Why is the standard deviation of a well-diversified portfolio lower than the standard deviation of stocks that

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Why is the standard deviation of a well-diversified portfolio lower than the standard deviation of stocks that make up the portfolio?

Posted Date: May 11, 2024 02:02 AM

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Why is the standard deviation of a well-diversified portfolio lower than the standard deviation of stocks that

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Standard deviation measures the volatility or dispersion of returns around the average return For a diversified portfolio combining assets with differ... View the full answer

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