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Consider two stocks. If all their characteristics remain the same except for the correlation coefficient with each other, which value of the correlation would make

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Consider two stocks. If all their characteristics remain the same except for the correlation coefficient with each other, which value of the correlation would make a portfolio of these two stocks the least risky: negative infinity negative one zero positive one e. plus infinity The correlation coefficient between two stocks measures the amount of risk associated with the securities at a given moment in time. measures the expected values of the securities at a specified moment in time. measures the joint movement between two stocks. measures the joint movement between the stocks and the market. measures the movement of the stocks with respect to the risk-free rate. Which of the following had the greatest ex-post returns based on historic sample measures? Treasury bills Treasury bonds corporate bonds rated AAA small company stocks large company stocks

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