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Allushta [10]
3 years ago
14

The variance of an investment's returns is a measure of the:

Business
1 answer:
NARA [144]3 years ago
7 0

Answer:

B. historic return over long time periods.

Explanation:

Variance is a metric applied in statistics to determine the squared deviation of a random variable from its mean value.

The variance of a return of investment is a measure of the historic return over large time periods. The historical return approach is more commonly used in the exercise of investing. It follows the data which is a finite set of historical returns of investment and assumes that each possible result has an equal probability.

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