Diversification Can Eliminate

question 29

Multiple Choice

Diversification can eliminate:

• A) all risk in a portfolio.
• B) risk only if the investor is risk averse.
• C) the systematic risk in a portfolio.
• D) the idiosyncratic risk in a portfolio.

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Definitions:

Resting

The state of being at ease, still, or inactive, allowing for recovery and rejuvenation of the body and mind.

Filling

A process or action that results in a space or container becoming full, often used in medical contexts to describe the restoration of lost tissue volume or the application of dental materials to cavities.

Dilation

The process of expanding or widening in size, often referring to the dilation of blood vessels or pupils.

Brachial Pulse

The pulse felt on the inside of the arm at the elbow, where the brachial artery is located.