Owning Two Securities Instead of One Will Not Reduce the Risk

question 40

Multiple Choice

Owning two securities instead of one will not reduce the risk taken by an investor if the two securities are

• A)perfectly positively correlated with each other
• B)perfectly independent of each other
• C)perfectly negatively correlated with each other
• D)of the same category,
• E)g.blue chips

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Organizational Restructuring

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