cracking true or false question false, efficient, question

clearlycanadian

Individual securities do not lie on the CML or the Markowitz efficient frontier.
true or false?

therecruit

Individual securities do not plot on the CML, entire portfolios plot on the CML. The same applies for the efficient frontier. The CML is a straight line because you can lend and borrow to create an optimal portfolio whereas you cannot on the efficient frontier.

Analti_Calte

sarah, take a good hour of sleep after lunch if possible…i did it and even so i continue to feel very near to burn out mode…not a good prosect for tomorrow…

Iginla2010

but the efficient frontier’s ‘end points’ have to be the assets offering the lowest and highest returns…
I need to STOP!!

tikfed

hmmmm, can’t give a precise answer…individual securities are inefficient “portfolios” that’s the way i see it

tikfed

Thats what I thought..
BUT….wont an individual security that offers the HIGHEST possible return plot on the efficient frontier?