The correlation coefficient between two assets is positive if and only if: a. The returns of the two assets always move in the same direction. b. The returns of the two assets are more likely to move in the opposite direction than to move in the same direction. c. The returns of the two assets never move in the same direction. d. The returns of the two assets are more likely to move in the same direction than not to.
The correlation coefficient between two assets is positive if and only if: a. The returns of the two assets always move in the same direction. b. The returns of the two assets are more likely to move in the opposite direction than to move in the same direction. c. The returns of the two assets never move in the same direction. d. The returns of the two assets are more likely to move in the same direction than not to.
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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The correlation coefficient between two assets is positive if and only if:
a. The
b. The returns of the two assets are more likely to move in the opposite direction than to move in the same direction.
c. The returns of the two assets never move in the same direction.
d. The returns of the two assets are more likely to move in the same direction than not to.
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