Key Takeaway
Portfolio beta is the weighted average beta of all holdings. A portfolio beta of 1.2 means it's 20% more volatile than the Nifty. Conservative investors should target portfolio betas between 0.6 and 0.9.
Portfolio Beta Calculator
Calculate the overall market risk (Beta) of your stock portfolio.
Portfolio Beta
1.05
More volatile than the market
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Frequently Asked Questions
What does Portfolio Beta mean?
Beta measures the volatility, or systematic risk, of your portfolio in comparison to the market as a whole (which has a beta of 1.0).
What does a beta greater than 1.0 signify?
A beta of 1.2 means your portfolio is theoretically 20% more volatile than the market. It will likely outperform during bull markets but suffer steeper losses during market crashes.
How can I lower my portfolio beta?
You can lower your beta by diversifying into low-volatility sectors (like utilities, consumer staples, or healthcare) or by holding a portion of your portfolio in cash or bonds.
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