If the slope of the characteristics line for stock XYZ is 1.5 it means the following
| A. | It means that if stock XYZ returns increase by 1%, the return for market will, on average, increase by 1.5%. |
| B. | It means that as the market return increases or decreases by 1%, the return for XYZ stock on average increases or decreases 1.5%. |
| C. | The standard deviation of stock XYZ is 1.5%. |
| D. | XYZ stock is 1.5 times as risky as the market index. |
Answer : B Explanation : |
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Option: A Explanation : Explanation will come here. Explanation will come here. Explanation will come here. Explanation will come here. Explanation will come here. |
