Which Statement Is Consistent with the Strategy of Diversification in Stock

question 24

Multiple Choice

Which statement is consistent with the strategy of diversification in stock investment?

• A) Buy all stocks in the stock market.
• B) Pick stocks that you believe are undervalued.
• C) Buy a mutual fund of a broad stock market index.
• D) Buy and sell a stock at the same time.

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Definitions:

DSM-5

Used extensively by healthcare experts, the Fifth Edition of the Diagnostic and Statistical Manual of Mental Disorders is the definitive resource for identifying mental health issues.

Personality Disorders

A category of mental disorders characterized by enduring maladaptive patterns of behavior, cognition, and inner experience, exhibited across many contexts and deviating from those accepted by the individual's culture.

Pathological Personality Traits

Enduring, maladaptive patterns of behavior and inner experience that deviate markedly from the expectations of an individual's culture.

Dimensional Model

An approach to categorizing characteristics or disorders across a spectrum, rather than as discrete categories, allowing for degrees of severity.