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The benefits of portfolio diversification are highest when the individual securities have returns that: A.vary directly with the rest of the portfolio. B. vary proportionally

The benefits of portfolio diversification are highest when the individual securities have returns that:

A.vary directly with the rest of the portfolio.

B.vary proportionally with the rest of the portfolio.

C. are less than perfectly correlated with the rest of the portfolio.

D. are countercyclical.

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