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A security has an expected return that is equal to the risk-free rate when: The correlation between its return and the market portfolio return is

A security has an expected return that is equal to the risk-free rate when:

The correlation between its return and the market portfolio return is negative

None of the above

Its return is uncorrelated with the market portfolio return

The correlation between its return and the market portfolio return is less than 1

A security can never have an equilibrium expected return equal to the risk-free ra

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