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PRMIA Exam 8007 Topic 1 Question 25 Discussion

Actual exam question for PRMIA's Mathematical Foundations of Risk Measurement ? 2015 Edition exam
Question #: 25
Topic #: 1
[All Mathematical Foundations of Risk Measurement ? 2015 Edition Questions]

You are investigating the relationship between weather and stock market performance. To do this, you pick 100 stock market locations all over the world. For each location, you collect yesterday's mean temperature and humidity and yesterday's local index return. Performing a regression analysis on this data is an example of...

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Suggested Answer: D

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