Which of the Following Statements Is FALSE

question 96

Multiple Choice

Which of the following statements is FALSE?

• A)When the correlation between securities is less than 1, the volatility of the portfolio is reduced due to diversification.
• B)An investor seeking high returns and low volatility should only invest in an efficient portfolio.
• C)Efficient portfolios can be easily ranked, because investors will choose from among them those with the highest expected returns.
• D)When shares are perfectly positively correlated, the set of portfolios is identified graphically by a straight line between them.

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Definitions:

Recombinant Human Erythropoietin

A synthetic form of erythropoietin used to treat anemia, particularly in patients with chronic kidney disease, by stimulating red blood cell production.

Chronic Renal Failure

The gradual loss of kidney function over time, leading to the accumulation of waste products and fluids in the body, which can be life-threatening.

Subcutaneous Injections

A method of administering medication into the fatty layer just below the skin, allowing for slow and sustained absorption of the drug.

Common Law

A legal system based on customs, traditions, and court decisions, rather than written laws.