"Beta and standard deviation are both essential risk measures for mutual funds, but they capture different aspects of risk. **Beta** measures a fund's **systematic risk**, indicating its volatility relative to a benchmark index like the S&P 500. A beta of 1 suggests the fund's price will move in line with the market, while a beta greater than 1 implies greater volatility. In contrast, **standard deviation** measures **total risk**, encompassing both systematic and unsystematic risk. It reflects the degree of variation in a fund's returns over time. A higher standard deviation indicates greater price fluctuations and potential for both gains and losses. Therefore, **beta** helps investors understand a fund's market-related risk, while **standard deviation** provides a broader perspective on the fund's overall volatility."