Each point on the efficient frontier graph associated with the Markowitz portfolio model is the
A)maximum possible risk for the given return.
B)minimum possible risk for the given return.
C)maximum return for the least risk.
D)minimum diversification for the least risk.

Question

Quizplus · Accepted Answer

The efficient frontier graph in the Markowitz portfolio model represents the minimum possible risk for a given return. Therefore, option B is the correct choice. Options A, C, and D do not accurately describe the relationship between risk and return on the efficient frontier graph.

Each Point on the Efficient Frontier Graph Associated with the Markowitz