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
Problem 1PS
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Q1. Why is some risk diversifiable and other risk is not (non-diversifiable)?
Q2. Yes or no, are industries that have a high standard deviations (wide fluctuation of the price of the stock) not useful as investments? Beyond answering Yes or no, state the reason behind your choice.
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