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Passive Investors with Well-Diversified International Portfolios _________

Question 4

Multiple Choice

Passive investors with well-diversified international portfolios _________.


A) can safely ignore all political risk in emerging markets
B) can expect very large diversification gains from their international investing
C) do not need to be concerned with hedging exposure to foreign currencies
D) can expect returns to be better than the EAFE on a consistent basis

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