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Which portfolio would you choose if you rational investor

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Reference no: EM132735607

Question: You have been approached by two fund managers who are involved in active fund management. First fund manager A claims to deliver an expected return of 18% with a standard deviation of 25% and the other fund manager B claims to deliver an expected return of 21% with a standard deviation of 28%. If the risk free rate in the market is 5%. Which portfolio would you choose if you are like the rational investor?

Reference no: EM132735607

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