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    Exam 11: Return Amcq Risk: the Capital Asset Pricing Model Capm
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    The Market Risk of a Portfolio of Two Stocks Will
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The Market Risk of a Portfolio of Two Stocks Will

Question 77

Question 77

Multiple Choice

The market risk of a portfolio of two stocks will be reduced the most if the securities within that portfolio have a correlation of


A) −1
B) −0.5
C) 0
D) 0) 5
E) 1

Correct Answer:

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