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Under the assumption that the CAPM is valid, which of the statements below is FALSE? A. Assets lying below the Security Market Line (SML) are

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Under the assumption that the CAPM is valid, which of the statements below is FALSE? A. Assets lying below the Security Market Line (SML) are overpriced. B. The slope of the SML is equal to the expected market return m minus the risk- free rate. C. The intercept of the SML is equal to the risk-free rate, Rp. D. Assets that have expected returns lower than the risk-free rate are mispriced. E. All of the above statements are true

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