A portfolio is a group of assets in which investors prefer to deposit. The portfolio gives...

60.1K

Verified Solution

Question

Finance

A portfolio is a group of assets in which investors prefer todeposit. The portfolio gives an opportunity to diversify risk.Diversification of risk does not mean that there will be anelimination of risk as future is always uncertain. With everyasset, there is an attachment of systematic and unsystematic risk.Even an optimum portfolio cannot eliminate market risk, but canonly reduce or eliminate the diversifiable risk.

a. Help Mr. X prospective investor to manage return and risk ofa security portfolio.

b. Discuss the different types of inherent risks.

Answer & Explanation Solved by verified expert
4.2 Ratings (598 Votes)
a Portfolio Return is the weighted average    See Answer
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students