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Stocks A and B have the same expected return. Assuming both stocks are priced correctly using the captial asset pricing model, what do you know
Stocks A and B have the same expected return. Assuming both stocks are priced correctly using the captial asset pricing model, what do you know for certain about the risk of these two stocks?
A) They have the same idiosynctratic risk
B) they both have beta of zero
C) they have the same systematic risk
D) they have the same firm specific risk
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