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Examveda

In modern investment analysis, the risk for a stock is related to its_____________.

A. leverage factor

B. standard deviation

C. beta coefficient

D. coefficient of variation

Answer: Option C

Solution(By Examveda Team)

In modern investment analysis, the risk for a stock is related to its beta coefficient. In finance, the beta (β or beta coefficient) of an investment is a measure of the risk arising from exposure to general market movements as opposed to idiosyncratic factors.

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