Question: Which statement about portfolio diversification is correct? a. Proper diversification can partially eliminate systematic risk. b. The risk-reducing benefits of diversification do not occur meaningfulty
Which statement about portfolio diversification is correct? a. Proper diversification can partially eliminate systematic risk. b. The risk-reducing benefits of diversification do not occur meaningfulty until at least 50-60 indi 9. securities have been purchased c. Because diversification redces a portfolio's total risk, it necessarily reduces t d. Typically, as more securities are added to a portfolio, total risk would decrease at a decreasing rate the portfolio's expected return. e. None of the above
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