7. What do you mean by capital market line?
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The capital market line (CML) represents portfolios that optimally combine risk and return. ... It is a theoretical concept that represents all the portfolios that optimally combine the risk-free rate of return and the market portfolio of risky assets....
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The Capital Market Line is a graphical representation of all the portfolios that optimally combine risk and return. CML is a theoretical concept that gives optimal combinations of a risk-free asset and the market portfolio
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