The total number of variance and covariance terms in portfolio is N². How many of these would be (including non-unique) covariance's? A) N B) N² B) N²- N C) N²- N/2

Name: The total number of variance and covariance terms in portfolio is N 2 . How many of these would be (including non-unique) covariance's? A) N B) N 2 B) N 2 - N C) N 2 - N/2
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The total number of terms is N^2, and the number of variance terms (which are the diagonal elements) is N. Therefore, the number of covariance terms is N^2 - N.

The Total Number of Variance and Covariance Terms in Portfolio