Which of the following statements about the difference between investing in a large portfolio and investing in individual shares is true? Select one: a. For a given level of risk, an investment in a large portfolio will have less return than an investment in a single share. b. For a given level of return, an investment in a large portfolio will have less risk than an investment in a single share. c. For a given level of return, an investment in a large portfolio will have more risk than an investment in a single share. d. We cannot draw any firm conclusions. For a given level of return, Individual shares may have more or less risk than a large portfolio, depending on the individual share and depending on the portfolio
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Which of the following statements about the difference between investing in a large portfolio and investing in individual shares is true?
For a given level of risk, an investment in a large portfolio will have less return than an investment in a single share.
For a given level of return, an investment in a large portfolio will have less risk than an investment in a single share.
For a given level of return, an investment in a large portfolio will have more risk than an investment in a single share.
We cannot draw any firm conclusions. For a given level of return, Individual shares may have more or less risk than a large portfolio, depending on the individual share and depending on the portfolio.
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