The total number of variance and covariance terms in a portfolio is N².How many of these would be (including non-unique) covariances? A)N B)N² C)N²- N D)N²- N/2 E)None of the above.

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In a portfolio with N assets, there are N variances and N(N-1) covariances. Therefore, the total number of covariance terms is N(N-1), which simplifies to N^2 - N.

The Total Number of Variance and Covariance Terms in a Portfolio