Market Risk Refers to the Tendency of a Stock to Move

question 105

True/False

Market risk refers to the tendency of a stock to move with the general stock market.A stock with above-average market risk will tend to be more volatile than an average stock, and its beta will be greater than 1.0.

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Definitions:

Geographical Areas

Specific regions or spaces on the earth's surface, defined by natural or artificial boundaries.

Solutions Context

Refers to the framework or environment in which problem-solving strategies are applied or considered.

Social Inequalities

Disparities in wealth, opportunities, and social status among individuals or groups in a society.

Radical

Referring to ideas, beliefs, or actions that are far-reaching or revolutionary, aiming at fundamental change.