The Tighter the Probability Distribution of Its Expected Future Returns

question 81

True/False

The tighter the probability distribution of its expected future returns, the greater the risk of a given investment as measured by its standard deviation.

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Definitions:

Tenant-Days

A metric that represents the total number of days that all units in a property were occupied over a specific period.

Revenue Variance

The difference between actual revenue and budgeted or expected revenue.

Tenant-Days

A metric used in real estate or hospitality to measure the total number of days all units are rented out over a specific period.

Spending Variance

The difference between the actual amount spent on a particular expense category and the budgeted or planned amount for that category.