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According to CAPM Beta can have many definitions. Please mark the only CORRECT one: a. If the covariance between stock B and the market is
According to CAPM Beta can have many definitions. Please mark the only CORRECT one:
a. If the covariance between stock B and the market is 200 and the volatility of the market index is 20%, then Bs Beta will be 0.5
b. The higher the covariance between stock A and the market, the lower its Beta
c. Beta measures the volatility of the stock
d. Given a collection of 10 stocks, the one with the highest covariance with the market portfolio will be the one with the lowest variance
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