A statistical measure of the degree to which securities' returns move together is called a
A)variance.
B)correlation coefficient.
C)standard deviation.
D)geometric average.

Question

Quizplus · Accepted Answer

Correlation coefficient measures the degree to which two variables or securities move together. Variance and standard deviation measure the dispersion of data, while geometric average calculates the average growth of an investment over a period of time.

A Statistical Measure of the Degree to Which Securities' Returns