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A portfolio with a beta of 1.06 a. is slightly more risky than the overall market. b. is 6% more risky than a risk-free asset.

A portfolio with a beta of 1.06

a.

is slightly more risky than the overall market.

b.

is 6% more risky than a risk-free asset.

c.

has less risk than the lowest risk security held within that portfolio.

d.

is 6% less risky than the overall market.

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