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  "documentTitle": "Bear Stearns | Investment Banking Pitch Book | 36 slides",
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  "notes": "The slide details the differences in historical vs. predicted beta, time frames, observation frequency, adjustment status, and market proxies across various financial data providers.",
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      "kind": "paragraph",
      "text": "In addition to the sources listed above, Bloomberg and IDD may be used to calculate historical betas adjusted for stock splits, dividends and convergence toward 1.00.",
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      "text": "Most sources publish 5-year historical adjusted betas which are calculated using monthly observations. The exception is BARRA, which publishes monthly predictions of beta based on an analysis of industry and firm-specific risk factors.",
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      "text": "(1) BARRA uses the current characteristics of a firm and a risk model that is based on monthly data from January 1973 onward to calculate its betas. (2) Morgan Stanley Capital International version; applies to companies in multiple countries. (3) Financial Times version; applies to companies in multiple countries. (4) Applies only to companies listed on UK stock exchanges. (5) Based on similar methodology to US betas, except risk model is based on monthly data from January 1988 onward. (6) Based on similar methodology to US betas, except risk model is based on monthly data from December 1987 onward. (7) BARRA calculates both global and local predicted betas in its global equity models.",
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