Multiple Choice
One of the assumptions of the CAPM is that investors exhibit myopic behavior.What does this mean?
A) They plan for one identical holding period.
B) They are price takers who can't affect market prices through their trades.
C) They are mean-variance optimizers.
D) They have the same economic view of the world.
Correct Answer:

Verified
Correct Answer:
Verified
Q12: Assume that a security is fairly priced
Q24: Capital asset pricing theory asserts that portfolio
Q25: In equilibrium, the marginal price of risk
Q25: What is the expected return of a
Q26: The risk-free rate and the expected market
Q29: Which of the following statements about the
Q31: The risk-free rate and the expected market
Q32: According to the Capital Asset Pricing
Q34: The market portfolio has a beta of<br>A)
Q80: Your opinion is that CSCO has an