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Biotech / Medical : 2012 Biotech Charity Contest

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To: IRWIN JAMES FRANKEL who wrote (369)10/15/2012 8:02:20 PM
From: DewDiligence_on_SI   of 513
 
>The beta is a bit of a surprise to me. I would have guessed that the NBI would be more volatile than the S&P 500 and not less.<

Bear in mind that beta measures not raw volatility, but rather the product of volatility and correlation to the S&P 500. It’s the relatively low correlation of biotech to the S&P 500 that gives ^NBI a low-ish beta.
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