Question: Question 4 ( 2 . 5 points ) Which of the following statements correctly identify significant differences between modern portfolio theory ( MPT ) and
Question pointsWhich of the following statements correctly identify significant differences between modern portfolio theory MPT and behavior finance BF MPT assumes all investors have perfect knowledge of investments while BFassumes investors work with incomplete knowledge MPT assumes investors are averse to losses while BF assumes investors are averse to risk MPT assumes investors price securities heuristically while BF assumes investors price securities rationally MPT assumes new information is quickly priced into the market while BFassumes price adjustments are not immediate and incomplete. and and and and
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