Assumption of the capital asset pricing model

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Reference no: EM131581844

Which of the following is not an assumption of the capital asset pricing model (CAPM)?

All investors can borrow or lend money at the risk-free rate of return.

Capital markets are in equilibrium.

All investors have identical expectations about expected returns, standard deviations, and correlation coefficients for all securities.

Transaction costs are the same for all investors

Reference no: EM131581844

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