A. Standard deviation
B. Variance
C. Aggregate risk
D. Ineffective risk
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 - 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 - A high portfolio return is subtracted from low portfolio return to calculate_________?
A. HML portfolio
B. R portfolio
C. Subtracted portfolio - 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 - Type of relationship exists between an expected return and risk of portfolio is classified as___________?
A. Non-linear
B. Linear
C. Fixed and aggregate
D. Non-fixed and non-aggregate - Mostly in financials, risk of portfolio is smaller than that of asset’s________?
A. Mean
B. Weighted average
C. Mean correlation
D. Negative correlation - A portfolio consists of all stocks in a market is classified as____________?
A. Market portfolio
B. Return portfolio
C. Correlated portfolio
D. Diversified portfolio - Stocks in market portfolio are graphically represented with_____________?
A. Dashed line
B. Straight line
C. Market line
D. Risk line - 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
