An 'Efficient' Portfolio Is One That

question 72

Multiple Choice

An 'efficient' portfolio is one that:

• A)combines assets whose returns are not perfectly correlated.
• B)offers the highest expected return for a given level of risk.
• C)holds a proportion of all possible assets.
• D)combines many diverse assets.

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Definitions:

Repetitive Routines

Behaviors or tasks that are performed in a consistent, unvarying manner, often as part of a daily or regular schedule.

Specific Phobia

An intense, irrational fear of a specific object, situation, or activity that is strongly avoided.

Extreme

Something that is far beyond the norm or average in magnitude, intensity, or degree.

Irrational Fear

A disproportionate and intense fear of an object, situation, or activity that poses little to no actual danger.