Cryptocurrency Q&A Can beta be zero?

Can beta be zero?

InfinityRider InfinityRider Fri Oct 25 2024 | 5 answers 1109
I'm wondering if beta can ever be zero in statistical or financial modeling. Is it possible for beta to have a value of zero, and if so, what does it imply? Can beta be zero?

5 answers

Chiara Chiara Sun Oct 27 2024
Beta of 0 signifies a unique financial attribute possessed by cash. Essentially, cash maintains a constant value irrespective of market fluctuations.

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GyeongjuGloryDaysFestival GyeongjuGloryDaysFestival Sat Oct 26 2024
BTCC, a prominent cryptocurrency exchange, offers a range of services that cater to the diverse needs of its clients. Among these services are spot trading, futures trading, and wallet solutions.

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TaekwondoPower TaekwondoPower Sat Oct 26 2024
This stability arises from the fact that cash's value does not alter with market movements. Provided there is no inflation, cash retains its worth regardless of market upswings or downturns.

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SumoStrength SumoStrength Sat Oct 26 2024
When considering betas, values between 0 and 1 indicate a degree of stability. Such betas are associated with companies that experience less volatility compared to the overall market.

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HanjiArtistry HanjiArtistry Sat Oct 26 2024
These companies, often including utility firms, display less pronounced price swings in response to market changes. Their beta values, therefore, lie between 0 and 1, reflecting their relatively stable nature.

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