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Suppose investors can invest in a risk-free asset and a risky portfolio formed out of 2 risky assets. Which of the following statements is true

Suppose investors can invest in a risk-free asset and a risky portfolio formed out of 2 risky assets. Which of the following statements is true according to portfolio theory?

The optimal risky portfolio has the highest expected return.

All investors choose the same optimal risky portfolio.

All investors will put 100% of their portfolio wealth in the optimal risky portfolio.

The optimal risky portfolio has the smallest standard deviation.

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