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QUESTION 3 A risk-averse investor would prefer which portfolio in the following? Stock - X has an expected risk premium of 15% and a standard

QUESTION 3

  1. A risk-averse investor would prefer which portfolio in the following?

    Stock - X has an expected risk premium of 15% and a standard deviation of 0.25

    Stock - Y has an expected risk premium of 10% and a standard deviation of 0.15

    Stock - Z has an expected risk premium of 10% and a standard deviation of 0.2

    Stock - W has an expected risk premium of 15% and a standard deviation of 0.2

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