Brian - beta is the regression coefficient of an individual stock versus an index.
The correlations I'm looking at are similar in that they are comparing individual funds to fund indexes. The problem is that the funds are privately held and may not provide returns with as great a frequency as the indexes. We are not comparing risk so much as decomposing funds into indexes. Regards, Devon On 7/29/07, Brian Schott <[EMAIL PROTECTED]> wrote: > > Devon, > > In my limited reading of financial literature, it > seems as if the standard by which stock risk is compared > (one stock to another stock comparison) is "beta" which as I > recall is a specialized regression analysis between market > values and a stock index. Is there any precedent or > literature about comparing pairs of stock returns using the > "beta" analysis, and if so, would that be similar to your > purpose for doing correlation analysis? > > (B=) > ---------------------------------------------------------------------- > For information about J forums see http://www.jsoftware.com/forums.htm > -- Devon McCormick, CFA ^me^ at acm. org is my preferred e-mail ---------------------------------------------------------------------- For information about J forums see http://www.jsoftware.com/forums.htm
