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Diversification of a portfolio is improved when A. the portfolio has very few component securities B. component securities all have the same CALs C. component

Diversification of a portfolio is improved when

A. the portfolio has very few component securities

B. component securities all have the same CALs

C. component securities of the portfolio are negatively correlated or uncorrelated

D. the portfolio has high levels of risk

E. component securities are highly positively correlated

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