Multiple Choice
In general, when the correlation coefficient between the returns on two securities is ____, the risk of a portfolio is ____ the weighted average of the total risk of the two individual securities.
A) equal to +1.0; equal to
B) less than +1.0; greater than
C) greater than -1.0; less than
D) None of these are correct
Correct Answer:
Verified
Correct Answer:
Verified
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