What Is the Expected Return on a Portfolio That Is

question 127

Multiple Choice

What is the expected return on a portfolio that is equally-weighted amongst A, B, and the risk-free asset? The return on the risk-free asset is 4%.

• A) 8.9%
• B) 9.3%
• C) 10.1%
• D) 11.8%
• E) 13.8%

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Definitions:

Alternative Therapies

Treatments that are used instead of standard medical treatments. These can include herbal remedies, acupuncture, and massage therapy.

Chronic Headaches

Recurrent headaches occurring over a period of time, often causing significant discomfort or disability.

Acupuncture

A traditional Chinese medical practice using fine needles inserted at specific points on the body to relieve pain or to treat various health conditions.

Homeopathic Medications

Remedies used in homeopathy, a form of alternative medicine based on the principle of treating "like with like," often using highly diluted substances.