Trading Glossary Coefficient Of determination fit dependent

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Trading Glossary: Coefficient of determination

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- C -

Term:

Coefficient of determination

Definition:

A measure of the goodness of Fit of the relationship between the Dependent and independent variables in a Regression analysis; for instance, the percentage of variation in the Return of an Asset explained by the market Portfolio return. Also known as R-square.

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02/09/2012 - SV1n