Regression technique can be used to estimate the beta of a


True or False

1) The Treynor, Jensen, and the multifactor models are appropriate for evaluating an individual asset only if the asset is part of a well-diversified portfolio.

2) Regression technique can be used to estimate the beta of a stock. In the regression, the X variable is the historical stock return and the Y variable is the historical stock index return. The regression line is called the characteristic line.

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Financial Management: Regression technique can be used to estimate the beta of a
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