Based on the following historical risk, return and correlation, which of the following assets is least likely to be allocated in a portfolio with the investment objective of a required return of 7% per annum and the volatility of the portfolio to be minimised?

The constraints are that no asset can have a negative weight or a weight above 100%.

Assets	Asset 1	Asset 2	Asset 3	Asset 4
Return	4%	6%	8%	10%
Volatility	5%	9%	13%	18%

	Asset 1	Asset 2	Asset 3	Asset 4
Asset 1	1
Asset 2	0.8	1
Asset 3	0.6	0.8	1
Asset 4	-0.2	0.3	0.9	1

Group of answer choices

Asset 1

Not enough information provided to select the asset least likely to be selected in a portfolio

Asset 2

Asset 3

Asset 4