Question
Two assets are available for you to form an investment portfolio: the risk-free asset has a rate of return of 5% and the market portfolio
Two assets are available for you to form an investment portfolio: the risk-free asset has a rate of return of 5% and the market portfolio has an expected return of 15%. How much should you invest in the risk-free asset to achieve a total portfolio expected return of 9%?
| 40% | ||
| 50% | ||
| 60% | ||
| 70% |
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Lending Investments And The Financial Crisis
Authors: Elena Beccalli, Federica Poli
1st Edition
1349564982, 978-1349564989
