Answered: The measure of risk for a security held…

The measure of risk for a security held in a diversified portfolio is:a. Specific risk.b. Standard deviation of returns.c. Reinvestment risk.d. Covariance.

Intermediate Financial Management (MindTap Course List)

13th Edition

ISBN:9781337395083

Author:Eugene F. Brigham, Phillip R. Daves

Publisher:Eugene F. Brigham, Phillip R. Daves

Chapter4: Bond Valuation

Section: Chapter Questions

Problem 10MC

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The measure of risk for a security held in a diversified portfolio is:
a. Specific risk.
b. Standard deviation of returns.
c. Reinvestment risk.
d. Covariance.

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