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If all the financial securities follow simple factor CAPM, which of the following statements is (are) correct? Securities with higher total risks should have higher
If all the financial securities follow simple factor CAPM, which of the following statements is (are) correct?
Securities with higher total risks should have higher required returns.
In equilibrium, all the securities' abnormal returns should be positive.
A security's systematic risk is higher than the market when its beta is larger than one.
Each financial asset should have an identical reward per unit of beta.
In equilibrium, the passive strategy is not efficient.
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