Market beta coefficient and enterprise risk management: A literature review

Authors

  • Mike Skorupski Independent researcher, USA

DOI:

https://doi.org/10.18559/ref.2023.1.194

Keywords:

CAPM, Market beta, Beta coefficient, Systematic risk, ERM

Abstract

One of the significant factors in the valuation of publicly listed firms is their market beta coefficient, commonly utilised in the capital asset pricing model (CAPM) as a proxy for stock volatility directly affecting market value. This article’s primary purpose is to explore the theoretical basis for future empirical research into the relationship between the market beta coefficient and enterprise risk management (ERM). The author explores academic literature about various researched variables affecting the market beta coefficient in the context of the neoclassical capital asset pricing model, which was founded on the premise of an efficient market hypothesis. 

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Author Biography

  • Mike Skorupski, Independent researcher, USA

    Independent researcher

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Published

2023-10-10

Issue

Vol. 7 No. 1 (2023)

Section

Articles

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Copyright (c) 2023 Mike Skorupski

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How to Cite

Skorupski, M. (2023). Market beta coefficient and enterprise risk management: A literature review. Research Papers in Economics and Finance, 7(1), 67-88. https://doi.org/10.18559/ref.2023.1.194

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