Suppose that many stocks are traded in the market and that it is possible to borrow at the risk-free rate, rf. The characteristics of two of the stocks are as follows: Stock A B Correlation = -1 Expected Return Standard Deviation 40% 60% 4% 6.5% What should be the equilibrium risk-free rate? Hint: Can a particular stock portfolio be substituted for the risk-free asset? You can first provide your numerical answer. Then provide your steps - if you choose to do so, you can receive partial credit in case your numerical answer is incorrect