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Financial Economics ProblemEfficient Market HypothesisEugene Fama and Burton Malkiel are big proponents that marketsare indeed efficient.If this is the case, explain why a strategy to simply buy anIndex Fund with the lowest possible costs is the best investmentyou could make.How does this tie up with the Market Portfolio on the EfficientPortfolio Frontier developed by Harry Markowitz.In your answer, compare two funds with two fee structures (onehigher than the other) over a period of 10 years. Assume also thesame investment strategies.
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