Question: e) How does an investor select an optimal portfolio? Explain the role of an investor's preference in selecting an optimal portfolio. f) Explain the critical

 e) How does an investor select an optimal portfolio? Explain the

e) How does an investor select an optimal portfolio? Explain the role of an investor's preference in selecting an optimal portfolio. f) Explain the critical role of the correlation between assets in determining the potential benefits from diversification. g) What have been the major impediments to applying the mean-variance framework in practice? e) How does an investor select an optimal portfolio? Explain the role of an investor's preference in selecting an optimal portfolio. f) Explain the critical role of the correlation between assets in determining the potential benefits from diversification. g) What have been the major impediments to applying the mean-variance framework in practice

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