Series 65: 7.3.12 R-Squared

Taken from our Series 65 Online Guide

7.3.12 R-Squared

This measure represents an attempt to determine how much of a portfolio’s performance could be explained by a portfolio’s beta as described above. For a stock portfolio, R-squared would assess how much of the portfolio’s performance could be explained by the performance of the stock market. R-squared is measured from 0 to 1.00, with a score of 1

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