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Question 10 (1 point) Saved Joe has mean-variance preferences. Portfolio X has a Sharpe ratio of 0.5. Portfolio Y has a Sharpe ratio of 0.7.

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Question 10 (1 point) Saved Joe has mean-variance preferences. Portfolio X has a Sharpe ratio of 0.5. Portfolio Y has a Sharpe ratio of 0.7. Joe does not have access to the risk free asset and must invest 100% of his wealth in either Portfolio X or Y. Which of the statements below is true? Joe might prefer portfolio X over portfolio Y Joe might prefer portfolio Y over portfolio X Portfolio X could have a higher expected return than Portfolio Y All of the above

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