%0 Journal Article %A Jackson Wang %A Jose Menchero %A Gauri Goyal %T Practical Applications of The Drivers of Predicted Beta %D 2015 %R 10.3905/pa.2015.2.4.103 %J Practical Applications %P 1-4 %V 2 %N 4 %X The Drivers of Predicted Beta Jackson Wang Jose Menchero Do portfolio managers know what’s really driving beta? While institutional portfolio managers understand the concept of beta from a practical standpoint, little work has been done on what actually drives beta in a stock portfolio, says Jackson Wang, Executive Director at MSCI in San Francisco.In The Drivers of Predicted Beta , published in the Fall 2014 issue of The Journal of Portfolio Management , Wang and co-author Jose Menchero, until recently Managing Director at MSCI, explain their theory of factor beta.In this report, Wang describes their approach and how it can be used to study cross-sectional variations in beta and to identify which factors are most responsible for the variations. %U https://pa.pm-research.com/content/iijpracapp/2/4/1.9.full.pdf