1. What is insider trading?
a) A HIGHLY ILLEGAL AND UNETHICAL METHOD OF TRADING STOCKS
b) A TRANSACTION THAT INVOLVES PRIVATE KNOWLEDGE ABOUT A COMPANY AND ITS STOCKS AND SECURITIES
c) A TRANSACTION THAT ALWAYS VIOLATES FIDUCIARY RESPONSIBILITY
2. What happens when an investor over-diversifies?
a) THE PORTFOLIO HAS MANY SMALL INVESTMENTS AND HAS DIFFICULTY BEATING THE MARKET
b) HIS PORTFOLIO NEVER BEATS THE S&P500
c) HIS PORTFOLIO BECOMES VERY VOLATILE
d) THEY CREATE HIGH-RISK SCENARIOS