Traits Are

question 17

Multiple Choice

Traits are

• A) shared and mostly the same for each person in a family.
• B) the same as ego dispositions.
• C) the same as personal dispositions.
• D) of the same intensity and significance throughout the life span.

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Definitions:

Market Risk Premium

The extra return investors expect to earn from holding a risky market portfolio instead of risk-free assets.

Diversification

An investment strategy that involves spreading out investments across various financial instruments, industries, and other categories to reduce risk.

Fundamentally Different Industries

are industries that vary greatly in their nature, operations, market dynamics, and regulatory environments.

Expected Return

The anticipated amount of profit or loss an investment generates, based on historical data or probabilistic estimates.