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Chris has two portfolios regarding shares. The first has weight of average return at 250% and standard deviationof 114% (His share weight is 50% in

Chris has two portfolios regarding shares.

The first has weight of average return at 250% and standard deviationof 114% (His share weight is 50% in Amazon and 50% in Ebay)

While the second has a weight of average return 330% and standard deviationof 90% (His share weight is 80% in Amazon and 20% in Rio Tinto)

From the details above which portfolio offers a better diversification? Why is this the case? What should Chirs do?

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