Which of the Following Statements Is FALSE

question 79

Multiple Choice

Which of the following statements is FALSE?

• A)Expected return should rise proportionately with volatility.
• B)The shares of the largest companies are typically more volatile than a portfolio of large cap shares.
• C)Investors would not choose to hold a portfolio that is more volatile unless they expected to earn a higher return.
• D)Smaller company shares have lower volatility than larger stocks.