Which of the Following Statements Is FALSE

question 123

Multiple Choice

Which of the following statements is FALSE?

• A)Without trading,the portfolio weights will decrease for the stocks in the portfolio whose returns are above the overall portfolio return.
• B)The expected return of a portfolio is simply the weighted average of the expected returns of the investments within the portfolio.
• C)Portfolio weights add up to 1 so that they represent the way we have divided our money between the different individual investments in the portfolio.
• D)A portfolio weight is the fraction of the total investment in the portfolio held in an individual investment in the portfolio.

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Definitions:

Anchors Tendons

A term that may refer to structures or techniques used to attach tendons firmly to bones.

Periosteum

A dense layer of vascular connective tissue enveloping the bones except at the surfaces of the joints.

Bone Growth

A physiological process resulting in the increase in size of bones through the activity of osteoblasts, driven by genetic and environmental factors.

Lacuna

A small space, gap, or cavity, often found in bone and cartilage, where cells such as chondrocytes reside.