A portfolio can reduce risk when its
A) investments do not move in tandem.
B) investments move in tandem.
C) returns of individual investments are similar.
D) investments are from similar industries.
Correct Answer:
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Q4: In constructing a portfolio, you should diversify
Q5: You can best reduce investment risk by
Q6: The primary benefit of diversification is that
Q7: Proper asset allocation can
A) increase your wealth.
B)
Q8: The more volatile the returns of individual
Q10: Diversifying your investments could protect you to
Q11: When you compile a portfolio of stocks,
Q12: A portfolio's risk is measured by its
Q13: When you compile a portfolio, you should
Q14: A portfolio can be less risky when
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