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(1 pt) Suppose the market consists of three uncorrelated assets with weights w12 W2-3, and variances 2 2 2 2 If the expected rate of

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(1 pt) Suppose the market consists of three uncorrelated assets with weights w12 W2-3, and variances 2 2 2 2 If the expected rate of return of the market is rM 0.12 and the risk-free rate is rF 0.04 use CAPM to find the expected rates of return of the three assets. , T2 , T3

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