You are putting together a portfolio for a client and you are considering investing in a hedge fund with return r and covering an investment horizon of 1 month. You investigate the historical returns and estimate a single index model: rartatArm- ry)te (1) You find the following parameters o = 0.005, 8 = 1.4, Erm] = 0.00625, o? = 0.20-/12. on = 0.12-/12 og ry = 0.00125. 1. The client wants to avoid losses of more than 15% within one month. What is the probability that the loss is more than 15% if you invest all your money in the mentioned portfolio and that its return is normally distributed