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Which of the following statements regarding Diversification is TRUE? A. Individual stocks have lower standard deviation of returns compared to a portfolio of stocks B.

Which of the following statements regarding "Diversification" is TRUE?

A.

Individual stocks have lower standard deviation of returns compared to a portfolio of stocks
B.

Diversification implies "put all your eggs in one basket"
C.

A well-diversified portfolio will have a higher standard deviation of returns
D.

Investors can reduce unsystematic risk by creating portfolios

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