Risk factors in the APT must possess all except which of the following characteristics?
A) Factors must be readily observable in risk/return space.
B) Each factor must have a pervasive influence on stock returns.
C) The factors must influence expected return.
D) Factors must be unpredictable.

Question

Quizplus · Accepted Answer

The Answer of Risk factors in the APT must possess all except which of the following characteristics?
A) Factors must be readily observable in risk/return space.
B) Each factor must have a pervasive influence on stock returns.
C) The factors must influence expected return.
D) Factors must be unpredictable.

Risk Factors in the APT Must Possess All Except Which