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ABC traders has an expected return of 15% and standard deviation of 0.8. The market has an expected return of 14% and standard deviation of

ABC traders has an expected return of 15% and standard deviation of 0.8. The market has an expected return of 14% and standard deviation of 16% and beta of 1.0. Risk free is 5%.

According to the assumptions to the CAPM, what happens to the price of ABC shares to restore equilibrium?

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