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(1 point) Suppose the rate of return of the market has an expected value of FM = 0.1 and a standard deviation of om =
(1 point) Suppose the rate of return of the market has an expected value of FM = 0.1 and a standard deviation of om = 0.15 Assume the risk free rate is ry =0.02 Now consider an asset with covariance of 0.045 with the market. Then for this asset, B= 2 According to CAPM, he expected return rate of the asset is i = 0.0032 (1 point) Suppose the rate of return of the market has an expected value of FM = 0.1 and a standard deviation of om = 0.15 Assume the risk free rate is ry =0.02 Now consider an asset with covariance of 0.045 with the market. Then for this asset, B= 2 According to CAPM, he expected return rate of the asset is i = 0.0032
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