Question: Consider the statements below and choose the answer that is correct. Group of answer choices Most ( and maybe all ) firm - specific risk

Consider the statements below and choose the answer that is correct.
Group of answer choices
Most (and maybe all) firm-specific risk can be erased if an investor holds a very large, well-diversified portfolio of stocks.
Joan can eliminate all of the systematic risk in her portfolio if she holds a portfolio of 100 stocks from all different industries.
Diversification guarantees that an investor will achieve higher returns when investing in the stock market.
The total risk of a portfolio can be erased if an investor holds a very large and well diversified portfolio of stocks.

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