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18. A portfolio has a return of 12.5% for the year. The return on the S&P 500 was 16.5%. The portfolio's beta is 1.15 and
18. A portfolio has a return of 12.5% for the year. The return on the S&P 500 was 16.5%. The portfolio's beta is 1.15 and T-bills are yielding 1%. Based on this information, calculate the expected return of the portfolio and graph the SML identifying any unexpected performance (alpha)
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