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A portfolio contains equal investments in 8 stocks. Four have a beta of 1.1; the remainder have a beta of 0.8. What is the portfolio

A portfolio contains equal investments in 8 stocks. Four have a beta of 1.1; the remainder have a beta of 0.8. What is the portfolio beta? Multiple Choice

0.95

Greater than 0.95 because the portfolio is not completely diversified.
portfolio contains equal investments in 8 stocks. Four have a beta of 1.1; the remainder have a beta of 0.8. What is the portfolio beta? Multiple Choice 0.95 Greater than 0.95 because the portfolio is not completely diversified. Less than 0.95 because diversification reduces beta

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