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Sarah's Team Is Relatively New and Inexperienced

question 55

Multiple Choice

Sarah's team is relatively new and inexperienced.As the manager,she needs to motivate the team and encourage them to cooperate with each other to perform better.According to Katz,this involves using ________ skills.


Definitions:

Fama-French Three Factor Model

The Fama-French Three Factor Model expands on the Capital Asset Pricing Model by incorporating three factors: market risk, size risk, and value risk, to explain stock returns.

Risk Premiums

The extra return expected by investors for holding a risky asset compared to a risk-free asset, as compensation for the additional risk.

Expected Return

The anticipated profit or loss from an investment, taking into account the potential outcomes and their probabilities.

SMB Beta

A measure used in the evaluation of stocks, indicating a stock's sensitivity to movements in the small minus big (SMB) factor, part of the Fama-French three-factor model.

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