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Business, 18.11.2019 18:31 arod20061

Which of the following statements is most correct concerning diversification and risk? a. asset allocation is important for pension funds but not for individual investors. b. there is no diversification effect if two stocks in a portfolio are perfectly correlated. c. diversification is mainly achieved by the selection of individual securities for each type of asset held in a portfolio. d. stocks with negative return correlations in a portfolio lead to dramatic increase in risk.

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Which of the following statements is most correct concerning diversification and risk? a. asset all...

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