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Which one of the following are features of potential factors in the multifactor model? I-...

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Question

Accounting

Which one of the following are features of potential factors in the multifactor model? I- information on these variables should be timely and accurate II- the relationship should be theoretically justifiable on economic grounds III- their impact on asset prices manifests in their unexpected movements IV- Factors should be non-diversifiable

Question 3 options:

1)

I and II only

2)

II and III only

3)

I, II and III only

4)

All of the above

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