Suppose that a mutual fund manager has a $15 milicon pertfolio with a beta of 12 . Alio suppose that the risk free rate ir aw acd the market risk. premium is 65 . The monaper expects to receive an additional 55 million, which is to be inveated in a number of new stocks to add to the pactiolo. Atter these itocks are added, the manager nould like the funds required rate of return to be 9%. For notation, let, r represent the required return, let ry represent the risk free rate, let b represens the beta of a groug of stocks, and r irepresent the market return, According to the videc, which equation most diosely describes the secunity market line (SML)\}? r=ry+wn+rnbr=rW+b(rMrE)r=rAr+b(rN+rN)r=rnb(rkrk) Hint: Recall that the marager wants the new resuired rate ef return for the portfolio to remaio at 9 h. Using the equation rou just idensified, and plugging in the relevant informstion, yieids a beta of the portfolio, anter the new atock have been added, of oppreximately True or False: The beta for the partfolio after the stocis have beten absed is the weighted average of the beta before the stocks whare asded and the beta of the new stocks that are being added (meighted as a percentage of the total funds imvessed): False True that the beto of the stocks added to the portfolia must be