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A Secondary Effect of an Action That May Occur After

question 15

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A secondary effect of an action that may occur after the initial effects is known as a(n) :


Definitions:

Alpha

A performance measure indicating the excess return of an investment relative to the return of a benchmark index or risk-free rate.

Risk-Free Rate

The return on an investment with no risk of financial loss, often represented by government bonds.

Annualized Return

A rate of return that standardizes an investment's earnings to a one-year period, making comparison with other investments easier.

Holding Period

The length of time an investment is held by an investor before being sold.

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