Which One of the Following Indicates a Portfolio Is Being

question 83

Multiple Choice

Which one of the following indicates a portfolio is being effectively diversified?

• A)an increase in the portfolio beta
• B)a decrease in the portfolio beta
• C)an increase in the portfolio rate of return
• D)an increase in the portfolio standard deviation
• E)a decrease in the portfolio standard deviation

---

Definitions:

Biogenetic Needs

Essential biological requirements for human survival, such as food, water, and shelter, thought to be influenced by genetic factors.

Adult Ego State

A term from transactional analysis referring to a state of mind that is rational, objective, and oriented towards problem-solving.

Parent Ego State

A concept in Transactional Analysis referring to a set of feelings, attitudes, and behaviors that are learned from parental figures.

Ambiguous Situations

Scenarios or contexts in which information is vague, unclear, or incomplete, leading to uncertainty or multiple interpretations.