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8. Investor Co. is considering investments in a number of stocks. Its financial advisor indicated if Investor Co. invests in at least 10 stocks in
8. Investor Co. is considering investments in a number of stocks. Its financial advisor indicated if Investor Co. invests in at least 10 stocks in each of the USA, Europe and Asia, it will have a well-diversified portfolio with average risk. Provide brief descriptions of 4 very different investment portfolios where the risk profile of two of them would be less than average risk and the other two would be more than average risk. Explain why explain why each portfolio is of greater or lesser than average risk.. (2 Marks) 8. Investor Co. is considering investments in a number of stocks. Its financial advisor indicated if Investor Co. invests in at least 10 stocks in each of the USA, Europe and Asia, it will have a well-diversified portfolio with average risk. Provide brief descriptions of 4 very different investment portfolios where the risk profile of two of them would be less than average risk and the other two would be more than average risk. Explain why explain why each portfolio is of greater or lesser than average risk.. (2 Marks)
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