Ask your own question, for FREE!
Finance 16 Online
OpenStudy (anonymous):

hi, there is any way to approximate the US beta value for another countries? Thanks

OpenStudy (anonymous):

you have to check with the country directly, you just google the beta you need from the industry directly

OpenStudy (anonymous):

You could calculate the covariance of returns of US index(S & P 500 for example) with the returns of foreign index(DAX for example) and then divide it by variance of US Index. \[\beta=cov(r _{US},r_{F})\div var(r_{US})\] If you would like to calculate beta(sensitivity to market) inside another country. You must just calculate covariance of returns of relevant index(DAX for Germany, CAC 40 for France, FTSE for England) with the relevant stock return or relevant sector return and divide it by variance of relevant index.

Can't find your answer? Make a FREE account and ask your own questions, OR help others and earn volunteer hours!

Join our real-time social learning platform and learn together with your friends!
Can't find your answer? Make a FREE account and ask your own questions, OR help others and earn volunteer hours!

Join our real-time social learning platform and learn together with your friends!