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Which one of the following statements is correct? Group of answer choices The higher the expected rate of return, the narrowe the distribution of returns.

Which one of the following statements is correct?

Group of answer choices

The higher the expected rate of return, the narrowe the distribution of returns.

Risks and expected return are inversely related. T

he risk-free rate of return has a risk premium of 1.0.

The reward for bearing risk is called the standard deviation.

Risk premiums are positively related to the standard deviation of returns.

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