Question: b A > 0 ; b B = 1 . Question 2 3 pts Which of the following statements is CORRECT? Once a portfolio has

bA>0;bB=1.
Question 2
3 pts
Which of the following statements is CORRECT?
Once a portfolio has about 40 stocks, adding additional stocks will not reduce its risk by even a small amount.
The higher the correlation between the stocks in a portfolio, the lower the risk inherent in the portfolio.
It is impossible to have a situation where the market risk of a single stock is less than that of a portfolio that includes the stock.
An investor can eliminate virtually all market risk if he or she holds a very large and well diversified portfolio of stocks.
An investor can eliminate virtually all diversifiable risk if he or she holds a very large, well-diversified portfolio of stocks.
Question 3
b A > 0 ; b B = 1 . Question 2 3 pts Which of the

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