For measuring performance, stock returns can be compared to which of the following?

Question

Quizplus · Accepted Answer

Stock returns are best compared to stock indexes, which provide a broader representation of market performance. Comparing stock returns to bank prime rate or GDP indexes is not as relevant as they measure different aspects of the economy, and comparing stock returns to bond returns may not be appropriate as bonds are generally considered lower-risk investments.

For Measuring Performance, Stock Returns Can Be Compared to Which