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Basic Question 6 of 16

The risk-aversion coefficient in the utility function is higher for ______.

A. more risk-averse individuals
B. more risky investments
C. investments with higher expected returns

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I am using your study notes and I know of at least 5 other friends of mine who used it and passed the exam last Dec. Keep up your great work!
Barnes

Barnes

Learning Outcome Statements

explain risk aversion and its implications for portfolio selection

CFA® 2024 Level I Curriculum, Volume 2, Module 1.