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Martina does not believe in the diversification effect as proposed by the portfolio theory. She believes in the All eggs in one basket approach and

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Martina does not believe in the diversification effect as proposed by the portfolio theory. She believes in the "All eggs in one basket approach and invests all her cash in only one stock. The beta of this stock is 0.5. Martina concludes that her investment is half as risky as the market as a whole. Is she correct? Explain

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