What is the typical relationship between the standard deviation of an individual common stock and the standard deviation of a diversified portfolio of common stocks?
a. the individual stock's standard deviation will be higher.
b. there is no way to predict this relationship.
c. the individual stock's standard deviation will be lower.
d. the standard deviations should be equal.

Option A, The individual stock's standard deviation will be higher

Explanation:

The natural variance is a statistical measure of how much a ideals set changes or disperses. A lower standard deviation shows that the values appear to be similar to the mean, whereas a higher standard deviation demonstrates that these values vary over a larger range.

The higher the standard deviation, the more costly the investment will be.

This is the basic premise of the bulk of trading practices follow a pattern of probability distribution while using standard deviation in order to measure instability in the share market.

In a standard deviation, person values dip below or above 68 percent of the time within the same normal distribution of the average. Values are 95 percent of the time under two standard deviations.

start by isolating the variable on one side by adding 43w^2 to both sides.   the equation will read:

25w^2+5=0

*subtract 5 from both sides*

25w^2=-5

*divide both sides by 25*

w^2=-1/5

*take the square root of both sides*

w=√(-1/5)

the square root of -1 is i.   the square root of 5 remains √5

the answer is i/√5.

hope this

answer; only identify and interpret trends in the marketplace;