3009. According to Markowitz, an efficient portfolio is one that has the_________________.

largest expected return for the smallest level of risk
largest expected return and zero risk
largest expected return for a given level of risk
smallest level of risk
✅ The correct answer is C.
According to Markowitz, an efficient portfolio is one that has the largest expected return for a given level of risk. This theory was pioneered by Harry Markowitz in his paper “Portfolio Selection,” published in 1952 by the Journal of Finance.

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