Question
From the perspective of investors, they want to reduce the investment risk. Normally the risk can be classified into two forms, namely systematic and unsystematic
From the perspective of investors, they want to reduce the investment risk. Normally the risk can be classified into two forms, namely systematic and unsystematic risk. Briefly describe the systematic and non-systematic risk. What is the difference in risk measurement between the portfolio and CAPM model? How can we achieve maximum diversification?
(20 marks: 200-300 words)
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Personal Financial Planning
Authors: Lawrence J. Gitman, Michael D. Joehnk, Randy Billingsley
13th edition
1111971633, 978-1111971632
