Beta Equation (Mutual Funds)

Filed Under: b by
Beta Equation (Mutual Funds)
The calculation of beta in mutual funds is done as follows:
[(n) (sum of (xy)) ]-[ (sum of x) (sum of y)]
[(n) (sum of (xx)) ]-[ (sum of x) (sum of x)]
Here : n = # of observations (36 months)
x = return rate on the S&P 500 Index
y = return rate for the fund

Recommended for you:

  1. Beta Equation (Stocks)
  2. Beta (Mutual Funds)
  3. Alpha Equation
  4. Investing in Mutual Funds
Home / Glossary / b / Beta Equation (Mutual Funds)