There are two stocks with the following parameters: F-10% 7, -14% -20% 0, -30% P...
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There are two stocks with the following parameters: F-10% 7, -14% -20% 0, -30% P = -0.5 The risk-free interest rate is 2%. 3. Explain graphically why the proportion of stock B in the Tangency portfolio increases when the interest rate increases. There are two stocks with the following parameters: F-10% 7, -14% -20% 0, -30% P = -0.5 The risk-free interest rate is 2%. 3. Explain graphically why the proportion of stock B in the Tangency portfolio increases when the interest rate increases
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