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The capital asset pricing model implies that, if the market is efficient and all assets are fairly priced, _______________________________ (A) The most efficient strategy is

The capital asset pricing model implies that, if the market is efficient and all assets are fairly priced, _______________________________

(A) The most efficient strategy is to identify positive alpha securities

(B) The most efficient strategy (one that yields the highest expected return in any given level of risk) is to hold a portfolio consisting of the risk-free assets and the market portfolio

(C) Investors should not invest in in the market portfolio as it is too risky

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