Question: Suppose that a trader with perfect timing ability makes one trading decision-invest 100% in either the market portfolio or the risk-free asset - at the

Suppose that a trader with perfect timing ability makes one trading

Suppose that a trader with perfect timing ability makes one trading decision-invest 100% in either the market portfolio or the risk-free asset - at the beginning of each period. The one-period payoff pattern that the trader would generate is equivalent to that of on the market portfolio. Select one alternative: a call option a put option a futures contract a forward contract

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