= The average annual volatility of a Swiss stock, chosen randomly, is o 0.3, while the average correlation between any two stocks is p 0.3526. Give a brief Explanation what these mean as well. Questions: 1. Compute the risk of an equally-weighted portfolio made out of N = 1,2,3,4,5,10,20,30 stocks. What do you observe? 2. Towards what value should the risk (volatility) of an equally-weighted portfolio approach as N becomes extremely large