A security with a beta of zero is risk free

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Evaluate whether the following statements are ture or false. If it is False. Please explain why and make it correct.

1. The Glass-Steagall act of 1993 separated commercial banking from investment banking.

2. A security with a beta of zero is risk free.

3. If a stock liew above the securities market line, it is overvalued.

4. There is an overwhelming majority of evidence against market efficiency: if you find a profitable trading strategy, you immediately tell the world how to trade.

5. When a risk-free asset is available, the minimum variance portfolio is the optimal portfolio for all risk-averse investors.

Reference no: EM131051234

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