Which of the Following Statements Is False

question 22

Multiple Choice

Which of the following statements is false?

• A) If investors have homogeneous expectations, then each investor will identify the same portfolio as having the highest Sharpe ratio in the economy.
• B) Homogeneous expectations are when all investors have the same estimates concerning future investments and returns.
• C) There are many investors in the world, and each must have identical estimates of the volatilities, correlations, and expected returns of the available securities.
• D) The combined portfolio of risky securities of all investors must equal the efficient portfolio.

---

Definitions:

Long-Tongued Flies

A term referring to a variety of fly species known for their elongated proboscis, used for feeding from deep flowers.

Zaluzianskya

A genus of flowering plants in the family Scrophulariaceae, known for their night-scented flowers, which open in the evening to attract pollinators.

Viral DNA

The genetic material of viruses that use DNA as their form of genetic information, involved in the replication and production of viral particles.

Human Genome

The complete set of nucleic acid sequences for humans, encoding the genetic instructions for the development and functioning of a human being.