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Question 19 - CTFA discussion

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According to the capital-asset pricing model (CAPM), a security's expected (required) return is equal to the risk-free rate plus a premium:

A.
Equal to the security's beta
Answers
A.
Equal to the security's beta
B.
Based on the unsystematic risk of the security
Answers
B.
Based on the unsystematic risk of the security
C.
Based on the total risk of the security
Answers
C.
Based on the total risk of the security
D.
Based on the systematic risk of the security
Answers
D.
Based on the systematic risk of the security
Suggested answer: D
asked 16/09/2024
Fabio Todeschin
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