Risk & Return 1

The excess return required from a risky asset over that required from a risk-free asset is called the: 

• risk premium

• geometric premium

• excess return

• average return

The average squared difference between the actual return and the average return is called the: 

• volatility return.

• variance.

• standard deviation.

• risk premium.

The average compound return earned per year over a multi-year period is called the _____ average return.

• arithmetic

• standard

• variant

• geometric

The return earned in an average year over a multi-year period is called the _____ average return. 

• arithmetic

• standard

• real

• geometric

The capital gains yield plus the dividend yield on a security is called the: 

• variance of returns.

  B.

• total return.

• current yield.

• average period return.

Which one of the following is a correct statement concerning risk premium?

• The greater the volatility of returns, the greater the risk premium.

• The risk premium is not correlated to the average rate of return.

• The lower the volatility of returns, the greater the risk premium.

• The lower the average rate of return, the greater the risk premium.

Who was the mastermind behind the squid game?

• The Front Man who watched the games from his private room

• The oldest player in the game

• Player 456 who was the triumphant player

• None