What is the range of risk aversion

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Question - Suppose that the borrowing rate that your client faces is 11%. Assume that the S&P 500 index has an expected return of 16% and standard deviation of 29%, that rf = 5%.

What is the range of risk aversion for which a client will neither borrow nor lend, that is, for which y= 1?

Reference no: EM132184136

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