QUESTION 49 Suppose you live in a CAPM world. Market efficiency means: O the expected return of high beta stocks should be higher than the expected return of risk-free assets All stocks should have the same expected returns Stock market return should be equal to bond market return Today's price do not reflect yesterday's information QUESTION 50 Efficient portfolios of N risky securities are portfolios that are selected from those securities with the lowest standard deviations regardless of their returns have the highest risk and rates of return and the highest standard deviations. are formed with the securities that have the highest rates of return regardless of their standard deviations, have the highest rates of return for a given level of risk