Multiple Choice
Alexis has inherited $120,000 from her grandmother's estate. She has decided to invest $10,000 in each of 12 different industries. Because she has lower than average risk tolerance, she carefully seeks out stocks so that her portfolio will have a weighted average beta of .80.
A) Alexis is using traditional portfolio management techniques.
B) Alexis is using modern portfolio management techniques.
C) Alexis is using a combination of modern and traditional portfolio management techniques.
D) Alexis seems to be unaware of modern portfolio management techniques.
Correct Answer:
Verified
Correct Answer:
Verified
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