Which one of the following correlation coefficients can provide the greatest diversification benefit? Multiple Choice: -0.5...

Question

Question

Which one of the following correlation coefficients can provide the greatest diversification benefit?

Multiple Choice: -0.5

-1.0

1.0

0.5

0.0

business finance

Answer 1

Answer #1

A. -1.0

-1.0 correlation coefficient can provide the greatest diversification benefit.

Answer 2

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