The Security Market Line (SML)

question 42

Multiple Choice

The security market line (SML)

• A)can be portrayed graphically as the expected return-beta relationship.
• B)can be portrayed graphically as the expected return-standard deviation of market-returns relationship.
• C)provides a benchmark for evaluation of investment performance.
• D)can be portrayed graphically as the expected return-beta relationship and provides a benchmark for evaluation of investment performance.

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Definitions:

Structural Functionalist

A perspective in sociology that views society as a complex system whose parts work together to promote solidarity and stability.

Social Structures

The complex framework of societal institutions (such as economies, governments, and social norms) and the hierarchical relationships and roles within this framework that organize a society.

Action Systems

Conceptual frameworks used in social sciences to analyze the structured processes through which individuals and groups engage with their environment.

Modernist

Pertaining to a cultural and artistic movement that embraces innovation and a break from traditional forms and structures.