________ is a risk measure that indicates vulnerability to extreme negative returns.
A)Value at risk
B)Lower partial standard deviation
C)Standard deviation
D)None of the above
E)A and B

Question

Quizplus · Accepted Answer

Value at risk (VaR) and Lower partial standard deviation both measure vulnerability to extreme negative returns. VaR quantifies the potential loss in value of a risky asset or portfolio over a defined period for a given confidence interval, while Lower partial standard deviation focuses on downside risk by measuring the variability of returns below a target or threshold.

________ Is a Risk Measure That Indicates Vulnerability to Extreme