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Rachel has three investment options: Stock X, Stock Y and Stock Z. Stock X has an expected return of 14%, Stock Y has an expected

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Rachel has three investment options: Stock X, Stock Y and Stock Z. Stock X has an expected return of 14%, Stock Y has an expected return of 18% and Stock Z has an expected return of 8%. The expected market return is 12%. Assuming all stocks offer the appropriate expected returns according to CAPM, which stock should Rachel purchase to maximize her systematic risk? Stock Z Stock Y Stock X

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