Which One of the Following Would Indicate a Portfolio Is

question 47

Multiple Choice

Which one of the following would indicate a portfolio is being effectively diversified?

• A) An increase in the portfolio beta.
• B) A decrease in the portfolio beta.
• C) An increase in the portfolio rate of return.
• D) A decrease in the portfolio standard deviation.

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Definitions:

Community Values

Core beliefs and moral standards shared within a defined community, guiding its members' behavior and interactions.

Delaying Gratification

The ability to resist the temptation for an immediate reward and wait for a later reward.

Future Orientation

A psychological perspective that involves thinking about and planning for the future, emphasizing long-term goals and outcomes.

Planning

The process of setting goals, defining strategies to achieve those goals, and outlining tasks and schedules to implement the strategies.