Under No Circumstance Would Adding an Asset to a Portfolio

question 117

True/False

Under no circumstance would adding an asset to a portfolio increase the risk of the portfolio above the risk of the most risky asset in the portfolio.

---

Definitions:

Algorithm

A step-by-step procedure or formula for solving a problem, often used in computing and mathematical problem-solving.

Proposition

A statement or assertion that expresses a judgment or opinion.

Concepts

Abstract ideas or mental symbols that represent general categories of objects, events, or qualities.

Formal Reasoning

The process of thinking logically and systematically about abstract concepts and problems.