How could an investor, in theory, obtain a portfolio with the same standard deviation of returns and

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How could an investor, in theory, obtain a portfolio with the same standard deviation of returns and a higher expected return relative to one of the efficient portfolios?

a. By combining two efficient portfolios with higher than average correlation.

b. By combining two efficient portfolios with lower than average correlation.

c. By combining the market portfolio with a risk-free asset.

d. By combining the market portfolio with a combination of efficient portfolios.

Related Book For answer-question

Modeling the Dynamics of Life Calculus and Probability for Life Scientists

ISBN: 978-0840064189

3rd edition

Authors: Frederick R. Adler

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Posted Date: Aug 21, 2020 10:31 AM

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How could an investor, in theory, obtain a portfolio with the same standard deviation of returns and

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Expert Answer:

Answer Option C is correct c By combining the market portfolio with a riskfree asset A ... View the full answer

Modeling the Dynamics of Life Calculus and Probability for Life Scientists

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