Consider a portfolio that offers an expected rate of return of 7% and a standard deviation of

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Consider a portfolio that offers an expected rate of return of 7% and a standard deviation of 18%. T-bills offer a risk-free 2% rate of return. What is the maximum level of risk aversion for which the risky portfolio is still preferred to T-bills? p-936

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ISE Investments

ISBN: 9781266085963

13th International Edition

Authors: Zvi Bodie, Alex Kane, Alan Marcus

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