There are two ways to calculate the expected return of a portfolio: Either calculate the...
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There are two ways to calculate the expected return of a portfolio: Either calculate the expected return using the value and dividend stream of the portfolio as a whole, or calculate the weighted average of the expected returns of the individual stocks that make up the portfolio. Which return is higher? (Select the best choice below.) O A. Neither-both calculations give the same answer. 0 B. Impossible to tell, it depends on the portfolio C. The weighted average expected return of the individual stocks is higher because returns are convex. 0 D. The weighted average expected retum of the individual stocks is higher because retums are concave
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