Re: It\'s time for poker players to start putting their money to work.
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Beta is a product of the CAPM and shows how risky a stock is when held in a diversified portfolio.
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I don't have much to add to this very entertaining thread except my standard comment. To paraphrase Warren Buffett (and Charlie Munger) beta ain't a measure of risk, and CAPM is pure "twaddle". If you want to be a successful investor, you should understand why Buffett and Munger believe this. If you want to pass a finance class, just ignore them (and the rest of the real world), it'll make your professor happier.
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