It is possible that the actual return on a risky asset is significantly different from expected return on that risky asset only when the market is not in equilibrium.

Question

Quizplus · Accepted Answer

The actual return on a risky asset can be significantly different from the expected return due to the inherent risk of the asset, regardless of whether the market is in equilibrium or not. Market equilibrium does not eliminate the uncertainties and risks associated with individual assets.

It Is Possible That the Actual Return on a Risky