Why is it not surprising to find that the risk premium on the world market portfolio is

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Why is it not surprising to find that the risk premium on the world market portfolio is lower than the domestic risk premium?
Portfolio
A portfolio is a grouping of financial assets such as stocks, bonds, commodities, currencies and cash equivalents, as well as their fund counterparts, including mutual, exchange-traded and closed funds. A portfolio can also consist of non-publicly...
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Introduction to Corporate Finance

ISBN: 978-0324657937

2nd edition

Authors: Scott B. Smart, William L Megginson

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