If there are only a few investors who perform security analysis, and all others hold the market

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If there are only a few investors who perform security analysis, and all others hold the market portfolio, M, would the CML still be the efficient CAL for investors who do not engage in security analysis? Why or why not?

Related Book For answer-question

Introduction to Corporate Finance

ISBN: 978-0324657937

2nd edition

Authors: Scott B. Smart, William L Megginson

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Posted Date: Dec 20, 2020 04:30 AM

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If there are only a few investors who perform security analysis, and all others hold the market

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Yes it would If majority investors hold the market portfolio the capital ... View the full answer

Introduction to Corporate Finance

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