You are looking at the historical standard deviations over the past five years on two investments. Both have standard deviations of 35% in returns during the period, but one had a return of -10% during the period, whereas the other had a return of +40% during the period. Would you view them as equally risky?

Answer rating: 100% (QA)

Yes both investment will be considered as equally risky i... View the full answer