Question: In efficient markets, what relationship should exist between risk premiums across different investments? Risk premiums should vary irversely with market volatility. All efficient investments shoutd
In efficient markets, what relationship should exist between risk premiums across different investments?
Risk premiums should vary irversely with market volatility.
All efficient investments shoutd have the same risk premium.
Risk premiums should decrease as investment sise increases.
Higherrisk investments should offer higher premiums.
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