Risk of Individual and Stocks, Stock Valuation, and Stock Market Equilibrium

Business & Finance
Tutor: None Selected Time limit: 1 Day

Should portfolio effects impact the way investors think about the risk of individual stocks?

Oct 3rd, 2015

Thank you for the opportunity to help you with your question!

You should recognize that basing a decision solely on expected returns is appropriate only for risk-neutral individuals. Because your client, like virtually everyone, is risk averse, the riskiness of each alternative is an important aspect of the decision. One possible measure of risk is the standard deviation of returns.

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Sep 18th, 2015

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Oct 3rd, 2015
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Oct 3rd, 2015
Dec 5th, 2016
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