The square root of the variance is called the:
covariance |
coefficient of variation |
beta |
standard deviation |
Answer : standard deviation
The square root of the variance is standard deviation. And the squared standard deviation is the variance.
Covariance is used to determine the relationship between the movement of prices of two stocks.
Coefficient of variation (CV) is a standardized measure of the relative variability of a probability distribution. It is expressed as the ratio of the standard deviation to the mean or average.
Beta measures a stock's volatility with reference to the overall market. It is a measure of systematic risk of the stock.
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