Question
Suppose you are looking at the security characteristic line (SCL)regression resultsfor a portfolio. The portfoliois very similar in composition to the market index. What should
Suppose you are looking at the security characteristic line (SCL)regression resultsfor a portfolio. The portfoliois very similar in composition to the market index.
What should your regression results look like?
A: intercept = 0.0slope =1.0R-squared = 0.00
B:intercept=1.0slope=0.0R-squared=0.50
C:intercept=0.0slope=-1.0R-squared=0.99
D:intercept=0.0slope=1.0R-squared=0.99
B
A
D
C
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Business Mathematics
Authors: Gary Clendenen, Stanley A Salzman, Charles D Miller
12th Edition
0135109787, 9780135109786
