between the return on Apple stock and the S&P 500 is 0.12. The variance of the return on the S&P 500 is 0.09. Apple stock is: Riskier than the market Less risky than the market As risky as the market Expected to have a good return when the market is doing poorly None of the above
between the return on Apple stock and the S&P 500 is 0.12. The variance of the return on the S&P 500 is 0.09. Apple stock is: Riskier than the market Less risky than the market As risky as the market Expected to have a good return when the market is doing poorly None of the above
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Question
The covariance between the return on Apple stock and the S&P 500 is 0.12. The variance of the return on the S&P 500 is 0.09. Apple stock is:
-
Riskier than the market
-
Less risky than the market
-
As risky as the market
-
Expected to have a good return when the market is doing poorly
-
None of the above
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