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  1. J

    Efficient porfolio and well-diversified portfolio.

    I´m not sure if my idea is correct: I understand that an efficient portfolio always is a well-diversificated portfolio but a well-diversificated portfolio could be an efficient portfolio or not. I think that because one of the assumptions for the SML it´s that the portfolios are...
  2. Nicole Seaman

    P1.T1.705. Fama-French three factor model (Bodie's multifactor models continued)

    Learning objectives: Describe properties of well-diversified portfolios and explain the impact of diversification on the residual risk of a portfolio. Explain how to construct a portfolio to hedge exposure to multiple factors. Describe and apply the Fama-French three factor model in estimating...