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b) You are thinking of adding one of two investments to an already well-diversified portfolio. Security A Expected Return = 14% Standard Deviation of Returns
b) You are thinking of adding one of two investments to an already well-diversified portfolio. Security A Expected Return = 14% Standard Deviation of Returns = 16% Beta = 1.2 Security B Expected Return = 16% Standard Deviation of Returns = 20% Beta = 1.2 If you are a risk-averse investor, justify which one is the better choice
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