Combining Uncorrelated Assets Will

question 46

Multiple Choice

Combining uncorrelated assets will

• A)increase the overall risk level of a portfolio.
• B)decrease the overall risk level of a portfolio.
• C)not change the overall risk level of a portfolio.
• D)cause the other assets in the portfolio to become positively related.

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Definitions:

K

Symbol for potassium, a chemical element with atomic number 19, essential for various functions in living organisms.

[HA]

May refer to the concentration of hyaluronic acid in a solution, often mentioned in the context of chemical and biological studies or cosmetics formulations.

K

Symbol for potassium, a chemical element and a key electrolyte in the body.

[H+]

Denotes the concentration of hydrogen ions in a solution, commonly associated with the acidity of a solution.