Question
IMF manages a $30 billion portfolio with an expected return equal to 15% and standard deviation is equal to 22%. The risk-free rate is equal
IMF manages a $30 billion portfolio with an expected return equal to 15% and standard deviation is equal to 22%. The risk-free rate is equal to 5%. One of the clients desires a portfolio standard deviation equal to 15%. Using the capital asset line (CAL), what is the highest expected return for the client?
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Handbook Of The Equity Risk Premium
Authors: Rajnish Mehra
1st Edition
0444508996, 978-0444508997
