David is analysing three exchange traded funds (ETFs) with the following exposures to the three factors in the Fama-French (FF) model: ETF Beta on RM Beta on SMB Beta on HML Expected Return Moon 0.5 -0.2 1.1 10% Jupiter 0 0.7 0 15% Saturn 0.9 0 0 12% Assuming that the risk-free interest rate is 2% p.a.. answer the following: a) What is the risk premium associated with each of the factors in the FF model? [4.5 marks] b) What is the implied expected return-beta relationship prevailing in this economy? [1.5 marks] c) What should be the allocation (%) across the three ETFs and the risk-free asset if you want to create a portfolio with an exposure of 1 to the HML factor? [4 marks]