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    Exam 5: The Theory of Portfolio Allocation
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    A Portfolio Consisting of Every Stock Traded on the New
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A Portfolio Consisting of Every Stock Traded on the New

Question 66

Question 66

Multiple Choice

A portfolio consisting of every stock traded on the New York Stock Exchange would have


A) diversified away all risk.
B) diversified away idiosyncratic risk.
C) diversified away market risk.
D) much more risk than a portfolio containing only a few stocks.

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