The Risk of a Portfolio

question 69

Multiple Choice

The risk of a portfolio

• A)increases as the number of stocks in the portfolio increases.
• B)is usually measured using a statistic called the standard diversification.
• C)is positively related to the average return of the portfolio.
• D)bears no relationship to the average return of the portfolio.

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Definitions:

Moral Boundaries

The limits that define acceptable behavior and values within a society or group.

Labeling Theory

A sociological perspective emphasizing that the labels society applies to individuals or groups significantly influence their social identity and behavior.

Deviant Behaviors

Actions or behaviors that violate social norms or values, ranging from minor infractions to serious crimes.

Structural Strain Theory

A sociological theory that views deviance as the result of a disconnect between societal goals and the means available to achieve them.