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Assume the risk-free rate is 4 percent. The expected return on the market is 12 percent and it has a standard deviation of 45 percent.

Assume the risk-free rate is 4 percent. The expected return on the market is 12 percent and it has a standard deviation of 45 percent.

Determine the required rate of return necessary for investors to hold an efficient portfolio with a standard deviation of 55 percent.

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