The performance of an internationally-diversified portfolio may be affected by
A) country selection.
B) currency selection.
C) stock selection.
D) All of the options are correct.
E) None of the options are correct.

Question

Quizplus · Accepted Answer

The performance of an internationally-diversified portfolio can be influenced by country selection (which countries to invest in), currency selection (which currencies those investments will be held in), and stock selection (which specific stocks or securities to choose within those countries). Each of these factors can significantly impact the overall return and risk profile of the portfolio.

The Performance of an Internationally-Diversified Portfolio May Be Affected by