The slope of the CML (Capital Market Line) is the:
Select one:
a. risk premium for the market portfolio.
b. risk-free rate.
c. standard deviation of the market portfolio.
d. market price of risk for efficient portfolios.
The slope of the CML (Capital Market Line) is the:
Select one:
a. risk premium for the market portfolio.
b. risk-free rate.
c. standard deviation of the market portfolio.
d. market price of risk for efficient portfolios.
What do you think the correct answer is?
Why?