Returns versus beta from sept 11 2013 to nov20 2013

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Unformatted text preview: Testing CAPM Average Returns Against Beta Figure 1. Returns versus Beta from Jan.1, 2011 to Sept. 10, 2013 Returns (Annualized avg.) 1 0.8 0.6 0.4 0.2 0 - 0.2 0 - 0.4 TSLA YHOO GOOG 0.5 1 CF MGA F - SNE VALE 1.5 WLL C 2 2.5 Beta Figure 2. Returns versus Beta from Sept. 11, 2013 to Nov.20, 2013 Returns (Annualized avg.) 2 1 0 - 1 0 0.2 0.4 0.6 0.8 GOOG CF MGA 1 - SNE 1.2 YHOO C VALE F 1.4 1.6 WLL 1.8 TSLA - 2 - 3 Beta The data from Figure 2 (short term) seem to line up more than the ones from Figure 1 (long term). Compa...
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