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Which of the following are accurate depictions related to the Capital asset Pricing Model: Assets which lie on the Security Market Line are accurately priced
Which of the following are accurate depictions related to the Capital asset Pricing Model:
- Assets which lie on the Security Market Line are accurately priced to the risk level;
- Assets which lie above the Security Market Line are considered under valued and are opportunities to achieve strong risk-related returns;
- Assets which lie beneath the Security Market Line are considered over valued and are investments providing undesirable risk-related returns;
- Risks measured on the Security Market Line are limited to only Systematic Risks to the Market Portfolio;
- Only b and c
- a, b, c and d
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