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The Figures Below Show Plots of Monthly Excess Returns for Two

Question 57

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The figures below show plots of monthly excess returns for two stocks plotted against excess returns for a market index. The figures below show plots of monthly excess returns for two stocks plotted against excess returns for a market index.   -Which stock is riskier to a non-diversified investor who puts all his money in only one of these stocks? A)  Stock A is riskier B)  Stock B is riskier C)  Both stocks are equally risky D)  You cannot tell from the information given.
-Which stock is riskier to a non-diversified investor who puts all his money in only one of these stocks?


A) Stock A is riskier
B) Stock B is riskier
C) Both stocks are equally risky
D) You cannot tell from the information given.

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