Risky portfolio with a standard deviation

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Reference no: EM13928164

Treasury bills are paying a 5% rate of return. A risk-averse investor with a risk aversion of A = 4 should invest entirely in a risky portfolio with a standard deviation of 22% only if the risky portfolio's expected return is at least ______.

A) 6.09%

B) 9.84%

C) 24.36%

D) 14.36%

Reference no: EM13928164

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