Problem 3 ( 5 points): An investor wants to design a \$20M risky portfolio based on two stocks, A and B. The investor's target beta for the portfolio is 1 . Stock A has a beta of 1.5 and an average return of 18%. Stock B has a beta of 0.8 and an average return of 12%. The correlation coefficient between the returns of A and B is .50. The average return of the market is 14% and the risk-free rate of return is 10%. What is the dollar amount that should be invested in each stock? Will this portfolio be over or undervalued relative to the CAPM