Q228
Which of the following are incorrect?1. Mutuality means funds from various individuals are combined.2. Diversification means spreading out funds to various destinations.
A.
1 is correct
B.
2 is correct
C.
Both A & B
D.
None of the above is correct
AnswerAnswer: Option D
Solution
Answer: Option D
Solution:
Mutuality means flow of resources from many to one. Diversification is a risk management technique that mixes a wide variety of investments within a portfolio.