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Please help with this problem. Consider the following properties of the returns of asset P: Asset E(r) P 15% 22% In addition, there exists a

Please help with this problem.

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Consider the following properties of the returns of asset P: Asset E(r) P 15% 22% In addition, there exists a risk-free asset that a return rate of 7%. 1. Plot the capital allocation line for a portfolio that includes the asset P and the risk-free asset. 2. Plot the risk-return indifference curves for a portfolio that has a 55% weight on asset P and 45% weight on the risk-free asset, when the coefficient of risk aversion is a = 2, a = 3, a = 3.5. 3. How risk averse an investor must be for the portfolio that has a 55% weight on asset P and 45% weight on the risk-free asset to be optimal

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