Since Security Returns Tend to Have Low Correlations Among Countries

question 20

Multiple Choice

Since security returns tend to have low correlations among countries,

• A)investors can reduce risk more effectively if they diversify their portfolio holdings internationally rather than purely domestically.
• B)investors who have a domestically diversified portfolio, with exposures across industry types will not gain much from diversifying abroad.
• C)investors who diversify internationally will likely underperform investors who keep all their investments in one country.
• D)none of the above

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An antiseptic and antimicrobial skin cleanser that is effective in killing bacteria, viruses, and fungi.

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A chemical compound with the formula H₂O₂, commonly used as an oxidizer, bleaching agent, and antiseptic.

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The puncture of a vein with a needle for the purpose of drawing blood.

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A coordinated plan and set of procedures designed to safely remove people from a dangerous or potentially dangerous area.