Here is the synopsis of our sample research paper on The Beta; External and Internal Influences, or Can a Company Change its Beta?. Have the paper e-mailed to you 24/7/365.
Essay / Research Paper Abstract
This 8 page paper explains what the beta is and looks at the different influences on the beta in order to consider how company may adopt strategies of policies in order reduce the beta. The bibliography cites 4 sources.
Page Count:
8 pages (~225 words per page)
File: TS14_TEbeta02.rtf
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Unformatted sample text from the term paper:
3.2 General Market Statements 6 3.3 Dividend Signalling 7 3.4 External Influences 9 4. CONCLUSION 9 REFERENCES 10 1. Introduction A common measure for companies and investors is the beta.
The beta is often seen as a measurement of risk, but in reality it is a measurement of volatility. The level of the beta will have an impact on how
the company is perceived and as such may impact on the cost of capital, such as the cost of borrowing and the cost of debt. The result of this is
that higher the beta the higher the volatility of the company indicating a higher perceived risk, so in line with the basic risk and reward equation, where there is a
higher perceived risk there will also be a higher reward premium needed. The beta is often seen as a measure of volatility of the share price in
the market, an external measures that reflects the companies performance. However, it is not this simple. If we look at the beta there are a number of influences, some of
these are under the control of the company themselves. If we look at the different influences we can consider what the company may be able to do so that they
influence the market and potential reduce the beta or limit its increase by undertaking policies and stratagems that constraint the volatility of the share price. To consider this we
need to look at the influence on share prices, as it is share prices that are used to create the beta. To look at this we first need to consider
what the beta actually is and how share prices impact on it. 2. The Beta; Market and Specific Risks It is known
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