In the Markowitz Portfolio Approach,risk Is Reduced By

question 49

Multiple Choice

In the Markowitz Portfolio Approach,risk is reduced by:

• A)the diversification of assets.
• B)the correlation between assets.
• C)investing in arrangements that return cash to the firm at different times.
• D)investing in real assets rather than derivatives.

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Definitions:

Construction Technique

The methodology and processes used in the building of structures, involving materials, methods, and technology tailored to specific designs.

Post And Lintel

An architectural system consisting of vertical supports (posts) and horizontal beams (lintels), used for millennia in everything from ancient stone circles to modern buildings.

Output Latch

A circuit or mechanism that maintains its output state until it is specifically altered by subsequent inputs.

OTU

Optical Transport Unit, refers to a series of network functions standardized by the ITU-T for the optical domain of a network.