The measure of risk most often associated with the Markowitz portfolio model is the
A)expected return of the portfolio.
B)annual interest on the portfolio.
C)variance of the portfolio's return.
D)number of investments listed in the portfolio.

Question

Quizplus · Accepted Answer

The Markowitz portfolio model seeks to minimize the variance of the portfolio's return, which represents the measure of risk associated with the portfolio. The expected return of the portfolio and the annual interest on the portfolio are important factors to consider, but they do not directly measure the level of risk. The number of investments listed in the portfolio does not necessarily impact the level of risk in the portfolio.

The Measure of Risk Most Often Associated with the Markowitz