If an individual owns only one security the most appropriate measure of risk is
A) standard deviation.
B) correlation.
C) beta.
D) covariance.
E) the risk-free rate.

Question

Quizplus · Accepted Answer

Standard deviation is the most appropriate measure of risk for an individual security because it quantifies the volatility or variability of the security's returns over time, which is a direct measure of the security's risk.

If an Individual Owns Only One Security the Most Appropriate