The Measure of Risk Most Often Associated with the Markowitz

question 33

Multiple Choice

The measure of risk most often associated with the Markowitz portfolio model is the

• A) portfolio average return.
• B) portfolio minimum return.
• C) portfolio variance.
• D) portfolio standard deviation.

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Definitions:

Foreseeable Misuse

The misuse of a product or service in a manner that could reasonably be predicted by the manufacturer or provider, potentially leading to harm or liability.

Limit Liability

means to legally restrict the amount of money a person or organization can be responsible for paying in the case of a lawsuit or debt.

Injuries

Physical or emotional harm caused to a person or damage to property.

Defective Product

A product that is unsafe, dangerous, or fails to meet normal standards of quality and performance, potentially causing harm to users.