The Variance of a Portfolio of Assets

question 56

Multiple Choice

The variance of a portfolio of assets:

• A)Decreases as the number of assets increases
• B)Increases as the number of assets increases
• C)Approaches 0 as the number of assets decreases
• D)Approaches 1 as the number of assets increases

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Definitions:

Attraction

A feeling of being drawn towards a particular person, thing, or activity due to finding them appealing or interesting.

On-Call Workers

Employees who are not on a fixed schedule but are available to work as needed, often at short notice.

Stressful Situations

Circumstances that cause emotional or physical strain or tension.

Self-Help Groups

A type of support group where members share a common issue or experience and provide mutual aid and understanding to each other.