Explain the difference between unique risk and market risk
Problem
i. Explain the difference between unique risk and market risk? Give an example of each type of risk.
ii. What is the approximate Standard Deviation of returns if over the past three years an investment returned 8.0%, -12.0%, and 15.0%?
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Explain the difference between unique risk and market risk? Give an example of each type of risk. What is the approximate Standard Deviation of returns?
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