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If You Were to Completely Diversify Your Portfolio by Purchasing

question 70

True/False

If you were to completely diversify your portfolio by purchasing a portion of every asset in the investment universe, then the expected return of your portfolio is equal to the risk-free rate.


Definitions:

Electrostatic Discharge

The sudden flow of electricity between two electrically charged objects caused by contact, an electrical short, or dielectric breakdown.

DC Motors

Electric motors that run on direct current electricity, commonly used in various applications from small toys to large vehicles.

Relays

Electrically operated switches used to control circuits.

Fretting

Wear at the contact surfaces of two materials that occurs from repeated cyclical motion or vibration, often seen in electrical connections.

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