Beta represents a measurement of the expected future volatility (or violence of movement) or systematic risk of an investment versus the volatility of the market as a whole during the same period. A beta of 1.0 indicates that an investment is likely to closely follow the market’s movement, while a beta lower than 1.0 indicates lower volatility than the market. If beta is a negative number, it is likely that the investment and the market are moving in opposite directions. Beta is utilised in the Capital Asset Pricing Model (“CAPM”).