The Sharpe-Optimal Portfolio Will Be the Investment Opportunity Set Which

question 39

Multiple Choice

The Sharpe-optimal portfolio will be the investment opportunity set which lies on a straight line that has which of the following characteristics?

• A)the flattest slope when the line intersects the vertical axis at the risk-free rate
• B)the steepest slope when the line intersects the vertical axis at the risk-free rate
• C)the steepest slope when the line intersects the vertical axis at the origin
• D)the flattest slope when the line intersects the vertical axis at the market rate
• E)the steepest slope when the line intersects the vertical axis at the market rate

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Definitions:

Funding Organization

An entity that provides financial support for projects, programs, or individuals.

Grant Proposal

A written request submitted to an entity or organization seeking funding for a project or initiative, outlining the importance and implementation plan.

Goal Statement

A clear and specific description of desired achievements or objectives, often used in planning or motivation.

Causes

refers to principles, aims, or movements that people support or fight for, especially in the realm of social or political issues.