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What is one negative effect of designing a portfolio with Nave diversification? Risks will decline slowly as you add more securities to a portfolio Portfolio

What is one negative effect of designing a portfolio with Nave diversification?

Risks will decline slowly as you add more securities to a portfolio

Portfolio risk may still stay elevated if correlations between assets remain very high

A portfolio with too many assets are difficult to manage and keep risks under control

Your portfolio risk will move towards zero through time

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Previous Question Next Question

		Risks will decline slowly as you add more securities to a portfolio
		Portfolio risk may still stay elevated if correlations between assets remain very high
		A portfolio with too many assets are difficult to manage and keep risks under control
		Your portfolio risk will move towards zero through time