Comparison of Investment Risk Metrics

What are Investment Risk Metrics?

Investment Risk Metrics are quantitative measures used by investors and financial professionals to assess the level of risk associated with an investment or portfolio.

Beta vs. Downside Deviation

	Beta	Downside Deviation
Description	Measures an asset's sensitivity to market movements	Measures the volatility of negative returns
Interpretation	Values greater than 1 indicate higher volatility	Focuses on downside risk
Risk Level	High	Medium