Why is it better for investors to diversify their stock portfolios?
Question:
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 66% (6 reviews)
Diversification allows an ...View the full answer
Answered By
Umber Talat
I am providing full time mentoring and tutoring services in Business Finance, Contemporary issue in Global Economy, Quantitative Techniques, Principles of Marketing, strategic marketing, International Marketing, Organizational Behavior (OB), Consumer Behavior, Sales Force Management, Strategic Brand Management, Services Marketing, Integrated Marketing Communication (IMC), Principles of Management, General Management, Strategic Management, Small and Medium Enterprise Management, Innovation Management, Change Management, Knowledge Management, Strategic Planning, Operations Management, Supply Chain Management, Logistics Management, Inventory management, Total Quality Management (TQM), Productions Management, Project Management, Production Planning, Human Resource Management (HRM), Human Resource Development, Strategic HRM, Organizational Planning, Performance and Compensation Management, Recruitment and Selection, Organizational Development, Global Issues in Human Resource Management, Retail Marketing, Entrepreneurship, Entrepreneurial Marketing, International Business, Research Methods in Business, Business Communication, Business Ethics.
4.70+
158+ Reviews
236+ Question Solved
Related Book For
Foundations of Financial Management
ISBN: 978-1259024979
10th Canadian edition
Authors: Stanley Block, Geoffrey Hirt, Bartley Danielsen, Doug Short, Michael Perretta
Question Posted:
Students also viewed these Corporate Finance questions
-
Why is it better for groups to deal with conflicts, rather than just trying to ignore them?
-
Why is it better for theories to be judged by how accurately they predict than by how they sound to us?
-
It is the end of December and Natalie has been in touch with her grandmother. Her grandmother is curious to know if Natalie has been profitable and if Natalie requires another loan to help finance...
-
Find the maximum volume of a box inscribed in the tetrahedron bounded by the coordinate planes and the plane 1 1 x+2y+12=1 3
-
Three point masses of 2 kg each are located on the x axis at the origin, x = 0.20 m, and x = 0.50 m. Find the center of mass of the system.
-
Which type of radiation-alpha, beta, or gamma-produces the greatest change in mass number when emitted by an atomic nucleus? Which produces the greatest change in atomic number?
-
Find the values of the 5 -month call option of Example 19.1 using the same trinomial lattice used in that example but employing the utility function \(U(x)=\sqrt{x}\). What is \(\alpha\) ? Example...
-
KenCor Pizza Emporium produces frozen pizzas for sale to grocery stores. The company has built a strong reputation for high-quality pizzas and has been profitable for a number of years. Because of...
-
What strategies can knowledge managers employ to effectively bridge the gap between explicit and tacit knowledge domains, thereby facilitating seamless knowledge transfer across disparate...
-
A siphon is a device that allows water to flow from one level to another. The siphon shown in FIGURE 15-49 delivers water from an irrigation canal to a field of crops. To operate the siphon, water is...
-
What is the advantage of using dollar cost averaging?
-
How can an investor make money using the buy and hold technique?
-
How might clustering be used to explain customers that owe us money (accounts receivable)?
-
Assuming a lack of market research, disadvantages for expanding the plant include all of the following except: a. The break-even point increases. b. The sales necessary to maintain the current income...
-
Go to www.mississippi.com Once there, seek out the category that gives you information on county and local statistics. Select Lauderdale county to obtain the vital demographic and socioeconomic data...
-
Two mutually exclusive projects, M and N, have the same payback periods but M has a higher net present value NPV. What conclusion can be drawn about the projects? Question 9Answer a. Project M is...
-
The cost of borrowing money, quoted as an annual percentage rate (APR), is a loan's Multiple Choice period. principal. interest. term.
-
9-When a company, which is already listed on a stock exchange, issues shares or debenture (wholly or partly convertible) or any other kind of security not including warrants, which are convertible in...
-
From the following accounts of Classy Restorations, Inc., prepare the business?s statement of retained earnings for the year ended November 30, 2018: Retained Earnings 125,000 Dec 1 87,000 Clo...
-
Should U.S. antidumping laws be stated in terms of average total costs or average variable costs?
-
What makes for a good investment? Use the approximate yield formula or a financial calculator to rank the following investments according to their expected returns. a. Buy a stock for $30 a share,...
-
Selected financial information about Upper End Clothing, Inc. is as follows: Total assets .............................................................. $20,000,000 Total liabilities...
-
Assume that youve just inherited $500,000 and have decided to invest a big chunk of it ($350,000, to be exact) in common stocks. Your objective is to build up as much capital as you can over the next...
-
In which one of the following lists are ALL items relevant to the determination of employment income? Employee RPP contributions; signing bonus on accepting employment; use of an employer - owned...
-
what is the shortest maturity bond issued by pfizer that is outstanding?
-
Manufacturing Company Balance Sheet Partial balance sheet data for Diesel Additives Company at August 31 are as follows: Finished goods inventory $89,400 Prepaid insurance 9,000 Accounts receivable...
Study smarter with the SolutionInn App