Are some stocks less sensitive to market/systematic factors (recession, depression, war, etc.) than others? Provide some examples.
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Is there a measure that may allow us to evaluate this? How would we use it?
The factors that are used to determine the market interest rate on the bond are:
1. The Risk Free Rate
2. The Default-risk Premium
3. The liquidity Premium
4. The market Risk premium
What are these items, and how do they interact to arrive at the quoted interest rate.
Stocks
Stocks or shares are generally equity instruments that provide the largest source of raising funds in any public or private listed company's. The instruments are issued on a stock exchange from where a large number of general public who are willing...
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Related Book For
International Business
ISBN: 9781292274157
8th Edition
Authors: Simon Collinson, Rajneesh Narula, Alan M. Rugman
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