True or False: Increasing the number of stocks in a portfolio reduces market risk.
A) Tr...
Business, 17.03.2020 21:08 sanchezp0821
True or False: Increasing the number of stocks in a portfolio reduces market risk.
A) True
B) False
Consider two stock portfolios. Portfolio A consists of four different stocks from firms in different industries. Portfolio B consists of 10 different stocks, also from firms in different industries. The return on Portfolio A is likely to be 1) (MORE or LESS) volatile than that of Portfolio B.
Suppose a stock analyst recommends buying stock in the following companies:
Company Industry
Toyonda Automotive
Saalvo Automotive
GMW Automotive
Honsubishi Automotive
Shexxon Oil and gas
Mobron Oil and gas
Airing Aircraft
Boebus Aircraft
Goohoo Technology
Pherk Pharmaceutica
2) Each of the following portfolios contains four of the stock picks. Which portfolio is the least diversified?
A) Toyonda, Honsubishi, Boebus, Airing
B) Boebus, Airing, Shexxon, Mobron
C) Pherk, Airing, Goohoo, Shexxon
D) Toyonda, Saalvo, GMW, Honsubishi
Answers: 1
Another question on Business
Business, 21.06.2019 19:10
Maldonia has a comparative advantage in the production of , while lamponia has a comparative advantage in the production of . suppose that maldonia and lamponia specialize in the production of the goods in which each has a comparative advantage. after specialization, the two countries can produce a total of million pounds of lemons and million pounds of coffee.
Answers: 3
Business, 21.06.2019 20:30
What does the phrase limited liability mean in a corporate context?
Answers: 2
Business, 22.06.2019 20:00
Which of the following statements is true of the balanced-scorecard? a. it is a more or less a one-dimensional metric of measuring competitive advantages of a firm. b. it is one of the traditional approaches of measuring firm performance. c. its primary focus is to base a firm's strategic goals entirely on external performance dimensions. d. it attempts to provide a holistic perspective on firm performance.
Answers: 1
Business, 22.06.2019 21:20
White truffles are a very prized and rare edible fungus that grow naturally in the countryside near alba, italy. suppose that it costs $200 per day to search for white truffles. on an average day, the total number of white truffles (t) found in alba is t = 20x − x 2 , where x is the number of people searching for white truffles on that day. white truffles can be sold for $100 each. if there is no regulation, how many more people will be searching for white truffles than the socially optimal number?
Answers: 1
You know the right answer?
Questions
Computers and Technology, 24.12.2020 16:40
Business, 24.12.2020 16:40
Chemistry, 24.12.2020 16:40
Biology, 24.12.2020 16:40
