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The expected annual returns are 15% for investment 1 and 12% for investment 2. The standard deviation of the first investment's return is 10%; the
The expected annual returns are 15% for investment 1 and 12% for investment 2. The standard deviation of the first investment's return is 10%; the second investment's return has a standard deviation of 5%. Which investment is less risky based solely on standard deviation? Which investment is less risky based on coeffinient of variation/ Which is a better measure given that the expected returns of the investments are not the same?
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