The optimal portfolio is determined by the point of tangency between:
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A) |
the efficient frontier and the individual's utility curve with the highest possible utility. | |
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B) |
a line connecting the risk-free rate and the current market return on the efficient frontier. | |
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C) |
the capital allocation line and the investor's utility curve. | |
The optimal portfolio for each investor is the highest indifference curve that is tangent to the efficient frontier. The optimal portfolio is the portfolio that gives the investor the greatest possible utility.
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发表于 2011-3-24 15:52
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