Question
Consider the following statement: The capital market line (CML) is a special case of the capital allocation line (CAL) where the portfolio of the risky
Consider the following statement: "The capital market line (CML) is a special case of the capital allocation line (CAL) where the portfolio of the risky asset is the market portfolio." Do you agree with this statement? Critically evaluate it in light of the lessons we learn from the CAPM.
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Fundamentals of Managerial Economics
Authors: Mark Hirschey
9th edition
324584830, 978-0324588781, 032458878X, 978-0324584837
