Question: Based on conversations with her husband, Grace is considering selling the $ 1 0 0 , 0 0 0 ABC stock and acquiring $ 1
Based on conversations with her husband, Grace is considering selling the $ ABC stock and acquiring $ of XYZ Company common stock instead. XYZ stock has the same expected return and standard deviation as ABC stock. Her husband comments, It doesnt matter whether you keep all of the ABC stock or replace it with $ of XYZ stock State whether her husbands comment is correct or incorrect. Justify your response.
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