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portfolio beta and CAPM (Portfolio beta and CAPM) You are putting together a portlolio made up of four different stocks. However, you are considering Iwo

portfolio beta and CAPM

(Portfolio beta and CAPM) You are putting together a portlolio made up of four different stocks. However, you are considering Iwo possible woightings: a. What is the bets on each portfolio? b. Which portfolio is riskier? c. If the risk-free rate of interest were 3 percent and the market risk premium were 6 percont, What rate of retum would you expect to eam from each of the portfolios? a. The beta on the first portfolio is (Round to three decimal places.) Data table

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