From the following four portfolios, choose the one that would generally be considered to be the most diversified.
A) STU common stock, beta .95, correlation to the S&P 500, +.84, VWX common stock, beta .90, correlation to the S&P 500, +.07; YZA common stock, beta .88, correlation to the S&P 500, -.45.
B) ABC common stock, beta 1.20, correlation to the S&P 500, +.82; DEF common stock, beta .90, correlation to the S&P 500, +.91; GHI common stock; beta +.65, correlation to the S&P 500, .56.
C) DCB common stock, beta 1.00, correlation to the S&P 500, +.75; HGF common stock, beta .10, correlation to the S&P 500, +.25; KJI common stock, beta -.50, correlation to the S&P 500 +.50.
D) JKL common stock, beta 1.50, correlation to the S&P 500, +.77; MNO common stock, beta 1.00, correlation to the S&P 500, +.93, PQR common stock, beta .50, correlation to the S&P 500, +.34.
Answer: A