Which security has the greatest systematic risk?
A) Z because it has the largest standard deviation.
B) X because it has the largest beta coefficient.
C) Z because it has a high beta and the largest standard deviation.
D) Y because it has the greatest diversifiable risk.
E) It is not possible to tell given the information above.

Question

Which security has the greatest systematic risk?
A) Z because it has the largest standard deviation. 
B) X because it has the largest beta coefficient. 
C) Z because it has a high beta and the largest standard deviation. 
D) Y because it has the greatest diversifiable risk. 
E) It is not possible to tell given the information above.

Quizplus · Accepted Answer

The Answer of  Which security has the greatest systematic risk?
A) Z because it has the largest standard deviation. 
B) X because it has the largest beta coefficient. 
C) Z because it has a high beta and the largest standard deviation. 
D) Y because it has the greatest diversifiable risk. 
E) It is not possible to tell given the information above.

Which Security Has the Greatest Systematic Risk