A Higher Beta of an Asset Reflects

question 27

Multiple Choice

A higher beta of an asset reflects

• A)lower risk.
• B)lower covariance between the asset's returns and market returns.
• C)higher covariance between the asset's returns and the market returns.
• D)none of the above

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Definitions:

Unrestricted Right

A freedom or privilege that has no limitations or restrictions, often referring to access, usage, or actions within legal or contractual contexts.

Conflicts Of Interest

Situations in which a person's personal interests could potentially interfere with their professional obligations or duties.

Corporate Contracts

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The requirement or practice of disclosing all relevant and significant information to a transaction's parties, often used in financial and legal contexts.