Risk premium is the excess return required from risky asset

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Which of the following statements is false? a. The risk premium is the excess return required from a risky asset over that required from a risk-free asset. b. Based on historical returns, there are rewards for bearing risk. c. In general, the higher the risk, the higher the expected return. d. The lower the average return, the greater the risk premium.

Reference no: EM131056355

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