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Which of the following statements is (or are) correct? Select all CORRECT statements. -When we form an equally weighted portfolio of stocks and keep increasing

Which of the following statements is (or are) correct? Select all CORRECT statements.

-When we form an equally weighted portfolio of stocks and keep increasing the number of stocks in the portfolio, the volatility of the portfolio also increases.

-The standard deviation of returns of corporate bonds is generally higher than that of large stocks.

-A stock with a standard deviation of 25% will necessarily have a higher expected return than a stock with a standard deviation of 20%.

-The standard deviation of returns of small stocks is generally higher than that of large stocks.

-The total risk of a diversified portfolio will approach zero as the number of stocks in the portfolio is increased.

-When you put two stocks that are positively correlated together in a portfolio, you can decrease your risk so long as they are not perfectly correlated.

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