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You're half-way through preparing the following table of CAPM betas and expected returns: Asset Government bonds ASX200 ETF Westpac Ltd (WBC) CSL Ltd Beta

You're half-way through preparing the following table of CAPM betas and expected returns: Asset Government

You're half-way through preparing the following table of CAPM betas and expected returns: Asset Government bonds ASX200 ETF Westpac Ltd (WBC) CSL Ltd Beta ? ? 0.82 0.21 Expected return pa 0.04 0.1 ? ? Which of the below statements is NOT correct? (a) Government bonds have a zero beta. (b) The ASX200 market portfolio has a beta of one. (c) Westpac's expected return is 8.92% pa (d) CSL's expected return is 5.26% pa. (e) If the ASX200 were to fall by 10% today, government bonds would be expected to fall 4%.

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