The correlation coefficient between the returns on a broad index of U.S. stocks and the returns on indexes of the stocks of other industrialized countries is mostly _____, and the correlation coefficient between the returns on various diversified portfolios of U.S. stocks is mostly _____.a. less than .8; greater than .8.b. greater than .8; less than .8.c. less than 0; greater than 0.d. greater than 0; less than 0.
The correlation coefficient between the returns on a broad index of U.S. stocks and the returns on indexes of the stocks of other industrialized countries is mostly _____, and the correlation coefficient between the returns on various diversified portfolios of U.S. stocks is mostly _____.a. less than .8; greater than .8.b. greater than .8; less than .8.c. less than 0; greater than 0.d. greater than 0; less than 0.
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
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The correlation coefficient between the returns on a broad index of U.S. stocks and the returns on indexes of the stocks of other industrialized countries is mostly _____, and the correlation coefficient between the returns on various diversified portfolios of U.S. stocks is mostly _____.
a. less than .8; greater than .8.
b. greater than .8; less than .8.
c. less than 0; greater than 0.
d. greater than 0; less than 0.
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