The Ability of Diversification to Reduce Risk

question 74

Multiple Choice

The ability of diversification to reduce risk

• A) is greater the more negatively correlated the two events are.
• B) is greater the more positively correlated the two events are.
• C) is greater the more uncorrelated the two events are.
• D) is greater the more risk averse the individual is.

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Definitions:

Trusting Database

Marking a database as reliable or secure in software applications to bypass certain security restrictions for smoother operation.

Unsecure Databases

Databases that lack sufficient security measures, which makes them vulnerable to unauthorized access, leaks, or breaches.

Database Documenter

A tool or process that aids in creating comprehensive documentation of a database's structure, schema, and dependencies.

Tabs

Graphical controls in software applications that allow multiple documents or panels to be contained within a single window, facilitating ease of navigation.