time. - Paul Masson Pepperidge Farm remembers. - Pepperidge Farm Come alive! You’re in the Pepsi generation. - Pepsi The taste of a new generation. - Pepsi For those who think young. - Pepsi Pepsi-Cola hits the spot. - Pepsi It takes a tough man to make a tender chicken. - Perdue Chicken Where the pets go. - Petco The best kept automotive secret in America. - Peugeot Talk. They’ll listen. - Philip Morris Famously fresh. - Planter’s Peanuts Lifts and separates. - Playtex Cross-Your-Heart Bra The fun develops instantly. - Polaroid Get a piece of the rock. - Prudential Something to smile about. - Quaker Oatmeal M’m, m’m, m’m, m’m, m’m...toasty! - Quiznos Spirit of service. - Qwest Ride the light. - Qwest You’ve got questions, we’ve got answers. - Radio Shack RAID kills bugs dead. - RAID I liked it so much I bought the company. - Remington How well do you share? - Ricoh How do you spell relief? R-O-L-A-I-D-S. - Rolaids Get out there. - Royal Caribbean Cruise Lines Ingredients for life. - Safeway Experience success. - Salesforce.com Sanka?everything you love about coffee. - Sanka The beer that made Milwaukee famous. - Schlitz Funny name. Serious sandwich. - Schlotzky’s Deli Schhh! You know who? - Schweppes We turn on ideas. - Seagate Strong enough for a man, but made for a woman. - Secret Deodorant The uncola. - 7-Up It’s Shake and Bake, and I helped. - Shake and Bake For the person who has everything, we have everything else. - The Sharper Image Cover the earth. - Sherwin Williams Always there in a pinch. - Skoal We make the money the old-fashioned way?we earn it. - Smith Barney With a name like Smucker’s, it has to be good. - Smucker’s Made from the best stuff on Earth. - Snapple You are now free to move about the country. - Southwest Airlines Now, that’s better. - SPRINT PCS Obey your thirst. - Sprite That was easy. - Staples Sorry, Charlie. Starkist wants tuna that tastes good, not tuna with good taste. - Starkist Tuna Eat fresh. - Subway The network is the computer. - Sun Microsystems Better snacking. - Sunkist If it’s not SuperSoil, it’s just plain old dirt. - SuperSoil There’s no equal. - Sweet ‘N Low Think outside the bun. - Taco Bell Head for the border. - Taco Bell You quiero Taco Bell. - Taco Bell Expect more. Pay less. - Target I’d rather fight than switch. - Tareyton Cigarettes If it’s gotta be clean, it’s gotta be Tide. - Tide Takes a licking and keeps on ticking. - Timex Choose freedom. - Toshiba Invest with confidence. - T. Rowe Price Get the feeling. - Toyota Silly rabbit, trix are for kids. - Trix Cereal A vital part of your world. - Tyco It’s hospital recommended. - Tylenol Imagine it. Done. - Unisys Time to fly. - United Airlines The mind is a terrible thing to waste. - United Negro College Fund The spirit of ’76. - Unocal What can Brown do for you? - UPS Some of our best men are women. - U.S. Army Friends don’t let friends drive drunk. - U.S. Dept. of Transportation Only you can prevent forest fires. - U.S. Forest Service Give a hoot, don’t pollute. - U.S. Forest Service The few, the proud, the Marines. - U.S. Marines We’re looking for a few good men. - U.S. Marines It’s not a job. It’s an adventure. - U.S. Navy The toughest job you’ll ever love. - U.S. Peace Corps I coulda had a V-8! - V-8 We never stop working for you. - Verizon Wireless Can you hear me now?...Good! - Verizon Wireless His master’s voice. - Victor Talking Machine Co. You’ve come a long way, baby. - Virginia Slims Cigarettes Virginia is for lovers. - The Virginia Tourism Commission It’s everywhere you want to be. - VISA Visine gets the red out. - Visine Think small. - Volkswagen Drivers wanted. - Volkswagen Fahrvergnugen - Volkswagen For life. - Volvo Always low prices. Always. - Wal-Mart The next stage. - Wells Fargo Where’s the beef? - Wendy’s Western Airlines the only way to fly. - Western Airlines The breakfast of champions. - Wheaties Ring around the collar. - Wisk Laundry Detergent For a living planet. - World Wildlife Fund We’re moving beyond documents. - Xerox Believe. - Yahoo! Personals Let your fingers do the walking. - Yellow Pages Where technology means business. - ZDNet The quality goes in before the name goes on. - Zenith

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