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combination of two efficient portfolios

Posted: Fri May 12, 2017 8:41 pm
by son.isfa
Consider a market with n risky assets and a risk free asset. How to prove that, every efficient portfolio is a combination of two efficient portfolios?

Re: combination of two efficient portfolios

Posted: Sat May 13, 2017 7:28 am
by ochotona
When did markets start being efficient? That's news to me.

It is called"The Efficient Market HYPOTHESIS" for good reason. It is not a law.

Re: combination of two efficient portfolios

Posted: Sat May 13, 2017 10:12 am
by Tyler
How do you define "efficient"?