IncorrectQuestion $16$

$\frac{0}{1}pts$

In the limit$,$ adding stocks at random to a portfolio will

eliminate market risk

increase stock$-$specific risk

reduce but not eliminate stock$-$specific risk

reduce market risk

eliminate stock$-$specific risk

IncorrectQuestion $17$

$\frac{0}{1}$ pts

The standard deviation of the returns of a portfolio

is the weighted average of the standard deviation of the returns of the individual assets in the portfolio is the simple average of the standard deviation of the returns of the individual assets in the portfolio costs is the geometric average of the standard deviation of the returns of the individual assets in the portfolio is the square root of the expected return of the portfolio is none of the other options