What is the typical range of the variance of return for a stock portfolio?
A) 0 to 1
B) - 1 to + 1
C) 0 to + 100
D) Between the high and low values for the individual returns being used
E) No precise range exists

Question

Quizplus · Accepted Answer

The variance of return for a stock portfolio does not have a precise range because it depends on the specific returns of the stocks within the portfolio, which can vary widely. Variance measures the dispersion of returns around the mean, and given the diversity of stock performances, there's no fixed range that applies universally.

What Is the Typical Range of the Variance of Return