Which of the following statements isFALSE?

A. Investments with higher volatility should have a higher risk premiumand, therefore, higher returns.

B. Volatility seems to be a reasonable measure of risk when evaluating returns on large portfolios and the returns of individual securities.

C. Riskier investments must offer investors higher average returns to compensate them for the extra risk they are taking on.

D. Investments with higher volatility have rewarded investors with higher average returns.