Fred and Martha Are in Their Seventies and Retired

question 74

Multiple Choice

Fred and Martha are in their seventies and retired. Which one of the following sets of portfolio statistics might best suit their situation if their primary investment goal is current income with limited risk?

• A) Beta of 1.1 and a dividend yield of 5.4%.
• B) Beta of 1.6 and a dividend yield of 6.4%.
• C) Beta of 0.86, and a dividend yield of 4.6%.
• D) Beta of 0.83 and a dividend yield of 6.3%.

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