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What can be concluded when the correlation coefficient of two companies = -0.95? Select one: a. The variances of the two companies are approximately equal
What can be concluded when the correlation coefficient of two companies = -0.95?
Select one: a. The variances of the two companies are approximately equal to each other b. The expected returns of the two companies are exactly opposite of each other c. The two companies are in similar or the exact same industries d. The covariance between the returns of the two companies is less than zero e. The state dependent returns of the two companies are approximately equal
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