Yeah, beta is very similar to correlation coefficient.
Where correlation coefficient is:
Code:Corr(a,b) = Cov(a,b)/(Stdev(a)*Stdev(b))Beta is:
Code:Beta(a) = Cov(a,b)/(Stdev(a)*Stdev(a:emoji_nose:(with a being portfolio and b benchmark)
Meaning:
Code:Corr(a,b) * (Stdev(b)/Stdev(a:emoji_nose: =...