Assume the risk-free rate is constant over time. The correlation between the return on security x and the return on the risk-free asset is
A) negative
B) positive
C) zero
D) cannot be determined without further information
Correct Answer:
Verified
Q60: The expected return on A is 12%;
Q61: A tilde (~) over a symbol indicates
Q62: If two securities are negatively correlated, their
Q63: The covariance between a random variable and
Q64: Return is the
A) benefit associated with an
Q66: The correct method for measuring the average
Q67: Using semivariance to measure risk is appropriate
Q68: The median of a distribution is the
A)
Q69: If the variance of x is 0.10,
Q70: If the standard deviations of Stock A
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents