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Mr Kassim wanted to construct a portfolio in which he wanted his risk level is equal to the market risk with beta of 1. He

Mr Kassim wanted to construct a portfolio in which he wanted his risk level is equal to the market risk with beta of 1. He has RM 2 million, how much must he invest in

Saham

Stock

Aset Bebas Risiko

Risk-Free Asset

Beta

0.8

1.13

1.29

Jumlah

Amount (RM)

370,000

640,000

i) Stock C

(3 markah/marks)

ii) Risk Free Asset

(2 markah/marks)

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