This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: What should you expect to happen if you randomly select stocks and add them to your portfolio? (Read 11 times)

desireelg_7

  • Full Member
  • ***
  • Posts: 146
on: Aug 7, 2023

Question 1

What is the effect on portfolio beta of a smaller number of assets in a portfolio and a shorter time period?

◦

It is less stable.


◦

It is more stable.


◦

It is more consistent.


◦

It is less consistent.



Question 2

What should you expect to happen if you randomly select stocks and add them to your portfolio?

◦

This will maximize the portfolio’s expected rate of return.


◦

This will reduce the portfolio’s market risk but not its unsystematic risk.


◦

This will reduce the portfolio’s unsystematic risk.


◦

This will reduce the portfolio’s beta coefficient and thus its market risk.

Financial Management: Theory and Practice ¦ Brigham, Ehrhardt, Gessaroli, Nason ¦ 4th Edition
Buy Test-Bank


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by desireelg_7 on Aug 7, 2023

Rcfelber

  • Full Member
  • ***
  • Posts: 151
Reply #1 on: Aug 7, 2023
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
Answer Preview
Only 39% of students answer this correctly


desireelg_7

  • Member
  • Posts: 146
Reply 2 on: Aug 7, 2023
Gracias!

upturnedfurball

  • Member
  • Posts: 334
Reply 3 on: Yesterday
YES! Correct, THANKS for helping me on my review

« previous next »
 

Did you know?

Malaria mortality rates are falling. Increased malaria prevention and control measures have greatly improved these rates. Since 2000, malaria mortality rates have fallen globally by 60% among all age groups, and by 65% among children under age 5.

Did you know?

In 1885, the Lloyd Manufacturing Company of Albany, New York, promoted and sold "Cocaine Toothache Drops" at 15 cents per bottle! In 1914, the Harrison Narcotic Act brought the sale and distribution of this drug under federal control.

Did you know?

In 1844, Charles Goodyear obtained the first patent for a rubber condom.

Did you know?

Parkinson's disease is both chronic and progressive. This means that it persists over a long period of time and that its symptoms grow worse over time.

Did you know?

Adolescents often feel clumsy during puberty because during this time of development, their hands and feet grow faster than their arms and legs do. The body is therefore out of proportion. One out of five adolescents actually experiences growing pains during this period.

This chart illustrates the “drip down” model of government. In this, politics is formed by the soc This chart illustrates the “drip down” model of government. In this, politics is formed by the soc
Select the Preliminary Code(s) Select the Preliminary Code(s)
Select Signs and Symptoms of Feeding and Eating Disorders Select Signs and Symptoms of Feeding and Eating Disorders
Select Signs and Symptoms of Feeding and Eating Disorders Select Signs and Symptoms of Feeding and Eating Disorders
How does PCA reduce the dimension of a statistical problem? How do you select the reduced ... How does PCA reduce the dimension of a statistical problem? How do you select the reduced ...
A portfolio earned -13%, 18%, 5%, 24%, and -5% in five successive years. What was the ... A portfolio earned -13%, 18%, 5%, 24%, and -5% in five successive years. What was the ...
Video: Functional zones in a mitochondrion

For a complete list of videos, visit our video library