Question 8 Q: 8 An Asset with high risk will have a (n) Options A: Low expected return B: Lower price than an assets with low risk C: Increasing expected rate of return D: High standard deviation of returns Save Question Show Answer Discussion 0 Clear Discussion Most voted Newest No comments yet. Be the first to comment. Post Be respectful. No spam. Correct Answer: D Explanation The greater the standard deviation of the expected return, the riskier the investment. a largestandard deviation implies that the range of possible return is wide,i.e.,the probability distribution isbroadly dispersed.converely,the smaller the standard deviation, the tighter the probabilitydistribution and the lower the risk.