Which is the best measure of risk for a single asset held in isolation, and which is the best measure for an asset held in a diversified portfolio?

Question

Quizplus · Accepted Answer

The coefficient of variation is the best measure of risk for a single asset held in isolation as it considers both risk and return. Beta is the best measure for an asset in a diversified portfolio as it measures the asset's sensitivity to market movements.

Which Is the Best Measure of Risk for a Single