According to the Following Information,which of the Stocks Would Be

question 29

Multiple Choice

According to the following information,which of the stocks would be considered riskiest in a diversified portfolio of investments?

• A) Stock MNO, because it has the highest standard deviation.
• B) Stock TUV, because it has the highest beta.
• C) Stock FGH, because it has the highest s/b ratio
• D) Stock ABC, because its beta is the same as the market beta (1.0) and the market is always very, very risky.

---

Definitions:

Ego Identity

A sense of self that develops through social interaction, as proposed by Erik Erikson, playing a crucial role in one's feelings of continuity and sameness across time.

Personality

A mixture of feelings, attitudes, and patterns of action that characterizes a person.

Environmental Approach

A method or strategy that focuses on altering the physical or social environment to influence behavior, rather than changing the behavior itself.

Genetic Factors

Elements within an organism's genes that influence its physical and behavioral traits.