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Which of the following is correct: Diversification can substantially reduce the variability of returns of a portfolio All risks even the systematic risk can be

Which of the following is correct: Diversification can substantially reduce the variability of returns of a portfolio All risks even the systematic risk can be diversified Risk reduction in in a diversified portfolio arises because worse than expected returns from one asset are offset by better-than-expected returns from another only if the correlation between them is positive Low portfolio risk is when correlation of returns is high

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