If an investor can invest in cash and only one risky portfolio, which risky portfolio should he select? The risk-free interest rate is 1.8% per year. Portfolio Expected return 9.0% 8.6% 8.8% 9.4% 9.2% 1 2 3 4 5 Variance 188.3%% 214.7%% 225.4%% 194.2%% 206.3%%

If an investor can invest in cash and only one risky portfolio, which risky portfolio should he select? The risk-free interest rate is 1.8% per year