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Which of the Following Statements Is FALSE

Question 65

Multiple Choice

Which of the following statements is FALSE?


A) A portfolio costs nothing to construct is called a self-financing portfolio.
B) The most obvious portfolio to use in a multifactor model is the market portfolio itself.
C) In general,a self-financing portfolio is any portfolio with portfolio weights that sum to one rather than zero.
D) We can construct a self-financing portfolio by going long some stocks,and going short other stocks with equal market value.

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