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Consider the following two assets whose correlation is -0.3: Asset A has expected gain of 10% and standard deviation of 10%. Asset B has expected

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Consider the following two assets whose correlation is -0.3: Asset A has expected gain of 10% and standard deviation of 10%. Asset B has expected gain 30% and standard deviation of 30%. (c) (10 marks) Explain how would a person choose to invest their fund among assets A, B and C if they were (i)risk-averse, (ii) risk-loving, (iii) risk-neutral. Consider the following two assets whose correlation is -0.3: Asset A has expected gain of 10% and standard deviation of 10%. Asset B has expected gain 30% and standard deviation of 30%. (c) (10 marks) Explain how would a person choose to invest their fund among assets A, B and C if they were (i)risk-averse, (ii) risk-loving, (iii) risk-neutral

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