Which one of the following share return statistics fluctuates the most over time?
A)Covariance of returns
B)Variance of returns
C)Average return
D)Correlation coefficient

Question

Quizplus · Accepted Answer

The average return fluctuates the most over time because it is directly affected by the variability in individual return observations, whereas other statistics like covariance, variance, and correlation coefficient are measures of relationships or dispersion that tend to be more stable over time.

Which One of the Following Share Return Statistics Fluctuates the Most