Stocks Reduce Risk by Portfolio Rebalancing

question 118

True/False

Stocks reduce risk by portfolio rebalancing.

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Definitions:

Stratospheric Ozone

A layer of ozone molecules located in the Earth's stratosphere that absorbs and protects living organisms from the harmful effects of the sun's ultraviolet radiation.

Ultraviolet Radiation

Electromagnetic radiation with a wavelength shorter than that of visible light, but longer than X-rays, which can have effects on the skin such as sunburns and vitamin D synthesis.

Gamma Radiation

Electromagnetic radiation of high frequency and thus high energy, often emitted by radioactive materials.

Air Pollution

The presence of substances in the air that are harmful to human health, the environment, or the climate.