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You can actually show by construction that the beta of the portfolio is the weighted sum of all the underlyings betas. Assume the return of the benchmark and some asset $a$ at time $t$ are respectively denoted $r_{b,t}$ and $r_{a,t}$, then the beta of a given asset is defined by: $$r_{a,t} = \alpha_a + \beta_a r_{b,t} + \epsilon_{a,t}$$ Let's assume you ...


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I think this paper gives a really good overview about risk parity link. As it points out, risk parity is a alternative to traditional mean variance portfolio construction.



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