Perhaps the Best Way to Reduce Macro Risk in a Stock

question 33

Multiple Choice

Perhaps the best way to reduce macro risk in a stock portfolio is to invest in stocks that:

• A) have only unique risks.
• B) have diversified away the macro risk.
• C) have low exposure to business cycles.
• D)pay guaranteed dividends.

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Definitions:

Domestic Abuse

A pattern of behaviors used by one partner to maintain power and control over another partner in an intimate relationship, encompassing physical, emotional, sexual, or financial abuse.

Resources

Assets or materials available to individuals or societies that can be used to satisfy needs or achieve goals.

Law Enforcement Officer

An individual who is sworn to maintain public order and safety, enforce the law, and prevent, detect, and investigate criminal activities.

Serial Killer

A person who commits a series of murders, often with no apparent motive and typically following a characteristic, predictable behavior pattern.