The Impact of ChatGPT on Investing with Alejandro Lopez-Lira
Excess Returns
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The Effect of Beta on Stock Returns
The security market line is it's very flat right so in theory if Captain Word of Bolt all of the returns where we do due to beta and stocks with high beta's would get higher returns that's not what happened. We have a way to basically calculate more accurately all of these systematic variation, he says. Because you're able to catch like a lot of systematic variation your barot is your standard deviation for like 60 percent according to this paper. The average return is gonna be indistinguishable statistically from your order return because people are just not emotionally interested in being compensated for their risk.
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