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Which of the following is/are true regarding risk and return? I. You cannot expect to be compensated with higher return for risk you could otherwise
Which of the following is/are true regarding risk and return?
I. You cannot expect to be compensated with higher return for risk you could otherwise diversify away.
II. Diversification is necessary to reduce unsystematic risk
III. Total Risk can be found by adding an assets Beta to its Standard Deviation
| II only |
| All are true |
| II and III only |
| All are false |
| I and II only |
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