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2 years ago

The cal provided by combinations of 1-month t-bills and a broad index of common stocks is called the __________.

Social Studies

1 answer:

lakkis [162]2 years ago

6 0

The cal provided by combinations of 1-month t-bills and a broad index of common stocks is called the CML.

<h3>What is broad index?</h3>

A broad-based index is used to benchmark the performance of a significant group of stocks chosen to represent the greater stock market. Investing in funds that track wide indices can diversify a portfolio.

As well as the S&P 500 and NASDAQ Composite, the Russell 3000 and NASDAQ Composite are two instances of broad-based indices. A broadly diversified index fund is a mutual fund or exchange-traded fund that follows the S&P 500 Index.

Thus, it is a broad index.

For more details about broad index, click here:

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