Information

Average monthly return for company BGP and AIA for the past 10 years:

BGP: 1.47% AIA: 1.74%

The standard deviation of these returns for BPG and AIA for the past 10 years

BGP: 5.15% AIA: 4.59%

Coefficient of variation of these returns for BPG and AIA for the past 10 years

BGP: 3.50 AIA: 2.64

Slope coefficient (Beta) for BRG and AIA

BGP: 0.37 AIA: 1.05

Question:

If you were a portfolio investor, which of these two shares would you consider riskiest? Why?

Options:

AIA because it has the highest total risk

BGP because it has the highest non-diversifiable risk

BGP because it has the highest diversifiable risk

AIA because it has the highest diversifiable risk

AIA because it has the highest non-diversifiable risk

BGP because it has the highest total risk