Which portfolio had the highest standard deviation during the period between 1900 and
2006?
A) Common stocks
B) Government bonds
C) Treasury bills
D) None of the given answers

Question

Quizplus · Accepted Answer

Common stocks generally have a higher standard deviation compared to government bonds and treasury bills due to their higher risk and volatility. Therefore, the portfolio of common stocks is likely to have the highest standard deviation during the given period.

Which Portfolio Had the Highest Standard Deviation During the Period