The Expected Return of the Market Portfolio Is 14% with a Standard

question 19

Multiple Choice

The expected return of the market portfolio is 14% with a standard deviation of 25%.The risk-free rate is 6%.What is the weight of the market portfolio in an efficient portfolio with a standard deviation of 30%?

• A)1.20
• B)0.83
• C)0.20
• D)0.17

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