the variance is the average squared difference between which of the following? Group of answer choices Actual return and average return Actual return and the real return Actual return and (average return/N - 1) Average return and the standard deviation Actual return and the risk-free rate

The principle of diversification says that: Group of answer choices Spreading an investment across many diverse assets cannot eliminate any risk. Spreading an investment across many diverse assets will eliminate the diversifiable part of risk. Concentrating an investment in two or three large stocks will eliminate all your risk. Concentrating an investment in two or three large stocks will greatly reduce your overall risk.

The systematic risk principle states that the expected return on a risky asset depends only on the assets _________ risk. Group of answer choices Unsystematic Market Asset-specific Unique Diversifiable