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Author Question: Which of the following statements is correct? (Read 11 times)

jmoore1989

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Which of the following statements is correct?

A portfolio with a large number of randomly selected stocks would have less market risk than a single stock that has a beta of 0.4.


A portfolio with a large number of randomly selected stocks would have more market risk than a single stock that has a beta of 0.4, assuming that the stock’s beta was correctly calculated and is stable.


If a stock has a negative beta, its expected return cannot be positive. 


According to the CAPM, stocks with lower standard deviations of returns must also have lower expected returns.



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Marked as best answer by jmoore1989 on Aug 7, 2023

gwisel

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Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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jmoore1989

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Reply 2 on: Aug 7, 2023
YES! Correct, THANKS for helping me on my review


kthug

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Reply 3 on: Yesterday
Excellent

 

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