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Risk averse individuals will: always choose the lowest risk alternative. always choose the highest return alternative always ignore risk when making choices neither of the

Risk averse individuals will:

always choose the lowest risk alternative.

always choose the highest return alternative

always ignore risk when making choices

neither of the above statements is correct

The CAPM says that the relevant risk of an individual asset is its:

stand-alone risk.

expected return

realized return

portfolio or market risk

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