Risk of a portfolio can be minimised by which one of the following?
A. Combining two securities having perfect positive correlation in their expected returns
B. Combining two securities having perfect negative correlation in their expected returns
C. Combining two securities having partially positive correlation in their expected returns
D. Combining two securities having partially negative correlation in their expected returns
Answer: Option B
Related Questions on Miscellaneous in Commerce
A. Expenditure for the business
B. Cost for the business
C. Gain for the business
D. None of the above
Which of these items would be accounted for as an expense?
A. Repayment of bank loan
B. Dividend to stock holders
C. The purchase of land
D. Payment of current period rent
Debit the receiver credit the giver rule for:
A. Real a/c
B. Personal a/c
C. Nominal a/c
D. None of these
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