The Addition of a Negative Risk Asset to a Portfolio

question 70

Multiple Choice

The addition of a negative risk asset to a portfolio of assets will:

• A) increase the portfolio's expected return.
• B) decrease the portfolio's expected return.
• C) increase the portfolio's expected volatility.
• D) decrease the portfolio's expected volatility.

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Definitions:

Glycine

The simplest amino acid, used in the body for the synthesis of proteins.

Gly

Glycine, the simplest amino acid, with the chemical formula NH2CH2COOH.

Glycine

The simplest amino acid, with the chemical formula NH2CH2COOH, involved in protein synthesis.

Lys

Short for Lysine, an essential amino acid important for protein synthesis and various metabolic processes in the body.