Q1. What is the stand-alone risk of a security?

A. Related to the correlation between that security and the market.

B. Systematic risk

C. Unsystematic risk

D. Total risk

Q2. Which of the following risk can be diversified away?

A. Scientists have discovered a totally new method to reduce global warming.

B. Venezuelan bonds tumbled after President Nicolas Maduro said Venezuela government would seek to restructure its debt.

C. WSJ reports that GM has secretly invested more funds in electric car maker Nikola.

D. The Fed reports that the unemployment claims in the U.S. were held steady last week even during the pandemic.