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Memphic Memphic
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6 years ago
Which of the following statements is FALSE?
A) Because all investors should hold the risky securities in the same proportions as the efficient portfolio, their combined portfolio will also reflect the same proportions as the efficient portfolio.
B) When the CAPM assumptions hold, choosing an optimal portfolio is relatively straightforward: it is the combination of the risk-free investment and the market portfolio.
C) Graphically, when the tangent line goes through the market portfolio, it is called the security market line (SML).
D) A portfolio's risk premium and volatility are determined by the fraction that is invested in the market.
Textbook 
Corporate Finance: The Core

Corporate Finance: The Core


Edition: 4th
Authors:
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EgorGruzdevEgorGruzdev
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#1
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6 years ago
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Memphic Author
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6 years ago
Good timing, thanks!
asd454512
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Yesterday
Smart ... Thanks!
amandamraz
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2 hours ago
Brilliant ツ
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