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Which statement is incorrect about portfolios and single stocks Usually portfoli

ID: 2647657 • Letter: W

Question

Which statement is incorrect about portfolios and single stocks

Usually portfolios have better risk return tradeoff than single stocks.

Investors should hold portfolios instead of one single stock in their retirement accounts.

Single stocks always provide better returns because they are riskier.

Single stocks are not necessary to provide higher returns than portfolios.

Usually portfolios have better risk return tradeoff than single stocks.

Investors should hold portfolios instead of one single stock in their retirement accounts.

Single stocks always provide better returns because they are riskier.

Single stocks are not necessary to provide higher returns than portfolios.

Explanation / Answer

Investors should hold portfolios instead of one single stock in their retirement accounts.