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Author Question: Investing in Coke and Pepsico would be an example of (Read 83 times)

lbcchick

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Question 1

The objective of diversification in an investment portfolio is


◦ to make sure you do not have all your eggs in one basket.
◦ to eliminate non-systematic or company specific risk.
◦ to eliminate systematic portfolio risk.
◦ to hold a lot of strong growth stocks.

Question 2

Investing in Coke and Pepsico would be an example of


◦ highly correlated stocks.
◦ investing in stocks that were not correlated.
◦ diversifying by investing in both rather than one or the other.
◦ investing in international growth stocks.


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Marked as best answer by lbcchick on Apr 14, 2019

ngr69

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lbcchick

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Reply 2 on: Apr 14, 2019
Great answer, keep it coming :)


TheNamesImani

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Reply 3 on: Yesterday
:D TYSM

 

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