If investors want portfolios with small risk (variance), should they look for investments that have positive covariance, have negative covariance, or are uncorrelated? Does a portfolio formed from the
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If investors want portfolios with small risk (variance), should they look for investments that have positive covariance, have negative covariance, or are uncorrelated?
Does a portfolio formed from the mix of three investments have more risk (variance) than a portfolio formed from two?
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