Question $4$

$8\mathrm{.}85$ pts

You are considering investing in one of the these three stocks:

Stock

Standard Deviation Beta

A

$20\%$

$0\mathrm{.}52$

B

$10\%$

$0\mathrm{.}61$

c

$12\%$

$1\mathrm{.}29$

$3$

If you are a strict risk minimizer, you would choose Stock If it is to be held in isolation and Stock $$ If it is to be held as part of a well$-$diversified portfollo.

$8$; A

A$.$C

CA

n$.$c