Hedge Fund Company offers a mutual fund to investors.Fund managers are concerned about fund volatility.They analyzed the fund to determine the worst loss likely to occur in a calendar quarter,assuming a 90 percent level of confidence.The worst probable loss is known as the fund's

Question

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The worst probable loss that the fund could face in a calendar quarter, assuming a 90% level of confidence, is known as the fund's value at risk (VaR).

Hedge Fund Company Offers a Mutual Fund to Investors