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The risk free rate is 3%. Anthony expects stocks A and B to both return 9% and have correlation of 0.1. The volatility of A

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The risk free rate is 3%. Anthony expects stocks A and B to both return 9% and have correlation of 0.1. The volatility of A is 20% and the volatility of B is 30%. What portfolio is optimal? Buy just stock B which has volatility of 30% Use leverage to buy A so that the volatility is 30% Use leverage to buy a blend of A and B so that the volatility is 30% Not possible to determine which is optimal

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