1. Some diversification benefits can be achieved by combining securities in a portfolio as long as the correlation between the securities is ________
1
Less than 1
Between 0 and 1
Less than or equal to 0
2. Increasing the number of stocks in a portfolio from 10 to 50 would most likely ______
Increase the systematic risk of the portfolio
Increase the unsystematic risk of the portfolio
Decrease the systematic risk of the portfolio
Decrease the variability of returns on the portfolio