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Which is the following is most correct? a. Beta is found by calculating the slope of a plot of historical stock returns vs. historical market
Which is the following is most correct?
a. | Beta is found by calculating the slope of a plot of historical stock returns vs. historical market returns. |
b. | If you were to form a portfolio by randomly selecting stocks, that portfolios beta would be around 0. |
c. | The more stocks you add to a portfolio the lower the beta. |
d. | It is not possible for a stock to have a negative beta. |
e. | All of the answers are correct. |
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