The Amount of a Stock's Risk That Is Diversified Away

question 83

Multiple Choice

The amount of a stock's risk that is diversified away ________.

• A) is independent of the portfolio that you add it to
• B) depends on market risk premium
• C) depends on risk-free rate of interest
• D) depends on the portfolio that you add it to

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Definitions:

Diversity Dimensions

Various aspects and categories of diversity among people, including race, ethnicity, gender, age, religion, disability, and sexual orientation.

Organisational Leadership

Organisational Leadership is the ability to influence, motivate, and enable individuals to contribute towards the effectiveness and success of the organizations of which they are members.

Multicultural Organisation

Based on pluralism and operates with respect for diversity.

Female Managers

Women who hold management positions within organizations, overseeing operations and making strategic decisions.