The return on a portfolio is simply equal to the weighted average return of the securities that comprise it.

Name: The return on a portfolio is simply equal to the weighted average return of the securities that comprise it.
Brand: Quizplus
Rating: 4.8 (46 reviews)

Question

Quizplus · Accepted Answer

This statement is true. The return on a portfolio is calculated as the weighted average of returns of the individual securities that make up the portfolio. The weight of each security is the proportion of the total portfolio value that it represents.

The Return on a Portfolio Is Simply Equal to the Weighted