Multiple Choice
According to Portfolio Theory if you do not want to bear much risk:
A) Don't invest in risky assets.
B) Buy a diversified mixture of risky assets and lever your investment by borrowing.
C) Buy a diversified mixture of risky assets and also invest in Government bonds.
D) Invest only in efficient markets.
Correct Answer:

Verified
Correct Answer:
Verified
Related Questions
Q1: If the expected return to a risky
Q2: In a world where riskless borrowing or
Q3: What is meant by the term "umbrella
Q5: Suppose you regress a time-series of
Q6: Consider two portfolios. Portfolio A has an
Q7: Suppose the riskfree rate is 3% and
Q8: If an asset has expected return 12%,
Q9: Which of the following is true about
Q10: If A and B are two risky
Q11: What is the main value or usefulness