Portfolio Theory" Please respond to the following:
Evaluate the CAPM and the APT in terms of accuracy and determine the model that you believe is more accurate. Provide a rationale for your selection.
Imagine one (1) of your clients has $100,000 to invest. Propose the manner in which you would apply portfolio theory to this scenario. Determine where your client would be on the efficient frontier and if your client’s preference curve would be more vertical or more horizontal. Provide a rationale for your response.