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Which of the following statements is CORRECT about the portfolio diversification? Select one: a. Diversification over a large number of assets completely eliminates risk. b.
Which of the following statements is CORRECT about the portfolio diversification?
Select one:
a.
Diversification over a large number of assets completely eliminates risk.
b.
If stocks were perfectly positively correlated, diversification would not reduce risk.
c.
Diversification works only when assets are uncorrelated.
d.
Diversification reduces the portfolio beta.
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