You Are Considering Investing in One of the These Three

Multiple Choice

You are considering investing in one of the these three stocks: $\begin{array}{ccc}\text { Stock } & \text { Standard Deviation } & \text { Beta } \\ \mathrm{A} & 20 \% & 0.59 \\\mathrm{~B} & 10 \% & 0.61 \\\mathrm{C} & 12 \% & 1.29\end{array}$
If you are a strict risk minimizer, you would choose Stock ____ if it is to be held in isolation and Stock ____ if it is to be held as part of a well-diversified portfolio.

A) a; b.
B) b; a.
C) c; a.
D) c; b.
E) a; a.