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Anteres and UBS are two equity managed funds with identical betas. However, the shares held in UBS have higher level of specific risks than those

Anteres and UBS are two equity managed funds with identical betas. However, the shares held in UBS have higher level of specific risks than those held in Anteres. According to Capital Asset Pricing Model (CAPM) which fund is expected to generate a higher return? Based on CAPM explain which fund you should invest in?

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