Other Things the Same,as the Number of Stocks in a Portfolio

question 119

Multiple Choice

Other things the same,as the number of stocks in a portfolio rises,

• A)risk increases and so the standard deviation of the return rises.
• B)risk increases and so the standard deviation of the return falls.
• C)risk decreases and so the standard deviation of the return rises.
• D)risk decreases and so the standard deviation of the return falls.

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Definitions:

Structural Features

Characteristics or attributes of an object or system that contribute to its form, stability, or integrity.

Nucleotides

The basic building blocks of nucleic acids (DNA and RNA), consisting of a sugar, a phosphate group, and a nitrogenous base.

Traits

Observable characteristics of an organism, determined by genetics and environmental influences, including physical appearance and behavior.

Double-ringed Molecule

A term describing molecules composed of two interconnected ring structures, typically associated with the structure of nucleotides in DNA and RNA.