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A. High risk securities always beat low risk securities. B. The riskier the security, the greater the return the investors expect from it. C. High

A.

High risk securities always beat low risk securities.

B.

The riskier the security, the greater the return the investors expect from it.

C.

High risk always brings with it high returns.

D.

Risk and return are inversely related.

E.

The riskier the security, the lower the return expected from it.

The relationship between risk and return in finance can best be described by which of the following statements?

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