asked 207k views
1 vote
Because investors can eliminate unsystematic risk​ "for free" by diversifying their​ portfolios, they​ ________.

a. do not require a credit spread

b. are indifferent about credit spread and risk premium

c. require a risk premium for bearing it

d. do not require a risk premium for bearing it

1 Answer

5 votes

D. do not require a risk premium for bearing it

answered
User TsReaper
by
7.5k points
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