The variance of expected returns is equal to the square root of the expected returns.

Name: The variance of expected returns is equal to the square root of the expected returns.
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Quizplus · Accepted Answer

The variance of expected returns is not equal to the square root of expected returns. The variance is a measure of spread or variability around the expected return, whereas the square root of expected returns would give the standard deviation of returns. These two measures are not equivalent.

The Variance of Expected Returns Is Equal to the Square