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Assume a world with two risky assets ( R 1 and R 2 ) . R 1 has an expected rate of return of 1

Assume a world with two risky assets (R1 and R2). R1 has an expected rate of return of 10% and standard deviation of 20%. R2 offers an expected return of 8% but has a standard deviation of 15%.The risk-free rate is 5%. Using Sharpe ratios explain if the following statement is true or false: A risk averse investor would prefer R2 over R1
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