Diversification Will Normally Reduce the Riskiness of a Portfolio of Stocks

question 37

True/False

Diversification will normally reduce the riskiness of a portfolio of stocks.

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Definitions:

Subordinate

A subordinate is an individual who works under the direction of someone else, typically answering to a manager or supervisor in the organizational hierarchy.

Intra-Individual Level

Pertaining to processes or variations occurring within a single individual, as opposed to between individuals or in a group.

Competitive Strategy

refers to a business plan crafted to gain an advantage over rivals in the market, often through differentiating products, services, or operational effectiveness.

Subordinate Motivation

The drive or inspiration that employees at lower levels of an organization have to achieve work-related goals.