When evaluating a large portfolio.... A. ...it does not make sense to measure risk by standard deviation
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Question:
When evaluating a large portfolio....
A. ...it does not make sense to measure risk by standard deviation
B. calculate the standard deviation of the portfolio by taking the simple average of the individual stocks' standard deviations
C. the reward to risk ratio will usually be less than that of an individual stock
D. standard deviation provides a good measure of risk when comparing it to the return of the portfolio
Related Book For
Intermediate Financial Management
ISBN: 978-1111530266
11th edition
Authors: Eugene F. Brigham, Phillip R. Daves
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