A security with a fi of 0 should be expected to return ________________.
A)The risk- free rate of return
B)Nothing
C)The market rate of return
D)None of the above

Name: A security with a fi of 0 should be expected to return ________________. A)The risk- free rate of return B)Nothing C)The market rate of return D)None of the above
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Question

Quizplus · Accepted Answer

A security with a fi of 0 is considered risk-free, and therefore should be expected to generate returns equal to the risk-free rate of return.

A Security with a Fi of 0 Should Be Expected