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People Who Are Risk Averse

Question 11

Multiple Choice

People who are risk averse


A) value a collection of assets only on the basis of its expected returns.
B) value a collection of assets only on the basis of the risk of that return.
C) value a collection of assets not only on the basis of its expected returns but also on the basis of the risk of that return.
D) are less likely to invest in life insurance.
E) are less likely to have a diverse portfolio.

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