The Underlying Principles of Portfolio Theory Include

question 20

Multiple Choice

The underlying principles of portfolio theory include:

• A)diversifying business-specific risk away.
• B)basing decisions on stocks' risk/return characteristics in a portfolio context rather than on a stand-alone basis.
• C)getting the highest available return for the amount of risk the investor is comfortable with.
• D)All of the above

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Definitions:

Individuals

Single human beings as distinguished from a group, class, or family, often referred to in contexts emphasizing personal rights and responsibilities.

Section 8(a)(2)

A provision within the National Labor Relations Act in the United States that prohibits employers from interfering with, restraining, or coercing employees in the exercise of their rights to organize and bargain collectively.

Legal

Pertaining to the system of rules that a particular country or community recognizes as regulating the actions of its members and may enforce by the imposition of penalties.

Worker Dissatisfaction

Describes a state where employees are unhappy or frustrated with their job conditions, management, pay, or other workplace issues.