You Would Like to Combine a Risky Stock with a Beta

question 272

Multiple Choice

You would like to combine a risky stock with a beta of 1.68 with U.S. Treasury bills in such a way that the risk level of the portfolio is equivalent to the risk level of the overall market. What percentage of the portfolio should be invested in Treasury bills?

• A) .32
• B) .40
• C) .50
• D) .60
• E) .68

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A caregiver experiencing physical or emotional distress, impacting their well-being and potentially their ability to care for their child.

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