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Assume you have a portfolio with the following data: Portfolio Beta 1.0 Assume Expected risk free rate (r RF ) 3% Expected market return 9%
Assume you have a portfolio with the following data: | |||
Portfolio Beta | 1.0 | ||
Assume | |||
Expected risk free rate (rRF) | 3% | ||
Expected market return | 9% | ||
Portfolio return? |
1- greater (>) than expected market return. |
2- equal(=) toexpected market return. |
3- smaller (<) than expected market return. |
4- cannot be determined. |
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