While ________ Seems to Be a Reasonable Measure of Risk

question 96

Multiple Choice

While ________ seems to be a reasonable measure of risk when evaluating a large portfolio, the ________ of an individual security does not explain the size of its average return.

• A) volatility, volatility
• B) the mean return, standard deviation
• C) mode, volatility
• D) mode, mean return

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Definitions:

Myers-Briggs Type Indicator

A personality assessment tool that categorizes individuals into 16 distinct personality types based on preferences in perception and decision-making.

VARK Inventory

A questionnaire that helps learners identify their preferred learning styles among Visual, Auditory, Reading/Writing, and Kinesthetic modalities.

Senses

The physiological mechanisms of perception, including sight, hearing, touch, taste, and smell.

Kinesthetic

Relating to kinesthesia, the perception of body movements and position, often highlighted in learning styles involving physical activity.