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Which of the following statements is FALSE? A. A market index reports the value of a particular portfolio of securities. B. The S&P 500 is
Which of the following statements is FALSE?
| A. A market index reports the value of a particular portfolio of securities. | ||
| B. | The S&P 500 is the standard portfolio used to represent "the market" when using the CAPM in practice. | |
| C. | Even though the S&P 500 includes only 500 of the more than 7,000 individual U.S. Stocks in existence, it represents more than 70% of the U.S. stock market in terms of market capitalization. | |
| D. The S&P 500 is an equal-weighted portfolio of 500 of the largest U.S. stocks. |
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