2. Suppose that you are managing money for a risk averse client and are considering suggesting Portfolio C, a partfolio of Asset A and Asset B. After numerous rounds of simulation, you bare come to the conclusion that, by investing equally in the two assets, Portfolio C will achieve the best possible Sharpe ratio. Assume a risk free rate of 2 penent. Portfolio expected excess return 0.16 0.14 "A 0.12 0.1 B 0.00 0.06 0.00 0.02 0 005 0.1 0.15 02 0.25 03 9.35 Portfolio standard deviation d. Explain why a set of efficient portfolio selections (ie, dots "*" within the circle) should be excluded when you are considering potential portfolio allocation/selection. (5 pts) Is investing in Portfolio Cthe best solution among all other possible combinations of portfolio choices? Discuss. (5 pts)