Which of the Following Statements Is False

Multiple Choice

Which of the following statements is false?

A) One difficulty when trying to estimate beta for a security is that beta depends on the correlation and volatilities of the security's and market's returns in the future.
B) It is common practice to estimate beta based on the expectations of future correlations and volatilities.
C) One difficulty when trying to estimate beta for a security is that beta depends on investors' expectations of the correlation and volatilities of the security's and market's returns.
D) Securities that tend to move less than the market have betas below 1.