Question: Diversification can reduce or eliminate __________ risk. A. all B. systematic C. idiosyncratic D. market The excess return is the _________. rate of return in

  1. Diversification can reduce or eliminate __________ risk.

    A. all B. systematic C. idiosyncratic D. market

  2. The excess return is the _________.

    1. rate of return in excess of the riskfree rate

    2. rate of return that can be earned with certainty

    3. rate of return to risk aversion

    4. index return

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