Question

What is optimal complete portfolio?​

Answer 1

$\huge{\underline{\underline{\mathfrak{Answer}}}}$

➡️The optimal risky asset portfolio is at the point where the CAL is tangent to the efficient frontier.

➡️This portfolio is optimal because the slope of CAL is the highest, which means we achieve the highest returns per additional unit of risk.

Answer 2

Answer:

◆The optimal risky asset portfolio is at the point where the CAL is tangent to the efficient frontier.

◆This portfolio is optimal because the slope of CAL is the highest, which means we achieve the highest returns per additional unit of risk.

Explanation: