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An investor has preferences over portfolios that can be expressed as a function of expected return (m) and portfolio variance (s ) only: U(n, s

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An investor has preferences over portfolios that can be expressed as a function of expected return (m) and portfolio variance (s ) only: U(n, s ) = m-0.8s . The risk free rate of return is 3% and the average return on the market index is 8%. The standard deviation of the market index is 30%. What is the optimal portfolio for the investor

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