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What is compartmentalization?
Securities
Securities that signify either an equity stake in a corporation that is publicly traded, a debt interest in a company or government entity, or ownership rights as delineated by an option.
HML Beta
A measure used in finance to assess the sensitivity of an asset or portfolio to a value factor, defined as high minus low book-to-market stocks.
SMB Beta
Stands for Small Minus Big Beta, a metric used in finance to measure a stock's sensitivity to the SMB factor, which represents the excess return of small-cap stocks over large-cap stocks.
Market Beta
A measure of a stock's volatility in relation to the overall market; indicates the stock's sensitivity to market movements.
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