Q 34

# A measure of the riskiness of an asset held in isolation is ________. A)beta B)standard deviation C)covariance D)semi-variance

Multiple Choice

Related questions

Q 33

An investor can design a risky portfolio based on two shares, A and B. The standard deviation of return on Share A is 20% while the standard deviation on Share B is 15%. The correlation coefficient between the return on A and B is 0%. The standard deviation of return on the minimum variance portfolio is ________.
A)0%
B)6%
C)12%
D)17%

Q 35

The part of a share's return that is systematic is a function of which of the following variables?
I) Volatility in excess returns of the share market
II) The sensitivity of the share's returns to changes in the share market
III) The variance in the share's returns that is unrelated to the overall share market
A)I only
B)I and II only
C)II and III only
D)I, II and III

Q 36

Share A has a beta of 1.2 and Share B has a beta of 1. The returns of Share A are ________ sensitive to changes in the market as the returns of Share B.
A)20% more
B)slightly more
C)20% less
D)slightly less