Question: 1.Based on conversations with her husband, Simale is considering selling the $100,000 of ABC stock and acquiring $100,000 of XYZ Company common stock instead. XYZ

1.Based on conversations with her husband, Simale is considering selling the $100,000 of ABC stock and acquiring $100,000 of XYZ Company common stock instead. XYZ stock has the same expected return and standard deviation as ABC stock. Her husband comments, "It doesn't matter whether you keep all of the ABC stock or replace it with $100,000 of XYZ stock." State whether her husband's comment is correct or incorrect. Justify your response.

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