Examlex
Which of the following statements is NOT true of a corporation?
Beta
A measure used in finance to describe the relationship of an investment's returns with those of the market; it indicates the investment's risk compared to the market.
Rate of Return
The increase or decrease in the value of an investment throughout a certain timeframe, represented as a portion of the investment's initial cost.
Risk Premium
The risk premium is the extra return above the risk-free rate that investors demand as compensation for the risk of investing in a particular asset.
Portfolio Beta
A measure of the volatility, or systematic risk, of a portfolio of assets in comparison to the market as a whole.
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