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W The primary difference between predicting and inferring is that
Market Portfolio
A theoretical bundle of all possible investments, with each asset weighted by its market capitalization, representing the entire stock market.
Expected Return
The anticipated profit or loss from an investment over a certain period, typically represented as a percentage.
Risk-Free Asset
An investment expected to return its original value without any loss and with absolute certainty, typically associated with government bonds.
Market
A place or system where buyers and sellers interact to trade goods, services, or financial instruments.
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