Which of the following statements is incorrect?

Select one:

a.

There is no diversification benefit when the rate of returns of assets are positively correlated.

b.

Diversification benefit is lower when the correlation between the rate of returns of assets are higher.

c.

Diversification benefit is highest when the rate of returns of two assets are perfectly negatively correlated.

d.

There is no diversification benefit when the rate of returns of assets are perfectly positively correlated.

e.

There is diversification benefit even when the rate of returns of assets are not negatively correlated.