Total risk can be divided into:
A)standard deviation and variance.
B)standard deviation and covariance.
C)portfolio risk and beta.
D)systematic risk and unsystematic risk.
E)portfolio risk and covariance.

Question

Quizplus · Accepted Answer

Total risk can be divided into systematic risk, which is the risk associated with the entire market or a particular market segment, and unsystematic (or idiosyncratic) risk, which is the risk associated with specific companies or industries. This categorization helps investors understand and manage their risks better.

Total Risk Can Be Divided Into