Question: a. The graph above shows the efficient frontier theory that was developed by Nobel Laurate, Harry Markowitz, way back in 1952.Briefly explain the risk-return profile

a. The graph above shows the efficient frontier theory that was developed by Nobel Laurate, Harry Markowitz, way back in 1952.Briefly explain the risk-return profile for risk-averse investors with regard to portfolio efficient frontier theory (4 marks).

b. Critically analyse the Modigliani &Miller (MM) Theorem of Capital structure and Pecking Order Theory of Capital Structure (4 marks)

a. The graph above shows the efficient frontier theory that was developed

Expected Returns Efficient Frontier TH Risk (Standard Deviation)

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