Multiple Choice
The figures below show plots of monthly excess returns for two stocks plotted against excess returns for a market index.
-Which stock is likely to further reduce risk for an investor currently holding his portfolio in a well diversified portfolio of common stock?
A) Stock A
B) Stock B
C) There is no difference between A or B
D) You cannot tell from the information given.
Correct Answer:

Verified
Correct Answer:
Verified
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