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Suppose you have a current portfolio of $250,000 composed of two assets: 30% is invested in the risk-free asset RF and 70% in an

   






Suppose you have a current portfolio of $250,000 composed of two assets: 30% is invested in the risk-free asset RF and 70% in an asset with returns that track the market M. You have the following information on the stock market index. a. What is the beta of the portfolio? b. What is the amount in the portfolio after one year? Year Market Index 0 4386 1 4100

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