Q2a: You own two risky assets, both of which are correctly priced and thus sit on the security market line. Asset A has an expected return of 12% and a beta of 0.8. Asset B has an expected return of 18% and a beta of 1.4. If your portfolio beta is the same as that of the market portfolio, what proportion of your funds are invested in asset A? capital asset pricing model (CAPM) is and the pros & cons of formance.

Q2a: You own two risky assets, both of which are correctly priced and thus sit on the security market line. Asset A has an expected return of 12% and a beta of OS. Asset B has an expected return of 18% and a beta of 1.4. If your portolio beta is the same as that of the market portfolio, what proportion of your funds are invested in asset A