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Your friend Mike Lugshery wants some investment advice from you. Below is the information he was able to source from a financial website. Economy Probability

Your friend Mike Lugshery wants some investment advice from you. Below is the information he was able to source from a financial website. Economy Probability Expected Return BCE Expected Return TD Bank Recession 15% 14% -18% Normal 60% 24% 10% Boom 25% 28% 40% The market risk premium is 8% and the risk-free rate is 6%. Which stock has more systematic risk? Which has more unsystematic risk? Which stock is riskier and explain why?

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