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In words, the covariance considers the probability of each scenario happening and the interaction between a. securities' returns relative to their variances. b. the level
In words, the covariance considers the probability of each scenario happening and the interaction between
a.
securities' returns relative to their variances.
b.
the level of return a security has in that scenario and the overall portfolio return.
c.
the variance of the security's return in that scenario and the overall portfolio variance.
d.
securities' returns relative to other securities' returns.
e.
securities' returns relative to their mean returns.
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