The best fit line of a pairwise plot of the returns of the security against the market index returns is called the:

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The best fit line of a pairwise plot of the returns of the security against the market index returns is called the characteristic line. This line is used to calculate the security's beta, which is a measure of the security's sensitivity to changes in the market. The security market line is a graphical representation of the relationship between risk and expected return, and the capital market line is a theoretical concept that represents the optimal portfolio of risky assets. The risk line is not a commonly used term in finance.

The Best Fit Line of a Pairwise Plot of the Returns