In addition to perfect markets, what are the underlying assumptions of the Capital Asset Pricing Model (CAPM)?

All of the following assumptions are true or false?

1. Investors are risk-averse--that is, they like reward and dislike risk.

2. Investors hold well-diversified portfolios.

3. All investors have access to the same set of assets.

4. All investors face the same single-period time horizon.

(A) True

(B) False