Abstract

This paper aims to show the risk relevance of fundamental investment criteria. Based on the stock selection criteria of Benjamin Graham, this paper analyses the relation between selected stocks and their risk according to the beta factor. It does this by using statistical analysis methods. Beside the question whether the selected stocks have a lower risk then the overall market, the paper looks on the information that is given to the investor based on the selection criteria. With this it examines whether the criteria give the investor a clear decision direction rather than different information regarding an investment case or not.

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