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Which one of the following statements is the most correct? A stock with a beta of 1 is below the security market line. The benefits
Which one of the following statements is the most correct?
A stock with a beta of 1 is below the security market line. |
The benefits of diversification only start when a portfolio is very large (i.e., more than 50 stocks) |
An underpriced security is below the security market line. |
A risk-free security plots at the origin on the security market line graph. |
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