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Question: How do I provide the formula for the capital market line? Consider a market with two assets A and B and a risk-free asset
Question: How do I provide the formula for the capital market line?
Consider a market with two assets A and B and a risk-free asset with return rp = 0.02. An agent has the portfolio weights: 19,0 = 0.5, la, A = 0.3 and 12,B 0.2. The expected return of the portfolio is ppp = 0.06 and the return volatility is opp = 0.025. = =Step by Step Solution
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