Examlex
The diagram shows two small diamagnetic spheres, one near each end of a bar magnet. Which of the following statements is true?
Minimum Variance Portfolio
A portfolio constructed to achieve the lowest possible volatility or variability in returns among a set of potential assets.
Standard Deviation
A statistical measure that quantifies the dispersion or variability of a set of data points or investment returns around their mean (average).
Two-asset Portfolio
A portfolio comprising only two assets, used to study the principles of diversification and risk-return trade-off in finance.
Correlation Coefficient
A statistical measure that indicates the extent to which two variables change together, ranging from -1 (perfectly inverse) to +1 (perfectly direct).
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