What types of stocks are most affected by changes in risk aversion?

JackieO82: What types of stocks are most affected by changes in risk aversion?
Which stocks see the biggest change in their required returns?

Low, medium, or high beta stocks? Or are all stocks affected the same, regardless of beta?

Answers and Views:

Answer by muncie birder
high beta stocks would see the most movement. Generally speaking the higher beta stocks are more the more risky investments. When folks become risk averse, those are the ones they would tend to move out of first, not the KO, MCD, nor the PG.