[Answered] How is the optimal degree of diversification of a portfolio ...

This topic contains a solution. Click here to go to the answer

Author Question: How is the optimal degree of diversification of a portfolio ... (Read 32 times)

mrsjacobs44

Hero Member
Posts: 500

on: Jun 30, 2018

How is the optimal degree of diversification of a portfolio determined?

Question 2

Value can be added by outsourcing.
Indicate whether the statement is true or false

Need homework help now?

Ask unlimited questions for free

Ask a Question

Marked as best answer by a Subject Expert

pocatato

Sr. Member
Posts: 333

Reply #1 on: Jun 30, 2018

Answer to Question 1

The diversification of an investment portfolio in most of the situation reduces the investor's risk. The optimal degree of diversification will differ depending on the relative values the investor places on risk and return.

Answer to Question 2

True

mrsjacobs44

Member
Posts: 500

Reply 2 on: Jun 30, 2018

Wow, this really help

sailorcrescent

Member
Posts: 334

Reply 3 on: Yesterday

TYSM

« previous next »

Did you know?

Urine turns bright yellow if larger than normal amounts of certain substances are consumed; one of these substances is asparagus.

Did you know?

About 3.2 billion people, nearly half the world population, are at risk for malaria. In 2015, there are about 214 million malaria cases and an estimated 438,000 malaria deaths.

Did you know?

Before a vaccine is licensed in the USA, the Food and Drug Administration (FDA) reviews it for safety and effectiveness. The CDC then reviews all studies again, as well as the American Academy of Pediatrics and the American Academy of Family Physicians. Every lot of vaccine is tested before administration to the public, and the FDA regularly inspects vaccine manufacturers' facilities.

Did you know?

Cutaneous mucormycosis is a rare fungal infection that has been fatal in at least 29% of cases, and in as many as 83% of cases, depending on the patient's health prior to infection. It has occurred often after natural disasters such as tornados, and early treatment is essential.

Did you know?

Always store hazardous household chemicals in their original containers out of reach of children. These include bleach, paint, strippers and products containing turpentine, garden chemicals, oven cleaners, fondue fuels, nail polish, and nail polish remover.