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    Exam 8: Risk and Return Theories: I
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    The Lower the Correlation Between Assets
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The Lower the Correlation Between Assets

Question 22

Question 22

Multiple Choice

The lower the correlation between assets:


A) The lower the portfolio variance.
B) The higher the expected return for a given level of risk.
C) The greater the diversification benefits.
D) a and b only.
E) All of the above.

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