No. of Recommendations: 1
Since I'm not great at picking individual stocks based on fundamentals, this seemed like it might have a germ of an idea for otherwise picking stocks.

Even quant slates of low-beta stocks tend to do pretty well on average, so it's consistent with a screen strategy.
It's strongly correlated with the low-volatility advantage, but slightly different.

It does raise the issue of whether someone following any low beta strategy would be wise to skip those few periods of extremely high stock correlation when calculating beta.
Maybe it wouldn't make much difference because, almost by definition, all stocks would get the same size of penalty by including those stretches.

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