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Using the following type of assets (cash, stocks, 401K, 529, and Certificate of Deposit )according to classical financial theory, we are risk-averse investors and demand

Using the following type of assets (cash, stocks, 401K, 529, and Certificate of Deposit )according to classical financial theory, we are risk-averse investors and demand higher rewards in order to take on more risk. Estimate the risk-return relation and discuss what you see with reference to debt vs equity as well as investor psychology.

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