Question 21 Suppose now an investor is considering one of two investments that...
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Finance
Question 21
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Suppose now an investor is considering one of two investments that are identical in all respects except for systematic risk. If the investor anticipates a fair return for the systematic risk of the security he invests in, he can expect to _____.
earn no more than the Treasury-bill rate on either security.
pay less for the security that has lower risk.
pay less for the security that has higher risk.
earn more if interest rates are lower.
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