Multiple Choice
Suppose you held a well-diversified portfolio with a very large number of securities,and that the single index model holds.If the β of your portfolio was 0.22 and βMwas 0.19,the β of the portfolio would be approximately ________.
A) 1.34
B) 1.16
C) 1.25
D) 1.56
E) none of the above
Correct Answer:
Verified
Correct Answer:
Verified
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