Which statement about portfolio diversification is correct? a. Proper diversification can reduce or eliminate systematic risk. b. Diversification reduces the portfolio’s expected return because it...

Which statement about portfolio diversification is correct?
a. Proper diversification can reduce or eliminate systematic risk.
b. Diversification reduces the portfolio’s expected return because it reduces a portfolio’s total

risk.
c. As more securities are added to a portfolio, total risk typically can be expected to fall at a decreasing rate.
d. The risk-reducing benefits of diversification do not occur meaningfully until at least 30

individual securities are included in the portfolio.