Topic 8: Portfolio Investment and Risk Flashcards by Tomas Cokis | Brainscape

Q

What is the risk premium?

A

ρ_Y = Y₀ - Y_C

How well did you know this?

1

Not at all

2

3

4

5

Perfectly

Q

Define the Arrow Pratt Coefficient

A

How well did you know this?

1

Not at all

2

3

4

5

Perfectly

Q

What is the coefficient of variation?

A

σ_Y = sd(Y)/Y₀

How well did you know this?

1

Not at all

2

3

4

5

Perfectly

Q

How can we solve for the risk premium?

A

How well did you know this?

1

Not at all

2

3

4

5

Perfectly