Homonym: Beta (Testing)
"Beta" refers to a stage in the development of a product, especially in software. During this phase, the product is released to a limited audience for testing. Users provide feedback on bugs and usability, helping developers improve the final version. This process is crucial for ensuring that the product meets user needs before its official launch.
In finance, "Beta" measures the volatility of an investment compared to the overall market, often represented by an index like the S&P 500. A Beta greater than 1 indicates higher volatility, while a Beta less than 1 suggests lower risk. Investors use this metric to assess potential returns and risks.