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Consider these two investment strategies:Strategy 1(%) Strategy 2(%) Expected return 5 10 Standard deviation 0 3 Highest return 6 12 Lowest return 5 6 Strategy
Consider these two investment strategies:Strategy 1(%) Strategy 2(%) Expected return 5 10 Standard deviation 0 3 Highest return 6 12 Lowest return 5 6 Strategy __________ is the dominant strategy because __________.A. 1; it has the highest reward/risk ratioB. 2; its return is greater than or equal to the return of StrategyC. 2; it has the highest reward/risk ratioD. 1; it is risklessE. Both strategies are equally preferred.
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