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8. Which of the following correlations coefficients will produce the largest diversification benefit? A) 0.8 B) 0.0 C) -0.6 D) -0.8 E) Answers A) and

8. Which of the following correlations coefficients will produce the largest diversification benefit?

A) 0.8

B) 0.0

C) -0.6

D) -0.8

E) Answers A) and D) produce an identical diversification benefit.

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