Ch 7 CAPM Implications 3 Assume CAPM holds. Which of the following statements are correct? Check All That Apply A negative-beta asset can be used for hedging market risk. Stocks with zero betas have expected return equal to the risk-free rate. A security with high volatility and low beta will have lower expected return than the security with low volatility and high beta. The beta of a portfolio comprised of 60% of the fund in the market index and 40% of the fund in T-bills is 0.3. A security with high standard deviation must have high expected return