Question
As the number of securities in a portfolio is increased, what happens to the average portfolio standard deviation? A.It increases at an increasing rate. B.It
As the number of securities in a portfolio is increased, what happens to the average portfolio standard deviation?
A.It increases at an increasing rate.
B.It increases at a decreasing rate.
C.It decreases at an increasing rate.
D.It decreases at a decreasing rate.
E.It first decreases, then starts to increase as more securities are added.
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Basic Finance An Introduction to Financial Institutions Investments and Management
Authors: Herbert B. Mayo
10th edition
1111820635, 978-1111820633
