Maggie considers four potential securities with identical expected returns as part of her asset selection decision. Which security and which level of dependence with the current portfolio would most likely provide Maggie with the highest diversification benefits?

Security 2 with a correlation coefficient of +0.32.

Security 1 with a correlation coefficient of +1.0.

Security 3 with a correlation coefficient of 0.00.

Security 4 with a correlation coefficient of -0.38.