Averaging the Deviations from the Mean for a Portfolio of Securities

question 119

Multiple Choice

Averaging the deviations from the mean for a portfolio of securities will:

• A)Compute the standard deviation
• B)Compute the variance
• C)Equal zero
• D)Equal the number of securities in the portfolio

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Definitions:

Decreases Political Stability

A reduction in the ability of a governmental system to provide consistent governance and policy, often leading to uncertainty, unrest, or conflict.

Basic Needs

Fundamental requirements necessary for individuals to live a healthy and satisfactory life, such as food, water, shelter, education, and healthcare.

Investment Climate

The economic, financial, and socio-political environment influencing the willingness and ability of individuals and firms to invest in a particular country or region.

Semiperipheral Countries

Nations that are midway between the core and periphery in the world economic system, showing characteristics of both developed and developing countries.