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Historically, over a long period of time, when we compare portfolios of small stocks, large stocks, or bonds, we observe that the greater the volatility

Historically, over a long period of time, when we compare portfolios of small stocks, large stocks, or bonds, we observe that the greater the volatility of portfolio returns _________________.

A.

the more predictable the portfolio return is in the next period

B.

the greater the portfolio average return

C.

the smaller the portfolio average return

D.

the tighter the confidence interval for portfolio returns

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