Total risk of an asset returns

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For each statement, begin by answering whether the statement is true false or. If you think a statement is false, explain your answer . If you think a statement is true, no explanation is required.

1. Like the CAPM model, the APT model is also based on the premise that the total risk of an asset's returns can be decomposed into systematic and unsystematic risks.

2. The observation that the stock market earns abnormal returns in every January provides supportive evidence that the market is semi-strong efficient.

Reference no: EM133119450

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