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Within the framework of the Capital Asset Pricing Model, consider stocks A and B. Asset A's is strictly bigger than asset B's . Moreover, the
Within the framework of the Capital Asset Pricing Model, consider stocks A and B.
Asset A's is strictly bigger than asset B's .
Moreover, the expected market return exceeds the risk-free rate by 3%.
Which of the two assets has a higher expected return?
the expected return for both assets is the same.
Asset A
Asset B
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