Which Statement Is Not True Regarding the Capital Market Line

question 69

Multiple Choice

Which statement is not true regarding the capital market line (CML) ?

• A)The CML is the line from the risk-free rate through the market portfolio.
• B)The CML is the best attainable capital allocation line.
• C)The CML is also called the security market line.
• D)The CML always has a positive slope.

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Definitions:

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