Consider an Equally Weighted Portfolio That Contains 100 Stocks

question 18

Multiple Choice

Consider an equally weighted portfolio that contains 100 stocks.If the average volatility of these stocks is 50% and the average correlation between the stocks is .7,then the volatility of this equally weighted portfolio is closest to:

• A).72.
• B).63.
• C).40.
• D).50.

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Definitions:

Long-Term Memory

A component of memory capable of storing large amounts of information for periods ranging from several minutes to a lifetime.

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The presence of blood in urine, which can be a symptom of various underlying conditions.