As We Add More Uncorrelated Shares to a Portfolio Where

question 12

Multiple Choice

As we add more uncorrelated shares to a portfolio where the shares are held in equal weights, the benefit of diversification is most dramatic:

• A)after 20 shares have been added.
• B)when there are more than 500 shares.
• C)at the outset.
• D)when there are more than 1 000 shares.

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