mkfernandez6521 mkfernandez6521

26-03-2024
Business

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You read in the financial times that the equity risk premium has increased overnight from 5.5% to 6.5%. Which of the following statements is likely to be correct?
A. The market return is higher than the risk-free rate
B. Investors’ risk aversion has increased
C. The beta of the market has increased
D. The SML has a steeper slope

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