As we add more uncorrelated stocks to a portfolio where the stocks are held in equal weights, the benefit of diversification is most dramatic ________
A) after 20 stocks have been added
B) when there are more than 500 stocks
C) when there are more than 1,000 stocks
D) at the outset
Answer: D
You might also like to view...
Although it seems obvious that people have different personalities, there has been quite a bit of controversy among scholars in psychology and organizational behavior about the overall importance of dispositions. Describe the two sides of this debate.
What will be an ideal response?
Recent technological changes, particularly those related to social media, drive home the importance of recognizing the interrelationships of publics
Indicate whether the statement is true or false
An egg that is being cooked or a car on the assembly line are examples of which of the following?
a. finished goods b. raw materials c. work in process d. in-transit goods
Which of the following is an example of a recommendation?
A) Institute a wellness program to encourage employees to improve their health by adopting healthy habits. B) Employees who take part in wellness programs have fewer absences. C) A wellness program can be an effective recruiting tool. D) Having a wellness program can lead to reduced employee absenteeism.