Total portfolio hazard is
A. equal to systematic risk plus diversifiable risk
B. equal to systematic risk plus unavoidable risk
C. equal to avoidable risk plus diversifiable risk
D. equal to systematic risk plus no diversifiable risk
Answer: Option A
Solution (By Examveda Team)
Total portfolio hazard is equal to systematic risk plus diversifiable risk. Portfolio risk is a chance that the combination of assets or units, within the investments that you own, fail to meet financial objectives. Each investment within a portfolio carries its own risk, with higher potential return typically meaning higher risk.This Question Belongs to Management >> International Finance And Treasury
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