Which One of the Following Statements Is Correct Concerning the Historical

Multiple Choice

Which one of the following statements is correct concerning the historical standard deviations of asset classes over the period 1957-2005?

A) The standard deviation of small-company stocks is almost three times the average annual return for those stocks.
B) The standard deviation of large-company stocks demonstrates they have more risk than any other category.
C) The historical standard deviation of long-term corporate bonds is less than the standard deviation of large-company stocks.
D) Long-term corporate bonds are more volatile than Canadian Treasury bills as shown by their standard deviations.
E) The historical standard deviation of large-company stocks is greater than the standard deviation of small-company stocks.