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Attempts Keep the Highest 112 9. Conceptualquestions on portfolio and stand-alone risk Hubert holds a $5,000 portfolio that consists of four stocks. His investment in
Attempts Keep the Highest 112 9. Conceptualquestions on portfolio and stand-alone risk Hubert holds a $5,000 portfolio that consists of four stocks. His investment in each stock, as well as each stock's beta, is listed in the following table: Suppose all stocks in Hubert's portfolio were equally weighted. The stock that would contribute the least systematic risk to the portfolio is . Further, if ali of the stocks in the portfolio were ecually woighted, the stock that would have the least amount of unsystematic risk is If the risk-free rate is 6.00% and the market risk premium is 8.50%, then Hubert's portfolio will exhibit a beta of and a required return of
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