Proof That Everyone In The Market Is A "Beta Chaser"

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		Tech Media Wall Street Markets Strategy Sports Lifestyle Travel Politics Latest Video Tuesday, May 24, 2011 Proof That Everyone In The Market Is A "Beta Chaser" With correlations between all stocks running so high (e.g., there's no difference between 'growth' and 'value' stocks anymore) finding an edge in this market is difficult. As such one strategy is simply to find the stocks with the highest beta (leverage to market growth) and just buy those. And if you doubted that this was really the strategy du jour, check this out. In a survey of quant investors done by BofA/ML, the number of respondents who say that beta is a key factor in their stock screens, has surged overtime, from less than 20% in the mid 90s to over 70% now. Other popular factors used in stock screens include: Market cap, forward PE, and relative strength. Read » Also On Clusterstock Today: Elena Ambrosiadou Explains Why She Had To Spy On Employees Pippa Middleton's Boyfriend Isn't A Banker - He Has A Job That's MUCH Better That Trader Who Spent One Weird Day Employed At QuantZ Before Going To SAC Is Now At Goldman Sachs GREENWICH LUXURY CARNAGE: This Investment Manager's Mansion Is Selling At A 50% Discount Advertisement Love Clusterstock's Chart Of The Day? Get It Delivered To Your Inbox CHART OF THE DAY: Why An Italian Debt Crisis Should Scare The Crap Out Of Everyone CHART OF THE DAY: The Roman Coin Chart That Doomsayers Love To Pass Around Share this email: Buzz Facebook Twitter Digg Reddit StumbleUpon The email address for your subscription is: dwyld.kwu.careers@blogger.com Change Your Email Address | Unsubscribe | Subscribe | Subscribe to the Clusterstock RSS Feed Business Insider. 257 Park Avenue South, New York, NY 10010 Terms of Service | Privacy Policy

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