The table below provides information on two individual risky assets A and B, the market portfolio M and the risk-free asset F. Assume that the CAPM holds.

Asset	Expected Return	Standard deviation
A	20%	60%
B	10%	20%
M	14%	8%
F	4%	0%

If you wish to construct a portfolio with expected return of 12% and are considering four (4) ways this might be done:

1) Invest in A and B

2) Invest in A and F

3) Invest in M and F

4) Invest in B and M

Without doing any calculations, explain which option will be preferred.