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Question 13 The addition of a risk free security to a fully diversified portfolio: OI must decrease the portfolio's expected return. O II. will have

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Question 13 The addition of a risk free security to a fully diversified portfolio: OI must decrease the portfolio's expected return. O II. will have no effect on the portfolio beta or its expected return. O III. may or may not affect the portfolio beta. O IV. will increase the unsystematic risk of the portfolio. O v. must increase the portfolio beta. Moving to another question will save this response

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