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Explain What Makes Someone a "Sophisticated Client

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Explain what makes someone a "sophisticated client."


Definitions:

AT&T Stock

Equity shares of AT&T Inc., a multinational conglomerate holding company and one of the world's largest telecommunications companies.

GM Stock

Equity shares issued by General Motors Company, representing ownership interests in the automaker.

Portfolio

A collection of financial investments like stocks, bonds, commodities, cash, and cash equivalents, including mutual funds and ETFs.

Security Market Line

A graphical representation of the expected return of investments as a function of their risk, showing how different levels of risk correlate with the market's rate of return.

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