Which of the following statements regarding investment risk…

Which of the following statements regarding investment risk are correct?   1. Rational investors will form portfolios and eliminate systematic risk. 2. Beta is a measure of systematic, non-diversifiable risk. 3. Rational investors will form portfolios and eliminate unsystematic risk. 4. Systematic risk is the relevant risk for a well-diversified portfolio. 5. Beta captures all the risk inherent in an individual security.

SECTION B: PRACTICAL                                       …

SECTION B: PRACTICAL                                                                                                             QUESTION 2:    Download the document by clicking on the blue button, make the necessary changes, and upload when finished.