Minimum Risk Portfolio Refers to a Combination of Assets

question 63

Multiple Choice

Minimum risk portfolio refers to a combination of assets:

• A)and liabilities that reduces the variance of portfolio returns to the lowest feasible level.
• B)that leverages the variance of portfolio returns to the optimal level.
• C)that reduces the variance of portfolio returns to the lowest feasible level.
• D)that reduces the variance of portfolio returns to zero.

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Definitions:

Piaget

Refers to Jean Piaget, a Swiss psychologist known for his pioneering work in child development and his theory of cognitive development stages.

Identity Balance

Whitbourne’s term for a tendency to balance assimilation and accommodation.

Ryff Well-Being Inventory

A psychological assessment tool designed by Carol Ryff to measure multiple dimensions of well-being, including autonomy, personal growth, and purpose in life.

Self-Acceptance

The recognition and acceptance of one's own abilities and limitations.