A beta coefficient of -1 represents an asset that
A) is more responsive than the market portfolio.
B) is unaffected by market movement.
C) is less responsive than the market portfolio.
D) has the same response as the market portfolio but in opposite direction.

Question

Quizplus · Accepted Answer

A beta coefficient of -1 indicates that the asset moves in the opposite direction to the market with the same magnitude.

A Beta Coefficient of -1 Represents an Asset That