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Assume That Stock Market Returns Do Not Resemble a Single-Index

Question 61

Multiple Choice

Assume that stock market returns do not resemble a single-index structure.An investment fund analyzes 100 stocks in order to construct a mean-variance efficient portfolio constrained by 100 investments.They will need to calculate ____________ covariances.


A) 45
B) 100
C) 4,950
D) 10,000
E) none of the above

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