Which One of the Following Will Be Constant for All

question 53

Multiple Choice

Which one of the following will be constant for all securities if the market is efficient and securities are priced fairly?

• A)variance
• B)standard deviation
• C)reward-to-risk ratio
• D)beta
• E)risk premium

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Definitions:

Policy

A course or principle of action adopted or proposed by an organization or individual, often in the form of rules, laws, or guidelines.

Multiple Locations

Multiple locations refer to the presence or operation of entities, activities, or processes in more than one geographical area, highlighting the scope or distribution of certain actions.

Prestige

The respect and admiration that an individual or organization gains based on achievements or quality.

Politician

An individual who is involved in influencing public policy and decision making through election or appointment to a governmental office.