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Consider an Investor Who Owns Two Assets: the Risky Market

Question 11

Multiple Choice

Consider an investor who owns two assets: the risky market portfolio where the investor puts two-thirds of her money and a riskless asset where the investor puts one-third of her money. What is the beta of her portfolio?


A) zero
B) 0.33
C) 0.50
D) 0.67

Correct Answer:

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