The coefficient of variation measures the amount of risk for a given level of return.

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The coefficient of variation is a statistical measure that is used to measure the amount of risk for a given level of return. It is calculated by dividing the standard deviation of an investment by its expected rate of return. The resulting value is expressed as a percentage and provides investors with a way to compare the risk of different investments. A higher coefficient of variation indicates a higher risk level for a given level of return, while a lower coefficient of variation indicates a lower risk level.

The Coefficient of Variation Measures the Amount of Risk for a Given