Individual Investors

question 316

Multiple Choice

Individual investors:

• A) Should expect to earn a rate of return based on the total risk of their portfolios.
• B) Need to own at least 50 stocks if they wish to create a diversified portfolio.
• C) Are responsible for eliminating unsystematic risk.
• D) Can create a portfolio such that the portfolio beta is less than the lowest beta of any security held in the portfolio.
• E) Can generally create a diversified portfolio of risky assets such that the standard deviation of the portfolio equals zero.

---

Definitions:

TSH

Thyroid-Stimulating Hormone, a hormone produced by the pituitary gland that regulates the production of hormones by the thyroid gland.

Thyroid Hormone

Hormones produced by the thyroid gland, such as thyroxine, that regulate metabolism, energy generation, and growth and development.

Humoral

Pertains to body fluids, especially in regard to immune responses involving antibodies in the bloodstream.

Blood Glucose

The concentration of glucose present in the blood, essential for providing energy to body cells and maintaining body functions.