A. Alpha
B. Beta
C. Variance
D. Market relevance
Related Mcqs:
- Correct measure of risk of stock is called?
A. Alpha
B. Beta
C. Variance
D. Market relevanceSubmitted by: Sajjad Hussain
- 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 - 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 - An unsystematic risk which can be eliminated but market risk is the__________?
A. Aggregate risk
B. Remaining risk
C. Effective risk
D. Ineffective risk - According to market risk premium, an amount of risk premium depends upon investor______________?
A. Risk taking
B. Risk aversion
C. Market aversion
D. Portfolio aversion - Beta reflects stock risk for investors which is usually_________?
A. Individual
B. Collective
C. Weighted
D. Linear - In an individual stock, relevant risk is classified as___________?
A. Alpha coefficient
B. Beta coefficient
C. Stand-alone coefficient
D. Relevant coefficient - 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% - 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 - A stock which is hybrid and works as a cross between debt and common stock is considered as_______________?
A. Hybrid stock
B. Common liabilities
C. Debt liabilities
D. Preferred stock
