Question: Theoretically, what is the lowest level to which the standard deviation of a portfolio can be reduced ? HINT: Use security selection as your main

Theoretically, what is the lowest level to which the standard deviation of a portfolio can be reduced ?

HINT: Use security selection as your main method to answer this question.

Realistically, is it possible to achieve the standard deviation that you describe in the first part of this question ?

FULLY EXPLAIN YOUR ANSWERS. BUT, be brief and focused in your answer.

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