Which of the following is NOT a definition of beta?
A)A measure of systematic risk
B)A measure of risk that can be avoided
C)A statistical measure of an individual asset's or portfolio's co-movement with the returns of the market
D)A measure of nondiversifiable risk

Question

Quizplus · Accepted Answer

Beta is a measure of the systematic risk or co-movement of an individual asset or portfolio with the returns of the market. It is also a measure of nondiversifiable risk, which means that it cannot be eliminated through portfolio diversification. However, beta is not a measure of risk that can be avoided.

Which of the Following Is NOT a Definition of Beta