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The Vanguard Group, an Investment compary, reviews portfolios of its clients Klint Espi and Neord Kowatz, who have horogeneous expectations aboutthe risk and return of

The Vanguard Group, an Investment compary, reviews portfolios of its clients Klint Espi and Neord Kowatz, who have horogeneous expectations aboutthe risk and return of the assets that form optimal risky portfolio Kinsesot selecisa cortioto wants> invested in recoltce securites and loa kivesteo in the oooma raky poetione Neord Kowatz holds a leveraged portfolio, having borrowed to invest 120% of her portfolio equity value in the optimal risky portfolio.Regarding their preferences between risk and return and their indifference curves, it is most locey that:Klint Espi requires higher compensation per unit of risk taken than Neord Kowatz does.Kint Espi is wiling to take on more risk to increase has expected portiono return than tveord KowatzNeoro Kowatzs indifference curves are flatter than Klint Esor's

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