A Friend Tells You About a Fund That Does Just

question 81

Multiple Choice

A friend tells you about a fund that does just as well as the market in bull markets but cushions your fall in bear markets.That is,its returns fall by less than the market's in bear markets.Your friend is telling you that the fund's Beta is ________ in bull markets,but that the fund's Beta is ________ in bear markets.

• A) less than one; less than one
• B) less than one; equal to one
• C) equal to one; less than one
• D) equal to one; greater than one
• E) greater than one; less than one

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Definitions:

Biosphere

The global ecological system integrating all living beings and their relationships, including their interaction with the elements of the lithosphere, hydrosphere, and atmosphere.

Inhabited

Being lived in or occupied by people, animals, or other organisms.

Organisms

Individual living entities that can carry out life processes independently.

Biological Organization

The hierarchy of complex biological structures and systems that define life, from atoms and molecules to cells, tissues, organs, organisms, populations, communities, and ecosystems.