![Efficient frontier with risk-free asset](https://host.easylife.tw/pics/201803/EfficientToDoList/01_EfficientToDoList.png)
Thetangencyportfoliocanbeconsideredasamutualfund(i.e.portfolio)ofthetworiskyassets,wherethesharesofthetwoassetsinthemutualfundare ...,1Portfolioswithoneriskyassetandonerisk-freeasset.Inthissub-section,weconsiderportfoliosofasingleriskyassetwithra...
The Efficient Frontier with Risk
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Therefore,theexistenceofarisk-freelendingandborrowingrateimpliesthatthereisasingleportfolioofriskyassetsthatispreferredtoallother ...
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