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Which if the following is most correct? The slope of the SML is a function of investors' risk aversion. The intercept of the SML is
Which if the following is most correct?
The slope of the SML is a function of investors' risk aversion.
The intercept of the SML is the risk-free rate.
On the SML plot, beta is on the horizontal axis.
The SML plot shows the required rate of return of assets having different betas.
All of the answers are correct.
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