Technical_Analysis_page_601

Technical | Analysis page 601 | https://thedailydialectics.com/pdfs/economics/Technical_Analysis/Technical_Analysis.pdf

572 Part Vill System Testing and Management uncorrelated risk to that of one-third the risk of a single stock. A 16-stock portfolio can reduce uncorrelated risk to one-fourth that of a single stock. The relationship is based on the inverse square root of the number of stocks in the portfolio. As…