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Stock with large amount of contribution of risk in a diversified...

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Financial Management
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Stock with large amount of contribution of risk in a diversified portfolio is represented by

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Correct Answer: Option A
Stock with large amount of contribution of risk in a diversified portfolio is represented by high beta and standard deviation. Beta and standard deviation are measures by which a portfolio or fund's level of risk is calculated. Beta compares the volatility of an investment to a relevant benchmark while standard deviation compares an investment's volatility to the average return over a period of time.
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