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You own a portfolio equally invested in a risk-free asset and two risky stocks. If one of the stocks has a beta of 1.20, while

You own a portfolio equally invested in a risk-free asset and two risky stocks. If one of the stocks has a beta of 1.20, while the portfolio beta is equal to the stock market beta, what must the beta be for the other risky stock in the portfolio? Report the beta to two decimal places (1.045 = 1.05).

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