Which of the following has a beta of 1?
A) The 10 year T-Bond
B) The 1 year T-Bill
C) The Dow-Jones Industrial Average
D) The market

Name: Which of the following has a beta of 1? A) The 10 year T-Bond B) The 1 year T-Bill C) The Dow-Jones Industrial Average D) The market
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Question

Quizplus · Accepted Answer

The beta of the market is always 1. This is because beta measures a security's or portfolio's volatility in relation to the overall market, and the market itself is the benchmark, thus having a beta of exactly 1.

Which of the Following Has a Beta of 1