Question: Pierre is trying to maximize his expected return by taking on the most risk possible. which of the investments should earn the highest risk premium?

Pierre is trying to maximize his expected return by taking on the most risk possible. which of the investments should earn the highest risk premium?

Portoflio that has a beta of 1.20. Stock with a beta of 1.38. Bond with a beta of .74. Us treasury bill. Diversified portoflio like s&p 500.

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