Question: Which statement about portfolio diversification is true? a. Proper diversification can eliminate systematic risk. b. None of the options. c. The risk-reducing benefits of diversification

 Which statement about portfolio diversification is true? a. Proper diversification can

Which statement about portfolio diversification is true? a. Proper diversification can eliminate systematic risk. b. None of the options. c. The risk-reducing benefits of diversification will not occur if the risky assets are not correlated. d. Because diversification reduces a portfolio's total risk, it also reduces the portfolio's expected return. e. Proper diversification can reduce the total risk to zero

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