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QUESTION 4 1 points Save Answer The tighter the probability distribution of its expected future returns, the greater the risk of a given investment as

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QUESTION 4 1 points Save Answer The tighter the probability distribution of its expected future returns, the greater the risk of a given investment as measured by its standard deviation. O True O False QUESTION 5 1 points Save Answer 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 True O False QUESTION 6 1 points Save Answer A portfolio's risk is measured by the weighted average of the standard deviations of the securities in the portfolio. It is this aspect of portfolios that allows investors to combine stocks and thus reduce the riskiness of their portfolios. True False

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