A. Risk taking
B. Risk aversion
C. Market aversion
D. Portfolio aversion
Related Mcqs:
- Sum of market risk and diversifiable risk are classified as total risk which is equivalent to_______________?
A. Sharpe’s alpha
B. Standard alpha’s
C. Alpha’s variance
D. Variance - Interest rates, tax rates and market risk premium are factors which an/a_____________?
A. Industry cannot control
B. Industry cannot control
C. Firm must control
D. Firm cannot control - Term structure premium, an inflation of bond and bond default premium are included in_________________?
A. Risk factors
B. Premium factors
C. Bond buying factors
D. Multi model - An unsystematic risk which can be eliminated but market risk is the__________?
A. Aggregate risk
B. Remaining risk
C. Effective risk
D. Ineffective risk - Real risk-free interest rate in addition with an inflation premium is equal to_____________?
A. Required interest rate
B. Quoted risk-free interest rate
C. Liquidity risk-free interest rate
D. Premium risk-free interest rate - Cost of common stock is 16% and bond yield is 9% then bond risk premium would be_________?
A. 7%
B. 8%
C. 1.78%
D. 25% - An effect of interest rate risk and investment risk on a bond’s yield is classified as_________?
A. Reinvestment premium
B. Investment risk premium
C. Maturity risk premium
D. Defaulter’s premium - In capital market line, risk of efficient portfolio is measured by its____________?
A. Standard deviation
B. Variance
C. Aggregate risk
D. Ineffective risk - Positive minimum risk portfolio of any security shows that market security sold____________?
A. Equal to original price
B. Equal to sum of stocks
C. Less than original price
D. Greater than original price - Beta coefficient is used to measure market risk which is an index of__________?
A. Coefficient risk volatility
B. Market risk volatility
C. Stock market volatility
D. Portfolio market portfolio
