Schweser Practice Exam 1 - Afternoon Session #109

CFA Level II Portfolio Management
#1

Statement says that - A portfolio to the left of the efficient frontier is not attainable while a portfolio to the right of the efficient frontier is inefficient.

Not surprised that this statement is true but if you include the risk-free asset then you could construct a portfolio to the left of the efficient frontier.

I should probably just ignore and memorize but it seems inconsistent and unclear.

#2

easy to remember if you think anything to the left of the tangent, it is possible to get higher returns for the same risk. you cant do this to the right of the tangent.

#3

but part of the tangent is left of the efficient frotier … right?