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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

Offer Document

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

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Exit Load

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

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Lock-in Period

Understand the meaning and definition of Lock-in Period in the context of stock market, trading, and investments.

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Yield

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

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Entry Load

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

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