About the beta coefficient is false

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Which of the following statements about the beta coefficient is false?

A stock's beta coefficient measures its volatility relative to the market portfolio.

A stock's beta coefficient can theoretically be calculated using the capital asset pricing model.

A stock's reported beta coefficient is based on forecasted future volatility.

A stock with a beta coefficient greater than 1.0 is said to be riskier than the market portfolio.

Under the capital asset pricing model, a stock with a beta coefficient less than 1.0 would have a required rate of return that is lower than the required rate of return on the market portfolio.

Reference no: EM131027062

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