Assume the risk-free rate is 4%. you are financial advisor, and must choose one of the funds below to recommend to each of your clients. Whichever fund you recommend, your clients will then combine it with risk-free borrowing and lending depending on their desired level of risk.

Expected Return Volatility Fund A 10% 10% Fund B 15% 22% Fund C 6% 2%

a. Which fund would you recommend to a client seeking the highest possible expected return with a maximum volatility of 22%? b. Which fund would you recommend to a client seeking the highest possible expected return with a maximum volatility of 22%? c. Which fund would your recommend without knowing your clients risk preference?