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What is the expected return on a portfolio? How can the expected return on a portfolio be manipulated to minimize the risk on that portfolio?
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- What is the expected return on a portfolio? How can the expected return on a portfolio be manipulated to minimize the risk on that portfolio? Justify your answer.Is there a relationship between risk and return in building an effective portfolio?(explain)How do an investment's required rate of return vary with perceived risk? Explain with an example?
- Why does standalone risk differ from portfolio risk? Explain and give examples! Relates your answer with CAPM!How does the creation of a portfolio reduce risk? What type of assets should be included in a diverse portfolio? Why should they be included?What statistical concept do many portfolio managers use to represent a risk when considering investment performance?