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wrote...
Posts: 201
2 weeks ago
Is volatility a reasonable measure of risk when evaluating the investment in a single stock?
Textbook 
Fundamentals of Corporate Finance
Edition: 2nd
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wrote...
Posts: 218
2 weeks ago
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No. In the case of an investment in a single stock, the volatility does not explain the size of its average return, because the stock has its own unique risk that can be diversified away.
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