Primary purpose and benefit of the asset allocation

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Reference no: EM131628509

What is the primary purpose and benefit of the Asset Allocation ‘AA’ process?

A. Help make finance classes and portfolio management more interesting.

B. Take advantage of diversification wherein all investments are priced for a positive return but do not necessarily deliver the positive returns at the same time, helping to smooth portfolio volatility and reduce portfolio risk.

C. Provide a different / professional meaning for the acronym ‘AA’

Reference no: EM131628509

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