$($ Investment Management $)($ Finance$)$

A mutual fund with a beta of $0\mathrm{.}8$ has an estimated rate of return of $14\%.$ If $R_F=5\%$ and you

expect the rate of return on the market portfolio to be $15\%,$

a$.$ Would you invest in the mutual fund?

b$.$ Is the market in equilibrium? If not, contrast the processes that would restore equilibrium

according to CAPM $($capital asset pricing model$)$ and APT $($asset pricing theory$).$