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Caterpillar on Top After Bet at Bottom: Riskless Return

Caterpillar Inc., the largest maker of construction and mining equipment, has provided the best risk-adjusted return among its peers since financial markets hit bottom in 2009 as it made acquisitions and expanded in emerging markets such as China.

Caterpillar’s risk-adjusted gain of 4.5 percent in the three years through June 26 topped that of 20 competitors with sales of more than $2 billion in the Bloomberg Industries Construction & Mining Machinery Index, the BLOOMBERG RISKLESS RANKING shows. The Peoria, Illinois-based company also had the highest total return in the index at 157 percent and volatility below 75 percent of stocks.