What does this information suggest about the degree

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Reference no: EM132072394

A respected analyst forecasts that the return of the S&P500 index portfolio over rthe coming year will be 10%.

The one year T-Bill rate is 5%. Examination of recent returns of the S&P500 index suggests that the standard deviation of returns will be 18%.

What does this information suggest about the degree of risk aversion of the average investor.

Assumingthat the average portfolio resembles the S&P?

Reference no: EM132072394

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