Question: Mark all the correct statements 1. When two assets are not correlated, it is possible to create a portfolio with them that will have zero

Mark all the correct statements

1. When two assets are not correlated, it is possible to create a portfolio with them that will have zero standard deviation

2. When two assets' correlation is +1, the minimum variance portfolio (allowing no short selling) consists of 100% from the asset with the lesser variance

3. Even very risk averse investors prefer the Optimum Risky Portfolio to the Minimum Variance Portfolio

4. Given a 50-50% investment into two predetermined risky assets, the lower their correlation, the lower the Sharpe ratio of their portfolio

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