Lower beta coefficients imply the investment may be analyzed on a stand-alone basis.

Name: Lower beta coefficients imply the investment may be analyzed on a stand-alone basis.
Brand: Quizplus
Rating: 4.7 (52 reviews)

Question

Lower beta coefficients imply the investment may be analyzed on a stand-alone basis.​

Quizplus · Accepted Answer

Lower beta coefficients indicate that the investment has less sensitivity to market movements, not that it can be analyzed on a stand-alone basis. Beta is used to understand an investment's volatility relative to the market, not for stand-alone analysis.

Lower Beta Coefficients Imply the Investment May Be Analyzed on a Stand-Alone