Question
Indicate whether the following statement is TRUE or FALSE . Then provide an explanation for your answer. You can't form a riskless portfolio out of
Indicate whether the following statement is TRUE or FALSE . Then provide an explanation for your answer.
You can't form a riskless portfolio out of two risky assets - no matter how their returns are correlated. For example, if Asset A has a standard deviation of returns of 30% p.a. and Asset B a standard deviation of returns of 20% p.a., any portfolio consisting of an investment in these two assets will have risk associated with it.
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Income Tax Fundamentals 2013
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
31st Edition
1111972516, 978-1285586618, 1285586611, 978-1285613109, 978-1111972516
