9. Suppose you have a very accurate, reliable estimate for a security's long-term expected return, this estimate has very little variance, and the expected return is commensurate with the security's risk. Explain why it makes sense to buy more of this security if it fails to earn this expected return in the next period?

Answer rating: 100% (QA)

If you have a security with a very accurate and reliable estimate for its longterm expected return a... View the full answer