Use the following information to answer the question(s)below. All amounts are in millions.
-The correlation between the expected return and the market capitalization of these stocks is:

Question

Use the following information to answer the question(s)below.  All amounts are in millions.
-The correlation between the expected return and the market capitalization of these stocks is:

Quizplus · Accepted Answer

The correlation between the expected return and the market capitalization of these stocks is negative because smaller companies tend to have higher expected returns than larger companies. This is because smaller companies are more likely to be in the early stages of their development and have more growth potential.

Use the Following Information to Answer the Question(s)below