Which one of the following statements is false?
Companies, which are not sensitive to the economic cycles, are referred to as defensive companies.
The Fama French 3-factor model expands on the capital asset pricing model by adding size risk and value risk factors to the market risk factors.
If the correlation between two stocks is -1.0, it means that the prices of the two stocks move completely in tandem to their average prices.
If the correlation between two stocks is +1.0, it means that the prices of the two stocks move completely in tandem to their average prices.
Hedging balance out the positive stock in your portfolio helps to manage risks.