5 Mark Use the following three statements to answer this question: 1. Risk means the probability that the actual return from an investment is less than the expected return. 2. As long as PAB = -1, an equally weighted portfolio would be risk-free 3. If COVAM >COVBM, stock A moves more closely to the market portfolio (M) than stock B does. O a. 1 only O b. 1 and 3 O c. all are incorrect O d. all are correct O e 1 and 2 e