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You have an equally weighted portfolio that consists of equity ownership in three firms. Firm A is trading at $41 share and has a beta
You have an equally weighted portfolio that consists of equity ownership in three firms. Firm A is trading at $41 share and has a beta of 1.03; Firm B is trading at $15 per share with a beta of 1.59; Firm C is trading at $63 per share with a beta of 0.90. Assume a risk free rate of 4.7% and market return of 6.7%. If each stock has a standard deviation of20% and the stocks have a correlation of 0.30 with each other, your portfolio's expected return is closest to
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