$5.$ Traditional finance theory on risk and return assumes that higher return must be associated with higher

risk because:

a$.$ Risk and return are measured in short time frame $($i$.$e$.$ annually or monthly$)$

b$.$ Higher return assets always have higher risk regardless of the time frame.

c$.$ It is easier to sell more liquid assets such as bonds and thus reduce the level of risk

d$.$ Bond returns are guaranteed where stock returns are not