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The market return is 10%, the return on the SMB portfolio (r SMB ) is 3.2%, and the return on the HML portfolio (r HML
The market return is 10%, the return on the SMB portfolio (rSMB) is 3.2%, and the return on the HML portfolio (rHML) is 4.7%. If ai = 0, bi = 1.2, ci = -0.4, and di = 1.3, what is the stock's predicted return?
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