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You compute the optimal risky portfolio to have the expected return of 12% and standard deviation of 20%. The risk free rate is 4%. In

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You compute the optimal risky portfolio to have the expected return of 12% and standard deviation of 20%. The risk free rate is 4%. In the complete portfolio of risk free asset and the optimal risk portfolio, what fraction of his investment will a risk averse investor invest in risky portfolio if his risk aversion index A-3. 0 20 0.40 0.67 80 None of above

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