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Topic 1: Is Paying a Premium for Certain Securities Worth the Price? Are portfolio managers willing to pay a premium for securities that reduce the

Topic 1: Is Paying a Premium for Certain Securities Worth the Price?

Are portfolio managers willing to pay a premium for securities that reduce the systematic (market) risk of their portfolios? If so, why pay a premium?

Topic 2: What Makes a Beta Coefficient so Great?

What makes a beta coefficient important when constructing a portfolio?

Topic 3: What can You Diversify?

If portfolio risk equals market risk, can the portfolio risk be diversifiable?

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