Which one of the following measures systematic risk?
A)beta
B)alpha
C)variance
D)standard deviation
E)correlation coefficient

Question

Quizplus · Accepted Answer

Beta measures the systematic risk of an asset or portfolio in relation to the market as a whole. It is used to determine how much an asset's return is expected to move in response to a change in the market return. Alpha measures the excess return of an asset or portfolio beyond what would be expected based on its beta. Variance, standard deviation, and correlation coefficient all measure the total risk of an asset or portfolio, including both systematic and unsystematic risk.

Which One of the Following Measures Systematic Risk