Empirical tests of the APT model have found that as the size of a portfolio increased, so did the number of factors.

Name: Empirical tests of the APT model have found that as the size of a portfolio increased, so did the number of factors.
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Empirical tests have shown that as the size of a portfolio increased, more factors were needed to explain the variation in returns, supporting the APT model's premise of multiple factors affecting asset returns.

Empirical Tests of the APT Model Have Found That as the Size