Question: Which statement is TRUE regarding diversification? AThe greater the systematic risk, the greater the return required by the investor. BThe greater the diversifiable risk, the

Which statement is TRUE regarding diversification?

AThe greater the systematic risk, the greater the return required by the investor.

BThe greater the diversifiable risk, the greater the return required by the investor.

CWe are able to remove all systematic risk if enough stocks are added to a portfolio.

DSystematic risk is diversifiable.

ENone of the above

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