- CFA Exams
- CFA Level I Exam
- Study Session 2. Quantitative Methods (1)
- Reading 7. Statistical Concepts and Market Returns
- Subject 9. Symmetry and Skewness in Return Distributions

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**CFA Practice Question**

A positively skewed distribution ______.

A. is skewed to the right

B. has fat tails and a large variance

C. is skewed to the left

**Explanation:**In a positively skewed distribution, small values are more common than correspondingly large values. This skews the distribution to the right, moving the mean to the right of the median.

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**User Contributed Comments**
2

User |
Comment |
---|---|

danlan |
Is it called skewed to the right? |

danlan |
Skewed to the right since there is a long tail on right side. |