Abstract
Do portfolio managers know what’s really driving beta? While institutional portfolio managers understand the concept of beta from a practical standpoint, little work has been done on what actually drives beta in a stock portfolio, says Jackson Wang , Executive Director at MSCI in San Francisco. In The Drivers of Predicted Beta , published in the Fall 2014 issue of The Journal of Portfolio Management , Wang and co-author Jose Menchero , until recently Managing Director at MSCI, explain their theory of factor beta. In this report, Wang describes their approach and how it can be used to study cross-sectional variations in beta and to identify which factors are most responsible for the variations.
Sign-in/Register to access full text options 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
