As diversification increases,the standard deviation of a portfolio approaches ____________.
A) 0
B) 1
C) infinity
D) the standard deviation of the market portfolio
E) none of the above
Correct Answer:
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Q1: As diversification increases,the unique risk of a
Q2: A single-index model uses _ as a
Q2: If a firm's beta was calculated as
Q4: Rosenberg and Guy found that _ helped
Q5: As diversification increases,the firm-specific risk of a
Q7: As diversification increases,the unsystematic risk of a
Q9: The intercept in the regression equations calculated
Q10: Beta books typically rely on the _
Q11: In a factor model,the return on a
Q13: The index model has been estimated for
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