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In the single-index model (not the CAPM), if two firms have the same amount of firm-specific risk they will always have_________. None of the other
In the single-index model (not the CAPM), if two firms have the same amount of firm-specific risk they will always have_________.
None of the other answers is correct.
The same alpha.
The same variance of their stock returns
The same covariance with the market
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