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Risky asset P (an index fund) and risk-free asset F (T- Bill), form a complete portfolio C using P and F P: E(rP) = 15%,
Risky asset P (an index fund) and risk-free asset F (T- Bill), form a complete portfolio C using P and F P: E(rP) = 15%, s(rP) = 22% F: rF = 7%, s(rF) = 0
What if the borrowing rate is 10%?
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